Interim report
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4C Group AB Interim Report Q3 2025
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The period in summary Net sales SEK 72.7 million (93.8) Net sales growth -22% (91%) FX adjusted organic net sales growth -18% (93%) Software revenue in relation to net sales 67% (77%) Adjusted EBIT margin -16% (17%) Net sales SEK 239.3 million (230.0) Net sales growth 4% (3%) FX adjusted organic net sales growth 8% (2%) Software revenue in relation to net sales 59% (66%) Adjusted EBIT margin -6% (-14%) 2025 Q3 2025 Q1–Q3 “By focusing our resources on areas with the strongest growth potential, we are creating a more efficient and scalable organization that is better equipped for the future.” Jonas Jonsson, CEO Key ratios 64% 3% 6% Software revenue in relation to net sales LTM Adjusted EBIT margin LTM FX-adjusted organic net sales growth LTM mSEK 2025 Q3 2024 Q3 2025 Q1–Q3 2024 Q1–Q3 2025 Q3 LTM 2024 Q3 LTM Net sales 72.7 93.8 239.3 230.0 352.3 337.7 FX adjusted organic net sales growth (%) -18% 93% 8% 2% 6% 7% Software revenue 48.5 72.3 140.9 152.2 223.9 224.5 Software revenue in relation to net sales (%) 67% 77% 59% 66% 64% 66% EBIT -11.7 16.3 -14.7 -32.4 11.8 -15.8 EBIT margin (%) -16% 17% -6% -14% 3% -5% Adjusted EBIT -11.7 16.3 -14.7 -32.4 11.8 -15.8 Adjusted EBIT margin (%) -16% 17% -6% -14% 3% -5% Net income for the period -13.3 11. 1 -31.7 -27.8 -7.4 -11.6 Earnings per share before dilution (SEK) -0.35 0.32 -0.83 -0.79 -0.19 -0.33 Earnings per share after dilution (SEK) -0.35 0.32 -0.83 -0.79 -0.19 -0.33 4C Group Interim Report Q3 2025 2
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Strengthened focus for future growth and profitability We continue to strengthen our position within defence and preparedness, while our offering in the Resilience domain has developed more slowly than expected. During the third quarter, revenue declined compared with the same period last year, which also had a negative impact on earnings. To ensure maximum focus on the areas where we are strongest today and see the greatest opportunities going forward, we will carry out a strategic shift towards a more streamlined focus on products for Defence, Total Defence, and related expert services. Since our founding more than two decades ago, 4C Strategies has contributed to building resilience across societies, corporations, and armed forces. The historic rearmament now underway in Europe is increasingly directed towards the areas in which we operate, and we expect this development to accelerate during 2026 and beyond. At the same time, our efforts in the Resilience domain have grown more slowly than anticipated. We were early to enter this area and invested in several geographies, but despite a high level of market interest and political attention, this has not translated into new contracts and customers at the pace we had forecast. Having monitored developments closely for some time, we have now decided to lower our level of ambition in this area. The Resilience business will henceforth be run in a more selective and profitability-oriented manner, resulting in efficiency gains of approximately SEK 40 million annually. This will make us more focused, faster in execution, and better positioned to invest where demand and growth potential are strongest going forward. Our product offering within defence holds significant potential, not only within core military operations but also in adjacent areas where demand for capability development, exercises, and training is increasing. This creates opportunities for us to leverage our deep expertise and experience from the defence sector to offer these products and services to a broader customer base with strong growth prospects. Quarter in brief EBIT amounted to SEK -11.7 million (16.3), mainly due to market uncertainty and delayed customer decisions in the United States. The same period last year benefited from a few large individual contracts, which affects the comparison. Net sales totalled SEK 72.7 million (93.8), with software revenues accounting for 67 percent of the total. North America During the quarter, we continued to focus on direct sales to end customers within the U.S. CEO comment 34C Group Interim Report Q3 2025
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Department of War. The interest is clear, and we signed new contracts and initiated new deliveries during the period. At the same time, 2025 has been marked by increased uncertainty and greater challenges in closing deals. This is linked to uncertain budget appropriations and shifting priorities under the new U.S. administration. The situation has worsened after the end of the quarter with the ongoing U.S. government shutdown, now entering its second month. Our strategy to build a broad customer base remains unchanged. In parallel, we continue to engage with partners and agencies on larger programs that are still active. Overall, the direction of travel is positive, and we see our offering as well aligned with the priorities now being emphasised at the highest levels in the United States. Some uncertainty related to contract conversion and revenue timing is expected to persist towards the end of the year, but we anticipate a return to positive momentum once the government shutdown concludes. EMEA In EMEA, the third quarter is traditionally affected by holiday periods, leading to a lower level of activity. We delivered new capability to NATO, which was tested in the field and resulted in additional call-offs and extensions of approximately SEK 15 million for delivery during the remainder of 2025 and into 2026. This contract is positive in itself but also offers further potential, as our Exonaut software is now being used as the standard system for evaluating new systems within NATO. We also conducted successful tests with three additional European NATO nations while maintaining an active pipeline across the region. Demand for exercises and training continues to rise as defence investments increasingly shift from new material acquisitions to the generation and measurement of operational capability. APAC In APAC, net sales for the quarter were lower than in the corresponding period last year, mainly due to timing effects in ongoing deliveries. At the same time, we have strengthened relationships with defence customers and signed an extended and expanded agreement with a strategically important client. This has been one of the region’s main priorities this year and is expected to contribute positively to earnings for several years ahead. We have also deepened our collaboration with public-sector organisations, including deliveries within maritime protection and new counter-terrorism projects in Australia and New Zealand. During the quarter, we further strengthened our Australian team by adding two senior software developers, an important step to ensure success in upcoming projects and reinforce our long-term presence in the region. Expert Services The Expert Services business developed steadily during the quarter, although some larger projects “We have delivered new functionality to NATO and successfully conducted tests with three additional European NATO countries.” were affected by temporary resource constraints. This partly reflects that many of our customers are now building their own preparedness and security functions, which has temporarily limited the availability of specialised expertise. Despite this, we maintained solid margins and enter the next quarter with a stable order book. In a time of increased global uncertainty, our Expert Services team plays a central role in supporting organisations and companies in strengthening their preparedness and ability to manage risks and crises. Expert Services remains a vital part of our business, complementing our software solutions with practical experience and advisory support that enhance our customers’ overall capability. Moving forward with clear direction As the world changes rapidly, so must we. 4C Strategies is well positioned for the new era of defence and preparedness now taking shape. By focusing our resources on areas with the strongest growth potential, we are creating a more efficient and scalable organisation that is better equipped for the future. This transformation is not about limiting ourselves, it is about growing where we make the greatest difference and see the greatest opportunities. With a clear strategy, a dedicated team, and strong demand within our core segments, we are ready to enter the next phase: strengthening our customers’ capabilities and driving profitable growth over time. Jonas Jonsson CEO EMEA APAC North America Global Expert Services Total Net sales Net sales per segment, LTM 2021 LTM2020 LTM 2022 LTM 2023 LTM 2024 LTM 2025 LTM Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 400 350 300 250 200 150 100 50 0 4C Group Interim Report Q3 2025 4
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*For definition see page 18 Net sales Net sales in the quarter decreased by -22% (91%) compared to same period previous year and amounted to SEK 72.7 million (93.8). The decrease is mainly attributable to delayed customer processes due to increased global uncertainty. Software revenue amounted to SEK 48.5 million (72.3) for the quarter. Revenue from software- related services amounted to SEK 12.2 million (9.1) during the quarter. Our expert services business generated revenue of SEK 12.0 million (12.5) during the quarter. Net sales for the first nine months of the year amounted to SEK 239.3 million (230.0), reflecting an increase of 4% (3%) compared to the same period the previous year. Software revenues amounted to SEK 140.9 million (152.2), software- related services amounted to SEK 52.9 million (34.9), and Expert Services amounted to SEK 45.4 million (42.9) during the first nine months. The annual rate of recurring revenue, ARR*, at the end of the quarter was SEK 206.7 million (152.0). Software accounted for SEK 173.5 million (117.5). Exchange rate fluctuations impacted net sales during the quarter compared to the same period last year. The exchange rate effect on net sales was -5% (-2%) during the quarter. For the first nine months the effect amounted to -4% (0%). Exchange rate fluctuations had a more pronounced impact on net sales during the quarter, mainly due to the weakening of the USD/SEK compared with the corresponding period last year. As a significant share of the company’s revenue is invoiced in USD, continued changes in the exchange rate may lead to larger currency translation effects in the coming quarters. Software revenue Software revenue accounted for 67% (77%) of total net sales during the quarter, representing a decrease of ten percent. Software revenues accounted for 59% (66%) of total net sales in the first nine months. EBITDA Operating income before depreciation and amortization (EBITDA) amounted to SEK -0.8 million (26.1), rendering an EBITDA margin of -1% (28%) during the quarter. EBITDA amounted to SEK 16.3 million (-0.8) in the first nine months with a margin of 7% (0%). Adjusted EBITDA for the quarter is at the same level as EBITDA, as no items are affecting comparability for the period. EBIT Operating income (EBIT) amounted to SEK -11.7 million (16.3), rendering an EBIT margin of -16% (17%) for the quarter. EBIT for the first Financial overview Net sales, mSEK Software Software-related services Expert services Software EBIT, mSEK EBIT Adjusted EBIT EBITDA, mSEK EBITDA Adjusted EBITDA Software revenue, mSEK 400 350 300 250 200 150 100 50 0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3FY ’24 Q3 ’25 LTM 2025 20252023 2023 2023 20232024 2024 20242025 2025 2024 FY ’24 Q3 ’25 LTM 250 200 150 100 50 0 45 25 0 -25 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 40 20 0 -20 -40 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 4C Group Interim Report Q3 2025 5
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half of the year was SEK -14.7 million (-32.4), with a margin of -6% (-14%). Adjusted EBIT for the quarter and the first nine months is at the same level as EBIT, as no items are affecting comparability for the period. Financial position At the end of the quarter, the equity ratio was 51% (53%). Shareholders’ equity amounted to SEK 254.7 million (211.7), corresponding to SEK 6.7 (6.0) per outstanding share and SEK 6.7 (6.0) per share after dilution. The increase in equity is partly explained by the directed share issue resolved by the Board of Directors on March 27, 2025. For more information, see the section “Directed Share Issue.” Interest-bearing liabilities amounted to SEK 132.4 million (90.4) at the end of the quarter, of which SEK 40.5 million (39.5) refers to lease liabilities. The remaining interest-bearing debt of SEK 91.9 million (50.9) relates partly to the financing of a software license of SEK 2.7 million (0) and partly to an overdraft facility of SEK 89.3 million (48.4). Cash and cash equivalents amounted to SEK 19.9 million (1.1) at the end of the quarter. Net debt thereby totalled to SEK 112.6 million (89.3). Adjusted for lease liabilities, net debt amounted to SEK 72.0 million (49.0). Cash flow & Liquidity • Cash flow from operating activities for the quarter amounted to SEK 9,1 million (-17.8). It was negatively affected by lower operating result as well as by an increase in working capital. This increase was partly driven by high business activity at the end of the quarter, which led to higher accounts receivables and contract assets. In addition, unrealized exchange rate effects had a negative impact on working capital, amounting to SEK 3.1 million during the quarter. • Cash flow from investing activities for the quarter amounted to SEK -14.4 million (-8.5). The change is explained by continued development and investments in Exonaut. • Cash flow from financing activities amounted to SEK 5.0 million (21.8) for the quarter. The change was mainly due to lower utilisation of the overdraft facility as a result of an increased credit limit. At the same time, cash flow was negatively affected by lease payments. • Cash and cash equivalents amounted to SEK 19.9 million at the end of the quarter and SEK 20.5 million at the beginning of the period. For the first nine months, cash and cash equivalents amounted to SEK 19.9 million at the end of the period and SEK 24.2 million at the beginning of the period. The company had access to an overdraft facility of approximately SEK 91.3 million (52.9) at the end of the period, of which SEK 89.3 million (48.4) was utilized at the end of the period. Following the close of the reporting period, the company entered into a short-term bank facility of SEK 25 million to safeguard liquidity until February 2025. Management’s assessment is that the company has sufficient financing for the next 12 months, based on the current forecast and available credit facilities. The company’s liquidity is monitored continuously, and we expect a more stable and improved cash flow in the coming quarters. Directed Share Issue During the first nine months of 2025, 4C Group completed a directed share issue of a total of 3,142,857 shares at a subscription price of SEK 17.50 per share, resulting in gross proceeds of approximately SEK 55 million before issuance costs. The share issue was carried out in two tranches: the first tranche was approved by the Board of Directors on March 27, 2025, and the second tranche, directed towards related parties, was approved by an extraordinary general meeting on April 14, 2025. The purpose of the directed share issue was to strengthen the company’s financial position and support continued global expansion, investments in product development, as well as to manage short-term uncertainties in larger business processes. Following the share issue, the share capital increased by SEK 54,999.9975 to SEK 669,812.4825. The total number of shares outstanding after the issue amounts to 38,274,999, corresponding to a dilution of approximately 8.2%. The 4C share 4C Group AB (publ) is listed on Nasdaq First North Premier Growth Market since 24 May 2022. Total shares at the end of period were 38,274,999 (35,132,142). Number of employees Number of employees are presented as an average of full-time employees during the last 12-month period considering normal working hours during a year. The number of full-time employees at the end of the period was 195 (210) whereof 49 (63) were women. The Parent Company The Parent Company business is primarily focused on product development and group administration. The financial statements for the Parent Company can be found on page 12-13. Other significant events during and after the period During the quarter 4C Group AB changed its Certified Adviser to Tapper Partners AB. The company continued to strenghten its position in the US when an existing US Department of Defense customer renewed and expanded its Exonaut® agreement, contributing to an increase in recurring revenue (ARR). Annual general meeting 2026 The 4C Group Annual General Meeting will be held on May 21, 2026 in Stockholm. 4C Group Interim Report Q3 2025 6
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The Board of Directors and the CEO declares that the interim report provides a fair view of the parent company’s and the Group’s business, financial position and results of operations. 4th of November 2025 Stockholm, Sweden Board of Directors of 4C Group AB (publ): Andreas Hedskog Chairman Louise Bagewitz Board Member Anders Fransson Board Member Erik Ivarsson Board Member Christine Rankin Board Member Jörgen Ericsson Board Member Jonas Jonsson CEO Declaration Financial Reporting Information Financial calendar Report information 4C Group AB (publ) has published the report in both English and Swedish. This is an unaudited translation of the Swedish interim report. If any disparities between the Swedish and the English version would exist, the Swedish version shall prevail. This report has been subject to review by the company’s auditor. The information inside this report is information that 4C Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation (MAR). Financial reports and calendar are available on 4C’s website, investors.4cstrategies.com. Contact 4C Group AB (publ) Vattugatan 17 | 111 52 Stockholm | Sweden +46 (0)8-522 27 900 info@4cstrategies.com www.4cstrategies.com For investor enquiries, investor.relations@4cstrategies.com. Jonas Jonsson CEO Veronica Wallin CFO Interim Report Q4 13 February 2026 Annual Report 16 April 2026 Interim Report Q1 29 April 2026 AGM 2026 21 May 2026 Interim Report Q2 15 July 2026 74C Group Interim Report Q3 2025
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kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 2024 Q1-Q4 Net sales 72,720 93,793 239,263 230,041 343,102 Other revenue 89 840 684 2,375 3,156 T otal revenue 72,809 94,633 239,946 232,416 346,257 Operating expenses Other external costs -21,377 -18,990 -62,575 -65,796 -85,692 Personnel costs -66,042 -57,302 -191,491 -194,083 -259,397 Capitalized work for own account 13,863 8,638 32,231 28,310 37,607 Other operating expenses -39 -835 -1,839 -1,615 -1,942 T otal operating expenses -73,595 -68,489 -223,674 -233,184 -309,424 Operating income before depreciation and amortization -785 26,145 16,273 -768 36,834 Depreciation -5,820 -5,646 -17,294 -16,463 -21,824 Amortization -5,083 -4,231 -13,655 -15,188 -20,942 Operating income -11,689 16,267 -14,677 -32,419 -5,932 Financial income 3,115 2,199 5,339 10,520 19,608 Financial expenses -8,435 -5,689 -27,921 -12,449 -16,732 Income after financial items -17,009 12,778 -37,259 -34,348 -3,057 Taxes 3,679 -1,644 5,540 6,585 -411 Net income for the period -13,329 11,134 -31,719 -27,763 -3,468 Income attributable to: Parent company's shareholders -13,329 11,134 -31,719 -27,763 -3 ,468 Other information Earnings per share before dilution (SEK) -0.35 0.32 -0.83 -0.79 -0.10 Earnings per share after dilution (SEK) -0.35 0.32 -0.83 -0.79 -0.10 kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 2024 Q1-Q4 Net income for the period -13,329 11,134 -31,719 -27,763 -3,468 Other comprehensive income Items which will be reclassified to the income statement (net of tax) Translation adjustments attributable to foreign operations -727 -334 -3,757 938 2,250 Adjustment - - - -30 Other comprehensive income for the period, net of tax -727 -334 -3,757 938 2,220 T otal comprehensive income for the period -14,056 10,800 -35,476 -26,825 -1,248 Consolidated statement of profit and loss in summary Consolidated statement of other comprehensive income in summary 4C Group Interim Report Q3 2025 8
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kSEK 2025-09-30 2024-09-30 2024-12-31 ASSETS Intangible assets 111,140 86,761 93,318 Tangible assets 3,102 3,378 3,404 Right-to-use assets 40,926 40,335 45,398 Financial fixed assets 1,443 1,454 1,529 Contract assets 96,467 96,005 105,940 Deferred tax asset 25,968 14,402 9,556 T otal non-current assets 279,045 242,334 259,145 Accounts receivables 24,044 30,648 14,219 Tax receivables 7,513 11,084 6,703 Contract assets 155,233 100,795 121,760 Other current receivables 11,367 12,196 11,582 Cash and cash equivalents 19,884 1,121 24,168 T otal current assets 218,041 155,844 178,432 T otal assets 497,086 398,178 437,577 kSEK 2025-09-30 2024-09-30 2024-12-31 EQUITY AND LIABILITIES Equity Equity attributable to the parent company's shareholders 254,732 211,734 237,311 T otal equity 254,732 211,734 237,311 Interest-bearing non-current liabilities 1,560 - 2,411 Non-current lease liabilities 21,353 21,483 24,058 Deferred tax liability 22,429 17,873 18,603 Other non-current liabilities - 141 - T otal non-current liabilities 45,342 39,496 45,072 Interest-bearing current liabilities 90,362 50,894 44,071 Current lease liabilities 19,167 18,058 21,030 Accounts payables 12,856 11,313 13,411 Tax liabilities 6,692 1,276 2,664 Contract liabilities 28,789 31,427 37,613 Other current liabilities 39,146 33,980 36,406 T otal current liabilities 197,011 146,947 155,195 T otal equity and liabilities 497,086 398,178 437,577 Consolidated statement of financial position in summary 4C Group Interim Report Q3 2025 9
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kSEK Share capital Other contributed capital Reserves Profit/loss brought forward Total equity Opening balance 1 January 2024 598 155,149 2,816 67,937 226,501 Net income for the period - - - -27,763 -27,763 Other comprehensive income - - 938 - 938 T otal other comprehensive income 0 0 938 -27,763 -26,825 Transaction with owners Exercise of warrants 16 12,042 - - 12,059 T otal transaction with owners 16 12,042 0 0 12,059 Closing balance 30 September 2024 615 167,192 3,754 40,174 211,734 Opening balance 1 January 2025 615 167,192 5,066 64,439 237,311 Net income for the period - - - -31,719 -31,719 Other comprehensive income - - -3,757 - -3,757 T otal other comprehensive income 0 0 -3,757 -31,719 -35,476 Transaction with owners New share issues 55 52,156 - - 52,211 Costs related to new share issue - -480 - - -480 Payment warrants - 1,168 - - 1,168 T otal transaction with owners 55 52,843 0 0 52,898 Closing balance 30 September 2025 670 220,035 1,308 32,720 254,732 Changes in consolidated equity in summary 4C Group Interim Report Q3 2025 10
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kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 2024 Q1-Q4 Cash flow from operating activities Operating income -11,689 16,267 -14,677 -32,419 -5,932 Adjustment for non-cash items 10,875 9,958 32,043 30,101 41,852 Financial items -2,219 -3,490 -4,755 -1,929 2,876 Income tax paid -171 -1,559 -3,910 -3,093 1,394 Cash flow from operating activities, before changes in working capital -3,204 21,176 8,701 -7,341 40,190 Change in working capital 12,283 -38,913 -60,782 -62,104 -65,894 Cash flow from operating activities 9,079 -17,737 -52,081 -69,445 -25,704 Cash flow from investing activities Acquisition of intangible assets -13,863 -8,638 -32,231 -28,310 -40,621 Acquisition of tangible assets -503 -13 -1,005 -281 -501 Acquisition of financial assets -7 102 -88 -45 -45 Cash flow from investing activities -14,374 -8,549 -33,324 -28,636 -41,167 kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 2024 Q1-Q4 Cash flow from financing activities New share issues - - 52,210 - - Costs related to new share issue - - -480 - - Warrant premiums - - 1,168 - - Exercise of warrants - - - 12,059 12,059 Change in liabilities to credit institutions -123 - -361 - 3,014 Net change of overdraft account 10,514 28,323 47,921 48,379 41,483 Repayment of interest bearing debts -1,469 -1,985 -9,884 -10,401 Cash payments for principal portion of the lease liability -5,358 -5,103 -15,574 -14,854 -19,389 Cash flow from financing activities 5,033 21,751 82,898 35,699 26,766 Cash flow for the period -261 -4,535 -2,507 -62,382 -40,106 Change in cash and cash equivalents Cash and cash equivalents at the beginning of the year 20,504 5,632 24,169 62,227 62,227 Exchange rate differences in cash and cash equivalents -360 25 -1,778 1,277 2,047 Cash and cash equivalents at the end of the period 19,884 1,121 19,884 1,121 24,169 Consolidated cash flow statement in summary 4C Group Interim Report Q3 2025 11
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kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 2024 Q1-Q4 Operating revenue Net sales 33,907 44,813 75,984 113,695 199,576 Other revenue 1 41 98 104 101 T otal revenue 33,908 44,855 76,083 113,800 199,677 Operating expenses Other external costs -25,542 -9,601 -64,452 -59,512 -137,145 Personnel costs -27,095 -18,423 -70,917 -86,437 -84,482 Other operating expenses -12 -38 -44 -135 -171 T otal operating expenses -52,649 -28,062 -135,413 -146,084 -221,799 Operating income before depreciation and amortization -18,741 16,793 -59,331 -32,285 -22,122 Depreciation and amortization -388 -144 -1,162 -418 -562 Operating income -19,128 16,649 -60,492 -32,703 -22,683 Financial income and expenses -3,310 -721 -17,086 2,982 5,396 Income after financial items -22,438 15,928 -77,578 -29,721 -17,288 Appropriations - - -2,700 - -7,500 Income before tax -22,438 15,928 -80,278 -29,721 -24,788 Taxes 4,848 -2,537 16,494 5,703 4,879 Net income for the period -17,590 13,392 -63,784 -24,017 -19,909 Parent company income statement 4C Group Interim Report Q3 2025 12
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kSEK 2025-09-30 2024-09-30 2024-12-31 ASSETS Fixed assets Intangible assets 2,261 - 3,014 Tangible assets 1,120 1,616 1,472 T otal tangible fixed assets 3,380 1,616 4,486 Financial fixed assets Shares in subsidiaries 21,680 21,680 21,680 Deferred tax asset 25,048 9,379 8,555 T otal financial fixed assets 46,729 31,060 30,235 T otal non-current assets 50,109 32,676 34,721 Current assets Current intercompany receivables 183,651 130,247 147,393 Contract assets 3,064 - 1,260 Other current receivables 3,372 6,069 1,781 Accrued income and prepaid expenses 9,228 8,843 7,802 Cash and cash equivalents 10,020 1 1,312 T otal current assets 209,334 145,160 159,548 T otal assets 259,443 177,836 194,269 kSEK 2025-09-30 2024-09-30 2024-12-31 EQUITY AND LIABILITIES Equity Restricted equity Share capital 670 615 615 T otal restricted equity 670 615 615 Unrestricted equity Additional paid in capital 220,035 167,192 167,192 Profit/loss brought forward -10,291 9,618 9,618 Net income for the period -63,784 -24,017 -19,909 T otal unrestricted equity 145,959 152,792 156,901 T otal equity 146,629 153,407 157,515 Untaxed reserves - - Interest-bearing non-current liabilities 1,560 - 2,411 T otal non-current liabilities 1,560 0 2,411 Current liabilities Interest-bearing current liabilities 1,092 - 603 Accounts payables 9,415 7,849 10,266 Current intercompany liabilities 83,047 - 6,811 Other current liabilities 6,623 8,452 6,208 Contract liabilities 1,998 - 2,013 Accrued expenses and prepaid income 9,078 8,128 8,442 T otal current liabilities 111,254 24,429 34,343 T otal equity and liabilities 259,443 177,836 194,269 Parent company balance statement 4C Group Interim Report Q3 2025 13
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Auditors’ Review Report This is a translation from the Swedish original. 4C Group AB (publ) Corporate identity number 556706-0412 To the Board of 4C Group AB (publ) Introduction We have reviewed the condensed interim report for 4C Group AB (publ) which can be found on pages 5 to 23 of this document. Including balance sheet and income statement, change in equity and change in cash flow, note information and other interim information in accordance with the Annual Accounts Act as of September 30, 2024, and for the nine months period then ended. The Board of Directors and the Managing Director are responsible for the preparation and presentation of this interim report in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review. Scope of review We conducted our review in accordance with the International Standard on Review Engagements, ISRE 2410 Review of Interim Financial Statements Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing 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 material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act regarding the Group, and in accordance with the Swedish Annual Accounts Act regarding the Parent Company. Malmö November 4, 2025 Ernst & Young AB Peter Gunnarsson Authorized Public Accountant 4C Group Interim Report Q3 2025 14
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Notes Accounting principles This interim report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts act. The group’s financial statements are prepared in accordance with International Financial Reporting Standards (IFRS) and the accounting policies which constitute the accounting standard for this interim report, are stated in the most recent annual report. New accounting principles that came into effect on 1 January 2025 have not had any significant impact on the Group’s reporting as of 30 September 2025. Preparing the financial reports in accordance with IFRS requires the 4C management team to decide on how to apply the accounting policies which may impact the reported figures of assets, liabilities and result. The Parent Company prepares its financial statements in accordance with the Swedish Annual Accounts Act and RFR 2 Accounting for Legal Entities. The same accounting policies have been applied in the interim report. Note that rounding in the financial tables may incur differences of maximally kSEK 1 in column subtotals or totals. Risks and uncertainties 4C Strategies is exposed to risks in its operations, both business and financial, and these are described together with other risks in the latest published report, the Annual Report, 16th of April 2025. The year 2025 continues to be characterized by sustained global turbulence, with geopolitical unrest contributing to heightened uncertainty for businesses and organizations worldwide. However, macroeconomic conditions have shown signs of stabilization, supported by a reduction in the interest rate and declining inflation, which have facilitated a modest economic recovery. 4C Strategies has implemented appropriate measures to ensure that existing risks are effectively managed. No additional changes to risk or uncertainty factors have been identified during the reporting period. Currency translations The Group operates in different countries and currently the following currencies are managed: Swedish Krona (SEK), Sterling Pound (GBP), US Dollar (USD), Norwegian Krone (NOK), Australian Dollar (AUD) and Euro (EUR). Assets and liabilities in foreign exchange are translated at the closing rate on the date of the balance statement. Transaction differences of operational balance items due to translation are recognized as ‘Other Revenue’ and ‘Other Operating Expenses’. The differences of other balance sheet items in foreign currency, such as ‘Cash and cash equivalents’, are recognized within financial items. Differences that occur from translating net sales and operating expenses in foreign currency are recognized under respective revenue and cost item. Transactions with related parties Any transactions with related parties have been conducted on market terms. No significant transactions with related parties to be considered for the period. Taxes The tax expense has been based on the earnings in each subsidiary and the current tax situation in each domestic area. Earnings per share The calculation of Earnings per share is based on the period’s earnings in the Group attributable to the parent company’s owners and on the weighted average number of shares outstanding during the period. When calculating Earnings per share after dilution, the average number of shares is adjusted to take into account the effects of issued options. The dilution effect from warrants is only accounted for if a conversion to shares results in a lower profit per share or a higher loss per share. Financial instruments The Group’s financial instruments are valued at accrued acquisition value. The carrying amount of all the Group’s financial instruments is considered to be a good approximation of the fair value. Segment summary The Group’s operating segments are divided into EMEA Software, APAC Software, North America Soft- ware and Global Expert Services. These operating segments have the same business model, i.e. sales and delivery. The operating segments are reported in compliance with the internal reporting structure as provided to the chief operating decision maker for the Group (CODM). The CODM is the function responsible for allocation of resources and assessment of the operating segments’ profit or loss. In the Group, this function is identified as the Chief Executive Officer. Operating segments are assessed based on net sales and EBITDA. The evaluation excludes the management of assets and liabilities, which instead are managed centrally by group management. Internal transactions between the segments refer to cost allocation due to the use of resources between the entities. 4C Group Interim Report Q3 2025 15
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kSEK EMEA APAC North America Global Expert Services Total Segment Group Common Elimina- tions Group Q3 2025 Software 19,047 4,810 24,687 - 48,544 - - 48,544 Software-related services 9,205 319 2,661 - 12,185 - - 12,185 Expert services - - - 11,992 11,992 - - 11,992 Revenue from contracts with customers 28,252 5,129 27,348 11,992 72,720 0 0 72,720 Other revenue 104 5 12 -40 80 9 - 89 Internal revenue 781 223 194 502 1,701 172 -1 873 0 T otal revenue 29,138 5,357 27,554 12,454 74,502 181 -1 873 72,809 Personnel costs -10,782 -1,269 -4,027 -7,596 -23,674 -42,367 - -66,042 Other external costs -3,494 -2,161 -4,452 -2,474 -12,581 5,028 - -7,553 Internal costs -738 -11 -198 -823 -1,770 -104 1 873 0 T otal cost -15,013 -3,441 -8,677 -10,894 -38,024 -37,444 1 873 -73,595 EBITDA 14,124 1,916 18,877 1,560 36,477 -37,263 0 -785 Amortization - - - - 0 -5,083 - -5,083 Depreciation - - - - 0 -5,820 - -5,820 Financial income - - - - 0 3,115 - 3,115 Financial expenses - - - - 0 -8,435 - -8,435 Income before tax 14,124 1,916 18,877 1,560 36,477 -53,486 0 -17,009 Items affecting comparability - - - - 0 - - 0 Adjusted EBT 14,124 1,916 18,877 1,560 36,477 -53,486 0 -17,009 kSEK EMEA APAC North America Global Expert Services Total Segment Group Common Elimina- tions Group Q3 2024 Software 7,288 689 64,304 - 72,281 - - 72,281 Software-related services 7,950 142 970 - 9,063 - - 9,063 Expert services - - - 12,450 12,450 - - 12,450 Revenue from contracts with customers 15,238 831 65,274 12,450 93,793 0 0 93,793 Other revenue 188 - -2 -80 107 733 - 840 Internal revenue 1,001 14 -61 119 1,073 -836 -237 0 T otal revenue 16,428 845 65,212 12,489 94,973 -103 -237 94,633 Personnel costs -11,480 -1,598 -4,267 -8,912 -26,257 -31,045 - -57,302 Other external costs -3,251 -813 -2,936 -2,645 -9,644 -1,542 - -11,187 Internal costs -1,006 - -124 -398 -1,529 1,292 237 0 T otal cost -15,737 -2,411 -7,328 -11,955 -37,430 -31,295 237 -68,489 EBITDA 691 -1,566 57,884 534 57,543 -31,398 0 26,145 Amortization - - - - 0 -4,231 - -4,231 Depreciation - - - - 0 -5,646 - -5,646 Financial income - - - - 0 2,199 - 2,199 Financial expenses - - - - 0 -5,689 - -5,689 Income before tax 691 -1,566 57,884 534 57,543 -44,765 0 12,778 Items affecting comparability - - - - 0 - - 0 Adjusted EBT 691 -1,566 57,884 534 57,543 -44,765 0 12,788 Segment reporting The comparative figures for the segments have been restated for Q1 and Q2 2024. The recalculation therefore affects the aggregated figures for the first nine months of 2024. When recalculating the comparative figures, revenues and expenses have been allocated based on geographical region (EMEA, APAC and North America) and based on whether revenue and costs are attributable to software or services. Software and software-related services have been allocated to EMEA Software, APAC Software and North America Software, while expert services have been allocated to Global Expert Services. 4C Group Interim Report Q3 2025 16
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kSEK EMEA APAC North America Global Expert Services Total Segment Group Common Elimina- tions Group Q1-Q3 2025 Software 54,324 9,767 76,819 - 140,910 - - 140,910 Software-related services 41,190 1,475 10,246 - 52,910 - - 52,910 Expert services - - - 45,442 45,442 - - 45,442 Revenue from contracts with customers 95,514 11,242 87,064 45,442 239,263 0 0 239,263 Other revenue 502 50 -134 158 576 107 - 684 Internal revenue 2,202 469 722 1,891 5,283 1,367 -6,650 0 T otal revenue 98,218 11,761 87,652 47,491 245,122 1,474 -6,650 239,946 Personnel costs -33,145 -3,487 -11,387 -26,431 -74,450 -117,040 - -191,491 Other external costs -11,185 -4,472 -14,077 -8,497 -38,232 6,049 - -32,183 Internal costs -2,035 -108 -606 -3,295 -6,045 -605 6,650 0 T otal cost -46,366 -8,068 -26,070 -38,224 -118,727 -111,596 6,650 -223,674 EBITDA 51,853 3,693 61,582 9,267 126,394 -110,122 0 16,273 Amortization - - - - 0 -13,655 - -13,655 Depreciation - - - - 0 -17,294 - -17,294 Financial income - - - - 0 5,339 - 5,339 Financial expenses - - - - 0 -27,921 - -27,921 Income before tax 51,853 3,693 61,582 9,267 126,394 -163,653 0 -37,259 Items affecting comparability - - - - 0 - - 0 Adjusted EBT 51,853 3,693 61,582 9,267 126,394 -163,653 0 -37,259 kSEK EMEA APAC North America Global Expert Services Total Segment Group Common Elimina- tions Group Q1-Q3 2024 Software 64,971 14,043 73,210 - 152,224 - - 152,224 Software-related services 31,534 1,150 2,213 - 34,897 - - 34,897 Expert services - - - 42,921 42,921 - - 42,921 Revenue from contracts with customers 96,504 15,193 75,423 42,921 230,041 0 0 230,041 Other revenue 1,276 - 240 -22 1,494 880 - 2,375 Internal revenue 12,745 591 14,106 921 28,363 9,689 -38,053 0 T otal revenue 110,526 15,784 89,770 43,820 259,899 10,570 -38,053 232,416 Personnel costs -52,649 -5,317 -26,727 -27,768 -112,460 -81,623 - -194,083 Other external costs -14,416 -5,217 -11,170 -5,624 -36,426 -2,675 - -39,101 Internal costs -4,380 -489 -1,308 -2,663 -8,839 -29,214 38,053 0 T otal cost -71,445 -11,023 -39,204 -36,054 -157,726 -113,511 38,053 -233,184 EBITDA 39,081 4,761 50,566 7,766 102,173 -102,941 0 -768 Amortization - - - - 0 -15,188 - -15,188 Depreciation - - - - 0 -16,463 - -16,463 Financial income - - - - 0 10,520 - 10,520 Financial expenses - - - - 0 -12,449 - -12,449 Income before tax 39,081 4,761 50,566 7,766 102,173 -136,522 0 -34,348 Items affecting comparability - - - - 0 - - 0 Adjusted EBT 39,081 4,761 50,566 7,766 102,173 -136,522 0 -34,348 4C Group Interim Report Q3 2025 17
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Net sales by income stream The Group’s income streams are Software, Software-related services and Expert services. Software consists of revenue from our Exonaut software which can be divided into licenses, software development and service and support agreements (SSA). Software-related services refers to software consultancy related to Exonaut. Software consultancy involves both implementation and integration of software, as well as Managed Services. Expert services incorporate our advisory and consulting services which refer to building risk, business continuity and crisis management capability of organizations. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Software 48,544 72,281 140,910 152,224 Software-related services 12,185 9,063 52,910 34,897 Expert services 11,992 12,450 45,442 42,921 Net sales 72,720 93,793 239 263 230,041 Key Ratios Alternative Performance measures (APM) Alternative performance measures (APM) have been identified, which are believed to enhance management and investors’ possibility to evaluate the company’s performance. The APMs presented in the report may differ from equivalently named measures used by other companies, thereby a definition of each measure can be found under the section Key Ratios. The APMs should be seen as a supplement to the key ratios defined by IFRS. FX adjusted organic net sales growth FX adjusted organic net sales growth consists of organic net sales growth adjusted for foreign exchange effects. The measure neutralizes the effects of currency effects on the net sales growth and indicates what the real growth is. This is a financial target for 4C. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Software 48,544 72,281 140,910 152,224 Software-related services 12,185 9,063 52,910 34,897 Expert services 11,992 12,450 45,442 42,921 Net sales 72,720 93,793 239,263 230,041 Net sales growth (%) -22% 91% 4% 3% FX adjusted organic net sales growth (%) -18% 93% 8% 2% The currency translation effect on net sales growth during the quarter amounted to -4% (-2%). Net sales by sector The Group finds their customers in three different sectors which are named Defence, Public and Corporate. In the Defence sector, most of the customers can be found in the world’s leading armed forces. In the Public and Corporate sector, the majority of the customer originates from government institutions and large international corporations. Net sales by sector is presented to describe how the Group’s revenue is divided depending on what type of market the customers are operating in. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Defence 57,741 80,595 179,667 173,217 Public 8,205 7,090 29,925 25,910 Corporate 6,774 6,109 29,671 30,914 Net sales 72,720 93,793 239,263 230,041 4C Group Interim Report Q3 2025 18
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Software revenue Software revenue consists of revenue from our Exonaut software. Software as a percentage of net sales indicates the share of total sales that is derived from Exonaut sales. This is a financial target for 4C. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Software 48,544 72,281 140,910 152,224 Software-related services 12,185 9,063 52,910 34,897 Expert services 11,992 12,450 45,442 42,921 Net sales 72,720 93,793 239,263 230,041 Software as a percentage of net sales (%) 67% 77% 59% 66% Recurring revenue Revenue of an annually recurring nature such as software and software-related services related income. The measure obtains the amount of revenue that are of recurring nature of the total revenue during the period. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Software 39,670 67,701 87,313 122,278 Software-related services 5,699 5,048 29,254 22,156 Recurring revenue 45,369 72,749 116,567 144,434 Recurring revenue growth (%) -38% 155% -19% 54% kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Recurring revenue 45,369 72,749 116,567 144,434 Net sales 72,720 93,793 239,263 230,041 Recurring revenue, as percentage of net sales (%) 62% 78% 49% 63% Annual recurring revenue (ARR) Recurring revenue at the last month of the quarter, recalculated to a 12-month period. There is thus no direct connection between the ARR-figure and future software revenues. The figure should be seen as an indication. The total recognized recurring revenue is affected by contract initiation date and especially, by the initiation date of contract extensions. kSEK 2025 Q3 2024 Q3 Software 173,466 117,538 Software-related services 33,267 34,419 Annual recurring revenue 206,733 151,957 Annual recurring revenue growth (%) 36% 38% 4C Group Interim Report Q3 2025 19
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EBITDA Earnings before depreciation and amortization on fixed assets. The measure indicates the performance of the operational activities. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Operating income -11,689 16,267 -14,677 -32,419 Depreciation 5,820 5,646 17,294 16,463 Amortization 5,083 4,231 13,655 15,188 EBITDA -785 26,145 16,273 -768 Net sales 72,720 93,793 239,263 230,041 EBITDA (%) -1% 28% 7% 0% EBIT Earnings before interest and tax. The measure indicates the performance of the operational activities including the cost of capital investments and the company’s earning ability. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Operating income -11,689 16,267 -14,677 -32,419 EBIT -11,689 16,267 -14,677 -32,419 Net sales 72,720 93,793 239,263 230,041 EBIT (%) -16% 17% -6% -14% Items affecting comparability Items affecting comparability refers to items that are reported separately since they affect comparability and are considered to be divergent to the company’s ordinary operations. Examples are expenses related to public listing, restructuring and acquisition-related expenses, which are defined in the table below. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Expenses related to public listing - - - - Items affecting comparability 0 0 0 0 Adjusted EBITDA EBITDA before items affecting comparability. The measure is a supplement to EBITDA adjusted for items affecting comparability and enables the comparison with other periods. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 EBITDA -785 26,145 16,273 -768 Items affecting comparability - - - - Adjusted EBITDA -785 26,145 16,273 -768 Net sales 72,720 93,793 239,263 230,041 Adjusted EBITDA (%) -1% 28% 7% 0% Adjusted EBIT EBIT before items affecting comparability. The measure is a supplement to EBIT adjusted for items affecting comparability and enables comparison with other periods. The measure is a financial target for 4C. kSEK 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 EBIT -11,689 16,267 -14,677 -32,419 Items affecting comparability - - - - Adjusted EBIT -11,689 16,267 -14,677 -32,419 Net sales 72,720 93,793 239,263 230,041 Adjusted EBIT (%) -16% 17% -6% -14% 4C Group Interim Report Q3 2025 20
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Net working capital Net of current assets excluding cash and cash equivalents, and current liabilities excluding interest- bearing items. The purpose is to show the business’ short term liquidity and operational efficiency. kSEK 2025-09-30 2024-09-30 2024-12-31 Current assets excl cash and cash equivalents 198,157 154,723 154,264 Current liabilities excl interest-bearing items 87,483 77,996 90,094 Net working capital 110,675 76,727 64,170 Net debt Net of cash and cash equivalents and interest-bearing liabilities. Net debt ratio calculated as a percentage of adjusted EBITDA RTM. The measure shows the real level of debt and indicates the ability to fulfil financial commitments. kSEK 2025-09-30 2024-09-30 2024-12-31 Interest-bearing non-current liabilities 22,913 21,483 26,469 Interest-bearing current liabilities 109,529 68,952 65,101 Cash and cash equivalents 19,884 1,121 24,168 Net debt 112,558 89,314 67,401 Adjusted EBITDA RTM 53,874 26,116 36,834 Net debt ratio 2.09 3.42 1.83 Earnings per share Earnings per share and Earnings per share after dilution are defined in accordance to IFRS. 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Weighted average number of shares 38,219,942 34,950,475 38,219,942 34,950,475 Dilution effect after dilutive shares 11,667 221,667 11,667 221,667 Weighted average number of shares after dilution 38,231,609 35,172,142 38,231,609 35,172,142 The dilution effect from warrants is only accounted for if a conversion to shares results in a lower profit per share or a higher loss per share. 2025 Q3 2024 Q3 2025 Q1-Q3 2024 Q1-Q3 Net income for the period (kSEK) -13,329 11,134 -31,719 -27,763 Income attributable to Parent company's shareholders (kSEK) -13,329 11,134 -31,719 -27,763 Weighted average number of shares 38,219,942 34,950,475 38,219,942 34,950,475 Earnings per share before dilution (SEK) -0.35 0.32 -0.83 -0.79 Weighted average number of shares after dilution 38,231,609 35,172,142 38,231,609 35,172,142 Earnings per share after dilution (SEK) -0.35 0.32 -0.83 -0.79 4C Group Interim Report Q3 2025 21
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Selected historical financials per quarter and year mSEK 2025 Q3 2025 Q2 2025 Q1 2024 Q4 2024 Q3 2024 Q2 2024 Q1 2023 Q4 2023 Q3 2024 YTD 2023 YTD 2022 YTD Net sales 72.7 75.6 90.9 113.1 93.8 60.5 75.7 107.7 49.1 343.1 332.1 331.3 Net sales growth (%) -22% 25% 20% 5% 91% -29% -16% 18% -39% 3% 0% 27% FX adjusted organic net sales growth (%) -18% 33% 19% 2% 93% -29% -17% 18% -41% 2% -3% 18% Software revenue 48.5 42.1 50.2 83.0 72.3 37.3 42.6 72.2 26.2 235.2 210.4 211.6 Software as a percentage of net sales (%) 67% 56% 55% 73% 77% 62% 56% 67% 53% 69% 63% 64% Recurring revenue 45.4 24.6 46.6 76.3 72.7 34.3 37.4 47.5 28.4 220.7 141.2 114.0 Annual recurring revenue 206.7 181.0 180.7 163.8 152.0 129.9 120.7 119.1 110.5 163.8 119.1 107.2 Annual recurring revenue - Software 173.5 147.4 147.3 129.2 117.5 94.0 85.2 82.9 75.0 129.2 82.9 70.5 Annual recurring revenue - Software-related services 33.3 33.6 33.4 34.7 34.4 35.9 35.6 36.2 35.5 34.7 36.2 36.8 EBITDA -0.8 -1.2 18.3 37.6 26.1 -21.8 -5.1 26.9 -24.5 36.8 31.6 58.0 EBITDA margin (%) -1% -2% 20% 33% 28% -36% -7% 25% -50% 11% 10% 18% EBIT -11.7 -12.0 9.0 26.5 16.3 -32.6 -16.1 16.6 -34.3 -5.9 -5.9 28.6 EBIT margin (%) -16% -16% 10% 23% 17% -54% -21% 15% -70% -2% -2% 9% Items affecting comparability - - - - - - - - 0.1 - 0.6 15.3 Adjusted EBITDA -0.8 -1.2 18.3 37.6 26.1 -21.8 -5.1 26.9 -24.4 36.8 32.2 73.3 Adjusted EBITDA margin (%) -1% -2% 20% 33% 28% -36% -7% 25% -50% 11% 10% 22% Adjusted EBIT -11.7 -12.0 9.0 26.5 16.3 -32.6 -16.1 16.6 -34.2 -5.9 -5.3 43.9 Adjusted EBIT margin (%) -16% -16% 10% 23% 17% -54% -21% 15% -70% -2% -2% 13% Net income for the period -13.3 -9.0 -9.4 24.3 11.1 -27.5 -11.4 16.2 -34.2 -3.5 -9.3 26.3 Earnings per share before dilution (SEK) -0.35 -0.24 -0.25 0.69 0.32 -0.79 -0.33 0.48 -1.01 -0.10 -0.27 0.79 Earnings per share after dilution (SEK) -0.35 -0.24 -0.25 0.69 0.32 -0.79 -0.33 0.46 -1.01 -0.10 -0.27 0.74 Net working capital 110.7 135.8 95.2 64.2 76.7 68.9 67.9 69.3 62.0 64.2 69.3 37.7 Net debt 112.6 97.4 53.2 67.4 89.3 59.8 13.3 -0.6 -1.1 67.4 -0.6 -76.3 224C Group Interim Report Q3 2025 22
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Definitions SEK The currency Swedish Krona. kSEK The currency Swedish Krona in thousands. mSEK The currency Swedish Krona in millions. LT M Latest twelve months, the past 12 consecutive months. Software (revenue) The total revenue from our Exonaut software, which can be divided into licenses and software development, as well as income from service and support agreements (SSA). Software-related services The total revenue of our software consultancy services, which include both implementation and integration of software, as well as income from managed services. Expert services The total revenue of advisory and consulting related income. Net sales The total revenue of software, software-related services and expert services. Other revenue The total revenue of FX-effects and items that cannot be defined into one of the other categories. Recurring revenue Revenue of a recurring nature such as software and software-related services related income. Annual recurring revenue Recurring revenue in the last month of the quarter, recalculated to a 12-month period. There is thus no direct connection between the ARR- figure and future software revenues. The figure should be seen as an indication. FX adjusted organic net sales growth Organic growth in net sales adjusted for foreign exchange effects. Items affecting comparability Items affecting comparability refers to items that are reported separately since they affect comparability and are considered to be divergent to the company’s ordinary operations. Examples are expenses related to public listing, restructuring and acquisition-related expenses. EBITDA Operating income before depreciation and amortization. Adjusted EBITDA Operating income before depreciation, amortization and items affecting comparability. EBITDA margin EBITDA as a percentage of net sales. EBIT Operating income before financial income and expenses, and taxes. Adjusted EBIT Operating income before financial income and expenses, taxes and items affecting comparability. EBIT margin EBIT as a percentage of net sales. EBT Income before taxes, after financial income and expenses. Adjusted EBT Income before taxes and items affecting comparability, after financial income and expenses. Net income Net profit after tax. Earnings per share before dilution Net income divided by the average number of shares during the period. Earnings per share after dilution Net income divided by the average number of shares after dilution during the period. Net working capital Net of current assets excluding cash and cash equivalents, and current liabilities excluding interest-bearing items. Equity ratio Total equity as a percentage of total assets. Net debt Net of cash and cash equivalents and interest- bearing liabilities. Net debt ratio Net debt as a percentage of adjusted EBITDA RTM. Number of employees Number of employees are presented as an average of full-time employees during the last 12-month period considering normal working hours during a year. 4C Group Interim Report Q3 2025 23
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This is 4C 4C Strategies 4C Strategies was founded in 2000 and is a leading global provider of software solutions and expert services for organizational readiness, training, and crisis management. Through the Exonaut® software platform, 4C Strategies offers a complete platform for building organizational readiness. Exonaut enables effective, secure, and seamless management of incidents, crises, risks, and compliance assurance. Exonaut also supports the sustainment and continuity of operations affected by disruptions and crises and provides a software solution for both military and civilian customers in training management and capability development. In addition to Exonaut, 4C also provides software-related services and expert services. We provide our solutions primarily to customers in mission-critical environments such as defence forces, public organizations, and companies in the corporate sector that have a need of managing risks and training for sudden and critical events. 4C Strategies has its headquarter in Sweden and has a global presence with offices in the Nordics, UK, US and Australia. Sustainability 4C Strategies recognizes that its business activities have direct and indirect environmental and social impacts, which the company believes it has an obligation to manage to the best of its abilities. Therefore, 4C Strategies has since 2005 been a member of the UN Global Compact, an initiative designed to encourage companies to adopt sustainable and socially responsible policies and to report on their implementation to bring about positive change in human rights, labour, the environment, and corruption. For more examples of our sustainability work, please visit our website: investors.4cstrategies.com. Our values 4C is a value-driven organization. Our core values are primarily regard how we live and inter act with each other, as well as with customers, partners, providers and other stake holders. They are summed up in four words. Results We always strive to deliver clear results that exceed our customers’ expectations and to advance the development of our solutions through incremental and ground-breaking innovations. Integrity We handle the information that we receive and the trust that has been granted to us with the utmost professionalism and discretion. Fun We enjoy going to work and we actively contribute to a pleasant, inclusive and respectful work environment. Competence We attract, develop and motivate exceptional colleagues to deliver value to our customers and grow as individuals and as an organization. Financial targets 4C Strategies strives to achieve an average annual currency-adjusted organic net sales growth exceeding 20 per cent in the medium term. 4C Strategies strives for software revenue to exceed 70 per cent of net sales in the medium term. 4C Strategies aims to achieve an adjusted EBIT margin of at least 20 per cent in the medium term. Vision 4C’s vision is to always be the preferred provider of solutions that create and maintain organizational readiness. Mission 4C’s mission is to combine the power of digital innovation with industrial expertise to build a safe society. 20% 20% 70% Dividend policy: The board of directors have determined that generated cash flow is to be used for investments and further growth in the company, and no dividend is proposed in the short and medium term. 4C Group Interim Report Q3 2025 24
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Global operations with local presence Exonaut Resilience platform Exonaut is a complete platform for building organizational resilience and enabling the efficient, secure and seamless management of incidents, crises and risks Training and exercise platform Exonaut is a world-leading software solution for both military and civilian customers in training management and capability development. Expertise Software-related services Our software consultants provide ongoing technical support to our customers. To begin with, this relates to scoping, initiating and implementing Exonaut. Expert services We have an integrated approach to risk, continuity and crisis management with a focus on assisting our clients in building organizational resilience. Our offering Brisbane 23 Dunmore Terrace Auchenflower Queensland 4066 Brisbane Australia London Nova North 11 Bressenden Place London SW1E 5BY United Kingdom Malmö Neptunigatan 42 211 18 Malmö Sweden Orlando Resource Square III 12001 Research Park way Orlando Florida 32826 USA Stockholm Vattugatan 17 111 52 Stockholm Sweden Warminster The Design Centre Roman Way Warminster BA12 8SP United Kingdom Washington 1765 Greensboro Station Place Suite 900 McLean VA 22102 USA Read more about our offering 254C Group Interim Report Q3 2025 25
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4C Group AB (publ) 556706-0412 Vattugatan 17 111 52 Stockholm Sweden Visit 4C Investor Relations for more information. 4C Strategies is the leading provider of training readiness and organisational resilience solutions. With over 20 years of expertise, we support high-profile international institutions, global enterprises and armed forces across 100 countries. We help you to train effectively and be ready for the resilience challenges ahead. Our innovative Exonaut® platform empowers capability development, building on key insights for when it matters the most. Our experts work alongside you to prepare your operations for the future, allowing you to transform training, rethink risk, manage crises, and uphold continuity. With offices around the world, we are never far away. Be Ready. Be Resilient. Foresee. 4C Group Interim Report Q3 2025