C-RAD's Interim Report Q3’26

Third quarter July-September

• Order intake decreased 29 percent to MSEK 76 (106), -31 percent at constant currencies. The decrease was primarily driven by weaker performance in EMEA.

• Revenue decreased 24 percent to MSEK 85 (112), -25 percent at constant currencies. The decrease was primarily driven by decreased product deliveries in EMEA and APAC.

• Gross margin was 76 (74) percent and was positively impacted during the quarter, primarily due to a high proportion of service revenue coupled with some proton deliveries.

• EBIT amounted to MSEK 10 (21), corresponding to a margin of 12 (19) percent.

• Earnings after tax amounted to MSEK 10 (13).

• Earnings per share amounted to SEK 0.31 (0.38).

• Cash flow from operating activities amounted to MSEK 9 (24). Payments related to restructuring items amounted to approximately MSEK 3.

CEO comment
The third quarter was challenging for us, with order intake and revenue both lower than the corresponding quarter last year. Order intake was MSEK 76 (106) and net revenue was MSEK 85 (112), a decrease of 29 and 24 percent respectively. Gross margin was 76 percent, and operating profit was MSEK 10, corresponding to a margin of 12 percent.

This development reflects a quarter characterised by restrained investment decisions on several markets, as well as variations in the timing of major contracts. At the same time, the gross margin shows that C-RAD continues to operate with healthy margins. Cost discipline and the restructuring measures implemented have helped to offset some of the impact of lower volumes. Nevertheless, we need to improve both order intake and revenue, but this does show how the business develops during a quarter with lower sales.

Revenue for Products for the quarter amounted to MSEK 55 (86), a decrease of 36 percent, while revenue from Services increased by 17 percent to MSEK 30 (26). Recurring revenues have accounted for 27 percent of revenue so far this year. With a global installed base of around 2,200 systems, C-RAD has an established presence in clinics worldwide. This base provides business opportunities within services, upgrades, software licenses and training, while keeping us close to our customers and their evolving clinical needs.

During the quarter, a customer in the United States cancelled a significant order due to the economic situation. Given our long delivery lead times, we therefore conducted a comprehensive review of the entire order backlog. This review resulted in a write-off of the order backlog of MSEK 93, corresponding to 13 percent. Consequently, the order backlog amounted to MSEK 610 at the end of the third quarter.

Regional differences in market development
Market development varied considerably between the regions during the quarter. EMEA, which has made a positive contribution for a relatively long period, experienced weaker development, with fewer procurements, postponed investment decisions and restrained budgets on several markets, not least Germany. Order intake for EMEA decreased by 40 percent to MSEK 29 (49), while revenue decreased by 23 percent to MSEK 38 (49). APAC also had a weak quarter, with order intake down by 34 percent to MSEK 27 (40) and revenues at MSEK 30 (44). This 33 percent decrease was mainly the result of development in China and India.

In the Americas region, order intake increased to MSEK 20 (17), up 20 percent compared with the third quarter of last year. This increase was driven mainly by Services, but the Product business also developed positively. This comparison should be viewed against the fact that order intake in the region was relatively weak during the corresponding quarter last year. Revenues in the region decreased to MSEK 18 (19), a fall of 6 percent.

Radiotherapy is a market where investments are often preceded by long sales cycles and extensive procurement processes. Individual decisions can have a significant impact on quarterly results. During the third quarter, we saw fewer contracts, with decisions postponed on several markets. This goes a long way towards explaining the development, but the outcome also shows that we need to improve our ability to turn customer interest and market opportunities into orders and deliveries

Product innovations and collaborations at ASTRO
At ASTRO in Boston, we had the opportunity to showcase several elements of C-RAD’s product development and demonstrate how our solutions can interact with other technologies in the clinical workflow. Automation, integration and interoperability are key areas within radiotherapy, where an increasing number of elements need to work together safely and efficiently.

Our new developments included our upgraded Catalyst⁺ HD and our automated patient identification solution, which we plan to launch in early 2027. This integrates patient identification into the digital treatment flow, reducing the need for manual processes. We also demonstrated our interoperability with Chinese company United Imaging for Sentinel, showing how our solutions can be integrated into different clinical and technical environments.

Our collaboration with SeeTreat is another example of integration between technologies. By combining C-RAD Catalyst⁺ HD with SeeTreats ART.1, patient positioning and real-time motion monitoring are integrated with decision support for adaptive radiotherapy. This collaboration illustrates how different solutions can complement each other in a more cohesive clinical workflow.

Financial strength and focus on execution
The weak results for order intake and revenue need to be viewed alongside C-RAD’s profitability, cash flow and financial position. Cash flow from operating activities was negatively affected in the main by decreased sales during the quarter and amounted to MSEK 9 (24), while net cash at the end of the period was MSEK 144.

A strong financial position is important for a business where the investment decisions of customers can vary between quarters and where sales processes are often long. A good cash position enables C-RAD to handle variations in order intake and cash flow, to fulfil commitments to customers, and to continue operating even during periods of lower sales. In a quarter with lower order intake and revenue, the financial position is an important part of the overall picture.

In summary, the third quarter was an unsatisfactory one. We need to see better development in order intake and revenue, while continuing to develop products that meet clinics’ needs and exploiting the installed base that has been built up over time. The results for the quarter, the development in Services and the product innovations demonstrated at ASTRO provide a comprehensive picture of both the challenges that C-RAD faces and the operational strengths on which we can build.

C-RAD is at the beginning of a three-year transformation plan. We are now just over six months into the journey we began in the spring, with a clear ambition to build a more customer-oriented, focused, scalable and innovation-driven C-RAD with a stronger position on the future radiotherapy market. The work is progressing entirely according to plan. Our focus for the rest of the year and into 2027 is clear: improved commercial conversion on our priority markets and an increased share of recurring revenues from our installed base. We will also continue to invest in product development and partnerships. We are building to succeed over time.

Uppsala October 22, 2026

Tomas Blomquist, CEO
C-RAD AB (publ)

Please find the full report at: Financial Reports | C-RAD

This document has been prepared in both a Swedish and English version. In the event of
any deviations, the Swedish version shall prevail.