October-December 2025

• Net sales increased by 2% to SEK 147m (144), the organic growth amounted to 18% during the quarter
• Operating profit amounted to SEK 47m (62), operating profit adjusted for items affecting comparability* amounted to SEK 51m (62)
• Operating margin decreased to 31.8% (42.9), operating margin adjusted for items affecting comparability* was 34.9% (42.9)
• Cash flow from operating activities amounted to SEK 52m (87)
• Earnings per share, diluted, amounted to SEK 1.33 (1.99)
• During December Mips completed the acquisition of all shares in Koroyd SARL and SCP George TFE (together “Koroyd”) with an annual sales of approximately SEK 120m

January-December 2025

• Net sales increased by 10% to SEK 533m (483), the organic growth amounted to 21%
• Operating profit amounted to SEK 156m (174), operating profit adjusted for items affecting comparability* was SEK 160m (174)
• Operating margin decreased to 29.2% (36.1), operating margin adjusted for items affecting comparability* was 30.1% (36.1)
• Cash flow from operating activities amounted to SEK 148m (142)
• Earnings per share, diluted, amounted to SEK 4.53 (5.32)
• The Board of Directors proposes a dividend of SEK 2.50 (6.50) per share, corresponding to 55% of net earnings during the year

A good end to a challenging year
We delivered a strong fourth quarter, with 18 percent organic growth, with continued healthy progress in all our categories. In addition, we completed the acquisition of the companies behind the strong Koroyd brand, which opens the door to new strategic long-term opportunities for us.

Momentum in Europe has remained strong. We continue to win market share in the European market, as European helmet brands are equipping more and more helmet models with Mips’ safety system.

The full-year performance has followed the same positive trend with an organic growth of 21 percent. This was driven by strong growth in Europe, particularly in the bike and snow sub-categories. It is encouraging to see that the Mips safety system now has become such a central part of many helmet brands’ overall safety efforts also in Europe.

Sales to our customers in the US have been volatile and we have seen an impact of the US tariffs during the year. Our customers have periodically been hesitant to place orders as they have been unsure about whether the tariffs communicated would be permanent or only temporary. This behavior has been consistent across many industries especially in the sport & outdoor sector. The lower levels of purchases in both retail and from brands have meant that inventory levels of, for example, bikes are now at their lowest in a decade, apart from the pandemic years of 2020 and 2021. We also see a similar situation with reduced purchases and lower inventory levels of helmets. It is therefore particularly pleasing that, despite this, we have delivered growth in the US market for the full year thanks to market share gains with more helmet models equipped with Mips’ safety systems.

Operating profit decreased in the quarter compared to the prior year, which is entirely due to legal costs, the negative currency effects, and acquisition costs for the Koroyd acquisition. Legal costs amounted to SEK 7m this quarter. These are due to a patent-related dispute in which one of Mips’ customers in the US is a party. As previously communicated, Mips is not a party to the lawsuit, but since the lawsuit concerns areas where Mips has intellectual property rights that are an important cornerstone of our strong brand, Mips has chosen to get involved. We will continue to support our customer in their defense in 2026, similar to how we have acted in 2025, to best serve our customers' interests, as well as our own. Mips’ own intellectual property rights are not part of this lawsuit.

Underlying performance remains solid
The strong Swedish krona has had a major negative impact on earnings during the year, compared with the prior year, which was also evident in the fourth quarter. If you exclude legal costs, negative effect of exchange rate fluctuations and transaction costs, the underlying performance with an improved gross margin was solid. Operating profit amounted to SEK 47m (62) this quarter and operating cash flow decreased to SEK 52m (87). Looking at the entire year, the operating profit amounted to SEK 156m (174), and the operating margin was 29 percent (36). Excluding legal costs and exchange rate effects, the underlying performance was solid. The operating cash flow for the year was SEK 148m (142).

The Board of Directors proposes a dividend of SEK 2.50 (6.50) per share for 2025, corresponding to 55 percent of net earnings for the year and well in line with our long-term target.

Koroyd - exciting complementary acquisition
In December, we acquired all the shares of Koroyd. The company offers solutions for improved impact absorption in various types of protective products and had a turnover of approximately SEK 120m in the last financial year.

Koroyd’s main business is currently in helmets, but has recently also launched products in related categories such as body protection, protective gloves and footwear. Koroyd shares many similarities with Mips, particularly in terms of its business model, organization and culture and, like Mips, has historically invested heavily in research and development to ensure that it is at the forefront of its business areas. We are confident that Koroyd and the 30 new colleagues we are welcoming to the Group will contribute to a continued increase in both net sales and profits for the Group.

Mikaela Shiffrin joins us as a Mips ambassador
We are continuing our proactive long-term marketing efforts centered on working with our customers and ambassadors to raise awareness of helmet safety and what Mips’ solutions entail. The common denominator shared by the individuals in our team of athletes, "Team Mips", is that they are all leaders in their respective sports and that they share Mips’ commitment to and passion for safety. We are delighted to welcome the most successful Alpine skier in history, Mikaela Shiffrin, as a Mips ambassador. Mikaela will be an important part of our continued efforts to raise global awareness of Mips.

Helmet category Sports - good performance with an increased presence in the European market
In the Sports category, we achieved organic growth of 17 percent in the quarter, for the full year we achieved 20 percent organic growth. The positive trend in the bike sub-category has continued during the quarter, which is our ninth consecutive quarter of growth in the important bike market. Growth is still being driven by the European market. It is also positive to see that we continue to perform well and increase our market share in the important US market, despite a challenging consumer market in this region.

Developments in the snow sub-category have been erratic during the year, and we are therefore pleased that we saw a good performance both in the last quarter and for the year as a whole. The European market has had a good start to the season, especially when it comes to the all-important Christmas sales, while the US market has had a slightly weaker season so far.

Helmet category Motorcycle - good end of the year
Organic sales in the Motorcycle category increased to 32 percent in the quarter. For the year as a whole, this category grew organically by 22 percent. During the year, the category has performed well despite the major impact of US tariffs, particularly in the second quarter. Looking ahead, we see great opportunities for continued positive developments in this category both through innovation and through a further rise in the awareness of Mips within this category.

Helmet category Safety - well positioned for ongoing growth
In the Safety category, we achieved a 41 percent increase in organic sales this quarter. For the year as a whole, this category grew organically by 42 percent. The US tariffs have undoubtedly been a significant negative factor during the year. Now that the tariff situation seems to have normalized, our assessment is that the share of customer’s helmet models that are equipped with Mips’ safety system will once again increase and that our solid growth rate in this category will continue going forward.

At the beginning of the quarter, we participated in A+A, the world's largest trade fair for occupational health and safety, with our Mips trailer, which is part of our new trade fair concept. This event is held every other year and attracts a large number of global participants. There was significant interest in Mips during the trade fair, from both industry players and end-users, confirming that we are on the right track in this category.

Exciting opportunities in 2026
2025 was the year when Mips truly established itself in the European market, a significant building block of our long-term growth strategy. During the year, we grew organically in Europe by more than 50 percent, and the European share of total Group sales was 43 percent.

Another important element of the long-term strategy where we have made significant progress during the year is the broadening of our product portfolio to better address several areas of helmet safety. In this regard we see the acquisition of Koroyd as an important step. The acquisition complements Mips’ current business and gives us access to interesting adjacent product areas.

Rapid growth in the Safety helmet category is a third strategic initiative where we have achieved success, despite the negative impact of the major tariff challenges during the year.

Further important strategic steps towards a more sustainable business have also been taken. I am particularly proud that we have reduced our emissions by 49 percent compared to the 2021 reference year, and that 34 percent of the material used in the products we sold in 2025 was recycled.

We continue to grow in all our categories, gaining market share and strengthening our market position. Our innovation pipeline is bigger than ever, and with the acquisition of Koroyd we have the opportunity to become even more relevant to our customers, as well as enter completely new areas for Mips. With this in mind, I look forward to what 2026 has to offer, even in these still uncertain times.

Stockholm, February 2026

Max Strandwitz
President and CEO