Subgen AI Interim Report Q3 July-September 2026

Ramp up capabilities for new products according to plan but costs increase in the quarter due to the expenses related with the 39.2m convertible bonds contract signed by subsidiary Substrate AI.

July - September 2026

• Net Sales of SEK 56.7 (40.5) million, an increase of 40% compared to the corresponding period of the previous year.
• EBITDA amounted to SEK -27.4 (10.2) million or EUR -2.5 (0.9) million. EBITDA excluding non-recurring costs amounted to SEK -21.4 (13.2) million or EUR -2.0 (1.2) million.
• Software developments capitalized amounted to SEK 2.8 million or EUR 0.3 million.
• Operating loss amounted to SEK -59.4 (3.5) million or EUR -5.5 (0.3) million.
• Earnings per share amounted to SEK -0.038 and diluted earnings per share to SEK -0.037

January - September 2026

• Net Sales SEK 165.4 (147.3) million, an increase of 12% or EUR 15.2 (13.5) million compared to the corresponding period the previous year.
• EBITDA amounted to SEK -38.8 (44.1) million or EUR -3.6 (4.0) million. EBITDA excluding non-recurring costs amounted to SEK -26.5 (44.1) million or EUR -2.4 (4.0) million.
• Activation of new developments amounted to SEK 17.0 million or EUR 1.6 million.
• Operating loss amounted to SEK -85.4 (27.6) million or EUR -7.8 (2.5) million.
• Earnings per share amounted to SEK -0.057 and diluted earnings per share to SEK -0.056
• Cash and equivalents increased with SEK 40.7 million or EUR 3.7 million.

NOTE. The functional currency of the company is EUR while the Group is reporting in SEK. We have used exchange rate EUR/SEK 10.8971 for YTD 2026, following IAS 21.

Figures in brackets refer to the corresponding period of the previous year.

All 2025 Q3 and YTD figures are estimated, there was no Q3 Subgen group at that time in 2025.

Important events during the period

Substrate AI, Subgen AI’s Spanish subsidiary, has received approximately EUR 7.75 million so far of funding from private investors and SETT (Spanish Society of Technological Transformation). This agreement was communicated on June 30, 2026, and is set to support the business development of the Models and Platform segments for the coming years. The investors can subscribe for up to EUR 39.2 million in total under the contract.

The Subgen AI AB board has decided to expand the Management team with Fredrik Lundqvist as CFO.

In August 2026, the lock-up agreement entered into by certain external shareholders partially expired, as previously communicated to the market. The remaining portion of the lock-ups related to the Board of Directors and Management will expire in November 2027. No changes to the Company’s strategy or financial position have resulted from this event.

Subgen AI communicated the decision regarding two directed shares issues of a total of approximately SEK 12.7 million on September 1st.

During the quarter, the company recognized an impairment of capitalized development expenditures in the Health segment amounting to SEK 23.6 million, following revised forecasts for the product lines in question.

On July 30th AI European Infrastructure SOCIMI S.A. was established under the Subsidiary Substrate AI S.A. to enable the development of the infrastructure business.

Events after the end of the period

Substrate AI, Subgen AI’s listed Spanish subsidiary releases updated financial targets (15 October 2026, approved by Substrate AI’s board on 14 October) New target: more than EUR 100 million in revenue for the Substrate AI Group by 2030, from token sales, platform subscriptions and Services. In addition, the Group will change its business model by ending the resale of GPU capacity bought from third parties by the hour. It will instead sell tokens generated by its own Orion models running on its own hardware.

Substrate AI, Subgen AI’s Spanish subsidiary, received approximately EUR 3.95 million in additional funding from SETT and Private investors was communicated on October 7th. The total amount is approximately EUR 11.7 million.

The full report is attached as PDF and is available on the company’s website: https://subgen.ai/financial-reports/