Interim report January - September 2026

THIRD QUARTER

• Revenues amounted to MSEK 456 (MSEK 395), an increase of 15% compared to the same period last year.
• Operating profit amounted to MSEK 142 (MSEK 112), an increase of 27%.
• Profit after financial items amounted to MSEK 146 (MSEK 116), and profit after tax amounted to MSEK 127 (MSEK 93).
• Cash flow from operating activities amounted to MSEK 197 (MSEK 195), and cash flow from investing activities amounted to MSEK -160 (MSEK -182).
• Earnings per share before dilution amounted to SEK 1.21 (SEK 0.88) and after dilution to SEK 1.21 (SEK 0.88).
• Revenues for the quarter are primarily attributable to Age of Wonders 4, Cities: Skylines, Cities: Skylines II, Crusader Kings III, Hearts of Iron IV, Stellaris, Transport Fever 3 and Victoria 3.

FIRST NINE MONTHS

• Revenues amounted to MSEK 1,411 (MSEK 1,317), an increase of 7% compared to the same period last year.
• Operating profit amounted to MSEK 425 (MSEK 391), an increase of 9%.
• Profit after financial items amounted to MSEK 440 (MSEK 409), and profit after tax amounted to MSEK 362 (MSEK 327).
• Cash flow from operating activities amounted to MSEK 610 (MSEK 723), and cash flow from investing activities amounted to MSEK -450 (MSEK -607).
• Earnings per share before dilution amounted to SEK 3.43 (SEK 3.09) and after dilution to SEK 3.43 (SEK 3.09).

SIGNIFICANT EVENTS THIRD QUARTER

• The new game Transport Fever 3, developed by Urban Games, was released for PC and consoles.
• New downloadable content was released for games during the period: Feeding the Future to Surviving Mars: Relaunched and By God Alone to Crusader Kings III.
• Steam Summer Sale was held during the period, offering discounts across a large part of the game catalogue.
• During the quarter, 1,221,425 own shares were repurchased for a total amount of MSEK 178 as part of the company's share repurchase program.
• The new games Afterworld, developed by Paradox Development Studio, and LEGO® Skylines, developed by Iceflake Studios, were announced.
• Paradox Interactive sold its subsidiary Playrion to Trophy Games. The sale resulted in a gain of MSEK 40, which was recognised in other operating income as part of operating profit.

COMMENTS BY THE CEO

The third quarter was marked by few releases that came late in the period. This means that it was above all sales from our wider catalogue that carried the quarter. That is how our third quarters often look. What matters is that we build games over time that players want to return to and that keep selling for many years. On that note, we announced two new games during the quarter and released one.

At Gamescom we carried out our largest marketing effort to date. We announced the grand strategy game Afterworld and the city builder LEGO® Skylines, and we opened the preorder campaign for Transport Fever 3.

PRESENTATION OF REPORT

Today, 29 October at 12:00 CET, Fredrik Wester, CEO, and Alexander Bricca, CFO, will host a livestream on Paradox's YouTube channel to present the interim report and answer questions related to the report and the company's financial performance, https://www.youtube.com/paradoxinteractive.

Questions may be submitted in advance by e-mailing them to ir@paradoxinteractive.com. It will be possible to e-mail questions during the presentation.

A recording of the presentation will be available afterwards on Paradox's YouTube channel.