Enad Global 7 FY2025 Annual Report

Enad Global 7 AB (publ)
Org.no 556923 -2837
Annual Report
January – D ecember 202 5

This is a translation of the Swedish original annual report.

ENAD GLOBAL 7 AB (PUBL) 2 Annual Report and Sustainability Report – 202 5

TABLE OF CONTENT
2025 IN BRIEF ………………………….. ………………………….. ………………………….. ………………………….. ………………. 3
EG7 IN SHORT ………………………….. ………………………….. ………………………….. ………………………….. ……………… 4
OUR SEGMENTS ………………………….. ………………………….. ………………………….. ………………………….. ……………. 5
WORD FROM THE CEO ………………………….. ………………………….. ………………………….. ………………………….. …. 8
CORPORATE GOVERNANCE ………………………….. ………………………….. ………………………….. ………………………. 9
MANAGEMENT REPORT ………………………….. ………………………….. ………………………….. ………………………….. . 21
SUSTAINABILITY STATEMENT ………………………….. ………………………….. ………………………….. …………………….. 24
FINANCIAL OVERVIEW ………………………….. ………………………….. ………………………….. ………………………….. … 65
CONSOLIDATED INCOME STATEMENT ………………………….. ………………………….. ………………………….. ……… 66
CONSOLIDATED BALANCE SHEET ………………………….. ………………………….. ………………………….. ……………. 68
CONSOLIDATED CASH FLOW STATEMENT ………………………….. ………………………….. ………………………….. .. 71
NOTES ………………………….. ………………………….. ………………………….. ………………………….. ……………………….. 72
PARENT COMPANY’S INCOME STATEMENT ………………………….. ………………………….. ………………………… 102
PARENT COMPANY’S BALANCE SHEET ………………………….. ………………………….. ………………………….. …… 103
PARENT COMPANY’S CASH FLOW STATEMENT ………………………….. ………………………….. ………………….. 106
PARENT COMPANY’S NOTES ………………………….. ………………………….. ………………………….. …………………. 107
DEFINITIONS ………………………….. ………………………….. ………………………….. ………………………….. …………….. 116
AUDITORS REPORT ………………………….. ………………………….. ………………………….. ………………………….. …… 119

ENAD GLOBAL 7 AB (PUBL) 3 Annual Report and Sustainability Report – 202 5
202 5 IN BRIEF
EG7 reported Net Revenue of SEK 1,626.3 (1,713.0)
million and Adjusted EBITDA of SEK 254.0 (325.5)
million for the year. 2025 was a year characterized by
strategic consolidation, continued investments, and
structural measures to position EG7 for long -term
value creation. The Group delivered stable cash flows
from its established live game portfolio, while
investments with significant potential continued to
progress – including Palia, digital publishing within
Fireshine, and the Cold Iron project.

Game releases and content
During the year, EG7 continued to deliver new
features, expansions, and ongoing content updates
across its live game portfolio. The life simulation game
Palia – which has become one of the Group’s most
popular titles since its launch in May – has been a
successful investment. Following content updates
such as Animal Husbandry, the game has surpassed
nine million registered players and has become
Daybreak’s larg est revenue contributor within live
games. Additional content updates are planned for
2026 to furt her support Palia’s growth.

Across other live titles, new expansions and DLCs were
released throughout the year, supporting a stable
base of more predictable revenues. Fireshine also
continued to expand its digital publishing operations,
increasing its exposure to a more profitable a nd stable
segment alongside physical publishing.

At the same time, one of the Group’s major game
investments in recent years, the Cold Iron project, was
postponed. During the year, important milestones
were achieved and additional funding was provided to
ensure a high -quality product. The game is now
pla nned for release in Q3 2026 and is expected to be a
significant contributor to the Group’s performance
from 2026 onwards.

Opportunities for acquisitions and investments
In February 2025, EG7 successfully issued SEK 350
million of senior unsecured bonds. Through the bond
issuance, the Company has strengthened its financial
flexibility to continue investing in game development
while also pursuing potential acquisition
oppor tunities. With an active but selective approach
to M&A and transformative investments, EG7 is well
positioned to accelerate long -term growth and value
creation.

Efficiency and cost -saving measures
2025 was a year in which the gaming market began to
stabilize following a period of industry -wide
turbulence. During the year, EG7 implemented
efficiency and cost -saving measures across several
business units, including Piranha and Petrol. Toadman
was woun d down during the year, which is expected
to result in annual cost savings of approximately SEK
46.5 million.

Following the completion of these optimization
initiatives, EG7 is now well positioned to fully focus on
its long -term strategic growth.

ENAD GLOBAL 7 AB (PUBL) 4 Annual Report and Sustainability Report – 202 5
EG7 IN SHORT

EG7 is active in the gaming industry, specializing in
develop ing , and publishing games for PC, console, and
mobile on the global gaming market. Distinguished by
its proven franchise -driven strategy, the company
boasts a portfolio featuring internationally acclaimed
first – and third -party game titles. Its overarching vision
is to solidify its position as a top -tier player in the
mid dle market segment of the video game industry.

The Group is operated decentralised , where the
parent company is engaged in acquiring and
administrating companies in the gaming sector,
including but not limited to group strategy, financing,
resource allocation and group management. The
parent company serves as an active owner and works
closely with business units in a support ive and
strategic role . EG7 secures the group ’s financial
structure with external financing and makes strategic
decisions about allocation of liquid funds to different
internal and e xternal development projects. Despite
being a decentralised organization , business units can
leverage the Group ’s affiliation, depth of experience,
industry expertise and capital allocation for
strengthened long -term growth.

The group presently manages a portfolio of 10 live
games, encompassing both renowned first -party
intellectual properties (IPs) and globally recognized
third -party IPs. New growth initiatives targeting
midmarket publishing of established franchise titles
are expected to drive growth over the coming years.

The Group’s marketing business has played a pivotal
role in the release of over 2,000 titles, including
numerous globally renowned brands like Call of Duty,
Doom, Diablo, and Elden Ring. With expertise in both
physical and digital publishing and a strong history of
successful releases, EG7 has established a proven
track record across its operations .

ENAD GLOBAL 7 AB (PUBL) 5 Annual Report and Sustainability Report – 202 5
OUR SEGMENTS

Big Blue Bubble
Game developer / publisher

Headquarter London, Canada
Employees 75
Founded in 2004
Net Revenue
2025
23 7 MSEK
• Big Blue Bubble is an established mobile and video game
developer with over two decades of experience in creating fun,
innovative and accessible titles
• The company has a long history of developing games across a
wide range of platforms that inspire creativity and encourage
players of all ages to embrace their playful side
• Best known as the home of the nearly 14 -year -old My Singing
Monsters franchise, a game that reached top 10 in more than
100 countries in the App Store games category and ranked
number one in more than 15 countries, 10 years after its launch
• During 2022 and 2023, strong performance was primarily driven
by the viral success of My Singing Monsters (MSM), which
gained significant traction towards the end of 2022
• In 2024, MSM stabilized at a level significantly higher than prior
to the peak, while maintaining strong profitability
• During 2025, new player acquisition declined, which led to the
implementation of a new and successful influencer strategy
towards the end of the year, resulting in a renewed increase in
player activity

66 61 55 55
33
25 25 25
50%
41% 45% 45%
0%
10%
20%
30%
40%
50%
60%
70%
0
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60
70
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90
Q1′ 25 Q2′ 25 Q3′ 25 Q4′ 25
Financial development 2025
Net Revenue Adj. EBITDA Adj. EBITDA margin

ENAD GLOBAL 7 AB (PUBL) 6 Annual Report and Sustainability Report – 202 5

Daybreak
Live game operator / publisher

Headquarter San Diego, USA
Employees 309
Founded in 1997
Net Revenue
2025
75 5 MSEK
• Daybreak Games was acquired by EG7 in 2020 and is a game
developer and publisher offering a portfolio of live service
games, including multiplayer role -playing games, first -person
shooters and strategy games
• Daybreak has a strong focus on growing and managing its player
base and has a long track record of successfully operating long –
lived live service games with large player communities
• The portfolio includes EverQuest I and II , DC Universe Online ,
PlanetSide 1 and 2 , The Lord of the Rings Online , Magic: The
Gathering Online , Dungeons & Dragons Online and Palia
• In 2024, Daybreak acquired Singularity 6, the developer behind
the community -driven life simulation game Palia
• Palia was launched in May 2025 and has rapidly grown to
become Daybreak’s largest revenue contributor, with more than
nine million registered players and a strong pipeline of
upcoming content updates expected to drive continued growth
• The title developed in collaboration with Cold Iron is expected to
launch in Q3 2026 and is anticipated to be a significant revenue
contributor

Piranha Games
Game developer / publisher

Headquarter Vancouver , Canada
Employees 59
Founded in 2000
Net Revenue
2025
106 MSEK
• Piranha Games was founded in 2000 and has contributed to
several established FPS action games, including AAA titles such
as Need for Speed: Undercover and Duke Nukem Forever
• Best known as the home of the MechWarrior IP over the past
decade, delivering high -quality action games, with the most
recent release being MechWarrior 5: Clans in 2024
• The Piranha team delivered a high -quality title in Clans that
exceeded expectations in terms of quality, narrative and
gameplay, but did not meet commercial expectations, which
resulted in an impairment in 2025
• During the year, Piranha released its second DLC for
MechWarrior 5: Clans and the seventh DLC for MechWarrior 5:
Mercenaries , where the latter became the best -selling DLC for
the title in the first 30 days since launch in 2019
• At the beginning of 2025, a business optimization program was
initiated to ensure a sustainable cost base following the
underperformance of Clans

190 190 180 195
30
2
35 33
16%
1%
19% 17%
-30%-20%-10%0%10%20%30%40%50%60%70%
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250
Q1′ 25 Q2′ 25 Q3′ 25 Q4′ 25
Financial development 2025
Net Revenue Adj. EBITDA Adj. EBITDA margin
19 23 30 34
3
13 10 11 16%
57%
33% 32%
-10%0%10%20%30%40%50%60%70%80%
0
10
20
30
40
50
60
Q1′ 25 Q2′ 25 Q3′ 25 Q4′ 25
Financial development 2025
Net Revenue Adj. EBITDA Adj. EBITDA margin

ENAD GLOBAL 7 AB (PUBL) 7 Annual Report and Sustainability Report – 202 5

Fireshine Games
Distribution / publisher

Headquarter London , UK
Employees 38
Founded in 2009
Net Revenue
2025
403 MSEK
• Fireshine Games is a global video game publisher based in
London, United Kingdom. The company has evolved from
primarily a physical distributor to a more digital -focused
publisher, a segment with higher margins
• Over the past five years, Fireshine has expanded its digital
portfolio and now has a more diversified mix of digital titles
• The physical segment remains stable while transitioning towards
digital, with the company working closely with partners such as
Rebellion, Neowiz, Frontier Developments and Playstack
• Fireshine joined EG7 in 2019 and has established a broad
network of publishing partnerships alongside long -standing
relationships with platforms such as Sony, Microsoft and
Nintendo
• During 2025, Fireshine released 7 physical titles and 6 digital
titles, including A.I.L.A. , Len’s Island and Tales of Seikyu
• For 2026, Fireshine plans to release approximately 10 titles,
evenly split between physical and digital, including the indie title
Far Far West , which reached over 400,000 players during its
playtest

Petrol Advertising
Marketing / Advertising
Headquarter Los Angeles , USA
Employees 62
Founded in 2003
Net Revenue
2025
123 MSEK
• Petrol was founded in 2003 and is known for creating iconic
visuals, trailers, content and marketing strategies for the global
entertainment industry, with a strong focus on gaming
• The company is one of the industry’s leading marketing
agencies, delivering campaigns across AAA, AA and independent
titles across all gaming verticals
• Petrol has faced significant challenges as a result of the ongoing
industry -wide turbulence
• As a response, Petrol implemented a strategic restructuring
during the first quarter of 2025 to better align with the current
market environment, where many clients have reduced
marketing spending
• As a result of the challenging market conditions, 2025 has been
a transformative year for Petrol, during which the company
successfully expanded beyond the gaming industry through
strategic partnerships with companies such as Western Digital
and Honda of A merica

145
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126
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160
Q1′ 25 Q2′ 25 Q3′ 25 Q4′ 25
Financial development 2025
Net Revenue Adj. EBITDA Adj. EBITDA margin
36
30 30 27
2 1 2
-4
6% 3% 7%
-15%
-50%
-30%
-10%
10%
30%
50%
70%
-10
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30
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Q1′ 25 Q2′ 25 Q3′ 25 Q4′ 25
Financial development 2025
Net Revenue Adj. EBITDA Adj. EBITDA margin

ENAD GLOBAL 7 AB (PUBL) 8 Annual Report and Sustainability Report – 202 5
W ORD FROM THE CEO
Ji Ham, CEO, Enad Global 7 AB (PUBL)

Positioning for the next phase
2025 was a year characterized by relatively stable
performance in the core business, while we continued to
develop our portfolio through investments in long -term
growth initiatives. We also implemented important
measures to strengthen the Group’s financial position and
enhance the transparency of the underlying value in the
business.

During the year, EG7 reported Net Revenue of SEK 1,626.3
million (1,713.0), corresponding to a decline of 5.1 percent
compared to the previous year. Negative currency effects of
SEK 116.9 million impacted Net Revenue, together with the
postponement of the release of Cold Iron’s upcoming title, a
decline in player activity in My Singing Monsters , and an IP –
related infringement affecting EverQuest .

During the year, impairments of approximately SEK 2.3
billion were recognized. The majority is related to a
strategic operational decision to reallocate certain potential
future investments outside the entity associated with the
largest goodwill balance. T his change is expected to result in
significantly lower development costs for both new projects
and staffing within existing projects. This portion of the
impairment has no connection to the performance
expectations of ongoing investments and projects with in
the Group and is expected to reduce annual amortization by
approximately SEK 120 million, thereby improving Net Profit
by a corresponding amount from 2026 onwards.

Cost -saving measures and business optimization initiatives
were also implemented during the year. These resulted in
cost reductions within both Petrol and Piranha, while
Toadman was wound down, contributing to significant cost
savings during the year and g oing forward.

Operational progress in key investments
Over the past three years, we have invested more than SEK
600 million in three prioritized assets: Palia, Cold Iron, and
Fireshine’s digital pipeline. Several of these initiatives
demonstrated clear progress during 2025.

Palia delivered 70 percent Net Revenue growth in the
second half of 2025 compared to the previous year and
established itself as the largest revenue contributor within
Daybreak’s live game portfolio. With a continued strong
content roadmap and a growing pl ayer base, we see good
potential to further strengthen the game’s contribution in
the coming years.

Cold Iron’s upcoming AA title was postponed to 2026 to
ensure a high -quality product. Our investment is structured
so that invested capital is recouped before profit sharing,
providing an attractive risk and return profile ahead of the
planned release in t he third quarter of 2026.

Fireshine continued its strategic transformation towards
digital publishing. Digital revenues exceeded GBP 10 million
during the year and have grown consistently over the past
five years.

The negative trend in the player base of My Singing
Monsters observed during most of the year was reversed
towards the end of 2025 through a strategic shift. In
December, we launched a strategic influencer partnership
that contributed to increased player engagement and
higher revenues during the final month of the year. This
success forms the basis for continued efforts during 2026.

Strategic review and future direction
In early 2026, the Board of Directors initiated a strategic
review aimed at clarifying value creation within the Group’s
assets and ensuring optimal capital allocation going
forward. In connection with this, the financial targets
communicated in 2023 were withdrawn.

We view 2026 as a potential inflection year for the Group.
Several of our key investments are approaching important
milestones, and during the year we will gather the data
points required to define a new long -term plan. The
outcome of the review will be pr esented at an upcoming
Capital Markets Day.

2025 was not a year defined by growth metrics, but by
structure, discipline and positioning. We have strengthened
the balance sheet, clarified our priorities, and created
improved conditions to capitalize on the investments made
over recent years.

We enter the next phase with a stable cash flow base, a
more efficient cost structure, and several initiatives that
have the potential to significantly impact the Group’s future
performance.

ENAD GLOBAL 7 AB (PUBL) 9 Annual Report and Sustainability Report – 202 5

C ORPORATE GOVERNANCE
Background
Enad Global 7 AB (publ) is a public limited liability
company, with corporate registration number 556923 –
2837 and with its registered office in Stockholm.
Shares in Enad Global 7 AB (publ) are traded on
Nasdaq Stockholm under the ticker symbol EG7.

Corporate Governance
The Board of Directors is appointed by the nomination
committee and elected at the company’s annual
general meeting. The Chairman of the Board leads the
work of the Board and initiates the company’s annual
general meeting. Enad Global 7 AB (publ) is a publ ic
company governed by Swedish law. The Company is
listed on Nasdaq Stockholm stock exchange which is a
regulated marketplace and therefore need s to follow
the Swedish Code of Corporate Governance. The
Board of Directors reserves the right to deviate from
these guidelines in individual cases, should such
deviation be deemed beneficial to safeguard the
Company’s long -term interests or ensure its financial
viability. The Board has opted not to implement a
formal diversity policy, as all decisions regarding
employment, promotion, and remuneration within the
Group are strictly based on individual quali fications,
merit, and performance.

General shareholder meeting
Pursuant to the Swedish Companies Act, the general
meeting is the Company’s highest decision -making
body. At the general meeting, the shareholders
exercise their voting rights on key issues, such as the
adoption of income statements and balance sheets,
app ropriation of the company’s profit, discharge from
liability of board members and the CEO, election of
board members and auditors and remuneration of the
board and auditors.

In addition to the annual general meeting (AGM),
extraordinary general shareholder meetings (EGM)
may be held . In accordance Enad Global 7 AB ’s articles
of association, convening notices for the annual
general meeting and extraordinary general
shareholder meetings are made by announcement in
the Swedish Official Gazette and by making the
convening notice available on the Enad Global 7 AB
website. An announcement that notice has been given
is published in Dagens Industri.

Right to attend general shareholder meetings
All shareholders who are directly registered in the
share register maintained by Euroclear Sweden AB five
weekdays before the general meeting and have
notified the company of their intention to participate
(with any advisors) in the general meeting no late r
than the date stated in the notice convening the
general meeting have the right to attend the general
meeting and vote for the number of shares they hold.
Shareholders may attend the general shareholder
meeting in person or by proxy and may also be
accom panied by a maximum of two advisors.
Shareholders can normally register for the general
shareholder meeting in several different ways stated
in the convening notice for the meeting.

Shareholder initiatives
Shareholders who wish to have a matter addressed at
the general shareholder meeting must submit a
written request to the Board of Directors.

Governance model

ENAD GLOBAL 7 AB (PUBL) 10 Annual Report and Sustainability Report – 202 5

Articles of Association Enad Global 7 AB (publ)

1 Company Name : The name of the company is Enad
Global 7 AB (publ).
2 Registered Office : The Board of Directors shall have
its registered office in the municipality of Stockholm,
county of Sweden.
3 Object of the Company : The company shall mainly
carry out manufacturing, marketing and sales, within
and outside of Sweden, of digital and analogue games
and to conduct activities related to the
aforementioned. The company shall also carry out
trading in real estate and chattels and to conduct
activities related to the aforementioned.
4 Share Capital : The share capital shall be no less than
SEK 3,470,000 and no more than SEK 13,880,000.
5 Number of Shares : The number of shares shall be no
less than 86,700,000 and no more than 346,800,000.
6 Board of Directors : The Board of Director s shall
consist of a minimum of three and a maximum of nine
directors and a minimum of zero and a maximum of
three deputy directors.
7 Auditors : For the review of the company’s annual
report as well as and the management pursued by the
Board of Directors and the managing director, one or
two auditors, or one registered audit firm, shall be
appointed at the annual general meeting for a period
ending at the end of the next annual general meeting .
8 Convening of a General Meeting : Notice of general
meetings shall be made by announcement in the
Official Swedish Gazette and by posting the notice on
the company’s website. At the time of the notice, an
announcement with information that the notice has
been issued shall be published in Dagens Industri.
General meetings are held where the company has its
regi stered office.
9 Proxy collection and postal voting : The Board of
Directors may collect proxi es at the company´s
expense in compliance with the proced ure set out in
chapter 7 section 4 para graph 2 of the Swedish
Companies Act (2005:551) .
The Board of Directors may receive, ahead of a
general meeting of the shareholders , that the
shareholder s shall be entitled to exercise their voting
rights by post prior to the meeting.
10 Notification for General Meetings : A shareholder
that wishes to participate in a general meeting must
be recorded in a printout or other transcript of the
share register on the date as specified on the Swedish
Companies Act, and notify the company of his/her,
and any advisors (no more than two), intention to
attend the meeting no later than on the date stated in
the notice of the meeting. Such a date may not be a
Sunday, other public holiday, Saturday, Midsummer
Eve, Christmas Eve or New Year’s Eve and may not
occur earlier than the fifth we ekday prior to the
general meeting.
11 Opening of General Meetings : The chairman of the
Board or anyo ne appointed by the Board of Directors
open s the meeting and lead the meeting until the
chairman of the meeting has been appointed.
12 Matters of the Annual General Meeting : The
annual general meeting is held within six months after
the last financial year . At t he annual general meeting,
the following matters shall be considered:
1. E lection of chairman of the meeting.
2. P reparation and approval of the voting list.
3. A pproval of the agenda.
4. E lection of one or more persons to certify the
minutes.
5. E xamination of whether the meeting has been
properly convened.
6. P resentation of the annual report and the auditors’
report and the group annual report and the group
auditor´s report .
7. Resolutions regarding:
a) adoption of income statement and balance sheet
and the income statement and the group balance
sheet.
b) decision regarding the profit or loss of the company
in accordance with the adopted balance sheet,
c) discharge from liability of the Board of Directors and
the managing director.
8. Determination of the number of directors and
auditors.
9. Determination of fees to the Board of Directors and
to the auditors.
10 . Election of the Board of Directors and auditors.
11. A ny other matter to be dealt with by the meeting
according to the Swedish Companies Act (SFS
2005:551) or the articles of association.
At the Annual General Meeting, each person entitled
to vote may vote for the entire number of shares
owned and authorized by proxy, without limitation on
the number of votes .
13 Fiscal Year : The fiscal year of the company shall be
1 January – 31 December.
14 Record Day Provision : A shareholder or nominee
that is registered in the share register and a CSD
register on the record date, in accordance with Ch. 4
the Central Securities Depositories and Financial
Instruments Accounts Act (SFS 1998:1479), or
registered in a CSD account pur suant to Ch. 4 Sec. 18
first § item 6 -8 of the aforementioned act, is deemed
to have the right to exercise the rights stipulated in
Ch. 4 Sec. 39 the Swedish Companies Act (SFS
2005:551).

ENAD GLOBAL 7 AB (PUBL) 11 Annual Report and Sustainability Report – 202 5

Internal Control

The primary purpose of internal control for financial
reporting is to provide reasonable assurance that both
internal and external reporting is accurate and
reliable. Internal control shall also ensure that the
business is conducted in accordance with appl icable
laws and regulations and that it complies with the
rules for companies listed on Nasdaq Stockholm. The
Board of Directors is responsible for establishing an
effective system of internal control and leads the work
through the Audit Committee and the CFO. Group
management creates a culture for the organization
and influences employees’ understanding of the
control system. EG7’s internal control framework is
based on the principles of the COSO framework, as
established by the Committee for Sponsoring
Or ganizations of the Treadway Commission. This
framework consists of five parts: control environment,
risk assessment, control activities, information and
communication, and monitoring. EG7’s work with
these five components is described in the following
para graphs.

Control environment
To achieve a strong control environment, the
organizational structure must be ensured, decision –
making hierarchy and corporate values in terms of
ethics and integrity. Roles, responsibilities and
expectations of employees within EG7 are clearly
defined a nd conveyed through guidelines such as
internal policies, manuals and the Group’s code of
conduct.

Risk assessment
The organization’s management must identify and
assess risks that may affect the organization’s ability
to achieve its objectives. Risk assessment means
anticipating possible problems or threats that may
arise, such as financial, operational or regulatory risks.
See further description of how EG7 works with risks in
the section on Risk management on page 12 -13 .

Control measures
This part c onsists of specific measures and processes
that are implemented to manage identified risks and
ensure that the business complies with internal rules
and external laws. In order to meet the requirements
for financial reporting, EG7 has established an intern al
control framework (Minimum Internal Control
Requirements) that applies to all subsidiaries within
the group. EG7 includes control measures in the
framework’s routines such as approval of transactions,
segregation of duties, and follow -up of results.

Information and Communication
Effective communication and information
management are essential for internal controls to be
effective and for the entire organization to function
optimally. EG7 uses internal policies and guidelines to
ensure that everyone in the organization is aware of
their responsibilities and what is expected of them. In
addition, management meetings are held on a
monthly basis where the respective CEOs and CFOs of
EG7’s business units participate and create a forum for
information flows within the group.

Monitoring
EG7 continuously monitors and evaluates the
effectiveness of the implemented controls in the
internal control framework. Evaluation is carried out
through both self -assessments at subsidiaries in
combination with independent reviews. Regular
controls and a udits ensure that the control systems
are functioning as they should and that necessary
measures are taken if something is not working.
Reporting of the Group’s work and internal control to
the Board is carried out via the Audit Committee on an
annual basi s and as needed.

ENAD GLOBAL 7 AB (PUBL) 12 Annual Report and Sustainability Report – 202 5

Risk and Risk Management

Risk Management
Changes in the operating environment as well as the
Group’s own activities can affect the Group’s result,
financial position and cashflow. Risk management
aims to clarify and analyse the risks that EG7 faces,
and to a certain extent, prevent and limit any negative
effects. The Board of Directors has the overall
responsibility for the Group’s risk management, where
the Audit Committee is responsible for the
performance of an annual evaluation. EG7’s risk
management process includes identifying, evaluating,
prioritizing and preventing risks within the business, at
both group level and per operational unit. Risk
management is integrated to all business processes
and is managed through implemented internal
control. Identified risks assessed to have the greatest
effect on the Group’s financial position in terms of
possible impact, probability and consequence are
prioritized.

Risks
Some of the Group’s risks are presented below. The
risks are not arranged by order of importance or
potential financial impact. The risks below do not
represent all risks and are not exhaustive as other risks
not currently known to the company may also aff ect
the Group’s future profit, financial position and
operations.

Risks related to the Group’s business and
industry
Development in the game industry is largely driven by
demands and requirements from end customers,
game developers, and publishers. The Group must
constantly offer new products and services in order to
be competitive. There is a risk that investments may
generate less revenue than expected, if the Group fails
to develop new games or update existing games
according to customer preferences. If EG7 is not
successful in the current and future offer, there is also
a risk that the Group’s reputation amongst custo mers
is damaged, which may lead to difficulties with
retention of existing customers as well as attracting
new customers.

The Group acts on a highly competitive market and
there is a risk that competitors are faster and more
successful in the development of new games, services
and technology. The Group may fail to select products
to develop or technologies to use, which may l ead to a
deteriorating market position.

Financial risk
The Group is exposed to various financial risks such as
credit risk, market risk and liquidity risk.

For the Group, credit risk is mainly in accounts
receivable and contractual assets and EG7’s goal is to
have a continuous follow -up of this credit risk. The
historical credit losses amount to an insignificant
amount in relation to the Group’s sales. The market
risks that affect the Group mainly consist of currency
risks . The Group also has interest rate risk related to
outstanding bonds . Liquidity risk is the risk that a
company will have difficulty fulfilling obligations that
are related to financial liabilities that are settled with
cash or other financial assets. The risk is mitigated by
the Group’s liquidity reserves consisting of cash and
credit facilit ies , which are immediately available. For a
more detailed description of the Group’s financial
risks , see Note 2 1.

Risk related to employees
EG7 is dependent on employee’s knowledge and
expertise, as well as the ability to recruit and retain
key personnel in the future. Should a key employee
resign , there is a risk that the Group may not be able
to recruit or replace the employee with the desired
competence or within a reasonable time. There is a
continued high demand of competence within the
occupational categories that EG7 is dependent of, and
difficulties to recruit new and retain current
employees may lead to delays i n projects and
increased cost for development.

Risk related to IT & new technology
EG7 relies on efficient and uninterrupted operations
of different IT systems to run the various operational
activities. A significant collapse or other disturbance in
the IT systems would affect the ability to conduct
operations with regards to product dev elopment,
carry our efficient sales or invoicing and delivery of
product and services to customers. The Group is also
exposed to risks related to hacking, viruses, sabotage
and other cybercrime. Further, the Group could be
held liable of damage and thus re sult in increased cost
and damaged reputation.

The industry in which the Group operates in is
characterized by a widespread of new technology,
new hardware and new types of game consoles. EG7
acts on highly competitive market and difficulties with
developing and adapting to new technology may lead
to a deteriorated market position.

ENAD GLOBAL 7 AB (PUBL) 13 Annual Report and Sustainability Report – 202 5

Compliance and regulatory risk
EG7 is operating in several different jurisdictions
across the world, many of which have their own
individual laws and regulations relating specifically to
the gaming businesses. The Company’s non –
compliance or deemed non -compliance with any of
these local laws and regulations could result in such
games needing to be withdrawn from such
jurisdictions, which could have a material adverse
effect on the Company’s revenue, as well as its
reputation and financial condition.

There is a risk that the EG7’s interpretation of tax
legislation and tax practices in each country where
they operate (including rules and requirements
relating to VAT and transfer pricing) are incorrect, or
that such rules or practices change, and the
con sequences may adversely affect the company’s
results.

As the Company handles personal data for customers,
incorrect handling or a data breach could lead to high
administrative penalties such as civil and/or criminal
law measures imposed by Data protection authorities.
Further, there is a risk that the Company may be
adversely affected by changes to the GDPR or
interpretation of the GDPR which may as well affect
the Company’s reputation in relation to publishers,
partners, and customers within the game industry.

Geopolitical risk
EG7 acts on a global market and is affected by general
economic development, industry trends and customer
preferences. There is a risk that the market that EG7
acts upon is affected by geopolitical events outside of
the Groups’ control, such as changes to monetary
policy, shifts in regulatory regime and other political
decisions. Geopolitical events may have a significant
effect on the Group ’s result, revenues and operational
activities.

Risk related to goodwill and intangible assets
Goodwill represents the largest share of the asset on
the Group’s balance sheet, as of 31st December 202 5
Goodwill amounts to SEK 911 .9 million . Goodwill is
recognized as an intangible asset and is subject to
impairment review, at least annually or upon the
occurrence of events that indicates an impairment of
the assets in question. EG7 continuously evaluates the
value of other intangible assets, such as capitalized
work for games and licenses, which requires several
estimates and assessments. Indications o f an incorrect
valuation, changes in estimates or other factors that
would affect the current value may lead to significant
impairments of the Groups’ intangible assets.

ENAD GLOBAL 7 AB (PUBL) 14 Annual Report and Sustainability Report – 202 5

Board of Directors

The Board’s overall task is to manage the Company’s
affairs in the interests of the Company and all its
shareholders and to ensure and promote a good
company culture, and the Board shall ensure that the
organisation of the Company is structured so that the
accounting, management of funds and the Company’s
overall financial situation is controlled in a satisfactory
way. In addition to establishing the overall goals and
strategy o f the Company. The board shall carry out its
work in accordance with applicable EU rules and
legislation, the Swedish Companies Act and other
Swedish legislation, the Company’s articles of
association, the rules of procedure for the Board and
other policie s, Nasdaq Nordic Main Market Rulebook
for Issuers of Shares, the Code as well as any other
applicable guidelines and directives. The Chair man of
the Board shall ensure that the work of the Board is
evaluated annually by a systematic and structured
process in accordance with the Code. The Board
appoints, and if necessary, dismisses the CEO, who is
responsible for day -to-day operations based on
guidelines and instructions prepared by the Board. The
CEO informs the Board regularly about significant
events, gro up progress , earnings, financial position
and liquidity. The Board shall supervise the
performance of the Company and ensure that the CEO
fulfils the imposed obligations.

Composition of the Board
According to the articles of association, the Board
should , to the extent elected by the General Meeting
consist of at least three and no more than nine
members. At the AGM 202 5, it was determined that
the number of members of the Company’s Board shall
be seven , including the Chair man of the Board. A t the
AGM 202 5, Jason Ep stein (Chair man ), Ben Braun,
Gunnar Lind, Marie -Louise Gefwert , Ron Moravek and
the Group CEO, Ji Ham , were re-elected , in add ition
Makus Andersson was newly elected to the Board and
Ebba Ljungerud declined re -election . November 26 ,
2025 , EG7 convened an Extra General Meeting . It was
decided that the number of members of the
Company’s Board shall consist of eight directors ,
without deputies . Jason Epstein, Ben Braun, Gunnar
Lind, Marie -Louise Gefwert , Markus Andersson and
the Group CEO, Ji Ham , were re-elected as directors .
Alexander Albedj and Jimy Eriksson were newly
elected as directors, whereas Alexander Albedj was
elected as Chairman of the Board and Jason Epstein as
deputy chairman. Ron Moravek declined re -election .
Apart from the CEO, none of the Board members are
employed by EG7 . The average age of the Board
members elected by the AGM 202 5 was 53 at year –
end of 202 5.
Independence of the board
According to the Code, the majority of the Board
members elected by the General Meeting must be
independent of the company and its executive
management and at least two of these must also be
independent of the company’s major shareholders. As
for EG7 ’s board members, all but the CEO and Jason
Epstein are independent to the Company and its
executive management, and all except for Alex ander
Albedj and Jimmy Eriksson are independent to major
shareholder s, fulfilling the independence
requirements of the Code .

The Board’s rules of procedure and written
instructions
Annually, at the inaugural Board meeting the Board
reviews and adopts the rules of procedure for the
Board, rules of procedure for the Audit &
Sustainability Co mmittee, Remuneration Committee
and Contract oversight Committee , instructions for
the CEO and the financial reporting.

The Chairman of the Board
The Chair man of the Board shall ensure that the work
of the Board is carried out efficiently and that the
Board fulfils its commitments . The Charman shall
direct and organis e the work of the Board to provide
and lead the Board meetings . The Chair man shall keep
himself/herself informed of the group’s operations
and development through regular contact with the
CEO. The Chair man must regularly confer with the CEO
on any strategic issues and represent the Company in
matters related to the ownership structure. The
Chair man may also participate, when necessary, in
more imp ortant external contacts as well as – in
consultation with the CEO – in particularly important
issues. The Chair man shall in cooperation with the
CEO ensure that well adapted information is
communicated to the Board.

Structure of the board work
As outlined in the rules of procedure for the Board,
the Board will hold an inaugural meeting immediately
after each AGM or, if so required, immediately after
an EGM, and never less than six ordinary meetings in a
year. The Board may convene additional meetings
when necessary or when requested by a Board
member or the CEO. The ordinary meetings address
established reporting and decision items. The CEO
provides ongoing information about EG7 ’s progress.
The Board makes decisions on general matters such as
str ategic, structural and organisational issues as well
as on large investments, acquisitions and divestments.
The Chair man is also actively involved in these issues
in between Board meetings. The Company’s auditor
attends at least one Board meeting per year and

ENAD GLOBAL 7 AB (PUBL) 15 Annual Report and Sustainability Report – 202 5

meets with the Board without the CEO or any other
member of the executive management present.

Work of the board in 202 5
In 202 5, 23 board meetings were held , and 12
additionally committee meetings . Focus was given
primarily to M&A – and investing activities, and interim
reports , outside of usual reporting and decision items.

The attendance of the Board members is indicated in
the following tabl e:

Position Name Age Gender Elected Committee Meetings
Chairman Jason Epstein ** 51 Male 2021 Remuneration 15 /23
Director Ben Braun 55 Male 2023 Audit & Sustainability, Contract oversight 33 /35
Director Ebba Ljungerud * 52 Female 2024 Contract oversight 15 /16
Director Gunnar Lind 67 Male 2019 Remuneration , Contract oversight 30/31
Director Ji Ham ** 49 Male 2023 14/23
Director Marie -Louise Gefwert 72 Female 2017 Audit & Sustainability , Contract oversight 34/35
Director Ron Moravek * 60 Male 2023 Contract oversight 27/27
Director Markus Andersson* 55 Male 2025 Contract oversight 15/15
Chairman Alexander Albedj* 36 Male 2025 2/3
Director Jimmy Eriksson* 39 Male 2025 3/3
*Ebba Ljungerud did not stand for re -election and Markus Andersson was newly elected at the Annual General Meeting on 11 June. At the Extraordinary General Meeting on 26 November, Ron Moravek did not stand for re -election and Alexander Albedj was elected Ch airman of the Board and Jimmy Eriksson was elected as a Board member. Jason Epstein served as Chairman until the Extraordinary General Meet ing. **Jason Epstein and Ji Ham have been disqualified from participating in a number of meetings concerning matters related to rela ted -party transactions. This explains the relatively low attendance for these two members.

Chairman of the Board, Alexander Albedj
Born in 19 89 , is Chairman and a director of the Board of the Company since 202 5 and
holds 12,209,865 shares of the Company via Eros Capital Partners AB, equivalent to
13 .78 percent of all shares and votes as of December 21, 2025.
Education : Masters of Science in Economics from Stockholm School of Economics.
Experience : Has a financial background with experience from investment activities
and growth companies. Has held senior roles with a focus on acquisitions, capital
allocation, strategic development and active ownership, and has board experience
from listed and private companies, including as Chairman of ZignSec AB and Opigo AB.
Current assignments : Founder and Head of M&A at Safe Life AB, Chairman of the
Board at Aloaded AB, Eros Capital Partners AB and Arte Actus Capital AB,
Position of dependency : Dependent in relation to major shareholders, independent
in relation to the company and management .

Deputy C hairman of the Board , Jason Epstein
Born in 1973, is Chairman and a director of the Board of the Company since 2021 and
holds 8,832 ,320 shares of the Company equivalent to 9. 97 percent of all shares and
votes as of December 31 , 2025.
Education : Bachelor of Science in Economics from Tufts University, Massachusetts, US
Experience : Seasoned private equity investor and entrepreneur for the last 25 years .
Previous assignments include : Harmonix Music Systems LLC, Cold Iron Studios LLC ,
CIFC, 300 Entertainment LLC, MapAnything, Rhapsody International, GenePeeks and
Odyssey Online .
Current assignments : Chairman of the board of Moon Valley Nurseries and Beanstalk,
member of the board of Chloe’s Soft Serve Group Company LLC. Member of the board
of the non -profit organizations Tufts Trustee, Change Summer and The Shed.
Position of dependency : Ind ependent in relation to major shareholders, dependent in
relation to the company and management .

ENAD GLOBAL 7 AB (PUBL) 16 Annual Report and Sustainability Report – 202 5

Board member, Ben Br aun
Born in 19 70 , is a Director of the Board of the Company since 20 23 and holds 0 shares
in the Company as of December 31, 2025.
Education : MBA from Tuck School of Business at Dartmouth College, Hanover, US.
Experience : Background within finance and has held positions such as Managing
Director and Global Head of Media, Entertainment & Sports at Lazard, Managing
Partner at LionTree, Managing Director and Head of Media and Telecom M&A at Bank
of America Merrill Lynch, an