Paradox Interactive FY2026 Q1 Earnings Release

*Please note that this is a translation for information purposes only –
in case of any discrepancies between this version and the Swedish,
the Swedish version shall prevail.

INTERIM REPORT
JANUARY – MARCH 202 6

INTERIM REPORT , JANUARY – MARCH 2026 2
INTERIM REPORT
JANUARY – MARCH 2026
FIRST QUARTER
• Revenues amounted to MSEK 431 .1 (MSEK 463.6),
a decrease of 7% compared to the same period
last year.
• Operating profit amounted to MSEK 100 .8 (MSEK
146 .6), a decrease of 31%.
• Profit after financial items amounted to MSEK
105.8 (MSEK 153.9 ), and profit after tax amounted
to MSEK 86.2 (MSEK 123.7 ).
• Cash flow from operating activities amounted to
MSEK 308.7 (MSEK 266.2 ), and cash flow from
investing activities amounted to MSEK -122.4
(MSEK -217.3 ).
• At the end of the period, cash and cash
equivalents amounted to MSEK 1,554 .6 (MSEK
1,501 .5).
• Earnings per share before dilution amounted to
SEK 0.82 (SEK 1.17) and after dilution to SEK 0.82
(SEK 1.17).
• Revenues for the quarter are primarily
attributable to Age of Wonders 4, Cities: Skylines,
Cities: Skylines II, Crusader Kings III, Europa
Universalis V, Hearts of Iron IV, Stellaris , Vampire:
The Masquerade – Bloodlines 2, and Victoria 3.

SIGNIFICANT EVENTS FIRST QUARTER
• New downloadable content was released for
games during the period : Rise from Ruin to Age of
Wonders 4 , Office Evolution and City Stations to
Cities: Skylines II , Race Day, Iconic Brutalism and
Renewed History to Cities: Skylines, and Warships
of the Pacific to Heart s of Iron IV.
• The Board of Directors of Paradox Interactive AB
has applied for admission to trading of the
Company’s shares on Nasdaq Stockholm Main
Market . A listing on Nasdaq Stockholm is subject to
the exchange’s approval of the Company’s
application. If the application is approved, the
Company intends to complete the change of listing
during 2026. Paradox will provide further
information once Nasdaq Stockholm has
announced its decision .

INTERIM REPORT , JANUARY – MARCH 2026 3
COMMENTS BY THE CEO
After one of our most intense quarters ever at the end
of last year, we entered 2026 with a more balanced
first quarter, as is tradition. The results are stable,
with a strong cash flow from operating activities that
provides us with space to invest in our future.
What truly matters right now is happening beneath
the surface. A clear example is the work on Cities:
Skylines II, where Iceflake Studios, since the turn of
the year, has delivered a series of improvements
based on player feedback. It’s starting to have an
effect. During the quarter, the game reached “Mostly
Positive” in the last 30 days of reviews for the first
time, an important milestone. It’s also proof of our
conviction: a long -term approach, close dialogue
with players, and structured improvement effo rts pay
off. We are far from finished, but the direction is right,
and we have strong confidence in the plan ahead.
Looking beyond the individual quarter, our ambition
remains unchanged and clearer than ever. We build
games that last. Deep, challenging experiences that
players shape themselves and return to year after
year. To get there, we continue to develop our
exist ing titles while building a strong and focused
pipeline of new games.
The core of our business remains our ability to
establish games that can grow over time. Our work
with downloadable content is crucial here. We have
raised our level of ambition and are entering the year
with a strong lineup. The Expansion Passes launched
this spring are just the beginning. At the same time,
we are broadening how players can engage with our
catalog: through subscription models, increased
focus on user -generated content, and better use of
our player services. Together, this creates more valu e
for players and strengthens our growth over time.
Today, we have seven established franchises with
strong communities and recurring revenue. That’s a
solid foundation but not our end goal. Our portfolio
of games in development is fully focused on what we
do best: strategy and management games. Projects
range from early concept to late -stage development,
but regardless of where they are, our standards are
high. We look forward to sharing more about this
during the year.
At the same time, we clearly see that we have the
capacity to do more. We continue to actively evaluate
how we can expand our project portfolio to create a
steady and strong flow of new games over time. In –
house development remains our core, but we also
see opportunities in third -party collaborations and
acquisitions. Regardless of the path, the goal is the
same: to create worlds where players can tell their
own stories, on their own terms.
What we do is a long -term game. We build for
endurance, for trust, and for sustainable growth. With
strong communities, a growing portfolio, and a clear
direction, we are well positioned to continue
delivering not just next quarter, but for many years to
come.

Fredrik Wester, CEO

INTERIM REPORT , JANUARY – MARCH 2026 4
PARADOX INTERACTIVE
AT A GLANCE
Paradox Interactive is a leading developer and publisher of strategy and management games for PC and consoles.
The company’s games reach six million players every month worldwide, with its largest markets in North America,
Western Europe and Asia.
The portfolio includes popular game franchises and intellectual properties such as Age of Wonders, Cities: Skylines,
Crusader Kings, Europa Universalis, Hearts of Iron, Prison Architect, Stellaris, the Surviving games and Victoria.
Paradox Interactive also owns the intellectual property rights to the World of Darkness universe.
Paradox strives for a healthy profit margin, a stable operating cash flow and strong growth. Thus, enabling stable
operations and continuous investments in the company’s future.

6
Mil lion MAU

8
Games in pipeline
6 %
R12 profit margin
Rolling 12 -month revenues and operating profit Rolling 12 months oper ating cashflow
0
500
1,000
1,500
2,000
2,500
3,000
Rolling 12 months revenue Rolling 12 months operating profit 0
200
400
600
800
1 000
1 200
1 400
1 600
Operating cashflow after capitalised development Investments in capitalised development

INTERIM REPORT , JANUARY – MARCH 2026 5
RELEASE S IN THE PERIOD

AGE OF WONDER S 4: RISE FROM RUIN
Release date : 9 March 202 6
Plat forms : PC , Xbox Series X|S, PlayStation 5
Pri ce: USD 19 .99
Description: Forge a mighty realm from the ashes. Journey into the Withered
Worlds and explore their devastated landscapes with the Nomad Culture, uniquely
adapted to survive and thrive in desolation. Unearth the lost magics that ravaged
these realms and choose to either banish them forever or harness their power for
your own ascendancy.
Publisher : Paradox Interactive
Developer : Triumph Studios

CITIES: SKYLINES II – CREATOR PACK: OFFICE EVOLUTION
Release date : 18 March 202 6
Plat forms : PC
Pri ce: USD 7.99
Description : Witness the merging of tradition and modernity . This pack captures
the architectural journey from classic heritage façades to sleek, contemporary
office spaces. Evolving from stone -clad offices of the 19th century into the glass –
and -steel structures of the 21st, it preserves your office district’s historic character
while embracing modern ambition.
Publisher : Paradox Interactive
Developer : Titan

CITIES: SKYLINES II – CREATOR PACK: CITY STATIONS
Release date : 18 March 202 6
Plat forms : PC
Pri ce: USD 7.99
Description : Make your city feel connected . This pack expands the variety of
transit infrastructure available for your metropolis. Featuring a selection of stations
for your Bus, Train, Tram, and Subway networks, the pack introduces new
landmarks for your citizens and lays the foundation for a transp ort system that is
both efficient and beautiful.
Publisher : Paradox Interactive
Developer : BadPeanut

INTERIM REPORT , JANUARY – MARCH 2026 6

CITIES: SKYLINES – RACE DAY
Release date : 10 March 2026
Plat forms : PC , Xbox Series X|S, Xbox One, PlayStation 5, PlayStation 4
Pri ce: USD 12.99
Description: Transform your streets into high -octane race courses, host thrilling
running and cycling events, and dazzle crowds with massive parades. Whether
you’re drawing in tourists or entertaining your citizens, this expansion lets you
create jaw -dropping spectacle s and adds dynamic city -planning features that kick
your city into overdrive.
Publisher : Paradox Interactive
Developer : Tantalus Media

CITIES: SKYLINES – CREATOR PACK: ICONIC BRUTALISM
Release date : 10 March 2026
Plat forms : PC , Xbox Series X|S, Xbox One, PlayStation 5, PlayStation 4
Pri ce: USD 5.99
Description : Embrace raw concrete and unapologetic design. This Content Creator
Pack celebrates the iconic architectural movement defined by geometric forms,
functional design, and monumental presence. With a focus on civic structures,
these buildings give your city an austere, modern edge with a timeless sense of
strength.
Publisher : Paradox Interactive
Developer : Cristolisto

CITIES: SKYLINES – CREATOR PACK: RENEWED HISTORY
Release date : 10 March 2026
Plat forms : PC , Xbox Series X|S, Xbox One, PlayStation 5, PlayStation 4
Pri ce: USD 5.99
Description : Transform your skyline with “Renewed History”, a Content Creator
Pack inspired by modern architecture that balances history and progress. Mesh
tradition with function through buildings clad in steel, glass, and concrete. This
pack explores the contrast bet ween old and new, with structures that complement
traditional architecture. Create neighbourhoods where modern development and
historical preservation coexist beautifully.
Publisher : Paradox Interactive
Developer : Brum

INTERIM REPORT , JANUARY – MARCH 2026 7

HEARTS OF IRON IV: WARSHIPS OF THE PACIFIC
Release date : 17 March 2026
Plat forms : PC
Pri ce: USD 4.99
Description : Command the seas with Warships of the Pacific, a Cosmetic Pack for
Hearts of Iron IV. Warships of the Pacific includes unit art for new seafaring vessels;
from nimble destroyers to mighty battleships, representing iconic warships from
multiple nations acro ss the globe.
Publisher : Paradox Interactive
Developer : Paradox Development Studio

INTERIM REPORT , JANUARY – MARCH 2026 8
FINANCIAL OVERVIEW
REVENUE AND PROFIT FIRST QUARTER
Revenues amounted to MSEK 431 .1 (MSEK 463 .6), a
decrease of 7% since last year. Revenues for the
quarter are primarily attributable to Age of Wonders 4,
Cities: Skylines, Cities: Skylines II, Crusader Kings III,
Europa Universalis V, Hearts of Iron IV, Stellaris,
Vampire: The Masquerade – Bloodlines 2 and Victoria 3.
The change in revenue is strongly correlated with
variation in the releases that occur. The comparative
period included the release of a smaller expansion,
Graveyard of Empires for Hearts of Iron IV, as well as
the launch of new expansion passes for Crusader Kings
III and Stellaris, which indirectly contributed to
increased sales of the respective base games and
previously released downloadable content, even
though the expansion passes were not released during
the quarter. The comparative period’s releases of
Mediterranean Heritage and Dragon Gate for Cities:
Skylines II also generated significant revenue, as they
were included in the original Ultimate Edition package
from the base game’s launch.
Revenue increases compared to the previous year are
attributable to the releases of the new games Europa
Universalis V and Vampire: The Masquerade –
Bloodlines 2, which were launched in the fourth
quarter of 2025. Th e quarter’s release of Rise from Ruin
for Age of Wonders 4 has been the single largest
revenue driver compared to the previous year in terms
of new downloadable content releases.
The Group’s revenue is mainly in currencies other than
SEK and is therefore exposed to exchange rate
fluctuations. The quarter’s revenue has been
negatively affected by the exchange rate development
of the strengthened krona compared to last year.
Cost of goods sold amounted to MSEK 264 .4 (MSEK
220.9), attributable to game development,
development support, operation and maintenance of
games, costs for licenses, trademarks and similar
rights, as well as royalties and revenue -based
contingent consideration to development studios and
other rights holders .
Amorti sation of released games amounts to MSEK
120.1 (MSEK 71.7). The games are generally amorti sed
over 18 months using a degressive depreciation
method. The purpose of the amortisation is to provide
a fair view of the company’s operations and gross
profit but may contribute to volatility in the cost of
goods sold item. The increase compared to last year is
driven by amorti sation of the games Vampire: The
Masquerade – Bloodlines 2 and Europa Universalis V
which were released during the fourth quarter 2025.
Amortisation of the game Surviving Mar s: Relaunched
that was released in November 2025 also con tributes
to the increase.
Write -downs recogni sed in cost of goods sold for the
period amount to MSEK 0.0 (MSEK 0.0) .

Amorti sation of licenses, trademarks and similar rights
amounts to MSEK 7.6 (MSEK 15.6). Amorti sation has
decreased as a result of excess values arising from the
acquisition of Playrion Games Studio now being fully
amorti sed . At the same time, the decrease is offset by
new amorti sations related to the acquired publishing
rights for Stranded: Alien Dawn, as well as
amorti sations of excess values from the acquisition of
Haemimont Games.
In addition to depreciation, amortisation and write –
downs within th e item, a total of MSEK 129.6 (MSEK
125.8) was expensed regarding non -capitalised
development costs, development support, operation
and maintenance of games, royalties and revenue
based earn -outs. 0
50
100
150
200
250
300
350
400
Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
Write-downs

INTERIM REPORT , JANUARY – MARCH 2026 9
Non -capitali sed development costs amount to MSEK
71.6 (MSEK 75.0) . These costs relate to the
development expenses treated as running costs since
they do not meet the Group requirements for
capitali sation. This includes costs generated in the
early stages of a project and other expenses that are
not directly attributable to specific development
projects suited for capitali sation or not perceived to
generate future economic benefits.
Costs for development support, operations, and
maintenance of games amounted to MS EK 24.4 (MSEK
21.8). This item primarily refers to internal costs for
technical support and platform functions related to
the development, launch, and management of the
Group’s game portfolio.
Royalties and revenue -based contingent consideration
have amounted to MSEK 33.6 (MSEK 28.9) mainly
driven by Age of Wonders 4, where the sellers of
Triumph Studios receive revenue -based contingent
consideration until April 2026.
Selling expenses for the period amounted to MSEK 41.3
(MSEK 47.9). The decrease is a result of reduced costs
related to the release of Europa Universalis V , for which
the selling activities started in the beginning of 2025.
Administrative expenses for the period amounted to
MSEK 31.1 (MSEK 25. 4). The increase compared to the
previous year mainly relates to items of a non –
recurring nature. Administrative expenses are
generally unchanged over time and are relatively
unaffected by other operations .

Other operating income amounted to MSEK 6.8 (MSEK
2.6) and other operating expenses to MSEK 0.3 (MSEK
25.3). Other operating income and other operating
expenses consist primarily of currency rate changes on
the Group’s cash and cash equivalents, operating
receivables and operating liabilities during the quarter.
Operating profit amounted to MSEK 100 .8 (MSEK 146 .6).
Financial income amounted to MSEK 5.1 (MSEK 7.6)
and consisted primarily of interest income from bank
accounts. Financial expenses amounted to MSEK 0.2
(MSEK 0.3) and consist ed primarily of calculated
interest on lease liabilities.
Profit after financial items amounted to MSEK 105 .8
(MSEK 153 .9), and profit after tax amounted to MSEK
86.2 (MSEK 123 .7).
FINANCIAL POSITION
Capitali sed development expenses at the end of the
period amounted to MSEK 1, 016.4 (MSEK 1, 545 .6). Th is
item relates both to games that have not yet been
completed and games that have been released and
amorti sed. The decrease compared to the previous
year is attributable to Vampire: The Masquerade –
Bloodlines 2, which was released in October 2025 and ,
following amorti sation and write -downs, has a
carrying amount that reflects the Group’s expected
earnings from the game. Europa Universalis V, which
was released in November 2025, also accounts for a
significant part of the decrease . At the same time,
capitalised development co sts remain for, among
other s, the announced game Prison Architect 2.
Development is also ongoing for several unannounced
games that are continuously capitali sed, as well as
expansions for previously released games.

Licenses, trademarks, and similar rights amounted to
MSEK 98.7 (MSEK 94.6). The i tem mainly relates to the 0
200
400
600
800
1,000
1,200
Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
COGS Selling expenses Administrative expenses 0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
Thousands
Capitalised development costs

INTERIM REPORT , JANUARY – MARCH 2026 10
acquired publishing rights to Stranded: Alien Dawn, as
well as excess values from the acquisition of
Haemimont Games.
Goodwill amounted to MSEK 22.0 (MSEK 21.8),
attributable to the acquisition of Iceflake Studios.
Right -of-use assets for rental premises amounted to
MSEK 162.4 (MSEK 59.8). The increase refers to the
renewed lease agreement for the office on Södermalm ,
Stockholm.
Accounts receivable at the end of the period amounted
to MSEK 259.4 (MSEK 236.7).
Cash and cash equivalents at the end of the period
amounted to MSEK 1,554 .6 (MSEK 1,501 .5).
Equity amounts to MSEK 2,591.1 (MSEK 3,023.3).
Long -term lease liabilities amount to MSEK 130.5
(MSEK 23.8 ). The increase is due to a n extension of the
lease agreement commitment for the office premises
in Södermalm, Stockholm, through the end of
September 2031, replacing the current lease
agreement from October 1, 2026.
Deferred tax liabilities amounted to MSEK 153. 2 (MSEK
170.2) relating to tax on untaxed reserves and
intangible assets from acquisitions.
Short -term lease liabilities amounted to MSEK 25.0
(MSEK 30. 8), relating to short -term rental
commitments for office premises.
Accrued expenses and prepaid income at the end of
the period amounted to MSEK 269.2 (MSEK 280 .2).
Accruals for royalties payable to game developers, as
well as accruals for variable remuneration to
employees, have decreased compared with the
previous year. Prepaid income has increased since last
year, mainly due to the release of Europa Universalis V.
CASH FLOW FIRST QUARTER
Cash flow from operating activities for the period
amounted to MSEK 308 .7 (MSEK 266 .2), primarily
attributable to operating profit adjusted for
depreciations, amortisations and write -downs . Cash
flow from investing activities amounted to MSEK -122.4
(MSEK -217 .3) and mainly relates to investments in
game development . Cash flow from financing activities
amounted to MSEK -9.8 (MSEK -9.7) relating to
amorti sation of lease liabilities for office premises.
RELATED PARTY TRANSACTIONS
No significant transactions have taken place between
the group and related parties that have affected the
group’s position and results.
PARENT COMPANY FIRST QUARTER
The parent company houses the publishing business.
Within the publishing business, the parent company
buys development services from both external and
wholly owned development studios and pays royalties
to these where applicable. The parent company also
provides administrative services to the subsidiaries. All
in all, this leads to the parent company’s revenues to a
large extent making up the group’s total revenues .
The parent company’s revenues in the quarter
amounted to MSEK 431 .6 (MSEK 461 .3). Operating
profit amounted to MSEK 113 .0 (MSEK 214 .1). Profit
after financial items amounted to MSEK 118 .0 (MSEK
220 .1). Profit after tax amounted to MSEK 98.9 (MSEK
174 .8).
ACCOUNTING PRINCIPLES
This interim report has been prepared in accordance
with IAS 34, Interim Financial Reporting as well as RFR
1 and the annual accounts act. The parent company
applies the Swedish Financial Reporting Board’s
recommendation RFR 2, accounting for legal entitie s.
The carrying amount of the Group’s short -term
financial instruments valued at accrued acquisition
value essentially corresponds to its fair value as the
discounting effect is not significant. Accounting
principles and calculation bases are in accordance
with the principles applied in the company’s most
recent annual report .
RISKS AND UNCERTAINTIES
Paradox is, like most companies, exposed to certain
risks in its operations. The risks and uncertainties are
described in the Annual Report for 202 5, page 3 0. Risks
to be specifically mentioned include dependency on
key employees, dependency on a few sales partners,
delays of game projects, cancellations of unfinished
game projects, low revenues from game releases, and
foreign currency. These risks and uncertainties may

INTERIM REPORT , JANUARY – MARCH 2026 11
have a direct or indirect impact on the group’s
financial position and results.
DIVIDEND PROPOSAL
The Board proposes a dividend to shareholders of SEK
5.00 per share. The Board of Directors proposes Friday ,
May 15, 202 6 as record date. If the Annual General
Meeting approves the proposal, the dividend will be
distributed by Euroclear Sweden AB on Wednesday
May 20, 202 6.
DIVIDEND POLICY
The Company’s primary objective is to create long –
term shareholder value. Shareholder distribution will
be determined annually based on capital available
after funding organic growth initiatives, potential
acquisitions and maintaining a prudent capital
structure. Distributions may be made through cash
dividends and/or share repurchase programs.

INTERIM REPORT , JANUARY – MARCH 2026 12
FINANCIAL CALENDAR
Annual General Meeting 2026 2026 -05-12
Interim Report January – June 2026 2026 -08-06
Interim Report Januar y – September 2026 2026 -10-29
Year -end report 2026 2027 -02-04
CONTACT
Additional information about the company can be
found on the corporate website
www.paradoxinteractive.com. The company can be
contacted by e -mail, ir@paradoxinteractive.com, or by
post Paradox Interactive AB, Magnus Ladulåsgatan 4,
118 66, Stockholm, Sweden .
ASSURANCE BY THE BOARD OF DIRECTORS
The Board of Directors hereby provides an assurance
that the interim report provides a true and fair view of
the parent company’s and the group’s business,
positions, and earnings, and describes the significant
risks and uncertainties faced by the companies making
up the group.
Stockholm 30 April 2026

The Board of Directors
This report has not been subject to review by the compan y’s
auditors.
This information is information that Paradox Interactive AB (publ) is
obliged to make public pursuant to the EU Market Abuse Regulation.
The information was submitted for publication at 08:00 CE ST
on 30 April 202 6.

INTERIM REPORT , JANUARY – MARCH 2026 13
KEY FIGURES FOR THE GROUP

For definitions of key figures, see the annual report. 2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
Revenues, KSEK 431,125 463,599 2,191,918
Operating profit, KSEK 100,768 146,643 145,999
Profit after financial items, KSEK 105,751 153,889 167,397
Profit after tax, KSEK 86,177 123,680 125,456
Operating margin 23% 32% 7%
Profit margin 25% 33% 8%
Equity/assets ratio 80% 83% 79%
Equity per share before dilution, SEK 24.53 28.62 23.65
Equity per share after dilution, SEK 24.53 28.62 23.65
Earnings per share before dilution, SEK 0.82 1.17 1.19
Earnings per share after dilution, SEK 0.82 1.17 1.18
Number of shares by the end of the period before dilution 105,623,025 105,623,025 105,623,025
Number of shares by the end of the period after dilution 105,623,025 105,623,025 105,623,025
Average number of shares before dilution 105,623,025 105,623,025 105,623,025
Average number of shares after dilution 105,623,025 106,014,675 105,720,938
Average number of employees 681 596 638

INTERIM REPORT , JANUARY – MARCH 2026 14
GROUP INCOME STATEMENT (K SEK)

OTHER COMPREHENSIVE INCOME (K SEK)

2026-01-01 2025-01-01 2025-01-01
Note 2026-03-31 2025-03-31 2025-12-31
Revenues 1 431,125 463,599 2,191,918
Cost of goods sold 2 -264,436 -220,871 -1,656,913
Gross profit 166,690 242,728 535,005
Selling expenses 2 -41,265 -47,924 -236,076
Administrative expenses 2 -31,106 -25,438 -110,632
Other income 6,753 2,576 9,253
Other expenses -302 -25,300 -51,551
Operating profit 100,768 146,643 145,999
Financial income 5,138 7,595 23,469
Financial expense -156 -349 -2,072
Profit after financial items 105,751 153,889 167,397
Tax -19,574 -30,209 -41,940
Profit for the period 86,177 123,680 125,456
Profit for the period is attributable to the shareholders of the parent company.
Earnings per share before dilution, SEK 0.82 1.17 1.19
Earnings per share after dilution, SEK 0.82 1.17 1.18 2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
Profit for the period 86,177 123,680 125,456
Other comprehensive income
Items that may be reclassified to profit or loss
Translation differences 3,939 -13,186 -17,016
Other comprehensive income 3,939 -13,186 -17,016
Total comprehensive income for the period 90,115 110,495 108,440
Profit for the period is attributable to the shareholders of the parent company.

INTERIM REPORT , JANUARY – MARCH 2026 15
GROUP BALANCE SHEET (K SEK)

2026-03-31 2025-03-31 2025-12-31
ASSETS
Non-current assets
Capitalised development 1,016,472 1,545,558 1,015,110
Licenses, brands and similar rights 98,718 94,563 105,792
Goodwill 22,042 21,853 21,790
Property and equipment 9,240 7,416 8,410
Right-of-use assets 162,365 59,782 171,591
Other long term assets 18,673 18,662 18,658
Total non-current assets 1,327,509 1,747,833 1,341,352
Current assets
Accounts receivable 259,411 236,728 271,185
Tax assets 17,835 29,018 91,397
Other receivables 27,302 29,660 27,143
Prepaid expenses and accrued revenue 61,044 78,106 63,272
Cash and cash equivalents 1,554,598 1,501,532 1,375,272
Total current assets 1,920,190 1,875,045 1,828,268
TOTAL ASSETS 3,247,699 3,622,878 3,169,621 EQUITY AND LIABILITIES
Equity
Share capital 528 528 528
Other capital contributed 29,748 29,748 29,748
Reserves 19,117 19,008 15,178
Retained earnings 2,541,662 2,973,990 2,452,868
Total equity 2,591,056 3,023,275 2,498,322
Long-term liabilities
Lease liabilities 130,512 23,774 137,403
Deferred tax liabilities 153,190 170,165 153,586
Total long-term liabilities 283,702 193,939 290,989
Current liabilities
Accounts payable 51,267 38,505 41,161
Current tax liabilities 1,899 18,279 782
Lease liabilities 25,021 30,803 27,833
Other liabilities 25,517 37,867 32,171
Accrued expenses and prepaid revenues 269,238 280,211 278,362
Total current liabilities 372,941 405,664 380,309
TOTAL EQUITY AND LIABILITIES 3,247,699 3,622,878 3,169,621

INTERIM REPORT , JANUARY – MARCH 2026 16
CHANGE IN GROUP EQUITY (K SEK)

Share capital
Other
contributed
capital Reserves
Retained
earnings Total equity
At the beginning of the period 2026-01-01 528 29,748 15,178 2,452,868 2,498,322
Profit for the period 86,177 86,177
Other comprehensive income
Translation difference 3,939 3,939
Total other comprehensive income – – 3,939 – 3,939
Total comprehensive income – – 3,939 86,177 90,115
Transactions with owners
Share-based payments staff – – – 2,618 2,618
Total transactions with owners – – – 2,618 2,618
AT THE END OF THE PERIOD 2026-03-31 528 29,748 19,117 2,541,662 2,591,056 Share capital
Other
contributed
capital Reserves
Retained
earnings Total equity
At the beginning of the period 2025-01-01 528 29,748 32,194 2,847,170 2,909,640
Profit for the period 123,680 123,680
Other comprehensive income
Translation difference -13,186 -13,186
Total other comprehensive income – – -13,186 – -13,186
Total comprehensive income – – -13,186 123,680 110,494
Transactions with owners
Share-based payments staff – – – 3,140 3,140
Total transactions with owners – – – 3,140 3,140
AT THE END OF THE PERIOD 2025-03-31 528 29,748 19,008 2,973,990 3,023,275

INTERIM REPORT , JANUARY – MARCH 2026 17
GROUP CASH FLOW STATEMENT (K SEK)

2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
Cash flow from operations
Operating profit 100,768 146,643 145,999
Adjustment of depreciation, amortisation and write-downs 137,583 97,901 1,179,774
Other adjustments 2,618 3,140 8,357
Interest received 5,138 7,595 23,469
Interest paid -156 -349 -2,072
Tax paid 54,600 16,857 -91,428
Cash flow before changes in working capital 300,551 271,788 1,264,099
Changes in working capital
Change in current receivables 13,843 31,714 14,610
Change in current liabilities -5,673 -37,294 -42,182
Cash flow from current operations 308,721 266,208 1,236,527
Investing activities
Investments in capitalised development -120,924 -119,763 -605,806
Investments in licenses, brands and similar rights – – -46,540
Investments in equipment -1,472 -239 -3,168
Investments in subsidiaries – -97,307 -97,307
Cash flow from investing activities -122,397 -217,308 -752,820
Financing activities
Amortisation of lease liability -9,754 -9,681 -39,000
Paid dividend – – -528,115
Cash flow from financing activities -9,754 -9,681 -567,115
Cash flow for the period 176,570 39,219 -83,408
Cash and cash equivalents at the beginning of the period 1,375,272 1,469,356 1,098,025
Exchange rate effect 2,756 -7,043 -10,675
Cash and cash equivalents at the end of the period 1,554,598 1,501,532 1,375,272

INTERIM REPORT , JANUARY – MARCH 2026 18
PARENT COMPANY INCOME STATEMENT (K SEK)
OTHER COMPREHENSIVE INCOME (KSEK)

2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
Revenues 431,568 461,278 2,196,019
Cost of goods sold -256,055 -154,831 -1,524,534
Gross profit 175,513 306,447 671,484
Selling expenses -38,085 -43,801 -224,641
Administrative expenses -30,744 -25,021 -108,674
Other income 6,361 1,426 6,037
Other expenses – -24,981 -50,476
Operating profit 113,044 214,071 293,730
Financial income 4,908 6,011 18,092
Financial expense -0 -0 -1
Profit after financial items 117,952 220,082 311,822
Year-end appropriations – – -75,000
Tax -19,066 -45,309 -66,009
Profit for the period 98,885 174,773 170,813 2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
Profit for the period 98,885 174,773 170,813
Other comprehensive income – – –
Total comprehensive income for the period 98,885 174,773 170,813

INTERIM REPORT , JANUARY – MARCH 2026 19
PARENT COMPANY BALANCE SHEET (KSEK)

2026-03-31 2025-03-31 2025-12-31
ASSETS
Non-current assets
Capitalised development 969,408 1,396,225 954,495
Licenses, brands and similar rights 48,902 20,461 52,746
Property and equipment 3,292 1,481 2,453
Shares in subsidiaries 320,707 319,512 319,512
Other long term assets 17,393 17,393 17,393
Total non-current assets 1,359,702 1,755,072 1,346,599
Current assets
Accounts receivable 253,066 229,000 266,042
Receivables from group companies 6,187 24,666 10,267
Tax assets 9,218 – 84,309
Other receivables 23,628 24,523 19,449
Prepaid expenses and accrued revenues 66,807 82,458 69,629
Cash and cash equivalents 1,055,430 1,024,893 876,202
Total current assets 1,414,336 1,385,540 1,325,898
TOTAL ASSETS 2,774,038 3,140,612 2,672,497 EQUITY AND LIABILITIES
Equity
Restricted equity
Share capital 528 528 528
Capitalised development reserve 969,408 1,396,225 954,495
Non-restricted equity
Share premium reserve 29,748 29,748 29,748
Retained earnings 542,847 465,498 384,330
Profit for the period 98,885 174,773 170,813
Total equity 1,641,417 2,066,772 1,539,914
Untaxed reserves 695,000 755,000 695,000
Current liabilities
Accounts payable 42,869 27,234 31,676
Liabilities to group companies 168,748 56,948 164,399
Current tax liabilities – 18,128 –
Other liabilities 6,121 11,248 14,268
Accrued expenses and prepaid revenues 219,883 205,282 227,240
Total current liabilities 437,621 318,840 437,583
TOTAL EQUITY AND LIABILITIES 2,774,038 3,140,612 2,672,497

INTERIM REPORT , JANUARY – MARCH 2026 20
NOTE S (K SEK)
NOTE 1. SEGMENT REPORTING
Group Management has determined the operating segments based on the information processed by the CEO and which is the basis f or making
strategic decisions. The operations consist of one segment.
Group revenue from clients based on where the distributor is located is divided into the following geographical areas ;

During the quarter MSEK 336 .2 (MSEK 380 .5) of the group’s revenue came from one and the same platform – Steam .
Group re venue divided into major product categories;

NOTE 2. DEPRECIATIONS, AMORTISATIONS AND WRITE -DOWNS BREAKDOWN PER FUNCTION

NOTE 3. ACQUISITION HAEMIMONT GAMES
On February 18, 2025, 100% of the shares in Haemimont Games AD, a company based in Sofia, Bulgaria, were acquired. Paradox pa id a fixed
purchase price of EUR 10.3 million. Contingent purchase considerations tied to the sellers’ continued employment, game r eleases, and achieved
sales targets may amount to a total of up to EUR 11.0 million. All contingent purchase considerations are reported under the item cost of goods
sold as they are earned.
In previous reports, t he purchase price allocation was preliminary. During the first quarter of 2026, the assessment period ended, subsequently
the purchase price allocation is final . No adjustments have been made compared to the amounts previously reported. 2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
USA 354,195 405,201 1,872,997
Sweden 10,720 9,497 59,409
Rest of Europe 53,594 39,654 212,575
Rest of the World 12,617 9,247 46,937
Total 431,125 463,599 2,191,918 2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
PC 345,182 390,681 1,895,783
Console 70,908 49,217 222,911
Mobile 10,799 13,446 45,669
Other 4,237 10,256 27,555
Total 431,125 463,599 2,191,918 2026-01-01 2025-01-01 2025-01-01
2026-03-31 2025-03-31 2025-12-31
Cost of goods sold 134,823 95,091 1,168,759
Selling expenses 1,031 1,031 4,122
Administrative expenses 1,729 1,779 6,893
Total 137,583 97,901 1,179,774

INTERIM REPORT , JANUARY – MARCH 2026 21

NOTE 4. SUBSEQUENT EVENTS
Subsequent to the reporting period, the Company entered into a publishing partnership agreement for a new game. The agreement includes
minimum guarantees and revenue sharing, to be paid by Parado x. More information will be disclosed in May 2026 . As the agreement was entered
into after the reporting date, the agreement had no effect on the financial statements by the end of the reporting period. 2025-02-18
Cash consideration 115,604
Reported amounts of identifiable net assets
Game rights 16,817
Capitalised development 44,846
Technology related to game engines 43,863
Cash and cash equivalents 18,298
Other assets 2,597
Deferred tax liabilities 10,553 –
Other liabilities 264 –
115,604
Goodwill –

INTERIM REPORT , JANUARY – MARCH 2026 22