G5 Entertainment FY2026 Q2 Earnings Release

G5 Entertainment AB
Interim Report
JANUARY – JUNE 2026

INTERIM REPORT JANUARY – JUNE 2026
April -June 2026
• Revenue for the period was USD 20.1 M (24.0), representing a 16% year-\
over-year decline compared to the same period in 2025. • Gross margin increased to 73.1% (70.0%) as a larger share of revenue w\
as coming from G5’s direct-to-consumer channels. • EBIT for the period was USD -0.2 M (0.6). The quarter was negatively i\
mpacted by severance payments amounting to USD 0.8 M (0.0) and positively impacte\
d by fx revaluations of USD 0.5 M (-1.0) reported as other income and expense.\
Adjusting for fx and severance payments the EBIT would be USD 0.1 M (1.6) corresponding\
to an EBIT margin of 0.4% (6.8%). • Net result for the period was USD 0.6 M (0.7), positively impacted by the finance net of USD 0.8 M (0.2).• Earnings per share before and after dilution amounted to USD 0.08 (0.09\
), an 18% decline year-over-year. • Cash flow before financing activities was USD 0.7 M (2.2). The company maintained a strong liquidity position with USD 24.4 M in cash and cash equivalents a\
t the end of the quarter.• G5 Store gross revenue increased 14.8% year-over-year and 4.6% sequentially, reflecting continued progress in direct-to-consumer initiatives.• Average Monthly Active Users (MAU) declined 9% year-over-year to 3.5 m\
illion, while Average Daily Active Users (DAU) decreased 15% year-over-year to 1.0 m\
illion. Similarly, Average Monthly Unique Users (MUU) saw a 10% reduction, totaling 2.4 m\
illion. Average Monthly Unique Payers (MUP) declined 20% year-over-year to 90.7 thousa\
nd. However, this was significantly offset by a robust increase in monetization quality; Average Monthly Gross Revenue per Paying User (MAGRPPU) rose by 15% year-over-year to \
USD 79.0 (up from USD 68.9). This substantial growth in MAGRPPU highlights the \
increasing concentration of high-value users and the continued effectiveness of our monetization strategies.
KUSD Apr -Jun 2026 Apr -Jun 2025 Change %Jan-Jun 2026 Jan-Jun 2025 Change % Jul 25 -Jun 26 Jan-Dec 2025 Change %
Revenue 20,098 23,967 -16% 41,812 48,340 -14% 89,306 95,834 -7 %
Commission to distributors 1 -3 , 324 -4 , 803 -31% -7 , 0 4 4 -9,673 -2 7 % -16 , 268 -1 8 , 897 -14%
Royalty to external developers 2 -2 , 074 -2 , 3 8 1 -13% -4 , 272 -4 , 885 -13% -8 ,630 -9, 243 -7 %
Gross profit 14,700 16,783 -12% 30,496 33,782 -10% 64,408 67,694 -5%
Gross margin 73.1% 70.0% 72.9% 69.9% 72.1% 70.6%
Operating costs excluding costs for user acquisition -11 ,017 -11 , 81 8 -7 % -2 1 ,72 7 -24 , 141 -1 0% -4 4 ,700 -47,113 -5%
EBIT excluding costs for user acquisition 3,683 4,965 -26% 8,769 9,641 -9% 19,708 20,581 -4%
EBIT margin before costs for user acquisition 18% 21% 21% 20% 22% 21%
Costs for User acquisition 3 -3 , 91 0 -4 ,373 -11% -8,121 -8 ,052 1% -1 8 , 37 7 -1 8 , 309 0%
Costs for User acquisition as percentage of revenue -1 9% -1 8% -1 9% -17 % -2 1 % -1 9%
EBIT -227 593 -138% 648 1,589 -59% 1,331 2,272 -41%
EBIT-margin (%) -1 . 1% 2.5% 1.5% 3.3% 1.5% 2.4%
Earnings per share before dilution 0.08 0.09 -18% 0.18 0.24 -24% 0.33 0.39 -15%
Cash Flow before financing activities 656 2,199 4 , 8 74 5,310 3,864 4,300
Cash and cash equivalents 24,419 25,967 24,419 25,967 24,419 23,480
1 Variable costs paid to distributors . Main stores have the following fees: Apple App Store, Google Play, Amazon Appstore etc. have a fee of 30 percent, Microsoft Store has 12 percent, G5 Store has single digit percent. 2 Royalties to ex ternal developers are costs to third par ty developers when there is a contractual obligation to pay royalty. 3 User acquisition is a marketing cost for acquiring new users. The costs are fully variable and are spent on advertising campaigns that are targeted at acquiring loyal players. The campaigns can be stopped at a very short notice.
FINANCIAL KEY RATIOS
2 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

Comment from the CEO: Right-sizing the
organization amid record gross margin
In the second quarter of 2026 we executed the decisions taken in the first quarter as we worked to bring the organization size in line with the realities of a challenging market, while at the same time continuing to make strategic progress on G5 Store, third-party game distribution, direct payment processing, and new games.
Our gross margin increased to a new record level of 73.1% (70.0%), driven by continued growth of the G5 Store and a growing share of revenue we process directly. The percentage of revenue from our players on mobile devices that we process directly went from 11.0% in the first quarter to 17.2% in the second quarter.
The redundancies we communicated with the Q1 report and the ones identified later were completed during and after the quarter, taking the workforce from approx. 830 at the beginning of the quarter to around 550 as of the beginning of August. These numbers include a second wave of optimizations we have identified as necessary after a further review of the portfolio and the projects being run across the company. Severance in the quarter totaled USD 0.8 M, related to both the initial and the second wave of redundancies, and we expect an additional USD 0.15 M of severance in the third quarter. As communicated with the first quarter, we expected a run-rate decrease of USD 6.2 M. With the additional redundancies already made in Q2 and early Q3, the total run-rate decrease on an annualized basis will be
USD 11 M. We continued our efforts to bring the team to the right size given the decline in top-line revenue, in order to protect our margins.
We experienced certain difficulties in portfolio performance during the quarter. After positive development in the last few quarters, in Q2 Hidden City declined 10.5% year-over-year and 8.0% sequentially; its performance suffered due to new functionality that had negative effects, but we have since taken measures and it is now gradually trending back. Sherlock declined 16.4% year-over-year and 7.6% sequentially; the game did not perform strongly
in the period and revenue fell, though we are working on stabilizing it with some success. Jewels declined 29.5% year-over-year and 11.2% sequentially. While experiments we ran on the Jewels family of games produced certain improvements, they are not enough to restore the games’ scalability in this difficult market, and we cannot justify investing further in the attempt
With the additional
redundancies made in Q2 and
early Q3 we expect a total run-
rate decrease on an annualized
basis of USD 11 M.
3 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

There is potential for better ad monetization and we will continue working on increasing its percentage in our revenues.
We are excited about the dynamics of G5 Store and the progress we are making in third-party game distribution there. We believe we can achieve higher direct revenue processing and generate more ad revenue, which will continue to increase our Gross Margin, and we remain cautiously optimistic about our remaining new game. However, we recognize that it is likely that in the foreseeable future we will continue to face both top-line and bottom-line pressure.
I would like to thank our team for its resilience and hard work through a difficult quarter, and our players and shareholders for their continued trust as we bring the organization in line with the realities of the market.
August 12, 2026Vlad Suglobov , CEO, co-founder
to change them. We are therefore putting Jewels into what we call Harvest Mode, to maximize the profit from the long tail of sales, which we hope will be very long.
One of the two new games we entered the quarter with, continued evolving in the Scalability phase. It shows strong short-term metrics but still requires work on long-term metrics as we gather more data on how players behave after longer periods of time spent in the game. We continue to be cautiously optimistic about this game given the strength of its short-term metrics, but we also recognize that it will require more iterations and more time in Soft Launch before it can be proven scalable in the current difficult market environment. The other new game we entered the quarter with was discontinued, after careful consideration of the market reality and the progress we had been making. There are other new games and initiatives being considered.
Distribution of third-party games on G5 Store is going well. We launched 3 new games in the quarter and of the games in negotiations during the second quarter 5 have been signed. As of now, the negotiations are underway on 9 more games. Given the growing interest we have from developers, we foresee a continued stream of games to be signed and released on G5 Store. While third-party games revenue grew almost 100% sequentially in the quarter, G5 Store overall grew 15% year-over-year and 5% sequentially, negatively affected by the setback in revenue development of our main titles.
We have made progress in adding more advertising monetization to our portfolio: ad revenue reached 2.3% of total revenue (1% last year, 1.4% last quarter).
E B I T (M U S D) Revenue (MUSD)
Distribution of third-party
games on G5 Store is going well.
Third-party games revenue
grew almost 100% sequentially
in the quarter, G5 Store overall
grew 15% year-over-year and 5%
sequentially.
Development funnel
1. PRE-PRODUCTIOk
2. PRODUCTION OF SOFT LAUNCH VERSION
3. SOFT LAUNCH ENGAGEMENT TEST
4. SOFT LAUNCH MONETISATION TEST
5. SOFT LAUNCH – SCALABILITY TESTINd
6. PREPARATION FOR GLOBAL LAUNCe
1 Iteration
13 Iterations
Q1 Q2 Q3 Q4
2016 2018 2020 2022 2024 2026
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4 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

April – June
Revenue and gross profit
Revenue for the second quarter amounted to USD 20.1 million (24.0), a decline of 16%. Cost of revenue decreased to USD 5.4 million (7.2), resulting in a Gross Profit of USD 14.7 million (16.8). The Gross Margin remained strong at 73.1% (70.0%), primarily driven by a higher share of sales through direct-to-consumer channels like the G5 Store.Cost of revenue primarily consists of platform distribution commissions, with most distributors charging up to 30% of gross revenue. Exceptions include Microsoft Store, which applies a 12% commission, and G5 Store, where commission fees are in the single-digit percentage range, reflecting third-party payment processing costs. Cost of revenue also includes royalties payable to external developers, which decreased by 13% year-over-year, in line with lower revenue levels from licensed games.
Operational CostsResearch and Development expenses were USD 7.5 million (6.7). R&D was impacted by severance payments of USD 0.6 M (0.0). After the redundancies are completed the company expects quarterly savings of USD 2.2 M. Sales and Marketing expenses declined to USD 5.3 million (5.7), as the company maintained competitive user acquisition efforts. Excluding costs for user acquisition sales and marketing expenses amounted to USD 1.3 million (1.3), unchanged from previous year. S&M was impacted by severance of USD 0.1 M (0), the company expects a quarterly run-rate decline of USD 0.3 M from the redundancies. General and Administrative costs remained flat at USD 2.7 million (2.7). G&A was impacted by redundancies of USD 0.1 M, the company expects
a quarterly run rate decline of USD 0.3 M from the redundancies. Other operating income and other operating expenses together amounted to USD 0.5 million (-1.0), primarily driven by currency effects on operational assets and liabilities.
EBITEarnings before interest and taxes (EBIT) amounted to USD -0.2 million, (0.6). Amortization increased to USD 2.5 million (2.4). Capitalization of intangible assets amounted to USD 2.5 million (2.3), capitalization increased temporarily in the first and second quarter due to reallocation of staff from non-capitalizable projects to capitalizable projects. Capitalization will decrease with the staff reductions. Capitalization and amortization combined resulted in a net positive impact of USD 0.1 million on EBIT, an improvement from the USD 0.0 million negative impact recorded in the same period last year.
Net profitFinance net impacted the result with USD 0.8 million (0.2), primarily impacted by fair value revaluation of long-term investments.Taxes impacted the period with USD -0.05 million (-0.10).Net Result for the period amounted to USD 0.6 million (0.7). Earnings per share for the quarter, both before and after dilution, amounted to USD 0.08 (0.09).
Own/licensed revenue (MUSD) share own games (%)
Active, MUSD Licensed, MUSDHarvest, MUSD Own games, %
Gross Margin (%)
EBIT (MUSD) | EBIT-margin (%)
EBIT margin , adjusted WD & f x EBIT, adjusted WD & f x
Costs in % of revenue
AdministrationSales and marketingResearch and development
% MUSD4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0
-0.5
-1 . 0
%16
14
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10
8
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2
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-2
-4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2023 2024 2025 2026
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2023 2024 2025 2026
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2024 2023 2022 2021 2020 2019 2018 2017 2025 2026
MUSD
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%
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0Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
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5 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

Operational metrics
F2P Q2’26 Q2 ’25 Change
Average DAU (mn) 1.0 1.2 -15%
Average MAU (mn) 3.5 3.8 -9%
Ave ra g e M U U (m n) 2.4 2.7 -1 0%
Average MUP (thousands) 90.7 113.8 -20%
Average MAGRPPU (USD) 79.0 68.9 15%
For detailed definitions of the operational metrics see the glossary on page 16 of the report.
January – June
Revenue and gross profit
Revenue declined 14 percent compared to the same period in 2025. Revenue amounted to USD 41.8 M (48.3). The group’s cost of revenue was USD 11.3 M (14.6). Gross profitamounted to USD 30.5 M (33.8), a decrease of 10 percent comparedto the same period in 2025. Gross margin was 72.9 percent (69.9).
Operating CostsOperating costs, excluding fx movements, decreased 6 percent compared to the same period in 2025. User acquisition remained stable at USD 8.1 M (8.1). Excluding costs for user acquisition the operating costs amounted to USD 21.7 M (24.1). The operational costs were impacted by capitalization of USD 5.3 M (4.5) depreciation and amortization of USD 5.1 M (5.0) and write-downs of USD 0.0 M (0.0).Other operating income and expense impacted the period positively with USD 1.7 M (-2.4), primarily attributed to exchange rate differences on operational assets and liabilities related to balance sheet items in theparent company.
EBIT
EBIT was USD 0.6 M (1.6) and the EBIT-margin was 1.5 percent(3.3) for the period.
Net profitNet profit was affected by financial items with USD 1.0 M (0.4), primarily related to fair value adjustments related to long-term investments. Tax affected the result with USD -0.3 M (-0.2) corresponding to an effective tax rate of 17 percent (9). Net profit amounted to USD 1.4 M (1.8) corresponding to earnings per share before dilution of USD 0.18 (0.24).
Cash flow
During the second quarter of 2026, the group generated cash flow before changes in working capital of USD 3.0 million (3.0). Taxes paid during the period amounted to USD 0.4 million (0.4). Changes in working capital only marginally impacted the cash flow and amounted to USD 0.0 million, compared to USD 1.7 million in the same period last year. As a result, total Cash flow from operating activities decreased to USD 3.0 million (4.7).Investing activities resulted in a net outflow of USD 2.3 million (2.5). This primarily reflects capitalized development expenses of USD 2.5 million (2.3), slightly offset by divestments of long-term investments. Financing activities were impacted by dividend and repurchases, financing activities amounted to USD -2.6 M (-6.7). Net cash flow for the period was USD -1.9 million (-4.5). For the interim period of 2026, the Group generated cash flow before changes in working capital of USD 6.0 million (7.0). Taxes paid during the period totaled USD 0.7 million (0.4). Changes in working capital contributed positively to cash flow by USD 3.3 million (3.0). As a result, cash flow from operating activities amounted to USD 9.4 million (10.1).Investing activities resulted in a net cash outflow of USD 4.6 million (4.8). This primarily reflected capitalized development expenses of USD 5.3 million (4.6), partly offset by proceeds from the divestment of long-term investments.
Financing activities were primarily impacted by dividend payments USD 1.6 M (6.5) and share repurchases of USD 1.4 M (0.2), resulting in a net cash outflow of USD 3.0 million (6.7). Net cash flow for the period amounted to USD 1.8 million (-1.5). Available cash as of June 30, 2026, stood at USD 24.4 million (26.0 million as of June 30, 2025).
Financial position
The publishing strategy is to have a portfolio of different games in order to maximize the potential and reduce risk. Multiple games are developed at any given point in time, some of these games become very successful and extremely profitable, some of these games do not become big breakthroughs but pay for themselves and are stable earners over a long period of time, while the majority of games that go into production will be cancelled at an early stage as the market potential is not significant enough. As the majority of games that are produced are cancelled during the soft launch, the company does not capitalize development expenses on games until they reach global launch. Capitalized development expenses for unsuccessful games will be written down. Development for games only released in soft launch will be expensed as they are incurred. Over time, the company expects write-offs and expenses to be more than compensated for by the revenue and profits produced by successful games in the portfolio. Capitalized development expenses at the end of the period amounted to USD 19.2 million (18.7). The group maintains a rigorous evaluation process for these assets; impairment needs are assessed quarterly, with a comprehensive review of all input parameters performed annually. For the interim period of 2026, no write-offs were recorded (zero write-offs in the prior year period as well).Consolidated equity totaled USD 47.6 million (49.1), equivalent to USD 6.41 per share (6.39). The equity-to-asset ratio stood at 81% (80%). Cash on hand was USD 24.4 million (26.0).Other long- and short-term debt relates solely to IFRS 16 lease obligations.
6 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

Parent companyThe parent company revenue has performed in line with the group. The parent company is the counterpart for all application stores where G5 sells its products. The costs consist mainly of payments to one of the subsidiaries in Malta, which holds the rights to the games in the portfolio and is also where the senior management overseeing the games and studios\
is based. Over time, the transactions should generate a surplus for the parent company, but during shorter periods some imbalances may occur.As for the group, the financial position of the parent company is solid.
Other disclosures
Outlook
G5 Entertainment does not publish forecasts.
Risk assessment G5 Entertainment is, like all companies, exposed to various kinds of risks in its operations. Among the most notable are risks related to the dependency on certain strategic partners, delays in the release of new games, currency exchange risks, changes in technology, dependency on key employees, and tax as well as political risks due to the multinational nature of the group’s operations. Risk management is an integral part of G5 Entertainment’s management.
Related-party transactionsDuring the period no significant related-party transactions have taken place except the ongoing transactions highlighted in the annual report 2025.
Revenue breakdown by geography Second Quarter 2026
Europe 29%
North America 60%
Asia 5%
ROW 6%
Cash Position (MUSD) Presentation currencyEffective January 1, 2026, G5 Entertainment has changed its presentation currency for the consolidated financial statements from Swedish Krona (SEK) to US Dollars (USD). As the company’s operations and the majority of its revenue are denominated in USD, this transition reduces the impact of currency volatility on reported results and provides a more accurate reflection of the Group’s underlying financial performance and development. Prior year comparatives have been restated in USD at the historical exchange rates applicable to those periods to ensure meaningful year-over-year analysis. The parent company financial statements continue to be presented in SEK.
Upcoming report datesInterim report Jan-Sep 2026 November 4, 2026
TeleconferenceOn August 12th, 2026 at 08.00 CET, CEO Vlad Suglobov and CFO Stefan Wikstrand will present the interim report in a conference call. For dial-in details please visit: https://corporate.g5.com/investors/calendar
Forward-looking statementsThis report may contain statements concerning, among other things, G5 Entertainment’s financial position and performance as well as statements on market conditions that may be forward-looking. G5 Entertainment believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions. However, forward-looking statements involve inherent risks and uncertainties and actual results or outcomes may differ materially from those expressed. Forward-looking statements relate only to the date they were made and, other than as required by applicable law, G5 Entertainment undertakes no obligation to update any of them in light of new information or future events.
InquiriesVlad Suglobov, CEO [email protected] Wikstrand, CFO +46 76 0011115
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7 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

The Board of Directors and the CEO declare that the interim report provides a true and fair overview of the Parent Company’s and the Group’s operations, financial position and results of operations as well as describing the material risks and uncertainties facing the Parent Company and other companies in the Group.
Stockholm Aug 12th, 2026
Petter Nylander Chairman of the Board Jeffrey Rose Board member
Louise Ringström GrandinsonBoard member Joel Fashingbauer Board member Vlad Suglobov CEO, Board member
Assurance
Note:G5 Entertainment A B (publ) is required to make the information in this interim report public in compliance w ith the Swedish Securities Market Act. The information was submitted for publication on August 12th, 2026 at 07.00. This interim repor t has not been subject to rev iew by the company´s auditors. This report is published in Swedish and English. In the event of any difference between the English version and the Swedish original, the Swedish version shall prevail.
8 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

KUSD Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
Net turnover 20,098 23,967 41,812 48,340 89,306 95,834
Cost of revenue -5,398 -7 , 1 8 4 -11 , 316 -14 ,558 -24 , 8 9 8 -28 , 14 0
Gross profit 14,700 16,783 30,496 33,782 64,408 67,694
Research and Development expenses -7 , 4 6 0 -6,693 -15 , 21 0 -13 ,626 -29 ,78 5 -28 , 201
Sales and Marketing expenses -5, 254 -5,722 -1 0, 820 -10,689 -23 , 3 0 0 -23 , 1 6 9
General and administrative expenses -2 ,73 8 -2 , 74 9 -5,47 1 -5,481 -1 0,759 -1 0,768
Other operating income 525 0 1,653 0 1,653 0
Other operating expenses 0 -1,027 0 -2 , 3 9 8 -886 -3 , 283
Operating result -227 593 648 1,589 1,331 2,272
Financial income 847 237 1,000 446 1,336 781
Financial expenses -4 -12 -9 -2 2 -2 29 -241
Operating result after financial items 616 817 1,639 2 ,013 2,438 2,812
Ta xe s -47 -1 04 -2 76 -17 7 97 195
Net result for the period 569 713 1,363 1,835 2 ,536 3,008
Attributed to:
Parent company’s shareholders 569 713 1,363 1,835 2,536 3,008
Earnings per share
Weighted average number of shares (thousands) 7,510 7,73 5 7,576 7,73 5 7,639 7, 74 9
Weighted average number of shares after dilution, (thousands) 7,510 7,73 5 7,576 7,73 5 7,639 7, 74 9
Earnings per share (USD) before dilution 0.08 0.09 0.18 0. 24 0.33 0.39
Earnings per share (USD) after dilution 0.08 0.09 0.18 0. 24 0.33 0.39
INCOME STATEMENT – GROUP STATEMENT OF COMPREHENSIVE INCOME – GROUP
KUSD Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
Net result for the period 569 713 1,363 1,835 2 ,536 3,008
Other Comprehensive income
Items that should not be reclassified to the income statement
Fair value changes in value of equity instruments that are measured at fair value through other comprehensive income 522 -187 1,508 -235 848 -896
Items that later can be reversed in profit
Foreign currency translation differences -560 -3 , 24 3 -2 , 1 78 1,527 814 4,519
Total other comprehensive income for the period -38 -3,430 -670 1,292 1,662 3,623
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD 532 -2 ,717 694 3,127 4,198 6,631
Attributed to:
Parent company’s shareholders 532 -2 ,7 1 7 694 3,127 4,198 6,631
9 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

BALANCE SHEET – GROUP
KUSD Jun 302026 Jun 302025 Dec 31 2025
Fixed assets
Intangible fixed assets
Capitalized development expenses (Note 2) 19,210 18,707 18,853
Intangible assets 268 275 284
19,478 18,982 19,137
Tangible fixed assets
Equipment 565 734 74 6
565 734 746
Long term Investments 1,457 4,316 2,822
Deferred tax receivable 15 15 15
Total non-current assets 21,516 24,048 22,719
Current assets
Accounts receivable 1,213 1,922 1,728
Tax receivable 902 148 700
Other receivables (Note 3,4) 103 135 250
Prepaid expenses and accrued income 8,049 8,876 9,263
Short-term investments 2,734 0 926
Cash and cash equivalents 24,419 25,967 23,480
Total current assets 37, 42 0 37,048 36,346
Total assets 58,935 61,095 59,066
KUSD Jun 302026 Jun 302025 Dec 31 2025
Equity
Total shareholders’ equity 47,61 7 49,077 49,625
Long-term liabilities
Deferred tax liabilities 835 165 951
Long-term liabilities
Total long-term liabilities 835 165 951
Current liabilities (Note 5)
Short-term liabilities 71 162 139
Accounts payable 4,094 5,096 3,639
Other liabilities 860 706 532
Tax liabilities 173 611 0
Accrued expenses 5,286 5,278 4,179
Total current liabilities 10,483 11,853 8,490
Total equity and liabilities 58,935 61,095 59,066
10 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

CHANGES IN SHAREHOLDERS’ EQUITY – GROUP
KUSD Share capital Other capital contribution Other reserves Profit/loss brought forward Share holders’ equity
Shareholders’ equity 2025-01-01 84 -23, 271 7, 49 2 65,951 50,256
Net result for the year 3,008 3,008
Revaluation long-term investments -896 -896
Other comprehensive income 4,519 4,519
Total comprehensive income 0 0 3,623 3,008 6,631
Dividend -6,510 -6,510
Repurchase of shares -1 , 381 -1 , 381
IFRS2 – Employee share schemes 629 629
Total transactions with the owners recognized directly in equity 0 -1,381 629 -6,510 -7, 2 6 2
Shareholders’ equity as of 2025 -12-31 84 -24,652 1 1 , 744 62,449 49,625
Shareholders’ equity 2026-01-01 84 -24,652 1 1 , 744 62,449 49,625
Net result for the period 1,363 1,363
Revaluation long-term investments 1,508 1,508
Other comprehensive income -2 , 1 78 -2 , 1 78
Total comprehensive income 0 0 -670 1,363 694
Dividend -1 ,563 -1 ,563
Repurchase of shares -1 , 421 -1 , 421
IFRS2 – Employee share schemes 283 283
Total transactions with the owners recognized directly in equity 0 -1 ,421 283 -1 ,563 -2 ,701
Shareholders’ equity as of 2026-06-30 84 -26,073 11,357 62,249 47,61 7
11 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

KUSD Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
Cash flow from operating activities
Profit after financial items 616 817 1,639 2,013 2,438 2,812
Adjusting items not included in cash flow 2,799 2,589 5,088 5,377 11 ,424 11,713
3,415 3,407 6,727 7, 39 0 13,862 14,525
Taxes paid -419 -403 -669 -379 -608 -31 8
Cash flow before changes in working capital 2,996 3,003 6,058 7,01 1 13,254 14,208
Cash flow from changes in working capital
Change in operating receivables 471 592 1,618 2,470 1,666 2,519
Change in operating liabilities -486 1,065 1 ,760 614 -1 , 263 -2 , 4 0 8
Cash flow from operating activities 2,981 4,660 9,435 10,096 13,657 14,319
Investing activities
Investment in fixed assets 9 0 -30 -29 -2 1 6 -2 14
Capitalized development expenses -2 , 5 4 6 -2 , 329 -5, 27 7 -4 ,523 -1 0,1 99 -9,444
Long term investments 212 -132 74 6 -235 621 -360
Cash flow from investing activities -2 ,325 -2 ,461 -4,561 -4,787 -9,793 -10,019
CASH FLOW STATEMENT – GROUP
KUSD Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
Financing activities
Lease financing -42 -1 8 -67 -34 -113 -80
Dividend -1 ,563 -6,510 -1 ,563 -6,510 -1 ,563 -6,510
Repurchase shares -982 -2 1 7 -1 , 421 -2 1 7 -2 , 58 5 -1 , 381
Cash flow from financing activities -2 ,587 – 6 , 745 -3,051 -6,761 -4,261 -7,9 7 1
Cash flow -1 ,931 -4,545 1,822 -1 ,451 -397 -3,671
Cash at the beginning of the period 26,644 29,410 23,480 24,981 25,967 24,981
Cash flow -1 ,931 -4 ,545 1,822 -1 , 451 -397 -3 ,67 1
Exchange rate differences -29 5 1,103 -884 2,437 -1 ,152 2,170
Cash at the end of the period 24,419 25,967 24,419 25,967 24,419 23,480
12 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

Note 1
Accounting principles
G5 Entertainment’s consolidated accounts have been prepared in accordance with International Financial Reporting Standards (IFRS). This report was prepared for the group in accordance with the IAS 34 Interim Financial Reporting and the Annual Accounts Act. The accounting and calculation principles used in the report for the group are identical to those used in the Annual Report 2025.The interim report is on pages 1–16, and pages 1–8 are thus an integrated part of this financial report.
Note 2
Capitalized development expenses
KUSD Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
At the beginning of the period 19,156 1 8 , 744 18,853 1 9 ,074 18,707 1 9 ,074
Investments 2,546 2,330 5,277 4,525 10,198 9,445
Write-offs 0 0 0 0 0 0
Amortization -2 , 4 92 -2 , 367 -4 ,920 -4 , 892 -9,695 -9,666
Net change during the period 54 -37 357 -367 503 -221
Currency exchange differences 0 0 0 0 0 0
At the end of the period 19,210 18,707 19,210 18,707 19,210 18,853
Note 3
Other receivables
Other receivables mainly consist of input VAT and other tax receivables.
Note 4
Pledged assets and contingent liabilities
G5 Entertainment has no pledged assets. G5 Entertainment does not have any contingent liabilities.
Note 5
Fair value
G5 group has long and short term financial instruments that are accounted for at fair value. The carrying amount for financial instruments correspond to fair value.
13 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

KSEK Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
Net turnover 187,872 231,632 386,266 491,904 835,932 941,570
Cost of revenue -146 ,159 -1 82 ,032 -302,769 -397,121 -646,258 -7 4 0 , 6 1 0
Gross profit 41,714 49,600 83,497 94,783 189,674 200,960
Research and development expenses -567 -155 -954 -351 -1,797 -1 ,1 93
Sales and Marketing expenses -3 7, 8 52 -4 4 ,015 -7 6 , 4 8 3 -84 ,751 -175 , 270 -183,538
General and administrative expenses -5,073 -5,858 -9,673 -13,515 -1 9,730 -23,572
Other operating income 5,405 0 14,158 0 14,158 0
Other operating expenses 0 -6,679 0 -13 , 452 -9,109 -2 2 , 561
Operating result 3,626 -7,1 0 8 10,545 -17,285 -2 ,073 -29,903
Financial income 10,803 157,565 20,818 161,993 168,320 309,495
Financial expenses 0 0 0 -46 -1 ,985 -2 , 03 1
Operating result after financial items 14,429 150,457 31,363 144,662 164,261 2 7 7,560
Ta xe s -988 0 -2 , 6 42 1,033 2,114 5,789
Net result for the period 13,440 150,457 28,720 145,694 166,376 283,349
KSEK Apr -Jun 2026 Apr -Jun 2025 Jan-Jun 2026 Jan-Jun 2025 Jul-Jun 25/26 2025
Net result for the period 13,440 150,457 28,720 145,694 166,376 283,349
Items that later can be reversed in profit
Revaluation long-term investments 4,611 -57 7 13,025 1,197 7, 6 9 1 -4,137
Other comprehensive income 4,611 -577 13,025 1,197 7,69 1 -4,137
Total comprehensive income for the period
18,051 149,880 41 , 746 146,891 174,067 279,212
INCOME STATEMENT – PARENT COMPANY STATEMENT OF COMPREHENSIVE INCOME – PARENT COMPANY
14 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

KSEK Jun 302026 Jun 302025 Dec 31 2025
Fixed assets
Intangible fixed assets 2 ,613 2 ,613 2 ,613
Financial fixed assets
Shares in group companies 118 118 118
Financial assets 14,182 41,050 25,988
Total fixed assets 16,913 43,781 28,719
Current assets
Account receivables 11 ,765 18,283 15,919
Receivables from group companies 110,554 72,013 104,072
Tax receivables 6,990 4,094 7, 5 0 8
Other receivables 204 468 1,411
Prepaid expenses and accrued income 66, 242 75,803 73,053
Short term investment 26,619 0 8,530
Cash and cash equivalents 152,731 142,171 140,502
Total current assets 375,103 312,833 350,995
Total assets 392,016 356,613 379,714
BALANCE SHEET – PARENT COMPANY
KSEK Jun 302026 Jun 302025 Dec 31 2025
Restricted equity
Share capital 928 928 928
Non-restricted equity
Share premium reserve 41,934 52,431 55,163
Profit/Loss carried forward 286,344 21,106 1,877
Net result for the period 28,720 145,694 283,349
To t a l e q u i t y 357,9 2 7 220,160 341,318
Current liabilities
Accounts payable 26,614 29,982 31,779
Tax liability 0 0 0
Liability to group companies 0 98,120 0
Other liability 5,140 4,661 3,104
Accrued expenses 2,334 3,692 3,513
Total current liabilities 34,089 136,454 38,396
Total equity and liabilities 392,016 356,613 379,714
15 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

Financial statementCost of revenue consists of direct expenses incurred in order to generate revenue from the company’s games. This primarily includes commission to distributors and royalties to external developers.Research and Development expenses primarily consist of salaries, bonuses and benefits for the company’s developers. In addition, research and development expenses include outside services, as well as allocated facilities and other overhead costs. Costs associated with maintaining the company’s computer software and associated infrastructure are expensed as incurred. Development costs that are directly attributable to the design and testing of the company’s identifiable and unique games are recognized as intangible assets, and amortized within research and development expense over a 24-month period.Sales and Marketing expenses primarily consist of user acquisition expenses and related software. Sales and marketing also includes salaries, bonuses, and benefits for the company’s sales and marketing staff, as well as consulting fees. In addition, sales and marketing expenses include general marketing, branding, advertising and public relations costs.General and Administrative expenses primarily consist of salaries, bonuses, and benefits for the company’s executive, finance, legal, information technology, human resources and other administrative employees, as well as support staff. It also includes outside consulting, legal and accounting services, insurance as well as facilities and other overhead costs not allocated to other areas across the business. In addition, general and administrative expenses include all of the company’s depreciation expenses.
Glossary
Use of key ratios not defined in IFRSThe G5 Group’s accounts are prepared in accordance with IFRS. See page 13 for more information on accounting principles. Only a few key ratios are defined in IFRS. As of the second quarter 2017, G5 is applying the Alternative Performance Measures issued by ESMA (European Securities and Markets Authority). Briefly, an alternative key ratio is a financial measurement of historical or future earnings development, financial position or cash flow, not defined or specified in IFRS. To assist Group Management and other stakeholders in their analysis of the Group’s performance, G5 is reporting certain key ratios not defined by IFRS. Group Management believes that this information will facilitate an analysis of the Group’s performance. This data supplements the IFRS information and does not replace the key ratios defined in IFRS. G5’s definitions of measurements not defined in IFRS may differ from definitions used by other companies. All of G5’s definitions are included below. EBIT excluding costs for user acquisition consists of reported EBIT adjusted for costs for user acquisition.
Operational termsMonthly Active Users (MAU) is the number of individuals who played a G5 game in a calendar month. An individual who plays two different games in the same month is counted as two MAUs. Numbers presented in the report are the average of the three months in any given quarter. Daily Active Users (DAU) is the number of individuals who played a G5 game in a day. An individual who plays two different games in the day is counted as two DAUs. Numbers presented in the report are the average of the three months in any given quarter. Monthly Unique Payers (MUP) is the number of individuals who made a payment in a G5 game at least once during a calendar month. An individual who pays in two G5 games is counted as one MUP. Numbers presented in the report are the average of the three months in any given quarter.Monthly Unique Users (MUU) is the number of individuals who played a G5 game at least once during a calendar month. An individual who plays two different games during the month is counted as one MUU. Numbers presented in the report are the average of the three months in any given quarter.Monthly Average Gross Revenue Per Paying User (MAGRPPU) is the average gross revenue received from a Monthly Unique Payer during a calendar month. MAGRPPU is calculated by dividing the gross revenue during the calendar month by the number of Monthly Unique Payers in the same calendar month. The numbers presented in the report are the average of the three months in any given quarter.
Portfolio definitions Active Games are the games G5 owns and is actively supporting through its development and marketing capacity.Licensed Games are games that G5 license from 3rd party developers and thereby act as a publisher. Licensed games are not split into active and harvest games. Harvest Games are games that G5 owns but are not profitable to run as active games. The games are technically supported by a central team.
About G5 EntertainmentG5 Entertainment AB (publ) (G5) develops and publishes high quality free-to-play games for G5 Store, Apple App Store, Google Play, Microsoft Store, Amazon Appstore etc. The games are easy to learn and targeted at the widest audience of experienced and novice players. G5’s portfolio includes a number of popular games like Jewels of Rome®, Sherlock Hidden Match-3 cases, Hidden City, Mahjong Journey®, Homicide Squad®, The Secret Society® Wordplay: Search Word Puzzle™ and Jewels of the Wild West™. G5 Entertainment AB (publ) is listed on Nasdaq Stockholm since 2014.
16 G5 ENTERTAINMENT AB – JANUARY – JUNE 2026

G5 Entertainment AB (publ)
NYBROGATAN 6, 5TH FLOOR
114 34 STOCKHOLM | SWEDEN
PHONE: +46 84 11111 5
E-MAIL: [email protected]
Org.nr. 556680-8878
WWW.G5.COM