Quarterly report Q2 2025

Outcome April – June

• Net sales amounted to 51 (160) Ksek
• Profit after financial items amounted to -5 215 (-5 376) kSEK
• Earnings per share before and after dilution: SEK -0,09 (-0,23)
• Cash flow from operating and investing activities: -6 561 (-4 132) kSEK

Significant events April – June

• A large US Space company places an order worth 180 kSEK of Insplorion NPS-P2 hydrogen detectors.
• Insplorion officially launches the Insplorion NPS-P2 hydrogen detector.
• Insplorion announced the outcome of the exercise of warrants of series TO3 and decisions on directed issues to guarantors. The company received a total of approximately SEK 5.1 million before deduction of transaction costs.

Significant events after the end of the period

• Update on Insplorion’s strategic development and ongoing key initiatives, including an expected follow-up order of appr. 700 KSEK from Consilium.
• Insplorion AB decides on a directed issue of shares and warrants totaling SEK 6.3 million.

Watch CEO Johan Rask comment and answer questions about the report at 1.30 pm August 29, 2025. Link to the meeting (Swedish).

A word from the CEO

As we summarize the second quarter of 2025, it is clear that Insplorion’s journey from a development company to a commercial product company continues with both clarity and strength. The global hydrogen market is currently in a phase of recalibrating expectations – yet the fundamental premise remains the same: a sustainable world requires clean hydrogen. Or, as Hydrogen Council, a global CEO-led initiative, states:

“There is no solution to the climate challenge without clean hydrogen.”

To ensure safety throughout the hydrogen value chain, the type of fast and specific sensors developed by Insplorion are essential. During the quarter, we announced an order from a leading space company. Shortly after the quarter ended, we also shared that we expect a first follow-up order from Consilium, valued at approximately SEK 700,000. It is highly encouraging that a smaller order placed earlier this year is now followed by a larger one. Importantly, this is not for stock-keeping, but because an end customer has chosen our sensors as part of their safety solution. We look forward to more Consilium customers following this path.

At the same time, we continue our dialogues with potential partners and distributors. These partnerships may, for example, involve integrating our sensor into their existing solutions. One interesting collaboration is with HydraSpecma, with which we already have a letter of intent in place. The company is strong in the Automotive sector and has extensive expertise in fluid and gas couplings – where our sensors could contribute to enhanced safety. We are also engaged in discussions with a player in the hydrogen refueling sector and look forward to deepening collaborations within this industry as well.

In order to scale up to higher-volume business, the upcoming ATEX certification is important. The work is progressing diligently on two fronts: type approval based on products from our supply chain, and review of our quality management system. It is worth emphasizing that in our customer dialogues, the most decisive parameters are sensor performance, such as response speed, specificity, and the ability to measure in low-oxygen environments. Certification will be a natural prerequisite for larger orders, and we expect to be able to deliver ATEX-approved products in Q4.

We have also continued our work on an application to the EIC Accelerator, an EU program aimed at developing and scaling new innovations. A positive decision in Insplorion’s favor could provide soft funding in the order of EUR 2.5 million. In June, however, we received notice that we narrowly missed the final step. Together with our advisor, we have analyzed the feedback from the EIC Accelerator and will submit a sharpened application in October. It is common for companies to succeed with their second application – and we remain convinced that our project is fully aligned with the EU’s ambitions for a strong European hydrogen industry.

Smart Energy Week in Tokyo, taking place shortly (15–19 September), is one of the world’s most important exhibitions for renewable energy. Insplorion has been selected by the EU Business Hub to present our newly launched product, Insplorion NPS-P2, to the Asian market. With over 2,300 exhibitors and around 134,000 visitors, we will gain a unique opportunity to build new relationships with industry leaders and explore strategic partnerships in the Japanese and broader Asian hydrogen market.

In October, Insplorion will also exhibit at the Hydrogen Technology Expo in Hamburg, a leading event in hydrogen technology, featuring more than 300 international speakers and over 20,000 participants.

With a directed share issue of 6.3 MSEK just announced, a launched product, increasing customer orders, imminent ATEX certification, and strong interest from both partners and end-users, we are now entering the next phase of operations with great confidence. Our position is clear: without clean hydrogen there is no solution to the climate challenge – and without safety, there is no sustainable hydrogen economy.

Gothenburg, Sweden

August, 2025

Johan Rask, CEO

The report is also available on the company website at the IR-page.