Mips

April-June 2026

• Net sales increased by 72% to SEK 232m (135), organic growth amounted to 42% during the quarter
• Operating profit amounted to SEK 95m (41), operating profit adjusted for items affecting comparability* amounted to SEK 108m (55)
• Operating margin increased to 41.0% (30.1), operating margin adjusted for items affecting comparability* was 46.7% (40.4)
• Cash flow from operating activities amounted to SEK 62m (18)
• Earnings per share, diluted, amounted to SEK 2.55 (1.20)
• After the end of the quarter, on 2 July 2026, Mips has together with its customer Revelyst decided to resolve the ongoing patent infringement litigation with BrainGuard Technologies, Inc. Mips will pay USD 3.25m which will be reported in the third quarter

January-June 2026

• Net sales increased by 53% to SEK 382m (251), organic growth amounted to 35%
• Operating profit amounted to SEK 138m (65), operating profit adjusted for items affecting comparability* amounted to SEK 158m (88)
• Operating margin increased to 36.1% (25.9), operating margin adjusted for items affecting comparability* was 41.4% (35.1)
• Cash flow from operating activities amounted to SEK 80m (55)
• Earnings per share, diluted, amounted to SEK 3.64 (1.91)

CEO’s comments

The strong growth momentum continues
During the second quarter of the year, sales increased by 72 percent and we achieved sales of SEK 232m. We saw organic growth of 42 percent, with strong growth in all categories.

The increased organic growth rate is primarily attributable to continued gains in market share, but also partly due to easier comparators. Although the second quarter of 2025 showed organic growth of 12 percent, sales were temporarily adversely impacted by the US tariffs imposed during that quarter. Koroyd, which we acquired in December 2025, performed well and contributed with 30 percent growth during the quarter. Effects of exchange rates remained the same during the quarter compared to last year.

During the first six months of the year, sales increased by 53 percent to SEK 382m, with strong growth in all categories and geographies. Excluding effects related to acquisitions and currency, organic growth for the first six months was 35 percent, with currency fluctuations having a negative impact of 7 percent.

The strong growth and our scalable business model led to an improvement in profitability during the quarter. Operating profit amounted to SEK 95m (41) this quarter and the operating margin increased to 41 percent (30). Adjusted operating profit, primarily excluding costs related to the legal dispute that was settled in July, amounted to SEK 108m (55), and the adjusted operating margin was 47 percent (40). Legal costs related to the patent dispute in which Mips chose to become involved amounted to SEK 12m (14). Operating cash flow amounted to SEK 62m (18).

Our profitability continued to improve during the first six months of the year as well, with operating profit of SEK 138m (65) and the operating margin rising to 36 percent (26). Adjusted operating profit amounted to SEK 158m (88) and the adjusted operating margin was 41 percent (35). The operating cash flow amounted to SEK 80m (55).

Patent litigation resolved
In early July this year, Mips together with its customer Revelyst, decided to reach a settlement in the US patent dispute in which Revelyst was a party. Mips was not a party to the lawsuit, but since the dispute concerned areas where Mips has intellectual property rights, that are an important cornerstone of our strong brand, we chose to get involved in the process. The decision to reach a settlement was made to avoid the costs and, to some extent, the uncertainties that legal proceedings can entail. Nothing in the settlement should be construed as an admission of liability, wrongdoing, or infringement on the part of Mips or Revelyst; rather, it is solely related to the fact that the settlement now allows us to focus fully on our business. The settlement releases all alleged claims and prevents any and all existing or future claims against Mips or any of Mips’ customers. Mips will pay USD 3.25m as part of the settlement, which will be recognized during the third quarter of 2026.

Strong performance in all categories and geographies
Performance was strong in all our geographic markets this quarter, and we are particularly pleased with the performance in Europe, where we grew by 48 percent, driven by the Sports category.

In North America, we faced a weak comparative figure following the introduction of tariffs in the prior year and we therefore grew by as much as 91 percent during the quarter. Adjusted for those effects, we see continued strong performance in the US market, particularly in the higher price segments. It is also pleasing to see that the Asian market has returned to strong growth after a period of weaker performance.

Sales for the Koroyd brand continued to perform well, with good performance in both the Sports and Safety categories. We also saw positive developments in body protection, protective gloves, and footwear.

Helmet category Sports – strong quarter globally
In the Sports category, we achieved total growth of 51 percent during the quarter, of which organic growth amounted to 40 percent.

The snow sub-category, which is the largest in the second quarter, performed well, particularly in the European market, which benefited from a strong start to the 2025–2026 winter season. In North America, conditions were more challenging for our customers due to an unusually poor season in terms of snow in the central and western US. This was partially offset for us as we compared against the lower comparative figures, which had been impacted by tariffs, from the same period the previous year.

The bike sub-category continued to perform very well, and the quarter marked the eleventh consecutive quarter of growth, following the post-pandemic slowdown in the sector as a whole. We are gaining market share and continue to see very strong performance, especially in the European market. This positive trend is being driven by several factors, the most important of which is a continued strong biking trend combined with a growing share of e-bike sales and an ongoing “premiumization” of the market. This trend is being driven both by the higher share of e-bike sales and by increasingly discerning consumers who are willing to pay more for higher-quality products, which benefit strong brands such as Mips.

Helmet category Motorcycle – Strong progress in a challenging market
We achieved growth of 80 percent in the Motorcycle category this quarter. Organic sales growth amounted to 56 percent. We saw continued strong performance in the off-road sub-category, as well as solid performance in the on-road sub-category. During the first six months of the year, growth amounted to 49 percent, of which organic growth accounted for 28 percent.

We are pleased that we are continuing to strengthen our position in both sub-categories, despite a challenging market. We also see that stricter competition standards in off-road are leading more customers to seek partnerships with us to ensure access to the right expertise and technology as helmet requirements become more stringent.

Given the continued high level of activity in the category, we believe that this positive trend will continue. We have maintained a high pace of innovation, and the rollout of these innovations will continue to support our growth journey in this category.

Helmet category Safety – Koroyd offering enhances the category
In the Safety category, sales grew by 604 percent during the quarter, and the organic sales growth was 80 percent. During the first six months of the year, growth amounted to 342 percent, of which organic growth accounted for 39 percent.

In June this year, Mips and Koroyd exhibited together for the first time at the ASSP (American Society of Safety Professionals) trade show in the US. Interest in the Mips and Koroyd brands was very high, with many positive comments regarding the Group’s combined potential in the Safety category. It was also evident during the trade show that our efforts to educate the industry about the harmful effects of rotational motion are beginning to bear fruit, which is another reason we continue to invest in our organization in the US market.

During the quarter, we made our first entry into fire helmets, a new area for Mips, by launching a product in collaboration with the leading brand Dräger. Although the market for fire helmets is limited in size, we see this as very exciting, partly because there are many accident scenarios to address, but also because it gives us the opportunity to make a difference for a profession dedicated to saving lives.

Through the Koroyd brand, we can now as a group offer a broader and more complete product portfolio for the safety industry. When it comes to helmet solutions, we look forward to launching several recently developed products in the coming years, with a particular focus on full-brimmed helmets for the US market, which is the largest market for premium helmets and a priority focus area for both Koroyd and Mips. The portfolio will also be expanded even further to include solutions for body protection and gloves, among other things, which will enable broader commercial discussions with both current customers and new companies in the safety industry in general.

We are entering the second half of the year with positive momentum
The first half of the year has been strong, with positive performance in all categories and geographic markets, including the acquired business under the Koroyd brand. We still believe there is excellent potential for growth in all categories by continuing to gain market share with new solutions, thereby further strengthening our market-leading position. There is significant interest from customers in pursuing new development projects with us for both the Mips and Koroyd brands. We continue to make major investments in product development and our innovation pipeline is stronger than ever. Through the Koroyd acquisition, we have become even more relevant to existing customers, while also opening the door to entirely new areas for Mips.

I am pleased that we have put the specific patent dispute that has been ongoing for the past year behind us so that we can focus on our ongoing successful growth journey. Sometimes, for commercial reasons, it may be better to reach a settlement than to pursue a protracted and costly legal process, even when you’re convinced that you are in the right. Legal proceedings of this kind are extensive and costly, but protecting our position and intellectual property rights, and thereby securing our commercial opportunities, is and will continue to be a core part of our business model. All in all, I look forward to an exciting second half of the year.

Stockholm, July 2026

Max Strandwitz
President and CEO