Message from the CEO, Sandra Gadd
The first quarter was significantly impacted by low inventory availability, resulting in weak sales in January and February. Following the warehouse relocation, which was executed on plan at the end of January, availability has progressively improved, and in March we saw a clear inflection point. The positive trend has continued into April. During the quarter, we have also laid the groundwork for a turnaround in our Danish subsidiary AV-Cables, including the recruitment of a new CEO. With improved operational conditions and a focus on profitability, we look with confidence towards the remainder of the year, with the ambition of driving growth in Q4.

First quarter

• Net sales decreased -13.2% to MSEK 487.4 (561.3)
• Comparable growth amounted to -13.3% (-5.4%)
• Gross profit declined -7.2% to MSEK 219.0 (236.1) and the gross margin increased to 44.9% (42.1%)
• Adjusted EBITA totalled MSEK -13.3 (-2.3) and the adjusted EBITA margin was -2.7% (-0.4%)
• The company's operating loss amounted to MSEK -24.7 (-11.8) and the operating margin to -5.1% (-2.1%)
• The net loss for the quarter was MSEK -34.9 (-20.7)
• Cash flow from operating activities totalled MSEK -127.1 (8.6)
• Earnings per share before dilution amounted to SEK -0.50 (-0.67)

April – March

• Net sales decreased -9.7% to MSEK 2,305.2 (2,553.5)
• Comparable growth amounted to -9.2% (-1.1%)
• Gross profit declined -11.5% to MSEK 915.7 (1,035.4) and the gross margin decreased to 39.7% (40.5%)
• Excluding one-off inventory write-downs in the third quarter of 2025, normalised gross profit amounted to MSEK 989.9 and the gross margin to 42.9%
• Adjusted EBITA totalled MSEK 31.9 (52.3) and the adjusted EBITA margin was 1.4% (2.0%)
• The company's operating loss amounted to MSEK -385.5 (14.3) and the operating margin to -16.7% (0.6%)
• The net loss for the period amounted to MSEK -402.3 (-19.0)
• Cash flow from operating activities totalled MSEK 31.3 (152.8)

Significant events during and after the end of the quarter

• The Nomination Committee proposed the election of Göran Westerberg as new Chairman of the Board.
• Kjell & Company launched its new automated central warehouse. In connection with this, the exist ing warehouse personnel were transferred to Insitepart through a business transfer.
• Kjell Group completed a directed share issue of SEK 60 million to Göran Westerberg, as well as a rights issue of SEK 145.5 million.
• Kjell Group has entered into a new revolving credit facility of SEK 500 million with Nordea; upon the agreement taking effect, the previous financing was repaid in full.
• The Nomination Committee proposed that Pål Wibe be elected as a new member of the Board of Directors.
• Andreas Rylander (COO) and Carl-Johan Rijpma (CSCO) have left the Group Management team and the company. At the same time, several key recruitments have been completed, with the appoint ment of a new Head of Assortment being central to supporting the company's strategic transfor mation.
• Following the end of the quarter, Kjell Group published the notice convening the 2026 Annual General Meeting, to be held on Wednesday 20 May at Lokgatan 10, Malmö.
• Following the end of the quarter, Kjell Group published its annual report and sustainability re port for 2025.

Webcast in connection with the publication of the interim report
Sandra Gadd, CEO, and Fredrick Sjöholm, CFO, will host a webcast on 24 April 2026 at 10:00 CEST in connection with the publication of the interim report.

Participate via webcast: https://events.inderes.com/kjell-group/q1-report-2026
Participate via teleconference: https://events.inderes.com/kjell-group/q1-report-2026/dial-in
The presentation material is available on the Group’s website: kjellgroup.com/investerare/finansiella-rapporter/

Reports
The interim report for January – March 2026 and earlier re ports are available on www.kjellgroup.com