January - March 2025

• Net sales amounted to SEK 82.6 million (-)
• Operating profit/loss amounted to SEK -19.5 million (-13.8)
• Profit/loss after financial items amounted to SEK -36.9 million (-14.2)
• Earnings per share, before and after dilution, amounted to SEK -0.51 (-0.20)
• Cash flow from operating activities after changes in working capital amounted to SEK -20.4 million (-6.2)

Significant events during the quarter

• Cinis published a listing prospectus for green bonds and applied for listing on the Nasdaq Sustainability List
• Cinis sent three shiploads of potassium sulfate. In total, deliveries amounted to approximately 12,500 tons
• Cinis entered into a collaboration with Wa3rm. The intention is to investigate the possibility for Wa3rm to structure the financing of production facilities that Cinis then leases and operates
• Cinis was informed that the company's technology and process supplier had delivered the plant with certain deficiencies. A new action plan to reach full production capacity in 2025 was presented

Significant events after the quarter

• The Board of Directors resolved to carry out a capital raising of up to approximately SEK 172 million Through the capital raising, Cinis will gain an owner with international industry expertise, Adam Nawrocki, who has extensive experience in building and running successful production and sales of water-soluble fertilizers. In addition, Cinis' partner and customer Van Iperen is participating in a convertible issue. To further strengthen the Company's liquidity and capital structure, an agreement in principle has been reached with bondholders on certain amendments and concessions under the terms and conditions of the bonds, which will provide a liquidity boost of approximately SEK 56 million until the second quarter of 2026
• Cinis called an extraordinary general meeting on 2 and 15 May 2025 respectively
• Cinis initiated a written procedure and launched an offering to participate in an equity guarantee and to acquire bonds in April. The written procedure was approved in May
• Cinis sent another shipload of potassium sulfate of approximately 4,000 tons
• Cinis published the annual report for 2024
• Cinis held an extraordinary general meeting on May 2, 2025

CEO'S COMMENT 

Important steps forward in the tuning of the plant

In the first quarter of 2025, we have taken important steps forward in the fine-tuning of our production facility in Örnsköldsvik. After the production and logistics disruptions around the turn of the year, we have now found a new, stable level in both production and deliveries. In March, we produced approximately 5,000 tons of potassium sulfate, which corresponds to an annual rate of 60,000 tons.

In March, our technology and process supplier announced that they had delivered the facility with certain deficiencies that mean that the technical capacity is not yet where it should be, which has affected our ability to increase production since the start. Together with our technology and process supplier, we are now working systematically to address the issues that exist in order to bring the facility up to full capacity. During parts of April, our technology and process supplier has been on site in Örnsköldsvik. During this period, we have together carried out a number of efforts to optimize the process and carried out tests that have meant that the production level has been somewhat lower in periods. Work on improvement measures and process tuning to achieve a higher production level continues.

With the planned measures, we expect to be able to achieve a production rate equivalent to approximately 90,000 tons per year in the third quarter of 2025, excluding planned maintenance shutdowns of approximately two weeks that reduce the maximum number of production hours accordingly, and then reach full production rate, 100,000 tons per year, in the fourth quarter of 2025.

In parallel with the tuning of the plant, we continue to work on initiatives that improve profitability, such as optimizing logistics and measures to reduce the costs of input materials, MOP and sodium sulfate, and increasing the selling price. This, together with production increases, will lead to stable profitability.

In April, we announced a capital raising in several stages. Through it, we not only secure capital to bring the company to profitability and be able to parry unexpected events, but we also get a better capital structure and investors with several decades of experience in successfully producing and selling water-soluble fertilizers. Bringing in Adam Nawrocki, with over 30 years of experience in developing and leading companies in fertilizer production, as a major shareholder will be a great asset for Cinis' continued development. In addition, our customer and partner Van Iperen is participating in a convertible issue, which underlines their faith in Cinis and our product. With concessions and changes to the terms of the bonds, we will have the time we need to bring the company to full production and stable profitability.

Globally, major industrial investments are being made where our offering fits very well for those industries that take responsibility for their entire production chain. We have ongoing discussions with around twenty industrial partners for the supply of sodium sulfate to potential future production facilities. The players include leading battery manufacturers, chemical industries, and pulp mills in Europe, North America, Asia, and Australia. We are currently closely monitoring developments regarding potential policy changes and trade barriers and reviewing the prioritization of upcoming projects.

Our low-carbon potassium sulfate is now sold in over 40 countries and has received a very positive market reception. The main focus now is to bring the plant in Örnsköldsvik up to full capacity and achieve profitability, after which we will continue to build circular industry in more locations.

Jakob Liedberg, CEO

For full report, please see attached file.

For more information, please contact:

Jakob Liedberg, CEO
jakob@cinis-fertilizer.com
+46 768 58 12 86

Charlotte Becker, IR and Communications Director
charlotte@cinis-fertilizer.com
+46 730 37 07 07

Henrik Andersson, CFO
henrik@cinis-fertilizer.com
+46 705 70 87 53

This information is such information that Cinis Fertilizer is obliged to make public pursuant to the EU's Market Abuse Regulation. This report has been prepared with a Swedish and an English version. In the event of any discrepancies between the two, the Swedish version applies. This information was published, through the agency of the contact persons above, on May 8, 2025, at 08:00 a.m. CEST.

About Cinis Fertilizer
Cinis Fertilizer is a Swedish greentech company that produces an environmentally friendly mineral fertilizer, potassium sulphate (SOP), by among other things, recycling residual streams from the manufacture of batteries and battery materials, as well as from the pulp and other industries. The patented technology uses half the energy of current production methods and results in a mineral fertilizer with a low carbon footprint. A unique and circular contribution that enables sustainable agriculture. FNCA Sweden AB is the company's Certified Adviser. For more information, visit www.cinis-fertilizer.com.