Lammhults Design Group: Interim Report for January-March 2026

Long-term value creation in an uncertain environment

First Quarter

• Net sales amounted to 207.8 MSEK (210.1)
• Adjusted gross margin increased by 0.4% to 36.3% (35.9)
• Adjusted operating profit amounted to 0.9 MSEK (0.9)
• Free cash flow including leasing amounted to -15.9 MSEK (1.4)
• Order backlog amounted to 232.3 MSEK (206.7)

Comments from CEO Susanna Hilleskog

First quarter - Stable group performance in a varied market environment

Group net sales were broadly in line with the first quarter of the previous year, corresponding to an increase of 2.1 percent when adjusted for currency effects. Performance during the period varied between our two business areas, with strong sales in Library Interiors, while Office Interiors continued to operate in a subdued market. Order intake decreased by 3.6 percent, and the total order book at the end of the period was 12.4 percent higher than at the same time last year. The adjusted gross margin strengthened by 0.4 percentage points, reaching 36.3 percent. We report an adjusted operating profit of SEK 0.9 million (0.9) for the period, corresponding to an adjusted operating margin of 0.4 percent (0.4). Free cash flow including leases amounted to MSEK -15.9 million (1.4). Considering the persistently weak market conditions and our ambition to maintain strategic initiatives to strengthen our position going forward across multiple areas in parallel, we are nevertheless satisfied to have maintained last year's earnings level in a seasonally weak quarter.

Continued initiatives for an optimised customer offering

During the first quarter of the year, the Office Interiors business area continued its intensive work on product and portfolio development to ensure a relevant, up-to-date and synchronised customer offering across brand boundaries - without compromising each individual brand's identity. The Library Interiors business area continued to strengthen its offering through the implementation of a new ERP system aimed at improving the customer experience and driving internal efficiency, combined with ongoing brand development work to create the right conditions for future growth.

Our market presence during the first quarter

The highlight of our overall market presence during the period, in addition to ongoing sales and marketing activities related to smaller events, was our participation in Stockholm Design Days, which took place on 3-5 February and brought the city to life, gathering architects, customers and design enthusiasts through a wide range of inspiring experiences. During these days, we welcomed visitors to our new showroom on Norrlandsgatan 20, where we presented outstanding design from our brands. The programme included visits from Swedish and international journalists, numerous meetings with customers and stakeholders, as well as an engaging panel discussion moderated by Max Fraser, where Cristiano Pigazzini, Anya Sebton and Amy Hunting explored what unites and distinguishes Scandinavian design today.

An organisation in transition and development

Our employees play a central role in the business, and the right overall team with the right energy, ambition and competence is essential to our future success. During the period, we successfully secured several key appointments through both external recruitment and internal promotions. We are particularly pleased to be able to offer our employees internal development opportunities within a broader context. The implementation of our new shared values continues. The aim is to connect our employees, our brands and the way we work, providing a common platform regardless of roles, functions or geographical boundaries. In order to further strengthen organisational cohesion, we have, within the framework of the Lammhults Design Group Academy, initiated a training programme for all managers across the Group, aimed at fostering a business culture with clear leadership focused on improved performance.

Navigating a volatile external environment

In an ongoing uncertain global environment, where broad geopolitical instability is affecting demand, market conditions remain challenging. The company's direct exposure to particularly vulnerable and unstable regions is limited, as operations are primarily conducted in the Nordic and European markets with stable supply chains. At the same time, we observe indirect effects, mainly in the form of weaker-than-expected demand, increased freight costs, and announced price increases for components. The company is actively working with cost control, supply chain flexibility and close collaboration with customers to ensure it is well positioned when demand gradually recovers. The EBIT target and ambition of 8-10 percent remains unchanged. We continue to work long-term in an uncertain environment.

This is an English translation of the original Swedish text. In case of any discrepancies, the Swedish version shall prevail.

Invitation to report presentation

Today at 14:30 CEST, the report will be presented in a live webcast by CEO Susanna Hilleskog and CFO Jesper Langebro for the press and the financial market. The presentation will be held in Swedish. To access the presentation, please use the link below. The webcast includes the opportunity to submit written questions.

To participate in the presentation, please use the link below:

https://lammhults-design-group.events.inderes.com/q1-report-2026

For further information, please contact:

Susanna Hilleskog, CEO and President, tel. +46 (0) 709 55 13 37

Jesper Langebro, CFO, tel. +46 (0) 708 63 70 30

About Lammhults Design Group

Lammhults Design Group is a Swedish furniture group that develops products and interior solutions for public spaces and office environments. The Group operates through two business areas: Office Interiors and Library Interiors. The Group creates long-term profitable growth by developing and refining its brands, strengthening its customer offering, and driving operational efficiency. Its operations are built on customer insight, design, innovation, and sustainability. The portfolio includes some of Scandinavia's strongest brands, and the products are developed in close collaboration with leading designers in the industry. Lammhults Design Group is listed on Nasdaq Stockholm Small Cap.

This information is information that Lammhults Design Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication at 13:30 CEST on 28 April 2026, through the agency of the contact person set out above.