Business
QPR Software Oyj : Annual report 2025 (QPR Annual Report 2025)
QPR Software Oyj : Annual report 2025 (QPR Annual Report
About this update from Qpr Software Oyj
QPR Software Plc Annual Report 2025 1 TABLE OF CONTENTS Our purpose, strategy and markets 3 Review by the CEO 6 Board of Directors 9 Executive Management Team 11 Report of the Board of Directors 15 Group Financial Statements 33 Notes to Financial Statements 40 Parent Company Financial Statements 75 Signatures of Board of Directors' Report and Financial Statements 101 Auditor's Report 102 Information for Shareholders 108 Contact Information 109 2 Our purpose, strategy and markets OUR PURPOSE IS TO HELP ORGANIZATIONS REACH THEIR FULL OPERATIONAL POTENTIAL QPR Software's mission is to innovate, develop and deliver software for analyzing, monitoring, and modeling the organizations' operations. With our solutions, our customers can visualize how their processes truly work in reality, identify bottlenecks, and develop their operations to be more efficient, transparent, and manageable. In addition to software, we offer expert services that enable our customers to gain the full benefit of analytics, artificial intelligence, and automation in developing their processes. We help organizations make better decisions through fact-based visibility - and build sustainable competitiveness through continuous improvement. OUR STRATEGY AND STRATEGIC TARGETS QPR Software Plc refined its current strategy in December 2023 to reflect market changes and the Company's priority areas and announced renewed financial goals for the strategy period 2024-2027. In accordance with the refined strategy, the Company profiles itself even more strongly as a software and SaaS player and as a consultant for its core business areas as well as a leading player in Digital Twin of an Organization (DTO) technology. The aim of the refined strategy is to further increase the value the Company produces for its customers and to support the Company's growth through concentration. The Company's mission is to innovate, develop and deliver software for analyzing, monitoring, and modeling the organizations' operations. The Company also offers consulting services to ensure that customers get full value from the software and related methods. In accordance with the adjusted strategy (2024-2027), the Company focuses its business on the international growth of SaaS solutions offered by Digital Twin of an Organization (DTO) and the process mining at its core. The Company's DTO offering also includes software developed for modeling and managing and measuring the organization's strategy and performance. The Company's revised financial goals for the strategic period 2024-2027 are average twenty (20) percent annual SaaS growth, and sustainable operating profit. The Company also continues to build new strategic partner networks in accordance with the strategy announced on March 10, 2022, to achieve a scalable Go-to-Market model, expand its own offering and improve the value it provides to its customers together with technology and implementation partners. The Company concentrates its growth investments in Europe and the Middle East and, through a partner network, on new market areas such as North America. 4 THE CURRENT STATE OF OUR MARKETS QPR Software reports its geographical areas as Finland, the rest of Europe (including Turkey), and the rest of the world. The company has its own sales personnel in Finland and Saudi Arabia. Growth investments are targeted particularly at the European and Middle Eastern markets. In addition, new customer bases are being pursued through the partner network in regions such as North America. QPR works in close cooperation with local partners to strengthen its market position and respond to regional customer needs. The goal is scalable growth in international markets by combining our own expertise, technology, and the power of our partner network. 5 REVIEW BY THE CEO Business operations The year 2025 was a year of growth investments and strengthening of strategic position for QPR. We focused on building the conditions for international growth, developing QPR ProcessAnalyzer, and expanding our partner network. The market environment remained challenging, and the timing of individual deals affected net sales and results, but strategic progress continued as planned. In the fourth quarter, SaaS revenue grew by 1%, driven by double-digit growth in our flagship product, QPR ProcessAnalyzer, combined with declining revenue from legacy products. Software revenue decreased by 40% and total revenue by 37% to EUR 1,246 thousand (EUR 1,963), mainly due to large license deals in the comparison period and the weakening of the US dollar. In addition, the share of one-time licenses in sales continued to decline, which is also reflected in lower maintenance revenue. Despite this, cash flow from operations remained positive. For the full year, SaaS net sales grew by 2%, and the SaaS net sales of QPR ProcessAnalyzer continued its double-digit growth. Total net sales amounted to EUR 5,619 thousand and decreased by 15% (EUR 6,614), while software net sales declined by 18%. Together with growth investments and currency exchange effects, this resulted in a loss for the year, although EBITDA remained positive as planned. However, the investments made during the year have built a strong foundation for scalable growth and improved profitability. International growth and the Snowflake ecosystem In 2025, QPR invested heavily in the Snowflake ecosystem to build new international growth opportunities. Key Snowflake events in Riyadh, Dubai, San Francisco, New York, Chicago, and Stockholm brought extensive international visibility to our QPR ProcessAnalyzer solution. This was particularly evident in the increase in commercial discussions and proof-of-concept projects. In the fourth quarter, QPR ProcessAnalyzer was selected for use by international organizations in the financial services, asset management, and pharmaceutical industries. Our customer base expanded particularly among large and mid-sized financial institutions in Europe and North America, including a leading Central European financial services company and Santander Bank Poland, as well as a large US-based asset management company. In addition, a global pharmaceutical company entered into a three-year contract extension with QPR. These agreements strengthened our position in large enterprise customers with high requirements. In the Middle East, business progressed positively throughout the year. In the last quarter, a significant public administration organization in Saudi Arabia selected the QPR Metrics solution for performance management. Regarding process mining and QPR ProcessAnalyzer, the region saw growing interest during the year, and a commercial foundation was built for future projects. Growth investments and product development In 2025, QPR continued determined growth investments to build a scalable and international business model. The Company deepened cooperation with existing partners and expanded its partner network in the United States, Europe, and the Middle East. This strengthens our market coverage, although the financial effects of the partner-driven model typically materialize with a lag. As the market shifts towards cloud-based native applications and artificial intelligence, we continued to develop our flagship product, QPR ProcessAnalyzer, specifically around the Snowflake platform and AI. During the financial year, we released a significant AI innovation for process mining: a new generation of Root Cause Analysis, which enables a shift from reactive analysis towards predictive and continuously evolving process optimization. QPR ProcessAnalyzer remains the world's only process mining software that runs natively on the Snowflake AI Data Cloud, providing customers with unique benefits in performance, data security, and scalability. Availability on the Snowflake Marketplace supports the easy global deployment of this technology. 6 Looking ahead In 2026, our focus will be on the determined closing of new deals and fully utilizing our partner network to accelerate international growth. The rapid development of AI is changing the way organizations analyze and improve their operations, and QPR has positioned itself at the core of this transformation. The Snowflake ecosystem, along with product and technology investments made during 2025, create a foundation for scalable and profitable growth. QPR has a clear strategic direction, a competitive and distinctive product portfolio, and a committed and skilled personnel. Building on these strengths, we are constructing long-term business growth and strengthening our position as an international player in process mining and AI-based analytics solutions. I would like to warmly thank our customers, partners, shareholders, and the entire QPR personnel for their trust and good cooperation during 2025. Heikki Veijola Chief Executive Officer 7 Board of Directors and Executive Management Team BOARD OF DIRECTORS The Board of Directors oversees the company's management and organizes the operations as appropriate. The Board validates the principles concerning the company's strategy, organization, accounting, and financial control and appoints the company's CEO. The Board's work is determined by the Board's rules of procedure, which e.g. determine the matters requiring consideration by the Board. The CEO is responsible for executing the company's strategy BOARD OF DIRECTORS About Chairman of the Board since March 2021 Independent of the Company and its significant shareholders Key experience Independent management consultant and professional board member. Computer 2000 AG, Co-CEO 1995 - 2000. Computer 2000 Finland Oy, Founding Member and Managing Director 1983 - 1995. Extensive board experience from several Finnish publicly listed technology companies and growth companies. and managing current matters in accordance with the instructions and regulations issued by the Board. The Annual General Meeting of QPR Software Plc on June 18, 2025, resolved that the Board of Directors shall consist of four members. The Annual General Meeting elected the following members to the Board of Directors: Pertti Ervi, Chairman Antti Koskela, Member Jukka Tapaninen, Member Maija Hovila, Member The members of the Board of Directors were elected based on the proposals of the Shareholders' Nomination Board of QPR Software Plc. The Board of Directors did not establish any committees due to the scope of the company's business and the size of the Board. The members of QPR's Board of Directors have extensive strategic expertise and strong experience in the technology sector, software business development, growth, and internationalization, as well as in the utilization of data and artificial intelligence solutions in business. Pertti Ervi Chairman of the Board b. 1957, engineer Antti Koskela Member of the Board b. 1971 Master of Science in Technology Key positions of trust Chairman of the Board, F-Secure Oyj, 2022 - present Member and Chairman of the Board, Chairman of the Audit Committee, WithSecure Oyj, 2003 - 2023 Member and Chairman of the Board, Efecte Oy 2008-2024 Chairman of the Board, Mintly Oy, 2017 - 2022 Member of the Board, Pointsharp Holding AB, 2021 - present Member and Chairman of the Board, Teleste Oyj, 2009 - 2020 Member and Chairman of the Board, Comptel Oyj, 2011 - 2017 Chairman of the Board, Stonesoft Oyj, 2004 - 2007 Pertti Ervi held 128,822 shares in QPR Software Plc as of December 31, 2025. About Member of the Board since March 2021. Independent of the Company and its significant shareholders Key experience WithSecure Oyj, President and CEO 2024 - present WithSecure Oyj, Executive Vice President and Chief Product Officer, 2021 - present Elisa Oyj, Vice President, Business Development, 2020 - 2021 Nokia Software, CDO and Vice President, 2018 - 2020 Comptel, CTO and Executive Vice President, 2011 - 2017 Nokia Siemens Networks, various managerial positions, 2007 - 2011 Nokia Networks, various managerial positions, 1999 - 2007 Key positions of trust Member of the board, QPR Software Oyj, 2021- Antti Koskela held 73,895 shares in QPR Software Plc as of December 31, 2025. BOARD OF DIRECTORS About: Member of the Board of Directors since June 2025. Independent of the company and its significant shareholders. Key experience: Futurice, Chief Data & AI Strategist, 2023- KONE, Chief Analytics Officer, 2021-2023 KONE, Global Head of Analytics, 2019-2021 Unilever, London, Global Head of Analytics & Digital Insights Lead, 2018-2019 Unilever, London, Senior Global Analytics Manager, 2016-2017 Maija Hovila Member of the Board b. 1982, Master of Science in Technology, MBA Unilever, London, Global Analytics Manager, 2015-2016 Capgemini Consulting, London, Business Analytics Consultant, 2013-2015 Key positions of trust: Member of the Board of Directors, QPR Software Plc, 2025- Member of the Board of Directors, Recordly, 2025- (Deputy member 04/2024-12/2024) Member of the Board of Directors, ' Technology Industries of Finland Centennial Foundation, 2025- Member of the Advisory Board, AI Finland, 10/2024- Maija Hovila owned 13,737 shares in QPR Software Plc on December 31, 2025. Jukka Tapaninen Member of the Board b. 1963 M.Sc., Economics About Member of the Board since March 2021. Independent of the company and its significant shareholders. Key experience Aiforia Technologies, CEO, 2020 - present Pegasystems, VP and Managing Director EMEA, APAC and Japan, 2016 - 2020 SAP, Vice President Global/EMEA, 2005 - 2016 Basware, SVP and General Manager, 2002 - 2005 Stonesoft Inc, CEO Americas, 2000 - 2002 HP, Regional and Global managerial roles, Sales and Business Development, 1995 - 2000 Key positions of trust Vice Chairman of the Board, Aiforia Oy, 2015 - 2020 Member of the Board, WeVision Oy, 2014 - present Member of the Board, Meshworks Wireless Oy, 2011 - present Chairman of the Board, Addoro Ab, 2014 - 2017 (acquisition) Member of the Board, Findity Ab, 2013 - 2016 Member of the Board, VeliQ B.V., 2015 Jukka Tapaninen held 63,926 shares in QPR Software Plc as of December 31, 2025. BOARD OF DIRECTORS In addition, Linda von Schantz served as a member of the Board of Directors from January 1st June 18th, 2025. EXECUTIVE MANAGEMENT TEAM Heikki Veijola CEO b. 1970 Master of Science in Economics Taru Mäkinen CFO b. 1975 Master of Science in Economics Matti Erkheikki Chief Product Officer b. 1978 Master's Degree in Industrial Engineering and Management About The Company's CEO since March 2023 Area of Responsibility Heikki Veijola started as the CEO of QPR Software Oyj on March 1, 2023. As the CEO of QPR Software, Heikki Veijola is responsible for managing the running administration of the Company in accordance with the instructions and regulations issued by the Board of Directors. Veijola is also responsible for representing the Company, its operational management, sales and partner operations, human resources, and preparation of decisions and implementation thereof that belong to the Board of Directors. Experience Veijola has served as Enreach Oy's Director of Strategic Partnerships and a member of the executive management team, being responsible for business operations in the Microsoft and Salesforce ecosystems as well as for cooperation with system integrators, consultants, and other strategic partnerships, especially in Northern Europe. Before this, Veijola was the Sales Director of Enreach Oy. Veijola has strong experience in building and renewing sales, international growth, partner ecosystems, and cloud- and SaaS (Software as a Service) businesses. During his career, Veijola has also worked for 11 years in Finland's largest marketing group Salomaa Group as a CEO of KASKI Agency, and advertising agency Adsek Oy, leading the companies through two industry transformations. Education Veijola has a master's degree in Economics (M.Sc., Turku School of Economics and Business Administration) majoring in International Marketing. About Member of the Executive Management Team since October 2024. Area of Responsibility Mäkinen is responsible for QPR Software's finance and administration, including external and internal reporting, monitoring and managing the financial performance of the business, capital allocation and procurement. She also oversees investor relations, compliance with the Insider Trading Manual, coordination of risk management and treasury functions. Experience Mäkinen brings over 20 years of diverse experience in various leadership roles in financial management. Most recently, she served as the CFO of Casambi Technologies Oy and previously held a similar position at Efecte Plc. Education Taru holds a Master of Science degree in Economics and Business Administration. About Member of the Executive Management Team since July 2007 Area of Responsibility Matti Erkheikki is the head of QPR's product management unit and is responsible for QPR's products and the vision and strategy of the product portfolio. It is on Erkheikki's responsibility that the Company's products and their characteristics are in line with the organization's goals and that the product portfolio is constantly developed and improved in accordance with the needs of customers and target groups. Experience Erkheikki has been employed by QPR since 2002, first as a consultant, participating in QPR'as delivery projects both domestically and internationally. In 2005, Erkheikki worked as the company's development manager, and in 2006 as the regional manager responsible for the USA and Canada operations in California at QPR's American subsidiary. In the years 2007-2014, he as responsible for QPR's Finnish business and in the years 2012-2014 also for the global OEM business. Prior to his current position, since January 2015, he has held the role of Business Director, responsible for QPR's process mining and strategy management operations internationally. Education Erkheikki holds a master's degree in industrial engineering and management. EXECUTIVE MANAGEMENT TEAM Tero Aspinen VP, Middle East Business b. 1985 Master's Degree in Industrial Engineering and Management Sanna Salo CMO b. 1977 Master of Science in Economics Certified Board Member (HHJ) Teemu Lehto Chief of Professional Services b. 1970 Doctor of Science (Technology) About Member of the Executive Management Team since January 2017 Area of Responsibility Tero Aspinen is responsible for QPR's business in the Middle East market and forsales an development of Performance Management software solutions globally. Experience Tero Aspinen has served QPR Software in various roles since 2008. He has been involved in more than a hundred customer cases where organizations have implemented QPR's solutions. Prior to his current role, Mr. Aspinen worked as Vice President for Middle East Business and Performance Management Solutions (2017-2022). Education Aspinen holds a Master's degree in Industrial Engineering and Management. About Member of the Executive Management Team since February 2022 Area of Responsibility Sanna Salo is responsible for the strategy, planning, development, and implementation of QPR Software's brand, marketing, communication, and stock exchange communication. Experience Salo has more than 20 years of experience of B2B business in the IT industry through various positions in sales, marketing, and communication. Before starting at QPR, Salo worked as the Marketing and Communications Director of B2B digital marketing solutions provider Fonecta Oy. Before Fonecta, Salo worked for ten years at International Business Machines Corporation (IBM), holding various management positions in marketing both in Finland and in the Nordic countries. Before this, Salo worked for nine years at Atea Finland Oy in a range of marketing, communication, and sales positions. Education Salo has a Master's degree in Economics (M.Sc., Turku School of Economics and Business Administration) majoring in marketing. Salo also has a Bachelor of Business Administrarion (B.Sc.) degree in international business from Häme University of Applied Sciences. In addition, Salo holds a Certified Board Member (HHJ) certification. About Member of the Executive Management Team since March 2023 Area of Responsibility Teemu Lehto is responsible for QPR's professional services business. Experience Teemu Lehto has worked in management and expert positions at QPR Software for over 20 years. During his long career at QPR, Lehto has been responsible for the consulting business, marketing and communication, product development, as well as sales and partnerships. Before joining QPR, Lehto worked as CEO of Planway Oy, as the development manager of ICL Data Oy, and as the product development manager of ViSolutions Oy. He has also previously worked as a software engineer at Nokia Research Center and Systeemikonsultit Oy. Education Lehto holds a Doctoral degree in Technology. EXECUTIVE MANAGEMENT TEAM Mika Maliniemi Chief Operating Officer b. 1980 Degree in business information technology About Member of the Executive Management Team since January 2024 Area of Responsibility Maliniemi's area of responsibility includes QPR's software product development, cloud service development and production, and customer support services. Experience Mika Maliniemi has worked in management and expert positions for over 20 years. Maliniemi has a long career at QPR, where he has been responsible for partnerships and technical consulting. He has also led QPR's Customer Care, Cloud Services, and the Technical Services units. Outside QPR, Maliniemi worked at Mawell Plc, where he established and launched their customer support operations. He has also worked at TietoEvry as a manager, leading the customer support and deployments. Education Mika holds a degree in business information technology from Business School of Oulu. Antti Kivalo served as Chief Sales Officer and a member of the Executive Management Team from January 1st August 29th, 2025. 13 QPR Software Plc Board Review and Financial Statement 2025 14 iiil QPR Report of the Board ofDirectors SUMMARY OF THE FULL YEAR 2025 SaaS net sales grew by 2%. QPR ProcessAnalyzer SaaS net sales continued double-digit growth. Software net sales decreased by 18%. Net sales totaled 5,619 thousand euros, down 15% (6,614). EBITDA was EUR 75 thousand (1,020), a change of EUR -945 thousand compared to the corresponding period. The operating profit was -813 thousand euros (-16), a change of -797 thousand euros to the corresponding period. The result before taxes was -862 thousand euros (-103), a change of -759 thousand euros to the corresponding period. Net result was -1,050 thousand euros (-82), a change of -968 thousand euros to the corresponding period. Earnings per share were -0.054 euros (-0.005). Growth investments weighed down the result. Cash flow from operations was -855 thousand euros (806), a change of -1,661 thousand euros to the corresponding period. The weakening of the US dollar had a negative impact on revenue and results REPORTING AND BUSINESS OPERATIONS QPR Software Plc is a pioneer in business process optimization solutions and has positioned itself as a leading player in Digital Twin of an Organization (DTO) technology and one of the most advanced process mining software companies in the world. QPR innovates, develops, and delivers software for analyzing, monitoring and modeling the operations of organizations. The company also offers consulting services to ensure that customers get full value from the software and associated methods. QPR Software reports one business segment, which is Organizational Development of organizations. In addition to this, the Company reports revenue from products and services as follows: Software licenses, Renewable software licenses, Software maintenance services, Cloud services, and Consulting. The company's reported recurring revenues consist of SaaS net sales, maintenance services, as well as revenue from renewable licenses. Licenses are sold to customers for perpetual use or for an agreed, limited period. The revenue from SaaS and maintenance services is recorded monthly as recurring revenue over the contract period. Renewable software licenses are sold to customers as a user right with an indefinite-term contract. These contracts are automatically renewed at the end of the agreed period, usually one year, unless the agreement is terminated within the notice. Renewable license revenue is recognized at one point in time, in the beginning of the invoicing period, yet at the earliest on the delivery. The geographical areas reported are Finland, the rest of Europe (including Turkey), and the rest of the world. Net sales are reported according to the location of the customer's headquarters. The company began reporting capitalized product development costs under employee benefit expenses starting from 2025. The figures for the comparative period 2024 have been adjusted accordingly. NET SALES Net sales in January-December amounted to 5,619 thousand euros (6,614), which is 15% lower than in the comparison period. The decrease in net sales is explained particularly by exceptional, one-off license sales made in the comparison period. In addition, exchange rate fluctuations weakened the development of net sales. The share of recurring revenue in total net sales increased to 79% (73). SaaS net sales increased by 2%, and software net sales decreased by 18%. Net sales from software licenses amounted to 334 thousand euros (926), which is 64% less than in the comparison period. The decrease is explained by the one-off impact of several license deals timed in the comparison period. In the Middle East market, a shift from one-off licenses to recurring licenses is visible. Net sales were mainly generated from additional sales through the partner network to both new and existing customers, direct sales to existing customers, and the expansion of the partner network, which brought new business opportunities and customer accounts. 16 Net sales from renewable software licenses amounted to 314 thousand (420), representing a decrease of 25%. The decrease in net sales was influenced by exchange rates that were less favorable than in the previous year, as well as a larger single deal realized in the comparison period. Due to billing cycles, the billing of the renewed agreement for said significant deal was timed for the last quarter of 2024 and is therefore not included in the net sales of the review period. Net sales from software maintenance services amounted to 1,330 thousand (1,717). Net sales were weakened by a correction made during the second quarter related to the transition of a few larger customers to the SaaS business model. In addition, net sales were reduced by the termination of some customer relationships and exchange rate fluctuations. These effects were partially offset by new customer acquisition. SaaS net sales increased by 2% and amounted to 2,769 thousand euros (2,721). For the Company's strategically key QPR ProcessAnalyzer solution, growth was double-digit, while net sales for older products decreased compared to the comparison period. Growth was influenced by new customer agreements and additional sales to existing customers. Net sales from consulting amounted to 873 thousand (830), an increase of 5% from the comparison period. The growth was due particularly to larger consulting projects involving outsourced workforce and an increase in the number of customer projects. Of the Group's net sales, 39% (39) came from Finland, 47% (40) from the rest of Europe (including Turkey), and 14% (21) from the rest of the world. 17 NET SALES BY PRODUCT GROUP The Group's net sales consists of software and consulting business and was divided as follows: Group (EUR 1,000), IFRS 2025 2024 Change % Software licenses 334 926 -64 % Renewable software licenses 314 420 -25 % Software maintenance services 1,330 1,717 -23 % Cloud services 2,769 2,721 2 % Consulting services 873 830 5 % Total net sales 5,619 6,614 -15 % NET SALES GEOGRAPHICALLY The reported geographical areas are Finland, the rest of Europe including Turkey, and the rest of the world. Revenue is presented based on the customer's location. Group (EUR 1,000), IFRS 2025 2024 Change % Finland 2,179 2,579 -16 % Europe incl. Turkey 2,668 2,656 0 % Rest of the world 773 1,379 -44 % Total net sales 5,619 6,614 -15 % 18 NET SALES DEVELOPMENT The Group's EBITDA in January-December was 75 thousand euros (1,020), which is 945 thousand euros less than in the comparison period. Operating profit was -813 thousand (-16), representing a decrease of 797 thousand euros from the comparison period. The result for the period was -1,050 thousand euros (-82). The Group's variable costs were 933 thousand euros (1,026). The decrease in costs is explained by lower partner commissions compared to the comparison period. The Company's fixed costs were 4,612 thousand euros (4,701), representing a decrease of 2% from the comparison period. Personnel-related cost-saving measures initiated at the end of August explain the decrease in costs. Other operating expenses increased from the comparison period, mainly due to growth investments initiated in the last quarter of 2024. Earnings per share were -0.054 (-0.005) euros per share. FINANCE AND INVESTMENTS In 2025, the Company's free cash flow, which includes cash flow from operations and investments as well as lease payments for premises, was -1,327 thousand euros (436). The decrease in cash flow was mainly due to the weaker result compared to the comparison period and an unfavorable change in working capital. Cash flow from operating activities in the review period was -855 thousand euros (806). The decrease was mainly due to the lower result than in the comparison period. Net financial expenses were 50 thousand euros (87), including exchange rate losses of 6 thousand euros (17). Investments were 429 thousand euros (753), consisting mainly of product development investments. Net cash flow from financing activities was 1,079 thousand euros (-539), mainly due to the share issue carried out during the review period. The issue raised net proceeds of 1.62 million euros. The Group's financial position is satisfactory. At the end of the review period, cash and cash equivalents were 621 thousand euros (825), and short-term trade receivables were 2,013 thousand euros (2,024). Of the trade receivables, 76% were in euros, and 63% of the invoices had not yet matured. Of the total amount of short-term trade receivables, approximately 17% of the matured invoices were 1-30 days overdue, 1% were 30-60 days overdue, and 19% were more than 60 days overdue. The Group has a credit limit of 500,000 euros available, which was not used at the end of the review period. At the end of the review period, the Group had bank loans amounting to 500,000 euros, all of which were short-term. The loan matures in January 2026 (250,000 euros) and December 2026 (250,000 euros), and there are no longer covenant conditions attached to the loan. The equity ratio increased to 26,5% (11,9%), mainly due to the directed share issue carried out during the review period. PRODUCT DEVELOPMENT QPR has profiled itself as a leading provider of Digital Twin of an Organization (DTO) technology. The Company innovates and develops software products that analyze, measure, and model organizational operations. The Company develops the following software products: QPR ProcessAnalyzer, QPR EnterpriseArchitect, QPR ProcessDesigner, and QPR Metrics. Product development expenses in the last quarter were 206 thousand euros (240), and product development expenses capitalized on the balance sheet were 62 thousand euros (88). Amortizations of capitalized product development expenses were recorded at 178 thousand euros (232). In the review period January-December, product development expenses were 868 thousand euros (979), and product development expenses capitalized on the balance sheet were 310 thousand euros (341). Amortizations of capitalized product development expenses were recorded at 822 thousand euros (919). The amortization period for capitalized product development expenses is four years. Product development focused particularly on AI-based solutions that respond to the market shift towards the platform economy and support process analytics, automation, and user experience development. PERSONNEL At the end of the review period, the Group had a total of 31 employees (32). The average number of personnel in 2025 was 32 (33). The average age of the personnel is 46 (45) years. Women account for 26% (22) and men for 74% (78) of the personnel. Of the personnel, 17% (20) work in sales and marketing, 31% (31) in consulting and customer care, 37% (39) in product development, and 14% (9) in administration. Personnel expenses were 3,044 thousand euros (3,136), of which salaries and fees accounted for 2,617 thousand euros (2,690). To incentivize the personnel, the Company has a bonus program covering the entire personnel. The short-term remuneration of the top management consists of a monetary salary, fringe benefits, and a possible annual bonus determined mainly by the net sales development of the Group and business units. In addition, the Company has a key employee stock option plan in place. CHANGES IN GROUP STRUCTURE There were no changes in the Group structure in 2025. STOCK OPTION PROGRAM QPR Software has implemented stock option programs for 2022, 2023, and 2024 as part of its incentive and retention program for key personnel. The purpose of the stock options is to encourage key employees to contribute to the long-term growth of shareholder value and to strengthen employee retention within the company. The stock options are granted free of charge. The 2022 stock option program is designated as 2022. The subscription period for shares under these options is from June 15, 2025, to May 31, 2027. The shares subscribed with the 2022 options correspond to a maximum of 1.9% of the company's shares and voting rights after potential share subscriptions, provided that new shares are issued in the subscription process. As a result of these subscriptions, the number of the company's shares may increase by a maximum of 489,542 shares if new shares are issued. The subscription price per share under the 2022 stock options is EUR 0.85, which corresponds to the market price of the company's share at the time of issuance. The estimated total cost impact of the 2022 option program is approximately EUR 88,000. The 2023 stock option program is designated as 2023. The subscription period for shares under these options is from September 6, 2026, to September 6, 2028. The shares subscribed with the 2023 options correspond to a maximum of 5.2% of the company's shares and voting rights after potential share subscriptions, provided that new shares are issued in the subscription process. As a result of these subscriptions, the number of the company's shares may increase by a maximum of 1,000,000 shares if new shares are issued. The subscription price per share under the 2023 stock options is EUR 0.42, which corresponds to the market price of the company's share at the time of issuance. The estimated total cost impact of the 2023 option program is approximately EUR 150,000. Under the 2024 stock option program, a total of up to 1,800,000 stock options will be granted, entitling holders to subscribe for a total of up to 1,800,000 new or treasury shares of the company. The shares issued based on the stock options correspond to a maximum of 9.0% of the company's total shares. The 2024A stock options are designated as 2024A. The subscription period for shares under these options is from September 10, 2027, to September 9, 2029. The shares subscribed with the 2024A options correspond to a maximum of 4.0% of the company's shares and voting rights after potential share subscriptions, provided that new shares are issued in the subscription process. As a result of these subscriptions, the number of the company's shares may increase by up to 720,000 shares if new shares are issued. The subscription price per share under the 2024A stock options is EUR 0.59, which corresponds to the market price of the company's share at the time of issuance. The estimated total cost impact of the 2024A option program is approximately EUR 131,000. A total of 540,000 stock options will be issued under the designation 2024B, and an additional 540,000 stock options under 2024C. The subscription period for shares under the 2024B stock options is from September 9, 2028, to September 8, 2030. The subscription period for shares under the 2024C stock options is from September 9, 2029, to September 8, 2031. The theoretical market value of the 2024B and 2024C stock options will be determined at the time of issuance. The terms and conditions of the 2022, 2023, and 2024 stock option programs are available on the company's website: https://www.qpr.com/investors . STRATEGY QPR Software's mission is to innovate, develop, and deliver software solutions for analyzing, monitoring, and modeling organizational operations. The company also provides consulting services to ensure that customers derive full value from its software and related methodologies. On December 14, 2023, QPR Software Plc refined its existing strategy to reflect market changes and the company's key focus areas and announced updated financial targets for the strategy period. Under the refined strategy, the company positions itself more strongly as a software and SaaS provider, a consultant for its core business areas, and a leading player in Digital Twin of an Organization (DTO) technology. The goal of the refined strategy is to further enhance the value delivered to customers and drive company growth through focus and specialization. In line with the 2024-2027 strategy, the company will focus on the international growth of its Digital Twin of an Organization (DTO) offering, with process mining SaaS solutions at its core. Additionally, the DTO offering includes software solutions developed for modeling, strategic performance management, and measurement. QPR Software's updated financial targets for 2024-2027, published in December 2023, are: An average annual SaaS growth of 20%, and Sustainable operating profit. The company will update its financial targets for the coming years in 2026. In line with the strategy announced on March 10, 2022, QPR Software continues to build new strategic partner networks to achieve a scalable go-to-market model, expand its offering, and increase customer value in collaboration with technology and implementation partners. The company focuses its growth investments in Europe and the Middle East, while also expanding into new markets, such as North America, through its partner network. The stock exchange release related to the strategy update is available in the Investors section on the company's website, https://www.qpr.com . PARENT'S COMPANY'S FINANCIAL PERFORMANCE AND POSITION During the reporting period, the parent company's revenue amounted to EUR 5,110,727, representing a decrease of 16.2% from the comparison period (2024: 6,098,792). The decline in revenue is primarily explained by an exceptional, one-off license sale executed during the comparison period. Additionally, exchange rate fluctuations had a negative impact on revenue development. The parent company's operating profit margin was -25%, amounting to EUR -1,276,743 (2024: -9%, -534,617). The operating profit weakened due to the company's growth investments and a decline in the software business, although it was positively impacted by cost savings. In addition to the previously mentioned impacts, the parent company's result for the financial year, EUR -928,871 (2024: -643,379), declined due to higher financial expenses compared to the previous year. Financial expenses amounted to EUR 130,403 (2024: 108,762). At the end of the 2025 financial year, the share capital was EUR 80,000, divided into 19,850,578 shares. The company has a single class of shares. Each share carries one vote and an equal right to dividends. The accounting counter-value of a share is EUR 0.11. The shares are incorporated in the book-entry system maintained by Euroclear Finland Oy. At the end of the financial year, the parent company's equity stood at EUR 1,378,224 (2024: 516,693). Equity was strengthened by a share issue carried out during the financial year. Driven by the cost savings achieved by the company, the parent company's current liabilities decreased by EUR 707,963 to EUR 5,496,139. The parent company's current liabilities included EUR 2,416,549 in loans from its subsidiaries, while the parent company had granted loans of EUR 446,586 to its subsidiaries. Additionally, EUR 670,528 in advance payments for the year 2025 are reported under the parent company's current liabilities. Return on equity was negative at -67% (2024: -125%). The equity ratio stood at 22% (2024: 10%). SHARE CAPITAL, SHAREHOLDERS, AND SHARES At the end of the 2025 financial year, the company's share capital amounted to EUR 80,000, divided into 19,850,578 shares. The company has a single share class, with one vote per share and equal rights to dividends. The accounting par value of a share is EUR 0.11. The shares are registered in the book-entry system maintained by Euroclear Finland Oy. At the end of the financial year, the company had 2,635 shareholders (2024: 2,174). During the financial year, QPR Software's shares were traded for a total of EUR 4,005,000 (2024: EUR 1,964,000), averaging EUR 16,020 per trading day (2024: EUR 7,857). The total trading volume was 4,862,073 shares (2024: 3,842,304 shares), representing 24.7% of outstanding shares (2024: 21.4%). The average trading price was EUR 0.82 per share (2024: EUR 0. 51). The highest closing price during the financial year was EUR 1.145 (2024: EUR 0.82), and the lowest was EUR 0.45 (2024: EUR 0. 33). The market capitalization of the company's outstanding shares at the year-end closing price of EUR 0.83 per share was EUR 16.318 million. During the 2025 financial year, on June 3, 2025, QPR Software Plc received a notification of major shareholding (flagging notification) from Anna Pöyry in accordance with Chapter 9, Section 5 of the Finnish Securities Markets Act (SMA). According to the notification, Anna Pöyry's indirect holding of shares and votes in QPR Software Plc fell below the five (5) percent threshold on June 2, 2025. The decrease in the holding was due to the dismantling of the group structure of Umo Invest Oy and Umo Capital Oy and the related transfer of shares and voting rights. On May 27, 2025, QPR Software Plc received a notification of major shareholding from Umo Capital Oy in accordance with Chapter 9, Section 5 of the Finnish Securities Markets Act (SMA). According to the notification, Umo Capital Oy's holding of shares and votes in QPR Software Plc fell below the five (5) percent threshold on May 26, 2025, as a result of a transfer of shares and voting rights. Major shareholders of QPR Software Plc, December 31, 2025 Registered Owners No. Shares % of shares and votes KEMPE ROGER KENNETH: 5,383,926 27 % OY FINCORP AB 5,341,126 27 % KEMPE ROGER KENNETH 42,800 0 % LESKINEN VESA-PEKKA ILMARI: 1,825,200 9 % LESKINEN VESA-PEKKA ILMARI 1,185,200 6 % KAUPPAMAINOS OY 640,000 3 % SIILASMAA RISTO KALEVI: 1,286,103 6 % SIILASMAA RISTO KALEVI 805,333 4 % FIRST FELLOW OY 480,770 2 % Oy Talcom AB 754,373 4 % OY FORMIKAFINN AB 693,709 3 % UMO INVEST OY 625,435 3 % LAMY OY 553,249 3 % JUNKKONEN KARI JUHANI 520,924 3 % UMO CAPITAL OY 461,465 2 % PIEKKOLA ASKO SAKARI 413,917 2 % PELKONEN JOUKO ANTERO: 408,900 2 % POHJOLAN RAHOITUS OY 407,000 2 % PELKONEN JOUKO ANTERO 1,900 0 % LESKINEN VELI-MIKKO ILMARI 310,040 2 % TRADEIRA OY 204,842 1 % QPR SOFTWARE OYJ 190,911 1 % KEMPE PIA PAULINA 178,566 1 % OY CATA-HOLDING AB 155,000 1 % ERVI PERTTI OLAVI 128,822 1 % LEINO RIKU PETTERI 106,500 1 % KOKKO JOUNI 100,000 1 % NORDCENTERIN NUORISOVALMENNUKSEN EDISTÄMISSÄÄTIÖ S 100,000 1 % 20 largest shareholders, total* 14,401,882 73 % Other shareholders, total 5,448,696 27 % Total 19,850,578 100 % *exclude nominee registered shareholders Distribution of shareholding by size, December 31, 2025 Number of Shares Shareholders: Number % Shares and votes: Number % 1 - 500 1,894 72 % 217,213 1 % 501 - 1 000 280 11 % 223,005 1 % 1 001 - 5 000 311 12 % 710,633 4 % 5 001 - 10 000 57 2 % 413,577 2 % 10 001 - 50 000 59 2 % 1,342,242 7 % 50 001 - 100 000 13 0 % 937,554 5 % 100 001 -6 000 000 21 1 % 16,006,354 81 % Total 2,635 100 % 19,850,578 100 % of which nominee registered 7 0 % 1,898,779 10 % Distribution of shareholding by sector, December 31, 2025 Shareholders: Shares and votes: Sector Number % Number % Private companies 55 2 % 4,947,957 25 % Financial and insurance institutions 8 0 % 7,812,089 39 % Households 2,561 97 % 6,808,612 34 % Non-profit organizations 2 0 % 100,001 1 % European Union 3 0 % 172,834 1 % Other countries 6 0 % 9,085 0 % Total 2,635 100 % 19,850,578 100 % of which nominee registered 7 0 % 1,898,779 10 % 24 QPR Software shareholding by insiders and closely related persons, December 31, 2025 Shares Options related persons *) Members By controlled entities By closely 2022 2023 2024 A Board members: 280,380 Management team members: 39,121 9,350 430,977 790,000 511,200 * Shares held by spouses and persons under guardianship OWN SHARES The total number of the company's shares is 19,850,578, of which 190,911 shares are held by the company as own shares. The total nominal value of these shares is EUR 21,000, and their acquisition cost amounts to EUR 177,027. The shares held by the company (own shares) represent 1.0% of the company's share capital and voting rights. CORPORATE GOVERNANCE SYSTEM The administration of QPR Software Plc (QPR) is guided by good corporate governance practices and high ethical standards. The company's governance principles comply with the Finnish Companies Act, the Market Abuse Regulation, securities market legislation, and other regulatory provisions concerning the governance of publicly listed companies, as well as the Articles of Association of QPR Software Plc. Furthermore, the company complies with the Finnish Corporate Governance Code for listed companies issued by the Securities Market Association, which entered into force on January 1, 2025, and the Insider Guidelines of Nasdaq Helsinki, which entered into force on December 4, 2024, as described on the company's investor pages. A separate Corporate Governance Statement for 2024 was issued in connection with the publication of the Annual Report on April 3, 2025. The company's governance principles and the Corporate Governance Statement are available in the investor section of the company's website ( https://www.qpr.com ). The investor pages also provide access to, among other things, a description of insider administration, information on the largest shareholders, the Articles of Association, the charter of the Board of Directors, a description of internal control and audit, introductions of the Board of Directors and the Executive Management Team, a summary of the company's disclosure policy, as well as the releases published by the company during the financial year. ANNUAL GENERAL MEETING The Annual General Meeting of QPR Software Plc was held on June 18, 2025 in Espoo. The General Meeting adopted the Company's financial statements for the financial year 2024 and discharged the members of the Board of Directors and the CEO from liability. The General Meeting resolved that no dividend be paid based on the balance sheet adopted for the financial year ended on December 31, 2024, and adopted the Company's Remuneration Report. Further, the General Meeting resolved to authorise the Board of Directors to decide on share issues and on the issues of special rights entitling to shares as well as on the acquisition of own shares. Annual accounts and the use of the profit shown on the balance sheet The General Meeting adopted the Company's financial statements and discharged the members of the Board of Directors and the CEO from liability for the financial period January 1 - December 31, 2024. The General Meeting resolved that no dividend be paid based on the balance sheet adopted for the financial year ended on December 31, 2024. Board of Directors and Auditor The General Meeting confirmed that the number of Board members is four (4). Pertti Ervi was re-elected as the Chairman of the Board of Directors and Antti Koskela and Jukka Tapaninen were re-elected as members of the Board of Directors. Maija Hovila was elected as a new member of the Board of Directors. Authorised Public Accountants Ernst & Young Oy was elected as the Company's auditor. Ernst & Young Oy has announced that Maria Onniselkä, Authorised Public Accountant, will act as the principal auditor. Remuneration of the members of the Board of Directors and the Auditor The General Meeting resolved that the Chairman of the Board of Directors be paid EUR 45,000 per year and the other members of the Board of Directors EUR 25,000 per year. Approximately 40 percent of the remuneration will be paid in shares and 60 percent in cash. The shares will be transferred at the earliest after the General Meeting election and in accordance with the insider trading regulations. The members of the Board of Directors will also be reimbursed for travel and other expenses incurred while they are managing the Company's affairs. The remuneration of the Auditor shall be paid according to the reasonable invoice. Authorization of the Board of Directors to decide on share issues and on the issue of other special rights entitling to shares. The General Meeting resolved to authorise the Board of Directors to decide on issuances of new shares and conveyances of own shares held by the Company (share issue) either in one or more instalments. The share issues can be carried out against payment or without consideration on terms to be determined by the Board of Directors. The authorisation also includes the right to issue special rights referred to in Chapter 10, Section 1 of the Finnish Companies Act, which entitle to the Company's new shares or own shares held by the Company against consideration. Based on the authorisation, the maximum number of new shares that may be issued and own shares held by the Company that may be conveyed in share issues and/or on the basis of special rights is 1,985,057 shares. The authorisation includes the right to deviate from the shareholders' preemptive subscription right. The authorisation is in force until the next Annual General Meeting. The Board of Directors did not use the above-mentioned authorizations during the financial year. MANAGEMENT AND AUDITOR Heikki Veijola served as the CEO of the company from January 1 to December 31, 2025. The other members of the Executive Management Team were: Matti Erkheikki, responsible for QPR's products, product portfolio vision, and strategy. Antti Kivalo, Director of Sales and Customers, from September 1, 2024, to August 29, 2025, after which the responsibilities of the Sales Director wereransferred for the time being to CEO Heikki Veijola. Mika Maliniemi, responsible for software product development, cloud service development and operations, and customer support services. Tero Aspinen, responsible for business operations in the Middle East. Teemu Lehto, responsible for the consulting business. Sanna Salo, responsible for marketing, communications, and brand. Taru Mäkelä as the Chief Financial Officer (CFO). During the financial year, Ernst & Young Oy served as the company's statutory auditor, with Maria Onniselkä, Authorized Public Accountant (KHT), as the principal auditor. MANAGEMENT'S SHAREHOLDING As of December 31, 2025, the members of the Board of Directors and the CEO, including their related parties, held a total of 319,501 shares in QPR Software Plc, representing 1.7% of the company's shares and voting rights (December 31, 2024: 1.5%). The shareholding figures include shares owned personally, by spouses, dependents, and entities under their control. INTERNAL CONTROL The objective of the Group's internal control and risk management is to ensure that the Group's operations are efficient and effective, information is reliable, regulations and policies are followed, strategic goals are achieved, changes in the market and operating environment are addressed, and business continuity is secured. The Board of Directors of QPR Software Plc oversees the adequacy, appropriateness, and effectiveness of the internal control and risk management within the QPR Group. In accordance with the Board's annual calendar, a risk management report covering the risks described under the Risk Management section is presented to the Board. The Board evaluates risks based on their potential threat to shareholders. Additionally, the Board ensures that internal control principles are defined within the company and that the effectiveness of internal control is continuously monitored. RISK MANAGEMENT The Group CFO is responsible for coordinating and reporting on the Group's internal control and risk management. The Group's risk management efforts are guided by legal requirements, shareholder expectations regarding business objectives, and the expectations of customers, employees, and other key stakeholders. The objective of QPR's risk management is to systematically and comprehensively identify risks related to the company's operations and ensure they are effectively managed and considered in decision-making. Risk management is an integral part of the organization's responsibilities and is continuously improved by enhancing the company's operational processes. Risk identification follows the principle of materiality, meaning that risks are monitored based on their significant impact on the company's business operations. QPR Software has identified the following three main risk categories related to its operations: Business risks, Information and product-related risks, Financial risks. The company has insured its assets, business interruption risks, and liability risks to mitigate potential damages. QPR Software Plc's management system is certified under the ISO 9001:2015 quality standard, covering all company operations. This certification is audited annually by an independent external assessor. BUSINESS RISKS QPR Software has identified the following key business risks: Country Risk The risk is measured by the loss of revenue from specific countries. The company manages this risk through continuous market intelligence gathering, geographical and industry diversification, and careful consideration of geopolitical changes. Customer Risk The risk is measured by the customer churn rate for software maintenance services and the percentage of overdue receivables. Risk is mitigated through strong customer and reseller relationship management and active monitoring of accounts receivable. Employee Risks The risk is measured by employee turnover. It is managed through competent recruitment, effective leadership, and by providing employees with opportunities for job rotation and training. Legal and Other Risks The risk is measured by the total value of ongoing legal disputes in relation to the company's revenue. The company mitigates this risk through strong contractual expertise, standard contract terms, and ethical business practices aligned with company values. QPR's country and customer risks are reduced by its business operations spanning over 40 countries, serving both public and private sectors across multiple industries. Operating in international markets inherently involves a reasonable credit loss risk related to individual business partners. The company seeks to minimize this risk through continuous monitoring of standard payment terms, receivables, and credit limits. At the end of the reporting period, 19% (2024: 5%) of trade receivables were overdue by more than 60 days. INFORMATION AND PRODUCT-RELATED RISKS QPR Software has identified the following three key information and product-related risks: Product Risk The company mitigates this risk by ensuring its product portfolio remains competitive by differentiating itself through unique product capabilities. Product security is enhanced through continuous process improvements and automated malware prevention measures. Intellectual Property (IP) Risk The company protects its intellectual property rights (IPR) by maintaining the confidentiality of software source codes, ensuring secure storage, and filing selected patent applications. In its process mining business, QPR follows an active IPR strategy, leading to the filing of five separate patent applications in Finland and the USA in 2012 for innovations related to automated process analysis from event data. In April 2015, the U.S. Patent and Trademark Office (USPTO) granted a patent based on these applications. In May 2016, QPR announced that it had received a second patent from the USPTO for its process mining technology. The company ensures compliance with intellectual property rights by keeping its contracts up to date, providing staff training, and maintaining legal expense insurance. Information Security Risks QPR Software actively monitors and minimizes information security risks both operationally and through regular reporting to the Board of Directors. The company implements both administrative and technical measures to enhance system security. To reduce information security risks, the company has adopted data and supplier management models, conducted annual audits of partners, and provided internal security awareness training. QPR Software has had no significant information security incidents or product management issues, and there were no major changes in these risks during 2025. In September 2025, Bureau Veritas conducted a recertification audit of QPR Software's Information Security Management System (ISMS) in accordance with the latest ISO 27001:2022 standard. The ISO 27001 standard sets requirements for establishing, implementing, maintaining, and continuously improving an Information Security Management System (ISMS). This framework ensures confidentiality, integrity, and availability of information through risk management processes, providing stakeholders with assurance that risks are properly managed. QPR Software's ISO 27001 certification was granted by Bureau Veritas, an independent and accredited certification body operating in 140 countries with over 78,000 employees. FINANCIAL RISKS QPR Software has identified the following two key financial risks: Currency Risk The risk is measured by the percentage of non-euro-denominated receivables and the share of any single non-euro currency in total receivables. The company manages this risk by using the euro as the primary billing currency and applying currency hedging in line with its hedging policy. The company continuously monitors the open positions of its key billing currencies. At the end of the financial year, 76% (2024: 81%) of the Group's trade receivables were denominated in euros. The company had no currency hedging in place at the end of the reporting period. Liquidity Risk Liquidity risk refers to the risk of insufficient funding or unusually high financing costs due to a lack of liquid assets, particularly in cases of sudden business downturns requiring additional financing. The objective of liquidity risk management is to maintain adequate liquidity and ensure that sufficient funds are available to support business operations as needed. QPR maintains liquidity through efficient cash management, deposits, and rapid responses to changing financial conditions. The risk is measured using cash flow forecasts, which are actively monitored and supported by efficient debt collection. The company's financial position is supported by a high proportion of recurring revenue. Additionally, QPR invoices most of its recurring revenue in advance, strengthening its financial stability. As of December 31, 2025, the company's financial position was at a satisfactory level. The parent company has a EUR 1.5 million long-term credit facility for financing needs. As of year-end 2025, EUR 0.5 million of this facility had been utilized. The financing agreement does not include any covenants The share issue carried out in 2025 has improved the company's cash position and liquidity. The financing facility will be repaid in installments of EUR 250 thousand on January 30, 2026, and December 30, 2026. To manage liquidity risk, the company also has an agreement for a credit facility of EUR 500 thousand, which was undrawn on December 31, 2025. The credit limit gives the company flexibility in cash management. Financial risk management for the financial year 2025 is described in more detail in Note 28 to the financial statements. LEGAL DISPUTES In 2024 and 2025, the company had no legal disputes OUTLOOK FOR 2026 Based on the current contract base and market outlook, the company does not expect a significant change in SaaS revenue development during the financial year 2026. The company forecasts EBITDA to be positive and higher than in the previous financial year. Due to the nature of the business and long sales cycles, quarterly fluctuations may be significant. The company expects its operating environment in the financial year 2026 to vary by region, with economic growth forecast to remain moderate across several market areas. Geopolitical tensions, trade policy risks, and political uncertainty increase uncertainty in the international business environment. BOARD OF DIRECTOR'S PROPOSAL ON DIVIDEND DISTRIBUTION At the end of the 2025 financial year, the parent company's distributable funds amounted to EUR 1,298,224. The Board of Directors proposes to the Annual General Meeting that no dividend be distributed for the financial year 2025. There have been no material changes in the company's financial position after the end of the financial year EVENTS AFTER THE REPORTING PERIOD QPR ProcessAnalyzer to AWS Marketplace The company announced on January 15, 2026, that it has listed its process mining solution, QPR ProcessAnalyzer, on AWS Marketplace. The listing expands the company's commercial distribution channels and supports QPR's multi-cloud strategy by offering customers a new, streamlined way to acquire the software as part of the AWS ecosystem. QPR ProcessAnalyzer has previously been launched as a native application on Snowflake Marketplace. Expansion of the Strategic Partnership with Cognitio Analytics in North America QPR Software announced on February 11, 2026, that it is deepening its strategic partnership with US-based Cognitio Analytics Inc. to strengthen its growth in the North American market. The expanded collaboration covers even closer cooperation in sales, project deliveries, and customer support. With the new arrangement, Cognitio Analytics will take a more central role in promoting QPR's software sales, executing projects, and providing first-line customer support in North America. The collaboration strengthens QPR's local presence and supports the company's position in the growing process analytics market in the region. IPR Arrangement Related to QPR Metrics Software with Leaders Solutions QPR Software Plc announced on February 12, 2026, that it had agreed on the regional sale of intellectual property rights (IPR) related to the QPR Metrics software to its long-term partner, Leaders Solutions. The arrangement covers the markets in the Middle East and certain African countries (excluding Turkey), and QPR retains the rights in other market areas. The parties have signed the master agreement for the arrangement, and the arrangement will be finalized at the agreed completion date (Completion), at which time the regional intellectual property rights will be transferred to Leaders Solutions upon payment of the compensation. In the same context, an updated cooperation agreement regarding the future collaboration between the parties will also be signed. The arrangement supports the company's strategy to focus on its core business and process intelligence SaaS solutions. The transaction includes a one-off compensation of EUR 500,000 and annual license fees of EUR 110,000 for the years 2026-2027. The arrangement is estimated to have a positive impact on the company's revenue and result for the financial year 2026. Leaders Solutions will continue as QPR's strategic partner regarding other software solutions. Key figures of the group 2023-2025 Group (EUR 1,000), IFRS 2025 2024 2023 Net sales 5,619 6,614 7,550 Growth of net sales, % -15,0 -12,4 -3,5 Operating result -813 -16 -813 % of net sales -14,5 -0,2 -10,8 Result or loss before tax -862 -103 -924 % of net sales -15,3 -1,6 -12,2 Result for the period -1,050 -82 -924 % of net sales -18,7 -1,2 -12,2 Return on equity, % -132,8 -21,8 -221,5 Return of investments, % -51,9 -14,3 -42,0 Interest-bearing liabilities 0 - - Cash and cash equivalents 621 825 884 Net liabilities 248 577 934 Equity 1,180 401 348 Gearing, % 21,0 143,9 268,3 Equity ratio, % 26,5 11,9 8,1 Total balance sheet 5,235 5,906 5,869 Investment in intangible and tangible assets 429 753 637 % of net sales 7,6 11,4 8,4 Research and development expenses 868 979 1,427 % of net sales 15,4 14,8 18,9 Personnel average for period 32 33 57 Personnel at the beginning of period 32 49 85 Personnel at the end of period 31 32 49 30 Per-share key figures 2023-2025 Group (EUR 1,000), IFRS 2025 2024 2023 Diluted/Undiluted Earnings per share, EUR -0,054 -0,005 -0,055 Equity per share, EUR 0,060 0,022 0,020 Dividend per share *, EUR 0,000 0,000 0,000 Dividend as % of result 0,0 0,0 0,0 Effective dividend yield, % 0,0 0,0 0,0 Price/earnings ratio (P/E) -15,5 -177,9 -6,4 Development of share price Average price, EUR 0,82 0,51 0,45 Lowest closing price, EUR 0,45 0,33 0,32 Highest closing price, EUR 1,15 0,82 0,75 Closing price on Dec 31, EUR 0,83 0,81 0,33 Market capitalization on Dec 31, EUR 1,000 16,318 14,514 5,957 Development of trading volume Number of shares traded, 1,000 pcs 4,862 3,842 3,538 % of all shares 24,7 21,4 19,8 Number of shares on Dec 31, 1,000 pcs 19,851 18,175 18,175 Average number of shares outstanding 19,660 17,918 17,836 *) Year 2025: The Board of Director's proposal to the Annual General Meeting 31 Return on equity (ROE), %: Result for the period x 100 Shareholders' equity (average) Return on investment (ROI), %: (Result before taxes + interest and other financial expenses) x 100 Balance sheet total - non-interest bearing liabilities (average) Gearing, %: (Interest-bearing liabilities -cash and cash equivalents) x 100 Total equity Gearing: Interest-bearing liabilities - cash and cash equivalents Equity ratio, %: Total equity x 100 Balance sheet total - advances received Earnings per share, euro: Result for period Weighted average number of shares outstanding during the year Equity per share, euro: Equity attributable to shareholders of the parent company Number of shares outstanding at the end of the year Dividend per share, euro: Total dividend paid Number of shares outstanding at the end of the year Dividend per Result, %: Dividend per share x 100 Earnings per share Effective dividend yield, %: Dividend per share x 100 Share price at the end of the year Price/earnings ratio (P/E): Share price at the end of the year Earnings per share Market capitalization: Total number of shares outstanding x share price at the end of the year Turnover of shares, % of all shares: Number of shares traded x 100 Average number of shares outstanding during the year 32 DEFINITION OF KEY INDICATORS QPR Software Plc Financial Statements 2025 QPR Software Plc Annual Report 2025 and related Annual Financial Report (AFR) ESEF tagging is officially published in Finnish. QPR Software Plc has decided to provide voluntarily non-official version translated in English in this ESEF tagged document. Restated (EUR 1 000) Note 2025 2024 Net sales 3 5,619 6,614 Other operating income 4 1 132 Materials and services 5 933 1,026 Employee benefit expenses* 6,7 3,044 3,136 Depreciation and amortization 8 887 1,036 Other operating expenses* 9 1,569 1,565 Total expenses 6,433 6,763 Operating Result -813 -16 Financial income 10 20 16 Financial expenses 10 -70 -103 Financial items, net -50 -87 Result before tax -862 -103 Income taxes 11 -187 21 Result for the financial year -1,050 -82 Other items in comprehensive income that may be reclassified subsequently to profit or loss: Exchange differences on translating foreign operations 2 -2 Other items in comprehensive income, net of tax 2 -2 Total comprehensive income for the financial year -1,048 -84 Earnings per share, EUR Undiluted, EUR 12 -0,054 -0,005 Diluted, EUR 12 -0,054 -0,005 *The company has reported capitalized product development costs under employee benefit expenses from the financial year 2025. The comparative period figures have been presented in accordance with the 2025 cost classification. CONSOLIDATED COMPREHENSIVE INCOME STATEMENT, IFRS (EUR 1 000) Note 2025 2024 ASSETS Non-current assets Capitalized product development expenses 13 1,101 1,603 Other intangible assets 13 139 38 Goodwill 14 358 358 Tangible assets 15 5 20 Other investments 16 5 5 Right-of-use assets 15 335 377 Deferred tax assets 17 212 325 Total non-current assets 2,154 2,726 Current assets Trade and other receivables 18 2,461 2,355 Cash and cash equivalents 19 621 825 Total current assets 3,081 3,180 Total assets 5,235 5,906 CONSOLIDATED BALANCE SHEET, IFRS (1/2) CONSOLIDATED (2/2) EQUITY AND LIABILITIES Equity Share capital 21 80 80 Other funds 21 21 Treasury shares -177 -244 Translation difference -63 -65 Invested non-restricted equity fund 6,548 4,925 Retained earnings -5,229 -4,316 Equity attributable to shareholders of the parent company 1,180 401 Non-current liabilities Interest-bearing lease liabilities 22 333 372 Interest-bearing liabilities 22 - 500 Total non-current liabilities 333 872 Current liabilities Interest-bearing lease liabilities 22 35 29 Trade and other payables 23 3,186 4,104 Interest-bearing liabilities 22 500 500 Total current liabilities 3,722 4,633 Total liabilities 4,055 5,505 Total equity and liabilities 5,235 5,906 BALANCE SHEET, IFRS (EUR 1 000) Note 2025 2024 Cash flow from operating activities Result for the period -1,050 -82 Adjustments for the result Depreciation 8 887 1,036 Other adjustments 242 220 Changes in working capital: Increase (-)/decrease (+) in short-term non-interest bearing receivables 28 -649 Increase (+)/decrease (-) in short-term non-interest bearing liabilities -917 377 Interest expense and other financial expenses paid -39 -78 Interest income and other financial income received 15 - Taxes paid -20 -18 Net cash flow from operating activities -855 806 Cash flow from investing activities Acquisition of tangible assets -2 - Capitalized development expenses -310 -331 Acquisition of other intangible assets -117 - Proceeds from sales of tangible and intangible assets - 6 Net cash flow from in investing activities -428 -325 Cash flow from financing activities Proceeds from borrowings - - Repayments of borrowings 22 -500 -500 Payment of lease liabilities -44 -39 Share issue, net 21 1,624 - Net cash used in financing activities 1,079 -539 Change in cash and cash equivalents -204 -58 Cash and cash equivalents at the beginning of year 825 884 Effect of exchange rate differences - -1 Cash and cash equivalents at the end of year 19 621 825 CONSOLIDATED CASH FLOW STATEMENT, IFRS (EUR 1 000) Share capital Other funds Translation differences Treasury shares Invested non-restricted equity fund Retained earnings Total Equity Jan 1, 2024 80 21 -67 -348 4,925 -4,263 348 Total comprehensive income for the period: Profit for the period -82 -82 Translation differences -2 -2 Total comprehensive income for the period Transactions with owners of the Company: -2 -82 -84 Disposal of own shares 103 -55 48 Stock option scheme 93 93 Transactions with owners of the Company 103 38 141 Adjustment year 2024* 5 -9 -4 Equity Dec 31, 2024 80 21 -65 -244 4,925 -4,316 401 *An adjustment has been made to the 2024 statement of changes in equity regarding translation differences and retained earnings, aligning the comprehensive income with the group's statement of comprehensive income. CONSOLIDATED STATEMENT OF CHANGES IN EQUITY, IFRS (1/2) (EUR 1 000) Share capital Other funds Translation differences Treasury shares Invested non-restricted equity fund Retained earnings Total Equity Jan 1, 2025 80 21 -65 -244 4,925 -4,316 401 Total comprehensive income for the period Profit for the period: -1,050 -1,050 Translation differences 2 2 Total comprehensive income for the period Transactions with owners of the Company: 2 -1,050 -1,048 Disposal of own shares 67 -19 48 Stock option scheme 156 156 Share issue, net 1,624 1,624 Transactions with owners of the Company 67 1,624 137 1,828 Equity Dec 31, 2025 80 21 -63 -177 6,548 -5,229 1,180 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY, IFRS (2/2) Notes to Financial Statements