Trading Update

KRM22 plc (AIM: KRM), the technology and software investment company with a particular focus on risk management in capital markets, today issues the following trading update for the six months ended 30 June 2026 (the "Period").

The Company has continued to make good progress in the Period, increasing the value of its Annual Recurring Revenue ("ARR") from £7.6m at the end of FY 2025 to £7.9m at the end of the Period.

The Company expects to report results for the Period in September 2026, and these are estimated to be:

• ARR: £7.9m (H1 2025: £7.2m)
• Total revenue recognised: £3.8m (H1 2025: £3.7m)
• Adjusted EBITDA: £0.2m (H1 2025: £0.3m)
• Cash balance as at 30 June 2026: £4.7m (FY 2025: £5.2m)

After adjusting for movements in USD:GBP FX rates, the net increase in new ARR in the Period of £0.3m includes the first sale of the Margin-as-a-Service API; an optional module to the Risk Manager application which enables firms to submit portfolios and receive accurate replication of exchange margin requirements, supporting pre-trade order checking, statement validation, what-if analysis, and integration with existing risk and trading workflows, generating ARR of £0.1m.

The partnership with Trading Technologies International, Inc, ("TT") for the combined Surveillance application continued its momentum with £0.1m of new ARR generated in the Period for KRM22 whilst uplifts and extensions to existing contracts across all four of the Company's core applications accounted for the balance of new ARR. This growth was partially offset by a customer churn of £0.1m, which was attributed to a single institutional customer cancelling their subscription to the Surveillance Manager application.

Whilst there have been delays in conversion of the sales pipeline, the explanation for this has been clear, with these delays having been driven by increased market volatility with extended vendor onboarding and internal governance processes. The demand for the Company's applications remains strong, the quality of the sales pipeline opportunities continues to build and Board's goals are still very much on track.

Following the fundraise completed in November 2025, the Company has made good progress with the expansion of its applications to support multi-asset coverage.

In addition to the technological investment in the applications suite, key initiatives in the Period include raising the market profile of KRM22 and its applications through outbound marketing campaigns and increased sales and event attendance to help drive qualified lead generation and increased sales. KRM22 has partnered with Sigma AI to integrate advanced news sentiment analytics into its risk management platform, representing the first phase of a broader initiative to deliver deeper portfolio intelligence and enhanced risk insights for clients.

To underpin these initiatives and expand and support multi-asset coverage, KRM22 has invested in additional resource across all aspects of the business including eight new hires across the Revenue, Technology, Product and Client Services teams, with more new hires already committed in the second half of the year.

The investments and initiatives being taken now, which the Company communicated as part of the fundraise completed in November 2025, are laying the foundations for accelerated growth in 2027 and beyond through the expansion of KRM22's applications to support multi-asset coverage, grow ARR and maintain high levels of service for existing and new clients.

Dan Carter, CEO of KRM22, commented: "With continued growth in ARR, both through direct sales and the partnership with Trading Technologies, a strong sales pipeline and investment across our people, applications and market presence, we look forward to the second half of the year with a clear focus and confidence on achieving market forecasts."

See more about KRM22 at www.krm22.com