Kghm Polska Miedz S.a. · GPW:KGH
Kghm Polska Miedz — Kghm Polska Miedz Sa Ord — H1 2025 Earnings Presentation
24 slides from Kghm Polska Miedz's earnings presentation, Mar 27, 2025
Slide 1: Results of the KGHM Group for the First Half of 2025
RESULTS OF THE KGHM GROUP FOR THE FIRST HALF OF 2025 Lubin, 20 August 2025
Slide 2: Key macroeconomic factors
Key macroeconomic factors Copper price1) +4% H1/H1 Exchange rate Copper price1) +1% H1/H1 [USD/t] [USD/PLN] [PLN/t] -3% H1/H1 36 304 36 546 9 090 9 431 3.99 3.88 H1 2024 H1 2025 H1 2024 H1 2025 Silver price +26% H1/H1 Silver price +22% H1/H1 [USD/oz t] [PLN/oz t] 32.76 126.88 26.07 104.10 H1 2024 H1
Slide 3: Basic results indicators
Basic results indicators in the KGHM Group and in KGHM Polska Miedź S.A. KGHM Group +0.4% H1/H1 +16% H1/H1 -46% H1/H1 Revenues Adjusted EBITDA Profit for the period [PLN mn] [PLN mn] [PLN mn] 17 480 17 556 4 863 4 208 1 074 580 H1 2024 H1 2025 H1 2024 H1 2025 H1 2024 H1 2025 KGHM Polska Miedź S.A. -
Slide 4: Key production indicators
Key production indicators H1 2025 -4% H1/H1 344 Payable copper production [kt] by the KGHM Group lower by 4% (H1/H1) ▪ KGHM Polska Miedź S.A. – a decrease due to Payable copper production Payable copper production +19% H1/H1 execution of planned maintenance on smelter KGHM Polska Miedź S.A. [kt] Sie
Slide 5: Metals production
Metals production KGHM Group Payable copper production -4% H1/H1 Silver production -3% H1/H1 [kt] [t] 678 657 358 344 29 29 36 42 H1 2024 H1 2025 From purchased TPM production1) metal- 99 90 bearing [koz t] -/- H1/H1 materials 84 84 293 272 From own 193 183 concentrate H1 2024 H1 2025 H1 2024 H1 202
Slide 6: Production results of the KGHM Group by segment
PRODUCTION RESULTS OF THE KGHM GROUP BY SEGMENT
Slide 7: Production results
Production results KGHM Polska Miedź S.A. Ore Extraction Production of copper Electrolytic copper Metallic silver [mn t dry weight] in concentrate [kt] production [kt] production [t] -2.1% H1/H1 -2.2% H1/H1 -6.9% H1/H1 -2.9% H1/H1 15.6 15.3 293 272 666 646 205.5 201.0 90 99 From 50,7 50.3 purchased
Slide 8: Production results: Sierra Gorda S.C.M.
Production results Sierra Gorda S.C.M.1) Payable copper Silver production -9% H1/H1 production +19% H1/H1 [t] [kt] 11.9 10.8 6.1 5.8 42.4 Q2 2024 Q2 2025 H1 2024 H1 2025 35.7 TPM production2) +7% H1/H1 [koz t] 21.6 18.7 13.7 14.7 7.2 7.7 Q2 2024 Q2 2025 H1 2024 H1 2025 Q2 2024 Q2 2025 H1 2024 H1 202
Slide 9: Production results: KGHM INTERNATIONAL LTD.
Production results KGHM INTERNATIONAL LTD. Payable copper production Silver production [kt] -80% H1/H1 [t] -1% H1/H1 0.70 ▪ Silver: lower silver production by the Sudbury Basin mainly 0.28 due to lack of production 0.14 0.01 from March 2025 as a result of the disposal of the Q2 2024 Q2 2025 H1 2024
Slide 10: Cash flows in the Group
Cash flows in the Group Payments to KGHM Polska Miedź S.A. Payments by the international assets to KGHM Polska Miedź S.A. in H1 2025: USD 130.9 million* Q2 2025 H1 2025 Sierra Gorda KGHM INTERNATIONAL LTD. Sierra Gorda KGHM INTERNATIONAL LTD. Total payment: Total payment: Total payment: Total paymen
Slide 11: Advancement of development initiatives
ADVANCEMENT OF DEVELOPMENT INITIATIVES
Slide 12: A rationale and responsible investment program
A rationale and responsible investment program Capital expenditures by KGHM Polska Miedź S.A. in H1 2025 CAPEX execution in H1 2025, incl. borrowings By category By area Replacement Mining Maintenance Metallurgy Development (incl. R&D) Other activities Leasing Adaptation projects IFRS 16 Development
Slide 13: CAPEX execution in key investments
CAPEX execution in key investments Outfitting of the mines ▪ Conveyor belts – work continued on construction and extension of conveyor belts (14 conveyor belts under construction; completed – 2.2 km) ▪ Outfitting and infrastructure of regions/sections – work continued (the largest expenditures were
Slide 14: Role of shafts in maintaining output in Poland
Role of shafts in maintaining output in Poland Deposit access program in KGHM’s concessioned areas Share of production from GGP in total production Bytom in Poland Odrzański Ore extraction dry weight from GGP [kt] +8% H1/H1 -6% Q2/Q1 3 111 3 362 1 730 1 633 22.5% 21.4% 19.9% 22.0% Q1 2025 Q2 2025 H1
Slide 15: CAPEX execution in key investments
CAPEX execution in key investments 1) excluding Leasing per IFRS 16, plus borrowing costs and R&D Investments related to IAS - metallurgical plants and concentrators ▪ Significant maintenance at the Głogów and Legnica metallurgical plants – incl. maintenance on electrolizers, convertors, Investments
Slide 16: Financial results of the Group
FINANCIAL RESULTS OF THE GROUP
Slide 17: Financial indicators of the KGHM Group
Financial indicators of the KGHM Group H1 2025 Group revenues Operating costs KGHM Group adjusted EBITDA1) [PLN mn] [PLN mn] [PLN mn] +0.4% H1/H1 +1% H1/H1 +16% H1/H1 17 480 17 556 4 863 15 370 15 455 220 Depreciation/ 1 240 1 403 4 208 amortisation 260 1 302 807 910 669 14 130 14 052 2 472 2 431 H1
Slide 18: Group sales revenue
Group sales revenue H1 2025 Revenues from contracts with customers Revenues from contracts with customers [PLN mn] [PLN mn] 17 480 17 556 1 043 984 1 361 1 712 17 480 +1 172 17 556 -365 -452 -224 -55 15 076 14 860 Revenues for Change in sales Change in prices Change in Adjustments of Other Revenues
Slide 19: Expenses by nature
Expenses by nature KGHM Group Expenses by nature [PLN mn] 17 019 +4% H1/H1 16 394 8 750 8 666 2 082 8 408 8 353 Minerals extraction tax 1 955 8 098 Minerals extraction tax 3 952 Purchased metal- 3 861 bearing materials 10 578 10 985 +4% H1/H1 Purchased metal- bearing materials Other 614 Expenses by
Slide 20: C1 unit cost
C1 unit cost 1) KGHM Group C1 – KGHM Group C1 – KGHM Polska Miedź S.A. KGHM Polska Miedź – an increase in C1 by 5% [USD/lb] [USD/lb] +5% H1/H1 -5% H1/H1 mainly due to a higher minerals extraction tax charge by 11% and strengthening of the PLN vs 3.00 3.15 incl. the minerals extraction tax the USD, w
Slide 21: Financial results
Financial results 580 KGHM Group Consolidated net profit in H1 2025 Profit for the period [PLN mn] A decrease in Group profit by PLN 494 milion, mainly due to exchange differences despite higher EBITDA and a higher result on involvement in joint ventures [PLN mn] + 554 + 160 1 074 + 140 +7 580 -1 35
Slide 22: Cash flow
Cash flow KGHM Group [PLN mn] +1 818 715 + 64 + 13 430 -2 034 - 83 - 63 Cash as at Net cash generated Net cash used in Interest paid Leasing payments Exchange differences on cash Other Cash as at 1 January 2025 from operating investing activities and cash equivalents 30 June 2025 activities 22
Slide 23: Other segments, including domestic companies
Other segments, including domestic companies Basic measures of results – prior to consolidation adjustments Revenues Adjusted EBITDA Profit for the period [PLN mn] [PLN mn] [PLN mn] +3% H1/H1 -15% H1/H1 - 26% H1/H1 6 403 6 570 260 74 1 394 1 293 220 55 5 009 5 277 H1 2024 H1 2025 H1 2024 H1 2025 Rev
Slide 24: Results of the KGHM Group for the First Half of 2025
RESULTS OF THE KGHM GROUP FOR THE FIRST HALF OF 2025 Lubin, 20 August 2025
Kghm Polska Miedz Sa Ord — H1 2025 Earnings Presentation on 6ix