Kghm Polska Miedz S.a. · GPW:KGH
Kghm Polska Miedz — Kghm Polska Miedz Sa Ord — Q1 2026 Earnings Presentation
51 slides from Kghm Polska Miedz's earnings presentation, May 14, 2026
Slide 1: An Innovative World Grows From Copper
AN INNOVATIVE WORLD GROWS FROM COPPER For 65 years we have been developing Polish mining, combining tradition with modernity, drawing strength from copper, silver, and the experience of our people. Thanks to them, both the past and future belong to us. www.kghm.com
Slide 2: Results of the KGHM Group for the First Quarter of 2026
RESULTS OF THE KGHM GROUP FOR THE FIRST QUARTER OF 2026 Lubin, 14 May 2026
Slide 3: Agenda
Agenda 1. Key issues and execution of main targets 2. Macroeconomic environment 3. Production results of the KGHM Group by segment 4. Advancement of development initiatives 5. Financial results of the KGHM Group 6. Sustainable development – commitments and initiatives of KGHM Polska Miedź S.A.
Slide 4: Key Issues and Execution of Main Targets
KEY ISSUES AND EXECUTION OF MAIN TARGETS
Slide 5: Key macroeconomic factors
Key macroeconomic factors Copper price1) +38% Q1/Q1 Exchange rate Copper price1) +25% Q1/Q1 [USD/t] [USD/PLN] [PLN/t] -9% Q1/Q1 46 475 12 844 37 286 9 340 3.99 Q1 2025 Q1 2026 3.62 Q1 2025 Q1 2026 Silver price x2.6 Q1/Q1 Silver price x2.4 Q1/Q1 [USD/oz t] [PLN/oz t] 84.33 304.86 31.88 127.27 Q1 2025
Slide 6: Basic results indicators
Basic results indicators in the KGHM Group and in KGHM Polska Miedź S.A. KGHM Group +33% Q1/Q1 x2.2 Q1/Q1 x10.7 Q1/Q1 Revenues Adjusted EBITDA Profit for the period [PLN mn] [PLN mn] [PLN mn] 11 872 5 464 3 529 8 942 2 489 330 Q1 2025 Q1 2026 Q1 2025 Q1 2026 Q1 2025 Q1 2026 KGHM Polska Miedź S.A. +3
Slide 7: Key production indicators
Key production indicators Q1 2026 +4% Q1/Q1 176 Payable copper production [kt] by the KGHM Group higher by 4% (Q1/Q1) ▪ KGHM Polska Miedź S.A. – higher electrolytic copper Payable copper Payable copper -1% Q1/Q1 production due to higher availability of production production production lines KGHM Pol
Slide 8: Metals production
Metals production KGHM Group +2% Q1/Q1 Payable copper production +4% Q1/Q1 Silver production [kt] [t] 321 329 169 176 10 14 21 21 Q1 2025 Q1 2026 From TPM production1) purchased 44 54 [koz t] metal- -12% Q1/Q1 bearing materials 42 37 145 134 From own 90 92 concentrates Q1 2025 Q1 2026 Q1 2025 Q1 202
Slide 9: KGHM Group production and sales in Q1 2026
KGHM Group production and sales in Q1 2026 Execution of annual targets 2026 Budget Production Copper in concentrate [kt] 102.6 395.9 KGHM Polska Miedź S.A. Silver in concentrate [t] 351 1 296 Electrolytic copper, total [kt] 145.3 589.4 Electrolytic copper from own concentrate [kt] 91.6 384.9 Metalli
Slide 10: Advancement of key strategic performance indicators
Advancement of key strategic performance indicators in Q1 2026 Own capacity of power-generating assets Domestic copper production Recycling of scrap 145.3 kt 51 kt (dry weight) 174 MW ofi.e.total contracted capacity, 440 MW (39%) ~560 kt ~600 kt 105 MW of total ~124 kt of copper ~350 kt of copper sc
Slide 11: Macroeconomic Environment
POLSKA MIEDZ MACROECONOMIC ENVIRONMENT
Slide 12: Macroeconomic environment
Macroeconomic environment Commodities and currencies prices [USD/t] [PLN/t] Copper prices marked a historic record on 29 January, when it reached an LME fixing price of 13 844 USD/t, and in intraday trading of 14 527.5 USD/t. This record was set on a wave of a weak USD and strong speculative demand.
Slide 13: Precious metals prices
Precious metals prices The first quarter of 2026 saw the highest prices of gold and silver in history. Gold breached the level of 5 500 USD/oz, and silver 120 USD/oz (more than twice as much as the previous record from 2011) The start of the quarter brought exponential growth in the prices of Recent
Slide 14: Metals markets were heavily impacted by external factors
Metals markets were heavily impacted by external factors of fundamental importance for the market – the USD, the profitability of bonds and trade policy Copper prices remained at high levels despite the downturn in the prices of precious metals The change in the approach of the administration of Pre
Slide 15: Purchasing Managers' Index
Purchasing Managers' Index – despite a deteriorating geopolitical situation and growing economic uncertainty, the first quarter of 2026 brought an improvement in sentiment Apr-24 May-24 Jun-24 Jul-24 Aug-24 Sep-24 Oct-24 Nov-24 Dec-24 Jan-25 Feb-25 Mar-25 Apr-25 May-25 Jun-25 Jul-25 Aug-25 Sep-25 Oc
Slide 16: IMF World Economic Outlook – April 2026
IMF World Economic Outlook – April 2026 Forecasts (F) of real GDP growth– International Monetary Fund - World Economic Outlook from April 2026 in comparison to January 2026. 16
Slide 17: Production Results of the KGHM Group by Segment
PRODUCTION RESULTS OF THE KGHM GROUP BY SEGMENT
Slide 18: 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] +1.3% Q1/Q1 +3.2% Q1/Q1 +8.4% Q1/Q1 +1.6% Q1/Q1 7.7 7.8 102.6 145 99.4 134 54 316 321 50.4 52.0 44 From Silver grade
Slide 19: Production results – Sierra Gorda S.C.M.
Production results Sierra Gorda S.C.M.1) Payable copper Silver production production [t] +54% Q1/Q1 -1% Q1/Q1 [kt] 7.7 5.0 20.8 20.6 Q1 2025 Q1 2026 TPM production2) -36% Q1/Q1 [koz t] 7.0 4.5 Q1 2025 Q1 2026 Q1 2025 Q1 2026 Molybdenum production 0.9 +80% Q1/Q1 [mn lbs] ▪ The lower production of pay
Slide 20: Production results – KGHM INTERNATIONAL LTD.
Production results KGHM INTERNATIONAL LTD. Payable copper production [kt] -31% Q1/Q1 Silver production [t] -100% Q1/Q1 0.13 ▪ Silver: lack of production by the 14.4 Sudbury Basin as a result of disposal of the production 10.0 0.00 assets in February 2025 Q1 2025 Q1 2026 Q1 2025 Q1 2026 ▪ Lower coppe
Slide 21: Cash flows in the Group
Cash flows in the Group Payments to KGHM Polska Miedź S.A. In Q1 2026 the International Assets paid USD 175.0 million to KGHM Polska Miedź S.A. Q1 2026 Sierra Gorda KGHM INTERNATIONAL LTD. Total payment: Total payment: USD 165.0 million USD 10.0 million KGHM Polska Miedź S.A. USD 175.0 million Total
Slide 22: Advancement of Development Initiatives
ADVANCEMENT OF DEVELOPMENT INITIATIVES
Slide 23: A rationale and responsible investment program
A rationale and responsible investment program KGHM Polska Miedź S.A. CAPEX targets of KGHM1) by area and project category – PLN 4 100 milion in 2026 [PLN mn] DEVELOPMENT +9% Q1/Q1 [PLN mn] 260 +24% Q1/Q1 209 657 SHAFTS AIR COOLING DEPOSIT COPPER ELECTROREFINING 601 Q1 2025 Q1 2026 CONSTRUCTION SYST
Slide 24: Investment program – mining
A rationale and responsible investment program – mining KGHM Polska Miedź S.A. GG-1 GG-2 Deposit Access Program: ▪ 32% of CAPEX in Q1 2026 designated to advance the Deposit Access Program, ▪ 10.5 kilometres of corridors were excavated, ▪ 24% of production from the Deep Głogów region in total domesti
Slide 25: Investment program – metallurgy
A rationale and responsible investment program – metallurgy KGHM Polska Miedź S.A. Furnace maintenance Modernisation and development of metallurgy: ▪ preparations underway for the shutdown of the Głogów II Copper Smelter and Refinery related to the planned maintenance on the main smelting units and
Slide 26: Selected R&D initiatives
Selected R&D initiatives KGHM Polska Miedź S.A. Number of R&D projects advanced 26 4 5 4 9 Number of prototypes being Number of developed technologies Number of prototypes tested or systems under construction 11 11 Q1 2026 MINING METALLURGY OTHER ACTIVITIES Prototype for cleaning boilers in the Prot
Slide 27: Financial Results of the KGHM Group
FINANCIAL RESULTS OF THE KGHM GROUP
Slide 28: Financial indicators of the KGHM Group
Financial indicators of the KGHM Group Q1 2026 Group revenues Operating costs KGHM Group adjusted EBITDA 1) [PLN mn] [PLN mn] [PLN mn] +33% Q1/Q1 +1% Q1/Q1 ×2.2 Q1/Q1 5 464 11 872 7 814 7 872 99 Depreciation/ 707 amortisation 696 710 422 8 942 2 489 102 7 118 7 162 672 4 236 462 1 253 Q1 2025 Q1 202
Slide 29: KGHM Group sales revenue
KGHM Group sales revenue Q1 2026 Revenues from contracts with customers Revenues from contracts with customers [PLN mn] [PLN mn] 11 872 491 888 8 942 +4 423 510 +93 11 872 895 8 942 -752 -508 10 493 -326 7 537 Revenues for Change in sales Change in prices Change in Adjustments of Other Revenues for
Slide 30: Expenses by nature
Expenses by nature KGHM Group Expenses by nature [PLN mn] 10 485 +21% Q1/Q1 10 434 10 485 8 666 1 903 8 666 8 456 Minerals extraction tax 8 353 Minerals extraction tax 1 060 2 889 Purchased metal- Purchased metal- 2 050 bearing materials bearing materials 5 556 5 693 +2% Q1/Q1 328 336 Expenses by na
Slide 31: C1 unit cost
C1 unit cost 1) KGHM Group C1 – KGHM Group C1 – KGHM Polska Miedź S.A. KGHM Polska Miedź – a decrease in C1 cost by [USD/lb] [USD/lb] -39% Q1/Q1 -35% Q1/Q1 39% mainly due to a substantially higher valuation of byproducts, with a doubling of the 3.15 minerals extraction tax charge and strengthening 1
Slide 32: Consolidated net profit in Q1 2026
Financial results 3 529 KGHM Group Consolidated net profit in Q1 2026 Profit for the period [PLN mn] An increase in KGHM Group profit by PLN 3 199 million mainly due to higher EBITDA of the segment KGHM Polska Miedź S.A. and a higher result on exchange differences, with higher income tax [PLN mn] +
Slide 33: Cash flow
Cash flow KGHM Group [PLN mn] + 680 + 286 522 443 - 48 - 12 - 827 Cash and cash Net cash generated Net cash used in Proceeds from/repayments of Interest paid Other Cash and cash equivalents at the from operating investing activities borrowings equivalents at the end beginning of the period activitie
Slide 34: Net debt of the KGHM Group
Net debt of the KGHM Group As at the end of Q1 2026 Net debt / adjusted EBITDA Main factors affecting net debt in 2026 0… 0.8 0.8 0.8 0.6 Increases in debt 31-03-2025 30-06-2025 30-09-2025 31-12-2025 31-03-2026 ▪ Change in inventories (higher by PLN 2 655 mn) ▪ Minerals extraction tax charge (PLN 1
Slide 35: Operating results
Operating results KGHM Group Change in adjusted EBITDA1) ×2.2 Q1/Q1 Adjusted EBITDA [PLN mn] [PLN mn] 5 464 +2 983 +35 5 464 99 707 -40 -3 422 2 489 2 489 102 Q1 2025 KGHM Polska KGHM Sierra Other segments Q1 2026 672 4 236 Miedź S.A. INTERNATIONAL Gorda LTD. 462 1 253 An increase in adjusted EBITDA
Slide 36: The financial situation of the KGHM Group remains stable and safe
The financial situation of the KGHM Group remains stable and safe 2026 Budget Total unit production cost of electrolytic copper from own concentrate 11.5 32.8 of KGHM Polska Miedź S.A.1) [k PLN/t] 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 110% Investments Capital expenditures 657 4 100 KGHM Polska
Slide 37: Sales revenue
Sales revenue KGHM Polska Miedź S.A. Higher revenues from contracts with customers by PLN 2 956 million (+39%) in the Revenues from contracts with first quarter of 2026, compared to the corresponding period of 2025, mainly due customers to higher metals prices, despite a less favourable USD/PLN exch
Slide 38: Expenses by nature
Expenses by nature KGHM Polska Miedź S.A. The increase in expenses by nature compared to the Expenses by nature [PLN mn] corresponding period of 2025 was almost entirely with respect to the higher cost of purchased metal-bearing materials and a higher 8 788 +25% Q1/Q1 minerals extraction tax charge
Slide 39: EBITDA and profit/loss for the period
EBITDA and profit/loss for the period KGHM Polska Miedź S.A. Adjusted EBITDA Profit/loss for the period EBITDA and profit/loss for the period [PLN mn] ×3.4 Q1/Q1 [PLN mn] ×23.4 Q1/Q1 An increase in EBITDA by PLN 2 983 million: higher revenues from contracts with 4 236 customers by PLN 2 956 mill
Slide 40: Profit/loss for the period
Profit/loss for the period KGHM Polska Miedź S.A. Profit/loss for the period [PLN mn] + 188 + 171 + 327 +2 983 + 57 2 968 - 885 127 Net result for Change in adjusted Exchange Fair value Impact of derivatives Income tax Other Net result for Q1 2026 Q1 2025 EBITDA differences gains/losses on and hedgi
Slide 41: Cash flow
Cash flow KGHM Polska Miedź S.A. [PLN mn] + 791 +4 119 - 762 -3 335 216 262 - 487 - 137 - 90 - 47 -6 Cash and cash Profit before Exclusions of Income tax paid Change in Net cash used in Proceedings Expenses due to Interest repaid Other Cash and cash equivalents at income tax income and costs working
Slide 42: Inventories in 2026
Inventories in 2026, KGHM Polska Miedź S.A. (half-finished products, work in progress, finished products) Volume of inventories of half-finished Value of inventories of half-finished products, products, work in progress, finished products work in progress, finished products at end-of- at end-of-peri
Slide 43: Market risk management
Market risk management Hedged position on the copper, silver and currency markets (as of 31 March 2026) At the end of the first quarter of 2026 the Parent Entity Copper Pozycja Hedgedzabezpieczająca position – open as- at otwarta na 31.12.2025 31 December 2025 recorded a result on derivatives* and h
Slide 44: Sustainable Development – Commitments and Initiatives
SUSTAINABLE DEVELOPMENT – COMMITMENTS AND INITIATIVES OF KGHM POLSKA MIEDŹ S.A.
Slide 45: Actions by KGHM's employee volunteers in Q1 2026
Actions by KGHM’s employee volunteers in Q1 2026 1527 hours dedicated to advancing volunteer projects 343 employee volunteers took part in actions 52 actions involving volunteers 14 in the Group Actions involving 28 actions involving 7 actions involving 4 actions involving health and safety the arts
Slide 46: By 2030 the rise in the share of RES
By 2030 the rise in the share of RES will lead to a significant drop in CO2 emissions Internal sources of electrical power in KGHM Polska Miedź S.A. 2020 – base year (105 MW): Goal 2030: min. 220 MW of internal power generating capacity Own sources Own sources Contracted power Contracted power 0 50
Slide 47: Energy strategy of KGHM Polska Miedź S.A.
Energy strategy of KGHM Polska Miedź S.A. Selected important events in Q1 2026 KGHM’s Energy Strategy advanced M&A Development of wind energy ▪ The Company is advancing the Energy Strategy of KGHM Polska ▪ Technical and economic analyses of developer offers as regards the ▪ Under consideration is th
Slide 48: Cautionary Statement
Cautionary Statement This presentation was prepared by KGHM Polska Miedź S.A. (KGHM). The presentation is strictly of an informational nature and should not be construed as containing investment advice. The users of this presentation are solely responsible for their own analysis and assessment of th
Slide 49: Intellectual Property Rights
Intellectual Property Rights All rights reserved. All content on this presentation of the KGHM are protected by copyright and other protective laws. The presentation and the trademarks, service marks and logos on the presentation are owned by or licensed to KGHM, and are subject to copyright, tradem
Slide 50: Results of the KGHM Group for the First Quarter of 2026
RESULTS OF THE KGHM GROUP FOR THE FIRST QUARTER OF 2026 Lubin, 14 May 2026
Slide 51: An Innovative World Grows From Copper
AN INNOVATIVE INNOWACYJNY ŚWIAT WYRASTA WORLD GROWS FROM COPPER Z MIEDZI For 65 years we have been developing Polish mining, combining tradition with Od 65 lat rozwijamy polskie górnictwo modernity, drawing strength from copper, łącząc tradycję z nowoczesnością czerpiąc silver, and the experience of
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