THE BUDIMEX GROUP INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS for I quarter of 2026
Table of contents to the interim condensed consolidated financial statements
Interim condensed consolidated statement of financial position 2
Interim condensed consolidated income statement 4
Interim condensed consolidated statement of comprehensive income 5
Interim condensed consolidated statement of changes in equity 6
Interim condensed consolidated statement of cash flows 8
Organization of the Budimex Group and changes in the Group structure 10
The Parent Company 10
Entities subject to consolidation 10
Description of the changes in the composition of the Group together with the indication of their consequences 12
Shareholders of the Parent Company 12
Principles applied for the purpose of preparation of interim condensed consolidated financial
statements 13
Accounting policies and basis of preparing the interim condensed consolidated financial statements of
the Budimex Group 13
Changes to the principles of preparing interim condensed consolidated financial statements 14
Net sales of finished goods and services, selling expenses, administrative expenses and profitability 15
Other operating income and expenses 16
Finance income and costs 16
Other important information on activity of the Budimex Group in the period of I quarter 2026 17
Operating segments 18
Revenue from sale of finished goods, services, goods for resale and raw materials, by category 19
Sales revenue, by type of good or service 19
Sales revenue, by geographical area 20
Sales revenue of the segment "Construction business" by construction type 20
Related party transactions 21
Factors which will affect results achieved by the Group in a period covering at least the next quarter 22
Description of significant achievements or failures of the Budimex Group in the period of 3 months of
2026, key events concerning the Group's operations and significant events after 31 March 2026 22
Issue, redemption and repayment of debt and equity securities 23
The Management Board's position on the feasibility of results stated in the financial forecasts
published earlier for the year in view of the financial results presented in the quarterly report in
relation to the projected results 23
Statement of ownership of shares of Budimex SA or rights to such shares (options) held by the managing or supervisory persons of Budimex SA as at the date of publication of this report together
with indication of changes in the ownership in the first quarter of 2026 23
Proceedings pending as at 31 March 2026 before court, competent arbitration body or any public administration authority 23
Contingent assets and contingent liabilities 24
ASSETS | 31 March 2026 not audited | 31 December 2025 audited |
Non-current (long-term) assets | ||
Property, plant and equipment | 1,189,336 | 1,185,881 |
Intangible assets | 97,658 | 102,293 |
Goodwill of subordinated entities | 178,198 | 178,198 |
Investments in equity accounted entities | 45,125 | 44,108 |
Investments in equity instruments | 2,716 | 974 |
Retentions for construction contracts | 23,635 | 27,157 |
Trade and other receivables | 66,920 | 48,263 |
Receivables from service concession agreement | 45,218 | 45,381 |
Other financial assets | 88,713 | 85,015 |
Deferred tax assets | 741,365 | 750,263 |
Total non-current (long-term) assets | 2,478,884 | 2,467,533 |
Current (short-term) assets | ||
Inventories | 847,601 | 782,344 |
Trade and other receivables | 1,048,140 | 907,902 |
Retentions for construction contracts | 91,488 | 83,823 |
Valuation of construction contracts | 715,781 | 1,009,483 |
Current tax assets | 22,426 | 2,139 |
Other financial assets | 577 | 2,479 |
Cash and cash equivalents | 2,859,788 | 2,899,626 |
Total current (short-term) assets | 5,585,801 | 5,687,796 |
TOTAL ASSETS | 8,064,685 | 8,155,329 |
The most significant changes in the items of the interim condensed consolidated statement of financial position are described in note 7.
Interim condensed consolidated statement of financial position (cont.)EQUITY AND LIABILITIES | 31 March 2026 not audited | 31 December 2025 audited |
Equity | ||
Issued capital | 145,848 | 145,848 |
Share premium | 80,199 | 80,199 |
Other reserves | 59,875 | 58,477 |
Cumulative translation differences | 2,668 | 256 |
Retained earnings | 1,137,566 | 1,051,289 |
Shareholders' equity attributable to the shareholders of the Parent | 1,426,156 | 1,336,069 |
Equity attributable to non-controlling interests | 53,826 | 52,874 |
Total equity | 1,479,982 | 1,388,943 |
Liabilities | ||
Non-current (long-term) liabilities | ||
Loans, borrowings and other external sources of finance | 393,016 | 348,290 |
Retentions for construction contracts | 223,567 | 232,986 |
Deferred income | 155 | 2,511 |
Provision for long-term liabilities and other charges | 659,150 | 663,157 |
Retirement benefits and similar obligations | 18,574 | 18,574 |
Other financial liabilities | 52 | 1,522 |
Deferred tax liabilities | 2,719 | 2,460 |
Total non-current (long-term) liabilities | 1,297,233 | 1,269,500 |
Current (short-term) liabilities | ||
Loans, borrowings and other external sources of finance | 89,583 | 92,617 |
Trade and other payables | 1,872,541 | 1,943,834 |
Retentions for construction contracts | 230,479 | 239,648 |
Provisions for losses on construction contracts | 620,316 | 710,812 |
Valuation of construction contracts | 1,482,336 | 1,567,920 |
Deferred income | 444,424 | 341,678 |
Provision for short-term liabilities and other charges | 519,890 | 537,832 |
Current tax liability | 17,301 | 52,308 |
Retirement benefits and similar obligations | 2,488 | 2,488 |
Other financial liabilities | 8,112 | 7,749 |
Total current (short-term) liabilities | 5,287,470 | 5,496,886 |
Total liabilities | 6,584,703 | 6,766,386 |
TOTAL EQUITY AND LIABILITIES | 8,064,685 | 8,155,329 |
The most significant changes in the items of the interim condensed consolidated statement of financial position are described in note 7.
Interim condensed consolidated income statement3-month period ended 31 March | |||
Note | 2026 | 2025 | |
restated | |||
not audited | |||
Continuing operations | |||
Net sales of finished goods, goods for resale, raw materials and services | 4, 9 | 1,496,564 | 1,642,059 |
Cost of finished goods, goods for resale, raw materials and services sold | (1,289,171) | (1,448,835) | |
Gross profit on sales | 207,393 | 193,224 | |
Selling expenses | 4 | (3,701) | (3,682) |
Administrative expenses | 4 | (106,552) | (96,821) |
Net profit/ (loss) on impairment of receivables and retentions | 4 | 715 | 2,178 |
Other operating income | 5 | 15,035 | 21,314 |
Other operating expenses | 5 | (8,828) | (5,361) |
Operating profit | 104,062 | 110,852 | |
Finance income, of which: | 6 | 31,690 | 38,683 |
-interest calculated using the effective interest rate method | 6 | 24,842 | 37,692 |
Finance costs | 6 | (18,320) | (18,336) |
Share in net profits / (losses) of equity accounted subordinates | 9 | 7 | |
Profit before tax | 117,441 | 131,206 | |
Income tax | 7 | (30,212) | (20,835) |
Net profit from continuing operation | 87,229 | 110,371 | |
Net profit for the period | 87,229 | 110,371 | |
of which: | |||
attributable to the shareholders of the Parent | 86,277 | 114,323 | |
attributable to non-controlling interests | 952 | (3,952) | |
Basic and diluted earnings per share attributable to the shareholders of the Parent (in PLN) | 3.38 | 4,48 | |
3-month period ended 31 March | ||
2026 | 2025 | |
not audited | ||
Net profit for the period | 87,229 | 110,371 |
Other comprehensive income which: | ||
Items to be reclassified to profit or loss upon satisfaction of certain conditions: | ||
Cumulative translation differences | 2,412 | (1,258) |
Income tax related to components of other comprehensive income | - | - |
Items not to be subsequently reclassified to profit or loss: | - | - |
Actuarial gains/(losses) | - | - |
Income tax related to components of other comprehensive income | - | - |
Other comprehensive income | 2,412 | (1,258) |
Total comprehensive income for the period | 89,641 | 109,113 |
of which: | ||
Attributable to the shareholders of the Parent | 88,689 | 113,065 |
Attributable to non-controlling interests | 952 | (3,952) |
Issued capital | Share premium | Other reserves | Cumulative translation differences | Retained earnings | Equity attributable to the shareholders of the Parent, total | Non-controlling interests | Total equity | |
Balance as at 1 January 2026 audited | 145,848 | 80,199 | 58,477 | 256 | 1,051,289 | 1,336,069 | 52,874 | 1,388,943 |
Profit for the period | - | - | - | - | 86,277 | 86,277 | 952 | 87,229 |
Other comprehensive income | - | - | - | 2,412 | - | 2,412 | - | 2,412 |
Total comprehensive income | - | - | - | 2,412 | 86,277 | 88,689 | 952 | 89,641 |
Cost of incentive scheme | - | - | 1,398 | - | - | 1,398 | - | 1,398 |
Balance as at 31 March 2026 not audited | 145,848 | 80,199 | 59,875 | 2,668 | 1,137,566 | 1,426,156 | 53,826 | 1,479,982 |
Issued capital | Share premium | Other reserves | Cumulative translation differences | Retained earnings | Equity attributable to the shareholders of the Parent, total | Non-controlling interests | Total equity | |
Balance as at 1 January 2025 audited | 145,848 | 80,199 | 51,916 | 1,826 | 952,505 | 1,232,294 | 51,023 | 1,283,317 |
Profit for the period | - | - | - | - | 114,323 | 114,323 | (3,952) | 110,371 |
Other comprehensive income | - | - | - | (1,258) | - | (1,258) | - | (1,258) |
Total comprehensive income | - | - | - | (1,258) | 114,323 | 113,065 | (3,952) | 109,113 |
Contribution of capital by non-controlling shareholders | - | - | - | - | - | - | 3,920 | 3,920 |
Balance as at 31 March 2025 not audited | 145,848 | 80,199 | 51,916 | 568 | 1,066,828 | 1,345,359 | 50,991 | 1,396,350 |
Profit for the period | - | - | - | - | 633,691 | 633,691 | 6,886 | 640,577 |
Other comprehensive income | - | - | 968 | (312) | - | 656 | - | 656 |
Total comprehensive income | - | - | 968 | (312) | 633,691 | 634,347 | 6,886 | 641,233 |
Profit distribution - dividend | - | - | - | - | (649,230) | (649,230) | - | (649,230) |
Payment of dividend to non-controlling shareholders | - | - | - | - | - | - | (5,983) | (5,983) |
Contribution of capital by non-controlling shareholders | - | - | - | - | - | - | 980 | 980 |
Cost of incentive scheme | - | - | 5,593 | - | - | 5,593 | - | 5,593 |
Balance as at 31 December 2025 audited | 145,848 | 80,199 | 58,477 | 256 | 1,051,289 | 1,336,069 | 52,874 | 1,388,943 |
3-month period ended 31 March | ||
2026 | 2025 | |
restated | ||
not audited | ||
CASH FLOW FROM OPERATING ACTIVITIES | ||
Profit before tax | 117,441 | 131,206 |
Adjustments for: | ||
Depreciation/ amortization | 55,626 | 40,922 |
Share in net (profits) of equity accounted companies | (9) | (7) |
Foreign exchange losses (gains) | (1,628) | (811) |
Interest and shares in profits (dividends) | (15,507) | (32,347) |
(Profit)/ loss on investing activities | (804) | 233 |
Change in valuation of derivative financial instruments | (444) | 1,216 |
Change in provisions and liabilities arising from retirement benefits and similar obligations | (21,959) | 2,431 |
Other adjustments | 3,498 | (983) |
Operating profit before changes in working capital | 136,214 | 141,860 |
Change in receivables and retentions for construction contracts | (163,169) | 69,875 |
Change in inventories | (65,238) | (56,006) |
Change in retentions for construction contracts and in liabilities, except for loans and borrowings | (93,939) | (154,507) |
Change in deferred income | 100,390 | 7,622 |
Change in valuation of construction contracts and in provision for losses on construction contracts | 117,622 | (155,912) |
Interest received on cash and cash equivalents | 21,011 | 36,125 |
Income tax paid | (76,349) | (93,817) |
NET CASH (USED IN) OPERATING ACTIVITIES | (23,458) | (204,760) |
3-month period ended 31 March | ||
2026 | 2025 | |
restated | ||
not audited | ||
CASH FLOW FROM INVESTING ACTIVITIES | ||
Proceeds from sale of intangible assets and property, plant and equipment | 1,284 | 1,400 |
Purchase of intangible assets and property, plant and equipment | (33,597) | (36,640) |
Acquisition of interest (shares)/ increase in issued capital of related entities | (2,750) | (300) |
NET CASH (USED IN) INVESTING ACTIVITIES | (35,063) | (35,540) |
CASH FLOW FROM FINANCING ACTIVITIES | ||
Loans and borrowing taken out | 47,849 | 2,450 |
Repayment of loans and borrowings | (4,003) | (1,717) |
Payment of lease liabilities | (21,406) | (17,543) |
Interest paid | (4,711) | (3,281) |
Contribution of capital by non-controlling shareholders | - | 3,920 |
Other finance inflows / (expenditure) | 20 | 98 |
NET CASH (USED IN) FINANCING ACTIVITIES | 17,749 | (16,073) |
TOTAL NET CASH FLOW | (40,772) | (256,373) |
Foreign exchange differences on cash and cash equivalents, net | 934 | (240) |
CASH AND CASH EQUIVALENTS - OPENING BALANCE | 2,899,626 | 3,205,374 |
CASH AND CASH EQUIVALENTS - CLOSING BALANCE | 2,859,788 | 2,948,761 |
-
Organization of the Budimex Group and changes in the Group structure
The Parent Company
The parent company of the Budimex Group is Budimex SA (the "Parent Company"), which main area of business
is building, rendering of management and advisory services for the Budimex Group companies.
The main areas of the business activities of the Group are widely understood construction-assembly services realized in the system of general execution at home and abroad, services and production. Budimex SA serves in the Group as an advisory, management and financial center. Realization of these three functions is to facilitate:
efficient flow of information within Group structures,
strengthening the efficiency of cash and financial management of individual Group companies,
strengthening market position of the entire Group.
Entities subject to consolidation
As at 31 March 2026, 31 December 2025 and 31 March 2025 the following entities were subject to consolidation:
Company name
Registered office
% in the share capital as at
Operating segment
31 March
2026
31
December 2025
31 March
2025
Parent company:
Budimex SA
Warsaw / Poland
construction
Subsidiaries:
Mostostal Kraków SA
Cracow / Poland
100.00%
100.00%
100.00%
construction
Mostostal Kraków Serwis Sp. z o.o.
Cracow / Poland
100.00%
100.00%
100.00%
construction
Konstalex Sp. z o.o.
Radomsko / Poland
100.00%
100.00%
100.00%
construction
Budimex Bau GmbH
Berlin / Germany
100.00%
100.00%
100.00%
construction
Budimex Budownictwo Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
construction
Budimex Kolejnictwo SA
Warsaw / Poland
100.00%
100.00%
100.00%
construction
FBSerwis SA
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis A Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis B Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis Karpatia Sp. z o.o.
Tarnów / Polska
100.00%
100.00%
100.00%
service
FBSerwis Wrocław Sp. z o.o.
Bielany Wrocławskie /
Poland
100.00%
100.00%
100.00%
service
FBSerwis Dolny Śląsk Sp. z o.o.
Ścinawka Dolna /
Poland
100.00%
100.00%
100.00%
service
FBSerwis Odbiór Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis Paliwa Alternatywne Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis Zawisty Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis Zielone Zawisty Sp. z o.o
Zawisty Podleśne /
Poland
100.00%
100.00%
100.00%
service
FBSerwis Zielona Karpatia Sp. z o.o.
Tarnów / Poland
100.00%
100.00%
100.00%
service
FBSerwis Zielony Wrocław Sp. z o.o.
Bielany Wrocławskie /
Poland
100.00%
100.00%
100.00%
service
FBSerwis Zielony Dolny Śląsk Sp. z o.o.
Ścinawka Dolna /
Poland
100.00%
100.00%
100.00%
service
Green Waste Management 5 Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Company name
Registered office
% in the share capital as at
Operating segment
31 March
2026
31
December 2025
31 March
2025
Green Waste Management 6 Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex Most Wschodni SA
Warsaw / Poland
100.00%
100.00%
100.00%
service
Circular Construction SA
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex Mobility SA
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex Slovakia s.r.o.
Bratislava / Slovakia
100.00%
100.00%
100.00%
construction
Magnolia Energy Sp. z o.o
Warsaw / Poland
100.00%
100.00%
100.00%
service
Kamelia Energy Sp. z o.o. 1
Warsaw / Poland
100.00%
100.00%
100.00%
service
RailBX GmbH
Berlin / Germany
100.00%
100.00%
100.00%
construction
Budimex F Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex A Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex O Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex P Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex R Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
ARGE Brücke Oderberg
Berlin / Germany
100.00%
100.00%
100.00%
construction
ARGE Brücke Wittstock
Berlin / Germany
100.00%
100.00%
100.00%
construction
ARGE Oberkrämmer
Berlin / Germany
100.00%
100.00%
100.00%
construction
ARGE Campus Düppel
Berlin / Germany
100.00%
100.00%
100.00%
construction
ARGE Wollin
Berlin / Germany
100.00%
100.00%
100.00%
construction
ARGE Delmenhorst
Berlin / Germany
100.00%
100.00%
100.00%
construction
ARGE Altstädter Bahnhof
Berlin / Germany
100.00%
100.00%
-
construction
ARGE Quenzbrücke Brandenburg 2
Berlin / Germany
100.00%
-
-
construction
Budimex C Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex H Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex I Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex J Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex K Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis IM Sp. z o.o. 3
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis FMSL Sp. z o.o. 4
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex S Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex T Sp. z o.o.
Warsaw / Poland
100.00%
100.00%
100.00%
service
ConVentures Sp. z o.o. (in liquidation)
Warsaw / Poland
100.00%
100.00%
100.00%
service
Budimex Construction Prague s.r.o
Prague / Czechia
100.00%
100.00%
100.00%
construction
WM Serwis SA
Warsaw / Poland
100.00%
100.00%
100.00%
service
FBSerwis Kamieńsk Sp. z o.o.
Ruszczyn / Poland
80.00%
80.00%
80.00%
service
FBSerwis Zielony Kamieńsk Sp. z o.o.
Ruszczyn / Poland
80.00%
80.00%
80.00%
service
Budimex D Sp. z o.o.
Warsaw / Poland
75.50%
75.50%
75.50%
construction
Budimex Parking Wrocław Sp. z o.o.
Warsaw / Poland
51.00%
51.00%
51.00%
service
BxF Energia Sp. z o.o.
Warsaw / Poland
51.00%
51.00%
51.00%
service
Azalia Sp. z o.o.
Warsaw / Poland
51.00%
51.00%
51.00%
service
ASI 1 ConVentures Sp. z o.o. SKA (in liquidation)
Warsaw / Poland
-
-
100.00%
service
Fotowoltaika HIG XIV Sp. z o.o. changed its name to Kamelia Energy Sp. z o.o. on 5 March 2026
Details regarding establishment of this entity are in note 1.3
Budimex M Sp. z o.o. changed its name to FBSerwis IM Sp. z o.o. on 25 February 2026
Budimex N Sp. z o.o. changed its name to FBSerwis FMSL Sp. z o.o. on 26 February 2026.
As at 31 March 2026, 31 December 2025 and 31 March 2025 separate data of Budimex SA and other Group companies, which are partners in consortiums (treated as joint operations according to IFRS 11), included their share in assets, liabilities, revenue and expenses of the following joint operations:
Joint operation name
Share in the capital and in the number of votes (%)
Operating segment
31 March
2026
31 December
2025
31 March
2025
Budimex SA Cadagua SA IV s.c.
99.90%
99.90%
99.90%
construction
Budimex SA Cadagua SA V s.c.
99.90%
99.90%
99.90%
construction
Budimex Ferrovial L3 s.c.
80.00%
80.00%
-
construction
Budimex Ferrovial L4 s.c.
70.00%
70.00%
-
construction
Budimex SA Sygnity SA Sp.j.
67.00%
67.00%
67.00%
construction
Budimex SA Tecnicas Reunidas SA Turów s.c.
50.00%
50.00%
50.00%
construction
Budimex - Gülermak s.c.
50.00%
50.00%
50.00%
construction
Budimex - Rover s.c.
50.00%
50.00%
50.00%
construction
Gülermak - Budimex s.c.
50.00%
50.00%
50.00%
construction
Budimex-Gülermak H s.c.
50.00%
50.00%
-
construction
E.R.B. Rail JV PS
37.50%
37.50%
30.00%
construction
As at 31 March 2026, 31 December 2025 and 31 March 2025 equity accounted companies included:
Associate/ joint venture
Share
Operating segment
31 December
2025
31 March 2026
31 March 2025
Sien Real Sp. z o.o.
50.00%
50.00%
-
service
Promos Sp. z o.o.
26.31%
26.31%
26.31%
service
Description of the changes in the composition of the Group together with the indication of their consequences
Establishment of ARGE Quenzbrücke BrandenburgOn 10 February 2026 a civil law partnership agreement for ARGE Quenzbrücke Brandenburg was concluded between Budimex Bau GmbH and Mostostal Kraków SA. The Budimex Group's share in the profits and losses of the company amounts to 100%. The company's business activity is the joint execution of an order awarded by Wasserstraßen-Neubauamt Magdeburg: "New temporary structure for the Quenz Bridge over the Lower Havel Waterway." The company's financial data are consolidated.
-
Shareholders of the Parent Company
According to the information held by Budimex SA, the shareholding structure of Budimex SA as at the report date was as follows:
Shareholder
Type of shares
Number of shares
% of the share capital
Number of votes
% of voting rights at the AGM
Ferrovial Construction International SE
ordinary
12,801,654
50.14%
12,801,654
50.14%
Nationale-Nederlanden OFE
ordinary
2,132,000
8.35%
2,132,000
8.35%
Allianz OFE
ordinary
2,049,486
8.03%
2,049,486
8.03%
Other shareholders
ordinary
8,546,958
33.48%
8,546,958
33.48%
Total
25,530,098
100.00%
25,530,098
100.00%
The above data presents the shareholding structure as at the last General Meeting of Shareholders of 30 September 2025.
Principles applied for the purpose of preparation of interim condensed consolidated financial statements
Accounting policies and basis of preparing the interim condensed consolidated financial statements of the Budimex Group
These interim condensed consolidated financial statements were prepared in accordance with IAS 34 "Interim Financial Reporting" and appropriate accounting standards applicable for preparation of the interim consolidated financial statements adopted by the European Union issued and effective when preparing the interim consolidated financial statements applying the same principles for the current and comparable period, except for the changed presentation rules described in note 3.2. Details of accounting policies adopted by the Group were described in the consolidated financial statements of the Group for the year ended 31 December 2025, published on 27 March 2026.
The interim condensed consolidated financial statements have been presented on the assumption that the Parent Company and all entities comprising the Budimex Group will continue as going concerns in the foreseeable future, except for ConVentures Sp. z o.o., which has been put into liquidation and does not conduct any material business activities.
Budimex Group did not execute any contracts in Ukraine, Belarus or Russia in the first quarter of 2026 and as at the date of the preparation of these interim condensed consolidated financial statements. Thus, the armed conflict that began on 24 February 2022 does not have a significant impact on the assumption of going concern at a similar level within 12 months after the reporting date, nor does it constitute an indication of impairment of the Budimex Group's assets.
Due to the outbreak of armed conflict in the Middle East in February 2026, the Parent Company's Management Board assessed the potential impact of the geopolitical situation on the Group companies' operations over the next 12 months. As of the date of these interim condensed consolidated financial statements, no significant direct impact of the conflict on the Group companies' current operations or ability to continue as a going concern was identified. The potential impact may be indirect and relate in particular to fluctuations in raw material prices and transportation costs. Group companies are implementing risk mitigation measures, including diversifying supply sources and monitoring the supplier market. In the opinion of the Parent Company's Management Board, given the current level of conflict escalation, the risk of a significant negative impact on the Group's financial results over the next 12 months remains limited. At the same time, Group companies will continue to monitor the situation on an ongoing basis and are prepared to take appropriate actions should more unfavourable scenarios materialize.
Amendments to standards effective in the current periodThe Group for the first time adopted amendments to standards listed below:
Amendments to IFRS 9 and IFRS 7 "Amendments to the Classification and Measurement of Financial
Instruments",
Amendments to IFRS 9 and IFRS 7 "Contracts Referencing Nature-dependent Electricity",
Annual Improvements to IFRS - Volume 11.
The above amendments to standards did not have any material impact on the Group's accounting policy applied so far.
Standards that were already issued, but have not yet become effectiveIn authorizing these interim condensed consolidated financial statements, the Group did not apply IFRS 18
"Presentation and Disclosure in Financial Statements" (effective for annual periods beginning on or after 1 January 2027). This standard has been issued and endorsed for use in the EU, but has not yet become effective.
Standards and amendments to standards issued by IASB but not yet adopted by the EUThe IFRSs endorsed by the EU do not differ materially from regulations adopted by the International Accounting Standards Board (IASB), except for the below standards and amendments to standards, which as at the date of the preparation of these interim condensed consolidated financial statements were not yet adopted for use:
IFRS 19 "Subsidiaries without Public Accountability: Disclosures" (effective for annual periods beginning on
or after 1 January 2027),
IFRS 14 "Regulatory Deferral Accounts" - according to the decision of the European Commission, endorsement process of the standard in its draft form will not be initiated before the publication of standard's final version (effective for annual periods beginning on or after 1 January 2016),
Amendments to IFRS 10 "Consolidated Financial Statements" and IAS 28 "Investments in Associates and Joint Ventures" - "Sale or Contribution of Assets between an Investor and its Associate or Joint Venture" -the work leading to the endorsement of these changes was postponed by the EU indefinitely - the date of amendments becoming effective was postponed indefinitely by the IASB,
Amendments to IFRS 19 "Subsidiaries without Public Accountability: Disclosures" (effective for annual
periods beginning on or after 1 January 2027),
Amendments to IAS 21 "The Effects of Changes in Foreign Exchange Rates" - "Translation to a Hyperinflationary Presentation Currency" (effective for annual periods beginning on or after 1 January 2027).
The Group has analysed the impact of IFRS 18 on its future financial statements and plans to begin work on adapting their layout to the new requirements in the second half of 2026. Because IFRS 18 primarily provides for changes in presentation and disclosure, the Group does not anticipate any impact of IFRS 18 implementation on basic and diluted earnings per share attributable to shareholders of the Parent.
The remaining standards and amendments to standards mentioned above would not have a material impact on the interim condensed consolidated financial statements if applied as at the reporting date.
Changes to the principles of preparing interim condensed consolidated financial statements
Changes in the presentation of the interim condensed consolidated income statement
In the interim condensed consolidated income statement comparative data was adjusted - interest calculated using the effective interest rate method was separated from finance income. A new reporting line "Net profit/(loss) on impairment of receivables and retentions [for construction contracts]" was introduced. It presents on a net basis (per saldo) the items previously recognized under "Other operating income" (Reversal of impairment write-downs on receivables) and under "Other operating expenses" (Recognition of impairment write-downs on receivables).
The changes are presented in the following table (items that did not change were disregarded):
3-month period ended 31 March 2025
after change
before change
difference
Net profit/(loss) on impairment of receivables and retentions
[for construction contracts]
2,178
-
2,178
Other operating income
21,314
38,932
(17,618)
Other operating expenses
(5,361)
(20,801)
15,440
The reason for making the above-mentioned changes are the requirements of IAS 1. The main subtotals of the interim condensed consolidated income statement have not changed, therefore there is no impact on the basic and diluted earnings per share attributable to the shareholders of the Parent.
Changes in the presentation of the interim condensed consolidated statemen of cash flows
The Budimex Group decided not to present separately the cash of restricted use in its interim condensed consolidated statement of cash flows and therefore not to present changes to that item under cash flows from operating activities. The same changes applied to cash flows from operating activities, total net cash flows, and cash and cash equivalents at the beginning and end of the reporting period. The change results from bringing the presentation into line with the definition of cash and cash equivalents contained in IAS 7.
A change was also made to the presentation of "Interest received on cash and cash equivalents" by separating an appropriate reporting line under cash flows from operating activities and adjusting the "Interest and shares in profits (dividends)" line by the same amount. The change results from the disclosure requirements contained in IAS 7.
As a result of the above two changes, the comparative data in the interim condensed consolidated statement of cash flows was corrected.
The changes are presented in the following table (items that did not change were disregarded):
3-month period ended 31 March 2025
after change
before change
difference
Interest and shares in profits (dividends)
(32,347)
3,778
(36,125)
Interest received on cash and cash equivalents
36,125
-
36,125
Change in restricted cash
-
(10,977)
10,977
Cash flow from operating activities
(204,760)
(215,737)
10,977
Total net cash flows
(256,373)
(267,350)
10,977
Cash and cash equivalents at the beginning of the period
3,205,374
3,166,323
39,051
Cash and cash equivalents at the end of the period
2,948,761
2,898,733
50,028
Net sales of finished goods and services, selling expenses, administrative expenses and profitability
Sale of construction-assembly services in East Central Europe is characterized by seasonality mainly connected with weather conditions and the highest revenues are usually achieved in the second and third quarter, while the lowest -in the first quarter.
In the 3-month of 2026 construction-assembly production in Poland expressed in fixed prices decreased by 7% compared to the corresponding period of the prior year, while sales of the construction segment of the Budimex Group on the home market decreased by 18.7% on the corresponding period.
Net sales and profitabilitySelling expenses and administrative expenses3 months ended
31 March 2026
31 March 2025
Change in %
Net sales of finished goods and services
1,496,564
1,642,059
(8.86%)
Gross profit on sales
207,393
193,224
7.33%
Gross profitability on sales
13.86%
11.77%
2.09 p.p.
Operating profit
104,062
110,852
(6.13%)
Operating profitability
6.95%
6.75%
0.20 p.p.
Operating profit in construction segment
82,253
111,075
(25.95%)
Operating profitability in construction segment
6.55%
7.46%
(0.91 p.p.)
Operating profit in service segment
21,583
21,791
(0.95%)
Operating profitability in service segment
8.72%
9.72%
(1.00 p.p.)
Profit before tax
117,441
131,206
(10.49%)
Profitability before tax
7.85%
7.99%
(0.14 p.p.)
Net profit
87,229
110,371
(20.97%)
Net profitability
5.83%
6.72%
(0.89 p.p.)
3 months ended
Change in %
31 March 2026
31 March 2025
Selling expenses
(3,701)
(3,682)
0.52%
Administrative expenses
(106,552)
(96,821)
10.05%
Total selling & administrative expenses
(110,253)
(100,503)
9.70%
Share of selling & administrative expenses in net sales of finished goods and services
7.37%
6.12%
1.25 p.p.
-
Other operating income and expenses
Other operating income
Other operating expenses
3 months ended
31 March 2026
31 March 2025
Penalties/ compensations awarded
9,663
8,971
Reversal of provisions for penalties and other sanctions
2,307
-
Gains on derivative financial instruments
1,431
11,351
Subsidies received
62
411
Reimbursement of court costs
695
86
Gains on the sale of non-financial non-current assets
738
85
Other
139
410
Total
15,035
21,314
(Net profit/(loss) on impairment of receivables and retentions3 months ended
31 March 2026
31 March 2025
Creation of provision for penalties and other sanctions
-
(488)
Creation of provision for litigation
(2,501)
-
Compensations and liquidated damages paid
(2,320)
(2,063)
Loss on derivative financial instruments
(2,671)
(1,051)
Donations given
(597)
(637)
Court charges and executions, costs of legal proceedings
(422)
(865)
Other
(317)
(257)
Total
(8,828)
(5,361)
3 months ended
31 March 2026
31 March 2025
Reversal of impairment write-downs, of which on:
3,375
17,618
- receivables
2,375
13,457
- retentions held by customers
1,000
4,161
Recognition of impairment write-downs, of which on:
(2,660)
(15,440)
- receivables
(1,417)
(14,465)
- retentions held by customers
(1,243)
(975)
Total
715
2,178
-
Finance income and costs
Finance income
Finance costs
3 months ended
31 March 2026
31 March 2025
Interest earned, of which:
27,790
38,510
Interest calculated using effective interest rate method
24,842
37,692
Gains on derivative financial instruments
3,135
98
Foreign exchange gains
757
-
Other
8
75
Total
31,690
38,683
3 months ended
31 March 2026
31 March 2025
Interest expense
(7,093)
(4,673)
Discount of retentions for construction contracts
(4,280)
(3,529)
Foreign exchange loss
-
(3,304)
Cost of bank commissions and guarantees
(6,660)
(6,564)
Loss on derivative financial instruments
-
(165)
Other
(287)
(101)
Total
(18,320)
(18,336)
All valued derivative instrument contracts (presented both in the operating and financing activity) were classified as level 2 in the fair value hierarchy. The value of these instruments as of 31 March 2026 amounted to PLN 1 896 thousand (as of 31 December 2025: PLN 1 452 thousand). The valuation techniques and inputs used for their fair value measurement were disclosed in the Group's consolidated financial statements for the year ended 31 December 2025 and have not changed. During the 3 months ended 31 March 2026, there was no transfers between Level 1 and Level 2 of fair value hierarchy, nor were there any transfers to/ from Level 3 of fair value hierarchy. The fair value of financial instruments held by the Group companies is similar to their carrying value.
-
Other important information on activity of the Budimex Group in the period of I quarter 2026
Provisions for liabilities and other charges
Income tax in the interim condensed consolidated income statement
31 March 2026
31 December 2025
Provisions for litigation
50,714
48,213
Provisions for penalties and other sanctions
288,617
306,327
Provisions for warranty repairs
772,596
779,379
Provisions for land reclamation
35,137
35,103
Provisions for waste storage fee
23,862
23,862
Other provisions
8,114
8,105
Total
1,179,040
1,200,989
of which:
- long-term
659,150
663,157
- short-term
519,890
537,832
31 March 2026
31 March 2025
Income tax - current
(21,009)
(13,718)
Income tax - deferred
(9,203)
(7,117)
Income tax in the income statement
(30,212)
(20,835)
As a result of the adoption by EU Member States of Council Directive (EU) 2022/2523 of 14 December 2022 on ensuring a global minimum level of taxation of international groups of enterprises and large domestic groups in the European Union, entities belonging to capital groups whose annual revenues exceed EUR 750 million may be required to pay a top-up tax if - in principle - the effective income tax rate at the jurisdictional level does not exceed 15%. The aim of the directive is to implement the Global Anti-Base Erosion Rules ("GloBE Rules") in the European Union, i.e., the main part of the so-called OECD Pillar II.
The Polish act implementing Directive 2022/2523 was adopted, and the implementation date of the new provisions was 1 January 2025. At the level of individual jurisdictions where Budimex SA's foreign subsidiaries operate - including Germany, Slovakia, and the Czech Republic - the relevant regulations were implemented on 1 January 2024. The Group has made preliminary estimates of the "transitional safe harbors" ("TSH"). Based on these analyses, the Group expects that each jurisdiction where the global minimum tax regulations have already been implemented should be able to use the TSH. The Group will continue to monitor and analyze the global minimum taxation rules, and the analysis
will be updated accordingly for each jurisdiction based on data for the relevant periods. The Group has applied an exemption from the recognition and disclosure of deferred tax assets and liabilities with respect to Pillar II income taxes (applies to amendments to IAS 12 "International Tax Reform - Pillar II Model Principles", published in May 2023).
Other information3 months ended
31 March 2026
31 March 2025
Value of property, plant and equipment and intangible assets purchased or started to be leased:
44,341
123,412
- of which: plant and machinery
12,703
32,403
As at 31 March 2026 contractual obligations made by the Group for the purchase of property, plant and equipment amounted to PLN 10,554 thousand. As at 31 December 2025, the Group's contractual investment commitments amounted to PLN 25,059 thousand and related primarily to the purchase of means of transport, machinery and equipment.
The largest changes in non-current assets during the first three months of 2026 were related to an increase in longterm trade and other receivables due to prepayments of insurance policies on newly commenced construction contracts. The decrease in the valuation of construction contracts on the assets side resulted from the achievement of milestones on several key contracts, which resulted in the issuance of sales invoices, which in turn translated into an increase in the trade receivables balance. Group companies also recorded a significant change in income tax settlements, primarily resulting from the filing of final CIT returns for 2025 and a change in the calculation of income tax advances at the parent company - Budimex SA will pay a fixed advance in 2026.
The decrease in the provision for losses on construction contracts results from the partial realization of losses on several unprofitable contracts and from the remeasurement of risk during the revision of contract budgets. In turn, the increase in deferred income results from advances received from customers.
The line "Valuation of construction contracts" on the liabilities side and a significant part of the short-term balance of "Deferred income" (PLN 435,800 thousand) in the interim condensed consolidated statement of financial position are contract liabilities arising from contracts with customers.
Apart from that, there were no other significant changes in the interim condensed consolidated statement of financial position.
-
Operating segments
For the management purposes the Group has been divided into segments based on the products and services offered. The Group operates in the following operating segments:
construction business,
service activities.
Construction business covers rendering of widely understood construction-assembly services at home and abroad. The segment of service activities comprises comprehensive services in the field of municipal waste management, comprehensive road maintenance, lighting infrastructure extension and management, and technical operation (maintenance) of buildings, also in the form of public-private partnership (PPP). This segment also includes electricity generation from renewable energy sources.
Segment performance is evaluated based on sales revenue, gross profit (loss) on sales, operating profit (loss) and net profit (loss) for the period.
The results of segments for the first quarter of 2026 are presented in the table below:
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated value
External sales
1,249,873
246,691
-
1,496,564
Inter-segment sales
6,120
881
(7,001)
-
Total sales of finished goods, goods for resale and raw materials
1,255,993
247,572
(7,001)
1,496,564
Gross profit on sales
166,596
41,059
(262)
207,393
Selling expenses
(3,701)
-
-
(3,701)
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated value
Administrative expenses
(88,423)
(18,617)
488
(106,552)
Other operating income/(expenses), net
7,781
(859)
-
6,922
Operating profit
82,253
21,583
226
104,062
Finance income/ (costs), net
14,817
(1,459)
12
13,370
Shares in profits of equity accounted subordinates
-
9
-
9
Income tax expense
(22,794)
(7,373)
(45)
(30,212)
Net profit
74,276
12,760
193
87,229
The results of segments for the first quarter of 2025 are presented in the table below:
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated financial data
External sales
1,420,238
221,821
-
1,642,059
Inter-segment sales
68,900
2,366
(71,266)
-
Total sales of finished goods, goods for resale and raw materials
1,489,138
224,187
(71,266)
1,642,059
Gross profit on sales
177,552
39,052
(23,380)
193,224
Selling expenses
(3,682)
-
-
(3,682)
Administrative expenses
(81,063)
(17,124)
1,366
(96,821)
Other operating income/ (expenses), net
18,268
(137)
-
18,131
Operating profit
111,075
21,791
(22,014)
110,852
Finance income/ (costs), net
21,947
(191)
(1,409)
20,347
Shares in profits of equity accounted subordinates
-
7
-
7
Income tax expense
(25,752)
466
4,451
(20,835)
Net profit
107,270
22,073
(18,972)
110,371
Revenue from sale of finished goods, services, goods for resale and raw materials, by category
Sales revenue, by type of good or service
In the first quarter of 2026 net sales of finished goods, services, goods for resale and raw materials, by type of good or service, were as follows:
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated financial data
Sales of construction and assembly services
1,216,013
-
(5,450)
1,210,563
Sales of other services
26,529
246,291
(1,540)
271,280
Sales of finished goods
8,404
-
-
8,404
Sales of goods for resale and raw materials
5,047
1,281
(11)
6,317
Total sales of finished goods, goods for resale and raw materials
1,255,993
247,572
(7,001)
1,496,564
In the first quarter of 2025 net sales of finished goods, services, goods for resale and raw materials, by type of good or service, were as follows:
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated financial data
Sales of construction and assembly services
1,462,324
-
(66,661)
1,395,663
Sales of other services
14,237
223,052
(4,576)
232,713
Sales of finished goods
9,393
-
-
9,393
Sales of goods for resale and raw materials
3,184
1,135
(29)
4,290
Total sales of finished goods, goods for resale and raw materials
1,489,138
224,187
(71,266)
1,642,059
Sales revenue, by geographical area
In the first quarter of 2026 net sales of finished goods, services, goods for resale and raw materials, by geographical area, were as follows:
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated financial data
Poland
1,064,222
245,302
(7,001)
1,302,523
Germany
86,016
-
-
86,016
Slovakia
41,244
-
-
41,244
Czech Republic
39,768
-
-
39,768
Latvia
13,490
-
-
13,490
Other EU countries
11,253
2,270
-
13,523
Total sales of finished goods, goods for resale and raw materials
1,255,993
247,572
(7,001)
1,496,564
In the first quarter of 2025 net sales of finished goods, services, goods for resale and raw materials, by geographical area, were as follows:
Segment name
Construction business
Service activities
Consolidation adjustments
Consolidated financial data
Poland
1,308,873
222,363
(71,266)
1,459,970
Germany
80,589
27
-
80,616
Slovakia
33,848
-
-
33,848
Czech Republic
51,566
-
-
51,566
Latvia
4,323
-
-
4,323
Other EU countries
9,939
1,797
-
11,736
Total sales of finished goods, goods for resale and raw materials
1,489,138
224,187
(71,266)
1,642,059
Sales revenue of the segment "Construction business" by construction type
Net sales of finished goods, services, goods for resale and raw materials of the "Construction business" as the most significant operating segment in the Budimex Group were additionally analyzed by type of construction objects. Data for the first quarter of 2026 and the first quarter of 2025 were as follows:
Type of construction
Sales revenue for a 3-month period ended:
31 March 2026
31 March 2025
Land-engineering
425,250
533,834
Railway
317,435
334,173
General construction, of which:
513,308
621,131
- non-housing
443,783
518,021
- housing
69,525
103,110
Net sales of finished goods, goods for resale and raw materials - Construction business segment
1,255,993
1,489,138
-
Related party transactions
Transactions with related parties made in the period of three months ended 31 March 2026 and in the period of three months ended 31 March of 2025 and unsettled balances of receivables and liabilities as at 31 March 2026 and 31 December 2025 are presented in the tables below:
Receivables
Liabilities
31 March 2026
31 December 2025
31 March 2026
31 December 2025
Parent
-
-
(21,263)
(21,008)
Companies related to the Parent (the Ferrovial Group)
-
1,638
(4,782)
(12,548)
Jointly controlled entities
13,699
18,705
(7,791)
(7,281)
Associates
-
3
(7)
(5)
Other related entities
65
61
-
-
Total settlements with related parties
13,764
20,407
(33,843)
(40,842)
Loans granted
Loans taken out
31 March 2026
31 December 2025
31 March 2026
31 December
2025
Companies related to the Parent (the Ferrovial Group)
-
-
(41,570)
(40,874)
Jointly controlled entities
86,647
84,188
-
-
Total transactions with related parties
86,647
84,188
(41,570)
(40,874)
Sales of finished goods and services & other operating income
Purchase of finished goods and services & other operating costs
3-month period ended 31 March
3-month period ended 31 March
2026
2025
2026
2025
Companies related to the Parent (the Ferrovial Group)
-
-
(15,220)
(10,193)
Jointly controlled entities
6,150
3,137
(42)
-
Associates
5
7
(16)
(18)
Other related entities
-
23
-
-
Total transactions with related parties
6,155
3,167
(15,278)
(10,211)
Finance income
3-month period ended 31 March
Finance costs
3-month period ended 31 March
2026
2025
2026
2025
Companies related to the Parent (the Ferrovial Group)
-
-
(696)
(411)
Jointly controlled entities
1,197
-
-
-
Other related entities
-
-
-
-
Total transactions with related parties
1,197
-
(696)
(411)
The remuneration of the Members of the Management Board of the Parent Company for the first 3 months of 2026 amounted to PLN 7,896 thousand (of which, PLN 5,815 thousand represented performance bonus for completed tasks from 2025, the costs of Ferrovial's share-based payments amounted to PLN 270 thousand and the costs of Budimex's share-based payments amounted to PLN 68 thousand). In the same period of 2025, the remuneration of the Members of the Management Board of the Parent Company amounted to PLN 2,114 thousand (of which, the costs of Ferrovial's share-based payments amounted to PLN 310 thousand and the costs of Budimex's share-based payments amounted to PLN 68 thousand).
As at 31 March 2026 and 31 December 2025, the Group's companies did not have debt securities purchased from related entities, nor any debt securities sold to these entities.
Inter-Group transactions are made on an arm's length basis.
Factors which will affect results achieved by the Group in a period covering at least the next quarter
The most important factors that may affect the Group's financial situation in the perspective of at least the next quarter include:
an increase in fuel prices and a potential increase in the prices of construction materials resulting from the US military operation in Iran,
economic uncertainty related to the war in Ukraine,
availability of qualified staff,
availability and level of prices of construction materials and services affecting the amount of direct costs of the contracts being performed,
risks related to logistics and transport of construction materials,
volatility of exchange rates that affect the amount of sales revenues and operating costs as well as the result on the valuation and settlement of derivative currency transactions,
level of competition in announced public tenders,
intensification of activities aimed at recovering overdue receivables,
results of pending court cases, which are described in more detail in Note 16 to these interim condensed consolidated financial statements,
changes in tax regulations affecting the construction industry.
Description of significant achievements or failures of the Budimex Group in the period of 3 months of 2026, key events concerning the Group's operations and significant events after 31 March 2026
During the period under review, the Budimex Group recorded a nearly 9% decline in sales revenues, accompanied by a slight increase in the level of operating profitability by 0.2 percentage points. In the first quarter of 2026 the share of revenues generated in foreign markets remained at a similar level. Increases were recorded in the Slovak and Latvian markets, while a decrease was observed in the Czech market (Note 9.2). Changes in the level of sales result mainly from the scheduling of works on contracts, as well as from prevailing weather conditions. The Group continues the execution of foreign construction contracts obtained as part of the geographical diversification of the Group's construction portfolio, a strategy adopted several years ago and consistently implemented since then.
The Polish market saw a decline in revenue from sales of construction and assembly works, both in road, building, and railway construction. The reduction was a consequence of several factors, the main one being unfavourable weather conditions in the first two months of 2026 (a frosty and snowy winter lasting much longer than in the previous year) that negatively impacted all construction divisions. Additionally, lower production in the road construction division resulted from the completion of some construction projects that generated significant sales revenue in the same period last year. Simultaneously, design work was being finalized for several new road construction contracts, and the receipt of building permits is expected.
In the first quarter of 2026, the service segment with the FBSerwis Group as its pillar, noted increase in sales revenue by 10% compared to the corresponding period of the previous year. At the same time, a slight decrease in profit before tax of approximately PLN 1.5 million was recorded.
The backlog of the Budimex Group is profitable and provides solid revenue coverage until the end of 2027. Over the past year, the portfolio's structure has stayed relatively consistent - the backlog primarily consists of infrastructure and railway contracts, which make up approximately three-quarters of its value. The Budimex Group regularly updates the budgets of long-term contracts. Revised cost estimates take into account fluctuations in material prices
The backlog of the Budimex Group as of 31 March 2026 amounted to PLN 18.8 billion. The value of contracts signed between January and March 2026 approached PLN 3.6 billion. Following 31 March 2026, the Group has signed contracts with an aggregate value of approximately PLN 400 million. Furthermore, the value of contracts for which the Group's companies submitted the lowest bids or which were rated highest by contracting authorities (excluding contracts signed after 31 March 2026) is over PLN 7.1 billion, of which approximately PLN 4.9 billion relates to the Rail Baltica contract in the Latvian and Estonian markets. This ensures stable prospects for maintaining an optimal level of the order backlog in the coming quarters and stabilizes the foundations of operational activity for the years 2027-2028.
As at the end of March 2026, the Budimex Group's net cash position exceeded PLN 2.5 billion and remained at a level
similar to that at the end of 2025.
In the first quarter of 2026, the Group continued its operating activities through three foreign branches located in Slovakia (development of the D1 Bratislava-Triblavina motorway contract), in Czech Republic (development of the D35 Džbánov-Litomyšl motorway and the Kutrin polder construction) as well as in Latvia (beginning of the Rail Baltica contract). Additionally, a consortium including Budimex SA won the tender for the design and construction of the Rail Baltica main line in Estonia, on the Pärnu - Latvian border section. The total value of the contract is approximately 332 million euro (around PLN 1.4 billion). Budimex's share in the Construction Group, which is solely responsible for carrying out the construction works, is 40%.
Information about the most important contracts either signed by the Group's companies or those where the Group company's offer received the highest evaluation, has been disclosed in the current reports published on the Budimex SA's website.
On 26 March 2026, the Management Board of Budimex SA decided to recommend to the Ordinary General Meeting to make a decision on the payment of a dividend in the amount of PLN 32.42 gross per share. It is proposed to allocate the entire net profit for the period from 1 January 2025 to 31 December 2025 in the amount of PLN 827,686 thousand to the dividend, and the remaining indivisible PLN 9 thousand to reserve capital. The Management Board of Budimex SA proposed to set the dividend date at 3 June 2026, and the dividend payment date at 10 June 2026.
In the period after 31 March 2026 until the date of preparation of the interim condensed consolidated financial statements, no other significant events occurred.
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Issue, redemption and repayment of debt and equity securities
In the period of three months ended 31 March 2026 Budimex SA and Group companies did issue, redeem or repay debt or equity securities.
The Management Board's position on the feasibility of results stated in the financial forecasts published earlier for the year in view of the financial results presented in the quarterly report in relation to the projected results
Budimex SA did not publish any forecasts.
Statement of ownership of shares of Budimex SA or rights to such shares (options) held by the managing or supervisory persons of Budimex SA as at the date of publication of this report together with indication of changes in the ownership in the first quarter of 2026
As at the date of publication of the report members of the Management Board and Supervisory Board of Budimex SA held the following number of shares:
Artur Popko
(President of the Management Board)
2 031 shares
Marcin Węgłowski
(Management Board member)
2 830 shares
Marek Michałowski
(chairman of the Supervisory Board)
4 000 shares
Above mentioned members of the Management Board and Supervisory Board do not own share options of the company. As at the date of publication of this report other managing and supervisory persons of Budimex SA do not hold its shares or share options. This status has not changed since 31 December 2025.
Proceedings pending as at 31 March 2026 before court, competent arbitration body or any public administration authority
The total value of legal proceedings pending in respect of liabilities and receivables as at 31 March 2026 was PLN 1,619,771 thousand. The excess of the value of proceedings relating to claims of the Group companies over proceedings against the Group companies amounted to PLN 32,913 thousand.
On the basis of the information held by Budimex SA, the total value of legal proceedings pending in respect of liabilities of Budimex SA and subsidiaries as at 31 March 2026 was PLN 793,429 thousand. The proceedings pending in respect of Budimex SA and subsidiaries relate to the operating activities of the Group companies.
On 17 January 2025 Budimex SA, as a member of the consortium, received a lawsuit for a total amount of PLN 1,046,115 thousand, mainly covering debit notes for contractual penalties issued by the ordering party in 2022 and 2024 in the total amount of PLN 918,372 thousand. The lawsuit includes a demand for payment of contractual penalties for the unavailability of the power unit and delay in removing defects and certain other categories of damage, as well as an order to remove the defects or possibly cover the costs of their removal.
The lawsuit was filed by PGE Górnictwo i Energetyka Konwencjonalna SA against a consortium consisting of Mitsubishi Power Europe GmbH (technology leader), Tecnicas Reunidas SA and Budimex SA, which completed an EPC contract for the construction of a new power unit at the Turów Power Plant. The lawsuit is directed against all consortium members as joint and several debtors, with Budimex's share amounting to 23.58%. In February 2025, another lawsuit was served against the consortium members for the removal of defects or payment of PLN 200 million.
The parties are still in the course of mediation proceedings covering the mutual claims of both parties. In December 2024, the consortium filed lawsuits against the ordering party for a total amount of PLN 627,181 thousand and EUR 16,867 thousand for additional works and damages incurred. There was an exchange of procedural documents.
The next largest claim in terms of value is the lawsuit filed against Budimex SA and Ferrovial Agroman SA in Madrid (currently Ferrovial Construcción SA), members of the consortium related to implementation of the contract "Construction of the new premises for the Silesian Museum in Katowice" concluded on 7 June 2011, filed on 24 July 2017 by the claimant - the Silesian Museum in Katowice. The Claimant requests that the Defendants are either condemned in solidum to pay the amount of PLN 122,758 thousand plus statutory interest from the date the lawsuit was filed for improper performance of the obligation under the Contract, either alternatively the court adjudges the claim for decreasing the price by PLN 34,675 thousand as the reimbursement of part of the remuneration, which was wrongly paid in Claimant's opinion. Article 471 of the Civil Code was specified as the grounds for pursuing the main claim, and the provisions on statutory warranty were specified for the alternative claim.
According to the Management Board of Budimex SA, the claims covered by the action are groundless. The irregularities which, in the opinion of the Plaintiff, constitute the factual basis for the claims - if they occurred - were not a consequence of the actions or omissions of the Defendants' consortium. Furthermore, the proper execution of the Silesian Museum facility in Katowice by the Defendants' consortium was confirmed by the Plaintiff by issuing a Takeover Certificate and a Performance Certificate for the facility. The reserves created for warranty repairs and court proceedings cover, in the Management Board's opinion, the risks related to the subject court case. The first hearing took place in March 2019, during which the court ordered the parties to pay an advance on the expert's fees. By order of August 2022, the court referred the parties to mediation, simultaneously appointing a mediator from the Arbitration Court at the General Attorney of the Treasury. Mediation was conducted from August 2022 to April 2024, but did not lead to a settlement between the parties. Due to the unsuccessful conclusion of mediation, the case returned to court proceedings. At the hearing in August 2024, the court ordered the parties' attorneys to indicate the entity to take evidence from the opinion of the scientific and research institute. In August 2025, the court selected the Military University of Technology in Warsaw as the research institute to prepare the opinion in the case, accepting the costs and deadline proposed by the WAT institute. In December 2025, an inspection of the Museum by experts from the WAT institute took place. As of 31 March 2026, the WAT institute had not yet prepared an opinion in the case.
As of the date of these interim condensed consolidated financial statements, the final outcome of the remaining proceedings is unknown. Provisions have been established for all legal proceedings that, in the Group's opinion, may end unfavourably for it, in amounts reflecting the Group's estimated risk. The value of the provisions established for disputes is disclosed in Note 7 (provision for legal proceedings, provision for penalties and other sanctions, and a portion of the provision for warranty repairs).
The total value of legal proceedings pending in respect of claims of Budimex SA and its subsidiaries amounted to PLN 826,342 thousand as at 31 March 2026. The remaining proceedings relate mainly to the recovery of overdue receivables from business partners and to additional claims in respect of the construction work performed.
As at the date of this report, the final outcome of the proceedings is not known.
- Contingent assets and contingent liabilities
31 March 2026 | 31 December 2025 | |
Contingent assets | ||
From affiliates | ||
- guarantees and sureties received | 567 | 567 |
From affiliates, total | 567 | 567 |
31 March 2026 | 31 December 2025 | |
From other entities | ||
- guarantees and sureties received | 692,248 | 728,945 |
- bills of exchange received as security | 29,176 | 31,747 |
From other entities, total | 721,424 | 760,692 |
Other contingent assets | 2,538 | 128 |
Total contingent assets | 724,529 | 761,387 |
Contingent liabilities | ||
To other entities, of which: | ||
- guarantees and sureties issued | 5,033,172 | 4,672,327 |
- promissory notes issued as performance bond | 8,360 | 8,360 |
To other entities, total | 5,041,532 | 4,680,687 |
Total contingent liabilities | 5,041,532 | 4,680,687 |
Total contingent items | (4,317,003) | (3,919,300) |
Contingent assets arising from guarantees and sureties received represent guarantees and sureties issued by banks or other entities to the benefit of the Budimex Group companies serving as security for the Group's claims against business partners in connection with executed construction contracts.
Contingent liabilities arising from guarantees and sureties comprise mainly guarantees issued by banks to business partners of the Group companies to secure their claims against the Group companies that may arise on the grounds of executed construction contracts. The banks are entitled to recourse claims against Group companies under these guarantees. Guarantees issued to the investors of the Group represent an alternative, to the retentions held, method of securing potential investor claims relating to construction contracts. At the same time, the risk relating to warranty repairs assessed by the Management Board of the Group as probable was appropriately reflected in the warranty repair provision, as described in note 7 to these interim condensed consolidated financial statements.
The promissory notes issued represent security for liabilities settlement towards strategic suppliers of Group companies, while bills of exchange received and recognised under contingent assets represent security for receivables payment due to Group companies from their customers.
Guarantees and sureties issued by Budimex SA and its subsidiaries as at 31 March 2026:
Name of the company which issued a guarantee or surety | Name of the (company) entity which received a surety or a guarantee | Total value of guarantees or sureties issued | Maximum period of guarantees or sureties issuance | Financial conditions in respect of guarantees and sureties issued | Type of relations between Budimex SA and the entity which took out/ received a guarantee or surety |
Budimex SA | Budimex Budownictwo Sp. z o.o. | 75,737* | 2031-02-28 | free of charge | subsidiary |
Budimex SA | Mostostal Kraków SA | 64,456 | indefinitely | against payment | subsidiary |
Budimex SA | Budimex Bau GmbH | 25,346 | indefinitely | against payment | subsidiary |
Budimex SA | Budimex D Sp. z o.o. | 16,668 | 2029-05-31 | against payment | subsidiary |
Budimex SA | Azalia Sp. z o.o. | 12,015 | 2031-09-30 | against payment | subsidiary |
Budimex SA | FBSerwis SA | 10,293 | 2030-07-12 | against payment | subsidiary |
Budimex SA | Budimex Kolejnictwo SA | 6,177 | 2031-07-30 | against payment | subsidiary |
Budimex SA | Rail BX GmbH | 5,710 | indefinitely | against payment | subsidiary |
Budimex SA | Budimex Mobility SA | 3,722 | 2035-04-30 | ||
Budimex SA | Konstalex Sp. z o.o. | 1,785 | indefinitely | against payment | subsidiary |
Budimex SA | Kamelia Energy Sp. z o.o. | 1,212 | 2028-01-31 | against payment | subsidiary |
Budimex SA | Circular Construction SA | 12 | 2044-09-24 | against payment | subsidiary |
Konstalex Sp. z o.o. | Budimex SA | 697 | 2029-03-31 | contractual guarantee | subsidiary |
TOTAL | 223,830 |
*sureties were issued for contracts carried out by Budimex SA
Guarantees and sureties issued by Budimex SA as at 31 December 2025:
Name of the company which issued a guarantee or surety | Name of the (company) entity which received a surety or a guarantee | Total value of guarantees or sureties issued | Maximum period of guarantees or sureties issuance | Financial conditions in respect of guarantees and sureties issued | Type of relations between Budimex SA and the entity which took out a guarantee or surety |
Budimex SA | Mostostal Kraków SA | 90,353 | indefinitely | against payment | subsidiary |
Budimex SA | Budimex Budownictwo Sp. z o.o. | 82,962 | 2031-02-28 | free of charge | subsidiary |
Budimex SA | Azalia Sp. z o.o. | 12,015 | 2028-01-31 | against payment | subsidiary |
Budimex SA | Budimex Bau GmbH | 10,863 | indefinitely | against payment | subsidiary |
Budimex SA | FBSerwis SA | 10,293 | 2030-07-12 | against payment | subsidiary |
Budimex SA | Budimex Kolejnictwo SA | 5,084 | 2031-02-08 | against payment | subsidiary |
Budimex SA | Konstalex Sp. z o.o. | 2,427 | indefinitely | against payment | subsidiary |
Budimex SA | Rail BX GmbH | 2,500 | indefinitely | against payment | subsidiary |
Budimex SA | Budimex Mobility SA | 3,685 | 2044-07-15 | against payment | subsidiary |
Budimex SA | Fotowoltaika HIG XIV Sp. z o.o. | 1,712 | 2028-01-31 | against payment | subsidiary |
Budimex SA | Budimex D Sp. z o.o. | 14 | 2027-12-24 | against payment | subsidiary |
Budimex SA | Circular Construction SA | 12 | 2044-09-24 | against payment | subsidiary |
Konstalex Sp. z o.o. | Budimex SA | 697 | 2029-03-31 | contractual guarantee | subsidiary |
TOTAL | 222,617 |
*sureties were issued for contracts carried out by Budimex SA
President of the Management Board Member of the Management Board
Artur Popko Marcin Węgłowski
Warsaw, 6 May 2026
This is a translation of interim condensed consolidated financial statements originally issued in Polish. In case of any inconsistencies between the Polish and English version, the Polish version shall prevail.