CTT Correios de Portugal S A : Consolidated Results – 1st half 2026

About this update from Ctt - Correios De Portugal Sa

Ctt CONS OLIDATED RESULTS - 1*' HALF 2026 CONSOLIDATED RESULTS - 1 st HALF2026 ..................................................................................................................................................................................................................................................................................................................................................................................... 3 1. OPERATIONAL PERFORMANCE ............................................................................................................................................................................................................................................................................................................................................................................................ 5 e-commerce Solutions ............................................................................................................................................................................................................................................................................................................................................................................................................... 6 Mail & Services............................................................................................................................................................................................................................................................................................................................................................................................................................. 7 Banco CTT ..................................................................................................................................................................................................................................................................................................................................................................................................................................... 8 2. FINANCIAL PERFORMANCE .................................................................................................................................................................................................................................................................................................................................................................................................... 10 Income statement ........................................................................................................................................................................................................................................................................................................................................................................................................................ 11 Cash flow statement ................................................................................................................................................................................................................................................................................................................................................................................................................... 14 Consolidated statement of financial position ...................................................................................................................................................................................................................................................................................................................................................................... 16 3. OTHER HIGHLIGHTS .................................................................................................................................................................................................................................................................................................................................................................................................................. 20 Regulatory issues ........................................................................................................................................................................................................................................................................................................................................................................................................................ 21 Main ESG milestones achieved ............................................................................................................................................................................................................................................................................................................................................................................................... 21 Share buyback programme ....................................................................................................................................................................................................................................................................................................................................................................................................... 22 Outlook for 2026 ........................................................................................................................................................................................................................................................................................................................................................................................................................... 22 Subsequent events ..................................................................................................................................................................................................................................................................................................................................................................................................................... 23 4. INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS ........................................................................................................................................................................................................................................................................................................................... ## CONTACTS ................................................................................................................................................................................................................................................................................................................................................................................................................................................ ## 2 ‌CTT - Correios de Portugal, S.A. Consolidated Results - 1 st Half 2026 In the 1 st half of 2026 (1H26), CTT revenues 1 reached €674.3m (+€77.1m; +12.9% y.o.y. 2 ), a positive performance that reflects: (i) the continued and sustained growth of ecommerce Solutions (+22.3% y.o.y. organic and +29.6% y.o.y, including the effect of the consolidation of Cacesa and DHL Parcel Portugal 3 ), where CEP volume growth is being fully translated to revenues; (ii) the growth of Banco CTT (+8.1% y.o.y.) underpinned by customer growth and greater engagement with customers, as well as strong momentum in the credit sector and (iii) the significant increase in public debt placements and the continued growth of the Business Solutions and Payments segment. Revenues by business area were as follows: e-commerce Solutions recorded €343.6m (+29.6% y.o.y., including the effect of the consolidation of Cacesa and DHL Parcel Portugal), maintaining a sustained growth trajectory, driven primarily by the positive momentum of e-commerce, as the volumes of last-mile parcels grew by 19.4% y.o.y. and are pulling revenue growth. On a like-for-like basis, taking into account the volume of parcels from DHL Parcel Portugal in May and June 2025, last-mile parcel volumes would have grown by 17.6% y.o.y. Mail & Services reached €256.6m (-2.7% y.o.y.), a decline that essentially reflects the impact of the legislative elections in May 2025. Excluding this effect, the segment's revenue would have grown by 0.6% y.o.y. in 1H26 (+5.0% y.o.y in 2Q26), driven by (i) growth in revenue from the public debt due to the increase in the savings subscription limit for public debt placements effective since the end of April 2026 and by rising interest rates, (ii) the strong performance of the Business Solutions and Payments division, and (iii) the favourable trend in the performance of addressed mail. Banco CTT posted €74.1m (+8.1% y.o.y), leveraged by growth in business volumes (+13.9% y.o.y), against a backdrop of customer growth and the greater involvement mentioned, and, consequently, growth in net interest income (+9.7% y.o.y) and commissions received (+12.6% y.o.y). Recurring EBIT stood at 41.0€m in 1S26 (-€5.9m; -12.5% y.o.y), with a margin of 6.1%. The recurring EBIT performance reflected: €16.7m in e-commerce solutions , a y.o.y decrease of 20.9%, including the effect of the consolidation of Cacesa and DHL Parcel Portugal (equivalent to an organic y.o.y decrease of 35.7%). This performance is mainly due to regulatory and business volatility in the customs clearance sector, which placed significant pressure on the profitability of Cacesa's operations in 1H26. €13.9m in Mail & Services (-7.3% y.o.y.), a decrease that mainly reflects the impact of the legislative elections in May 2025. Excluding this effect, the segment's rec.EBIT would have grown by 17.5% y.o.y in 1H26 (+149.4% y.o.y in 2Q26), driven by the factors mentioned above. €10.5m in Banco CTT (-3.5% y.o.y.), a fairly stable performance resulting from the strategic decision to invest in accelerating the growth of the customer base, business volumes and revenue. Operating cash flow stood at €22.2m in 1H26, mainly due to a €23.1m reversal of the investment in working capital in 2Q26. Net profit 4 stood at €12.9m in 1H26 (-€9.2m; -41.6% compared with 1H25), reflecting the performance in terms of rec. EBIT, higher financial results and higher non-controlling interests. 1 Excluding specific items. 2 y.o.y. - year on year. 3 Compañia Auxiliar al Cargo Expres, S.A.U. ("Cacesa") was acquired on 30 April 2025 and DHL Parcel Portugal, Unipessoal, Lda. ("DHL Parcel Portugal") was acquired on 12 May 2026. For the purposes of consolidating the income statement, DHL Parcel Portugal is included in the scope of consolidation from 1 May 2026. The pro forma information takes into account the contribution of Cacesa from 1 January 2025 and that of DHL Parcel Portugal from 1 May 2025. The pro forma adjustments for 2Q25 and 1H25 correspond to an impact on revenue of €9.2m and €36.4m for Cacesa, and €6.8m and €6.8m for DHL Parcel Portugal, respectively. In terms of recurring EBIT, the impact amounts to €1.2m and €4.7m for Cacesa, and €0.1m and €0.1m for DHL Parcel Portugal, respectively. 4 Consolidated, attributable to equity holders. € million 1H25 1H26 y.o.y. 2Q25 2Q26 y.o.y. 1H25Pf y.o.y.Pf 2Q25Pf y.o.y.Pf Revenues 5 597.3 674.3 12.9% 308.7 345.0 11.7% 640.4 5.3% 324.7 6.3% e-commerce Solutions 265.1 343.6 29.6% 143.3 179.4 25.2% 308.2 11.5% 159.2 12.7% Mail & Services 263.6 256.6 (2.7%) 130.4 127.9 (1.9%) 263.6 (2.7%) 130.4 (1.9%) Banco CTT 68.6 74.1 8.1% 35.0 37.6 7.4% 68.6 8.1% 35.0 7.4% Operating costs 510.6 590.3 15.6% 261.9 297.6 13.6% 548.0 7.7% 276.2 7.8% EBITDA 4 86.7 84.1 (3.0%) 46.8 47.3 1.1% 92.5 (9.1%) 48.5 (2.4%) EBITDA margin 14.5% 12.5% (2.0pp) 15.2% 13.7% (1.5pp) 14.4% (2.0pp) 14.9% (1.2pp) Depreciation & amortisation 39.8 43.0 8.1% 20.1 21.7 7.6% 40.7 5.7% 20.5 5.9% Recurring EBIT 4 46.9 41.0 (12.5%) 26.7 25.7 (3.8%) 51.7 (20.7%) 28.0 (8.4%) Recurring EBIT margin 7.9% 6.1% (1.8pp) 8.6% 7.4% (1.2pp) 8.1% (2.0pp) 8.6% (1.2pp) e-commerce Solutions 21.1 16.7 (20.9%) 14.0 10.8 (22.8%) 25.9 (35.7%) 15.4 (29.6%) Mail & Services 15.0 13.9 (7.3%) 7.0 9.6 37.3% 15.0 (7.3%) 7.0 37.3% Banco CTT 10.9 10.5 (3.5%) 5.6 5.2 (7.6%) 10.9 (3.5%) 5.6 (7.6%) EBIT 36.6 30.3 (17.2%) 25.3 18.3 (27.9%) 41.4 (26.9%) 26.7 (31.5%) Net profit for the period 6 22.1 12.9 (41.6%) 16.6 8.4 (49.6%) 26.1 (50.5%) 18.0 (53.4%) 31.12.2025 31.06.2026 ∆ y.o.y. Equity 323.2 403.0 79.8 24.7 % Net Debt 7.9 (24.0) (31.9) « Net debt with Banco CTT under equity method 312.2 292.8 (19.4) (6.2)% Net debt/EBITDA (LTM) with Banco CTT under equity method 1.9 1.8 (0.1) (4.9)% Note: "Pf" stands for pro forma and is used for comparison purposes in relation to organic performance, including Cacesa, which was acquired on 30 April 2025, and DHL Parcel Portugal, which was acquired on 12 May 2026. For the purposes of consolidating the income statement, DHL Parcel Portugal is included in the scope of consolidation from 1 May 2026. The pro forma information takes into account the contribution of Cacesa from 1 January 2025 and that of DHL Parcel Portugal from 1 May 2025. The pro forma adjustments for 2Q25 and 1H25 correspond to an impact on revenue of €9.2m and €36.4m for Cacesa, and €6.8m and €6.8m for DHL Parcel Portugal, respectively. In terms of recurring EBIT, the impact amounts to €1.2m and €4.7m for Cacesa, and €0.1m and €0.1m for DHL Parcel Portugal, respectively. 5 Excluding specific items. 6 Consolidated, attributable to equity holders. Operational performance ‌e-commerce Solutions E-Commerce Solutions maintained a strong growth trajectory, supported by the favourable evolution of the ecommerce market and the strengthening of CTT's presence across the Iberian logistics value chain. Operating revenues reached €179.4 million in 2Q26, representing a 25.2% y.o.y. increase compared to 2Q25. For the first half of the year, operating revenues totalled €343.6 million (+29.6% y.o.y). These results include the effect of the consolidation of Cacesa and DHL Parcel Portugal. Excluding this effect, operating revenue for the Ecommerce Solutions segment would have grown by 12.7% y.o.y and 11.5% y.o.y in 2Q26 and 1H26, respectively. In 1H26, CEP business continued to demonstrate strong momentum, with parcel volumes reaching 83.8 million items, representing an increase of 19.4% y.o.y (17.6% y.o.y on a comparable basis). Over the 12 months ending 30 June, parcel volumes totalled 170.4 million items. Operating revenues performance in 2Q26 was driven by strong growth in CEP activity, i.e. the delivery of parcels to customers homes and to lockers or convenience points. Growth in e-commerce volume in 2Q26 reached 24.4% y.o.y and drove the solid growth in CEP revenue, which reached €151.4m (+€33.3m; +28.1%). This performance benefited from the consolidation of DHL Parcel Portugal with effect from 1 May 2026. Adjusting for this effect, on a pro forma basis, volumes would have grown by 20.7% y.o.y, maintaining the acceleration seen in the quarters over the past 12 months: 14.3% y.o.y in 1Q26, 11.3% y.o.y in 4Q25 and 8.9% y.o.y in 3Q25. On a pro forma basis, revenue would have grown by 21.2% y.o.y, with this figure also maintaining the acceleration seen in previous quarters: 14.4% y.o.y in 1Q26, 14.4% y.o.y in 4Q25 and 13.0% y.o.y in 3Q25. This growth reinforces (i) the outlook for expansion in the ecommerce market in the Iberian Peninsula, driven by an increase in the number of online shoppers and the frequency of purchases, and (ii) CTT's ability to continue leading growth in this market by focusing on the coverage and capacity of its last-mile network and the quality of the services it provides. Additionally, CTT continues to expand its out-of-home (OOH) network across the Iberian Peninsula, further enhancing the reach and convenience of its offering. The network comprised approximately 20,000 PUDO locations across Portugal and Spain, including 1,502 Locky lockers in Portugal, of which 1,356 were public, and 153 lockers in Spain. The expansion of the parcel locker network in Spain is continuing at a rapid pace, with more than 400 units already contracted for future installation, reinforcing CTT's position as a leading operator in the Iberian e-commerce ecosystem. On the other hand, operating revenues from activities non-CEP - which are essentially activities relating to customs clearance - reached €28.0m in 2Q26 (+€2.9m; +11.6% y.o.y), including the effect of the consolidation of Cacesa from 1 May 2025. Adjusting for this effect - i.e. taking into account Cacesa's operating revenues in April 2025 -operating revenues from non-CEP activities would have fallen by 18.3% y.o.y, reflecting a deterioration in performance compared with 1Q26, when an organic decline of 5.0% y.o.y was recorded. This decline reflects the instability observed in the market as various organisations prepare for and adapt to the new European customs regulatory framework, which represents both a strategic opportunity for CTT and Cacesa and a challenge in terms of technological and operational adaptation, particularly in the short term. This reform was designed largely to respond to the exponential growth in ecommerce parcels, entailing (i) stricter requirements for the collection of data from sellers, marketplaces and recipients, (ii) a need for greater automation of import flows, and (iii) an increased importance of specialised customs representation services. In the future, this new customs environment will drive growth in the European fulfilment sector, as well as the expansion of integrated logistics services, with these areas remaining among CTT's key business objectives. Recurring EBIT reached €16.7m and margin stood at 4.9%. impacted by the rise in operating costs associated with ongoing inflationary pressure on certain factors of production and the continued investment coverage capacity and quality of service. ‌As with operating revenues, a distinction must be made between the performance of CEP activities and that of (non-CEP) activities which are primarily related to the customs clearance business provided through Cacesa. Recurring EBIT from the CEP business amounted to €10.2M in 2Q26 (+6.6% y.o.y). This performance includes the consolidation of DHL Parcel Portugal from 1 May 2026. Excluding this effect, i.e. by including DHL Parcel Portugal's recurring EBIT from 1 May 2025 in the 2Q25 comparison base, the recurring EBIT from CEP activities would have grown by 5.4% y.o.y. This performance, which shows a marked recovery compared with that seen in 1Q25 (-58.1% y.o.y), was achieved against a backdrop of (i) rising operating costs associated with continued inflationary pressure on certain factors of production and (ii) the continued pursuit of the e-commerce growth strategy, based on expanding network coverage and installed capacity in order to maintain a high quality of service and hereby strengthen the value proposition for customers and consumers. Against the backdrop of the aforementioned revenue shortfall, non-CEP activities recorded a negative recurring EBIT performance. Consequently, recurring EBIT from non-CEP activities amounted to €0.6m in 2Q26 (-85.7% y.o.y). This performance includes the consolidation of Cacesa from 1 May 2025. Excluding this effect, by including Cacesa's recurring EBIT for April 2025 in the 2Q25 comparison base, recurring EBIT from non-CEP activities in 2Q26 would have fallen by 88.8% compared with 2Q25. This decline reflects not only the aforementioned loss of revenue, but also the increase in costs associated with Cacesa's adaptation to the new market environment and the provision of services within a more volatile regulatory context. It should be noted that, despite the strong growth momentum observed in 1H26, the segment anticipates a more challenging environment for 2H26. In particular, the introduction, from 1 July, of a fixed rate of €3 applied to low-value shipments from countries outside the EU could impact the trend in international e-commerce flows. CTT is closely monitoring this regulatory change and its potential implications for demand and consumption patterns, whilst remaining focused on adapting its operations and mitigating its impacts. Mail & Services Operating revenues amounted €127.9m in 2Q26, representing a y.o.y decrease of 1.9%, a decline that essentially reflects the impact of the legislative elections in May 2025. Excluding this effect, the segment's revenue would have grown by 5.0% y.o.y in 2Q26, driven by (i) growth in public debt placements revenue due to the increase in the subscription limit for savings certificates, effective since the end of April 2026 and by rising interest rates, (ii) the strong performance of the Business Solutions and Payments division, and (iii) the favourable trend in the performance of addressed mail. In 1H26, operating revenue from Mail and Services totalled €256.6m (-€7.0m; -2.7% y.o.y) +0.6% y.o.y on a comparable basis when adjusted for the impact of the elections in 2Q25. The decline registered in the Mail business is due to the aforementioned base effect from 2Q25, a period in which additional revenue of €8.6m was recorded in relation to services provided in the context of the May 2025 legislative elections. Excluding this effect, Mail revenue in 2Q26 would have fallen by €1.3m (-1.5% y.o.y) to €90.1m. As regards addressed mail revenue, 2Q26 saw a decrease of €9.3m (-10.1% y.o.y), with this performance being almost entirely due to the base effect of the elections in 2Q25. Excluding this effect, addressed mail revenue would have fallen by just €0.8m in 2Q25 (-0.9% y.o.y) due to the price increase - in line with the Universal Service formula - and a shift in the mail mix towards higher value-added items, which almost offset the decline in addressed mail volumes (-7.7% y.o.y). In February, the new prices for 2026 took effect. The average annual price change for the Universal Service 7 was +5.93%. In 1H26, this change was +5.97% y.o.y. ‌In 1H26 and 2Q26, respectively, operating revenue from Services (excluding Mail) amounted, respectively, to €68.5m (+€4.6m; +7.1% y.o.y) and €36.4m (+€6.1m; +20.3% y.o.y). The performance of this business line in 2Q26 benefited from growth in services provided in the area of savings distribution, i.e. the distribution of public debt placements, notably savings certificates and treasury bills. In 2Q26, revenues from the savings segment reached €8.3m (+ €3.0m; +56.1% y.o.y). The performance of public debt in 2Q26 generated revenue from savings placements of €8.3m (+€3.0m; +56.1% y.o.y.). In terms of public debt placements, it should be noted that the y.o.y comparison is significantly influenced by changes in conditions to the product's sales, particularly in relation the subscription limits, which came into effect in the beginning of the quarter, as well as by the evolution of interest rates. Against this favourable backdrop, subscriptions totalling €1,640.7m in 2Q26, compared with €1,171.5m in the same period of last year (+40.0% y.o.y). The expansion into the digital channel has proved to be an attractive commercial strategy, already accounting for 11.6% of the product's transaction volume for the period, corresponding to total subscriptions of over €54m (3.3% of total subscriptions for the quarter). The number of health insurance plan users increased by 17.1 thousands compared with the same period last year, to 55.8 thousands at the end of 1H26, reflecting the contribution of subscription products to growth. In terms of the Services division's operating revenue, it is also worth highlighting the performance of the Business Solutions and Payments division, whose revenue in 2Q26 reached €19.6m (+€1.4m; +7.8% y.o.y), maintaining a growth trajectory driven mainly by companies growing demand for the outsourcing of business processes, with CTT gaining market share in this segment. The year 2026 has been characterised by growth and the development of strategic solutions in document management, contact centres, BPO and payments. Within Payshop, a key initiative is the roll-out of new payment terminals to agents, which will enable a wider range of services to be offered, particularly card payment terminals, thereby enhancing the user experience. It is hoped that this new service will drive further revenue growth in the future. Investment in existing business lines and in these new services strengthens the value proposition of the corporate portfolio, consolidating CTT's position as a strategic partner for Portuguese businesses. Recurring EBIT for Mail and Services in 1H26 stood at €13.9m (-€1.1m; -7.3% y.o.y). Excluding the impact of the elections in 1H25 (€3.2m), it would have shown growth of + €2.1m (+17.5% y.o.y). In 2Q26, recurring EBIT reached €9.6m (+€2.6m; +37.4% y.o.y). Taking into account the impact of the May 2025 legislative elections on 2Q25, the growth recorded in 2Q26 would have been €5.8m, equivalent to 149.4% y.o.y, with this growth mainly attributable to the strong performance of revenue from the public debt placements. Banco CTT Banco CTT's operating income reached €37.6m in 2Q26, representing a y.o.y increase of 7.4%. In 1H26, the bank´s operating income first half of the year, the bank's operating income totalled €74.1m (+€5.6m; +8.1% y.o.y). This performance in 1H26 is primarily attributable to growth in net interest income (+€4.9m; +9.7% y.o.y) and received commissions (+€2.0m; +12.6% y.o.y), both driven by growth in the customer base and increased engagement with customers, resulting in growth in business volumes, both inside and outside the balance sheet. At the end of 1H26, the number of current accounts stood at 698.8k (+0.7%; y.o.y) noting that, on May 2026 Banco CTT cleaned 19.7 thousand current accounts in compliance with the new Banco de Portugal's regulations regarding the cancellation of accounts that are not active for 24 months or more. The business volumes in 1H26 reached €8,377.3m (+13.9% y.o.y), this performance is mainly attributable to: (i) customer deposits, which stood at €4,605.6m (+11.9% y.o.y); (ii) loans to customers, on-balance-sheet, which reached €2,247.0m (+16.4% y.o.y), with strong growth in mortgage loans, driven by gains in market share, fuelling 7 Includes letter mail, editorial mail and parcels of the universal postal service, excluding international inbound mail. this performance; and (iii) off-balance-sheet savings, which totalled €1,382.1m (+17.7% y.o.y). Interest received on car loans reached €35.8m in 1H26 (+ €3.1m; +9.6% y.o.y). Production stood at €158.7m in the same period (+15.3% y.o.y), reflecting an increase in market share from 10.1% to 11.1% (year-to-May cumulative new lending for used vehicles). Interest received on mortgage loans totalled €13.6m in the period (-€1.2m; -8.4% y.o.y). Credit production stood at €198.9 million in 1H26 (+€52.4m; +35.7% y.o.y), with Banco CTT's share of new production (1.6% as of May) above its current market share (loan book stock). Business volumes reached €8.4b (+13.9% y.o.y). This growth was strongly driven by loans to customers (+16.4%) and off-balance-sheet savings (+17.7%). Other interest received fell by €3.9m, as a result of the decline in market interest rates, including the European Central Bank's (ECB) key interest rates. Fees received totalled €17.7m (+€2.0m; +12.6% y.o.y), with notable positive contributions from insurance, consumer credit, transaction fees and mortgage loans, which amounted to €11.9m (+€2.1m; +20.9% y.o.y). The transformation ratio stood at 47.2% for the quarter. The cost of risk improved slightly in 2Q26, standing at 0.9%, benefiting primarily from favourable trends in loan recoveries. Recurring EBIT reached €10.5m (-3.5% y.o.y), showing a slight decline. This performance reflects the strategic decision to invest in accelerating the growth of the customer base, business volumes, and revenues, which has led to greater investment in the branch network, sales capabilities, and IT infrastructure. ‌Financ.iaI.PeJormance

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