Audit Committee Report for Financial Year 01/01/2025 - 31/12/2025 of KRI-KRI MILK INDUSTRY S.A.
3rd km. Serres - Drama, 62125, Serres, GREECE,
General Commercial Registry No.: 113772252000
Serres, 21st April 2026
(TRANSLATION FROM THE GREEK ORIGINAL)
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Introduction
Pursuant to Article 44 of Law 4449/2017 and Circular 427/21.02.2022 of the Hellenic Capital Market Commission, as in force, the Audit Committee (hereinafter the "Committee") of the company under the name KRI-KRI MILK INDUSTRY S.A. (hereinafter the "Company") hereby submits this report relating to its activities for the financial year 2025 (01.01.2025-31.12.2025). The scope of this report is to demonstrate the Committee's substantial contribution to the Company's compliance with the provisions of the applicable legislative and regulatory framework, within a business environment characterised by significant and multifaceted challenges and uncertainties."
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Purpose of the Committee
The primary purpose of the Committee is to support the Board of Directors in its duties related to financial information, internal audit and regular audit oversight. The responsibilities and operation of the Committee are further explained in the current Corporate Governance Code.
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Composition of the Committee
It is noted that, pursuant to the resolution of the Annual General Meeting of Shareholders held on 06.07.2021, the Audit Committee was established as a committee of the Board of Directors, with a term of office aligned with that of the Board of Directors. The members of the Committee are appointed by the Board of Directors, following an assessment of each candidate's suitability requirements, to ensure that the Committee has the required lawful composition and that its members meet the applicable suitability criteria and, where applicable, independence requirements. The Chair of the Committee is appointed by its members upon its formation and is required to be independent.
During the period from 01.01.2025 to 30.06.2025, the Audit Committee consisted of the following members:
Anastasios Moudios, Independent Non-Executive Member
Anastasios Kyriakidis, Independent Non-Executive Member
Georgios Kotsampasis, Non-Executive Member
The Committee was chaired by Mr. Anastasios Moudios.
The Annual General Meeting of Shareholders held on 01.07.2025 elected a new Board of Directors and designated the following as independent members within the meaning of Article 9 par. 1 and par. 2 of Law 4706/2020:
Anastasios Moudios
Aikaterini Nendou
Maria Anastasiadou-Savvaidou
At its meeting held on 03.07.2025, the Board of Directors confirmed the fulfilment of the independence requirements for its independent members, was constituted as a body, and appointed the following members of the Audit Committee:
Anastasios Moudios, Independent Non-Executive Member
Maria Anastasiadou-Savvaidou, Independent Non-Executive Member
Georgios Kotsampasis, Non-Executive Member
Based on the CVs of the Audit Committee members, the following apply:
Mr. Anastasios Moudios demonstrably possesses adequate knowledge of the Company's operating industry (the broader food and beverage industry). Throughout his professional career as a certified auditor, he has led audit teams for some of the largest corporations in the Greek market, including dairy companies and businesses with activities similar to those of the Company. Accordingly, Mr. Moudios has substantial and in-depth knowledge of the business environment and the specific characteristics of the industry.
Ms. Maria Anastasiadou-Savvaidou, through her academic background and professional experience, possesses comprehensive knowledge relating to the organization and management of complex corporations operating in the manufacturing sector.
Mr. Georgios Kotsampasis has held senior management positions within the Company for more than two decades, having served as Production Director as well as Vice-Chairman of the Company's Board of Directors, while at the same time contributing decisively to its growth. Consequently, his knowledge of the Company's operating industry is well established and indisputable.
Thus, all the above members of the Committee have sufficient knowledge of the manufacturing sector in which the Company operates. And in their majority, they also have knowledge in the specific sector of milk processing and the "food and beverage" super-sector, to which the Company has been assigned in Athens Stock Exchange
Finally, the Board of Directors noted that Mr. Anastasios Moudios, as a chartered auditor, has sufficient knowledge and experience in auditing and accounting.
On the same date as the meeting of the Board of Directors, 03.07.2025, a meeting of the Audit Committee was held, during which the Committee was constituted as a body and elected Mr. Anastasios Moudios as its Chairman.
The current composition of the Audit Committee, following the resolution of the Board of Directors dated 08.04.2026, remains unchanged and is as follows:
Anastasios Moudios, Independent Non-Executive Member
Maria Anastasiadou-Savvaidou, Independent Non-Executive Member
Georgios Kotsampasis, Non-Executive Member
On the that date, 08.04.2026, a meeting of the Audit Committee was held, during which it was constituted as a body and re-elected Mr. Anastasios Moudios as its Chairman.
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Meetings of the Committee
The number of meetings of the Committee during the financial year is determined by the requirements to successfully perform its responsibilities.
During Financial Year 2025, the Committee met eleven (11) times. The table below shows the number of meetings where the members of the Committee physically participated:
Member Participation in the meetings
Anastasios Moudios 11Georgios Kotsampasis 11
Anastasios Kyriakidis 5
Maria Anastasiadou-Savvaidou 6
To review the financial statements of the financial year 2025, the Committee met three (3) times with the Company's certified auditor. Two (2) of those meetings took place prior to the publication of the Company's semi-annual and annual financial statements.
- Responsibilities and Activities of the Committee
A. Internal Control Structure and Procedures
During the financial year 2025, the Audit Committee:
Worked with the Company's Internal Auditor and provided appropriate guidance for the continuation of the audit process, discussed findings and conclusions arising from audit reports, and presented significant findings to the Company's Board of Directors,
Approved the Internal Audit Unit's audit plan for the financial year 2025,
Cooperated with the Risk Management and Regulatory Compliance Unit to monitor
and review the Company's Corporate Governance System,
Monitored the implementation of actions addressing findings arising from the external
assessment of the Company's Corporate Governance System,
Evaluated the individual and collective suitability of its members, as well as their overall performance.
B1. Financial Statements - Statutory Audit
The Audit Committee monitored the statutory audit process for the annual financial statements for the financial year 2025, taking into account the findings and conclusions of the competent authority, in accordance with Article 44 par.3 of Law 4449/2017 and Article 26 par.6 of Regulation (EU) No. 537/2014.
The statutory audit of the financial statements for the year 2025 was conducted by the company Grant Thornton in accordance with International Standards on Auditing. The financial statements of the Company were prepared in accordance with International Financial Reporting Standards (IFRS), as adopted by the European Union. Specifically, with respect to the annual statutory audit, two meetings were held with Grant Thornton external certified auditors: one at the planning stage of the audit process and one upon completion of the audit process, while continuous communication was maintained throughout the audit process.
During the planning stage, the following were reviewed:
certified auditor independence
audit process timeline and planning
assignment of audit teams
assessment of the statutory audit plan
responsibilities of Management and certified auditors
identification of key risks
key elements of the audit approach
Upon completion of the audit process, the independent certified auditor's report and the
supplementary report were presented and reviewed. The following key matters were examined:
quality assurance
engagement supervision
materiality assessment
going concern assessment
appropriateness of non-audit services
During the presentation of audit results, the following were analyzed:
key financial figures
key audit matters, which were: (a) revenue recognition and (b) inventory valuation
significant changes in the statement of financial position, income statement, and cash flows
Information to the Board of Directors on Audit Results
Following review of the audit report and the supplementary report, the Audit Committee informed the Board of Directors of the results of the statutory audit, the contribution of the audit to the quality and integrity of financial reporting, and the role of the Committee in this process.
In this context, the Annual Financial Report was reviewed prior to approval by the Board of Directors, in order to assess its completeness and consistency with the information reviewed and the accounting policies applied by the Company. The Committee also considered the most significant issues and risks that may affect the Company's financial statements.
Independence and Appropriateness of Non-Audit Services
Considering Article 44 par.3 Article e of Law 4449/2017 and Articles 5, 6, 21, 22, 23, 26 and 27 of Regulation (EU) No. 537/2014, the Audit Committee reviewed and monitored certified auditor independence, with particular emphasis on the appropriateness of non-audit services.
In this context, the Committee received assurance, through the preliminary audit report, that the certified auditor is independent of the audited entity. The risks to certified auditor independence and related safeguards were also discussed.
B2. Sustainability Report - Limited Assurance
The Audit Committee monitored the limited assurance engagement on the Sustainability Statement.
The limited assurance engagement for the Sustainability Statement 2025 was conducted by Forvis Mazars in accordance with International Standard on Assurance Engagements (ISAE) 3000 (Revised), Assurance Engagements Other than Audits or Reviews of Historical Financial Information (hereinafter "ISAE 3000"). Two (2) meetings were held with the external auditor, one at the planning stage and one upon completion of the engagement.
In the course of its work, the Audit Committee had full access to all necessary information and was provided with the required resources to effectively perform its duties. The Committee extends its sincere appreciation to Management, the Auditors, and the Company's personnel for their excellent and seamless cooperation.
C. Corporate risks
The Audit Committee within the financial year 2025:
Examined the usual financial risks to which the Company may be exposed, which are the market risk, mainly that of the fluctuation of the prices of raw materials, the credit risk resulting from the inability of its customers to meet their obligations, and the liquidity risk related to the potential difficulty of the Company paying its obligations on time,
Examined the main non-financial risks to which the Company may be exposed, which are: disruption of the smooth operation of the supply chain, risks related to product quality and safety, risks related to regulatory compliance, amendments in dietary behavior of consumers, operational risks that cause disruption to operational activity, such as major mechanical breakdowns, disruption of employee relations, cases of fraud, technological risks and environmental risks,
Examined the risks of the current economic situation arising from the macroeconomic environment.
D. Regulatory compliance
The Audit Committee within the financial year 2025 cooperated with the Risk Management and Regulatory Compliance Unit and monitored its response to the requests of the external evaluation process of the Company's Internal Control System.
E. Preparation and review of reports
The Committee within the financial year 2025:
Prepared the Audit Committee report for the financial year 01.01.2024- 31.12.2024
Reviewed the content of the Remuneration Report for the year 01.01.2024- 31.12.2024
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Regulation of the Audit Committee
The Regulation of the Committee, as in force, is uploaded on the Company's website.
- Final remarks
In carrying out its work, the Audit Committee had full access to all necessary information and was provided with the required resources to effectively perform its duties. The Committee extends its sincere appreciation to Management, the Auditors, and the Company's personnel for their excellent and seamless cooperation.
Serres, 21/04/2026 Sincerely,
Anastasios K. Moudios Chairman of the Committee