Osterreichische Post : Report (Austrian Post Half year financial report 2025)

About this update from Osterreichische Post Ag

02 Q Austrian Post Half-year Financial Report 2025 H1 2025 Highlights Revenue _ Revenue comparison impacted by elections and currency effects in 2024 _ Revenue of EUR 1,488.1m down by 1.1 % from 2024 but 15.8 % above 2023 Earnings _ EBITDA of EUR 199.4m (-5.7 % vs. 2024 but +5.5 % vs. 2023); EBIT of EUR 94.0m (-11.0 % vs. 2024 and -1.3 % vs. 2023) _ Earnings per share down from EUR 1.12 to EUR 0.99 Cash flow and balance sheet _ Operating free cash flow of EUR 160.9m above the level of recent years _ Equity of EUR 698.8m Outlook for 2025 _ Revenue expected at the prior-year level _ Target of achieving earnings (EBIT) in the order of EUR 200m remains unchanged Key Figures EUR m H1 2024 H1 2025 Change EARNINGS FIGURES Revenue 1,505.2 1,488.1 -1.1 % EBITDA 211.5 199.4 -5.7 % EBITDA margin 14.1 % 13.4 % - EBIT 105.6 94.0 -11.0 % EBIT margin 7.0 % 6.3 % - Profit for the period 78.5 68.4 -12.8 % Earnings per share (EUR) 1 1.12 0.99 -11.3 % Employees (average for the period, full-time equivalents) 27,803 28,103 1.1 % CASH FLOW AND CAPEX Gross cash flow 185.8 158.3 -14.8 % Cash flow from operating activities 185.7 28.6 -84.6 % Cash flow from financing activities -126.4 -172.6 -36.6 % Operating free cash flow 2 147.1 160.9 9.3 % CAPEX 46.3 41.3 -10.8 % EUR m 31 December 2024 30 June 2025 Change BALANCE SHEET FIGURES Total assets 6,491.9 6,226.1 -4.1 % Equity 761.6 698.8 -8.3 % Equity ratio 11.7 % 11.2 % - Financial debt incl. IFRS 16 554.8 575.0 3.6 % Financial debt 167.7 207.5 23.7 % Capital employed 3 1,385.3 1,316.1 -5.0 % 1 Undiluted earnings per share in relation to 67,552,638 shares 2 Free cash flow before acquisitions/securities/money market investments, growth CAPEX and core banking assets 3 bank99 was not included in the calculation, as this key figure is only relevant for the logistics business in terms of content. Statement by the Management Board Dear Shareholders! Following the strong revenue increase in the year 2024 driven by several positive special effects, the first half of 2025 was characterised by challenging macroeconomic conditions in the mail and parcel markets. The comparison with the first half of 2024 is affected by major elections in Austria and positive currency effects relating to the Turkish Lira in the previous year. Total Group revenue in the first half-year 2025 equalled EUR 1,488.1m, comprising a decline of 1.1 % from the prior-year figure and 15.8 % above 2023. Mail division revenue fell by 5.9 % from the first half of 2024 and by 2.6 % compared to 2023 and was characterised by the structural decline of addressed letter mail volumes resulting from electronic substitution as well as the discontinuation of positive effects in the previous year. Furthermore, a restrained investment climate and the resulting reduction of corporate advertising expenditures is perceptible. In contrast, revenue of the Parcel & Logistics division rose by 1.5 % YoY and was 30.0 % higher than in 2023. Revenue developed positively in the current reporting period in Austria (+5.2 %) and Türkiye (+2.6 %). Southeast and Eastern Europe showed a revenue decline following the strong growth of Asian volumes in the prior-year period. Business in Türkiye continues to be significantly influenced by inflation and the exchange rate of the Turkish Lira. The Retail & Bank division reported a 1.2 % drop in revenue from the previous year (+23.4 % compared to 2023). A slight increase in Branch Services revenue could not fully offset the decline in Financial Services relating to the reduced key interest rate. The development of earnings also reflected the previous year's performance driven by positive special effects. EBITDA was down by 5.7 % to EUR 199.4m and earnings before interest and taxes (EBIT) fell by 11.0 % to EUR 94.0m. The earnings decline in the mail business and the reduced profitability of parcel operations in CEE/SEE and Türkiye were in contrast to the earnings improvement in the Retail & Bank division. Founded in 2020, bank99 made a positive contribution to the overall business results with its approx. 300,000 customers in Austria. Accordingly, the profit for the period of the Austrian Post Group totalled EUR 68.4m (-12.8 %) in the first half of 2025, whereas earnings per share were EUR 0.99, implying a drop of 11.3 % from EUR 1.12 in the prior-year period. The 2025 financial year continue to be impacted by economic uncertainties. Declining letter mail and direct mail volumes are to be expected alongside growth in the parcel business related to the positive underlying trend in the field of e-commerce. At the same time, developments are being affected by changes in purchasing power and cautious consumption. Following the 13.9 % revenue increase in 2024 which was driven by special effects, the aim is to generate total Group revenue in 2025 at the same level as in the previous year. In line with this revenue forecast, the target of achieving earnings (EBIT) in the range of EUR 200m remains unchanged. Based on the average investment requirements in recent years, the necessary investments (CAPEX) in the year 2025 are expected to range between EUR 150m and EUR 160m. This includes maintenance CAPEX and investments to decarbon-ise logistics as well as growth CAPEX. The company is clearly providing impetus for the future as demonstrated by the completion of its capacity expansion programme in Austria and the increasing focus on growth in Southeast and Eastern Europe as well as in Türkiye. Another key priority will be the gradual conversion of the delivery fleet to e-mobility in Austria. The complete transformation of Austrian Post to CO₂-free logistics over the last mile should be concluded by 2030 at the latest. Vienna, 30 July 2025 The Management Board WALTER OBLIN CEO Chairman of the Management Board PETER UMUNDUM Deputy CEO Parcel & Logistics (COO) BARBARA POTISK-EIBENSTEINER Member of the Management Board Finance (CFO) Group Management Report for the First Half of 2025 Business Development and Economic Situation Changes to the scope of consolidation No major changes in the scope of consolidation took place in the first half of 2025. A complete overview of all changes to the scope of consolidation can be found in the consolidated interim financial statements under Note 4. Revenue and Earnings REVENUE DEVELOPMENT The revenue comparison of the first half of 2025 with the prior-year period was impacted by positive special effects in 2024 such as major elections in Austria as well as by Turkish Lira currency effects. Furthermore, the first six months of 2025 had two fewer working days than the same period in the previous year. Accordingly, revenue of EUR 1,488.1m in the first half of 2025 was down by 1.1 % from the comparable period of 2024, but 15.8 % above 2023. Revenue of the Mail Division fell by 5.9 % YoY from the first half of 2024 (-2.6 % impacted by the structural decline of addressed letter mail volumes due to electronic substitution as well as by the discontinuation of positive special effects of last year. In addition, due to the weaker development in individual retail segments, a cautious investment climate and, consequently, lower advertising expenditures by companies can be observed. The Parcel & Logistics Division generated 54.7 % of Group revenue or EUR 817.0m during the reporting period. Divisional revenue in Austria and Türkiye showed a positive development. In contrast, revenue decreased in Southeast and Eastern Europe, which is related to lower parcel volumes from Asia, which strongly increased in the previous year. Business in Türkiye continues to be significantly impacted by inflation and the exchange rate of the Turkish Lira. The Retail & Bank Division accounted for 6.3 % of Group revenue in the first half of 2025 or EUR 94.5m. A slight increase in Branch Services revenue could not fully offset the decline in the Financial Services business. Revenue Development EUR m +15,8% vs. 2023). In contrast, Parcel & Logistics revenue was up by 1.5 % vs. 2024 (+30.0 % vs. 2023), and the Retail & Bank Division reported a 1.2 % revenue decline (+23.4 % from 2023). 1,284.8 -1.1% 1,505.2 1,488.1 The share of the Mail Division in the total revenue of Austrian Post in the first half of 2025 amounted to 39.0 %. The division's revenue of EUR 582.7m is negatively - H1 2023 - H1 2024 - H1 2025 Revenue by Division Change EUR m H1 2023 H1 2024 H1 2025 % EUR m Q2 2024 Q2 2025 REVENUE 1,284.8 1,505.2 1,488.1 -1.1 % -17.1 746.6 724.6 Mail 598.1 619.0 582.7 -5.9 % -36.3 303.5 283.2 Parcel & Logistics 628.4 804.9 817.0 1.5 % 12.1 402.0 398.7 Retail & Bank 76.5 95.7 94.5 -1.2 % -1.2 48.4 45.8 Corporate/Consolidation -18.2 -14.4 -6.1 57.7 % 8.3 -7.4 -3.1 Working days in Austria 124 124 122 - - 60 60 From a regional perspective, Austrian Post generated 76.2 % of its Group revenue in Austria in the first half of 2025. Its international business contributed 23.8 % to the total Group revenue in the first six months of 2025. Thereof, the Türkiye business accounted for 16.2 %, whereas the region of Southeast and Eastern Europe added 6.5 % to the Group revenue. Finally, 1.1 % of total Group revenue was generated in Germany. Revenue by Division H1 2025 Revenue by Region H1 2025 % % 6.3% 54.7% Parcel & Logistics Retail & Bank 39.0% Mail 23.8% International 76.2% Austria Revenue Development of the Mail Division Change EUR m H1 2023 H1 2024 H1 2025 % EUR m Q2 2024 Q2 2025 REVENUE 598.1 619.0 582.7 -5.9 % -36.3 303.5 283.2 Letter Mail & Business Solutions 378.7 389.3 365.5 -6.1 % -23.8 188.7 174.0 Direct Mail 155.3 160.9 151.2 -6.0 % -9.7 79.6 75.2 Media Post 64.1 68.8 66.0 -4.1 % -2.8 35.2 34.1 Revenue intra-Group 2.3 2.1 2.5 17.4 % 0.4 1.1 1.2 TOTAL REVENUE 600.4 621.2 585.2 -5.8 % -36.0 304.6 284.4 thereof revenue with third parties 589.9 614.9 579.4 -5.8 % -35.5 301.3 281.4 Revenue of the Mail Division totalled EUR 582.7m in the first half of 2025, of which 62.7 % is attributable to the Letter Mail & Business Solutions area. Direct Mail accounted for 25.9 % of the total divisional revenue, and Media Post had an 11.3 % share. In the first six months of 2025, Letter Mail & Business Solutions revenue equalled EUR 365.5m, implying a year-on-year decline of 6.1 %. Letter mail volumes continue to show a downward trend resulting from the substitution of letters by electronic forms of communication. Conventional letter mail volumes in Austria fell by 7 % on a daily basis in the first six months of 2025. The previous year's business was particularly impacted by two major elections in Austria (Chamber of Labour, European Parliament). International letter mail and the Business Solutions area both showed a slight revenue decrease. Direct Mail revenue declined by 6.0 % in the first half of 2025 to EUR 151.2m. The subdued advertising environment relating to current economic conditions as well as the structural decline in certain customer segments (e.g., furniture sector, mail order business) continue to prevail. The annual adjustments to the pricing structure could not offset the loss of revenue caused by the volume decline. Revenue from Media Post, i.e., the delivery of newspapers and magazines, fell by 4.1 % year-on-year to EUR 66.0m. On balance, Direct Mail and Media Post volumes in the first six months of 2025 were down by 6 % on a daily basis from the prior-year period, which was impacted by positive special effects. Revenue Development of the Parcel & Logistics Division Change EUR m H1 2023 H1 2024 H1 2025 % EUR m Q2 2024 Q2 2025 REVENUE 628.4 804.9 817.0 1.5 % 12.1 402.0 398.7 Parcel Austria 373.9 434.8 457.2 5.2 % 22.4 219.3 228.0 Parcel Türkiye + 133.0 234.5 240.6 2.6 % 6.1 116.3 109.5 Parcel CEE/SEE 91.7 107.9 100.2 -7.1 % -7.7 52.3 51.2 Logistics Solutions 33.5 34.1 26.7 21.6 % -7.4 17.3 13.7 Consolidation -3.7 -6.3 -7.7 22.3 % -1.4 -3.2 -3.6 Revenue intra-Group 0.3 0.4 8.9 >100 % 8.5 0.2 4.5 TOTAL REVENUE 628.8 805.3 825.9 2.6 % 20.6 402.2 403.2 thereof revenue with third parties 617.7 793.6 813.2 2.5 % 19.6 396.3 396.8 Parcel Türkiye+ includes the countries Türkiye, Azerbaijan, Georgia, Uzbekistan Revenue of the Parcel & Logistics Division rose by 1.5 % in the first half of 2025 to EUR 817.0m. Growth equalled 2.5 % year-on-year before the reporting change for revenue in the Logistics Solutions area. A revenue increase was generated in Austria and Türkiye+, whereas revenue in Southeast and Eastern Europe declined year-on-year compared to the strong increase of the first half of 2024. Parcel Austria grew its revenue by 5.2 % to EUR 457.2m in the reporting period with parcel volumes up by 3 %. Revenue in Türkiye (Parcel Türkiye + ) rose by 2.6 % to EUR 240.6m compared to the first six months of 2024 (parcels and documents +2 %) and was 80.8 % higher than in the first half of 2023. The divergence of inflation and the exchange rate of the Turkish Lira led to a substantial revenue increase in the year 2024. The business development continues to be significantly impacted by inflation and the exchange rate of the Turkish Lira. Parcel revenue in Southeast and Eastern Europe (Parcel CEE/SEE) fell by 7.1 % to EUR 100.2m in the first half of 2025 with a 7 % decline in volume compared to the previous year. The first half of 2024 showed a sharp 27 % increase in parcel volumes from Asia. Revenue of Logistics Solutions decreased from EUR 34.1m to EUR 26.7m in the current reporting period. This is related to a change in reporting: EUR 8.5m in Logistics Solution revenue was reclassified as intra-Group revenue. Revenue Development of the Retail & Bank Division Change EUR m H1 2023 H1 2024 H1 2025 % EUR m Q2 2024 Q2 2025 REVENUE 76.5 95.7 94.5 -1.2 % -1.2 48.4 45.8 Income from Financial Services 56.6 75.2 73.3 -2.6 % -1.9 37.9 35.1 Branch Services 19.9 20.5 21.2 3.8 % 0.8 10.5 10.7 Revenue intra-Group 94.5 101.0 102.4 1.3 % 1.3 50.5 50.8 TOTAL REVENUE 171.1 196.7 196.9 0.1 % 0.2 98.9 96.6 thereof revenue with third parties 76.3 95.5 94.2 -1.3 % -1.3 48.3 45.7 Revenue of the Retail & Bank Division decreased by 1.2 % in the first six months of 2025 to EUR 94.5m. Income from Financial Services contributed 77.5 % to the divisional revenue, whereas Branch Services accounted for 22.5 %. Income from Financial Services fell by 2.6 % to EUR 73.3m in the current reporting period, which can be mainly attributed to the lower key interest rate compared to the previous year. Branch Services revenue increased by 3.8 % to EUR 21.2m in the first half of 2025 due to inflation-related price adjustments in the retail products business area. Financial Performance of the Group Change EUR m H1 2023 H1 2024 H1 2025 % EUR m Q2 2024 Q2 2025 REVENUE 1,284.8 1,505.2 1,488.1 -1.1 % -17.1 746.6 724.6 Other operating income 38.0 47.8 60.1 25.6 % 12.3 24.3 28.1 Raw materials, consumables and services used -374.7 -433.9 -429.5 1.0 % 4.4 -209.6 -207.5 Expenses from financial services -5.8 -23.7 -22.6 4.6 % 1.1 -12.4 -9.7 Staff costs -579.2 -692.7 -699.0 -0.9 % -6.3 -350.9 -338.8 Other operating expenses -177.9 -196.2 -202.8 -3.4 % -6.7 -92.4 -100.2 Results from financial assets acc. for using the equity method 0.8 1.3 1.9 41.3 % 0.6 0.8 0.9 Net monetary gain 3.1 3.6 3.2 -10.6 % -0.4 1.7 0.4 EBITDA 189.0 211.5 199.4 -5.7 % -12.1 108.1 97.8 Depreciation, amortisation and impairment losses -93.8 -105.9 -105.4 0.5 % 0.5 -54.9 -52.2 EBIT 95.2 105.6 94.0 -11.0 % -11.6 53.2 45.6 Financial result 5.7 -1.6 -1.8 -11.3 % -0.2 -2.9 -4.1 PROFIT BEFORE TAX 100.9 104.0 92.2 -11.3 % -11.8 50.3 41.5 Income tax -22.3 -25.5 -23.8 6.7 % 1.7 -13.5 -12.7 PROFIT FOR THE PERIOD 78.6 78.5 68.4 -12.8 % -10.1 36.8 28.8 ATTRIBUTABLE TO: Shareholders of the parent company 76.5 75.3 66.8 -11.3 % -8.5 35.6 28.9 Non-controlling interests 2.1 3.1 1.6 -49.9 % -1.6 1.2 -0.1 EARNINGS PER SHARE ( EUR) 1 1.13 1.12 0.99 -11.3 % -0.13 0.53 0.43 1 Undiluted earnings per share in relation to 67,552,638 shares EARNINGS DEVELOPMENT The largest expense items in relation to Austrian Post's Group revenue are staff costs (47.0 %), raw materials, consumables and services used (28.9 %) and other operating expenses (13.6 %). In this context, 7.1 % can be attributed to depreciation, amortisation and impairment losses and 1.5 % to expenses from financial services. Staff costs in the first half of 2025 totalled EUR 699.0m, implying a year-on-year increase of 0.9 % or EUR 6.3m. The change results from an increase in the number of employees in the Austrian Post Group as well as from collective wage and salary adjustments reported under operational staff costs, both in Austria and abroad. Austrian Post Group employed an average of 28,103 people (full-time equivalents) in the first six months of 2025 compared to the average of 27,803 employees in the prior-year period (+1.1 %). Non-operating staff costs refer to severance payments and changes in provisions, which are primarily related to the specific employment conditions of civil servant employees at Austrian Post. No significant charges were incurred in the first six months of 2025. Raw materials, consumables and services used were down by 1.0 % to EUR 429.5m. Reduction in expenses related primarily to fuel and energy costs. Other operating income rose in the first half of 2025 to EUR 60.1m. Other operating expenses increased to EUR 202.8m. Accounting standard IAS 29 (Financial Reporting in Hyperinflationary Economies) needs to be applied for the Turkish subsidiaries. Accordingly, all items in the income statement as well as the non-monetary items were adjusted using a general price index (refer to the Annual Report 2024, Consolidated Financial Statements, Note 3.3 Hyperinflation). The profit or loss from net monetary items is presented as a separate item in the income statement. In the first half of 2025, the net monetary gain amounted to EUR 3.2m (-10.6 %). Earnings in 2025 are also impacted by the positive special effects reported in the year 2024, especially in the first half-year. EBITDA equalled EUR 199.4m in the first half of 2025, implying a year-on-year decrease of 5.7 % from EUR 211.5m (+5.5 % compared to 2023). This corresponds to an EBITDA margin of 13.4 %. Depreciation, amortisation and impairment losses amounted to EUR 105.4m in the first six months of 2025, representing a year-on-year decrease of 0.5 % or EUR 0.5m. Group EBIT reached EUR 94.0m in the first half of 2025, down by 11.0 % from the prior-year level of EUR 105.6m (-1.3 % vs. 2023). The EBIT margin amounted to 6.3 %. The Group's financial result in the first half of 2025 changed slightly from minus EUR 1.6m to minus EUR 1.8m. The income tax decreased from EUR 25.5m to EUR 23.8m (+6.7 %). The profit for the period for the first six months of 2025 fell by 12.8 % to EUR 68.4m compared to EUR 78.5m in the first half of the previous year (-13.0 % from 2023). Undiluted earnings per share were EUR 0.99 compared to EUR 1.12 in the prior-year period (-11.3 %). EBITDA EUR m EBIT Profit for the Period EUR m EUR m +5.5% -1.3% -13.0% -5.7% 189.0 211.5 199.4 -11.0% -12.8% 95.2 105.6 94.0 78.6 78.5 68.4 - H1 2023 - H1 2024 - H1 2025 - H1 2023 - H1 2024 - H1 2025 - H1 2023 - H1 2024 - H1 2025 EBIT by Division Change EUR m H1 2023 H1 2024 H1 2025 % EUR m Margin H1 2025 1 Q2 2024 Q2 2025 EBIT 95.2 105.6 94.0 -11.0 % -11.6 6.3 % 53.2 45.6 Mail 77.6 83.0 67.0 -19.3 % -16.0 11.4 % 40.7 29.1 Parcel & Logistics 36.3 47.3 32.1 -32.1 % -15.2 3.9 % 23.1 13.5 Retail & Bank 1.1 -5.3 4.7 >100 % 9.9 2.4 % -2.6 5.7 Corporate/ Consolidation 2 -19.9 -19.4 -9.7 49.9 % 9.7 - -7.9 -2.7 1 Margin of the divisions in relation to total revenue 2 Includes the intra-Group cost allocation procedure The Mail Division achieved an EBIT of EUR 67.0m in the first six months of 2025 compared to EUR 83.0m in the prior-year period (-19.3 %). This decrease is due to the decline in mail volumes and the positive special effects in the previous year. The Parcel & Logistics Division generated an EBIT of EUR 32.1m in the first half-year 2025 compared to EUR 47.3m in the prior-year period (-32.1 %). While the Austrian parcel business developed solidly, earnings in international markets declined from the high level of the first half of 2024. Currency translation effects had a positive impact on the business in Türkiye last year. The Retail & Bank Division produced an EBIT of EUR 4.7m in the first six months of 2025 compared to minus EUR 5.3m in the previous year. The improved earnings are related to the positive development of bank99 as well as the good results in the branch network. EBIT of the Corporate Division (including Consolidation and the intra-Group cost allocation procedure) changed from minus EUR 19.4m to minus EUR 9.7m. The earnings improvement of EUR 9.7m is due to negative effects in the previous year such as the allocation of provisions and extraordinary write-downs as well as portfolio adjustments of the real estate assets in the current reporting period. The Corporate Division provides non-oper-ating services which are typically essential for the purpose of the administration and control of the company. In addition to conventional corporate governance tasks, these services include the management and development of commercial properties not required for operations, the management of significant financial investments, the provision of IT services, the development of new business models and the administration of the Internal Labour Market of Austrian Post. Assets and Financial Position Balance sheet structure by item Structure EUR m 31 December 2024 30 June 2025 30 June 2025 ASSETS Property, plant and equipment, intangible assets and goodwill 1,551.0 1,510.4 24.3 % Investment property 75.2 73.6 1.2 % Financial assets accounted for using the equity method 28.9 30.8 0.5 % Inventories, trade and other receivables 623.0 567.7 9.1 % Other financial assets 47.3 17.3 0.3 % thereof securities/money market investments 40.4 10.4 - Financial assets from financial services 4,088.1 3,960.5 63.6 % Cash and cash equivalents 78.5 65.8 1.1 % 6,491.9 6,226.1 100 % EQUITY AND LIABILITIES Equity 761.6 698.8 11.2 % Provisions 591.5 519.3 8.3 % Other financial liabilities 673.7 651.2 10.5 % Trade and other payables 587.1 621.8 10.0 % Financial liabilities from financial services 3,878.0 3,735.0 60.0 % 6,491.9 6,226.1 100 % BALANCE SHEET STRUCTURE Austrian Post's total assets of EUR 6.2bn as at 30 June 2025 have expanded significantly since the inclusion of bank99 in 2020. On the assets side, the consolidated balance sheet as at 30 June 2025 showed bank99 cash and cash equivalents in the amount of EUR 0.5bn and loans (housing finance, consumer credit) of bank99 equalling EUR 2.0bn. On the liabilities side, the consolidated balance sheet includes customer deposits of bank99 amounting to EUR 3.6bn. Including bank99, the balance sheet is as follows: property, plant and equipment of EUR 1,357.6m is one of the largest balance sheet items and includes right-of-use assets under leases of EUR 370.4m. In addition, there are intangible assets and goodwill from company acquisitions, which are reported in the amount of EUR 152.8m as at 30 June 2025. The balance sheet shows receivables of EUR 478.7m, which include current trade receivables of EUR 366.3m. Other financial assets amounted to EUR 17.3m as at 30 June 2025. Financial assets from financial services equalled EUR 3,960.5m at the end of the first half of 2025 and result mainly from the business activities of bank99. Austrian Post held securities and money market investments that are included in other financial assets in the amount of EUR 10.4m as at 30 June 2025 (excluding bank99). Securities and money market investments held by Austrian Post carry an investment-grade or comparable credit rating, therefore it can be assumed that these assets can be converted into cash at short notice. The balance sheet shows that Austrian Post had cash and cash equivalents of EUR 65.8m as at 30 June 2025. Cash and cash equivalents including money market and securities investments and excluding cash and cash equivalents of bank99 totalled EUR 76.2m as at 30 June 2025. bank99's cash and cash equivalents equalled EUR 510.9m as at 30 June 2025. Including bank99, cash and cash equivalents amounted to EUR 587.2m as at 30 June 2025. On the equity and liabilities side of the balance sheet, equity of the Austrian Post Group amounted to EUR 698.8m as at 30 June 2025, implying an equity ratio of 11.2 %. The logistics equity ratio (equity in relation to total capital excluding financial liabilities from financial services) stands at 28 % at the end of June 2025. Furthermore, provisions of EUR 519.3m are shown on the equity and liabilities side as at 30 June 2025. The bulk of the provisions are staff-related, with EUR 169.2m attributable to legally and contractually required provisions for social capital (termination and jubilee benefits). Further EUR 130.9m related to provisions for underutilisation and EUR 81.9m to other staff-related provisions. Other provisions totalled EUR 137.3m. Other financial liabilities amounted to EUR 651.2m and mainly include lease liabilities of EUR 367.6m. Trade and other payables of EUR 621.8m include current trade payables of EUR 233.3m. Financial liabilities from financial services in the amount of EUR 3,735.0m result primarily from the business activities of bank99 (deposit and investment business of bank99's customers). Cash flow EUR m H1 2024 H1 2025 Gross cash flow 185.8 158.3 28.6 CASH FLOW FROM OPERATING ACTIVITIES 185.7 thereof core banking assets from financial services (CBA) 10.5 175.2 -153.0 181.6 CASH FLOW FROM OPERATING ACTIVITIES EXCL. CBA Cash flow from investing activities -31.6 -36.0 -10.3 -3.2 10.0 7.9 154.1 133.6 147.1 1.0 -33.2 -8.1 -0.2 30.0 12.5 29.6 152.6 160.9 thereof maintenance CAPEX thereof growth CAPEX thereof cash flow from acquisitions/divestments thereof acquisition/disposal of securities/money market investments thereof other cash flow from investing activities Free cash flow Free cash flow before money market/securities investments and excl. CBA OPERATING FREE CASH FLOW 1 Cash flow from financing activities -126.4 -123.7 19.0 -172.6 -125.1 -153.9 thereof dividends Change in cash and cash equivalents 1 Free cash flow before acquisitions/securities/money market investments, growth CAPEX and core banking assets CASH FLOW The gross cash flow in the first half of 2025 equalled EUR 158.3m, down from EUR 185.8m in the previous year (-14.8 %). The cash flow from operating activities amounted to EUR 28.6m in the reporting period, compared to the prior year figure of EUR 185.7m. In this regard, the largest effect is attributable to changes in the core banking assets of bank99 totalling minus EUR 153.0m compared to EUR 10.5m in the prior-year period. Core banking assets include the change in the balance sheet items Financial assets from financial services and Financial liabilities from financial services, excluding cash, cash equivalents and balances with central banks, and thus combine the deposit and investment business of bank99. The cash flow from operating activities excluding core banking assets totalled EUR 181.6m in the first half of 2025 compared to EUR 175.2m in the previous reporting period. The cash flow from investing activities was EUR 1.0m in the first six months of 2025, compared to minus EUR 31.6m in the prior year period. Expenditures for the acquisition of property, plant and equipment and investment property (CAPEX) amounted to EUR 41.3m in the current reporting period. Austrian Post relies on operating free cash flow as a key metric to assess the financial strength of its operating business and to cover the dividend for the financial year. Excluding the change in core banking assets, the operating free cash flow totalled EUR 160.9m in the current period under review compared to EUR 147.1m in the previous year. This increase also includes a favourable tax effect from a prior year period. The cash flow from financing activities came to minus EUR 172.6m in the first six months of 2025, in comparison to minus EUR 126.4m in the first half of 2024. INVESTMENTS Austrian Post Group's investments totalled EUR 79.9m in the first half of 2025, of which EUR 26.7m was attributable to rights of use (IFRS 16 Leases) and EUR 53.2m to traditional core investments. Viewed by category, the investment total is distributed as follows: EUR 72.1m of the investments related to property, plant and equipment and investment property, whereas EUR 7.8m was for investments in intangible assets. Employees by Division Average for the period, full-time equivalents H1 2024 H1 2025 Share H1 2025 Mail 847 760 2.7 % Parcel & Logistics 10,079 10,141 36.1 % Retail & Bank 2,033 2,027 7.2 % Corporate 2,422 2,551 9.1 % OPERATING DIVISIONS 15,381 15,479 55.1 % Logistics Network 12,423 12,625 44.9 % GROUP 27,803 28,103 100 % Employees The average number of employees at the Austrian Post Group totalled 28,103 full-time equivalents in the first half of 2025 compared to 27,803 full-time equivalents in the previous year. The total headcount increase of 300 full-time equivalents mainly relates to increased in-sourcing activities in Austria. The majority of the Group's employees work for the parent company Österreichische Post AG (17,607 full-time equivalents in total). Events After the Reporting Period Events after the reporting date that are material for accounting and valuation on the balance sheet date as at 30 June 2025 were included in the interim consolidated financial statements. There were no reportable events after the reporting date. Opportunities and Risks RISK MANAGEMENT SYSTEM Austrian Post has a comprehensive risk management system in place encompassing all business units and Group companies in order to support the achievement of the objectives set out in the Group and sustainability strategy. This system is generally based on the June 2017 COSO standard "Enterprise Risk Management - Integrated Framework", meaning that it is founded on the elements of governance, strategy and objectives, implementation, review, evaluation and information, communication and reporting. Risks are defined as the potential deviation from business targets. The objective of risk management is to identify risks at an early stage and to analyse and evaluate them before going on to take appropriate measures designed to ensure that the company meets its business targets. Risks are identified, evaluated, monitored and documented in their overall context by a Group-wide risk management system in accordance with uniform principles. Governance - Roles and Responsibilities The Supervisory Board and Audit Committee monitor the framework risk management system as well as the development and management of significant risks. Every individual in the Austrian Post Group contributes, through their decisions and actions, to the risk profile and management and is called upon to implement the basic principles and values of the Group. In addition, the following individuals/functions have a special role to play: The Management Board is responsible for the Group's opportunity and risk profile, as well as for risks that span business areas, including financial risks, and the management of this profile and these risks. The management of each business area is responsible for the risks within their business area and the management of these risks. This responsibility cannot be delegated. The Management Board is supported by the Risk Committee in managing the opportunity and risk profile, as well as risks that span business areas. The Group risk management team is responsible for creating an effective enterprise risk management system that is suitable for the company. This includes analysing the situation and the requirements for such a management system as well as its implementation, maintenance, monitoring and continuous improvement. Beyond this, the Group risk management team coordinates the risk management process, which encompasses the identification, evaluation, management and monitoring of risks. This also includes supporting the specialist departments and project leadership in the creation of the basis for decision-making in the administrative, management and supervisory bodies. Reporting and Monitoring The performance of the supervisory and management role is supported by the Group risk management team reporting to the administrative, management and supervisory bodies. The regular reporting calls for reporting at least every half-year to the Management Board and the Audit Committee as well as reporting at least once a year to the full Supervisory Board. In addition, the administrative, management and supervisory bodies receive information on opportunities and risks from the company divisions or project leads, gathered with the involvement of the Group risk management team, that is needed in order to make decisions that require approval. Unexpected risks that arise are reported directly (ad hoc) to the Management Board and, if needed, to the Audit Committee and/or Supervisory Board. The performance of the enterprise risk management system is evaluated by auditors annually in conformity with the Austrian Corporate Governance Code. With the entry into force of the CSRD, this annual audit activity will be intensified. Moreover, the design, suitability and effectiveness of the risk management system are evaluated, monitored and controlled on a regular basis. Goals and Risk Policy Austrian Post's risk policy focuses on safeguarding and sustainably increasing enterprise value and is incorporated into the corporate and sustainability strategy. Austrian Post is prepared to take risks provided that the resulting portfolio of opportunities and risks is well-balanced and that they remain commensurate with the company's legal circumstances and fundamental ethical values. The goals of safeguarding and achieving a sustainable increase in enterprise value must not be jeopardised. The Austrian Post Group has derived limits on the basis of these risk policy principles that make it possible to act within a defined risk appetite and ensure risk-bear-ing capacity. Risk Management Process The most important steps in the risk management process are as follows: Identification and Evaluation The Group-wide standard risk management process is conducted every six months. As part of the process, all divisions and fully consolidated subsidiaries are required to identify and evaluate opportunities and risks, define controlling measures and update the status of the opportunities and risks the company is already aware of. The Group risk management team also supports the individual divisions and project managers by conducting proactive risk assessments with regard to their risks. Various methods are used, including expert discussions, workshops and analyses by the risk management team. Within the context of analysis and evaluation, opportunities and risks are outlined in scenarios and are subsequently quantified to the greatest possible extent with respect to the dimensions of potential consequences and probability of occurrence assessing the impact on EBIT and cash flow. Non-quantifiable risks are evaluated on the basis of pre-defined qualitative criteria. Risks and opportunities are assessed over the time horizons that are appropriate for each risk type, i.e. short-term (1 year), medium-term (1-4 years) and, if necessary, long-term (more than 4 years). The results of the identification and evaluation process are documented by a specially designed risk management software. The central risk management team gathers information and reviews the identified and evaluated opportunities and risks. The financial impacts of potential overlap are taken into account in the aggregation process. The overall risk position of the Austrian Post Group is determined by using statistical methods. Stress tests are carried out to assess risk-bearing capacity. The risk portfolio is also analysed by the Risk Management Committee and is subject to a plausibility check. Management and Monitoring Opportunities and risks are prioritised and controlled on the basis of the portfolio analyses performed after the risk identification and evaluation process. The control of risks is based on defining appropriate measures aimed at avoiding or reducing risks or otherwise transferring them to third parties. The business areas examine the potential measures and subsequently implement them. Austrian Post Group operates internal insurance management to systematically deal with insurable risks. Its primary responsibility is to continuously optimise the insurance situation and processes relating to the handling and settling of claims. Regular dialogue between the Group risk management team and the risk owners helps to ensure that the risk portfolio is up to date. The half-yearly cycle used in the standard risk management process also ensures regular monitoring of opportunities and risks and the measures taken to control them. MAIN OPPORTUNITIES AND RISKS Austrian Post's opportunities and risks result from the overall risk environment and from the trends and changes that the company is exposed to or confronted with. The company has identified significant opportunities and risks in the following areas: Mail Market Austrian Post is continually expanding its range of services in the mail segment to include various additional physical and electronic services and is adapting its product portfolio in the Mail Division to meet the needs of its customers. These adjustments to the product and service portfolio are complemented by pricing measures. Nevertheless, the trend towards the electronic substitution of letters and especially towards electronic delivery will continue in the future. This development, which is being facilitated by legislation, could lead to a significant decline in mail volumes and may thus negatively impact earnings. Furthermore, there is a possibility that a change in legal regulations with regard to the delivery of governmental mail would mean that some of these mail items will no longer be delivered by Austrian Post. The substitution of letter mail by electronic media is expected to accelerate further as a result of the E-Government Act that has come into force, and further digitalisation measures launched by the federal government on an ongoing basis could result in a further drop in volumes. This trend may be reinforced by the tense budgetary situation of the central government. The direct mail business is influenced by general economic conditions and consumer purchasing power and is heavily dependent on the intensity of corporate advertising. However, stationary trade - the most important customer group for direct mail - continues to face the following structural trends: An increasing market consolidation is perceptible, while bricks-and-mortar retailers continue to suffer from the growth of the e-commerce market. In turn, this could result in a reduction in advertising materials and direct mail volumes, which would have a negative impact on earnings. Customer interest in reducing paper volumes and the ongoing challenging economic environment could also have an adverse impact. In addition, digital advertising and uncertainties regarding GDPR may reduce physical mailings. Parcel Market E-commerce continues to offer growth potential. This opens up opportunities in terms of volume and price development. However, there is a risk that e-commerce growth could be curbed by a persistently negative economic environment. In the e-commerce segment, Austrian Post stands out due to its new, quick and lean solutions for online orders. Austrian Post has clear competitive advantages with respect to its quality and cost structure. Nevertheless, competition remains intense. The risk associated with volume splitting by customers and the intensive expansion of self-collection solutions, also by competitors, are adding to the pressure. This can lead to shifts in market share or to price and volume risks. Furthermore, parcel growth in all regions is dominated by large online mail order companies that are still growing at a disproportionately fast rate compared to the market itself. Notable losses in volume and the accompanying effects on revenue and earnings may arise due to internal delivery services established by a major customer along with the associated potential further increases in activities carried out by this major customer. Sustainability considerations and increased customer demands due to corporate due diligence obligations in supply chains are playing an increasingly important role in e-commerce. Austrian Post is constantly developing innovative and sustainable product solutions and is further expanding its CO ₂ -free delivery services. These activities set Austrian Post Group apart from its competitors and could translate into additional parcel volumes. Staff Costs and Structure of Employment Contracts The business model of Austrian Post has a high staff cost structure. The current economic situation and ongoing high levels of inflation continue to increase the risk of rising staff costs. Furthermore, a large number of the Austrian Post Group employees have the status of civil servants, which means that they are subject to public sector employment laws, amendments to which can have an additional negative impact. As a result, there are both opportunities and risks regarding earnings effects resulting from the increased establishment or reduction in provisions due to the age structure, as well as staff optimisation measures. Logistics and Infrastructure Costs In addition to the company's own parcel deliveries, Austrian Post also works with freight companies. Due to the increase in parcel volumes and the associated rise in demand for freight services, coupled with the rise in fuel costs, the company is exposed to the risk of cost increases. Increased sustainability requirements could also push costs up. Austrian Post takes this new environment into account in its projections, meaning that a less dramatic increase in costs is to be assessed as an opportunity. Key Shareholdings Aras Kargo (Türkiye) Austrian Post holds an 80 % stake in the Turkish parcel services provider Aras Kargo a.s. Türkiye is a market with a young population, meaning that it offers considerable potential in the field of e-com-merce. This comes hand-in-hand with real opportunities for parcel volume growth. The geographical location also opens up growth potential in new markets. In the current environment, there is a risk that overall economic conditions could develop to the detriment of Austrian Post. The exchange rate and ongoing high inflation are the most important economic parameters. The exchange rate impacts Austrian Post's earnings due to the conversion of the Turkish Lira into Euros. Inflation can affect the cost structure, purchasing power and, as a result, the business. In a competitive environment, Aras Kargo is one of Türkiye's leading parcel companies. This creates a risk of shifts in market share due to intense competition or declining quality. In addition, the trend towards increased self-deliv-ery by large mail-order customers is also associated with a risk of volume loss in Türkiye. bank99 (Austria) The development of bank99's revenue and earnings depend primarily on how interest rates develop. The ongoing comparatively high key interest rate represents an opportunity for bank99's financial performance, but the gradual reduction in the key interest rate could give rise to risks. Furthermore, the unfavourable development in staff and IT costs or intense competition from local banks could also have a negative impact. These opportunity and risk aspects could result in the earnings reported by bank99 deviating from Austrian Post's expectations. Ongoing global uncertainties could have an impact on the financial industry and lead to the risk that, in the event of the resolution of a member of the Austrian deposit guarantee scheme (ESA), bank99 would also have to make a contribution. bank99 operates in a complex regulatory and legal environment and, as such, is exposed to the risk that, despite the bank exercising the greatest possible care, authorities may take a different legal view that could have negative consequences, e.g. penalties, negative reporting and loss of customers. CEE/SEE Subsidiaries Delivery to pick-up stations is much more established in Southeast and Eastern Europe than in Austria, which, in turn, intensifies competitive pressures. In addition, opportunities and risks arise from changes in the parcel volumes of major e-commerce retailers. This could also impact margins. This is why Austrian Post is continuously investing in appropriate delivery solutions at its subsidiaries in order to counteract volume losses in this market. Financial Instruments Detailed information on the risks associated with financial instruments and risk management can be found in the Annual Report 2024, Consolidated Financial Statements, Note 29 as well as in the Half-year Financial Report 2025, Consolidated Interim Financial Statements, Note 8, Financial Instruments. Environmental, Social and Governance (ESG) Risks Österreichische Post AG has been pursuing sustainability objectives for more than ten years now. This is reflected in the integrated Group and sustainability strategy. ESG issues are a top priority, which is why Österreichische Post AG welcomes and supports climate and environmental protection measures. In order to take account of the increased focus on sustainability, Austrian Post has further enhanced its risk management system to create an integrated risk management system that takes ESG opportunities and risks into account. For a detailed list of ESG-related matters in the portfolio of opportunities and risks, as well as measures to exploit these opportunities or reduce risks, reference is made to the Annual Report 2024 (Group Management Report, Section 4, Non-financial statement). Overall Legal/Regulatory Conditions Given the large number of products and services that it offers, Austrian Post Group operates in a very demanding legal and regulatory environment. For example, the company is subject to the Austrian Postal Market Act, data protection regulations, tax regulations, and capital market and competition law, as well as more stringent anti-corruption regulations and challenging sustainability requirements. These regulations are intensifying as a result of the increasing importance of digitalisation and technology. As a result, it is impossible to rule out a scenario in which, despite the greatest possible care taken by Austrian Post, other authorities, e.g. tax authorities, supervisory authorities or courts, could take a different legal view, and that this could lead to additional payments, penalties or compensation payments. IT and Other Technical Facilities To a significant degree, Austrian Post Group is dependent upon the use of complex technical systems. Its postal services heavily rely on the support provided by data processing systems, modern communications media and other technical equipment. Against this backdrop, Austrian Post Group invests in IT and other technical facilities for its distribution and delivery networks on an ongoing basis. In this regard, the performance of the company is closely linked with the functioning of key sites. In the case of a temporary or permanent technical system failure, or should unauthorised data access or data manipulation occur, for instance as a result of cybercrime, this could potentially lead to disruptions in Austrian Post's business and logistics operations with associated revenue losses, as well as a loss of reputation, customer defections and additional expenses. Geopolitical and Macroeconomic Risks There is a risk that the geopolitical and macroeconomic environment will continue to hinder an economic recovery. A prolonged recession could have a negative impact on the risk situation, both directly and indirectly through changes in consumer behaviour and corporate insolvencies. OVERALL ASSESSMENT OF THE GROUP'S OPPORTUNITY AND RISK SITUATION The company continuously monitors the abovementioned risks and opportunities. In response, appropriate measures are carried out and initiatives are launched. A look at the company's main opportunities and risks shows that, while the issues that Austrian Post is facing are changing and shifting, the company's opportunities and risks are stable overall. As a result, from today's perspective, the company's existence is not at risk. Related Party Transactions No major changes to related-party transactions took place in the first half of 2025. Information on business relationships with related companies and persons can be found in the Annual Report 2024 of Austrian Post (refer to the Annual Report 2024, Consolidated Financial Statements, Note 30.2). Outlook for 2025 Trends in the international letter and parcel business have intensified against the backdrop of economic uncertainties. Cost pressure and digitalisation among private and public sector customer groups are leading to declining letter mail and direct mail volumes. At the same time, developments are being affected by changes in purchasing power and cautious consumption. Slower growth, persistent inflation and global trade conflicts are contributing to this consumer uncertainty. REVENUE IN 2025 The strong revenue increase of 13.9 % in 2024 was driven by positive special effects such as numerous elections in Austria and currency effects relating to the Turkish Lira. For 2025, revenue is targeted to be at the previous year's level. The decline in mail business revenue can be offset by growth in parcel markets, provided that international trade conflicts, less economic momentum or regulatory measures do not significantly impact consumer behaviour. The exchange rate development of the Turkish Lira also affects Group revenue within the range of ±3 %. The revenue of the Mail division is expected to decline due to the overall conditions described above and in light of the positive special effects relating to numerous elections held in the previous year. The general trend of declining volumes of conventional mail continues due to increasing digitalisation. Similarly, direct mail and media post volumes are also expected to decrease due to weak economic momentum. The Parcel & Logistics division is expected to experience further growth under stable economic conditions. The revenue increase depends on an increase in international trade flows as well as inflation and currency developments in Türkiye. In the Retail & Bank division, revenue in the 2025 fiscal year is expected to be in the order of the previous year, based on a slightly declining interest rate environment. EARNINGS IN 2025 Against the backdrop of a challenging environment in the letter and parcel market, it is important to ensure the desired stability of Austrian Post. Special sales campaigns and measures to secure earnings are the focus of operational activities. The target of achieving earnings (EBIT) in the order of EUR 200m in 2025 remains unchanged. INVESTMENTS IN 2025 Considering the average investment requirement of recent years, necessary investments (CAPEX) in 2025 are expected to be between EUR 150m and EUR 160m. This includes maintenance CAPEX and investments to de-carbonise logistics as well as growth CAPEX. With the finalisation of capacity expansion in Austria and an increasing focus on growth in South-Eastern and Eastern Europe and Türkiye, the company is setting a clear course for the future. Another key focus is the gradual conversion of the delivery fleet to e-mobility in Austria. The full transformation of Austrian Post towards CO₂-free last mile logistics is to be completed by 2030 at the latest. Vienna, 30 July 2025 The Management Board WALTER OBLIN CEO Chairman of the Management Board PETER UMUNDUM Deputy CEO Parcel & Logistics (COO) BARBARA POTISK-EIBENSTEINER Member of the Management Board Finance (CFO) Consolidated Interim Financial Statements Consolidated Income Statement for the first half of 2025 EUR m H1 2024 H1 2025 Q2 2024 Q2 2025 Revenue 1,505.2 1,488.1 746.6 724.6 thereof income from financial services 75.0 73.0 37.8 35.0 thereof income from effective interest 47.6 49.9 24.6 24.4 Other operating income 47.8 60.1 24.3 28.1 TOTAL OPERATING INCOME 1,553.0 1,548.2 770.8 752.7 Raw materials, consumables and services used -433.9 -429.5 -209.6 -207.5 Expenses from financial services -23.7 -22.6 -12.4 -9.7 Staff costs -692.7 -699.0 -350.9 -338.8 Depreciation, amortisation and impairment losses -105.9 -105.4 -54.9 -52.2 Other operating expenses -196.2 -202.8 -92.4 -100.2 thereof impairment losses in accordance with IFRS 9 -4.7 -3.3 -1.9 -2.0 TOTAL OPERATING EXPENSES -1,452.4 -1,459.3 -720.1 -708.4 Results from financial assets accounted for using the equity method 1.3 1.9 0.8 0.9 Net monetary gain 3.6 3.2 1.7 0.4 EARNINGS BEFORE FINANCIAL RESULT AND INCOME TAX (EBIT) 105.6 94.0 53.2 45.6 Financial income 14.9 17.3 5.6 8.1 Financial expenses -16.5 -19.1 -8.5 -12.2 FINANCIAL RESULT -1.6 -1.8 -2.9 -4.1 PROFIT BEFORE TAX 104.0 92.2 50.3 41.5 Income tax -25.5 -23.8 -13.5 -12.7 PROFIT FOR THE PERIOD 78.5 68.4 36.8 28.8 ATTRIBUTABLE TO: Shareholders of the parent company 75.3 66.8 35.6 28.9 Non-controlling interests 3.1 1.6 1.2 -0.1 EARNINGS PER SHARE (EUR) EARNINGS PER SHARE ( BASIC AND DILUTED) 1.12 0.99 0.53 0.43 Consolidated Statement of Comprehensive Income for the first half of 2025 EUR m H1 2024 H1 2025 Q2 2024 Q2 2025 PROFIT FOR THE PERIOD 78.5 68.4 36.8 28.8 ITEMS THAT MAY BE RECLASSIFIED SUBSEQUENTLY TO THE INCOME STATEMENT: Currency translation differences and hyperinflation adjustment - investments in foreign businesses 10.2 -10.4 5.3 -8.0 TOTAL ITEMS THAT MAY BE RECLASSIFIED 10.2 -10.4 5.3 -8.0 ITEMS THAT WILL NOT BE RECLASSIFIED SUBSEQUENTLY TO THE INCOME STATEMENT: Revaluation of defined benefit obligations -1.6 2.9 -2.5 1.3 Tax effect of revaluation 0.4 -0.7 0.6 -0.3 TOTAL ITEMS THAT WILL NOT BE RECLASSIFIED -1.2 2.1 -1.9 1.0 OTHER COMPREHENSIVE INCOME 9.0 -8.2 3.4 -7.0 TOTAL COMPREHENSIVE INCOME 87.5 60.2 40.2 21.8 ATTRIBUTABLE TO: Shareholders of the parent company 82.4 60.2 38.3 23.3 Non-controlling interests 5.1 -0.1 1.9 -1.5 Consolidated Balance Sheet as at 30 June 2025 EUR m 31 December 2024 30 June 2025 ASSETS NON-CURRENT ASSETS Goodwill 60.0 60.1 Intangible assets 98.9 92.7 Property, plant and equipment 1,392.0 1,357.6 Investment property 75.2 73.6 Financial assets accounted for using the equity method 28.9 30.8 Other financial assets 6.8 6.8 Contract assets 0.7 0.8 Other receivables 7.7 6.5 Deferred tax assets 24.0 22.3 1,694.2 1,651.3 FINANCIAL ASSETS FROM FINANCIAL SERVICES Cash, cash equivalents and central bank balances 652.1 510.9 Receivables from banks 4.3 0.0 Receivables from customers 1,966.9 1,979.1 Investments 1,422.0 1,426.6 Other 42.8 43.9 4,088.1 3,960.5 CURRENT ASSETS Other financial assets 40.4 10.4 Inventories 24.5 27.4 Contract assets 0.5 0.7 Trade and other receivables 488.3 472.2 Tax assets 77.4 37.7 Cash and cash equivalents 78.5 65.8 709.6 614.3 6,491.9 6,226.1 Consolidated Balance Sheet as at 30 June 2025 EUR m 31 December 2024 30 June 2025 EQUITY AND LIABILITIES EQUITY Share capital 337.8 337.8 Capital reserves 91.0 91.0 Revenue reserves 307.7 250.9 Other reserves -18.5 -25.1 EQUITY ATTRIBUTABLE TO THE SHAREHOLDERS OF THE PARENT COMPANY 717.9 654.5 NON-CONTROLLING INTERESTS 43.7 44.2 761.6 698.8 NON-CURRENT LIABILITIES Provisions 294.6 271.6 Other financial liabilities 543.0 521.5 Other liabilities 20.0 80.2 Deferred tax liabilities 0.8 4.5 858.3 877.8 FINANCIAL LIABILITIES FROM FINANCIAL SERVICES Borrowings from banks 72.8 130.1 Liabilities to customers 3,769.7 3,560.4 Other 35.5 44.5 3,878.0 3,735.0 CURRENT LIABILITIES Provisions 296.9 247.7 Tax liabilities 5.2 1.7 Other financial liabilities 130.8 129.8 Trade payables and other liabilities 533.7 509.4 Contract liabilities 27.4 26.0 994.0 914.5 6,491.9 6,226.1 Consolidated Cash Flow Statement for the first half of 2025 EUR m H1 2024 H1 2025 OPERATING ACTIVITIES Profit before tax 104.0 92.2 Depreciation, amortisation and impairment losses 105.9 105.4 Results from financial assets accounted for using the equity method -1.3 -1.9 Provisions - non-cash 7.7 5.4 Net position of monetary items - non-cash 2.7 1.2 Other non-cash transactions -33.1 -44.0 Gross cash flow 185.8 158.3 Trade and other receivables -42.0 -5.3 Inventories -3.0 -4.2 Contract assets 0.0 -0.3 Provisions -28.2 -72.4 Trade payables and other liabilities 15.4 54.9 Contract liabilities -1.8 -1.4 Financial assets/liabilities from financial services 10.5 -153.0 Interest received from financial services 51.7 53.5 Interest paid from financial services -6.1 -20.3 Taxes paid/received 3.4 18.6 Cash flow from operating activities 185.7 28.6 INVESTING ACTIVITIES Acquisition of intangible assets -5.2 -8.2 Acquisition of property, plant and equipment/investment property -46.3 -41.3 Sale of property, plant and equipment/investment property 3.6 10.0 Acquisition of subsidiaries/non-controlling interests/business units -0.1 -0.2 Acquisition of financial assets accounted for using the equity method -3.4 0.0 Payments for hedging foreign currency transactions 0.3 0.0 Acquisition of financial investments in securities/money market investments -60.0 -10.0 Sale of financial investments in securities/money market investments 70.0 40.0 Loans granted 0.0 0.9 Dividends received from financial assets accounted for using the equity method 0.7 1.4 Interest received and income from securities 8.7 8.4 Cash flow from investing activities -31.6 1.0 FREE CASH FLOW 154.1 29.6 Consolidated Cash Flow Statement for the first half of 2025 EUR m H1 2024 H1 2025 FINANCING ACTIVITIES Acceptance of long-term financing 0.8 0.0 Settlement of long-term financing -0.2 -0.2 Settlement of lease liabilities -36.7 -38.7 Changes of short-term financial liabilities 38.4 -2.2 Dividends paid -123.7 -125.1 Interest paid -6.6 -8.6 Payments from non-controlling interests 1.6 2.1 CASH FLOW FROM FINANCING ACTIVITIES -126.4 -172.6 Currency translation differences in cash and cash equivalents -1.4 -6.0 Monetary loss on cash and cash equivalents -7.4 -4.9 CHANGE IN CASH AND CASH EQUIVALENTS 19.0 -153.9 Cash and cash equivalents as at 1 January 926.6 730.6 CASH AND CASH EQUIVALENTS AS AT 30 JUNE 945.6 576.7 Consolidated Statement of Changes in Equity in the first half of 2024 Other reserves EUR m Share capital Capital reserves Revenue reserves IAS 19 reserve FVOCI reserve Currency translation reserve Equity attributable to shareholders of the parent company Non-controlling interests Equity BALANCE AS AT 1 JANUARY 2024 337.8 91.0 290.0 -31.2 1.8 -6.1 683.3 33.4 716.7 Profit for the period 0.0 0.0 75.3 0.0 0.0 0.0 75.3 3.1 78.5 Other comprehensive income 0.0 0.0 0.0 -0.9 0.0 8.0 7.0 2.0 9.0 TOTAL COMPREHENSIVE INCOME 0.0 0.0 75.3 -0.9 0.0 8.0 82.4 5.1 87.5 Dividends paid 0.0 0.0 -120.2 0.0 0.0 0.0 -120.2 -3.5 -123.7 Payments to subsidiaries with non-controlling interests 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.6 1.6 TRANSACTIONS WITH OWNERS 0.0 0.0 -120.2 0.0 0.0 0.0 -120.2 -1.9 -122.1 Step acquisition of a subsidiary 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -0.1 OTHER CHANGES 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 -0.1 BALANCE AS AT 30 JUNE 2024 337.8 91.0 245.1 -32.2 1.8 1.9 645.4 36.6 682.0 Consolidated Statement of Changes in Equity in the first half of 2025 Equity attributable to share- Currency holders of Non- Share Capital Revenue IAS 19 FVOCI translation the parent controlling EUR m capital reserves reserves reserve reserve reserve company interests Eq Other reserves uity BALANCE AS AT 1 JANUARY 2025 337.8 91.0 307.7 -27.1 1.9 6.7 717.9 43.7 761.6 Profit for the period 0.0 0.0 66.8 0.0 0.0 0.0 66.8 1.6 68.4 Other comprehensive income 0.0 0.0 0.0 1.7 0.0 -8.3 -6.6 -1.6 -8.2 TOTAL COMPREHENSIVE INCOME 0.0 0.0 66.8 1.7 0.0 -8.3 60.2 -0.1 60.2 Dividends paid 0.0 0.0 -123.6 0.0 0.0 0.0 -123.6 -1.4 -125.1 Payments to subsidiaries with non-controlling interests 0.0 0.0 0.0 0.0 0.0 0.0 0.0 2.1 2.1 TRANSACTIONS WITH OWNERS 0.0 0.0 -123.6 0.0 0.0 0.0 -123.6 0.7 -123.0 BALANCE AS AT 30 JUNE 2025 337.8 91.0 250.9 -25.4 1.9 -1.6 654.5 44.2 698.8 Notes to the Consolidated Interim Financial Statements for the first half of 2025 Summary of Accounting Principles The consolidated interim financial statements of Austrian Post as at 30 June 2025 have been prepared in accordance with the International Financial Reporting Standards (IFRS) valid as at 30 June 2025, as issued by the International Accounting Standards Board (IASB) and adopted by the European Union, and the additional requirements of Section 245a of the Austrian Commercial Code (UGB). These consolidated interim financial statements have been prepared on the basis of IAS 34 Interim Financial Reporting. The consolidated interim financial statements do not include all the notes usually contained in the financial statements for the entire financial year. Accordingly, these consolidated interim financial statements should be read in connection with the consolidated financial statements for the 2024 financial year. The accounting and valuation methods as well as the explanations and notes to the financial statements are fundamentally based on the same accounting and valuation methods underlying the consolidated financial statements for the 2024 financial year with the exception of the initial application of new and revised standards or accounting policies as explained below. The consolidated interim financial statements are presented in Euros. All amounts are listed in millions of euros (EUR m) unless stated otherwise. When aggregating rounded amounts and percentages, rounding differences may occur due to the use of automated calculation aids. These consolidated interim financial statements were neither subject to a complete audit nor to an audit review by an auditor. Changes in Accounting and Valuation Methods Mandatory application of revised standards The following revised standards had to be applied on a mandatory basis for the first time in the first half of 2025: Mandatory Application of revised Standards Effective date 1 IAS 21 Lack of Exchangeability of a Currency 1 Jan. 2025 1 To be applied in the financial year beginning on or after the effective date. The application of this revised standard did not have any material impact on the consolidated interim financial statements. Future-related Assumptions and Estimation Uncertainties The preparation of consolidated financial statements in accordance with IFRS requires management to make certain assumptions and estimates about future developments. Moreover, the Group is exposed to external events and developments which require forward-looking assumptions and estimates. A detailed description of the main forward-looking assumptions and estimates of the Austrian Post Group is contained in the consolidated financial statements for the 2024 financial year. What follows are updates of individual assessments and estimates since the last consolidated annual financial statements. Climate-related aspects There were no material changes in the first half of 2025 with respect to climate-related aspects. For this reason, no material impacts on the consolidated interim financial statements as at 30 June 2025 were identified. Macroeconomic environment Current developments and uncertainties arising from the macroeconomic and geopolitical environment are monitored on an ongoing basis and any potential effects on the consolidated financial statements are reviewed. Accordingly, there were no material changes in the first half of 2025 since the last consolidated annual financial statements. Within the context of impairment testing pursuant to IAS 36, there was no indication of impairment and thus no need to recognize an impairment loss as at 30 June 2025. Similarly, the consolidated financial statements of the Turkish subsidiaries continue to be included in the financial statements of the Austrian Post Group using IAS 29 Financial Reporting in Hyperinflationary Economies. Furthermore, in relation to receivables from customers from financial services, there has been no increase in the credit risk up until now relating to the economically challenging conditions in Austria, especially restrictive lending policies. The key risk parameters, i.e., the probability of default (PD) and loss given default (LGD) show a stable or slightly positive development. were identified despite the prevailing economic weakness. The currently stable risk parameters do not indicate the need for an adjustment of the previous estimates although leading economic research institutes still anticipate a negative development on the Austrian labour market until 2026. For this reason, the estimates of additional impairment losses (management overlay) recognized in previous years remain unchanged in the first half of 2025, thus continuing to cover the expected uncertainties, especially relating to the development of the unemployment rate. On balance, no material impacts on the consolidated interim financial statements arising from the macroeconomic and geopolitical environment were identified as at 30 June 2025. Changes in the Scope of Consolidation The following changes in the scope of consolidation and transactions with non-controlling interests took place in the first half-year 2025: Interest Company name from to Date of transaction Comment MAIL Österreichische Post AG, Vienna - Spin-off to absorb part of the assets of feibra GmbH, Vienna 100.00 % 100.00 % 30 Apr. 2025 Spin-off to absorb PARCEL & LOGISTICS Starex Global Domestic and International Transportation Company Ltd., Tbilisi 1 0.00 % 60.00 % 05 Mar. 2025 Acquisition "STAREX GLOBAL DIT" FE LLC, Tashkent 2 0.00 % 60.00 % 04 June 2025 Acquisition 1 Aras Kargo, Istanbul, which is 80 % owned by the Austrian Post Group, holds a 75 % share in Starex Global, Istanbul. Starex Global, Istanbul owns 100 % of Starex Global Domestic and International Transportation Company, Tbilisi and 100 % of "STAREX GLOBAL DIT" FE LLC, Tashkent. PARCEL & LOGISTICS Starex Global Domestic and International Transportation Company Ltd. und "STAREX GLOBAL DIT" FE LLC With the closing of the transaction on 5 March 2025 and on 4 June 2025 respectively, Starex Global acquired a 100 % stake in each of the above-mentioned companies. On the basis of these acquisitions, Aras Kargo a.s. intends to expand its business operations to the countries of Georgia and Uzbekistan. Since the date of the closing, the acquired companies have been included in the consolidated financial statements of Austrian Post as fully consolidated companies. The total identifiable net assets acquired from both companies at the time control was obtained equalled EUR 0.0m. The consideration transferred for the stakes in the two companies totalled EUR 0.2 m. Goodwill recognised from the acquisitions equalled a total of EUR 0.2m. The impacts of these transactions on Group revenue and the Group's profit for the period are of minor significance. Segment Reporting The following tables present segment disclosures for the reportable segments for the first half of 2024 and the first half of 2025: H1 2024 EUR m Mail Parcel & Logistics Retail & Bank Corporate Group Reconciliation Group Revenue (segments) 619.0 804.9 95.7 1.2 -15.7 1,505.2 Revenue intra-Group 2.1 0.4 101.0 0.0 -103.5 621.2 805.3 196.7 1.2 -119.2 614.9 793.6 95.5 1.2 0.0 0.0 0.0 75.2 0.0 -0.2 83.0 47.3 -5.3 -19.3 -0.1 0.0 TOTAL REVENUE 1,505.2 thereof revenue with third parties 1,505.2 thereof income from financial services 75.0 EBIT 105.6 Financial result -1.6 PROFIT BEFORE TAX 104.0 H1 2025 EUR m Mail Parcel & Logistics Retail & Bank Corporate Group Reconciliation Group Revenue (segments) 582.7 817.0 94.5 1.3 -7.4 1,488.1 0.0 1,488.1 Revenue intra-Group 2.5 8.9 102.4 0.0 -113.7 585.2 825.9 196.9 1.3 -121.2 579.4 813.2 94.2 1.3 0.0 0.0 0.0 73.3 0.0 -0.3 67.0 32.1 4.7 -9.5 -0.3 TOTAL REVENUE thereof revenue with third parties 1,488.1 73.0 94.0 thereof income from financial services EBIT Financial result -1.8 92.2 PROFIT BEFORE TAX Revenue from Contracts with Customers The following table shows the revenue from contracts with customers by type of product/service or region for each reportable segment: EUR m H1 2024 H1 2025 Letter Mail 363.2 339.7 Business Solutions 24.7 24.3 Direct Mail 158.3 149.4 Media Post 68.8 66.0 MAIL 614.9 579.4 Parcel Austria 434.8 457.2 Parcel Türkiye + 1 234.5 240.6 Parcel CEE/SEE 107.9 100.2 Logistics Solutions/Consolidation 16.5 15.2 PARCEL & LOGISTICS 793.6 813.2 Branch Services 20.5 21.2 Commission income from financial services 21.4 20.5 RETAIL & BANK 41.8 41.8 Other revenue 1.2 1.3 CORPORATE 1.2 1.3 REVENUE FROM CONTRACTS WITH CUSTOMERS 1,451.5 1,435.7 thereof recognised in revenue 1,451.5 1,435.7 1 Azerbaijan included Result from Financial Services The income from financial services and the expenses for financial services reported in the consolidated income statement are comprised of the items shown in the following two tables: EUR m H1 2024 H1 2025 73.0 20.5 52.4 Interest income 53.7 Commission income 21.4 INCOME FROM FINANCIAL SERVICES 75.0 Interest income results primarily from receivables from customers in the amount of EUR 30.0m (H1 2024: EUR 28.4m), interest income from bonds and other fixed-income securities totalling EUR 15.1m (H1 2024: EUR 4.9m) and interest income from deposits with central banks totalling EUR 4.9m (H1 2024: EUR 14.1m). Commission income of EUR 10.9m (H1 2024: EUR 11.3m) relates to the current account business and payment transactions, while EUR 7.2m (H1 2024: EUR 7.7m) relates to the other service business and the amount of EUR 2.2m (H1 2024: EUR 2.1m) is attributable to the securities business. EUR m H1 2024 H1 2025 -22.6 -2.9 -19.6 Interest expense -21.0 Commission expense -2.7 EXPENSES FROM FINANCIAL SERVICES -23.7 The interest expense in the current financial year mainly results from the increase in fixed term deposits within the item Liabilities to customers to the amount of EUR 18.9m (H1 2024: EUR 20.2m). Commission expense mainly relates to the current account business and payment transactions. The total result from financial services is as follows: EUR m H1 2024 H1 2025 Interest income 53.7 52.4 thereof income from effective interest 47.6 49.9 thereof interest income calculated not using the effective interest method 6.0 2.5 Interest expense -21.0 -19.6 NET INTEREST INCOME/EXPENSE 32.7 32.8 Commission income 21.4 20.5 Commission expense -2.7 -2.9 NET COMMISSION INCOME/EXPENSES 18.7 17.6 NET INTEREST AND COMMISSION INCOME/EXPENSES 51.4 50.4 Revaluation and derecognition income 0.3 0.5 Impairment losses according to IFRS 9 -3.9 -2.9 RESULT FROM FINANCIAL SERVICES 47.8 48.0

View stock analysis, news, and events for Osterreichische Post Ag