Polenergia S.a.GPW: PEP

Consolidated report for the i half of 2025

· Issued by Polenergia S.A.


In case of divergence between the language version, the Polish version shall prevail

Polenergia S.A. Group

INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED 30 JUNE 2025 INCLUDING THE REPORT OF THE INDEPENDENT AUDITOR

Adam Mariusz Purwin - President of the Management Board

Andrzej Filip Wojciechowski - First Vice President of the Management Board

Piotr Tomasz Sujecki - Second Vice President of the Management Board

Łukasz Buczyński - Member of the Management Board

Agnieszka Grzeszczak - Director Accounting Department

Warsaw, 20 August 2025

Contents

  1. Interim condensed consolidated balance sheet 4

  2. Interim condensed consolidated profit and loss account 5

  3. Interim condensed consolidated statement of changes in equity 6

  4. Interim condensed consolidated statement of cash flows 8

  5. The rules underlying the interim condensed consolidated financial statements 9

  6. Accounting principles applied 9

  7. Organizational structure of the Group 10

  8. Adjusted Consolidated EBITDA and Adjusted Consolidated Net Profit 12

  1. Operating segments 13

  2. Non-current fixed assets 18

  3. Right-of-use assets 20

  4. Intangible Assets 20

  5. Goodwill 20

  6. Fixed assets impairment test 21

  7. Impairment test of financial assets measured with the equity method 21

  8. Short term receivables 21

  9. Fair values of assets and liabilities 22

  10. Significant shareholders 25

  11. Dividends distributed and proposed 25

  12. Income tax 25

  13. Provisions 27

  14. Liabilities 27

  15. Bank loans incurred and other borrowing liabilities 28

  16. Guarantees and sureties granted 29

  17. Litigation and disputes 29

  18. Capital expenditure 34

  19. Sales revenue 34

  20. Cost according to type 35

  21. Other operating revenues 35

  22. Other operating expenses 35

  23. Financial income 36

  24. Financial expenses 36

  25. Liquidity risk 36

  26. Restricted cash 37

  27. Information on significant transactions with associates 37

  28. Information on the total amount of remuneration and awards (in cash or in kind) paid or payable to members of the managing and supervising authorities of the parent 37

  29. Material events after the reporting date 38

  1. Interim condensed consolidated balance sheet As at 30 June 2025

    ASSETS

    Note

    30.06.2025

    31.12.2024

    I. Non-current assets

    6 831 267

    5 447 865

    1. Tangible fixed assets

    10,11

    3 364 276

    3 425 389

    2. Intangible assets

    12

    10 764

    9 239

    3. Subordinated entities goodwill

    13

    86 338

    157 338

    4. Financial assets

    617 285

    109 383

    5. Financial assets measured using the equity method

    2 711 769

    1 704 128

    6. Long term receivables

    2 479

    2 479

    7. Deferred income tax assets

    20

    37 588

    37 726

    8. Prepayments and accrued income

    768

    2 183

    II. Current assets

    1 350 388

    2 082 403

    1. Inventories

    34 718

    39 813

    2. Trade receivables

    16

    248 817

    251 041

    3. Income tax receivable

    16

    237

    3 501

    4. Other short term receivables

    16

    169 815

    141 010

    5. Prepayments and accrued income

    40 988

    18 724

    6. Short term financial assets

    113 018

    139 309

    7. Cash and equivalent

    742 795

    1 489 005

    Total assets

    8 181 655

    7 530 268

    EQUITY AND LIABILITIES

    Note

    30.06.2025

    31.12.2024

    I. Shareholders' equity

    4 209 065

    4 303 511

    Equity attributable to the shareholders of the parent company

    4 209 065

    4 303 511

    1. Share capital

    154 438

    154 438

    2. Share premium account

    2 241 335

    2 241 335

    3. Reserve capital from option measurement

    13 207

    13 207

    4. Other capital reserves

    1 130 674

    1 114 444

    5. Retained profit (loss)

    709 189

    479 057

    6. Net profit (loss)

    (39 809)

    301 166

    7. F/X translation differences

    31

    (136)

    II. Long term liabilities

    3 237 668

    2 498 147

    1. Bank loans and borrowings

    23

    1 897 464

    1 190 830

    2. Bond issue

    750 000

    750 000

    2. Deferred income tax provision

    20

    100 277

    102 002

    3. Provisions

    21

    135 121

    124 642

    4. Accruals and deferred income

    33 799

    41 566

    5. Lease liabilities

    229 548

    237 878

    6. Futures and forward contracts measurement

    7 485

    2 224

    7. Other liabilities

    22

    83 974

    49 005

    III. Short term liabilities

    734 922

    728 610

    1. Bank loans and borrowings

    22,23

    228 822

    150 207

    2. Bond issue

    12 285

    13 352

    3. Trade payables

    22

    90 536

    115 773

    4. Income tax payable

    22

    9 888

    49 216

    5. Lease liabilities

    22

    33 122

    34 535

    6. Futures and forward contracts measurement

    22

    79 701

    98 682

    7. Other liabilities

    22

    204 098

    167 838

    8. Provisions

    10 335

    9 986

    9. Accruals and deferred income

    66 135

    89 021

    Total equity and liabilities

    8 181 655

    7 530 268

  2. Interim condensed consolidated profit and loss account For the period ended 30 June 2025

    unaudited unaudited

    Note

    For 6 months e

    30.06.2025

    nded

    30.06.2024

    For 3 months ended

    30.06.2025

    30.06.2024

    Revenues from contracts with clients

    2 317 887

    2 098 868

    1 129 492

    909 105

    Other revenues

    (1 235)

    5 958

    (360)

    4 517

    Sales revenues

    27

    2 316 652

    2 104 826

    1 129 132

    913 622

    Cost of goods sold

    28

    (1 996 395)

    (1 650 142)

    (982 271)

    (716 295)

    Gross sales profit

    320 257

    454 684

    146 861

    197 327

    Other operating revenues

    29

    31 048

    7 483

    23 535

    4 950

    Selling expense

    28

    (29 215)

    (44 144)

    (15 098)

    (22 095)

    General overheads

    28

    (96 069)

    (93 774)

    (48 108)

    (51 369)

    Auction price settlement

    1 902

    69

    2 382

    (289)

    Other operating expenses

    30

    (97 479)

    (16 375)

    (96 479)

    (11 953)

    including expected credit loss

    (159)

    (13 946)

    (60)

    (10 099)

    Financial income

    31

    32 720

    25 999

    14 356

    11 971

    Financial costs

    32

    (149 986)

    (58 128)

    (77 623)

    (28 143)

    Profit/Loss on assets consolidated by the equity method

    (3 684)

    -

    4 105

    -

    Profit (loss) before tax

    9 494

    275 814

    (46 069)

    100 399

    Income tax

    20

    (49 303)

    (55 447)

    (36 972)

    (20 718)

    Net (loss) profit

    (39 809)

    220 367

    (83 041)

    79 681

    - basic earnings (loss) for period attributable to parent company shareholders

    (0,52)

    2,90

    (1,08)

    1,03

    - diluted earnings (loss) for period attributable to parent company shareholders

    (0,52)

    2,90

    (1,08)

    1,03

    Interim condensed consolidated statement of comprehensive income

    unaudited unaudited

    For 6 months ended For 3 months ended

    30.06.2025

    30.06.2024

    30.06.2025

    30.06.2024

    Net profit (loss) for period

    (39 809)

    220 367

    (83 041)

    79 681

    Other comprehensive income that may be reclassified to profit and loss account once specific conditions are met

    Cash flow hedges

    (54 804)

    15 544

    (31 212)

    153

    F/X translation differences

    167

    29

    171

    26

    Other net comprehensive income

    (54 637)

    15 573

    (31 041)

    179

    COMPREHENSIVE INCOME FOR PERIOD

    (94 446)

    235 940

    (114 082)

    79 860

    Comprehensive income for period:

    (94 446)

    235 940

    (114 082)

    79 860

    Parent company shareholders

    (94 446)

    235 940

    (114 082)

    79 860

    Additional notes to the consolidated financial statements 5

  3. Interim condensed consolidated statement of changes in equity For the period ended 30 June 2025

    Share capital

    Share premium account

    Reserve capital from option measurement

    Other capital Retained profit Net (loss) profit reserves

    F/X translattion differences

    Equity attributable to the shareholders of the parent company

    Total equity

    As at 1 January 2025 154 438 2 241 335 13 207 1 114 444 780 223 - (136) 4 303 511 4 303 511

    Comprehensive income for reporting period

    - Net profit (loss) for reporting period

    -

    -

    - -

    -

    (39 809)

    -

    (39 809)

    (39 809)

    - Other comprehensive income for period

    Transactions with owners of the parent recognized directly in

    -

    -

    - (54 804)

    -

    -

    167

    (54 637)

    (54 637)

    equity

    - Alocation of profit/loss

    -

    -

    - 71 034

    (71 034)

    -

    -

    -

    -

    As at 30 June 2025 154 438 2 241 335 13 207 1 130 674 709 189 (39 809) 31 4 209 065 4 209 065

    For the period ended 30 June 2024

    Share capital

    Share premium account

    Reserve capital from option measurement

    Other capital Retained profit Net (loss) profit reserves

    F/X translattion differences

    Equity attributable to the shareholders of the parent company

    Total equity

    As at January 2024 154 438 2 241 335 13 207 949 665 638 960 - 48 3 997 653 3 997 653

    Comprehensive income for reporting period

    - Net profit (loss) for reporting period

    -

    -

    - -

    -

    220 367

    -

    220 367

    220 367

    - Other comprehensive income for period

    -

    -

    - 15 544

    -

    -

    29

    15 573

    15 573

    - Alocation of profit/loss

    -

    -

    - 159 903

    (159 903)

    -

    -

    -

    -

    As at 30 June 2024 154 438 2 241 335 13 207 1 125 112 479 057 220 367 77 4 233 593 4 233 593

  4. Interim condensed consolidated statement of cash flows For the period ended 30 June 2025

    Note

    For 6 months ended 30.06.2025 30.06.2024

    A.Cash flow from operating activities

    I.Profit (loss) before tax

    9 494

    275 814

    II.Total adjustments

    196 086

    136 313

    1.Depreciation

    90 192

    86 657

    2.Foreign exchange losses (gains)

    9

    170

    3.Interest and profit shares (dividends)

    102 125

    41 517

    4.Losses (gains) on investing activities

    133 646

    (628)

    5. Income tax

    (73 913)

    (31 039)

    6.Changes in provisions

    3 302

    3 673

    7.Changes in inventory

    5 095

    13 539

    8.Changes in receivables

    (9 695)

    177 782

    9.Changes in liabilities, excluding bank loans and borrowings

    (252)

    (123 663)

    10.Changes in accruals

    (53 936)

    (31 653)

    11. Other adjustments

    (487)

    (42)

    III.Net cash flows from operating activities (I+/-II)

    205 580

    412 127

    B.Cash flows from investing activities

    I. Cash in

    250

    867

    1. Disposal of intangibles and tangible fixed assets

    250

    181

    2. Other investment inflows

    -

    686

    II.Cash out

    1 095 531

    666 934

    1. Acquisition of tangible fixed assets

    53 669

    140 609

    2. For financial asstes, including:

    1 011 062

    526 325

    a) acquisition of financial assets

    1 011 062

    526 325

    3.Other investment expenses

    30 800

    -

    III.Net cash flows from investing activities (I-II)

    (1 095 281)

    (666 067)

    C.Cash flows from financing activities

    I.Cash in

    864 864

    14 631

    1.Loans and borrowings

    864 864

    14 631

    II.Cash out

    196 934

    213 704

    1.Repayment of loans and borrowings

    80 423

    153 151

    2.Lease payables

    15 056

    14 156

    3.Interest

    101 379

    46 285

    4.Other financial expenses

    76

    112

    III.Net cash flows from financing activities (I-II)

    667 930

    (199 073)

    D.Total net cash flows (A.III+/-B.III+/-C.III)

    (221 771)

    (453 013)

    E.Increase/decrease in cash in the balance sheet, including:

    (221 092)

    (453 011)

    F.Cash at beginning of period

    1 489 005

    1 410 763

    G.Cash at end of period, including:

    34

    1 267 912

    957 752

    - change in cash due to f/x differences 678 2

    - restricted cash 34 683 218 86 191

    Additional notes to the consolidated financial statements appended on pages 8

    from 9 through 38are an integral part hereof

  5. The rules underlying the interim condensed consolidated financial statements

    These interim condensed consolidated financial statements have been prepared in accordance with International Accounting Standard 34 and cover the six-month period from 1 January to 30 June 2025 and the comparative period from 1 January to 30 June 2024, while also including data for the second quarter of 2025 and 2024, and with respect to the balance sheet - as at 31 December 2024. In accordance with the applicable laws, these interim condensed consolidated financial statements for the six months ended 30 June 2025 have been reviewed by an independent auditor, while the comparative data for the financial year ended 31 December 2024 have been audited by an independent auditor.

    These consolidated financial statements have been prepared in accordance with the historical cost method, except for the following material items in the balance sheet:

    • derivatives which have been measured at fair value.

    IFRS include standards and interpretations approved by the International Accounting Standards Board ("IASB") and the International Financial Reporting Interpretations Committee ("IFRIC").

    Some entities within the Group keep their own accounting books in line with the accounting policies (principles) set forth by the Accounting Act of 29 September 1994 (the "Act") as amended and rules issued based on such Act ("Polish Accounting Standards"). These consolidated financial statements include adjustments which have not been included in the Group entities' accounting books, in order to align the financial statements of such entities with the requirements of IFRS.

    These interim condensed consolidated financial statements have been prepared on the assumption that the Company and the Group companies will continue as going concerns in the foreseeable future, that is for at least 12 months after the reporting date, i.e. 30 June 2025.

  6. Accounting principles applied

    The accounting principles applied by the Group have been outlined in the consolidated financial statements of Polenergia Group for 2024 published on 25 March 2025. Those Financial Statements also provided detailed information on the principles and methods of measuring assets and liabilities, as well as measuring the financial result, the method of preparing financial statements and gathering comparable data. Such principles have been applied on a consistent basis.

    1. Functional and reporting currency

      The functional currency of the Parent and the reporting currency of these consolidated financial statements is Polish Zloty (PLN).

      Transactions denominated in currencies other than the functional currency are translated into the functional currency at the rate of exchange prevailing on the transaction date.

      As at the reporting date, cash, bank loans and other monetary assets and liabilities denominated in currencies other than the functional currency are translated into such functional currency at the average exchange rate of the National Bank of Poland on the balance sheet day. Foreign exchange differences on translation and settlement of items are recognized in finance income or cost, as appropriate. Changes in the measurement of derivatives designated as hedging instruments for hedge accounting purposes are recognized in accordance with the applicable hedge accounting policies.

      The following exchange rates were used for measurement purposes:

      30.06.2025

      31.12.2024

      30.06.2024

      USD

      3.6164

      4.1012

      4.0320

      EUR

      4.2419

      4.2730

      4.3130

      GBP

      4.9546

      5.1488

      5.0942

    2. Seasonality and cyclical nature of operations

      The Group operates on the industrial power outsourcing market. The Group's key customers use heat and electricity supplied by the Group for production purposes at their industrial facilities. Heat and electricity supply business is not subject to seasonal fluctuations.

      Wind conditions which determine the output of wind farms are uneven during the year In autumn and winter they are significantly better than in spring and summer. The Group resolved to build wind farms in locations selected based on professional wind measurements confirmed by independent and reputable experts. However, there can be no assurance that the actual wind conditions will be no different than those used in the Group's models for specific investment projects.

  7. Organizational structure of the Group

    Name of Parent

    Polenergia S.A.

    No.

    Name of Subsidiary/Associate

    Parent company

    Comment

    share

    1

    Polenergia Farma Fotowoltaiczna 1 sp. z o.o.

    100%

    2

    Polenergia Farma Fotowoltaiczna 2 sp. z o.o.

    100%

    3

    Polenergia Farma Fotowoltaiczna 3 sp. z o.o.

    100%

    4

    Polenergia Farma Fotowoltaiczna 4 sp. z o.o.

    100%

    5

    Polenergia Farma Fotowoltaiczna 5 sp. z o.o.

    100%

    6

    Polenergia Farma Fotowoltaiczna 6 sp. z o.o.

    100%

    7

    Polenergia Farma Fotowoltaiczna 7 sp. z o.o.

    100%

    8

    Polenergia Farma Fotowoltaiczna 8 sp. z o.o.

    100%

    9

    Polenergia Farma Fotowoltaiczna 9 sp. z o.o.

    100%

    10

    Polenergia Farma Fotowoltaiczna 10 sp. z o.o.

    100%

    11

    Polenergia Farma Fotowoltaiczna 11 sp. z o.o.

    100%

    12

    Polenergia Farma Fotowoltaiczna 12 sp. z o.o.

    100%

    13

    Polenergia Farma Fotowoltaiczna 13 sp. z o.o.

    100%

    14

    Polenergia Farma Fotowoltaiczna 14 sp. z o.o.

    100%

    15

    Polenergia Farma Fotowoltaiczna 15 sp. z o.o.

    100%

    16

    Polenergia Farma Fotowoltaiczna 16 sp. z o.o.

    100%

    17

    Polenergia H2Silesia sp. z o.o.

    100%

    18

    Polenergia Farma Fotowoltaiczna 19 sp. z o.o.

    100%

    19

    Polenergia Farma Wiatrowa 1 sp. z o.o.

    100%

    20

    Polenergia Farma Wiatrowa 3 sp. z o.o.

    100%

    21

    Polenergia Farma Wiatrowa 4 sp. z o.o.

    100%

    22

    Polenergia Farma Wiatrowa 6 sp. z o.o.

    100%

    1. Polenergia Farma Wiatrowa 10 sp. z o.o. 100%

    2. Polenergia Farma Wiatrowa 11 sp. z o.o. 100%

    3. Polenergia Farma Wiatrowa 12 sp. z o.o. 100%

    4. Polenergia Farma Wiatrowa 13 sp. z o.o. 100%

    5. Polenergia Farma Wiatrowa 14 sp. z o.o. 100%

    6. Polenergia Farma Wiatrowa 15 sp. z o.o. 100%

    7. Polenergia Farma Wiatrowa 16 sp. z o.o. 100%

    8. Polenergia Farma Fotowoltaiczna Sulechów sp.

      z o.o. 100%

    9. Polenergia Farma Wiatrowa 18 sp. z o.o. 100%

    10. Polenergia Farma Wiatrowa 19 sp. z o.o. 100%

    11. Polenergia H2HUB Nowa Sarzyna sp. z o.o. 100%

    12. Polenergia Farma Wiatrowa 21 sp. z o.o. 100%

    13. Polenergia Farma Wiatrowa 22 sp. z o.o. 100%

    14. Polenergia Farma Wiatrowa 23 sp. z o.o. 100%

    15. Polenergia Farma Wiatrowa 24 sp. z o.o. 100%

    16. Polenergia Farma Wiatrowa 25 sp. z o.o. 100%

    17. Polenergia Farma Wiatrowa 26 sp. z o.o. 100%

    18. Polenergia Farma Wiatrowa 27 sp. z o.o. 100%

    19. Polenergia Farma Wiatrowa 28 sp. z o.o. 100%

    20. Polenergia Farma Wiatrowa 29 sp. z o.o. 100%

    21. Polenergia Farma Wiatrowa Bądecz sp. z o.o. 100%

    22. Polenergia Farma Wiatrowa Dębice/Kostomłoty

      sp. z o.o. 100%

    23. Polenergia Farma Wiatrowa Grabowo sp. z o.o. 100%

    24. Polenergia Farma Wiatrowa Krzywa sp. z o.o. 100%

    25. Polenergia Farma Wiatrowa Mycielin sp. z o.o. 100%

    26. Polenergia Farma Wiatrowa Namysłów sp. z

      o.o. 100%

    27. Polenergia Farma Wiatrowa Olbrachcice sp. z

      o.o. 100%

    28. Polenergia Farma Wiatrowa Piekło sp. z o.o. 100%

    29. Polenergia Farma Fotowoltaiczna Buk sp. z o.o. 100%

    30. Polenergia Farma Wiatrowa Szymankowo sp. z

      o.o. 100%

    31. Polenergia Farma Wiatrowa Wodzisław sp. z

      o.o. 100%

    32. Amon sp. z o.o. 100%

    33. Dipol sp. z o.o. 100%

    34. Talia sp. z o.o. 100%

    35. Polenergia Farma Fotowoltaiczna Strzelino sp. z

      o.o. 100%

    36. Polenergia Sprzedaż sp. z o.o. 100%

    37. Polenergia Dystrybucja sp. z o.o. 100%

    38. Polenergia Kogeneracja sp. z o.o. 100%

    39. Polenergia eMobility sp. z o.o. 100%

    40. Certyfikaty sp. z o.o. 100%

    41. Polenergia Elektrociepłownia Nowa Sarzyna sp.

      z o.o. 100%

    42. Polenergia Elektrownia Północ sp. z o.o. 100%

    43. Inwestycje Rolne sp. z o.o. 100%

    44. Polenergia H2HUB 1 sp. z o.o. 100%

    45. Polenergia H2HUB 2 sp. z o.o. 100%

    46. Polenergia H2HUB 3 sp. z o.o. 100%

    47. Polenergia H2HUB 4 sp. z o.o. 100%

    48. Polenergia H2HUB 5 sp. z o.o. 100%

    49. Polenergia Farma Wiatrowa 30 sp. z o.o. 100%

    50. Polenergia Farma Wiatrowa 31 sp. z o.o. 100%

    51. Polenergia Farma Wiatrowa 32 sp. z o.o. 100%

    52. Polenergia Farma Wiatrowa 33 sp. z o.o. 100%

    53. Polenergia Farma Wiatrowa 34 sp. z o.o. 100%

    54. Polenergia Farma Wiatrowa 35 sp. z o.o. 100%

    55. Polenergia Obrót S.A. 100%

    56. Polenergia Energy Ukraine LLC 100%

    57. MFW Bałtyk I sp. z o.o. 50%

    58. MFW Bałtyk I S.A. 100%

    59. MFW Bałtyk II sp. z o.o. 50%

    60. MFW Bałtyk III sp. z o.o. 50%

    61. Polenergia Fotowoltaika S.A. 100%

    62. Polenergia Pompy Ciepła sp. z o.o. 100%

    63. Zielony Ryś sp. z o.o. 100%

    64. Polenergia Solární s.r.o. 100%

    65. Wind Farm Four SRL 100%

    66. Eolian Areea SRL 20%

    67. Eolian Efect SRL 20%

    68. Eolian Express SRL 20%

    69. Magnum Eolvolt SRL 20%

    70. Eolian Spark SRL 20%

    71. Spark Wind Energy SRL 20%

    72. Harsh Wind SRL 20%

    Polenergia Obrót S.A. is the company's parent company.

    MFW Bałtyk I sp. z o.o. is the company's parent company.

    Polenergia Fotowoltaika S.A. is the company's parent company.

    Polenergia Fotowoltaika S.A. is the company's parent company.

    Polenergia Fotowoltaika S.A. is the company's parent company.

  8. Adjusted Consolidated EBITDA and Adjusted Consolidated Net Profit

The Group presents data on its EBITDA, adjusted EBITDA and the adjusted net profit allocated to the parent company shareholders in order to present the Group's results to the exclusion of certain elements that have no impact on the core business of the Group and that lead to no cashflows in the reporting period.

unaudited unaudited

For 6 months e

30.06.2025

nded

30.06.2024

For 3 months e

30.06.2025

nded

30.06.2024

Profit (loss) before tax

9 494

275 814

(46 069)

100 399

Fianancial revenues

(32 720)

(25 999)

(14 356)

(11 971)

Financial costs

149 986

58 128

77 623

28 143

Depreciation/Amortization

90 192

86 657

45 646

41 744

(Profit)/Loss on assets consolidated by the equity method

3 684

-

(4 105)

-

Development - related impairment loss

21 266

-

21 266

-

Goodwill imapirment loss

71 000

-

71 000

-

EBITDA

312 902

394 600

151 005

158 315

Adjusted EBITDA

312 902

394 600

151 005

158 315

unaudited unaudited

For 6 months e

30.06.2025

nded

30.06.2024

For 3 months e

30.06.2025

nded

30.06.2024

NET (LOSS) PROFIT attributed to parent shareholders

(39 809)

220 367

(83 041)

79 681

Unrealized foreign exchange net (gains)/losses

3 192

457

(5 475)

82

(Income)/Cost from measurement of long-term borrowings

1 741

1 518

977

765

(Profit)/Loss on assets consolidated by the equity method

3 684

-

(4 105)

-

Development - related impairment loss

21 266

-

21 266

-

Goodwill - related impairment loss Purchase price allocation:

71 000

-

71 000

-

Depreciation/Amortization

132

132

66

66

Tax

(25)

(25)

(12)

(12)

Adjusted NET PROFIT attributed to parent shareholders

61 181

222 449

676

80 582

Neither the level of EBITDA, nor the adjusted EBITDA, nor the adjusted net profit allocated to the parent company shareholders have been defined in IFRS, hence they are not derived based on any accounting standards. The rules for deriving such indices by the Group were defined in the Consolidated Financial Statements of the Polenergia Group for 2024 that were published on 25 March 2025. Definitions of the foregoing indices applied by other entities may be different from those used by the Group.

  1. Operating segments

    Within the Polenergia group the following operating segments have been identified, being identical with the reporting segments:

    • Onshore wind farms - development, construction and maintenance of facilities generating electrical energy from onshore wind,

    • Photovoltaics - development, construction and maintenance of facilities generating electrical energy using the solar radiation,

    • Offshore wind farms - development, construction and maintenance of facilities generating electrical energy from wind at sea,

    • Gas and clean fuels - development, construction and maintenance of facilities generating electrical energy in gas cogeneration and development work in the manufacture of hydrogen and generation of energy from hydrogen based on the renewable sources originating energy,

    • Trading and sales - commercial business in terms of trading in electricity and certificates of origin, other energy market instruments, as well as sale of electricity to industrial customers and provision of market access services to energy producers using renewable energy sources, as well as installing solar panels and heat pumps,

    • Distribution - provision of electrical energy and gas distribution and sale services to commercial, industrial and household customers, as well as the development of e-mobility.

      The Management Board has been separately monitoring the operating performance of the segments in order to make decisions regarding allocation of resources, evaluation of the effects of such allocation and the operating performance. Such evaluation is based on the EBITDA result and gross sale profit or loss. Income tax is monitored at the Group level and is not allocated to operating segments. Company's cash is disclosed under Unallocated Assets.

      Transaction prices used in transactions between the operating segments are determined on an arm's length basis, similarly to the transactions with non-related parties. Any and all consolidation adjustments are allocated to individual segments.

      Recipients with whom the Group achieved no less than 10% of the Group's total revenues relate to the Trading and Sales segment, such revenues totaling: PLN 1,572,712 thousand

      RES Generation

      For 6 months ended 30.06.2025

      On shore wind Photovoltaics farms

      Off shore wind farms

      Gas and Clean Fuels

      Trading and sales Distribution and

      eMobility

      Unallocated

      Purchase price allocation

      Total

      Revenues from contracts with clients

      301 337

      21 011

      -

      41 182

      1 830 772

      109 515

      14 070

      -

      2 317 887

      Other revenues

      -

      -

      -

      -

      (1 235)

      -

      -

      -

      (1 235)

      Total revenues

      301 337

      21 011

      -

      41 182

      1 829 538

      109 515

      14 069

      -

      2 316 652

      Selling costs

      -

      -

      -

      -

      (29 215)

      -

      -

      -

      (29 215)

      General overheads

      (5 497)

      (641)

      -

      (2 581)

      (42 200)

      (5 965)

      (39 185)

      -

      (96 069)

      Interest income/(expense)

      (24 821)

      (4 881)

      -

      525

      (1 924)

      (3 446)

      (41 140)

      -

      (75 687)

      Other financial revenue/(expense)

      (5 887)

      (1 302)

      -

      (150)

      (1 226)

      (418)

      (32 596)

      -

      (41 579)

      Other operating revenue/(expense)

      24 710

      256

      -

      (21 823)

      3 680

      (77)

      (275)

      (71 000)

      (64 529)

      Profit/Loss on assets consolidated by the equity method

      -

      -

      (3 684)

      -

      -

      -

      -

      -

      (3 684)

      Income tax

      -

      -

      -

      -

      -

      -

      (49 270)

      (33)

      (49 303)

      EBITDA **)

      264 716

      15 803

      -

      4 307

      37 328

      24 874

      (34 126)

      -

      312 902

      Segment assets

      3 073 869

      511 166

      2 661 509

      173 134

      556 388

      335 414

      870 175

      -

      8 181 655

      Segment liabilities

      1 477 257

      267 859

      -

      37 270

      433 068

      171 670

      1 585 466

      -

      3 972 590

      Depreciation/Amortization

      64 556

      5 235

      -

      5 141

      5 583

      5 544

      4 001

      132

      90 192

      RES Generation

      For 6 months ended 30.06.2024

      On shore wind Photovoltaics farms

      Off shore wind farms

      Gas and Clean Fuels

      Trading and sales Distribution and

      eMobility

      Unallocated Purchase price

      allocation

      Total

      Revenues from contracts with clients

      429 845

      13 732

      -

      56 242

      1 482 878

      106 306

      9 865

      -

      2 098 868

      Other revenues

      -

      -

      -

      -

      5 958

      -

      -

      -

      5 958

      Total revenues

      429 845

      13 732

      -

      56 242

      1 488 836

      106 306

      9 865

      -

      2 104 826

      Selling costs

      -

      -

      -

      -

      (44 144)

      -

      -

      -

      (44 144)

      General overheads

      (6 900)

      (725)

      -

      (4 615)

      (43 474)

      (5 104)

      (32 956)

      -

      (93 774)

      Interest income/(expense)

      (29 839)

      (2 535)

      -

      846

      (3 489)

      (3 453)

      16 495

      -

      (21 975)

      Other financial revenue/(expense)

      (5 469)

      (943)

      -

      (204)

      (1 431)

      (514)

      (1 593)

      -

      (10 154)

      Other operating revenue/(expense)

      2 642

      (193)

      -

      (263)

      (11 083)

      243

      (169)

      -

      (8 823)

      Income tax

      -

      -

      -

      -

      -

      -

      (55 472)

      25

      (55 447)

      EBITDA **)

      353 338

      9 970

      -

      1 228

      29 259

      28 530

      (27 725)

      -

      394 600

      Segment assets

      3 248 964

      412 015

      1 339 781

      192 133

      625 173

      288 197

      549 644

      -

      6 655 907

      Segment liabilities

      1 591 650

      191 678

      -

      29 867

      425 187

      143 826

      40 106

      -

      2 422 314

      Depreciation/Amortization

      64 066

      3 374

      -

      4 841

      5 921

      4 911

      3 412

      132

      86 657

      For 6 months ended 30.06.2025

      RES Generation

      On shore wind Photovoltaics farms

      Gas and Clean Fuels

      Trading and sales

      Distribution and eMobility

      Unallocated

      Total

      - revenue from sale and distribution of electricity

      over time

      286 243

      21 006

      10 824

      1 013 054

      101 927

      -

      1 433 054

      - revenue from certificates of orgin

      over time

      15 086

      -

      -

      12 058

      -

      -

      27 144

      - revenue from sale of heat

      point in time

      -

      -

      17 665

      -

      -

      -

      17 665

      - revenue from consulting and advisory services

      over time

      -

      -

      -

      -

      -

      13 694

      13 694

      - revenue from lease and operator services

      over time

      -

      -

      -

      -

      1 210

      -

      1 210

      - revenue from sale and distribution of gas

      over time

      -

      -

      -

      721 394

      3 702

      -

      725 096

      - revenue from sale of merchandise

      over time

      -

      -

      -

      -

      247

      -

      247

      - revenue from lease

      over time

      7

      2

      -

      -

      -

      314

      323

      - revenue from the capacity market and blackstart services

      point in time

      -

      -

      12 688

      -

      -

      -

      12 688

      - revenue from the solar panels and heat pomps instalation

      over time

      -

      -

      -

      72 210

      -

      -

      72 210

      - revenue from charging services

      over time

      -

      -

      -

      -

      2 013

      -

      2 013

      - other

      over time

      1

      3

      5

      12 057

      416

      61

      12 543

      Total revenue from clients

      301 337

      21 011

      41 182

      1 830 773

      109 515

      14 069

      2 317 887

      - revenues from the valuation of futures contracts

      over time

      -

      -

      -

      (1 516)

      -

      -

      (1 516)

      - revenues from CO2 emission allowances

      point in time

      -

      -

      -

      281

      -

      -

      281

      Total other revenue

      -

      -

      -

      (1 235)

      -

      -

      (1 235)

      Total sales revenue

      301 337

      21 011

      41 182

      1 829 538

      109 515

      14 069

      2 316 652

      For 6 months ended 30.06.2024

      RES Generation

      On shore wind Photovoltaics farms

      Gas and Clean Fuels

      Trading and sales

      Distribution and eMobility

      Unallocated

      Total

      - revenue from sale and distribution of electricity

      over time

      367 588

      13 730

      18 853

      826 057

      98 748

      -

      1 324 976

      - revenue from certificates of orgin

      over time

      62 250

      -

      -

      (3 331)

      -

      -

      58 919

      - revenue from sale of heat

      point in time

      -

      -

      22 855

      -

      -

      -

      22 855

      - revenue from consulting and advisory services

      over time

      -

      -

      -

      -

      -

      9 376

      9 376

      - revenue from lease and operator services

      over time

      -

      -

      -

      -

      2 267

      -

      2 267

      - revenue from sale and distribution of gas

      over time

      -

      -

      -

      541 742

      2 570

      -

      544 312

      - revenue from sale of merchandise

      over time

      -

      -

      -

      -

      747

      -

      747

      - revenue from lease

      over time

      7

      2

      -

      -

      2

      289

      300

      - revenue from the capacity market and blackstart services

      point in time

      -

      -

      14 517

      -

      -

      -

      14 517

      - revenue from the solar panels and heat pomps instalation

      over time

      -

      -

      -

      113 216

      -

      -

      113 216

      - revenue from charging services

      over time

      -

      -

      -

      -

      159

      -

      159

      - other

      over time

      -

      -

      17

      5 194

      1 813

      200

      7 224

      Total revenue from clients

      429 845

      13 732

      56 242

      1 482 878

      106 306

      9 865

      2 098 868

      - revenues from the valuation of futures contracts

      over time

      -

      -

      -

      4 451

      -

      -

      4 451

      - revenues from CO2 emission allowances

      point in time

      -

      -

      -

      1 507

      -

      -

      1 507

      Total other revenue

      -

      -

      -

      5 958

      -

      -

      5 958

      Total sales revenue

      429 845

      13 732

      56 242

      1 488 836

      106 306

      9 865

      2 104 826

  2. Non-current fixed assets

    building, premises

    30.06.2025 land and civil and water

    engineering

    plant and machinery

    vehicles other non-current

    fixed asstes

    non-current fixed assets under construction

    prepayments for non-current fixed assets under construction

    total non-current

    fixed assets

    Gross value of non-current fixed assets at beginning of period 261 341 1 367 260 2 707 545 27 207 945 226 241 25 656 4 616 195

    increases (due to)

    5 348

    58 255

    71 256

    2 303

    626

    95 070

    7 360

    240 218

    - purchase

    -

    145

    (107)

    2 041

    514

    40 167

    7 360

    50 120

    - transfers

    -

    48 647

    122 702

    6

    112

    3 212

    -

    174 679

    - other

    5 348

    9 463

    (51 339)

    256

    -

    51 691

    -

    15 419

    reductions (due to)

    -

    (1 823)

    (3 898)

    (2 564)

    (31)

    (171 339)

    (8 346)

    (188 001)

    - sale and liquidation

    -

    (1 823)

    (163)

    (2 535)

    (31)

    (1 500)

    (5 573)

    (11 625)

    - other

    -

    -

    -

    -

    -

    -

    (1 659)

    (1 659)

    - transfers

    -

    -

    (3 735)

    (29)

    -

    (169 839)

    (1 114)

    (174 717)

    - current period depreciation

    (4 527)

    (35 038)

    (44 605)

    (4 332)

    (258)

    -

    -

    (88 760)

    - reductions (due to)

    (179)

    1 823

    (244)

    1 729

    31

    -

    -

    3 160

    - sale and liquidation

    -

    1 823

    124

    1 729

    31

    -

    -

    3 707

    - other

    (179)

    -

    (368)

    -

    -

    -

    -

    (547)

    Gross value of non-current fixed assets at end of period 266 689 1 423 692 2 774 903 26 946 1 540 149 972 24 670 4 668 412

    Cumulative depreciation at beginning of period (41 387) (324 999) (738 577) (11 808) 1 117 (108) - (1 115 762)

    Cumulative depreciation at end of period

    (46 093)

    (358 214)

    (783 426)

    (14 411)

    890

    (108)

    -

    (1 201 362)

    Impairment losses at beginning of period

    -

    (9 828)

    (14 603)

    -

    (5)

    (50 608)

    -

    (75 044)

    - increase - - - - - (8 908) (18 822) (27 730)

    Impairment losses at end of period

    -

    (9 828)

    (14 603)

    -

    (5)

    (59 516)

    (18 822)

    (102 774)

    Net value of non-current fixed assets at beginning of period

    219 954

    1 032 433

    1 954 365

    15 399

    2 057

    175 525

    25 656

    3 425 389

    Net value of non-current fixed assets at end of period

    220 596

    1 055 650

    1 976 874

    12 535

    2 425

    90 348

    5 848

    3 364 276

    building, premises

    31.12.2024 land and civil and water

    Gross value of non-current fixed assets at beginning of period 195 804 1 304 083 2 577 933 24 120 (232) 183 649 16 134 4 301 491

    engineering

    plant and machinery

    vehicles other non-current

    fixed asstes

    non-current fixed assets under construction

    prepayments for non-current fixed assets under

    total non-current

    fixed assets

    increases (due to)

    65 696

    72 286

    132 578

    12 219

    1 498

    218 165

    9 551

    511 993

    - purchase

    -

    13 789

    3 988

    10 780

    1 189

    217 516

    9 551

    256 813

    - transfers

    -

    46 322

    128 572

    454

    304

    649

    -

    176 301

    - other

    65 696

    12 175

    18

    985

    5

    -

    -

    78 879

    reductions (due to)

    (159)

    (9 109)

    (2 966)

    (9 132)

    (321)

    (175 573)

    (29)

    (197 289)

    - sale and liquidation

    (90)

    (1 798)

    (2 390)

    (8 920)

    (321)

    -

    -

    (13 519)

    - other

    (69)

    (7 311)

    (576)

    (212)

    -

    -

    699

    (7 469)

    - transfers

    -

    -

    -

    -

    -

    (175 573)

    (728)

    (176 301)

    - current period depreciation

    (8 630)

    (61 110)

    (93 018)

    (8 193)

    (468)

    -

    -

    (171 419)

    - reductions (due to)

    (884)

    1 325

    1 944

    6 342

    289

    -

    -

    9 016

    - sale and liquidation

    -

    1 345

    1 945

    6 189

    289

    -

    -

    9 768

    - other

    (884)

    (20)

    (1)

    153

    -

    -

    -

    (752)

    Cumulative depreciation at end of period

    (41 387)

    (324 999)

    (738 577)

    (11 808)

    1 117

    (108)

    -

    (1 115 762)

    Impairment losses at beginning of period

    -

    (9 824)

    (14 603)

    -

    (5)

    (50 608)

    -

    (75 040)

    Gross value of non-current fixed assets at end of period 261 341 1 367 260 2 707 545 27 207 945 226 241 25 656 4 616 195

    Cumulative depreciation at beginning of period (31 873) (265 214) (647 503) (9 957) 1 296 (108) - (953 359)

    - increase - (4) - - - - - (4)

    Impairment losses at end of period

    -

    (9 828)

    (14 603)

    -

    (5)

    (50 608)

    -

    (75 044)

    Net value of non-current fixed assets at beginning of period

    163 931

    1 029 045

    1 915 827

    14 163

    1 059

    132 933

    16 134

    3 273 092

    Net value of non-current fixed assets at end of period

    219 954

    1 032 433

    1 954 365

    15 399

    2 057

    175 525

    25 656

    3 425 389

    .

  3. Right-of-use assets

    Right-of-use assets under lease

    30.06.2025

    31.12.2024

    Land

    222 088

    222 083

    Building, premises and civil and water engineering

    18 260

    20 193

    Plant and machinery

    117

    14 228

    Vehicles

    11 555

    14 343

    Total

    252 020

    270 847

  4. Intangible Assets

    A review of the intangible assets of the Company performed as at 30 June 2025 showed no grounds for performing an impairment test.

  5. Goodwill

    As at 30 June 2025, goodwill amounts to PLN 86 million and includes the following segments and cash generating centers:

    • PLN 25 million - distribution - including the companies Polenergia Dystrybucja and Polenergia Kogeneracja;

    • PLN 44 million - trading and sales - including the company Polenergia Obrót;

    • PLN 17 million - trading and sales - including the companies Polenergia Fotowoltaika, Polenergia Pompy Ciepła and Zielony Ryś ("Photovoltaics Group").

      Based on the financial results for the first half of 2025, indications have been found requiring an impairment test of the Polenergia Fotowoltaika S.A. asset, due to the failure to meet the sales targets.

      In view of the results of the first half of 2025, a review of market assumptions was performed concerning the demand for products and services offered in the consumer, business and corporate segments. On this basis, an updated cash flow plan was prepared for the time horizon until the end of 2029, which formed the basis for the asset impairment test. The test was conducted based on the present value of estimated cash flows from operations and residual value, with the following assumptions:

    • inflation level in line with the forecast of the National Bank of Poland published on 4 July 2025;

    • stabilization of sales of products and services in the B2C segment - average annual sales of installations with a total capacity of 8.8 MW were assumed;

    • stabilization of sales of products and services in the B2B segment of small and medium-sized enterprises - average annual sales of installations with a total capacity of 8.3 MW were assumed;

    • development of sales of products and services in the large enterprise segment (corporate segment) - a 28% average annual growth in sales of installations was assumed to reach 40MW in the final year of the projection;

    • continued growth in the volume of customer installation servicing and auditing services due to the growing customer base available for the sale of this type of service - an 8% average annual growth in the volume of services sold was assumed to reach 18,000 in the final year of the projection;

    • decline in direct margins on the sale of products and services resulting from increasing competition, - it was assumed that the gross margin (before operating costs) would gradually drop down to 40% in the last year of the projection;

    • moderate growth in operating costs keeping pace with inflation and the scale of the business -it was assumed that over the projection horizon the average annual cost-to-revenue ratio would be around 38%.

      The discount rate of 12.3% applied to determine the recoverable value was established based on the standard formula for the weighted average cost of capital (WACC), based on the assumptions provided by an external advisor and the Group's internal data. The growth rate for extrapolating cash flow projections beyond the five-year projection period was assumed at 0%.

      As at 30 June 2025, the carrying value of tested assets (before applying the results of the test) amounted to PLN 105.6 million, of which PLN 88.2 million was goodwill. The test performed as at 30 June 2025 showed an asset impairment of PLN 70.5 million. The impairment was charged directly to the goodwill reducing it.

      Based on the available projections, sensitivity tests have been performed. The testing found that the value in use of the assets under test is primarily affected by changes in the discount rate and changes in sales volumes of PV installations in the individual customer, B2B SME and corporate segments. According to the Management Board's estimates, an increase in the weighted average cost of capital by 1 p.p would result in a PLN 2 million increase in asset impairment. In contrast, a 1% reduction in segment sales would increase asset impairment by PLN 6 million.

  6. Fixed assets impairment test

    With regard to Polenergia H2HUB Nowa Sarzyna sp. z o.o., a decision was made to make a PLN 21 million impairment charge related to the review of strategic options in the area of hydrogen business. Such decision is the outcome of the current assessment of the dynamics of the green hydrogen market and the investment risk profile of that particular project.

    Due to the fact that it is a project in development thus not generating any positive cash flows and the prospects for it to become operational are subject to high risk, it was decided to write down the value of non-financial fixed assets in the amount of the expenditures incurred on this project to date.

  7. Impairment test of financial assets measured with the equity method

    In its consolidated financial statements for 2024, the Company reported that due to the strategic nature of offshore wind farm projects and their crucial implementation phase, the Management Board decided to perform impairment tests for these projects at least once per financial year until construction is completed.

    Accordingly, an impairment test will be prepared at the end of the year, and relevant disclosures regarding the results of these tests will be included in the 2025 annual consolidated financial statements. As at 30 June 2025, no indication for impairment testing has been identified.

  8. Short term receivables

    30.06.2025

    31.12.2024

    - trade receivables

    248 817

    251 041

    - from related entities

    23 993

    38 982

    - from ather entities

    224 824

    212 059

    - income tax receivable

    237

    3 501

    - other receivables

    169 815

    141 010

    - budget payments receivable

    17 648

    22 425

    - other

    152 167

    118 585

    Total net short-term receivables

    418 869

    395 552

    - receivables remeasured write-downs

    35 896

    42 919

    Total gross short-term receivables

    454 765

    438 471

    Below is a classification of trade receivables as per individual impairment model stages:

    Total

    Step 2

    Step 3

    Gross value as at 1.01.2025

    293 960

    207 994

    85 966

    Arisen

    205 265

    205 265

    -

    Paid

    (214 511)

    (208 834)

    (5 676)

    Gross value as at 30.06.2025

    284 714

    204 425

    80 290

    The payment default rates and the calculation of credit losses as at 30 June 2025 have been presented in the table below:

    30.06.2025

    71 883

    67 174

    664

    420

    3 625

    Expected credit losses

    11 435

    2 960

    -

    -

    8 475

    31.12.2024

    75 983

    69 743

    2 187

    854

    3 199

    Expected credit losses

    18 458

    9 910

    -

    -

    8 548

    Total

    Receivables from individual customers

    Current 30-60 60-90

    0-30 days days days

    >90 days

    Total

    Receivables from corporate customers

    Current 30-60 60-90

    0-30 days days days

    >90 days

    30.06.2025

    176 935

    132 170

    3 385

    612

    40 768

    Expected credit losses

    24 462

    13 214

    -

    -

    11 248

    31.12.2024

    175 058

    135 134

    42

    34

    39 848

    Expected credit losses

    24 462

    13 214

    -

    -

    11 248

  9. Fair values of assets and liabilities Futures and forward contracts at fair value through profit or loss

    In the context of the operations of the subsidiary Polenergia Obrót S.A., the Group classifies futures and forward contracts to buy or sell electricity as derivatives, in line with IFRS 9 - Financial Instruments. Accordingly, such contracts are measured at fair value, with changes in fair value recognized under the profit and loss account. Gains or losses on the measurement of contracts are disclosed on a net basis under revenue. Measurement is performed with respect to the outstanding part of the contracts broken down into a current portion to be completed within 12 months from the reporting date, and a long term portion to be completed in subsequent years.

    The table below includes information on financial assets and liabilities related to forward contracts measurement that the Group measures at fair value and classifies at specific levels of the fair value hierarchy:

    • Level 2 - assets and liabilities measurement inputs other than quoted market prices included under Level 1 that are observable for the variables from active markets,

      Level 2: Fair value is determined on the basis of other directly or indirectly observable data (in the case of products for a duration of less than one month, the determination of the price is made mainly by granulating the quotation of the monthly product based on historical data of the month's structure). As similar contracts are traded in an active market, the prices reflect results of actual transactions in similar derivative instruments. The fair value of loans is determined at amortized cost i.e. the discounted cash flow analysis at the assumed effective interest rate as a discount rate.

      Forward contracts are entered into on stock exchanges for speculative purposes and measured with the model using market parameters, i.e. the market price of an instrument discounted using relevant interest rates. The impact of applying unobserved data, if any, was immaterial to the measurement of derivatives (level 2).

      For 6 months ended

      30.06.2025

      30.06.2024

      Result of measurement of derivatives

      (1 516)

      4 451

      Financial instrument category

      30.06.2025

      Total

      Level 2

      Total

      Short term assets

      87 195

      87 195

      Long term assets

      11 511

      11 511

      Total

      98 706

      98 706

      Level 2

      Total

      Short term liabilities

      79 701

      79 701

      Long term liabilities

      7 485

      7 485

      Total

      87 186

      87 186

      Net fair value

      11 520

      11 520

      Impact on profit/loss

      30.06.2025

      30.06.2024

      Market price increase by 1%

      (10)

      8

      Market price decrease by 1%

      10

      (8)

      Measurement of the fair value of speculative futures contracts, i.e., futures contracts with an open position, amounted to PLN -8 thousand as at the reporting date.

      Derivatives measured at fair value through profit or loss

      Polenergia S.A. hedged a currency risk associated with equity contributions to its offshore wind farm projects. This risk has largely been hedged by the currency conversion of own funds which will be used to finance offshore wind farm projects that incur a significant portion of their expenses in EUR. In order to hedge the above risk, the company bought 123,793 thousand EUR at an average exchange rate of ca. 4.2455.

      Maturity date of hedging instrument Hedged value Exchange rate hedged Instrument

      2025-2028

      123 793 EUR

      4,2455

      cash

      Total 123 793 EUR

      Derivatives measured at fair value through other comprehensive income

      As at 30 June 2025 the Group recognized PLN -54,804 thousand in other comprehensive income being a component of equity (30 June 2024: PLN 15.544 thousand) on account of the effective portion of the assessment of the hedging instrument to the fair value.

      Hedging transactions are entered into with a view to mitigate the impact of:

    • interest rate variation on the amount of the future highly probable payments of loan installments.

    • foreign exchange rates changes on the amount of the future highly probable foreign currency denominated payments under the investment agreements.

      Hedge accounting seeks to eliminate the risk of an accounting mismatch between the time when gains or losses on a hedging instrument and those on the hedged item are recognized.

      As at 30 June 2025 the Group held the following hedging instruments for cash flow hedge accounting purposes:

      Interest rate risk hedges

      Maturity date of hedging instrument Hedged value Interest rate hedged Instrument

      29.09.2025

      6 174

      0,52%

      IRS

      29.06.2026

      7 099

      0,56%

      IRS

      15.12.2027

      64 407

      0,75%

      IRS

      29.03.2028

      86 542

      0,79%

      IRS

      18.12.2028

      58 650

      5,19%

      IRS

      25.09.2029

      60 196

      4,42%

      IRS

      16.10.2029

      564 000

      4,91%

      IRS

      17.12.2029

      19 200

      4,98%

      IRS

      21.01.2030

      565 000

      4,86%

      IRS

      22.12.2031

      7 764

      2,60%

      IRS

      21.06.2033

      6 200

      5,67%

      IRS

      12.12.2033

      18 860

      6,71%

      IRS

      12.12.2033

      18 860

      6,71%

      IRS

      13.03.2034

      105 978

      6,65%

      IRS

      30.06.2034

      10 285

      0,89%

      IRS

      11.06.2035

      122 750

      1,10%

      IRS

      10.09.2035

      368 755

      1,20%

      IRS

      31.12.2035

      15 653

      2,39%

      IRS

      11.03.2036

      95 522

      2,22%

      IRS

      Total

      2 201 895

      Fair values of other financial assets and liabilities

      Fair value of other financial assets and liabilities enumerated below is not materially different from their carrying amount:

    • long term receivables,

    • trade debtors and other receivables.

    • cash and equivalent,

    • bank loans and borrowings,

    • trade creditors and other payables.

      Carrying amount Fair Value

      Category

      30.06.2025

      31.12.2024

      30.06.2025

      31.12.2024

      Financial asstes

      Futures and forward contracts

      Level 2

      98 706

      111 005

      98 706

      111 005

      Derivative instruments

      Level 2

      102 408

      133 862

      102 408

      133 862

      Financial liabilities

      Bonds

      n/a

      762 285

      763 352

      762 285

      763 352

      Bank loans

      n/a

      2 126 286

      1 341 037

      2 126 286

      1 341 037

      Derivative instruments

      Level 2

      60 404

      20 053

      60 404

      20 053

      Futures and froward contracts

      Level 2

      87 186

      100 906

      87 186

      100 906

  10. Significant shareholders

    Shareholders holding 5% or more of the total number of shares as at the date of issue of these consolidated financial statements include:

    No Shareholder

    Number of shares

    held

    Number of votes

    Shareholding

    1 Mansa Investments Sp. z o.o. *)

    33 168 900

    33 168 900

    42,95%

    2 BIF IV Europe Holdings Limited

    24 738 738

    24 738 738

    32,04%

    3 Allianz Polska OFE

    6 045 142

    6 045 142

    7,83%

    4 Nationale-Nederlanden OFE

    4 571 000

    4 571 000

    5,92%

    5 Others

    8 695 133

    8 695 133

    11,26%

    Total

    77 218 913

    77 218 913

    100%

    *) Kulczyk Holding S.à r.l. effectively holds 100 % of shares in Mansa Investments Sp. z o.o.

  11. Dividends distributed and proposed

    No dividend was distributed by the parent in the 6-month period ended 30 June 2025. No dividend is intended to be distributed by the parent in 2025.

  12. Income tax

    For 6 months e

    30.06.2025

    nded

    30.06.2024

    For 3 months e

    30.06.2025

    nded

    30.06.2024

    Current income tax 37 851

    52 635

    17 299

    19 190

    Current income tax charge

    38 238

    52 427

    17 258

    19 185

    Adjustments to prior years current income tax

    (387)

    208

    41

    5

    Deffered income tax

    11 452

    2 812

    19 673

    1 528

    Related to temporary differences and their reversal

    11 452

    2 812

    19 673

    1 528

    Income tax charged to the profit and loss account

    49 303

    55 447

    36 972

    20 718

    Balance sheet

    Profit and loss

    account

    Capital

    Balance sheet

    Deferred income tax

    01.01.2025

    30.06.2025

    Deferred income tax provision

    Tangible fixed assets

    150 173

    10 950

    -

    161 123

    Intangible assets

    8

    7

    -

    15

    Receivables

    27 776

    884

    (5 186)

    23 474

    Cash

    46

    (2)

    -

    44

    Loans and borrowings

    2 338

    430

    -

    2 768

    Prepayments

    6 600

    956

    -

    7 556

    Liabilities

    (4 009)

    27

    -

    (3 982)

    Other

    (4 049)

    (490)

    -

    (4 539)

    Inventories

    9 042

    (226)

    -

    8 816

    Deferred income tax provision before tax

    187 925

    12 536

    (5 186)

    195 275

    Compensation

    (94 998)

    Deferred income tax provision

    100 277

    Deferred income tax assets

    Tangible fixed assets

    1 492

    190

    -

    1 682

    Inventories

    342

    (130)

    -

    212

    Receivables

    11 082

    49

    -

    11 131

    Cash

    554

    701

    -

    1 255

    Loans and borrowings

    3 495

    (2 017)

    -

    1 478

    Liabilities

    41 203

    4 400

    7 853

    53 456

    Provisions

    41 215

    (4 179)

    -

    37 036

    Retained assets

    12 558

    1 615

    -

    14 173

    Prepayments

    11 698

    (317)

    -

    11 381

    Financial assets

    10

    772

    -

    782

    Deferred income tax asset

    123 649

    1 084

    7 853

    132 586

    Compensation

    (94 998)

    Deferred income tax assets

    37 588

    Deferred income tax expense

    11 452

    Net deferred tax (assets)/provision

    64 276

    (13 039)

    62 689

    The temporary difference related to tangible fixed assets and intangible assets follows from the assets measured due to the purchase price allocation and accelerated tax depreciation/amortization.

    For 6 months ended

    30.06.2025

    30.06.2024

    Income tax charged to the profit and loss account, including

    49 303

    55 447

    Current tax

    37 851

    52 634

    Deferred tax

    11 452

    2 813

    Profit (Loss) before tax

    9 494

    275 814

    Tax on gross profit at effective tax rate of 19%

    1 804

    52 405

    Adjustments to prior years current income tax

    (352)

    (265)

    Adjustments to prior years differed income tax

    519

    54

    Non-deductible costs:

    47 491

    3 279

    - permanent differences

    18 871

    903

    - temporary difference on which no tax asset/provision is established

    28 620

    2 376

    Non-taxable income:

    (159)

    (26)

    - other

    (159)

    (26)

    Income tax in the profit and loss account

    49 303

    55 447

  13. Provisions

    30.06.2025

    31.12.2024

    Long term provisions

    - pension plan and related provision

    2 473

    2 501

    - dismantling cost

    111 509

    101 002

    - litigation provision

    21 139

    21 139

    Total long term provisions

    135 121

    124 642

    Short term provisions

    - pension plan and related provision

    249

    388

    - accrued holiday leave provision

    9 761

    9 273

    - other provisions

    325

    325

    Total short term provisions

    10 335

    9 986

    Change in long term and short term provisions

    30.06.2025

    31.12.2024

    Provisions at beginning of the period

    134 628

    125 540

    - recognition of provisions

    12 661

    15 746

    - reversal of provisions

    (533)

    (6 146)

    - application provisions

    (1 300)

    (512)

    Provisions at end of the period

    145 456

    134 628

    The long-term provision for litigation originates from the prudent approach to the assessment of the case vs. Eolos Polska Sp. z o.o.

  14. Liabilities

    30.06.2025

    31.12.2024

    - bank loans and borrowings

    228 822

    150 207

    - trade payables

    90 536

    115 773

    - from related entities

    76

    490

    - from other entities

    90 460

    115 283

    - income tax payable

    9 888

    49 216

    - lease liabilities

    33 122

    34 535

    - futures and forward contracts measurement

    79 701

    98 682

    - other liabilities

    204 098

    167 838

    - budget payments receivable

    39 435

    40 239

    - prepayments for deliveries

    120 415

    102 558

    - price difference payment fund

    18 412

    10 345

    - payroll payable

    1 986

    3 860

    - special funds

    1 275

    524

    - for risk hedging

    3 970

    1 739

    - LTC settelment

    12 887

    -

    - other

    5 718

    8 573

    Total short term liabilities

    646 167

    616 251

    30.06.2025

    31.12.2024

    - price difference payment fund

    22 377

    22 297

    - risk hedging

    56 434

    18 314

    - investment liabilities

    -

    1 500

    - prepayments for deliveries

    5 163

    6 894

    Total other long term liabilities

    83 974

    49 005

  15. Bank loans incurred and other borrowing liabilities

    Polenergia Obrót S.A.

    On 9 January 2025, Polenergia Obrót S.A. signed Annex 3 to the facility agreement concluded on 10 November 2021 with Deutsche Bank Polska S.A. ("Deutsche Bank"), pursuant to which Deutsche Bank provided the company with an overdraft limit and a limit for bank guarantees in the total amount of PLN 200,000 thousand. The annex provided for the change of the final repayment date of the facility, extending its availability until 7 January 2028, subject to Deutsche Bank's unilateral option not to extend it until the aforementioned date, after each ended 12-month period following the date of the aforementioned annex. Some of the commission values and margins charged on the utilization of the facility also changed.

    Polenergia S.A.

    On 21 January 2025, Polenergia S.A. made a drawdown of the loan granted to it under the loan agreement entered into on18 December 2024 with Bank Gospodarstwa Krajowego (BGK) under the National Recovery and Resilience Plan (KPO). The drawdown was made in the amount of PLN 750,000 thousand and fully exhausted the limit available under the aforementioned loan agreement.

    On 18 February 2025, Polenergia S.A. entered into a new revolving credit facility agreement with Bank Polska Kasa Opieki S.A. and BNP Paribas Bank Polska S.A. ("RCF 2025") with the amount of a limit being PLN 300,000 thousand with a final repayment date of 5 June 2025. The repayment of the facility is secured by a registered pledge and financial pledge on the company's bank accounts, a power of attorney regarding such accounts and a statement of submission to enforcement. The interest rate on the loan is based on the relevant WIBOR rate plus a margin. Concurrently, the company canceled the revolving credit facility in the same limit amount, i.e. PLN 300,000 thousand ("RCF 2023"), granted to it on 5 June 2023 by Bank Polska Kasa Opieki S.A. and Santander Bank Polska S.A. RCF 2025 was provided to repay debt on the canceled RCF 2023 loan and to finance ongoing operations. On 6 May 2025, the amount of the RCF 2025 limit was increased by an additional tranche of PLN 200,000 thousand which can be utilized after the PLN 300,000 thousand tranche is fully drawn down.

    Talia Sp. z o.o.

    On 31 March 2025, Talia sp. z o.o. fully repaid the investment loan granted by a syndicate of banks: mBank S.A., PKO Bank Polski and Santander Bank Polska S.A. on 1 June 2010 to finance the construction of the Modlikowice Wind Farm.

    Amon Sp. z o.o. and Talia Sp. z o.o.

    On 27 June 2025, Amon Sp. z o.o. ("Amon") and Talia Sp. z o.o. ("Talia") signed loan agreements with Bank PEKAO S.A. to refinance wind farm projects in operation in Łukaszów and Modlikowice, respectively, and to refinance Amon's debt. The amount of the loan granted to Amon was PLN 109,500 thousand of term loan and PLN 7,500 thousand of DSR, while for Talia it was, respectively PLN 68,000 thousand of term loan and PLN 5,000 thousand of DSR. The amount of Amon's debt to be refinanced from the term loan amounted to PLN 12,457 thousand as at the reporting date. The interest rate on the loans is based on the relevant WIBOR rate plus margin. The loan is secured by pledges on shares in Amon and Talia, pledges on accounts and assets of the companies, transfers of receivables from the documents of the two projects, direct agreements, subordination agreements and statements of of submission to enforcement. The final repayment date of both loans is 30 May 2035.

  16. Guarantees and sureties granted

    PCGs issued by Polenergia S.A. ("POLSA") as collateral for obligations under contracts entered into by MFW Bałtyk II Sp. z o.o. and MFW Bałtyk III Sp. z o.o. in which it holds a 50% stake:

    In view of the fact that the offshore companies Bałtyk II Sp. z o.o. and Bałtyk III Sp. z o.o. have secured financing for the construction of offshore wind farms Bałtyk II and Bałtyk III, all guarantees securing obligations under the implementation contracts have expired - the last one on 28 May 2025, as confirmed by the companies by way of sending Bank Confirmation Letters to their contracting parties confirming the obtaining of financing.

  17. Litigation and disputes

Amon sp. z o.o. and Talia sp. z o.o.- each company acting separately filed a claim for rendering ineffective the statements of termination by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o (a company operating within the Tauron Group) of the contracts for the sale of proprietary rights incorporated in certificates of origin for electricity generated in renewable energy sources − wind farms located in Łukaszów (Amon) and Modlikowice (Talia) and the agreements on sale of electricity generated in the a/m wind farms.

Both companies obtained favorable partial and preliminary judgments upholding the claim in the part regarding the ineffectiveness of the statements of termination by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. of the contracts in dispute. The judgments were challenged on appeal.

On 20 December 2021 the Court of Appeals in Gdansk announced a judgment in a case brought by Talia sp. z o.o. against Polska Energia - Pierwsza Kompania Handlowa sp. z o.o., dismissing the appeal filed by the above company in its entirety. On 16 August 2022, Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. filed a cassation appeal. On 17 November 2022, the Court of Appeal in Gdańsk issued a judgment in the case instituted by Amon sp. z o.o. against Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. in which the entire appeal filed by the latter company was dismissed. On 12 June 2023 Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. filed a cassation appeal. Both cassation appeals were accepted for examination by the Supreme Court.

On 31 March 2023, Amon sp. z o.o. received a pleading from Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. in the proceedings instituted by Amon sp. z o.o. against Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. covering further claims of Amon sp. z o.o. arising from the non-performance of the abovementioned contracts by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o., pending before the Regional Court in Gdańsk, by which pleading Polska Energia - Pierwsza Kompania Handlowa included a counterclaim demanding the award of PLN 61,576 thousand from Amon so. z o.o. with statutory default interest, split as follows: (i) on the amount of PLN 55,691 thousand -since 31 March 2023 until the date of payment, (ii) on the amount of PLN 5,884 thousand - since the day immediately following the date of direct delivery of a copy of the counterclaim to the counsel of Amon sp. z o.o.

The amount of PLN 55,691 thousand represents liquidated damages demanded by Polska Energia -Pierwsza Kompania Handlowa sp. z o.o. allegedly on the basis of Art. 8 sec. 1 of the Agreement for the Sale of proprietary interest resulting from certificates of origin evidencing the generation of electricity in a renewable energy source - the Łukaszów Wind Farm, entered into on 23 December 2009 by Amon sp. z o.o. with Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. and resulting allegedly from Amon's failure to meet the quantities of proprietary interest to be transferred in individual months commencing August 2019.

The amount of PLN 5,884 thousand, in turn, represents compensation claimed by Polska Energia -Pierwsza Kompania Handlowa for Amon's alleged failure to perform, in the period from 18 November 2022 to 31 December 2022, under the agreement for the sale of electricity generated at the Renewable Energy Source - the Łukaszów Wind Farm entered into by Amon sp. z o.o. with Polska Energia -Pierwsza Kompania Handlowa sp. z o.o. on 23 December 2009.

On 16 May 2023, the Regional Court in Gdańsk served Amon sp. z o.o. a ruling dated 2 May 2023, which left the counterclaim of Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. without proceeding any further. The basis for the order in question issued by the Regional Court in Gdańsk is

Article 204 sec. 1, second sentence of the Code of Civil Procedure, which stipulates that a counterclaim may be brought no later than in a statement of defense.

On 23 December, 2024, the Regional Court in Warsaw served Talia sp. z o.o. with a copy of the statement of claim by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. for payment of the amount of PLN 75,334 thousand with default interest calculated as follows: (i) on the amount of PLN 41,860 thousand - since 8 September 2023 until the date of payment, (ii) on the amount of PLN 33,474 thousand - since the day immediately following the date of delivery of a copy of the claim to Talia until the date of payment.

The amount of PLN 41,860 thousand represents liquidated damages demanded by Polska Energia -Pierwsza Kompania Handlowa sp. z o.o. allegedly on the basis of Art. 8 sec. 1 of the Agreement for the sale of proprietary interest resulting from certificates of origin evidencing the generation of electricity in a renewable energy source - the Modlikowice Wind Farm, entered into on 23 December 2009 by Talia sp. z o.o. with Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. and resulting allegedly from Talia's failure to meet the quantities of proprietary interest to be transferred in individual months commencing August 2019.

The amount of PLN 33,474 thousand, in turn, represents compensation claimed by Polska Energia -Pierwsza Kompania Handlowa for Talia 's alleged failure to perform, in the period since 21 December 2021 until 30 April 2023, under the Agreement for the sale of electricity generated at the Renewable Energy Source - the Modlikowice Wind Farm entered into by Talia sp. z o.o. with Polska Energia -Pierwsza Kompania Handlowa on 23 December 2009.

On 28 December 2023 Amon sp. z o.o. filed a second change of the claim against Polska Energia -Pierwsza Kompania Handlowa sp. z o.o. with the District Court in Gdańsk, in connection with the ineffective termination and non-performance by Polska Energia - Pierwsza Kompania Handlowa sp. z

o.o. of long-term contracts for the sale of energy and property rights concluded by Polska Energia -Pierwsza Kompania Handlowa sp. z o.o. with Amon sp. z o.o. By virtue of the aforementioned change of claim, Amon sp. z o.o., in addition to the amounts claimed so far, demands payment of the amount of PLN 18,297 thousand as compensation for failure to perform the aforementioned agreements during their further term.

On 28 December 2023 Talia sp. z o.o. filed a fifth change to the claim against Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. with the Regional Court in Gdańsk, in connection with the ineffective termination and non-performance by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. of longterm contracts for the sale of energy and proprietary rights entered into by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. with Talia sp. z o.o. By virtue of the above change of the claim, Talia, in addition to the amounts claimed so far, seeks payment of the amount of PLN 12,075 thousand as compensation for non-performance of the aforementioned contracts during their further term.

Amon sp. z o.o. and Talia sp. z o.o. brought an action for damages claims against Tauron Polska Energia

S.A. The tort liability for damages of Tauron Polska Energia S.A. is based on the cessation of performance by Polska Energia- Pierwsza Kompania Handlowa sp. z o.o., - a subsidiary of Tauron Polska Energia S.A., of long-term agreements for the sale of electricity generated from renewable sources and long-term agreements for the sale of property rights resulting from certificates of origin confirming the production of electricity from renewable sources, entered into with Amon sp. z o.o. and Talia sp. z o.o.

On 28 December 2023, Amon sp. z o.o. and Talia sp. z o.o. filed a second change of the claim with the Regional Court in Katowice against Tauron Polska Energia S.A. covering Amon's and Talia's claims for damages arising after 30 June 2020. Pursuant to the change in question, the claims for damages with interest increased by PLN 29,668 thousand for Amon sp. z o.o., and by PLN 19,277 thousand for Talia sp. z o.o.

On 28 April 2025, Amon sp. z o.o. and Talia sp. z o.o. entered into a settlement agreement with Tauron Polska Energia S.A. and Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. The major purpose of the settlements is to amicably end all litigation pending between Amon sp. z o.o. and Talia sp. z o.o. on the one hand, and Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. on the other, and between Amon and Talia and Tauron Polska Energia sp. z o.o.

As a result of the settlements, all litigation pending both instituted by Amon sp. z o.o. and Talia sp. z

o.o. against Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. and by Polska Energia - Pierwsza Kompania Handlowa sp. z o.o. against Amon sp. z o.o. and Talia sp. z o.o. is currently being concluded,