Valartis Group AgSIX: VLRT

26.08.2025 Half-Year Report 2025

Aug 26, 2025 at 5:04 AM UTC · Issued by Valartis Group Ag

HALF-YEAR REPORT

2025

KEY FIGURES

in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Total operating income	7,089	7,137
Income from management services	1,298	1,368
Income from investment property	2,132	1,728
Share of results of associated companies	1,633	3,988
Other income	2,026	53
Administrative expense	-4,064	-3,879
Personnel expense	-2,295	-2,143
General expense	-1,769	-1,736
Earnings before depreciation, valuation adjustments, provisions, interest and taxes	3,025	3,258
Depreciation, valuation adjustments and provisions	196	924
Earnings before interest and taxes (EBIT)	3,221	4,182
Finance result, net (financial income, financial expense, market value adjustment)	5,545	4,315
Net result from continued operations before taxes	8,766	8,497
Taxes	-166	97
Net result from continued operations	8,600	8,594
Net result from discontinued operations	-	-
Net result	8,600	8,594
attributable to shareholders of Valartis Group AG	8,582	7,171
attributable to non-controlling interests	18	1,423

in CHF 1,000	30.06.2025	31.12.2024
Total assets	140,077	139,170
Current assets	39,503	53,478
Non-current assets	100,574	85,692
Non-current assets classified as held for sale	-	-
Total liabilities	38,484	48,185
Current liabilities	35,721	45,290
Non-current liabilities	2,763	2,895
Total shareholders' equity (including non-controlling interests)	101,593	90,985
Equity capital quota, in per cent	72.5	65.4
Staff (full-time equivalents, FTE)	33.8	36.1
Outstanding Shares (Nominal CHF 1.00 per share)	3,023,295	3,023,295
Closing price of VLRT share, in CHF	12.00	12.50
Equity of Shareholders per share, in CHF	36.03	32.30

CONTENTS

5 Management Report

7 Valartis Group

CONSOLIDATED FINANCIAL STATEMENTS

10 Consolidated Income Statement

11 Consolidated Statement of Comprehensive Income

12 Consolidated Statement of Financial Position

14 Consolidated Statement of Changes in Equity

16 Consolidated Cash Flow Statement

NOTES

20 Notes to the Consolidated Financial Statements

21 Notes to the Consolidated Income Statement

24 Notes to the Consolidated Statement of Financial Position

31 Additional Information

Events after the balance sheet date
Addresses and imprint

Legal notice

This interim report is for information purposes only. Due to their nature, statements about future developments involve general and specific risks and uncertainties. In this context, it should be noted that forecasts, projections and results described or implied in forward-looking statements are not accurate.

Notes on the figures

The amounts shown in the figures are rounded. The total may therefore differ from the sum of the individual values.

MANAGEMENT REPORT

BUSINESS PERFORMANCE AND

ECONOMIC SITUATION OF VALARTIS

The operating business developed in line with previous year comparative period. Valartis Group reported a half-year gain of CHF 8.6 million in line with previous half-year net gain of CHF 8.6 million. The operating income remained at similar level compared to the previous year, while administrative expenses raised by 5 per cent. The half-year EBITDA amounted to a profit of CHF 3.0 million (previous half-year: CHF 3.3 million).

The financial income, set at CHF 11.9 million, included a foreign exchange gain of CHF 5.8 million primarily recognised on the investment property and non-current receivables. The financial expenses incurred amounted to CHF 6.3 million, mainly due to the termination of a derivative contract. However, this was compensated by an equivalent gain following the successful renegotiation of an external investment facility and recognised under the financial income. The net finance result amounted to a gain of CHF 5.5 million.

The associated company Norinvest Holding (Banque Cramer & Cie SA) was impacted by lower lending and corporate finance activity levels in the context of shrinking interest rates and geo-political changes. The company positively contributed in the first half of 2025 to the Group's profit and this performance is also reflected in the company's commitment to returning value to its investors and the related dividend distribution.

In the shipping sector, daily charter rates remained steady in the multipurpose (MPP) segment and continued to trend upward in the container ship segment, resulting in a gradual and positive impact on the profitability of our joint-venture companies. The sustained growth in demand for versatile and efficient ships, capable of handling a wide variety of cargo types, underscores a robust and resilient market environment. During the first half of 2025, the Group acquired a 50 per cent stake in a second-hand heavy-lift multipurpose vessel. In parallel, the Group continued to invest in the construction of a new mid-size multipurpose vessel. These strategic investments position the Group to capture favourable returns, supported by the ongoing and increasing global need for adaptable and reliable maritime logistics solutions.

The ENR Group was positively impacted by the ruble appreciation against the Swiss franc during the reporting period, which resulted in a net gain in CHF terms. Kaluga Flower Holding locally produces flowers substitute of imported flowers. It supplies a large customer base on a regular basis. Greenhouses are operating at full capacity with 25.1 hectares in productive use. Flower growing, cutting and sales remain solid while economic environment and high financing costs remain challenging. The Investment

property business vacancies in office and retail area remain at minimal levels.

EPH European Property Holdings PLC (EPH)'s portfolio continued to perform in line with expectations. In addition to dedicated asset management, Valartis accompanied the company in its ESG strategy increasingly relevant for maintaining competitiveness, attracting major international tenants, and securing financing from banks. Through focused asset management and strategic guidance, Valartis Group is supporting the ongoing development of Company's portfolio. The five-star hotel Trois Couronnes in Vevey has entered its re-development phase, with Valartis overseeing the refurbishment in collaboration with a team of architects and specialists. In addition, Valartis is assisting EPH in its selective growth strategy by identifying and evaluating prime office and hotel properties in key European locations to further enhance EPH's portfolio.

As of 30 June 2025, Valartis Group employed a total of 33.8 full-time equivalent employees in operations (31 December 2024: 36.1 employees).

FINANCIAL SITUATION

The consolidated shareholders' equity amounts to CHF 101.6 million as of 30 June 2025 (31 December 2024: CHF 91.0 million). This corresponds to an equity ratio, i.e. total equity in per cent of balance sheet total, of 72.5 per cent (31 December 2024: 65.4 per cent). Equity increased comparing 30 June 2025 with 31 December 2024 mainly thanks to the net gain for the first semester 2025 and the foreign exchange translation differences beside smaller minor effects.

During the first half year 2025, the net cash outflow from operating activities amounted to CHF 1.2 million. The net cash used in Investment activities represented CHF 3.2 million and was mainly influenced by investments in the shipping sector. The net cash used in financing activities represented CHF 0.3 million. Net cash and cash equivalents decreased compared to the previous period from CHF 15.1 million at the end of 2024 to CHF 10.5 million by mid-2025. Trading portfolio assets, held for short-term cash management purposes, slightly decreased to CHF 9.7 million compared to the situation as of 31 December 2024 (CHF 11.5 million).

BUSINESS DEVELOPMENT IN THE FIRST HALF OF 2025

Income statement

Valartis Group AG reported a total operating income of CHF 7.1 million in the first half-year 2025 in line with first half of 2024. The EBITDA amounted to CHF 3.0 million versus CHF 3.3 million for the first six months of previous year. The net result for the first six months of 2025 amounted to a net gain of CHF 8.6 million and was similar to the net gain for half-year 2024 of CHF 8.6 million. The net result for the first six months of 2025 was mainly influenced by positive foreign exchange effect on the Investment property and non-current receivables as well as a gain following the liquidation of a group company. However, these positive effects were offset by a lower contribution of associated companies compared to the previous year comparative period.

Income from Management Services remained stable to CHF 1.3 million compared to the previous half-year reflecting stable advisory activities.

Income from investment property, CHF 2.1 million compared to CHF 1.7 million during the previous half-year, was essentially related to the rental income, which increased by 21 percent in base currency.

The result of associated companies, a gain of CHF 1.6 million compared to a gain of CHF 4.0 million during the previous half-year was driven by the Valartis Group stake in Norinvest Holding SA, which is valued higher by CHF 1.0 million than in the previous year comparative period thanks to the favourable result of Banque Cramer and an income of CHF 0.6 million was generated by our shipping investments.

In March 2025, the Group liquidated one of its subsidiary releasing a liability of CHF 2.0 million, which was recognised over the current half-year period.

Operating expenses rose by 5 per cent to CHF 4.1 million from CHF 3.9 million driven mainly by personnel expenses as well as advisory and legal costs.

As at 30 June 2025, the net finance result has increased compared to the previous period, with a net gain of CHF 5.5 million, up from CHF 4.3 million for the first six months of 2024. The financial income, set at CHF 11.9 million, included a foreign exchange gain of CHF 5.8 million primarily on the investment property and non-current receivables. The financial expenses incurred amounted to CHF 6.3 million, mainly due to the termination of a derivative contract. However, this was compensated by an equivalent gain following the successful renegotiation of an external investment facility and recognised under the financial income.

Balance sheet

Valartis Group reported equity of CHF 101.6 million as at 30 June 2025 in accordance with IFRS, CHF 10.6 million higher than at 31 December 2024 (CHF 91.0 million). Current assets decreased to CHF 39.5 million as at 30 June 2025 from CHF 53.5 million as at 31 December 2024 mainly due to the cash investments undertaken in the shipping associates as well to the termination of a derivative contract. During the same period, positive revaluation have increased the non-current assets to CHF 100.6 million from CHF 85.7 million. Over the reporting period, total assets increased by 1 per cent to CHF 140.1 million from CHF 139.2 million.

EXTRAORDINARY EVENTS

Significant events after the balance sheet date

There were no significant events after the balance sheet date.

Segment reporting

Valartis Group has only one single segment and reporting is in accordance with IFRS 8 for the single component of the Group.

OUTLOOK

Expected development of Valartis Group

The Valartis Group continues to focus on successfully developing existing and new profitable, cash-producing activities. The focus of activities in 2025 are oriented toward further investment into the shipping sector with the construction of a new multipurpose ship. The Group will also assess further investment opportunities in the same sector or in domestic real estate projects. The business activities of ENR will remain a challenge in the context of the latest developments in the global economy as well as the sanctions environment with activity restrictions and capital controls. The Group will continue to work closely with EPH European Property Holdings PLC by strengthening its local asset management teams who manage EPH's assets.

In 2025, we have successfully applied our diversified portfolio and risk management practices to adapt to the changing market conditions. This approach has positioned us well to seize new opportunities and mitigate potential risks. We remain committed to our strategy and are confident that our proactive approach will enable us to continue delivering value to our stakeholders. Our experience and expertise in navigating complex environments have allowed us to identify opportunities and capitalise on them, and we are well-positioned to continue to do so in the future.

VALARTIS GROUP

Valartis Groupʼs activities currently include financial services, real estate project management and equity investments. In financial services, Valartis Group concentrates on the comprehensive management of niche funds (investment satellites). As investment advisor, Valartis Group manages the Valartis German Residential Health Care Fund, which was launched exclusively for qualified investors. The fund focuses on the megatrend "Aging" and invests in nursing homes in Germany. Valartis Group assumes various administrative tasks for the fund. For these services, it is compensated with customary market fees. In addition, Valartis Group provides corporate finance advisory services for listed and unlisted medium-sized companies in Germany, Austria and Switzerland. On the real estate side, Valartis Group combines the management of profitable commercial and residential properties with investments in promising development projects. In the case of participations, the focus is on equity participation as a shareholder.

Valartis Group currently has offices in Switzerland (Fribourg, Geneva, Zurich), Luxembourg, Russia (Moscow and St. Petersburg), Germany (Frankfurt am Main and Stuttgart) and Austria (Vienna) with 33.8 employees full-time equivalents as of 30 June 2025 (31 December 2024: 36.1 employees). Valartis Group AG, headquartered in Fribourg, Canton of Fribourg, Switzerland, is the holding company of the Group. The registered shares of Valartis Group AG are listed on the SIX Swiss Exchange (ISIN CH0367427686).

Valartis Group - Operational Structure

BOARD OF DIRECTORS

Gustav Stenbolt, Chairman, Philipp LeibundGut, Vice-Chairman, Olivier Brunisholz, Member, and Diana Stenbolt, Member, were all re-elected to the Board of Directors of Valartis Group AG at the Annual General Meeting 2025.

Organisational chart

Executive Management

Gustav Stenbolt, Delegate of the Board of Directors

Business Development

Gustav Stenbolt Philipp LeibundGut

Compensation Committee

Philipp LeibundGut, Chairman Gustav Stenbolt, Member Olivier Brunisholz, Member Diana Stenbolt, Member

Board of Directors

Gustav Stenbolt, Chairman

Philipp LeibundGut, Vice-Chairman Olivier Brunisholz, Member

Diana Stenbolt, Member

Service Organisation

Accounting & Controlling IT & Logistics

Corporate Communications

Front Organisation

Real Estate Project & Asset Management

Real Estates Funds & Property Private Equity

Corporate Finance

Valartis Group employs a total of 33.8 people (full-time equivalent).

100%

Valartis Property Holdings Ltd

BVI

99.8%

ENR

Invest SA

Geneva

29.2%

Norinvest Holding SA

Geneva

100%

Valartis Advisory Services SA

Geneva/Zurich

100%

Valartis International Ltd

BVI

100%

Valartis AG

Fribourg

Valartis Group AG

Fribourg

100%

VLR Austria

Vienna

100%

VLR Germany Frankfurt am Main

VALARTIS GROUP

CONSOLIDATED FINANCIAL STATEMENTS

CONSOLIDATED INCOME STATEMENT

in CHF 1,000	Note	1.1.-30.06.2025	1.1.-30.06.2024
Income from management services	1	1,298	1,368
Income from investment property		2,132	1,728
Share of results of associated companies	2	1,633	3,988
Other income	3	2,026	53
Total operating income		7,089	7,137
Personnel expenses	4	-2,295	-2,143
General expenses	5	-1,769	-1,736
Administrative expenses		-4,064	-3,879
Earnings before depreciation, valuation adjustments, provisions, interest and taxes		3,025	3,258
Depreciation/amortisation of property, plant and equipment and intangible assets	6	-166	-154
Valuation adjustments, provisions and losses	7	362	1,078
Earnings before interest and taxes (EBIT)		3,221	4,182
Financial income	8	11,865	5,010
Financial expenses	8	-6,320	-695
Net result from continued operations before taxes		8,766	8,497
Taxes	9	-166	97
Net result from continued operations		8,600	8,594
Net result from discontinued operations, after taxes		-	-
Net result		8,600	8,594
Net (loss)/gain attributable to shareholders of Valartis Group AG		8,582	7,171
Net (loss)/gain attributable to non-controlling interests		18	1,423

in CHF
Earnings per share
Undiluted earnings attributable to shareholders of Valartis Group AG		3.03	2.59
Diluted earnings attributable to shareholders of Valartis Group AG		3.03	2.59
Earnings per share - continued operations
Undiluted earnings attributable to shareholders of Valartis Group AG		3.03	2.59
Diluted earnings attributable to shareholders of Valartis Group AG		3.03	2.59
Earnings per share - discontinued operations
Undiluted earnings attributable to shareholders of Valartis Group AG		0.00	0.00
Diluted earnings attributable to shareholders of Valartis Group AG		0.00	0.00

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Net result in the income statement	8,600	8,594
Other comprehensive income which will be reclassified to the income statement
Foreign exchange translation differences	2,097	1,651
Cost of hedging 1)	-257	-119
Other comprehensive income which will be reclassified to the income statement	1,840	1,532
Other comprehensive income which will not be reclassified to the income statement
Change in fair value of financial assets at fair value through OCI 2)	-	255
Remeasurement of defined benefit pension plans 3)	168	-30
Associated companies - attributable comprehensive income	-	-
Other comprehensive income which will not be reclassified to the income statement	168	225

Total other comprehensive income, after tax	2,008	1,757
Total comprehensive income	10,608	10,351
Allocation of total comprehensive income
attributable to shareholders of Valartis Group AG	10,586	8,258
attributable to non-controlling interests	22	2,093

The tax effect on the cost of hedging is CHF 0 (previous year: tax effect CHF 0).
The tax effect on change in fair value of financial assets at fair value through OCI is CHF 0 (previous year: tax effect CHF 0).
The tax effect on the remeasurement for defined benefit pension plans is CHF 0 (previous year: tax effect CHF 0).

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

ASSETS
in CHF 1,000	Note	30.06.2025	31.12.2024
Cash and cash equivalents		10,523	15,059
Trading portfolio assets	10	9,650	11,499
Derivative financial instruments		-	11,179
Other financial assets at fair value		17,986	14,178
Due from third parties	11	690	858
Accrued and deferred assets		654	705
Total current assets		39,503	53,478
Property, plant, equipment and leases		942	1,105
Investment property	12	31,228	24,914
Goodwill		1,390	1,128
Associated companies		47,100	41,993
Non-current receivables	13	19,569	16,152
Deferred tax assets		345	400
Total non-current assets		100,574	85,692
Total current and non-current assets		140,077	139,170
Non-current assets classified as held for sale		-	-
Total assets		140,077	139,170

LIABILITIES
in CHF 1,000 Liabilities	Note	30.06.2025	31.12.2024
Accounts payable		573	655
Current financial liabilities	14	33,335	40,459
Derivative financial instruments		34	34
Current tax liabilities		117	144
Other current liabilities		1,662	3,998
Total current liabilities		35,721	45,290
Non-current financial liabilities	15	2,096	2,060
Liabilities from defined benefit pension plans		667	835
Total non-current liabilities		2,763	2,895
Total liabilities		38,484	48,185
Shareholders' equity
Share capital	16	3,023	3,023
Treasury shares	17	-2,949	-2,949
Reserves		113,687	105,362
Foreign exchange translation differences		-12,851	-14,944
Remeasurement of defined benefit pension plans		1,283	1,115
Shareholders' equity of the shareholders of Valartis Group AG		102,193	91,607
Non-controlling interests		-600	-622
Total shareholders' equity (including non-controlling interests)		101,593	90,985
Total liabilities and shareholders' equity		140,077	139,170

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

2024

in CHF 1,000

Share capital Treasury shares Capital reserves Retained

earnings

Opening balance at 1 January 2024	3,126	-5,455	-5,597	95,022
Gains/(losses) from financial assets at fair value through OCI	-	-	-	-
Foreign exchange translation differences	-	-	-	-
Remeasurement of defined benefit pension plans	-	-	-	-
Cost of hedging	-	-	-	-119
Other comprehensive income	-	-	-	-119
Net result	-	-	-	7,171
Comprehensive income	-	-	-	7,052
Dividend payments	-	-	-	-1,384
Purchase of treasury shares	-	-	-	-
Disposal of treasury shares	-	-	-	-
Disposals	-	-	-	-
Share capital reduction	-103	1,416	-	-1,313
Ownership-related changes	-103	1,416	-	-2,697
Total shareholders' equity at 30 June 2024	3,023	-4,039	-5,597	99,377

2025
in CHF 1,000
Opening balance at 1 January 2025	3,023	-2,949	-5,597	110,959
Gains/(losses) from financial assets at fair value through OCI	-	-	-	-
Foreign exchange translation differences	-	-	-	-
Remeasurement of defined benefit pension plans	-	-	-	-
Cost of hedging	-	-	-	-257
Other comprehensive income	-	-	-	-257
Net result	-	-	-	8,582
Comprehensive income	-	-	-	8,325
Dividend payments	-	-	-	-
Purchase of treasury shares	-	-	-	-
Disposal of treasury shares	-	-	-	-
Acquisitions	-	-	-	-
Disposals 1)	-	-	5,597	-5,597
Share capital reduction	-	-	-	-
Ownership-related changes	-	-	5,597	-5,597
Total shareholders' equity at 30 June 2025	3,023	-2,949	-	113,687
1) Relates to the liquidation of a Group company.

Net unrealised gains/losses on financial assets at fair value through OCI	Foreign exchange translation difference		Remeasurement defined benefit pension plans		Total equity shareholders of Valartis Group AG		Non-controlling interests		Foreign exchange effect on non-controlling interests		Total non-controlling interests		Total shareholders' equity
2,272	-9,127		1,397		81,638		15,420		-4,785		10,635		92,273
255	-		-		255		-				-		255
-		981		-		981		-		670		670		1,651
-		-		-30		-30		-		-		-		-30
-		-		-		-119		-		-		-		-119
255		981		-30		1,087		-		670		670		1,757
-		-		-		7,171		1,423		-		1,423		8,594
255		981		-30		8,258		1,423		670		2,093		10,351
-		-		-		-1,384		-		-		-		-1,384
-				-		-		-		-		-		-
-				-		-		-		-		-		-
-				-		-		-				-		-
-				-		-		-		-		-		-
-		-		-		-1,384		-		-		-		-1,384
2,527		-8,146		1,367		88,512		16,843		-4,115		12,728		101,240

-	-14,944		1,115		91,607		-588		-34		-622		90,985
-	-		-		-		-				-		-
-		2,093		-		2,093		-		4		4		2,097
-		-		168		168		-		-		-		168
-		-		-		-257		-		-		-		-257
-		2,093		168		2,004		-		4		4		2,008
-		-		-		8,582		18		-		18		8,600
-		2,093		168		10,586		18		4		22		10,608
-		-		-		-		-		-		-		-
-				-		-		-		-		-		-
-				-		-		-		-		-		-
-				-		-		-				-		-
-				-		-		-				-		-
-				-		-		-		-		-		-
-		-		-		-		-		-		-		-
-		-12,851		1,283		102,193		-570		-30		-600		101,593

CONSOLIDATED CASH FLOW STATEMENT

in CHF 1,000	30.06.2025	30.06.2024
Net result after taxes from continued operations	8,600	8,594
Net result after taxes from discontinued operations	-	-
Net result	8,600	8,594
Depreciation of property, plant and equipment	166	154
Value adjustment on investment property	-180	-356
Share of results of associated companies	-1,633	-3,988
Change in valuation adjustments and provisions	-182	-722
Finance result, net	-5,545	-4,315
Change in taxes	166	-97
Other non-cash income and expenses	-2,301	1,114
Operating cash flow before changes in the working capital and taxes	-909	384
Due from third parties	173	953
Accrued and deferred assets	48	-138
Accounts payables	-81	-11
Other current liabilities	-393	42
Taxes paid	-43	-13
Cash flow from/(used in) operating activities from continued operations	-1,205	1,217
Cash flow from/(used in) operating activities from discontinued operations	-	-
Cash flow from/(used in) operating activities	-1,205	1,217
Change in trading portfolio assets	1,532	1,130
(Increase)/decrease other financial assets at fair value	-590	-
Realised and unrealised result on forward contracts	-	-1,848
Non-current receivables	-20	3,916
Interest and dividends received	258	377
Purchase of property, plant and equipment, investment property and intangible assets	-328	-451
Acquisition of associated companies	-4,164	-
Sale of associated companies	-	513
Dividend income from associated companies	144	-
Cash flow from/(used in) investment activities	-3,168	3,637

in CHF 1,000	30.06.2025	30.06.2024
Proceeds from/(repayments of) current financial liabilities	50	90
Proceeds from/(repayments of) non-current financial liabilities	-170	-171
Interest paid	-188	-276
Dividends paid to shareholders of the Company	-	-1,384
Change in non-controlling interests	10	834
Cash flow from/(used in) financing activities	-298	-907
Effect of foreign exchange translation differences on cash and cash equivalents (including non-controlling interests)	135	69
Increase/(decrease) in cash and cash equivalents	-4,536	4,016
Position at 1 January	15,059	2,600
Position at 30 June	10,523	6,616
Cash	-	-
Due from banks on demand	10,523	6,616
Total cash and cash equivalents	10,523	6,616

NOTES

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

DESCRIPTION OF BUSINESS

Valartis Group's activities include financial services, real estate project management and equity investments. In financial services, Valartis Group concentrates on the comprehensive management of niche funds (investment satellites). In addition, Valartis Group provides corporate finance advisory services for listed and unlisted medium-sized companies. On the real estate side, Valartis Group combines the management of profitable commercial and residential properties with investments in promising development projects. Valartis Group has currently

33.8 employees (full-time equivalents as of 30 June 2025). Valartis Group AG, headquartered in Fribourg, Canton of Fribourg, Switzerland, is the parent company of the Group and its registered shares are listed on the SIX Swiss Exchange.

ACCOUNTING PRINCIPLES

The consolidated financial statements of Valartis Group AG comply with the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB). This interim report complies with the requirements of IAS 34 Interim Financial Reporting. As it does not contain all the information and disclosures required in the annual report, this interim report should be read in conjunction with the audited consolidated financial statements of the Annual Report 2024.

The consolidated financial statements are presented in Swiss francs (CHF). The following exchange rates apply for the translation of major currencies:

30.06.2025 1.1.-30.6.2025			30.06.2024	1.1.-30.6.2024
	Balance sheet	Annual	Balance sheet	Annual
	date rate	average rate	date rate	average rate
EUR/CHF	0.9355	0.9407	0.9624	0.9641
USD/CHF	0.7977	0.8568	0.8997	0.8942
CHF/RUB	98.43	99.12	95.33	101.01

The half-year report is based on the individual financial statements of the Group companies prepared in accordance with uniform principles. The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Groupʼs annual consolidated financial statements for the year ended 31 December 2024. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not effective yet.

AMENDMENTS TO ACCOUNTING POLICIES

Standards and interpretations that have been implemented The following new and revised standard and interpretation had no material impact on the financial statements of Valartis Group at the time of their first application or were of no significance to it:

- IAS 21 - Classification of Liabilities as Current or Non-current

CHANGES IN THE SCOPE OF CONSOLIDATION

Changes in the current period of review

Since the 11th March 2025, the Group entity Valartis Foundation has been liquidated and removed from the scope of Group consolidation accordingly.

Changes in the prior period of review

There were no changes in the scope of consolidation for the first half of 2024.

DISCONTINUED OPERATIONS

The share in the associated company Darsi Investment Ltd is shown in the Consolidated Financial statements as discontinued operations (same as 31 December 2024) but is fully impaired.

ESTIMATES, ASSUMPTIONS AND EXERCISE OF DISCRETION BY MANAGEMENT

There have been no material changes in Managementʼs estimates, assumptions and judgements for the half-year financial statements as of 30 June 2025 compared with the period ended on 31 December 2024.

APPROVAL OF THE CONSOLIDATED FINANCIAL STATEMENTS

The 2025 half-year report was approved by the Board of Directors of Valartis Group AG on 25 August 2025.

NOTES TO THE CONSOLIDATED INCOME STATEMENT

1. INCOME FROM MANAGEMENT SERVICES
in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Revenue from management services	1,298	1,368
Revenue from management services	1,298	1,368

Income from management services comprises fees for the development and management of real estate projects, management

fees for administration and accounting services as well as advisory fees for investment funds distributed abroad.

2. SHARE OF RESULTS OF ASSOCIATED COMPANIES

in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Share in net profit	1,633	3,988
Impairments	-	-
Total	1,633	3,988
3. OTHER INCOME
in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Other income	2,045	70
Other expenses	-19	-17
Total other income	2,026	53
Other income mainly comprise a gain of CHF 2.0 million consecutive to the liquidation of a Group subsidiary during the first half year 2025.
4. PERSONNEL EXPENSES
in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Salaries and bonuses	-1,714	-1,575
Social security benefits	-221	-205
Contributions to occupational pension plans	-125	-127
Other personnel expenses	-235	-236
Total	-2,295	-2,143

5. GENERAL EXPENSES
in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Occupancy expense 1)	-82	-89
IT and information expense	-130	-100
Consultancy, audit, corporate communication and representation expense	-639	-602
Operating expenses of investment property	-578	-495
Investment property tax and non-recoverable VAT	-198	-194
Other general expenses	-142	-256
Total	-1,769	-1,736
1) Lease contracts with a term of less than 12 months or with low value underlying asset.

6. DEPRECIATION AND AMORTISATION OF PROPERTY, PLANT AND EQUIPMENT AND INTANGIBLE ASSETS

in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Depreciation office leases 1)	-137	-137
Depreciation of property, plant and equipment	-29	-17
Total	-166	-154
1) Related to right-of-use of office leases.
7. VALUATION ADJUSTMENTS, PROVISIONS AND LOSSES
in CHF 1,000 Impairments	1.1.-30.06.2025 -	1.1.-30.06.2024 -
Impairment reversals	182	722
Value adjustment on investment property	180	356
Total	362	1,078

8. FINANCIAL RESULT
in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Interest and dividend income from trading portfolios	202	313
Other interest income	602	567
Total interest and dividend income	804	880
Net gain on trading portfolio assets	-	212
Net foreign exchange gain	5,817	3,918
Gain on extinguishment and remeasurement of financial liabilities	5,244	-
Total financial income	11,865	5,010
Interest expenses for loans	-152	-164
Interest expenses on leasing liabilities	-87	-81
Interest expenses for financial liabilities due to banks	-419	-450
Total interest expenses	-658	-695
Net loss on trading portfolio assets	-5,662	-
Net foreign exchange loss	-	-
Total financial expenses	-6,320	-695
Total financial result, net	5,545	4,315

During the first half of 2025, financial expenses included a loss of CHF 5.2 million related to the termination of a derivative contract. This loss was fully offset by an equivalent gain, recognised

under financial income, stemming from the successful renegotiation of an external investment facility.

9. INCOME TAXES
in CHF 1,000	1.1.-30.06.2025	1.1.-30.06.2024
Current income taxes	-18	7
Change in deferred taxes	-148	90
Total income taxes	-166	97

Income tax as disclosed in the consolidated income statement	-166	97
Effective income taxes	-166	97

NOTES TO THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION

10. TRADING PORTFOLIO ASSETS
in CHF 1,000		30.06.2025	31.12.2024
Debt instruments		6,129	7,500
Equity instruments		1,898	2,161
Investment fund units		1,623	1,838
Total trading portfolio assets		9,650	11,499
11. DUE FROM THIRD PARTIES
in CHF 1,000		30.06.2025	31.12.2024
Due from third parties and associated companies		5,184	5,352
Total due from third parties and associated companies gross		5,184	5,352
Valuation adjustments for default risk		-4,494	-4,494
Total due from third parties and associated companies net		690	858
12. INVESTMENT PROPERTY
in CHF 1,000	Investment property building	Investment property financial leasing	Total
Carrying amount at 31 December 2023	26,557	1,072	27,629
Investments	1,518	-	1,518
Transfer from property, plant and equipment	-	-	-
Disposals	-	-	-
Fair value adjustments	-867	27	-840
Foreign exchange translation differences	-3,261	-132	-3,393
Carrying amount at 31 December 2024	23,947	967	24,914
Carrying amount at 31 December 2024	23,947	967	24,914
Investments	325	-	325
Transfer from property, plant and equipment	-	-	-
Disposals	-	-	-
Fair value adjustments	179	1	180
Foreign exchange translation differences	5,583	226	5,809
Carrying amount at 30 June 2025	30,034	1,194	31,228
Valuation

Valartis Group, through one of its subsidiaries, holds the business centre real estate Petrovsky Fort in St. Petersburg, Russia. The fair value of real estate investment property is determined by independent real estate valuation experts using recognised valuation techniques on an annual basis. Based on the input parameters of the valuation method used, the measurement of fair value is categorised under level 3 instruments.

As of 30 June 2025, the fair value was determined internally using the same valuation techniques as per year end. The value increased by CHF 0.2 million on ruble basis (30 June 2024: increase by CHF 0.4 million). This effect has been enhanced in 2025 due to the adverse development of the Swiss Franc against the ruble currency rate with an effect of CHF 5.8 million.

13 NON-CURRENT RECEIVABLES
in CHF 1,000	30.06.2025	31.12.2024
Total non-current receivables gross	22,401	17,823
Valuation adjustments for default risk	-2,832	-1,671
Total non-current receivables net	19,569	16,152

Non-current receivables mainly include CHF 12.2 million promissory notes (loans) to Kaluga Flower Holding LLC (31 December

2024: CHF 9.5 million) as well as receivables from the associated company Inkonika LLC.

14. CURRENT FINANCIAL LIABILITIES
in CHF 1,000	30.06.2025	31.12.2024
Due to banks	16,713	16,380
Other current liabilities	16,622	24,079
Current financial liabilities	33,335	40,459

Due to banks include a bank loan of CHF 11.6 million (31 December 2024: CHF 11.4 million) to finance the Petrovsky Fort investment property.

Other current financial liabilities include an investment facilities of CHF 16.0 million (31 December 2024: CHF 23.6 million).

15. NON-CURRENT FINANCIAL LIABILITIES

in CHF 1,000	30.06.2025	31.12.2024
Leasing liabilities	1,937	1,846
Non-current financial liabilities	159	214
Total non-current financial liabilities	2,096	2,060
16. SHARE CAPITAL
in CHF	30.06.2025	31.12.2024
Share capital, fully paid-in	3,023,295	3,023,295
Number of registered shares	3,023,295	3,023,295
Nominal value per share	1	1
Equity per share (attributable to shareholders of Valartis Group AG, before appropriation of profit)	36.0	32.3

TREASURY SHARES
Number of shares
Position at 1 January 2024 359,078
Purchases
of which for the purpose of cancellation -
of which for other purposes -
Sales
Long Term Incentive Programme (LTI) (at an average price of CHF 11.90 each) -69,100
Cancellation -103,000
Position at 31 December 2024 186,978
Purchases -
of which for the purpose of cancellation -
of which for other purposes -
Sales -
Long Term Incentive Programme (LTI) -
Cancellation -
Position at 30 June 2025 186,978
of which for the purpose of cancellation -
of which for other purposes 186,978
Historical cost value at 31 December 2024 in CHF 2,948,917
of which held for the purpose of cancellation -
of which held for other purposes 2,948,917
Historical average rate at 31 December 2024 in CHF
of which held for the purpose of cancellation -
of which held for other purposes 15.77
Historical cost value at 30 June 2025 in CHF 2,948,917
of which held for the purpose of cancellation -
of which held for other purposes 2,948,917
Historical average rate at 30 June 2025 in CHF
of which held for the purpose of cancellation -
of which held for other purposes 15.77
Share buyback programme (2023)
At its meeting on 16 May 2023, the Annual General Meeting approved the repurchase of treasury shares up to a maximum of 120,000 shares prior to the 2026 Annual General Meeting. Based on this authorisation, a share buyback offer has been submitted by the Board of Directors of Valartis Group AG on 27 November 2023 for a maximum of 103,000 registered shares at a fixed price of CHF 13.75 per registered share for the purpose of capital reduction. Valartis was tendered a total of 134,576 registered
shares during the offer period from 4 to 15 December 2023. After the number of registered shares tendered exceeded the volume of the buyback offer, the registered shares were repurchased from the tendering shareholders on a pro rata basis, i.e. the tender was reduced on a pro rata basis to a maximum of 103,000 registered shares. The repurchased shares were cancelled in 2024.
FAIR VALUE OF FINANCIAL INSTRUMENTS

Determination of Fair value

The following table shows the carrying amounts and fair values of financial assets and liabilities:

Fair value of financial instruments

in CHF 1,000	30.06.2025			31.12.2024
Assets	Book value	Fair value	Variation	Book value	Fair value	Variation
Cash and cash equivalents	10,523	10,523	-	15,059	15,059	-
Due from third parties	690	690	-	858	858	-
Accrued and deferred assets	654	654	-	705	705	-
Non-current receivables	19,569	19,569	-	16,152	16,152	-
Financial assets at amortised costs	31,436	31,436	-	32,774	32,774	-
Trading portfolio assets	9,650	9,650	-	11,499	11,499	-
Derivative financial instruments	-	-	-	11,179	11,179	-
Other financial assets at fair value	17,986	17,986	-	14,178	14,178	-
Financial assets at fair value	27,636	27,636	-	36,856	36,856	-
Liabilities
Accounts payables	573	573	-	655	655	-
Current financial liabilities	33,335	33,335	-	40,459	40,459	-
Current income taxes	117	117	-	144	144	-
Other current liabilities	1,662	1,662	-	3,998	3,998	-
Non-current financial liabilities	2,096	2,096	-	2,060	2,060	-
Financial liabilities at amortised costs	37,783	37,783	-	47,316	47,316	-
Derivative financial instruments	34	34	-	34	34	-
Financial liabilities at fair value	34	34	-	34	34	-

Level 1 instruments

Level 1 instruments are those financial instruments whose fair value is based on quoted prices in active markets. This category comprises almost all equity and debt instruments held by the Group. Investment funds for which a binding net asset value is published at least daily, exchange-traded derivatives and precious metals are also categorised as level 1 instruments. Closing prices are used for the valuation of debt instruments in the trading book. In the case of equity instruments, listed investment funds and exchange-traded derivatives, the closing or settlement prices of the relevant exchanges are used. In the case of unlisted investment funds, the published net asset values are used. In the case of currencies and precious metals, generally accepted prices are applied. No valuation adjustments were made in the case of level 1 instruments.

Level 2 instruments

Level 2 instruments are financial instruments whose fair value is based on quoted prices in markets that are not active. The same categorisation is used where the fair value is determined using a

valuation method where significant inputs are observable, either directly or indirectly. This category essentially comprises forex and interest-rate derivatives as well as illiquid debt instruments and investment funds for which a binding net asset value is not published on a daily basis. If no active market exists, the fair value is determined based on generally accepted valuation methods. If all the significant inputs are directly observable in the market, the instrument is deemed to be a level 2 instrument.

The valuation models consider the relevant input such as the contract specifications, market price of the underlying asset, the foreign exchange rate, the corresponding yield curve, default risks, and volatility. The valuation of interest rate instruments for which no quoted prices exist is carried out using generally recognised methods. For the valuation of OTC derivatives, generally recognised option pricing models and quoted prices in markets that are not active are used. In the case of investment funds, the published net asset values are used. The credit risk is only considered when market participants would take it into account when determining prices.

Level 3 instruments

If at least one significant input cannot be observed directly or indirectly in the market, the instrument is classified as a level 3 instrument. These essentially comprise equity instruments or investment funds for which a binding net asset value is not published at least quarterly. The fair value of these positions is based on the estimates of external experts or on audited financial statements. Where possible, the underlying assumptions are supported by observable market quotes.

The Group determines whether transfers have occurred between levels in the hierarchy by reassessing categorisation at the end of each reporting period.

The following table shows the assets and financial liabilities measured at fair value, classified according to a fair value hierarchy of three levels:

2025 in CHF 1,000	Quoted market prices (level 1)	Valuation method based on market data (level 2)	Valuation method not based on market data (level 3)	30.06.2025
Assets
Trading portfolio assets	7,770	258	1,622	9,650
Derivative financial instruments	-	-	-	-
Other financial assets at fair value	15,940	573	1,473	17,986
Investment property	-	-	31,228	31,228
Assets at fair value	23,710	831	34,323	58,864
Liabilities
Derivative financial instruments	-	34	-	34
Total financial liabilities at fair value	-	34	-	34

2024 in CHF 1,000	Quoted market prices (level 1)	Valuation method based on market data (level 2)	Valuation method not based on market data (level 3)	31.12.2024
Assets
Trading portfolio assets	9,365	297	1,837	11,499
Derivative financial instruments	-	11,179	-	11,179
Other financial assets at fair value	12,705	-	1,473	14,178
Investment property	-	-	24,914	24,914
Assets at fair value	22,070	11,476	28,224	61,770
Liabilities
Derivative financial instruments	-	34	-	34
Total financial liabilities at fair value	-	34	-	34

Movements of level-3 positions
2025	1.1.2025	Recognised	Net income	Transfer	Purchase	Sales	30.06.2025
in CHF 1,000		in the	recognised in	from/(to)
		income	OCI	level 1 and
		statement		level 2
Trading portfolio assets	1,837	-215	-	-	-	-	1,622
Derivative financial instruments	-	-	-	-	-	-	-
Other financial assets at fair value	1,473	-	-	-	-	-	1,473
Investment property	24,914	180	5,809	-	325	-	31,228
Total assets at fair value (level 3)	28,224	-35	5,809	-	325	-	34,323

Derivative financial instruments	-	-	-	-	-	-	-
Total financial liabilities at fair value (level 3)	-	-	-	-	-	-	-

2024	1.1.2024	Recognised	Net income	Transfer	Purchase	Sales	31.12.2024
in CHF 1,000		in the	recognised in	from/(to)
		income	OCI	level 1 and
		statement		level 2
Trading portfolio assets	1,958	-121	-	-	-	-	1,837
Derivative financial instruments	-	-	-	-	-	-	-
Other financial assets at fair value	1,234	239	-	-	-	-	1,473
Investment property	27,629	-840	-3,393	-	1,518	-	24,914
Total assets at fair value (level 3)	30,821	-722	-3,393	-	1,518	-	28,224

Derivative financial instruments	-	-	-	-	-	-	-
Total financial liabilities at fair value (level 3)	-	-	-	-	-	-	-

Explanation of unobservable input parameters
The valuation of trading positions classified as level 3 is based on unobservable input parameters for the valuation	of investment
the annual financial statements of the corresponding securities property are the following:
and individual transactions observable on the market. Significant
Significant, unobservable inputs in the evaluation of the investment property Petrovsky Fort 30.06.2025 Fair value of Petrovsky Fort (investment property)	31.12.2024

in RUB 2,956,000,000	2,906,000,000
in CHF 30,034,000	23,947,000
Capitalisation rate for income capitalisation 11.00%	11.00%
Discount rate for discounted cash flow 16.00%	16.00%
Estimated Rental Value (ERV) per square metre in RUB 14,398	13,658

Investment property

For the half-year 2025, the value of the investment property was verified using a discounted cash flow calculation, for which the future cashflows were estimated, including rental income obser-

ving variable components, assumptions on vacancy rates, value maintenance costs and assumptions for the discount rate and a possible sale value.

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