Interim report
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1 Sto SE & Co. KGaA, Stühlingen/Germany Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) For the period from 1 January to 30 June 2026 Building with conscience.
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Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 2 1,200 1,000 800 600 400 800 1,000 10.0 % 100 % 600 8.0 % 80 % 400 6.0 % 60 % 200 4.0 % 40 % 2.0 % 20 % Development of P&L data Return on sales (EBT) in % Development of balance sheet data Equity ratio in % * ROCE = EBIT divided by average capital employed. Capital employed = Intangible assets + Property, plant, and equipment + Rights of use + Inventories + Trade receivables ./ . Trade payables Balance sheet values are calculated on the basis of an arithmetic average value of the respective reporting date values at the end of the month for the respective period. Rounding of amounts may lead to minor deviations in totals and in the calculation of percentages in this report. Cover image: ‘The Pulse’ residential and commercial building, Amsterdam/NL Photo: Marcel van der Burg, Amsterdam/NL Turnover in EUR million Total assets in EUR million Overview of the Group 01 January 2026 – 30 June 2026 01 January 2025 – 30 June 2025 Changes in % Turnover 805.5 777.1 3.7 Germany 323.8 309.3 4.7 Outside of Germany 481.7 467.8 3.0 Turnover by segment Western Europe 623.1 596.5 4.5 Northern/Eastern Europe 84.0 77.0 9.1 America/Asia/Pacific 98.4 103.6 − 5.0 Investments (without: financial assets and IFRS 16) 12.0 22.2 − 46.0 EBITDA 63.9 58.8 8.7 EBIT 30.5 25.3 20.6 EBT 29.9 25.6 16.8 Return on sales (EBT) (%) 3.7 3.3 ROCE (%)* 4.1 3.4 Cash flow from operating activities − 19.2 − 0.7 − 2,642.9 Employees 5,507 5,534 − 0.5 Germany 3,027 3,032 − 0.2 Outside of Germany 2,480 2,502 − 0.9 (Figures in EUR million unless otherwise indicated) 06.2022 06.2023 06.2024 06.2025 06.2026 06.2022 06.2023 06.2024 06.2025 06.2026
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3 ∙ Sto SE & Co. KGaA Group turnover rises by 3.7 % to EUR 805.5 million by the end of June 2026 ∙ First-quarter shortfall made up despite challenging conditions ∙ EBIT rises by 20.6 % to EUR 30.5 million and EBT by 16.8 % to EUR 29.9 million ∙ EBIT margin rises from 3.3 % to 3.7 % ∙ The number of employees worldwide decreases by 27 to 5,507 ∙ Outlook for the full year 2026 remains unchanged: consolidated turnover of EUR 1.62 billion and EBIT of between EUR 56 million and EUR 76 million expected Overview of the first half of 2026
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Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 4 Business and general conditions The company The Sto Group is a significant international producer of prod- ucts and systems for coating buildings. Our range of services is divided into four product groups: In our core business of facade systems, we offer a wide range of external thermal insulation composite systems (ETICS), which are characterised by the use of mineral and organic adhesives and reinforcement compounds, as well as various insulation materials such as polystyrene, mineral wool, soft wood fibre, etc., in their system design. Sto is the world market leader in this field. This prod- uct group also includes ventilated rainscreen cladding systems (RSC), which accounted for 46. 1 % of the Group’s total turnover during the reporting period. Facade coatings include external rendering and paint systems, which accounted for 23.5 % of the Group’s turnover in the first half of 2026. Interior products ac- counted for 16.3 % of the total volume during the reporting pe- riod. They include plaster and coating systems, for example for home and office interiors, decorative coatings, interior cladding and acoustic systems for regulating room sound. In addition, Sto produces and sells high-quality floor coatings, products for concrete repair and further items which are allocated to other product groups. They accounted for 14. 1 % of turnover during the reporting period. There were no changes to the structure and management sys- tem of the Sto Group from January up to the end of June 2026. Details can be found in the 2025 Annual Report, which is avail- able for download at www.sto.de in the section 'Investor Re- lations'. It can also be requested from Sto SE & Co. KGaA. The 2030 strategy was presented to shareholders at the Annual General Meeting. The presentation can also be viewed on the website www.sto.de in the 'Investor Relations' section. Business development in the first half of 2026 The Sto Group achieved growth in the second quarter of 2026 and managed to make up for the shortfall in turnover from the first three months, despite persistently challenging market con- ditions. One of the biggest challenges so far this year has been the weather: severe frost and cold, wet conditions at the start of the year , as well as periods of intense heat in the second quarter , meant that work on outdoor construction sites was restricted in some cases. This was reflected above all in the facade segment, the Sto Group's product area with the highest turnover , whilst the interior segment, which Sto is gradually expanding, performed well. On the other hand, the construc- tion sector continued to fall short of expectations in several regions that are important to us. Sto countered the resulting stagnation or decline in market volume in some countries by expanding its market share and benefited from the implemen- tation of strategic initiatives and the Group’s broad market positioning. The consolidated earnings reflected not only the positive con- tribution to earnings from the turnover development but also the ongoing effects of the restrictive spending policy imple- mented in recent years. In contrast, collective wage agreement costs and freight costs, in particular , rose, and sales prices came under increasing pressure due to intensified competition result- ing from the construction slump. Furthermore, the war in Iran is leading to increasing price rises on the procurement side and in freight costs, which was already evident in the gross profit margin in June. Overall, consolidated turnover rose by 3.7 % to EUR 805.5 mil- lion in the first six months of 2026 (previous year: EUR 777 . 1 mil- lion), EBIT improved by 20.6 % compared with the same period last year to EUR 30.5 million (previous year: EUR 25.3 million). EBT rose by 16.8 % to EUR 29.9 million in the first half of 2026 (previous year: EUR 25.6 million). Despite this growth, both the consolidated earnings and the return on sales, which stood at 3.7 % (previous year: 3.3 %), were significantly below the levels of earlier years. Economic conditions Overall economy In July 2026, the International Monetary Fund (IMF) lowered its growth forecasts for the global economy in light of the impact of the war in Iran. For the current year , experts are forecasting growth of 3.0 %, which is 0. 1 percentage points lower than estimated in April (revised figure for the previous year: 3.5 %). Given the ongoing volatility in the Middle East, the IMF is warn- ing in particular of uncertainties surrounding commodity prices, vulnerable supply chains and the consequences of high energy prices, which, amongst other things, led to global inflation rising for the third consecutive month in May. Global inflation is expected to reach 4.7 % for the year as a whole, having been forecast at 4. 4 % in April. Economic growth in 2026 will be bolstered by growth driven by artificial intelligence (AI). In 2026, the IMF is forecasting growth of 2.3 % in the USA, a GDP increase of 4.6 % in China and growth of 0.9 % in the eurozone. The International Monetary Fund’s assessment of the economic outlook in Europe is therefore 0.2 percentage points more pessimistic than it was in the spring. The German econ- omy, too, is likely to perform more modestly than expected: experts have revised their forecast downwards by 0. 1 percentage points to 0.7 %. From April to June 2026, Germany’s gross do- mestic product rose by 0.2 % compared to the previous quarter , Consolidated interim management report for the first half of 2026
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5 according to preliminary estimates released by the Federal Statistical Office. This third consecutive quarter of growth was driven primarily by exports, whilst consumer spending remained subdued in the second quarter and investment declined. An increase of 0. 4 % had been recorded in the first three months. Construction sector According to Destatis, turnover in the German main con- struction sector decreased by 2. 1 % in real terms in May 2026; in nominal terms, however , there was a 2. 4 % increase compared with the previous month. Real incoming orders rose by 3.3 % in May; in the less volatile three-month comparison, calendar- and seasonally-adjusted incoming orders from March 2026 to May 2026 were 2.6 % higher than in the previous three months. Building permits also showed an upward trend: from January to the end of May 2026, construction permits rose by 15. 4 % in Germany compared to the same period in 2025. For new residential buildings, housing construction permits rose by 16.6 %; for detached houses the increase was 12.6 %, for semi-detached houses 21.6 %, and for multifamily dwellings – the most common type of building in terms of numbers – the authorities approved 18.9 % more new flats than in the same period of the previous year . In the first five months of this year , renovation work on existing residential and non-residential buildings saw an increase of 8.6 %. The forecast for the German market for paints and lacquers remains restrained. In the architectural coatings sub-segment, the Verband der deutschen Lack- und Druckfarbenindustrie e. V . (Association of the German Paint and Printing Ink Industry) expects a decline of around 3 % this year , as new residential construction – a key driver of demand – is recovering only slow- ly. According to the market research institute B+L Marktdaten GmbH, the German ETICS market recorded a significantly positive trend in the second quarter of 2026 for the first time since 2023. Due to weather conditions, sales volumes in the first quarter had fallen by 5. 1 % compared to the same period of the previous year , whilst an increase of 11.2 % was achieved between April and June 2026. According to B+L, the main driver of this growth was the catch-up effect following a weak start to the year; a sustained upturn in renovation projects is not expected. For 2026 as a whole, experts expect an increase of 2.9 % despite additional cost burdens resulting from the war in Iran and the reduction in the Federal Grant Programme for Efficient Buildings (BEG), which comes into effect in July 2026 and led to a front-loading effect in the first half of the year . The outlook for the European construction industry re- mains positive, although growth in the 19 countries covered by the Euroconstruct network is set to be slower than previously expected. According to the latest expert estimates, total reve- nues will rise by 2.0 % in 2026 (previous year revised: 0.2 %), having been forecast six months ago to increase by 2. 4 %. The main factors behind the revision were the impact of the war in Iran on the global economy, energy prices, inflation and interest rate trends. According to Euroconstruct, these factors have a significant impact on demand in the construction sector . The main drivers of growth over the next few years will be the new building and civil engineering sectors. The refurbishment sector is likely to perform less strongly, as the ongoing uncertainty is dampening confidence and, consequently, the willingness of private and institutional investors to invest. The US construction sector continues to be weakened by the country’s tariff policy. This is causing a great deal of uncertainty amongst businesses, which lack a basis for investment deci- sions, and amongst households, as consumers are, according to GTAI (German Trade & Invest), becoming increasingly concerned about their jobs. In addition, the tariffs are driving up construc- tion costs. This is having a particularly negative impact on the largest segment of the US construction sector , private residen- tial construction, whilst the AI boom is driving strong growth in some sectors of industrial construction. The Chinese construction sector remains under considerable pressure, mainly due to the ongoing real estate crisis. According to GTAI (Germany Trade & Invest), prices for second-hand prop- erties have fallen sharply since the outbreak in 2021, which is not only weighing on new-build construction but is also having a noticeable negative impact on economic growth, employ- ment and the country’s finances. Added to this are the trade disputes with the USA, which are having a negative impact on China's export business. Overall, the IMF expects economic growth in China to weaken in 2026. According to GTAI (Ger- many Trade & Invest), new opportunities in the construction industry – particularly for foreign companies – are arising from the growing importance of energy efficiency and sustainability in the building sector . Income, financial and asset situation of the Sto Group Turnover development of the Sto Group The Sto Group’s turnover rose by 3.7 % to EUR 805.5 million in the first half of 2026 (previous year: EUR 777 . 1 million). Curren- cy translations had an overall negative impact of EUR 1.9 mil- lion, which was primarily due to movements in the US dollar exchange rate. Excluding the impact of exchange rate fluctua- tions, Group-wide growth amounted to 3.9 % compared with the same period last year . In the domestic market, the decline in the first few months of the year was offset by a very strong performance in the second quarter . In total, turnover in Germany amounted to EUR 323.8 million by the end of June 2026 (previous year: EUR 309.3 million), representing an increase of 4.7 %. Overseas turnover rose by 3.0 % to EUR 481.7 million (previous year: EUR 467 .8 million). Adjusted for currency translation effects, the increase stood at 3. 4 %. The proportion of the Group’s turnover generated outside of Germany decreased slightly to 59.8 % (previous year: 60.2 %). Group turnover in July 2026 was higher than the previous year’s figure and slightly exceeded expectations.
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Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 6 Turnover trend across the segments Business performance in the largest segment, Western Europe, where turnover rose by 4.5 % to EUR 623. 1 million during the reporting period (previous year: EUR 596.5 million), was driven by encouraging growth in Germany and in the na - tional subsidiaries in Austria, Spain and Switzerland. Revenue performance in France fell short of expectations. Several major projects have been postponed here as a result of changes to government funding programs. Adjusted for the positive currency translation effects resulting from developments in the Swiss franc exchange rate, the segment recorded growth of 4.3 %. Revenue growth in the Northern/Eastern Europe segment, which rose by a total of 9. 1 % to EUR 84.0 million (previous year: EUR 77 .0 million), was also partly due to currency trans- lation effects. Excluding the positive exchange-rate effects in Hungary, Sweden and Norway, amongst others, the increase amounts to 7 .3 %. The national subsidiaries in Eastern Europe all achieved growth, whilst turnover at several Scandinavian subsidiaries remained below the 2025 level. One of the reasons for this was the unfavourable weather in Northern Europe at the start of the year . In the America/Asia/Pacific segment, revenue decreased by 5.0 % year-on-year to EUR 98. 4 million (previous year: EUR 103.6 million). Business performance in North America was heavily influenced by the depreciation of the US dollar and the gradual winding down of operations at Skyrise Prefab Building Solutions Inc. / Canada. The successful StoPanel busi- ness in North America will continue regardless of the closure. The other national subsidiaries in North America, as well as in Central and South America, increased their business volume during the reporting period. In Asia, demand was very weak, particularly in China. In view of the extremely difficult market conditions, particularly in the construction of new buildings, the Chinese company is being restructured and will, in future, focus increasingly on the interior design and renovation sectors. Excluding the net negative currency translation effects, turnover in the segment decreased by 1.0 %. Consolidated earnings Consolidated earnings increased significantly in the first half of 2026. Total revenue rose from EUR 785.6 million to EUR 816. 4 million in the first six months, whilst gross prof- it increased by 4.6 % to EUR 442.3 million (previous year: EUR 422.8 million). The cost of materials rose by 3. 1 % to EUR 374. 1 million (previous year: EUR 362.8 million), with price rises in the procurement markets resulting from the war in Iran becoming increasingly noticeable towards the end of the report- ing period. This primarily affects mineral oil based raw materials used in various Sto products. The gross margin rate improved from 53.8 % to 54.2 % compared to the previous year . The rise in personnel expenses, which increased by 3.6 % to EUR 221.3 million (previous year: EUR 213.6 million) despite the reduction in the workforce, was partly due to the col- lective wage increase implemented in Germany at the turn of the year . In addition, during January and February 2025, Sto SE & Co. KGaA had been operating under a short-time working plan. The Future Pact, agreed in March last year , had a positive impact, albeit to a lesser extent than in 2025. It sets out the collective wage arrangements for 2025 and 2026 for the companies Sto SE & Co. KGaA and StoCretec GmbH, and includes cost-saving measures in the personnel area in order to reduce costs and secure jobs. The balance of other operating expenses and income totalled EUR -154.8 million in the first six months of 2026 (previous year: EUR -148.9 million). Expenses rose from EUR 155.9 million to EUR 163.0 million, driven in particular by higher costs for outbound freight – which were significantly above the previ- ous year’s level due to high fuel prices – as well as changes in exchange rates. Other operating income rose to EUR 8.2 million by the end of June 2026 (previous year: EUR 7 .0 million), driven in particular by higher income from exchange rate fluctuations. In total, the Sto Group reported an EBITDA of EUR 63.9 mil- lion for the first half of 2026 (previous year: EUR 58.8 mil- lion). EBIT, after deducting depreciation and amortisation, which decreased slightly to EUR 33. 4 million (previous year: EUR 33.6 million), rose by 20.6 % to EUR 30.5 million (previ- ous year: EUR 25.3 million). EBT rose from EUR 25.6 million to EUR 29.9 million, whilst the net financial income fell to EUR -0.6 million as a result of lower market interest rates on financial investments (previous year: EUR +0. 4 million). The return on sales relative to EBT improved to 3.7 % (previous year: 3.3 %). EAT amounted to EUR 18.5 million (previous year: EUR 16.3 million), resulting in a profit of EUR 2.92 per Sto lim- ited preference share (previous year: EUR 2.58) and a profit of EUR 2.86 per limited ordinary share (previous year: EUR 2.52). The return on capital employed (ROCE) stood at 4. 1 % on 30 June 2026 (30 June 2025: 3. 4 %). Development of earnings across the segments In the Western Europe segment, EBIT rose from EUR 20.3 mil- lion to EUR 25.3 million compared to the first half of the previous year , in Northern/Eastern Europe it rose from EUR 1.9 million to EUR 2.8 million, and in the America/Asia/ Pacific segment from EUR 3. 4 million to EUR 3.9 million. Investments In the first six months of the current year , the Sto Group in- vested EUR 12.0 million in property, plant and equipment and intangible assets (previous year: EUR 22.2 million). The largest individual projects included the multi-year introduction of the SAP S/4HANA ERP system and the acquisition of a previously leased site in Röthis (Austria), where the SalesCentre for the Vorarlberg region is located. Development of liquidity Cash flow from operating activities amounted to EUR -19.2 million in the first half of 2026 compared to EUR -0.7 million in the same period the previous year . This was mainly due to the additional funds tied up in net current assets.
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7 Cash flow from investment activities totalled EUR 42.7 mil- lion during the reporting period (previous year: EUR 21.9 mil- lion). The most significant changes were seen in deposits and disbursements for financial investments: the net effect of lower deposits of EUR 80. 4 million (previous year: EUR 103.5 million) and reduced payments of EUR 30.6 million (previous year: EUR 64.9 million) rose to EUR 49.8 million (previous year: EUR 38.6 million). Adjusted for these deposits and disburse- ments for financial investments, cash flow for the first six months of 2026 amounted to EUR - 7 . 1 million (previous year: EUR -16.7 million). During the reporting period, EUR 12.0 million (previous year: EUR 22.2 million) was spent on investments in property, plant and equipment and intangible assets. Cash flow from financing activities remained virtually unchanged from the previous year at EUR -36.3 million (previ- ous year: EUR -36.2 million). Once again, the bulk of this was attributable to the consistent outflows for dividend payouts, amounting to EUR 21.0 million. Disbursements for the repay- ment portion of the lease liabilities amounted to EUR 13.3 mil- lion (previous year: EUR 13. 1 million). Taking into account cash inflows from changes in the ex- change rate of EUR 0.6 million (previous year: outflow of EUR 2.3 million) and changes arising from expected losses on cash and cash equivalents as set out in IFRS 9, amounting to EUR 0.03 million (previous year: EUR 0.04 million), financial resources of EUR 102.5 million (previous year: EUR 93.7 million) were reported as at 30 June 2026. Compared to the end of 2025, cash within the Sto Group decreased by EUR 12.2 million (previous year: EUR 17 .3 million). Assets and liabilities situation At the end of June 2026, the Sto Group reported total assets of EUR 1,208.2 million, compared to EUR 1, 163. 4 million as at 31 De- cember 2025 (30 June 2025: EUR 1, 172.2 million). The majority of the changes are due to the seasonal nature of business activities. Non-current assets decreased in the first half of the year from EUR 533.5 million to EUR 496.9 million (30 June 2025: EUR 534.5 million), whilst fixed assets decreased slightly from EUR 458.5 million to EUR 442.7 million compared to 31 Decem- ber 2025 (30 June 2025: EUR 447 .0 million) and other non-cur- rent assets decreased from EUR 75.0 million to EUR 54.2 million (30 June 2025: EUR 87 .6 million). In line with the business development, current assets rose from EUR 629.9 million at the end of 2025 to EUR 711.3 mil- lion (30 June 2025: EUR 637 .7 million). The rise in inventories from EUR 145.8 million to EUR 175.7 million (30 June 2025: EUR 163. 1 million) reflects the proactive build-up of stock with which Sto has responded to the price increases already being felt and those expected in the future as a result of the war in Iran. Current trade receivables rose from EUR 157 .0 million to EUR 250.0 million (30 June 2025: EUR 236.6 million), due to the seasonal nature of business. Current other financial assets decreased from EUR 162.8 million to EUR 131.0 mil- lion (30 June 2025: EUR 108.8 million), whilst current other assets decreased from EUR 21.5 million to EUR 13.7 million (30 June 2025: EUR 13.3 million). The Sto Group’s cash and cash equivalents totalled EUR 102.5 million as at the balance sheet date (31 December 2025: EUR 114.7 million; 30 June 2025: EUR 93.7 million). Equity increased to EUR 764.6 million at the mid-year point (31 December 2025: EUR 762.3 million; 30 June 2025: EUR 728.8 million). The Sto Group therefore has a very solid eq- uity ratio of 63.3 % (31 December 2025: 65.5 %; 30 June 2025: 62.2 %). The total non-current provisions and liabilities decreased from EUR 180.0 million to EUR 176. 4 million during the half-year under review (30 June 2025: EUR 183.3 million), which was primarily due to the lower level of non-current lease liabilities. This item decreased from EUR 84.0 million to EUR 76. 4 million (30 June 2025: EUR 70.5 million). Provisions for pensions and similar liabilities stood at EUR 78.3 million as at the reference date (31 December 2025: EUR 77 .6 million; 30 June 2025: EUR 90.8 million). Among the current provisions and liabilities, which rose from EUR 221.0 million to EUR 267 .2 million (30 June 2025: EUR 260. 1 million), trade payables increased in particular , as is customary in the first half of the year . They amounted to EUR 95. 4 million, compared to EUR 54.9 million as at 31 De- cember 2025 (30 June 2025: EUR 87 .5 million). Current other liabilities increased from EUR 55.8 million to EUR 89.2 mil- lion (30 June 2025: EUR 84. 4 million), whilst current other financial liabilities developed in the opposite direction from EUR 40.9 million to EUR 17 .0 million (30 June 2025: EUR 18.0 million). The Sto Group’s current borrowings stood at EUR 1.9 million on 30 June 2026, compared to EUR 1.7 million at the end of 2025 and on the same day of the previous year . There were no non-current borrowings. Taking into account cash stocks, the net financial assets at mid-year amounted to EUR 100.6 mil- lion (31 December 2025: EUR 113.0 million; 30 June 2025: EUR 92.0 million). Employees At the end of June 2026, the Sto Group employed 5,507 em- ployees worldwide. Compared to the same day of the previ- ous year , the workforce decreased by 27 employees, or 0.5 % (30 June 2025: 5,534); compared to the end of 2025, there was an increase of 25 employees (31 December 2025: 5, 482). The number of employees in Germany stood at 3,027 at mid-year 2026, five fewer than in the previous year (30 June 2025: 3,032); outside of Germany, the workforce decreased by 22 to 2, 480 people year-on-year (30 June 2025: 2,502). The economically driven downsizing at several subsidiaries, like in China, and the reduction at the Canadian subsidiary Skyrise Prefab Building Solutions Inc. were contrasted by a few new hires at national subsidiaries with short- and medium-term growth prospects. The percentage of the Group’s workforce employed outside of Germany decreased slightly from 45.2 % to 45.0 %.
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Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 8 In the Western Europe segment, 4,276 employees worked for the Sto Group as at the reference date (30 June 2025: 4,278), 585 in the Northern/Eastern Europe segment (30 June 2025: 587) and 646 in the America/Asia/Pacific segment (30 June 2025: 669). Sustainability Report Sto is committed to sustainable and responsible corporate governance that meets the needs of all stakeholders affected by our actions. Detailed information on this and further infor- mation relating to the EU Taxonomy can be found in the Sus- tainability Statement 2025, which is part of the Group manage- ment report and is available on the website www.sto.de under 'Investor Relations'. Risks and opportunities report There are various opportunities and risks for the future business development of the Sto Group, which are described in detail in the 2025 management report. This report also explains the structure of the risk management and internal control system (ICS) in detail. The specific impacts resulting from the war between Iran, Israel, and the USA cannot be reliably quantified. The risk of tangible negative consequences increases with the duration and expansion of the conflict. At present, we expect that the war will lead to further price increases on the procurement side. Adverse effects on demand in the markets relevant to Sto or restrictions in the execution of business activities or the supply of raw materials, bought-in products and energy cannot be ruled out. There are opportunities for growth for the Sto Group across all product areas, particularly in its core business of facade sys- tems. On the one hand, this is because energy efficiency meas- ures to the building envelope help to reduce CO₂ emissions; and on the other hand, because they reduce energy consumption and thus operating costs, which is becoming increasingly im- portant in view of rising energy costs. However , the potential for growth cannot be fully utilised at present due to the gen- eral factors that inhibit investment, both in the construction of new buildings and in the renovation and refurbishment of buildings. At present, no assessable risks are apparent that could have a permanent and significant adverse effect on the income, finan- cial, and asset situation of the Sto Group. Outlook report Outlook for the Sto Group For the year 2026 as a whole, Sto SE & Co. KGaA is forecasting slight growth in turnover to EUR 1.62 billion for the Group in light of major uncertainties (2025: EUR 1.59 billion). EBIT is expected to be in the range of EUR 56 million to EUR 76 mil- lion (2025: EUR 64. 4 million) and earnings before taxes (EBT) between EUR 55 million and EUR 75 million (2025: EUR 65.3 mil- lion). The resulting return on sales is likely to be in the range of 3.3 % to 4.7 % (2025: 4. 1 %). The return on capital employed (ROCE) is expected to be between 7 . 4 % and 10.2 % (2025: 8.7 %). Given the unpredictable developments, particularly in the geopolitical sphere, and the associated consequences, any predictions regarding developments over the coming months are currently subject to a great deal of uncertainty. It is almost impossible to make reliable statements, as key parameters are changing almost constantly. Stühlingen/Germany, August 2026 Sto SE & Co. KGaA represented by STO Management SE Executive Board
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10 Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 in EUR K 30/06/2026 30/06/2025 1. Revenue 805,492 777,131 2. Changes in product inventories 10,427 8,033 3. Other internally generated assets capitalised 483 388 Total revenues 816,402 785,552 4. Other operating income 8,151 7,031 5. Cost of material − 374,122 − 362,836 6. Personnel expenses − 221,301 − 213,641 7. Other operating expenses − 163,020 − 155,940 8. Impairment (net) of financial assets − 2,203 − 1,322 EBITDA (earnings before taxes, net financial income/expense, depreciation and amortisation) 63,907 58,844 9. Depreciation/amortisation of Intangible assets, Property, plant, and equipment as well as Rights of use − 33,390 − 33,583 EBIT 30,517 25,261 10. Net financial income/expense − 640 373 EBT 29,877 25,634 11. Taxes on income and earnings − 11,354 − 9,305 EAT 18,523 16,329 of which: Share of minority interests − 1 2 Share of earnings attributable to the shareholders of Sto SE & Co. KGaA 18,524 16,327 Earnings per share basic/diluted in EUR Limited ordinary share 2.86 2.52 Limited preference share 2.92 2.58 Sto SE & Co. KGaA, Stühlingen/Germany Consolidated statement of profit or loss for the period from 1 January to 30 June 2026
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11 Sto SE & Co. KGaA, Stühlingen/Germany Consolidated statement of comprehensive income for the period from 1 January to 30 June 2026 in EUR K 30/06/2026 30/06/2025 EAT 18,523 16,329 Currency translation Currency translation differences 4,582 − 10,100 FVOCI valuation Valuation changes recognised in equity 197 195 Deferred taxes − 75 − 75 FVOCI valuation after taxes 122 120 Earnings to be reclassified in the statement of profit or loss in future periods 4,704 − 9,980 Revaluation of pension obligations Profits/losses from the revaluation of defined benefit plans 0 0 Deferred taxes 0 0 Earnings not to be reclassified in the statement of profit or loss in future periods 0 0 Other earnings after taxes 4,704 − 9,980 Total comprehensive earnings after taxes 23,227 6,349 of which: Share of minority interests − 1 2 Share of earnings attributable to the shareholders of Sto SE & Co. KGaA 23,228 6,347
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12 Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 in EUR K 30/06/2026 31/12/2025 30/06/2025 Assets A. Non-current assets I. Intangible assets 55,942 55,366 54,040 II. Property, plant, and equipment 288,991 296,432 298,013 III. Rights of use 95,273 104,093 92,418 IV . Financial assets accounted for using the equity method 2,486 2,589 2,496 Fixed assets 442,692 458,480 446,967 V . Non-current trade receivables 556 804 989 VI. Non-current other financial assets 34,767 54,851 65,358 VII. Non-current other assets 1,502 2,084 568 VIII. Deferred tax assets 17,420 17,241 20,648 Other non-current assets 54,245 74,980 87,563 Total non-current assets 496,937 533,460 534,530 B. Current assets I. Inventories 175,735 145,802 163,057 II. Current trade receivables 249,979 156,989 236,608 III. Current income tax receivables 38,322 28,142 22,224 IV . Current other financial assets 131,010 162,765 108,826 V . Current other assets 13,691 21,526 13,317 VI. Cash and cash equivalents 102,521 114,680 93,674 Total current assets 711,258 629,904 637,706 Total assets 1,208,195 1,163,364 1,172,236 Sto SE & Co. KGaA, Stühlingen/Germany Group balance sheet as at 30 June 2026
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13 in EUR K 30/06/2026 31/12/2025 30/06/2025 Equity and liabilities A. Equity I. Subscribed capital 17,556 17,556 17,556 II. Capital reserves 57,804 57,804 57,804 III. Revenue reserves and other reserves 689,205 686,942 653,458 Share attributable to the shareholders of Sto SE & Co. KGaA 764,565 762,302 728,818 IV . Share of minority interests 16 20 19 Total equity 764,581 762,322 728,837 B. Non-current provisions and liabilities I. Provisions for pensions and similar liabilities 78,308 77,629 90,788 II. Non-current other provisions 14,070 14,102 18,557 III. Non-current lease liabilities 76,354 83,968 70,451 IV . Non-current trade payables 0 23 38 V . Non-current other financial liabilities 2,388 2,388 2,353 VI. Other non-current liabilities 157 156 6 VII. Deferred tax liabilities 5,141 1,737 1,117 Total non-current provisions and liabilities 176,418 180,003 183,310 C. Current provisions and liabilities I. Current other provisions 30,066 32,854 34,375 II. Current borrowings 1,870 1,702 1,722 III. Current lease liabilities 25,533 26,214 25,295 IV . Current trade payables 95,370 54,919 87,495 V . Current income tax liabilities 7,678 8,171 7,126 VI. Current other financial liabilities 17,036 40,919 18,008 VII. Current other liabilities 89,243 55,843 84,391 VIII. Current contract liabilities 400 417 1,677 Total current provisions and liabilities 267,196 221,039 260,089 Total debt capital 443,614 401,042 443,399 Total equity and liabilities 1,208,195 1,163,364 1,172,236
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14 Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 Sto SE & Co. KGaA, Stühlingen/Germany Consolidated statement of changes in equity as at 30 June 2026 in EUR K Equity attributable to the shares of the parent company Share of minority interests Total equity Subscribed capital Capital reserves Revenue reserves Currency translation reserve Reserve for pensions Reserve for FVOCI valuation Treasury stock Total As at 1 January 2025 17,556 57,804 694,658 6,465 − 10,238 318 − 23,055 743,508 20 743,528 EAT 0 0 16,327 0 0 0 0 16,327 2 16,329 Other earnings after taxes 0 0 0 − 10,100 0 120 0 − 9,980 0 − 9,980 Total comprehensive earnings 0 0 16,327 − 10,100 0 120 0 6,347 2 6,349 Dividend payout 0 0 − 21,037 0 0 0 0 − 21,037 − 3 − 21,040 Changes to the companies consolidated 0 0 0 0 0 0 0 0 0 0 As at 30 June 2025 17,556 57,804 689,948 − 3,635 − 10,238 438 − 23,055 728,818 19 728,837 As at 1 January 2026 17,556 57,804 712,802 − 2,210 − 544 − 51 − 23,055 762,302 20 762,322 EAT 0 0 18,524 0 0 0 0 18,524 − 1 18,523 Other earnings after taxes 0 0 0 4,582 0 122 0 4,704 0 4,704 Total comprehensive earnings 0 0 18,524 4,582 0 122 0 23,228 − 1 23,227 Dividend payout 0 0 − 21,037 0 0 0 0 − 21,037 − 3 − 21,040 Changes to the companies consolidated 0 0 0 72 0 0 0 72 0 72 As at 30 June 2026 17,556 57,804 710,289 2,444 − 544 71 − 23,055 764,565 16 764,581
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15 in EUR K Equity attributable to the shares of the parent company Share of minority interests Total equity Subscribed capital Capital reserves Revenue reserves Currency translation reserve Reserve for pensions Reserve for FVOCI valuation Treasury stock Total As at 1 January 2025 17,556 57,804 694,658 6,465 − 10,238 318 − 23,055 743,508 20 743,528 EAT 0 0 16,327 0 0 0 0 16,327 2 16,329 Other earnings after taxes 0 0 0 − 10,100 0 120 0 − 9,980 0 − 9,980 Total comprehensive earnings 0 0 16,327 − 10,100 0 120 0 6,347 2 6,349 Dividend payout 0 0 − 21,037 0 0 0 0 − 21,037 − 3 − 21,040 Changes to the companies consolidated 0 0 0 0 0 0 0 0 0 0 As at 30 June 2025 17,556 57,804 689,948 − 3,635 − 10,238 438 − 23,055 728,818 19 728,837 As at 1 January 2026 17,556 57,804 712,802 − 2,210 − 544 − 51 − 23,055 762,302 20 762,322 EAT 0 0 18,524 0 0 0 0 18,524 − 1 18,523 Other earnings after taxes 0 0 0 4,582 0 122 0 4,704 0 4,704 Total comprehensive earnings 0 0 18,524 4,582 0 122 0 23,228 − 1 23,227 Dividend payout 0 0 − 21,037 0 0 0 0 − 21,037 − 3 − 21,040 Changes to the companies consolidated 0 0 0 72 0 0 0 72 0 72 As at 30 June 2026 17,556 57,804 710,289 2,444 − 544 71 − 23,055 764,565 16 764,581
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16 Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 Sto SE & Co. KGaA, Stühlingen/Germany Consolidated statement of cash flows for the period from 1 January to 30 June 2026 in EUR K 30/06/2026 30/06/2025 Cash flow from operating activities EAT 18,523 16,329 Reconciliation of EAT and cash flow from operating activities Taxes on income and earnings 11,354 9,305 Net financial income/expense 640 − 373 EBIT 30,517 25,261 Depreciation/appreciation of fixed assets 33,390 33,583 Earnings from disposal of fixed assets − 429 − 204 Earnings from the disposal of consolidated companies and other business units 48 0 Other non-cash expenses/income 368 335 Income taxes paid − 18,779 − 20,749 Change in provisions − 2,141 − 242 Change in net current assets − 62,198 − 38,664 Cash flow from operating activities − 19,224 − 680 Cash flow from investment activities Investments in Property, plant, and equipment, and Intangible assets − 11,961 − 22,152 Payments received from other disposal of Intangible assets and Plant, property, and equipment 805 627 Payment received from the disposal of consolidated companies and other business units (less cash and cash equivalents disposed of) 517 0 Interest payments received 3,533 4,866 Disbursements for financial investments − 30,607 − 64,936 Deposits from financial investments 80,424 103,483 Cash flow from investment activities 42,711 21,888 Cash flow from financing activities Payments to minority shareholders − 3 − 3 Disbursements for the repayment portion of the lease liabilities − 13,283 − 13,147 Payments for non-current borrowings 0 − 4 Payments received for current borrowings 170 22 Payments for current borrowings − 2 − 20 Dividend payout − 21,037 − 21,037 Payments of interest − 2,139 − 2,007 Cash flow from financing activities − 36,294 − 36,196 Change in cash and cash equivalents from changes in exchange rates 619 − 2,306 Changes in cash and cash equivalents due to expected losses on cash and cash equivalents in accordance with IFRS 9 29 36 Cash and cash equivalents at the beginning of the period 114,680 110,932 Change in cash and cash equivalents − 12,159 − 17,258 Cash and cash equivalents at the end of the period* 102,521 93,674 * Cash and cash equivalents at the end of period equal the item Cash and cash equivalents shown in the balance sheet.
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17 for the period from 1 January to 30 June 2026 Information on geographic segments by sales markets in EUR K Western Europe Northern/Eastern Europe America/Asia/ Pacific Reconciliation/ consolidation booking entries Group External revenues 623,152 83,965 98,375 0 805,492 Inter-segment revenues 26,162 984 0 − 27,146 0 Segment turnover 649,314 84,949 98,375 − 27,146 805,492 Cost of materials 309,370 44,480 47,011 − 26,739 374,122 Personnel expenses 179,430 18,101 23,770 0 221,301 EBITDA 50,586 7,034 7,745 − 1,458 63,907 Depreciation/amortisation 25,278 4,274 3,838 0 33,390 EBIT 25,308 2,760 3,907 − 1,458 30,517 EBT 24,786 2,526 4,126 − 1,561 29,877 Investments 9,882 791 1,288 0 11,961 Employees as at the reference date 4,276 585 646 0 5,507 for the period from 1 January to 30 June 2025 Information on geographic segments by sales markets in EUR K Western Europe Northern/Eastern Europe America/Asia/ Pacific Reconciliation/ consolidation booking entries Group External revenues 596,462 77,021 103,648 0 777,131 Inter-segment revenues 23,741 1,304 174 − 25,219 0 Segment turnover 620,203 78,325 103,822 − 25,219 777,131 Cost of materials 295,125 41,402 51,463 − 25,154 362,836 Personnel expenses 172,271 17,127 24,243 0 213,641 EBITDA 45,409 6,029 7,724 − 318 58,844 Depreciation/amortisation 25,103 4,130 4,350 0 33,583 EBIT 20,306 1,899 3,374 − 318 25,261 EBT 20,379 1,942 3,643 − 330 25,634 Investments 17,858 1,201 3,093 0 22,152 Employees as at the reference date 4,278 587 669 0 5,534 Sto SE & Co. KGaA, Stühlingen/Germany Consolidated segment reporting
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18 Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 1. Basis of preparation Sto SE & Co. KGaA prepared its consolidated annual financial statement of the Group for the 2025 financial year in accord- ance with the International Financial Reporting Standards (IFRS) as applicable in the European Union, and the interpretations issued by the International Financial Reporting Interpretations Committee (IFRIC). Accordingly, this interim financial statement as at 30 June 2026 has similarly been prepared in accordance with the International Accounting Standard 34 'Interim Financial Reporting' as a condensed interim report. The condensed consolidated interim financial statement does not encompass all of the information and details required for consolidated financial statements and is therefore be assessed in conjunction with the consolidated annual financial statement of the Sto Group as at 31 December 2025. The consolidated interim financial statement has not been subjected to an audit. The release for publication was granted by the personally liable partner STO Management SE on 25 August 2026. 2. Accounting and valuation policies In order to draw up the condensed consolidated interim finan- cial statement, the accounting policies applicable as at 31 De- cember 2025 for the consolidated financial statement were adopted unchanged. A detailed description of these accounting policies was published in the Notes to the 2025 consolidated financial statement. IAS 19 – Employee Benefits In the case of companies that have the euro as their functional currency, a discount rate of 4. 17 % (31 December 2025: 4. 17 %) was used for the pension provisions. For companies with a dif- ferent functional currency, the discount rate was 1.3 % (31 De- cember 2025: 1.3 %). The measurement of pension provisions was carried out taking into account the actuarial sensitivity as at 31 December 2025. IAS 12 – Income Taxes Income tax expense was calculated in accordance with IAS 34 Interim Financial Reporting on the basis of the effective antici- pated tax rate for the entire financial year . IAS 36 – Triggering Event Due to economic developments in the first half of 2026, with negative deviations from turnover and earnings targets, there was a triggering event for individual CGUs in accordance with IAS 36. The resulting impairment tests did not result in any necessary impairment. IAS 21 – currency translation The financial statements in foreign currencies were translated using the modified closing rate method in accordance with IAS 21. According to this method, assets and liabilities are translated at closing rates and income and expenses at average rates. Equity is translated at historic rates. Any resultant cur- rency translation differences are recognised separately under equity and with no effect on profit or loss until such time as the subsidiary in question is deconsolidated. In the financial year , the currency translation differences from the translation of equity recognised with no impact on profit or loss amounted to EUR 4,582 K (previous year: EUR -10, 100 K) and mainly resulted from the US dollar development in the first half of 2026. 3. Companies consolidated The consolidated annual financial statement of the Sto Group includes Sto SE & Co. KGaA, the subsidiaries in and outside of Germany, joint ventures, and associated companies. When evaluating the companies consolidated, the joint control, or the type of joint control, no significant evaluations or assumptions were necessary, because the allocation was clear . In the case of subsidiaries, Sto SE & Co. KGaA is able to exercise a controlling influence as defined in IFRS 10. Control as defined in IFRS 10 exists when an investor has exposure or rights to vari- able returns from its involvement with the investee and has the ability to use its power over the investee to affect the amount of the investee’s returns. In the present consolidated annual financial statement, this is the case for shareholdings of more than 50 % without exception. In March 2026, the subsidiary Wuhan Sto Building Material Co. Ltd., Wuhan/China, was sold and deconsolidated. The sale and deconsolidation had no material impact on the half-year finan- cial statement. Sto SE & Co. KGaA, Stühlingen/Germany Notes to the condensed consolidated interim financial statements for the period from 1 January to 30 June 2026
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19 4. Earnings per share / distributed dividend Basic earnings per limited ordinary or limited preference share are calculated by dividing the proportion of earnings attribut- able to Sto SE & Co. KGaA's limited ordinary or limited prefer- ence shareholders by the weighted average number of limited ordinary and limited preference shares in circulation during the financial year . In addition to the issued shares, potential shares must also be taken into account when determining the diluted earnings per share. Both at 30 June 2026 and 30 June 2025, there were no potential shares. Hence, undiluted earnings per share corre- spond to diluted earnings per share. On 23 June 2026, a dividend payment for the 2025 financial year of EUR 0.25 per limited ordinary share and EUR 0.31 per limited preference share as well as a extra dividend of EUR 3.00 per share was made in accordance with the resolution of the Annual General Meeting on 18 June 2026. This corresponds to a total dividend payout of EUR 21,037 K. 5. Intangible assets and Property, plant, and equipment The Group acquired assets at acquisition costs of EUR 11,961 K (30 June 2025: EUR 22, 152 K) and sold assets with a carrying amount of EUR 363 K (30 June 2025: EUR 379 K). 6. Information on fair value The methods for measurement at fair value remain unchanged from the previous year . The following financial assets and liabilities accounted for at fair value are structured according to the following levels: Level 1 Financial instruments traded in active markets, the listed prices of which were adopted unchanged for measurement purposes. Level 2 The valuation was made on the basis of valuation methods in which the influential factors were derived either directly or indirectly from observable market data. They were measured based on the observable exchange rates, interest structure curves of the respective currencies as well as currency-related basic spreads between the respective currencies. Derivatives consisted exclusively of currency hedges. Level 3 The measurement was effected using valuation methods where the influential factors were not based exclusively on observable market data. Neither any reclassifications between the levels nor any addi- tions or disposals were carried out during the reporting period.
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20 Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026 in EUR K Carrying amount 30/06/2026 Fair value 30/06/2026 Other financial assets Non-current Investments 4 4 Loans 799 799 Financial investments (FVOCI) 16,170 16,170 Financial investments (FAAC) 15,784 15,859 Various other financial assets 2,010 2,010 Total non-current other financial assets 34,767 34,842 Current Financial investments (FVOCI) 102,207 102,207 Financial investments (FAAC) 24,758 24,716 Forward exchange contracts 317 317 Various other financial assets 3,728 3,728 Total current other financial assets 131,010 130,968 Total other financial assets 165,777 165,810 Other financial liabilities Non-current Various other financial liabilities 2,388 2,388 Total non-current other financial liabilities 2,388 2,388 Current Borrowings 1,870 1,870 Forward exchange contracts 675 675 Various other financial liabilities 16,361 16,361 Total current other financial liabilities 18,906 18,906 Total other financial liabilities 21,294 21,294 The following table shows carrying amounts and fair values of the financial instruments as at 30 June 2026: The carrying amounts of cash and cash equivalents, trade receivables and liabilities as well as current borrowings and other liabilities nearly correspond to the fair values due to their short terms. The following table shows the balance sheet items accounted for at fair value: in EUR K 30/06/2026 Level 1 Level 2 Level 3 Financial assets measured at fair value through profit or loss ∙ Derivatives with no hedge relationship 317 0 317 0 ∙ Miscellaneous 4 0 0 4 Financial assets measured at fair value with no impact on profit or loss ∙ Holding and trading of financial investments 118,377 118,377 0 0 Financial assets measured at fair value 118,698 118,377 317 4 Financial liabilities measured at fair value through profit or loss ∙ Derivatives with no hedge relationship 675 0 675 0 Financial liabilities measured at fair value 675 0 675 0
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21 7 . Contingencies and contingent liabilities As at 30 June 2026, liabilities for the acquisition of Property, plant, and equipment stood at EUR 3, 415 K (30 June 2025: EUR 4,513 K). Other contingencies and contingent liabilities con- tained in the 2025 consolidated annual financial statement of the Sto Group showed no appreciable changes. 8. Related-party disclosures The volume of deliveries and services in the first half year be- tween companies of the Group and related parties are set out in the following table: 9. Events following the conclusion of the reporting period Between the end of the reporting period and the point at which this report was signed off, there were no other events with a significant impact on the income, financial, and asset situation of the Group. in EUR K Share Rendered deliveries and services Received deliveries and services Receivables from Liabilities to 2026 2025 2026 2025 2026 2025 2026 2025 Inotec GmbH, Waldshut- Tiengen/Germany 47.5 % 8 8 1,554 1,554 151 251 148 139 STO Management SE, Stühlingen/Germany 339 367 1,475 1,746 67 73 2,051 1,683 Stotmeister Beteiligungs GmbH, Stühlingen/Germany 2 2 0 0 0 0 0 0 Other 1 0 218 178 0 0 67 0
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22 To the best of our knowledge and in accordance with the ap- plicable accounting principles for half-year financial reporting, we confirm that the interim consolidated financial statement provides a true and fair view of the assets, liabilities, financial position and profit or loss of the Group and that the consolidated interim management report presents a true and fair review of business development including the operating result and position of the Group, together with a description of the principal oppor- tunities and risks associated with the anticipated performance of the Group throughout the remainder of the financial year . Stühlingen/Germany, 25 August 2026 Sto SE & Co. KGaA represented by STO Management SE Executive Board Responsibility statement by the legal representatives Rainer Hüttenberger (Chief Executive Officer) Désirée Konrad Jost Joseph Bendel Sto SE & Co. KGaA • Half-year financial report in accordance with Section 115 of the German Securities Trading Act (WpHG) • 1 January to 30 June 2026