Interim report
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Half Year Financial Report REKA January - June 2026 Reka Industrial Plc INDUSTRIAL
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Reka Industrial Plc | Half Year Financial Report 2 Reka Industrial Plc: Volumes increased from last year Reka Industrial Plc’s half year financial report January-June 2026 APRIL - JUNE 202 6 • The Rubber segment’s turnover was EUR 8.9 (EUR 8.4) million • The Rubber segment’s EBITDA was EUR 1.0 (EUR 1.1) million • The Group’s turnover was EUR 8.9 (EUR 8.4) million • The Group’s EBITDA was EUR 0.8 (EUR 0.9) million • The Group’s operating profit was EUR 0.5 (EUR 0.6) million JANUARY - JUNE 202 6 • The Rubber segment’s turnover was EUR 17.5 (EUR 16.3) million • The Rubber segment’s EBITDA was EUR 1.9 (EUR 2.0) million • The Group’s turnover was EUR 17.5 (EUR 16.3) million • The Group’s EBITDA was EUR 1.5 (EUR 1.4) million • The Group’s operating profit was EUR 0.8 (EUR 0.8) million • The Group’s result for the period was EUR 0.6 (EUR 0.9) million • The Group’s cash and cash equivalents totalled EUR 29.5 million on June 30, 2026 Reka Industrial’s industrial business consists of Reka Rubber, which is one of the leading manufacturers of industrial rubber products in Northern Europe . The half-year financial report is unaudited. Figures in brackets refer to the same period a year earlier, unless otherwise stated. PRESIDENT AND CEO SARI TULANDER: Reka Rubber’s volumes increased during the first six months compared to the same period year earlier. The turnover increased 7.4 per cent to EUR 17.5 (16.3) million. The Rubber segment’s EBITDA was EUR 1.9 (2.0) million. The growth in turnover was driven by both increased rubber product volumes and a partial rise in sales prices. Customer-specific volumes varied signifi- cantly. Particularly, the mining industry increased its order volumes, while vol- umes in some other sectors contracted. The ongoing conflict in the Middle East and the energy crisis were reflected in the slow progress of new customer projects and Reka Rubber’s rising costs. Material and energy prices, as well as transportation costs, have increased significantly during the first half of the year, which weakened the EBITDA de- spite increased volumes. Thanks to the measures implemented in 2025 and in the beginning of the year to improve productivity, material efficiency, and prof- itability, EBITDA was only EUR 0.1 million lower than a year earlier. Reka Rubber has passed on these material cost increases to the sales prices of rubber products in accordance with customer agreements, but there is a delay updating prices for all customers. A large part of the increases will take effect during the second half of the year. Reka Rubber has a strong and diverse customer base that values high pro- duction quality and an agile operating model. The company sees significant growth potential both in expanding collaboration with existing customers and in acquiring new ones. The sales organization, strengthened over the past year, has focused on active customer acquisition. This effort has already yielded results, which will be reflected in turnover later. Initiating customer col- laboration through to the production phase involves multiple steps and can be a process spanning several years. During the first half of the year, decisions were made regarding several invest- ments to increase production capacity and develop production technology. A subsidiary established in Ukraine acquired production facilities in the city of Novoselytsja, with the aim of launching silicone product manufacturing in early 2027 following the necessary modifications. Relocating silicone product man- ufacturing from Poland to Ukraine frees up much-needed space to increase the production of black hoses at the Polish Dopiewo factory. In June, a
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Reka Industrial Plc | Half Year Financial Report 3 decision was made to acquire two new injection molding machines for the Aura factory and a new braiding machine for the Dopiewo factory. Measures to develop production and products with a focus on sustainability continued according to plan. The energy project launched in 2025 to convert the Aura factory’s production process CO2-free has progressed, and the new power-to-heat thermal storage is expected to be commissioned in August. Ef- forts to enhance the recyclability of rubber materials also continued. With its strategy, Reka Industrial aims to increase shareholder value through M&A arrangements. We have a strong background in industrial manufacturing and international operations, complemented by our entrepreneurial approach. Based on these strengths, we identify and evaluate new opportunities and fur- ther develop our operations. MAJOR EVENTS DURING THE FINANCIAL PERIOD On January 30, 2026, Reka Industrial published that Reka Rubber Ltd, a subsidiary of Reka Industrial Plc, had decided to establish a wholly owned subsidiary in Ukraine. The subsidiary has now been established, and the in- dustrial property in Ukraine with the purpose of commencing production of technical rubber products has been acquired. Next, the renovation work on the acquired premises will begin. The establishment of the subsidiary is part of Reka Rubber’s ongoing strategy to develop and increase its production ca- pacity and to support long-term growth. NEAR - TERM OUTLOOK The Rubber segment continues to improve productivity and profitability, while creating more conditions for future growth. Investments will be continued for long-term growth, which is supported by investments in production technology that has lower emissions and consumes less natural resources. In 2026, the EBITDA is expected to be better than in the previous year. The company will continue to explore M&A arrangements. KEY FIGURES 1-6/2026 1-6/2025 1-12/2025 Turnover, EUR million 17.5 16.3 31.6 EBITDA, EUR million 1.5 1.4 2.5 Operating profit, % 4.3 4.7 3.7 Result for the period, EUR million 0.6 0.9 1.2 Earnings per share 0.10 0.16 0.20 Net cash provided by operating activities, EUR million 1.2 1.1 1.7 IAS 19 corrected ROI, % 4.3 5.8 5.1 IAS 19 corrected Equity ratio, % 67.2 70.7 68.9 The Reka Industrial Group (Reka Industrial) uses alternative key figures in its financial reporting in accordance with the guidelines of the European Securi- ties and Markets Authority (ESMA). According to Reka Industrial's interpretation, alternative key figures in accordance with ESMA's guidelines include EBITDA, Operating profit, IAS 19 corrected Equity ratio and IAS 19 corrected Return on Investment (ROI). Reka Industrial presents alternative key figures so that the effects of IAS 19 recognition of defined benefit pension liabilities are eliminated from the result and balance sheet items of the key figures. The entries of the IAS 19 defined benefit plan in the income statement are presented below the operating result as a separate item before the share of the result of associated companies. In this way, the development of Reka Industrial's operational business can be better monitored.
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Reka Industrial Plc | Half Year Financial Report 4 TURNOVER AND OPERATING RESULT The Group’s turnover was EUR 17.5 (16.3) million. EBITDA was EUR 1.5 (1.4) million and operating result was EUR 0.8 (0.8) million. The result for the review period was EUR 0.6 (0.9) million. BALANCE SHEET AND FINANCING The balance sheet total at the end of the review period was EUR 66.9 million (EUR 65.2 million on December 31, 2025). At the end of the review period, the Group’s cash and cash equivalents totalled EUR 29.5 million (EUR 30.0 million on December 31, 2025). Cash equivalents are invested mainly in low-risk instruments and short-term deposits. At the end of the review period, the Group’s interest-bearing liabilities were EUR 9.8 million (EUR 9.7 million on December 31, 2025), of which other than finance lease liabilities were EUR 5.5 million (EUR 5.0 million on December 31, 2025). SUSTAINABILITY Reka Industrial promotes sustainability in the development of its business and daily work. The aims of the sustainability work have been formed according to the UN Global Compact initiative, and Reka Industrial has chosen five of 17 goals in the initiative that are most important to its business. Reka Industrial’s goal is to take into account the needs and wishes of all its stakeholders and actively promote sustainable development according to these needs. The company invests in its personnel’s working conditions and develops the competence of its personnel. The company is a long-term responsible busi- ness partner to its customers and representatives of its supply chain. Reka In- dustrial follows highly ethical rules, which it also requires from its business part- ners. Reka Rubber promotes common goals with Reka Industrial and is also involved in the chemical industry’s Responsible Care programme, the key themes of which are the sustainable use of natural resources and the sustainability of pro- duction and products. Reka Rubber is committed to the EcoVadis system, which is an independent and international sustainability assessment system. EcoVadis reviews the company’s labour practices, ethics, environmental re- sponsibility, and sustainable supply chain. The sustainability work is also sup- ported by an ISO 14001 certified environmental management system and an ISO 9001 certified quality management system. Reka Rubber holds the re- quired environmental permits. For Reka Rubber, climate action means reducing emissions and improving en- ergy efficiency. At the same time, the aim is to influence factors affecting air quality. Reka Rubber calculates the carbon footprint of its own operations, which it strives to reduce by consuming emission-free electricity and improving energy efficiency of its own operations. Both Reka Rubber’s factories use CO2- free electricity. Reka Rubber’s energy project, launched in February 2025, is expected to be commissioned in August 2026. As a result of the project , the energy efficiency of the Aura factory will improve, and the energy used in steam -powered pro- duction processes will become CO2-free. The energy used in other production processes at the Aura factory has already been CO2 -free. Solar panels have been installed at the factory in Aura and both factories are gradually switching to LED lighting. An essential factor is also the rubber raw material, its efficient use and produc- tion waste. The Rubber segment strives to reduce the amount of rubber waste in proportion to production tonnes through material selection, process develop- ment and technical supports, as well as by enhancing the utilization of waste. SEGMENT S Reka Industrial’s industrial business consists of Reka Rubber Ltd’s business and it has one segment, the Rubber segment.
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Reka Industrial Plc | Half Year Financial Report 5 Rubber segment In January-June 2026, the Rubber segment’s turnover was EUR 17.5 (16.3) million. EBITDA was EUR 1.9 (2.0) million. 4-6/2026 4-6/2025 1-6/2026 1-6/2025 1-12/2025 Turnover, EUR million 8.9 8.4 17.5 16.3 31.6 EBITDA, EUR million 1.0 1.1 1.9 2.0 3.5 The power-to-heat thermal storage solution ordered in 2025 is expected to be commissioned in August 2026. The heat recovery solution to further reduce the carbon footprint will be completed during the year 2026 at the Aura factory. INVEST MEN T S During the review period the investments totalled at EUR 2.0 (1.7) million of which the investments to Rubber segment were EUR 2.0 (1.7) million. PERSONNEL In January-June 2026 the Group employed an average of 282 (270) people. ANNUAL GENERAL MEETING AND THE AUTHORI S ATION OF THE BOARD OF DIRECTORS The Annual General Meeting of Reka Industrial Plc was held on 24 April, 2026, in Hyvinkää. The AGM approved the financial accounts for the 202 5 accounting period and granted the Company’s Board and the Managing Director discharge from liabil- ity for the 2025 accounting period. The AGM resolved, that for the financial year 2025 a dividend of EUR 0.09 per share will be paid. The AGM decided to approve the company's 202 5 remuneration report. Ac- cording to the Companies Act, the decision is advisory. The AGM approved the proposed annual remuneration of EUR 2 8,000 for the members of the Board of Directors and EUR 50,000 for the chairperson of the Board. Circa 40 per cent of the annual remunerations will be paid with the shares of the company. Transfer to the shares is made by using the average share price of Reka Industrial Plc’s B-share in May 2026 and the shares will be handed over in June 2026. The AGM approved that the members of the Board are compensated for their travel expenses in accordance with company’s travel rule. The AGM resolved that the auditors’ fees be paid as per invoice approved by the company. The AGM approved, in accordance with the shareholders’ proposal, that the number of members of the Board shall be four (4) and elected the following persons to the Board: Markku Rentto, chairperson; Riitta Mynttinen, deputy chairperson and Matti Copeland and Riku Kytömäki as members of the Board. No deputy members were elected. The AGM elected, in accordance with the shareholders’ proposal, Authorized Public Accountants KPMG Ltd, with Authorized Public Accountant J onne Aho- kas as responsible auditor, as the Company’s auditor for a term that expires at the end of the Annual General Meeting of 2027. The AGM authorized, in accordance with the Board of Director’s proposal, the Board of Directors to decide on the acquisition of the Company’s own shares with assets from the Company’s unrestricted equity. The shares will be acquired through trading arranged by Nasdaq Helsinki in accordance with its rules, and the consideration to be paid for the shares to be acquired must be based on market price. The Company may acquire B class shares directly by a contrac- tual trade, provided that the number of class B sha res to be acquired via con- tractual trade is at least 15,000 and that the consideration to be paid for the shares is equal to the prevailing market price in Nasdaq Helsinki at the time of the acquisition. When carrying out acquisitions of the Company’s own shares, derivatives, stock lending and other agreements customary to the capital mar- kets may be entered into within the limits set by law and regulations.
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Reka Industrial Plc | Half Year Financial Report 6 The authorization entitles the Board of Directors to also decide on a directed acquisition in a proportion other than that of the shares held by the sharehold- ers, provided the Company has a weighty reason for this as defined in the Finn- ish Companies Act. The maximum number of class B shares to be acquired may not exceed a total of 588,076. The amount corresponds to approximately 9.77 per cent of all the shares in the Company and in total 10 .0 per cent of the Company’s class B shares. The Board of Directors is entitled to decide on all other matters pertaining to acquiring of the Company's own shares. The authorization is proposed to remain in force until the next Annual General Meeting, however not later than October 2 4, 2027. The authorization replaces the authorization given by the previous Annual General Meeting on April 24, 2025, to repurchase and pledge the company's own shares. In accordance with the Board's proposal, the Annual General Meeting author- ized the Board to decide on handover of own shares. The amount of shares to be handed over in total can be maximum 588,076 B shares, which corresponds to approximately 9.77 per cent of all the shares of the Company and in total 10.0 per cent of the Company's class B shares, depending on the situation on the date of the notice. The authorization entitles the Board of Directors to decide on all other conditions for the handover of shares, including the right to deviate from the shareholders' pre-emptive subscription right. The authorization is valid until the next Annual General Meeting. The authori- zation replaces the authorization given by the previous Annual General Meeting on April 24, 2025, for the handover of own shares. SHARES AND SHARE CAPITAL Reka Industrial Plc’s share capital is divided into A and B -shares. The total share capital of all the company ’s shares at the end of June 202 6 was EUR 24,081,440 and the number of the shares 6,020,360. The total number of shares includes 11,484 B-shares held by Reka Industrial Plc. The holding represents 0.2 % of the company´s share capital and 0.1 % of the votes. The company held no A -shares. Reka Industrial Plc’s B -shares (REKA) are listed on the exchange list of NASDAQ Helsinki. Company shares 30/6/2026 30/6/2025 Company share capital (EUR) 24,081,440 24,081,440 A-shares (20 votes per share) 139,600 139,600 B-shares (1 vote per share) 5,880,760 5,880,760 Total 6,020,360 6,020,360 B-shares held by the company 11,484 24,525 On January-June 2026, a total of 601,100 (685,413) of the company’s B shares were traded on NASDAQ Helsinki Ltd, representing 10.2 % (11.7) of the total number of the shares. At the end of trading on June 202 6 the share price was EUR 4.02 (4.00) and the average share price for the review period was EUR 4.39 (5.00). The lowest quotation in January -June was EUR 3.96 (3.92) with the highest being EUR 4.28 (6.32). The company’s market capitalisation was valued at EUR 24.2 million (24.1) on June 30, 2026. ACQUISITION AND TRANSFER OF THE COMPANY’S OWN SHARES On June 30, 2026, the company held a total of 11,484 own B-shares. Reka In- dustrial Plc’s Board of Directors did not exercise its authorization to acquire the company´s own shares. Reka Industrial Plc has used the authorization to transfer treasury B-shares against or without payment. At the review period January –June 2026 Reka In- dustrial Plc has paid remuneration to the Board of Directors with shares, total- ling to 13,041 shares. GROUP STRUCTURE AND SHAREHOLDERS Reka Industrial Plc is the parent company of the Group, whose actual business company is Reka Rubber Ltd. Reka Industrial Plc is domiciled in Hyvinkää.
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Reka Industrial Plc | Half Year Financial Report 7 At the end of the review period , Reka Industrial had 11,400 shareholders (12,135). The largest shareholder, Reka Ltd, held 50.2 percent (50.2) of the shares and 65.4 percent (65.4) of the votes. Reka Industrial Plc is therefore part of the Reka Group. Reka Ltd is domiciled in Juupajoki. At the end of June, the combined holding of the ten largest shareholders was 55.7 percent (54.0) of the shares and 68.7 percent (68.6) of the votes. The members of the Board of Directors, the Managing Director and the CFO directly and through their controlled corporations owned and controlled on June 30, 2026 a total of 2,968,694 (2,954,305) of Reka Industrial’s B shares. RISKS AND UNCERTAINTY FACTORS The financial situation in the euro area and geopolitical uncertainties may have an effect on the purchase amounts and the launch of new projects of the cus- tomers in the Rubber segment. The threat of an energy crisis caused by the conflict in the Middle East is creating uncertainty in the market and its effects on the price and availability of energy and materials, as well as on transporta- tion times and costs, may become even stronger. Financial risks and the related protection measures are described in more detail in the notes to the Financial Statements. The company’s future risk factors are related to the investment activities and the development of its business seg- ments. The Reka Industrial Group belongs to the Reka Pension Fund for the compa- nies located in Finland. According to current legislation, the pension fund must have at least 150 employed members. Reka Cables Ltd, previously part of the group, was transferred out of the Reka Pension Fund at the end of March 2025. After the transfer of Reka Cables Ltd out of Reka Pension Fund, Reka Pension Fund was left with less than 150 employed members. Reka Pension Fund has announced that one new member company joined the fund at the beginning of April 2026, which increased the number of working members. However, the number of working members still remains slightly below 150 people. If the number of working members of Reka Pension fund does not increase over 150 persons during the next year, possibly with an additional 1 year if re- ceiving official permit, may the pension fund be dissolved in 2028. If Reka Pen- sion fund is dissolved, the IAS 19 entries related to the pension fund will be removed (IAS 19 pension receivable EUR 6.3 million). The view of the Board of the Group and the parent company and Reka Pension fund is that the num- ber of members will increase and the required limit of 150 working people will be met. On June 30, 2026 Reka Rubber sub-group has a total of EUR 8.0 (EUR 8.0 on December 31, 2025) million guarantee capital investments in Reka Pension fund. If Reka Pension fund is dissolved and at the time of dissolvement the pension fund’s solvency is not sufficient to repay the guarantee capital invest- ments, an investment loss will arise to the extent that the investment cannot be recovered. In the financial statements on December 31, 2024, an expense pro- vision of EUR 2.3 million has been taken into account in case the development of Reka Pension fund's membership does not develop favorably. The provision was not cancelled due to the uncertainty still related to the matter. MAJOR EVENTS AFTER THE REVIEW PERIOD There have been no major events after the review period. In Hyvinkää 6 August 2026 Reka Industrial Plc Board of Directors Further information: Sari Tulander, President and CEO, tel. +358 44 044 1015
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Reka Industrial Plc | Half Year Financial Report 8 Consolidated income statement (IFRS) EUR 1,000 1/1-30/6/2026 1/1-30/6/2025 Turnover 17,469 16,328 Change in inventories of finished products and production in progress 16 34 Other operating income 186 97 Materials and services -7,799 -7,570 Personnel expenses -5,858 -5,142 Depreciation and impairment -724 -650 Other operating expenses -2,531 -2,325 -16,711 -15,556 Operating result 758 772 Financial income 583 876 Financial expenses -378 -358 IAS 19 defined benefit plans -145 -54 Result before taxes 818 1,235 Taxes -224 -293 Result for the period 594 942 Profit or loss attributable to Shareholders of the parent 594 942 594 942 Earnings per share attributable to the shareholders of the parent before dilution, EUR 0.10 0.16 after dilution, EUR 0.10 0.16 Number of shares 6,008,876 5,995,835 Consolidated statement of comprehensive income (IFRS) EUR 1,000 1/1-30/6/2026 1/1-30/6/2025 Result for the period 594 942 Other comprehensive items that may subsequently re- classified to statement of income Translation differences related to foreign units -54 17 Total -54 17 Other comprehensive items that are not subsequently reclassified to statement of income Items related to remeasurements of net defined benefit liabil- ity 111 879 Taxes of items that are not subsequently reclassified to state- ment of income -22 -176 Total 89 703 Total comprehensive income 630 1,662 Total comprehensive income attributable to Shareholders of the parent 630 1,662 630 1,662
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Reka Industrial Plc | Half Year Financial Report 9 Consolidated balance sheet (IFRS) EUR 1,000 30/6/2026 30/6/2025 31/12/2025 ASSETS Non-current assets Other intangible assets 1,696 2,052 1,881 Tangible assets 7,269 5,115 5,696 Right-of-use assets 2,226 2,653 2,410 Guarantee capital investment 8,000 8,000 8,000 IAS19 pension receivable 6,273 6,473 6,343 Deferred tax assets 2,044 2,002 2,024 Total non-current assets 27,507 26,295 26,354 Current assets Inventories 4,375 4,138 3,993 Sales receivables and other receivables 5,531 6,613 4,801 Tax receivables from the profit for the financial year 0 222 46 Other cash equivalents 29,176 24,726 29,539 Cash and cash equivalents 287 1,148 498 Total current assets 39,369 36,846 38,875 Total assets 66,877 63,141 65,229 EUR 1,000 30/6/2026 30/6/2025 31/12/2025 SHAREHOLDERS' EQUITY AND LIABILITIES Shareholders' equity Share capital 24,081 24,081 24,081 Premium fund 66 66 66 Reserve fund 1,221 1,221 1,221 Own shares -42 -46 -46 Translation differences 13 52 67 Retained profit 19,051 18,527 18,915 Other unrestricted equity 436 436 436 Total shareholders' equity 44,827 44,338 44,740 Non-current liabilities Deferred tax liabilities 2,360 2,336 2,361 Provisions 1,873 1,918 1,851 Financial liabilities 2,629 58 2,785 Lease liabilities 3,674 4,360 4,032 Other liabilities 106 127 25 Current liabilities Tax liabilities from the profit 173 264 225 Provisions 2,400 2,394 2,400 Financial liabilities 2,861 2,011 2,165 Lease liabilities 676 678 685 Accounts payable and other liabilities 5,298 4,656 3,960 Total liabilities 22,050 18,803 20,489 Total shareholders' equity and liabilities 66,877 63,141 65,229
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Reka Industrial Plc | Half Year Financial Report 10 Consolidated statement of changes in shareholders’ equity (IFRS) EUR 1,000 Share capital Premium fund Reserve fund Own shares Translation differences Other un- restricted equity Retained profit Total share- holders' equity Shareholders' equity 31/12/2024 24,081 66 1,221 -136 36 436 17,328 43,032 Comprehensive income Result for the period 1,218 1,218 Other comprehensive items Items related to remeasurements of net defined benefit liability 1,014 1,014 Taxes of net defined liability -203 -203 Total 811 811 Translation differences 31 31 Total 31 0 31 Total comprehensive income 31 2,029 2,061 Other change 14 14 Transactions with the owners Dividends paid -419 -419 Payments by own shares 90 -38 52 Total transactions with the owners 90 -456 -366 Shareholders' equity 31/12/2025 24,081 66 1,221 -46 67 436 18,915 44,740
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Reka Industrial Plc | Half Year Financial Report 11 EUR 1,000 Share capital Premium fund Reserve fund Own shares Translation differences Other un- restricted equity Retained profit Total share- holders' equity Shareholders' equity 31/12/2025 24,081 66 1,221 -46 67 436 18,915 44,740 Comprehensive income Result for the period 594 594 Other comprehensive items Items related to remeasurements of net defined benefit liability 111 111 Taxes of net defined liability -22 -22 Total 89 89 Translation differences -54 -54 Total -54 -54 Total comprehensive income -54 683 630 Other change -13 -13 Transactions with the owners Dividends paid -540 -540 Payments by own shares 4 6 10 Total transactions with the owners 4 -534 -530 Shareholders' equity 30/6/2026 24,081 66 1,221 -42 14 436 19,051 44,827
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Reka Industrial Plc | Half Year Financial Report 12 Consolidated cash flow statement (IFRS) EUR 1,000 1/1-30/6/2026 1/1-30/6/2025 Cash flows from operating activities Payments received from operating activities 16,736 14,716 Payments paid on operating activities -15,226 -14,222 Paid interests and other financial expenses -289 -178 Interests received and other financial incomes 225 279 Direct taxes paid -229 -18 Net cash provided by operating activities 1,218 577 Cash flows from investments Investments in tangible assets -1,919 -1,639 Sales of tangible assets 228 0 Sales of other assets 0 766 Granted loans 0 -1,000 Net cash provided by investing activities -1,691 -1,872 Cash flows from financing activities Increase in loans 697 1,401 Decrease in loans -300 -348 Payments of finance lease activities -227 -305 Dividends paid -540 -419 Net cash provided by financing activities -369 329 Change in cash and cash equivalents at the end of the period -842 -966 Cash at the beginning of the period 498 213 Other cash equivalents at the beginning of the period 29,539 26,150 Cash and cash equivalents at the beginning of the period 30,036 26,363 Exchange rate differences -3 -1 Unrealized changes in values of other cash equivalents 272 475 Cash and cash equivalents at the end of the period 29,463 25,873 Cash at the end of the period 287 1,148 Other cash equivalents at the end of the period 29,176 24,726 Cash and cash equivalents in the consolidated cash flow statement includes cash as well as other cash equivalents. The presentation method is upgraded since the fi- nancial statements 2025.
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Reka Industrial Plc | Half Year Financial Report 13 Notes ACCOUNTING POLICIES This unaudited interim report has been prepared in accordance with IAS 34 requirements for interim reports. This interim report has been prepared in ac- cordance with the same principles as the financial statements for 2025. The Group has adopted following new or amended IAS/IFRS standards and inter- pretations effective from January 1, 2026, but these do not have essential ef- fect on the financial statements. SUSTAINABILITY Reka Industrial promotes sustainability in the development of its business and daily work. The aims of the sustainability work have been formed according to the UN Global Compact initiative, and Reka Industrial has chosen five of 17 goals in the initiative that are most important to its business. Reka Industrial’s goal is to take into account the needs and wishes of all its stakeholders and actively promote sustainable development according to these needs. The company invests in its personnel’s working conditions and develops the competence of its personnel. The company is a long-term responsible busi- ness partner to its customers and representatives of its supply chain. Reka In- dustrial follows highly ethical rules, which it also requires from its business part- ners. Reka Rubber promotes common goals with Reka Industrial and is also involved in the chemical industry’s Responsible Care programme, the key themes of which are the sustainable use of natural resources and the sustainability of pro- duction and products. Reka Rubber is committed to the EcoVadis system, which is an independent and international sustainability assessment system. EcoVadis reviews the company’s labour practices, ethics, environmental re- sponsibility, and sustainable supply chain. The sustainability work is also sup- ported by an ISO 14001 certified environmental management system and an ISO 9001 certified quality management system. Reka Rubber holds the re- quired environmental permits. For Reka Rubber, climate action means reducing emissions and improving en- ergy efficiency. At the same time, the aim is to influence factors affecting air quality. Reka Rubber calculates the carbon footprint of its own operations, which it strives to reduce by consuming emission-free electricity and improving energy efficiency of its own operations. Both Reka Rubber’s factories use CO2- free electricity. Reka Rubber’s energy project, launched in February 2025, is expected to be commissioned in August 2026. As a result of the project, the energy efficiency of the Aura factory will improve, and the energy used in steam -powered pro- duction processes will become CO2-free. The energy used in other production processes at the Aura factory has already been CO2 -free. Solar panels have been installed at the factory in Aura and both factories are gradually switching to LED lighting. An essential factor is also the rubber raw material, its efficient use and produc- tion waste. The Rubber segment strives to reduce the amount of rubber waste in proportion to production tonnes through material selection, process develop- ment and technical supports, as well as by enhancing the utilization of waste. SEGMENT S Reka Industrial’s industrial business consists of Reka Rubber Ltd’s business and there is one segment, the Rubber segment. All other operations are cate- gorised to Other operations and eliminations.
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Reka Industrial Plc | Half Year Financial Report 14 30/6/2026 EUR 1,000 Rubber Eliminations and other operations Group Turnover 17,469 0 17,469 EBITDA 1,878 -396 1,482 Unallocated items -889 -889 Result before taxes 818 Result for the period 594 Assets Segment's assets 26,579 40,297 66,877 Total assets 26,579 40,297 66,877 Liabilities Segment's liabilities 17,048 5,002 22,050 Total liabilities 17,048 5,002 22,050 Assets - Liabilities 9,531 35,295 44,827 Investments 1,972 66 2,037 Depreciations 724 724 30/6/2025 EUR 1,000 Rubber Eliminations and other operations Group Turnover 16,328 0 16,328 EBITDA 2,009 -587 1,422 Unallocated items -481 -481 Result before taxes 1,235 Result for the period 942 Assets Segment's assets 25,460 37,681 63,141 Total assets 25,460 37,681 63,141 Liabilities Segment's liabilities 13,678 5,125 18,803 Total liabilities 13,678 5,125 18,803 Assets - Liabilities 11,782 32,556 44,338 Investments 1,671 25 1,696 Depreciations 650 650
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Reka Industrial Plc | Half Year Financial Report 15 Rubber segment's turnover by product group, EUR million 1-6/2026 1-6/2025 Moulded 6.3 5.7 Hoses 9.8 9.1 Other 1.4 1.5 Total 17.5 16.3 Rubber segment's turnover by sales area, EUR million 1-6/2026 1-6/2025 EU-countries 14.8 13.9 Non-EU-countries 2.6 2.4 Total 17.5 16.3 Taken all market areas into the consideration the largest customer group’s share of the Group’s turnover was 28.6 per cent. The percentage shows that the volumes of the largest customer group have increased and are growing, while the volumes of some other larger customers are still at last year's level or lower than the previous year. Other separate customer’s share of the Group’s turnover was under 10 per cent. OTHER OPERATING INCOME EUR 1,000 1-6/2026 1-6/2025 Gains on the sale of fixed assets 101 0 Rental income 79 91 Other income 6 6 Total 186 97 Gains on the sales of fixed assets consist of sales of real estate as well as machinery and equipment. OTHER OPERATING EXPENSES EUR 1,000 1-6/2026 1-6/2025 Short-term variable compensation -148 -127 Other variable compensation -27 -27 Rental expenses total -175 -152 Machinery and property maintenance costs -839 -654 Sales and marketing expenses -325 -244 Voluntary personnel expenses -352 -305 Other expenses -841 -971 Total -2,531 -2,325 CHANGES IN NON - CURRENT ASSETS EUR 1,000 1-6/2026 1-6/2025 Book value at the beginning of the period 8,106 6,850 Investments 2,035 1,696 Decrease -100 -352 Depreciation -741 -486 Translation differences 194 60 Book value at the end of the period 9,494 7,768
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Reka Industrial Plc | Half Year Financial Report 16 FINANCIAL ASSETS EUR 1,000 Positive current val- ues Negative current values Current net values 30/06/26 Current net values 31/12/25 Nominal values 30/06/26 Nominal values 31/12/25 Investments Mandatum - funds 17,710 17,710 18,148 15,866 16,501 Lähi-Tapiola - funds 6,049 6,049 5,945 5,000 5,000 Aristoi -funds 5,416 5,416 5,445 5,000 5,000 Total 29,176 29,176 29,539 25,866 26,501 Investments included in financial assets have been valued using third- party market value reports (hierarchy level 2). Funds are interest invest- ments related to corporate loans and short-term interests. Aristoi -financial management is an investment portfolio including money market deposits, investments in bonds (companies and state) and other commodities. With- drawal from the funds is possible within 2 banking days. FINANCIAL LIABILITIES EUR 1,000 30/06/2026 31/12/2025 Long-term financial liabilities valued at allocated acquisition cost Bank loans 2,100 2,400 Lease liabilities 3,674 4,032 Other loans 529 385 Total 6,303 6,817 EUR 1,000 30/06/2026 31/12/2025 Short-term financial liabilities valued at allocated acquisition cost Bank loans 2,824 2,165 Lease liabilities 676 685 Other loans 37 0 Total 3,537 2,850 CONTINGENT LIABILITIES AND COMMITMENTS EUR 1,000 30/06/2026 31/12/2025 Granted business mortgages 5,200 5,200 Granted real estate mortgages 4,667 4,667 Granted guarantees 3,000 3,000 Guarantees and payment commitments 76 76 The amount of corporate mortgages on June 30, 2026 was EUR 5.2 mil- lion (EUR 5.2 million on December 31, 2025). Granted guarantees are a guarantee given by the parent company for Reka Rubber Ltd’s financial institution loan. INVEST MENT COMMITMENTS On June 30, 2026, the investment commitments for tangible assets amounted to EUR 0.9 million (EUR 1.1 million on December 31, 2025). RELATED - PARTY EVENTS The Group’s related parties include the subsidiaries and associated compa- nies, other companies belonging to the Reka Group, Reka Pension Fund, the Group’s Board of Directors and their close family members as well as management group and their close family members. Also related parties in- clude companies, that have ownership connection through the owner who has significant decision power, or that belong to the related-party companies via the management or board members. Reka Industrial's management group consists of Managing Director and CFO. Reka Industrial Plc, and therefore also the Reka Industrial Group, belong to the Reka Group. Reka Ltd has a 50.16 per cent holding of shares and a 65.36 per cent holding of votes.
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Reka Industrial Plc | Half Year Financial Report 17 Related-party transactions Transactions with the Reka Group: 1 000 euroa 1-6/2026 1-6/2025 Other purchases -175 -150 Interest revenue 0 11 Loan receivables 0 1,000 Sales receivables and other receivables at the end of the period 11 11 The Reka Industrial Group uses the Reka Group level finance and support- ing systems as well as related licenses and virtual servers. Transactions with the Reka Pension fund: EUR 1,000 1-6/2026 1-6/2025 Paid pension expenses -395 -300 Rental expenses -289 -291 Financial income 159 158 Guarantee capital investment 8,000 8,000 Other liabilities at the end of the period 113 0 Other receivables at the end of the period 28 27 Reka Group’s pension insurances were transferred into Reka’s Pension Fund on 31 December 2015. Because of the transfer, pension liabilities of Reka Industrial Group have been processed in IFRS through benefit- based calculation. On June 30, 2026 Reka Rubber sub-group has a total of EUR 8.0 million of guarantee capital investments in Reka Pension Fund. The interest on the guarantee capital investment is 4.0 per cent p.a. Guarantee capital investment is a strategic investment in the Reka Pen- sion fund and it supports Reka Pension fund’s solvency. Investment is long-term investment because the repayment depends on Reka Pension fund’s solvency. If Reka Pension fund is dissolved and at the time of dis- solvement the pension fund’s solvency is not sufficient to repay the guar- antee capital investment, an investment loss will arise to the extent that the investment cannot be recovered. In the financial statements on De- cember 31, 2024, an expense provision of EUR 2.3 million has been taken into account in case the development of Reka Pension fund's membership does not develop favorably. The provision was not cancelled during the fi- nancial period January – June 2026 due to the uncertainty still related to the matter. According to current legislation, the pension fund must have at least 150 employed members. Reka Cables Ltd, previously part of the group, was transferred out of the Reka Pension Fund at the end of March 2025. After the transfer of Reka Cables Ltd out of Reka Pension Fund, Reka Pension Fund was left with less than 150 employed members. Reka Pension Fund has announced that one new member company joined the fund at the be- ginning of April 2026, which increased the number of working members. However, the number of working members still remains slightly below 150 people. If the number of working members of Reka Pension fund does not increase over 150 persons during the next year, possibly with an additional 1 year if receiving official permit, may the pension fund be dissolved in 2028. If Reka Pension fund is dissolved, the IAS 19 entries related to the pension fund will be removed (IAS 19 pension receivable EUR 6.3 million). The view of the Board of the Group and the parent company and Reka Pension fund is that the number of members will increase and the required limit of 150 working people will be met. Transactions with other related parties: EUR 1,000 1-6/2026 1-6/2025 Rental incomes 7 8 Other purchases 8 23 Other liabilities at the end of the period 1 6
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Reka Industrial Plc | Half Year Financial Report 18 Other related parties consist of companies that have an ownership rela- tionship through the owner who has significant decision power, or that be- long to the related-party companies via the management or board mem- bers or their close family members. The Group has no other significant transactions, receivables or liabilities or guarantees with related parties. CALCULATION OF KEY FINANCIAL INDICATORS IAS 19 corrected Return on investment (ROI), % IAS 19 corrected result before taxes + interest and other financial ex- penses [Balance sheet total – obligatory provisions and non-interest-bearing liabili- ties excluding effects of IAS 19 bookings] (average) IAS 19 corrected Equity ratio, % Shareholders’ equity + non-controlling interest excluding effects of IAS 19 bookings Balance sheet total – advances received excluding effects of IAS 19 book- ings Earnings per share (EPS), EUR Profit for the period attributable to equity holders of the parent Numbers of shares adjusted for share issues (average) Operating profit The net amount formed when from the net sales are deducted the pur- chase costs adjusted by the change in the stocks of non-finished and fin- ished goods Reka Industrial Plc | Financial Statements and Board of Direc- tors’ Report 5 as well as expenses for production for personal use. Also deducted from the net sales are expenses arising from employee benefits without IAS 19 defined benefit pension arrangements related items, depre- ciation, amortization and any impairment losses. Other operating incomes and expenses are also taken into account. EBITDA The net amount that is formed when depreciation and any impairment losses are added to the operating. All comments in this report that do not refer to actual facts are future esti- mates. Such estimates include expectations concerning market trends, growth and profitability as well as statements including the words "believe", "assume" or "will be" or a similar expression. Since these evaluations are based on current plans and estimates, they involve risks and uncertainty factors that may cause the actual results to differ substantially from current statements. Among other things, such factors include 1) operating condi- tions, such as continued success in production and the ensuing efficiency benefits, availability and cost of production inputs, demand for new prod- ucts and changes in circumstances affecting the acquisition of capital un- der acceptable conditions; 2) sector-specific circumstances, such as the intensity of demand for products, the competition, current and future mar- ket prices for the Group’s products and related pricing pressures, the fi- nancial situation of the Group’s customers and competitors and competi- tors’ possible new products; and 3) the general economic situation, such as economic growth in the Group’s main market areas and change in ex- change rates and interest rates.
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Reka Industrial Plc | Half Year Financial Report 19 Reka Industrial Plc Kankurinkatu 4–6 05800 Hyvinkää info@reka.eu www.rekaindustrial.fi