Earnings release
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RESULTS AS OF 30 JUNE 2026 APPROVED HIGHER INVESTMENT TO FOSTER THE ENERGY TRANSITION: OVER €1.5 BILLION IN THE FIRST HALF OF THE YEAR (UP 19.8%) WITH A RECORD SECOND QUARTER OF OVER €1 BILLION (UP 41.3%) 2026 GUIDANCE CONFIRMED ON THE BACK OF STRONG OPERATIONAL PERFORMANCE IMPROVEMENT ACROSS KEY FINANCIAL INDICATORS • Revenue €2,113.6 million (€1,894.2 million in H1 2025, up 11.6%) • EBITDA €1,467.0 million (€1,359.8 million in H1 2025, up 7.9%) • Group net profit for the period €591.2 million (€587.7 million in H1 2025, up 0.6%) • Capex €1,581.0 million (€1,319.3 million in H1 2025, up 19.8%) • Net debt €12,625.9 million (down from €13,000.2 million at 31 December 2025) Rome, 29 July 2026 – Today’s meeting of the Board of Directors of Terna S.p.A. (“Terna”), chaired by Stefano Cuzzilla, examined and approved the results for the six months ended 30 June 2026, presented by the Chief Executive Officer and General Manager, Pasqualino Monti. The first half of 2026 was characterised by an uncertain macroeconomic context, marked by geopolitical tensions that increased volatility in energy and commodity markets, slowed global growth and fuelled inflationary pressures in Europe. In this scenario, Italy is maintaining moderate growth, while volatility and risks to energy security linked to dependence on gas imports persist. In the first half of 2026, around 43% of total electricity demand was met from renewable energy sources. Moreover, at 30 June 2 026 installed wind and photovoltaic capacity in Italy reached 60.5 GW, compared to a 2030 target of around 107 GW set out in the NECP. Electricity demand in the first half of 2026 increased by 2.5% compared to 2025, confirming the positive trend observed since the second half of 2025.
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2 In a complex and challenging context, Terna recorded growth across key financial indicators, and in particular accelerated investment to support decarbonisation, energy independence and the country’s competitiveness. In fact, from January to June 2026 Terna’s total capital expenditure amounted to over €1.58 billion, up 19.8% on the same period of the previous year. Particularly noteworthy is the investment figure for the second quarter of 2026, having exceeded €1 billion: €1,069.6 million, up 41.3% on €757.2 million in the same quarter of 2025. Pasqualino Monti, Chief Executive Officer and General Manager of Terna, said: “The results for the first half of the year once again confirm Terna’s strength and its ability to create value for the country through investments, innovation and distinctive expertise, reaffirming our key role in enabling the energy and digital transformation of the electricity system. These achievements are the result of the commitment and professionalism of our people, the Company’s most valuable asset. In a rap idly evolving energy and technological lands cape, we continue to invest with determination in infrastructure that will enable Italy to successfully meet the challenges of t he coming decades. We are building an increasingly modern, resilient and digital power grid, capable of integrat ing growing shares of renewable energy. This will help to reduce energy bills for families and businesses, support the electrification of consumption and ensure the security, quality and efficiency of the transmission service, while fostering the country’s energy independence, economic growth and competitiveness.” CONSOLIDATED FINANCIAL HIGHLIGHTS FOR H1 2026 €m H1 2026* H1 2025* % change Revenue 2,113.6 1,894.2 +11.6% EBITDA (gross operating profit) 1,467.0 1,359.8 +7.9% EBIT (operating profit) 961.4 913.0 +5.3% Group net profit for the period 591.2 587.7 +0.6% Capital expenditure 1,581.0 1,319.3 +19.8% *Given that the requirements of IFRS 5 have been met, the tot al results for the first half of 202 6 and 2025 attributable to the South American subsidiary Terna Peru S.A.C. included in the planned sale of assets have been classified in the item “Profit/(Loss) for the period from assets held for sale” in the Group’s reclassified income sta tement. Likewise, the attributable assets and liabilities at 30 June 2026 have been reclassified to the item “Net assets held for sale” in the Group’s reclassified statement of financial position. Revenue for the first half of 2026, amounting to €2,113.6 million, is up €219.4 million (up 11.6% ) compared to the same period of 2025. This result is partly attributable to the growth of Regulated
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3 Activities, driven by the increase in the regulated asset base (RAB) following new assets coming into operation and the expansion of the scope of consolidation after the acquisition of Rete 2 S.r.l. at the end of September 2025. A particularly significant contribution came from Non-regulated Activities, with a 50.1% increase in revenue driven both by the Energy Services business, mainly as a result of the acquisition of STE Energy S.r.l. at the end of May 2025, and by the Equipment business (Tamini G roup and Brugg Cables Group). Group revenue rose 13.4% to €1,124.9 million in the second quarter of the year (€992.4 million in the same period of 2025). EBITDA for the first half of 2026 amounted to €1,467.0 million, an increase of €107.2 million (up 7.9%) compared with €1,359.8 million in the first half of 2025, reflecting the improved profitability of both the Regulated and Non-Regulated Activities. EBITDA for the second quarter of 2026 is up 8.7% to €769.4 million (€707.8 million in the same period of 2025). EBIT for the period, after amortisation, depreciation and impairment losses of €505.6 million, amounts to €961.4 million, compared to the €913.0 million of the first six months of 2025 (an increase of 5.3%). Net financial expenses for the period, amounting to €93.8 million, increased by €17.4 million compared with €76.4 million in the first six months of 2025, mainly attributabl e to a higher average level of net debt and the related higher average cost compared with the correspondi ng period of 2025. The increase was partially offset by higher capitalised expenses. Profit before tax of €867.6 million is up €31.0 million compared to the first half of 2025 (up 3.7%). Income tax expense for the period totals €273.8 million, with an increase of €24.7 million compared to the corresponding period of 2025 (up 9.9%), mainly due to the growth in profit before tax and the two-percentage-point increase in the IRAP rate for the 2026 and 2027 tax periods, as envisaged by the “Energy Decree” (Italian Decree -Law no. 21 of 20 February 2026). The tax rate of 31.6% is slightly up compared to the 29.8% of the first half of 2025. Group net profit for the period of €591.2 million is up €3.5 million on the €587.7 million of the first half of 2025 (up 0.6%). Net profit for the second quarter is up 0.7% to €314.7 million (€312.4 million for the same period of 2025).
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4 The consolidated statement of financial position at 30 June 2026 shows equity attributable to owners of the Parent of €8,628.8 million, compared to €7,791.3 million at 31 December 2025. Net debt stands at €12,625.9 million, down €374.3 million from €13,000.2 million at the end of 2025. The increase in equity attributable to owners of the Parent and the simultaneous red uction in net debt are mainly due to the issuance of a perpetual hybrid European Green Bond, launched on 26 January 2026 (under the €6 billion EMTN programme and listed on the MOT) for an amount of €850 million and recognised as an equity instrument. The Terna Group’s total capital expenditure during the period, amounting to €1,581.0 million, is up 19.8% compared to the €1,319.3 million of the same six months of 2025. The main projects include progress on both the East and West Links of the Tyrrhenian Link, the submarine electricity interconnection between Campania, Sicily and Sardinia; progress on the interconnection between Tuscany, Corsica and Sardinia (Sa.Co.I.3); progress on Elmed , the submarine direct current power line between Italy and Tunisia, and on the Ad riatic Link, the submarine interconnection between Abruzzo and Marche; and work carried out in the various electricity market zones, including projects designed to increase i nterconnection capacity between Calabria and Sicily (the Bolano-Annunziata interconnection), in addition to construction work on the Chiaramonte Gulfi -Ciminna interconnection in Sicily, the Colunga -Calenzano interconnection between Emilia-Romagna and Tuscany and the Cassano-Chiari interconnection in Lombardy. These initiatives are accompanied by continued implementation of the plan to install equipment desi gned to enhance grid security, including synchronous compensators, stabilising resistors and reactors. In addition, during the first half of 2026, 16 projects for the development of the National Transmission Grid were authorised by the Ministry of the Environment and Energy Security and the relevant Regional Authorities, for a total amount of approximately €273 million. The Group’s workforce at the end of June 2026 totals 7,260, up 143 compared with 31 December 2025. This increase is directly linked to the coverage of staffing needs to implement the investment plan set out in the 2024-2028 Industrial Plan update as well as to the strengthenin g of the Group’s distinctive expertise.
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5 KEY EVENTS IN H1 2026 AND AFTER THE END OF THE REPORTING PERIOD Business On 9 April, Terna announced the completion of the laying of the pole 2 marine cable of the east link of the Tyrrhenian Link, marking the conclusion of marine works between Campania and Sicily. Construction work is under way onshore at the sites that will host the converter substations in Eboli (SA) and Termini Imerese (PA). On 29 April, Terna launched the public consultation phase for the Adriatic Backbone: Foggia -Forlì, the new direct current submarine connection of around 600 km, of which 540 km undersea, between Puglia and Emilia-Romagna. The initiative includes a series of information and participation meetings for local communities and the institutions involved. An integral part of the future Hypergrid network, the project will strengthen the Adriatic corridor and support the integration of energy produced from renewable energy sources, while also improving the safety and robustness of the grid. On 24 June, Terna and STEG, the Tunisian electricity and gas grid operator, announced that Hitachi Energy had been awarded the tender worth a total of around €770 million for the construction of the converter substations for the Elmed project, the first electricity interconnection between Italy and Tunisia. The award of the tender for the converter substations marks the conclusi on of the procurement process for the first high -voltage direct current submarine electricity connection between Europe and North Africa. In May, Terna published the call for the second edition of the second -level Master’s programme in “Innovation in Electrical Systems for Energy”, promoted with Bari Polytechnic, Milan Polytechnic and Turin Polytechnic as part of PoliTech Lab, the High Competence Polytechnic Network. The strategic partnership between the Group and the Polytechnics promotes research, innovation and advanced training for the benefit of the electricity system and the country. In addition, in June Terna presented the fifth edition of the second -level Master’s programme “Digitalisation of the electricity system for the energy transition”, as part of the Tyrrhenian Lab project, in collaboration with the universities of Cagliari, Palermo and Salerno. Finally, in July Terna started the marine survey for the Milan -Montalto direct current electricity connection. This is an essential preliminary phase for designing the submarine section of the new power line of around 500 km (including 280 km undersea) wit h a transport capacity of 2,100 MW,
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6 part of the Hypergrid project. The activity will make it possible to collect geoph ysical, geotechnical and environmental data that are essential for defining the route and the submarine cable laying methods. Sustainable finance On 4 June Terna updated its “Euro Medium Term Note Programme” (EMTN) approved by CONSOB and listed on the Mercato Telematico delle Obbligazioni (MOT) of the Italian Stock Exchange (Borsa Italiana), increasing the maximum total amount from €4 billion to €6 billion. As at 30 June 2026, the senior green bonds issued by Terna (and not yet matured) under the two Euro Medium Term Notes (EMTN) programmes amount to €3.25 billion, in addition to three perpetual subordinated hybrid green issuances, two issued on a standalone basis in February 2022 and April 2024 respectively, totalling €1.85 billion, to which a further hybrid issuance with a total nominal amount of €850 million was added in January 2026 under the €6 billion EMTN Programme listed on the MOT (Mercato Telematico delle Obbligazioni). Sustainability and ESG In the second quarter Terna was included for the seventeenth consecutive time in the Dow Jones Best-in-Class World Index of S&P Global, the prestigious international financial index that selec ts ESG excellence, confirming its role as a benchmark for investors interested in Environmental, Social and Governance criteria. The company is one of the ten listed electricity utilities included in the world index. Terna was also included in the more selective Dow Jones Best -in-Class Europe Index, in which it is the only Italian company among the five electricity utilities included. During t he period, Terna was also confirmed once again in the STOXX Global ESG Leaders, FTSE4Good and MIB ESG indices. During H1 Terna received the highest “AAA” rating from MSCI, one of t he leading international ESG rating agencies, for its management of the main risks and opportunities related to sustainability. Furthermore, in June 2026 Terna strengthened its commitment to protecting biodiversity, in line with the net improvement principle promoted by the Group, by participating in the LIFE Poll iNetwork project coordinated by WWF Italia and co-funded by the European Union as part of the LIFE Natura & Biodiversità programme, with the contribution of the Ministry of the Environment and Energy Security (MASE) and Fondazione CARIPLO. As part of the project, Terna makes its expertise and
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7 certain national transmission grid assets available as sites for environmental trials, in order to encourage the presence of different groups of pollinating insects addressed by the project. OUTLOOK The current geopolitical landscape continues to be characterised by high levels of uncertainty, fuelled by persistent tensions between the world's major economic areas, intensifying co mpetition for access to strategic resources and continuing instability i n certain regions, notably the Middle East. These factors are compounded by stronger protectionist measures and the increasing fragmentation of international trade, which are heightening market volatility and affecting the gl obal economy's growth prospects. The Terna Group will therefore focus on the implementation of its Industrial Plan, confirming its role as an enabler of the energy and digital transition and contributing to the achievemen t of decarbonisation targets and to strengthening the country’s energy independence. In particular, with reference to the Regulated Activities, investments will continue to be made to increase transport capacity, integrate growing volumes of energy from renewable sources and improve network resilience and digitalisation. Among the strategic investment projects , construction on the Tyrrhenian Link will progress in the second half of the year. With reference to the East Link, continuation and completion of the laying of land cables is planned, together with installation of the main equipment in the converter substations. For the West Link, civil works and the laying of land cables are expected to continu e, together with work on the converter substations. With respect to Sa.Co.I.3, works will continue for the construction of land -sea landings in Italy and Corsica, cable laying worksites in Tuscany and the construction of the converter substations in Codrongianos and Suvereto. With reference to the Adriatic Link project, activities will continue on the production of the submarine cable, the execution of civil works for land cables in the Marche and Abruzzo regions and the construction of the two converter substations in Fano and Cepagatti . For the Elmed project, following the signing of the contract for the supply and construction of t he converter substations, engineering activities and onshore surveys began at the substation site. The detailed marine survey is expected to begin by the third quarter of t he year, while production of the submarine cable is under way. Finally, construction will also continue on the Chiaramont e Gulfi- Ciminna project and on the Cassano-Chiari and Colunga-Calenzano power lines. These last two are expected to enter into operation by the end of the year.
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8 Moreover, the Group will continue to make progress towards meeting the requir ements resulting from the output-based regulatory mechanisms introduced by ARERA, with regard to both reducing dispatching costs (Resolution no. 326/2024/R/eel) and delivering additional interzonal transmission capacity (Resolution no. 55/2024/R/eel). The Group is committed to maintaining the performance levels achieved during the observation period. During 2026 the Group will continu e to monitor developments in the full ROSS regul atory framework, including the possible introduction of experimental incentive mechanisms for efficiency in project delivery and/or performance (envisaged by Resolution no. 390/2025/R/COM), as well as changes in the main parameters used in the WACC calculation formula for the 2025-2027 regulatory period. With reference to Non-regulated Activities, once the reorganisation phase has been completed within the subsidiaries of Terna Energy Solutions S.r.l., the Terna Group is strengthening its role in the various segments of the energy transition value chain: the Altenia Group, a system integrator with specialised and diversified expertise in the design, construction and maintenance of electr ical and renewable energy plants; the Tamini Group, a leading transformer manufacturer; and t he Brugg Cables Group, a company operat ing in the terrestrial cable sector. Specifically, the Tamini Group and the Brugg Cables Group will develop high value-added activities supporting both the Terna Group’s investments and businesses, offering customers technological, innovative and digital solutions in the energy and industrial sectors and seizing growth opportunities by both strengthening market leadership and increasing production capacity. The Terna Group will also continue to develop its Connectivity business based on activities related to the dark fibre network. In the second half of 2026 Terna plans to improve operational efficiency and management of the transmission grid, also through the adoption of innovative technologies and the digitalisation of grid assets. This will include, by way of example, the implementation of IoT technologies and the most advanced telecommunication solutions, the upgrade of monitoring systems and the development of advanced predictive algorithms designed to optimise infrastructure maintenance and boost grid resilience. Management of the Terna Group’s business will continue to be based on a sustaina ble approach and respect for ESG aspects, ensuring that it is able to reduce its environmental impact, involve local stakeholders and meet the need for integrity, responsibility and transparency. In 2026 the Terna Group expects revenue at €4.41 billion, EBITDA at €2.93 billion and Group net profit at €1.12 billion1. With specific reference to the Capex, the Group has targeted investments of 1 This includes the two-percentage-point increase in the IRAP rate envisaged by the “Energy Decree” (Italian Decree-Law no. 21 of 20 February 2026).
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9 approximately €4.2 billion in 2026. The above objectives will be pursued whilst maintaining a commitment to maximising the cash generation, necessary to ensure a sound and balanced financial structure. It is also expected that, during 2027, the Board of Directors will meet, on a date to be determined at a later stage, to approve the new multi-year Industrial Plan BOND ISSUES AND BONDS NEARING MATURITY The following bond issues took place in the first half of 2026: - on 26 January 2026 Terna successfully launched a perpetual, subordinated, hybrid, nonconvertible, fixed-rate European Green Bond issue, for institutional investors, with a total nominal amount of €850 million. This transaction represents, for Terna and for the domestic market as a whole, the first perpetual hybrid bond issuance in Green Bond Standard format (i.e., in line with the requirements of EU Regulation 2023/2631 on so-called “green bonds”). This issuance also received a very favourable market response, with maximum demand equal to around nine times the offer , and is characterized by high quality and broad geographical diversification of investors. Structured in a single tranche, the bond i s non - convertible, subordinated, green, hybrid and perpetual. The bond is non-callable for six years, the issue price is set at 100%, with a spread of 123 basis points over the Mid Swap, implying a subordination premium of less than 60 basis points compared to a senior issuance of equivalent duration, the lowest ever recorded for a euro-denominated corporate hybrid bond issued in Europe. The issuance pays an annual coupon of 3.875%, which will be paid until (but excluding) the first reset date scheduled for 2 February 2032. From this date, if the bond has not been called, it will pay annual interests equal to the five-year euro midswap rate plus an initial spread of 123 basis points. This will be increased by a further spread of 25 basis points from 2 February 2037 and an additional increase of 75 basis points from 2 Fe bruary 2052. In the period between 1 July 2026 and 31 December 2027, the following bonds will reach maturity: - €100 million relating to a fixed-rate bond issue, in the form of a so-called private placement, placed in September 2022 (maturity 22 September 2027); - €1 billion relating to a fixed-rate bond issue placed in July 2017 (maturity 26 July 2027).
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10 ALTERNATIVE PERFORMANCE MEASURES This release includes a number of "alternative performance measures" (EBITDA, EBIT, the tax rate and Net debt) not required by IAS/IFRS accounting standards. A description of t hese measures is provided below in accordance with the ESMA/2015/1415 guidelines published on 5 October 2015: - EBITDA (Gross Operating Profit): an indicator of operating performance, repres enting “Profit for the period” before “Income tax expense for the period”, “Net financial income/(expenses)” and “Amortisation, depreciation and impairment losses”; - EBIT (Operating Profit): an indicator of operating performance, representin g the sum of “Profit/(Loss) before tax” and “Net financial income/(expenses)”; - Tax Rate: the amount of tax paid as a proportion of pre-tax profit, based on the ratio of “Income tax expense” to “Profit before tax”; - Net debt: an indicator of the financial structure, calculated by deducting “Cash and cash equivalents”, “Current financial assets” and “Non-current financial assets”, as they relate to the value of the derivatives hedging bond issues and bank borrowings, from short -term financial liabilities (“Short-term borrowings”, the “Current portion of long -term borrowings” and “Current financial liabilities”) and long -term financial liabilities (“Long -term borrowings”) and the related derivative instruments (“Non-current financial liabilities”). The net debt of the Terna Group complies with the requirements of ESMA Recommendation 32 -382-1138 of 2021 with regard to the definition of net debt or funds. The following changes in the structure of the Terna Group have taken place with respect to 31 December 2025: • the liquidation process of Terna 4 Chacas S.A.C. formally began on 16 February 2026. At the same time, the company name was changed to “Terna 4 Chacas S.A.C. – En Liquidación”. The process is expected to be completed during the course of 2026; • the liquidation process of Terna USA LLC was completed on 28 May 2026, a company wholly owned by Terna Plus S.r.l.. A meeting will be held at 5.30 pm CEST today to present the results for the six months ended 30 June 2026 to financial analysts and investors. Back -up material for the event will be made available in the Investors section of the Company’s website ( www.terna.it) as the meeting starts. The presentation will also be made available via “eMarket SDIR”, on the website of Borsa Italiana S.p.A. ( www.borsaitaliana.it) and through the authorised storage service "1Info" (www.1info.it). Journalists will have the opportunity to follow the meeting by
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11 telephone without any right to speak. It will also be possible to follow the presentation by connecting to the audio webcast on the Company’s website (www.terna.it): following the live broadcast, the file will be available in the Investors section of the website. The Manager Responsible for Financial Reporting, Francesco Beccali, declares that pu rsuant to section two of article 154-bis of the Consolidated Law on Finance, the information contained in this release is consistent with the underlying accounting records. The Half-Year report as at 30 June 2026 , accompanied by the attestation required by art.154 -bis, paragraph 5 of Legislative Decree 58/98 (the Consolidated Law on Finance) and the report containing the opinion issued by the Independent Auditors, will, by the deadline set out by law, be made avai lable at the Company’s registered office, published on the Company’s website, ( www.terna.it) and on the website of the authorised storage service “eMarket Storage” (www.emarketstorage.it). The required announcement of the filing will also be published. The Terna Group’s reclassified consolidated income statement and statement of financ ial position and statement of cash flows, prepared on the basis of the classifications used by ma nagement in order to more effectively assess the Terna Group’s operating and financial performance, are attached. Pursuant to Communication DME/9081707 of 16 September 2009, the above reclassified financial statements are those included in the Terna Group’s interim report on operations for the six months en ded 30 June 2026, included in the Terna Group’s Half -year Report for the six months ended 30 June 2026, and for which the Independent Auditors, in compliance with art. 14 of Legislative Decree 39 dated 27 Jan uary 2010, will verify consistency with the condensed consolidated interim financial statements.
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12 The Terna Group’s reclassified income statement (€m) Q2 2026 2025 Chan ge % Change 1H2026* 1H2025* Change % Change 1,124.9 992.4 132.5 13.4% TOTAL REVENUE 2,113.6 1,894.2 219.4 11.6% 868.4 838.9 29.5 3.5% - Revenue from Regulated Activities 1,663.1 1,594.1 69.0 4.3% 29.1 37.4 (8.3) (22.2%) of which Revenue from construction services performed under concession 48.1 54.0 (5.9) (10.9%) 256.5 153.5 103.0 67.1% - Revenue from Non-Regulated Activities 450.5 300.1 150.4 50.1% 355.5 284.6 70.9 24.9% TOTAL OPERATING COSTS 646.6 534.4 112.2 21.0% 106.1 101.7 4.4 4.3% - Personnel expenses 211.7 199.2 12.5 6.3% 102.1 71.8 30.3 42.2% - Cost of services, leases and rentals 182.4 135.2 47.2 34.9% 101.2 59.9 41.3 68.9% - Materials 176.0 125.9 50.1 39.8% 15.8 13.3 2.5 18.8% - Other costs 24.7 19.4 5.3 27.3% 1.2 0.5 0.7 140.0% - Quality of service 3.7 0.7 3.0 - 29.1 37.4 (8.3) (22.2%) - Cost of construction services performed under concession 48.1 54.0 (5.9) (10.9%) 769.4 707.8 61.6 8.7% GROSS OPERATING PROFIT (EBITDA) 1,467.0 1,359.8 107.2 7.9% 257.7 227.6 30.1 13.2% - Amortisation, depreciation and impairment losses 505.6 446.8 58.8 13.2% 511.7 480.2 31.5 6.6% OPERATING PROFIT (EBIT) 961.4 913.0 48.4 5.3% (47.2) (37.6) (9.6) 25.5% - Net financial income/(expenses) (93.8) (76.4) (17.4) 22.8% 464.5 442.6 21.9 4.9% PROFIT BEFORE TAX 867.6 836.6 31.0 3.7% 148.6 130.5 18.1 13.9% - Income tax expense for the period 273.8 249.1 24.7 9.9% 315.9 312.1 3.8 1.2% PROFIT/(LOSS) FOR THE PERIOD FROM CONTINUING OPERATIONS 593.8 587.5 6.3 1.1% 0.1 0.6 (0.5) (83.3%) - Profit/(Loss) for the period from assets held for sale - 0.9 (0.9) (100.0%) 316.0 312.7 3.3 1.1% PROFIT FOR THE PERIOD 593.8 588.4 5.4 0.9% 1.3 0.3 1.0 - - Profit/(Loss) for the period attributable to non-controlling interests 2.6 0.7 1.9 - 314.7 312.4 2.3 0.7% PROFIT FOR THE PERIOD ATTRIBUTABLE TO OWNERS OF THE PARENT 591.2 587.7 3.5 0.6% * As the requirements of IFRS 5 are met, the overall results for the first halves of 2026 and 2025 attributable to t he South Am erican subsidiary Terna Peru S.A.C., which is the subject of the disposal project launched at the end of 2021, are classified under “Profit/(Loss) for the period from assets held for sale” in the Group’s reclassified income statement.
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13 The Terna Group’s reclassified statement of financial position (€m) at 30 June 2026 at 31 December 2025* Change Total Net Non-current Assets 24,304.1 23,542.7 761.4 - Intangible assets and goodwill 1,287.2 1,231.0 56.2 - Property, plant and equipment 22,482.4 21,757.6 724.8 - Financial assets 534.5 554.1 (19.6) Total Net Working Capital (3,042.9) (2,711.5) (331.4) - Net energy-related pass-through payables (862.2) (530.3) (331.9) - Net receivables resulting from Regulated Activities 1,100.2 1,173.2 (73.0) - Net trade payables (1,469.3) (1,465.5) (3.8) - Net tax assets/(liabilities) 54.1 114.0 (59.9) - Other net liabilities (1,865.7) (2,002.9) 137.2 Gross Invested Capital 21,261.2 20,831.2 430.0 Sundry provisions 0.7 (31.9) 32.6 Net Invested Capital 21,261.9 20,799.3 462.6 Net assets held for sale 14.3 13.6 0.7 TOTAL NET INVESTED CAPITAL 21,276.2 20,812.9 463.3 Equity attributable to owners of the Parent 8,628.8 7,791.3 837.5 Equity attributable to non-controlling interests 21.5 21.4 0.1 Net debt 12,625.9 13,000.2 (374.3) TOTAL 21,276.2 20,812.9 463.3 * Certain comparative statement of financial position balances as at 31 December 2025 have been restated following the final accounting for business combinations, carried out within the measurement period envisaged by IFRS 3. The adjustments made had no imp act on equity as at 31 December 2025 or on profit for the 2025 financial year.
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14 The Terna Group’s cash flow (€m) Cash flow H1 2026 Cash flow H1 2025 - Profit for the period 593.8 588.4 - Amortisation, depreciation and impairment losses 505.6 446.8 - Net change in provisions (32.6) (23.7) - Net losses/(gains) on sale of assets (4.8) (2.2) Operating Cash Flow 1,062.0 1,009.3 - Change in net working capital 332.6 170.3 - Other changes in Property, plant and equipment and intangible assets 298.0 (7.7) - Change in investments (0.6) (1.9) - Change in financial assets 20.2 (57.9) Cash flow from operating activities 1,712.2 1,112.1 - Total capital expenditure (1,581.0) (1,319.3) Free Cash Flow 131.2 (207.2) Net assets held for sale (0.7) 1.7 - Dividends paid to the Parent Company’s shareholders (556.8) (556.8) - Reserve for equity instruments, cash flow hedge reserve a fter taxation and other movements in equity attributable to owners of the Parent 803.1 (47.1) - Other movements in equity attributable to non-controlling interests (2.5) - Change in net debt 374.3 (809.4)