Interim report
Page 1
Half-year report – Financial highlights of the interim condensed consolidated financial statements 1 FINANCIAL HIGHLIGHTS of the interim condensed consolidated financial statements for the period from 1 January to 30 June 2026
Page 2
Half-year report – Financial highlights of the interim condensed consolidated financial statements 2 Financial highlights Financial highlights PLN thousand EUR thousand For the period 1 Jan–30 Jun 2026 unaudited 1 Jan–30 Jun 2025 unaudited 1 Jan–30 Jun 2026 unaudited 1 Jan–30 Jun 2025 unaudited Revenue 1,572,305 1,599,696 369,763 379,003 Operating profit 785,213 804,059 184,660 190,499 Profit before tax 590,233 585,365 138,807 138,686 Net profit attributable to owners of the Parent 554,616 584,018 130,430 138,367 Net cash from operating activities 421,299 398,482 99,078 94,409 Purchase of debt portfolios at prices as per agreement 864,192 805,454 203,234 190,830 Cash recoveries 2,010,573 1,910,305 472,831 452,593 Net cash from investing activities (65,312) (40,849) (15,360) (9,678) Net cash from financing activities (314,021) (306,293) (73,849) (72,568) Net change in cash 41,966 51,340 9,869 12,164 Diluted earnings per share (PLN/EUR) 26.74 28.71 6.29 6.80 Average number of shares (thousand) 19,510 19,392 19,510 19,392 Earnings per share (PLN/EUR) 28.43 30.12 6.69 7.14 As at 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2026 unaudited 31 Dec 2025 Total assets 13,535,145 13,032,173 3,150,419 3,083,297 Non-current liabilities 7,006,353 7,075,799 1,630,788 1,674,072 Current liabilities 1,003,595 629,910 233,595 149,031 Equity 5,525,197 5,326,464 1,286,036 1,260,194 Share capital 19,543 19,492 4,549 4,612 Book value per ordinary share 282.72 273.26 65.81 64.65 The financial highlights have been translated into the euro as follows: Items of or related to the statement of profit or loss and the statement of cash flows have been translated using the arithmetic mean of mid rates quoted by the National Bank of Poland for the last day of each month in the period; the exchange rates thus calculated are: for the reporting period 4.2522 for the comparative period 4.2208 Items of or related to the statement of financial position have been translated using the mid rate quoted by the National Bank of Poland for the end of the reporting period; the exchange rates thus calculated are: at the end of the reporting period 4.2963 at the end of the comparative period 4.2267
Page 3
Interim condensed consolidated financial statements for the period from 1 January to 30 June 2026
Page 4
Half-year report – Interim condensed consolidated financial statements 4 Table of contents I. INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION ....................... 5 II. INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS .............................. 6 III. INTERIM CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME .............. 7 IV. INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY........................ 8 V. INTERIM CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS ................................. 11 VI. NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS ................. 12 1. Organisation of the KRUK Group .......................................................................................................................12 2. Reporting period ...............................................................................................................................................18 3. Statement of compliance...................................................................................................................................18 4. Significant accounting policies ...........................................................................................................................19 5. Accounting estimates and judgements ..............................................................................................................24 6. Financial risk management ................................................................................................................................25 7. Operating and geographical segments ..............................................................................................................26 8. Seasonality or cyclicality of business .................................................................................................................31 9. Nature and amounts of changes in estimates of amounts reported in previous financial years that have a material effect on the reporting period .............................................................................................................31 10. Type and amounts of items affecting the assets, liabilities, equity, net profit/loss or cash flows, which are material due to their type, size or effect............................................................................................................42 11. Related-party transactions ................................................................................................................................71 12. Management of risk arising from financial instruments ....................................................................................72 13. Fair value ...........................................................................................................................................................81 14. Factors and events with material bearing on the Group’s financial results ........................................................84 15. Issue, redemption and repayment of non-equity and equity securities .............................................................85 16. Dividends paid (or declared) ..............................................................................................................................85 17. Information on changes in contingent liabilities or contingent assets subsequent to the end of the previous financial year .....................................................................................................................................................86 18. Glossary of terms ..............................................................................................................................................91 19. Events after the reporting period not recognised in the financial statements but potentially having a material effect on future performance ............................................................................................................................93 20. Representation by the Management Board .......................................................................................................93
Page 5
Half-year report – Interim condensed consolidated financial statements 5 I. Interim condensed consolidated statement of financial position PLN thousand Note 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited restated Assets Cash and cash equivalents 10.18 254,595 212,629 266,130 Hedging instruments 10.11 78,305 137,354 114,644 Trade receivables 10.17 19,178 14,600 12,595 Other receivables 10.17 61,171 60,367 53,182 Income tax receivables 583 9,946 14,694 Inventories 10.16 6,058 9,355 11,741 Investments in debt portfolios measured at amortised cost 9 12,043,458 11,632,709 10,797,330 Loans 9 679,695 612,315 561,413 Deferred tax assets 10.9 63,838 56,107 47,252 Property, plant and equipment 10.15 118,290 116,041 116,823 Goodwill 10.14 7,940 7,823 7,861 Other intangible assets 10.15 183,858 143,580 78,135 Other assets 18,176 19,347 17,125 Total assets 13,535,145 13,032,173 12,098,925 Equity and liabilities Liabilities Trade and other payables 10.20 226,904 213,018 190,099 Dividend payable 16 - - 349,252 Derivatives - 58 - Hedging instruments 10.11 11,405 23,145 42,809 Employee benefit liabilities 10.19 88,670 77,669 78,061 Income tax payable 26,497 21,347 6,208 Borrowings 10.10 3,590,558 3,662,722 3,083,411 Debt securities 10.10 3,815,036 3,460,890 3,387,014 Lease liabilities 10.10 103,653 103,398 71,024 Provisions 10.21 20,543 20,265 19,776 Deferred tax liabilities 10.9 126,682 123,197 107,967 Total liabilities 8,009,948 7,705,709 7,335,621 Equity Share capital 19,543 19,492 19,403 Share premium 414,198 401,539 379,365 Hedge reserve 76,769 110,764 72,033 Remeasurement reserve for defined benefit plans 5,142 5,142 3,499 Reserve of exchange differences on translation (120,906) (168,676) (154,606) Other reserves 220,823 212,689 199,577 Retained earnings 4,908,938 4,745,190 4,244,200 Equity attributable to owners of the Parent 5,524,507 5,326,140 4,763,471 Non-controlling interests 690 324 (167) Total equity 5,525,197 5,326,464 4,763,304 Total equity and liabilities 13,535,145 13,032,173 12,098,925 The interim condensed consolidated statement of financial position should be read in conjunction with the notes to the interim condensed consolidated financial statements, which form an integral part of the financial statements.
Page 6
Half-year report – Interim condensed consolidated financial statements 6 II. Interim condensed consolidated statement of profit or loss PLN thousand Note 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Interest income on debt portfolios and loans measured at amortised cost 10.1 1,329,575 670,422 1,189,583 598,495 Interest income on loans measured at fair value 10.1 325 160 705 361 Revenue from sale of debts and loans 10.1 2,679 1,362 17,511 13,310 Other income/(expenses) from purchased debt portfolios 10.1 (61,779) (59,556) (38,853) (35,595) Revenue from rendering services 10.1 27,053 13,711 29,435 15,678 Other operating income 10.1 4,813 3,029 4,200 2,278 Change in investments measured at fair value 10.1 (82) (47) (615) (253) Gain/(loss) on expected credit losses 10.1 269,721 159,793 397,730 203,223 Operating income including gain/(loss) on expected credit losses, fair value measurement, and other income/expenses from purchased debt portfolios 1,572,305 788,874 1,599,696 797,497 Employee benefits expense 10.3 (311,908) (159,887) (308,092) (160,340) Depreciation and amortisation (37,973) (18,929) (31,168) (15,453) Court fees 10.4 (230,645) (101,330) (237,906) (99,966) Services expense 10.2 (161,563) (83,188) (169,545) (87,032) Other expenses 10.5 (45,003) (24,809) (48,926) (24,064) (787,092) (388,143) (795,637) (386,855) Operating profit 785,213 400,731 804,059 410,642 Finance income 10.6 1,171 623 521 247 Finance costs 10.7 (196,151) (81,961) (219,215) (106,269) including interest expense on lease liabilities (2,592) (1,296) (1,794) (1,074) Net finance costs (194,980) (81,338) (218,694) (106,022) Profit before tax 590,233 319,393 585,365 304,620 Income tax 10.9 (35,271) (26,916) (1,211) 27,852 Net profit for period 554,962 292,477 584,154 332,472 Net profit attributable to: Owners of the Parent 554,616 292,326 584,018 332,393 Non-controlling interests 346 151 136 79 Net profit for period 554,962 292,477 584,154 332,472 Earnings per share Basic (PLN) 10.12 28.43 14.97 30.12 17.14 Diluted (PLN) 10.12 26.74 14.08 28.71 16.37 The interim condensed consolidated statement of profit or loss should be read in conjunction with the notes to the interim condensed consolidated financial statements, which form an integral part of the financial statements.
Page 7
Half-year report – Interim condensed consolidated financial statements 7 III. Interim condensed consolidated statement of comprehensive income PLN thousand Note 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Net profit for period 554,962 292,477 584,154 332,472 Other comprehensive income Items that may be reclassified subsequently to profit or loss Exchange differences on translating foreign operations 47,790 (1,346) (23,846) 33,955 Instruments hedging cash flows and net investment in a foreign subsidiary (43,928) (36,730) 9,377 (49,723) Items that will not be reclassified subsequently to profit or loss Defined benefit plans - - 125 - Other comprehensive income for period, gross 3,862 (38,076) (14,344) (15,768) Items that may be reclassified subsequently to profit or loss Income tax on instruments hedging cash flows and net investment in a foreign subsidiary 9,932 9,402 (2,123) 8,828 Other comprehensive income for period, net 13,794 (28,674) (16,467) (6,940) Total comprehensive income for period 568,756 263,803 567,687 325,532 Total comprehensive income attributable to: Owners of the Parent 568,390 263,669 567,525 325,455 Non-controlling interests 366 134 162 77 Total comprehensive income for period 568,756 263,803 567,687 325,532 The interim condensed consolidated statement of comprehensive income should be read in conjunction with the notes to the interim condensed consolidated financial statements, which form their integral part.
Page 8
Half-year report – Interim condensed consolidated financial statements 8 IV. Interim condensed consolidated statement of changes in equity For the reporting period ended 30 June 2026, PLN thousand Note Share capital Share premium Hedge reserve Remeasurement reserve for defined benefit plans Reserve of exchange differences on translation Other reserves Retained earnings Equity attributable to owners of the Parent Non- controlling interests Total equity Equity as at 1 Jan 2026 19,492 401,539 110,764 5,142 (168,676) 212,689 4,745,190 5,326,140 324 5,326,464 Comprehensive income for period Net profit for period - - - - - - 554,616 554,616 346 554,962 Other comprehensive income - Exchange differences on translating foreign operations - - - - 47,770 - - 47,770 20 47,790 - Measurement of hedging instruments 10.11 - - (33,995) - - - - (33,995) - (33,995) - Remeasurements of defined benefit plans - - - - - - - - - - Total other comprehensive income - - (33,995) - 47,770 - - 13,775 20 13,795 Total comprehensive income for period - - (33,995) - 47,770 - 554,616 568,391 366 568,757 Contributions from and distributions to owners - Payment of dividends 16 - - - - - - (390,868) (390,868) - (390,868) - Issue of shares 10.12 51 12,659 - - - - - 12,710 - 12,710 - Share-based payments 10.3 - - - - - 8,134 - 8,134 - 8,134 Total contributions from and distributions to owners 51 12,659 - - - 8,134 (390,868) (370,024) - (370,024) Total equity as at 30 Jun 2026, unaudited 19,543 414,198 76,769 5,142 (120,906) 220,823 4,908,938 5,524,507 690 5,525,197 The interim condensed consolidated statement of changes in equity should be read in conjunction with the notes to the interim condensed consolidated financial statements, which form their integral part.
Page 9
Half-year report – Interim condensed consolidated financial statements 9 For the reporting period ended 31 December 2025, PLN thousand Note Share capital Share premium Hedge reserve Remeasurement reserve for defined benefit plans Reserve of exchange differences on translation Other reserves Retained earnings Equity attributable to owners of the Parent Non- controlling interests Total equity Equity as at 1 Jan 2025 19,382 374,097 64,779 3,374 (130,734) 188,654 4,009,434 4,528,986 (329) 4,528,657 Comprehensive income for period Net profit for period - - - - - - 1,085,008 1,085,008 633 1,085,641 Other comprehensive income - Exchange differences on translating foreign operations - - - - (37,942) - - (37,942) 20 (37,922) - Measurement of hedging instruments 10.11 - - 45,985 - - - - 45,985 - 45,985 - Remeasurements of defined benefit plans - - - 1,768 - - - 1,768 - 1,768 Total other comprehensive income - - 45,985 1,768 (37,942) - - 9,811 20 9,831 Total comprehensive income for period - - 45,985 1,768 (37,942) - 1,085,008 1,094,819 653 1,095,472 Contributions from and distributions to owners - Payment of dividends - - - - - - (349,252) (349,252) - (349,252) - Issue of shares 110 27,442 - - - - - 27,552 - 27,552 - Share-based payments - - - - - 24,035 - 24,035 - 24,035 Total contributions from and distributions to owners 110 27,442 - - - 24,035 (349,252) (297,665) - (297,665) Total equity as at 31 Dec 2025 19,492 401,539 110,764 5,142 (168,676) 212,689 4,745,190 5,326,140 324 5,326,464
Page 10
Half-year report – Interim condensed consolidated financial statements 10 For the reporting period ended 30 June 2025, PLN thousand Note Share capital Share premium Hedge reserve Remeasurement reserve for defined benefit plans Reserve of exchange differences on translation Other reserves Retained earnings Equity attributable to owners of the Parent Non- controlling interests Total equity Equity as at 1 Jan 2025 19,382 374,097 64,779 3,374 (130,734) 188,654 4,009,434 4,528,986 (329) 4,528,657 Comprehensive income for period Net profit for period - - - - - - 584,018 584,018 136 584,154 Other comprehensive income - Exchange differences on translating foreign operations - - - - (23,872) - - (23,872) 26 (23,846) - Measurement of hedging instruments 10.11 - - 7,254 - - - - 7,254 - 7,254 - Remeasurements of defined benefit plans - - - 125 - - - 125 - 125 Total other comprehensive income - - 7,254 125 (23,872) - - (16,493) 26 (16,467) Total comprehensive income for period - - 7,254 125 (23,872) - 584,018 567,525 162 567,687 Contributions from and distributions to owners - Payment of dividends - - - - - - (349,252) (349,252) - (349,252) - Issue of shares 21 5,268 - - - - - 5,289 - 5,289 - Share-based payments 10.3 - - - - - 10,923 - 10,923 - 10,923 Total contributions from and distributions to owners 21 5,268 - - - 10,923 (349,252) (333,040) - (333,040) Total equity as at 30 Jun 2025, unaudited 19,403 379,365 72,033 3,499 (154,606) 199,577 4,244,200 4,763,471 (167) 4,763,304
Page 11
Half-year report – Interim condensed consolidated financial statements 11 V. Interim condensed consolidated statement of cash flows PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited restated 1 Apr–30 Jun 2025 not reviewed restated Cash flows from operating activities Net profit for period 554,962 292,477 584,154 332,472 Adjustments Depreciation of property, plant and equipment 19,852 9,900 18,176 8,824 Amortisation of intangible assets 18,121 9,029 12,992 6,629 Net finance costs 194,980 81,338 218,694 106,022 Write-off of development costs - - 618 618 (Gain)/loss on sale of property, plant and equipment (393) (270) (620) (512) Equity-settled share-based payments 8,134 4,089 10,923 6,929 Interest income (1,329,900) (670,582) (1,190,288) (598,856) Income tax 35,271 26,916 1,211 (27,852) Change in loans (67,380) (41,531) (58,508) (23,602) Change in investments in debt portfolios (351,082) (42,918) (324,125) (365,383) Change in inventories 3,297 3,080 815 451 Change in trade and other receivables (5,382) 3,270 6,338 (120) Change in other assets 1,171 2,582 (170) 1,766 Change in trade and other payables 13,886 (62,385) (44,810) (71,869) Change in employee benefit liabilities 11,001 6,742 (7,714) (9,280) Change in provisions 278 (305) 1,487 1,182 Share of profit attributable to non-controlling interests (346) (151) (136) (79) Interest received 1,329,900 670,582 1,190,288 598,856 Income tax paid (15,071) 4,785 (20,843) (12,941) Net cash from (used in) operating activities 421,299 296,648 398,482 (46,745) Cash flows from investing activities Interest received 1,171 623 521 247 Proceeds from disposal of intangible assets and property, plant and equipment 535 305 479 155 Expenditure on intangible assets and property, plant and equipment (including assets under construction) (67,018) (35,131) (41,849) (18,865) Net cash from (used in) investing activities (65,312) (34,203) (40,849) (18,463) Cash flows from financing activities Proceeds from issue of shares 12,710 12,710 5,289 1,667 Proceeds from issue of debt securities 600,000 - 500,000 400,000 Proceeds from borrowings 1,668,648 909,731 968,880 601,566 Interest received on hedging instruments 100,785 28,214 71,451 29,622 Repayment of borrowings (1,744,167) (598,563) (1,345,334) (737,309) Payment of lease liabilities (13,219) (7,276) (13,903) (5,641) Payment of dividends (390,868) (390,868) - - Redemption of debt securities (262,500) (190,000) (217,500) (50,000) Interest paid on hedging instruments (44,237) (22,312) (24,144) (13,688) Interest paid (241,173) (116,572) (251,032) (123,822) Net cash from (used in) financing activities (314,021) (374,936) (306,293) 102,395 Total net cash flows 41,966 (112,491) 51,340 37,187 Cash and cash equivalents at beginning of period 212,629 367,086 214,790 228,943 Cash and cash equivalents at end of period 254,595 254,595 266,130 266,130 of which: - effect of exchange rate fluctuations on cash held 495 810 4,271 3,336 The interim condensed consolidated statement of cash flows should be read in conjunction with the notes to the interim conden sed consolidated financial statements, which form an integral part of those financial statements.
Page 12
Half-year report – Interim condensed consolidated financial statements 12 VI. Notes to the interim condensed consolidated financial statements 1. Organisation of the KRUK Group Parent Name: KRUK Spółka Akcyjna (“KRUK S.A.” or the “Parent”) Registered office: ul. Bolkowska 3 53-612 Wrocław Poland Registration in the National Court Register: District Court for Wrocław-Fabryczna in Wrocław, 6th Commercial Division of the National Court Register, ul. Poznańska 16-17, 53-230 Wrocław, Poland Date of registration: 7 September 2005 Registration number: KRS No. 0000240829 Principal business activities of the Parent and its subsidiaries The principal business activities of the Parent and most of its subsidiaries consist in the restructuring and recovery of debts purchased by the Group companies and the provision of credit management services to financial institutions and other clients. Some subsidiaries also operate in the consumer lending market. These interim condensed consolidated financial statements for the reporting period from 1 January 2026 to 30 June 2026 include the financial statements of the Parent and its subsidiaries (jointly the “Group”, the “KRUK Group”). KRUK S.A. is the Parent of the Group. As at 30 June 2026, the composition of the Parent’s Management Board was as follows: Piotr Krupa President of the Management Board Piotr Kowalewski Member of the Management Board Adam Łodygowski Member of the Management Board Urszula Okarma Member of the Management Board Michał Zasępa Member of the Management Board In the six months ended 30 June 2026 and until the issue date of this interim report, the composition of the Management Board of KRUK S.A. did not change.
Page 13
Half-year report – Interim condensed consolidated financial statements 13 As at 1 January 2026, the composition of the Parent’s Supervisory Board was as follows: Ewa Radkowska-Świętoń Chair of the Supervisory Board Krzysztof Kawalec Deputy Chair of the Supervisory Board Dominika Bettman Member of the Supervisory Board Katarzyna Beuch Member of the Supervisory Board Izabela Felczak-Poturnicka Member of the Supervisory Board Piotr Stępniak Member of the Supervisory Board Piotr Szczepiórkowski Member of the Supervisory Board On 26 May 2026, the Annual General Meeting appointed the Supervisory Board for a new term of office. With the expiry of the previous term of office, the mandates of Katarzyna Beuch and Izabela Felczak - Poturnicka also expired. At the same time, Rafał Mikusiński and Jacek Poświata were appointed to the Supervisory Board. Consequently, as at 30 June 2026, the composition of the Parent’s Supervisory Board was as follows: Ewa Radkowska-Świętoń Chair of the Supervisory Board Krzysztof Kawalec Deputy Chair of the Supervisory Board Dominika Bettman Member of the Supervisory Board Rafał Mikusiński Member of the Supervisory Board Jacek Poświata Member of the Supervisory Board Piotr Stępniak Member of the Supervisory Board Piotr Szczepiórkowski Member of the Supervisory Board In the six months ended 30 June 2026 and until the issue date of this interim report, there were no other changes in the composition of the Supervisory Board. KRUK Group As at the issue date of this report, the Group comprised KRUK S.A. of Wrocław, 23 subsidiaries, and two entities controlled through personal links:
Page 14
Half-year report – Interim condensed consolidated financial statements 14 Subsidiary Registered office Principal business activity DEBT MANAGEMENT Agecredit S.r.l. Cesena Credit management in Italy KRUK Česká a Slovenská republika s.r.o. w likwidacji (in liquidation) Hradec Kralove Credit management services and collection of debt purchased by the KRUK Group KRUK España S.L.U. Madrid Credit management services and collection of debt purchased by the KRUK Group in Spain and other European countries, investing in debt portfolios KRUK Italia S.r.l. Milan Credit management services and collection of debt purchased by the KRUK Group in Italy and other European countries KRUK Polska Spółka Akcyjna w organizacji (in formation) Wrocław Credit management services and collection of debt purchased by the KRUK Group, investing in debt portfolios KRUK Romania S.r.l. Bucharest Credit management services and collection of debt purchased by the KRUK Group, investing in debt portfolios INVESTMENTS IN DEBT PORTFOLIOS KRUK Towarzystwo Funduszy Inwestycyjnych S.A. Wrocław Management of Prokura NFW FIZ and Presco NFW FIZ funds Presco NFW FIZ (closed-end investment fund) Wrocław Non-Standardised Closed-End Debt Investment Fund Prokura NFW FIZ Wrocław Non-Standardised Closed-End Debt Investment Fund InvestCapital Ltd Malta Investing in debt or debt-backed assets ItaCapital S.r.l. Milan Investing in debt portfolios KRUK Investimenti S.r.l. Milan Investing in debt portfolios SeCapital S.a r.l. Luxembourg Investing in debt or debt-backed assets Presco Investments S.a r.l. Luxembourg Investing in debt or debt-backed assets CONSUMER LENDING Novum Finance Sp. z o.o. Wrocław Granting consumer loans Wonga.pl Sp. z o.o. Warsaw Granting consumer loans RoCapital IFN S.A. Bucharest Granting consumer loans DEBT MANAGEMENT SUPPORT ACTIVITIES Kancelaria Prawna Raven P. Krupa Sp.k. Wrocław Comprehensive support for legal action and enforcement proceedings as part of debt collection processes carried out by the KRUK Group and its partners Zielony Areał Sp. z o.o. Wrocław Buying and selling own real estate; services supporting crop production KRUK TECH S.r.l. Bucharest Software development and provision of IT services KRUK Immobiliare S.r.l. Milan Buying and selling own real estate K-NEXT Alternatywna Spółka Inwestycyjna Spółka Akcyjna w organizacji (in formation) Wrocław Management and marketing of an alternative investment company and the raising of assets from a number of investors with a view to investing them for the investors’ benefit.
Page 15
Half-year report – Interim condensed consolidated financial statements 15 Subsidiary Registered office Principal business activity KRUK Services Spółka z ograniczoną odpowiedzialnością Wrocław Shared services centre, support activities for KRUK Group companies * Corbul S.r.l. and Gantoi, Furculita Si Asociatii S.p.a.r.l. are entities controlled through personal links via key personne l of KRUK S.A.’s subsidiaries. The Parent has the ability to use its power to affect the amount of returns it derives from its involvement with these entities (IFRS 10, paragraph 17). All the subsidiaries listed above are included in these condensed consolidated financial statements as at 30 June 2026 and for the period 1 January–30 June 2026. On 1 March 2026, the subsidiary KRUK Česká a Slovenská republika s.r.o. was placed in liquidation. On 4 March 2026, K -NEXT Alternatywna Spółka Inwestycyjna Spółka Akcyjna w organizacji (company in formation) was established, with 100% of its shares subscribed for by the Parent. The company’s principal activity will be the management and marketing of an alternative investment company and the raising of assets from a number of investors w ith a view to investing them in accordance with a defined investment policy for the investors’ benefit. On 19 May 2026, KRUK Polska S.A. w organizacji (company in formation) was established, with 100% of its shares subscribed for by the Parent. Its establishment forms part of a wider project to transform the organisational structure of the KRUK Group. The company’s business will be to conduct the Group’s operating activities in the Polish market. On 19 May 2026, KRUK Services Sp. z o.o. w organizacji (company in formation) was established, with 100% of its shares subscribed for by the Parent. The company was established to provide shared services to KRUK Group entities and to support the Group’s operational processes and business growth. After the rep orting period, on 15 July 2026, the company was entered in the National Court Register. Otherwise, the Group’s structure did not change during the six months to 30 June 2026. Entity controlled through personal links* Registered office Principal business activity Corbul S.r.l Bucharest Private investigation services Gantoi, Furculita Si Asociatii S.p.a.r.l. Bucharest Law firm
Page 16
Half-year report – Interim condensed consolidated financial statements 16 As at the issue date of this report, the KRUK Group’s structure was as follows: The Parent operates three local offices in Warsaw, Szczawno-Zdrój and Piła.
Page 17
Half-year report – Interim condensed consolidated financial statements 17 The percentage interests held by the Parent in the share capital of the subsidiaries as at the date of this report were as follows: Ownership interest and share in total voting rights Country 30 Jun 2026 unaudited 31 Dec 2025 SeCapital S.a.r.l.1 Luxembourg 100% 100% Novum Finance Sp. z o.o.1 Poland 100% 100% KRUK Romania S.r.l. Romania 100% 100% Kancelaria Prawna Raven P. Krupa Spółka komandytowa Poland 98% 98% KRUK Towarzystwo Funduszy Inwestycyjnych S.A. Poland 100% 100% KRUK Česká a Slovenská republika s.r.o. in liquidation Czech Republic 100% 100% Prokura NFW FIZ1 Poland 100% 100% InvestCapital Ltd1 Malta 100% 100% RoCapital IFN S.A.1 Romania 100% 100% KRUK Deutschland GmbH3 Germany - - KRUK Italia S.r.l. Italy 100% 100% ItaCapital S.r.l. Italy 100% 100% KRUK España S.L.U. Spain 100% 100% Presco Investments S.a.r.l. Luxembourg 100% 100% Presco NFW FIZ1 Poland 100% 100% Corbul S.r.l2 Romania n/a n/a Gantoi, Furculita Si Asociatii S.p.a.r.l.2 Romania n/a n/a Agecredit S.r.l. Italy 100% 100% Wonga.pl Sp. z o.o. Poland 100% 100% KRUK Investimenti S.r.l. Italy 100% 100% Zielony Areał Sp. z o.o. Poland 100% 100% KRUK Tech S.r.l.1 Romania 100% 100% KRUK Immobiliare S.r.l. Italy 100% 100% K-Next ASI S.A. w organizacji (in formation) Poland 100% - KRUK Polska S.A. w organizacji (in formation) Poland 100% - KRUK Services Sp. z o.o. w organizacji (in formation) Poland 100% - 1 Subsidiaries in which the Parent indirectly holds 100% of the share capital. 2 The Parent controls the company through a personal link. 3 Entity sold outside the Group on 30 September 2025.
Page 18
Half-year report – Interim condensed consolidated financial statements 18 2. Reporting period These interim condensed consolidated financial statements cover the period from 1 January 2026 to 30 June 2026. Comparative data are presented for the period from 1 January 2025 to 30 June 2025. The consolidated statement of profit or loss, the consolidated statement of comprehensive income, and the consolidated statement of cash flows have been prepared for the three-month and six-month periods ended 30 June 2026, together with comparative data f or the corresponding periods of 2025. The consolidated statement of financial position has been prepared as at 30 June 2026 and the comparative data is presented as at 31 December 2025 and 30 June 2025. The consolidated statement of changes in equity has been prepared for the period from 1 January 2026 to 30 June 2026 and the comparative periods are from 1 January 2025 to 31 December 2025 and from 1 January 2025 to 30 June 2025. The financial data presented on a quarterly basis for the periods from 1 April 2026 to 30 June 2026 and from 1 April 2025 to 30 June 2025 was not subject to a review or audit by an auditor. 3. Statement of compliance These interim condensed consolidated financial statements of the Group have been prepared in the condensed form in accordance with IAS 34 applicable to interim financial statements. These financial statements do not contain all the information required to prepare full -year financial statements and should therefore be read in conjunction with the Group’s consolidated financial statements prepared as at and for the year ended 31 December 2025 (available on the website: Interim reports | KRUK S.A.). In the opinion of the Management Board, there are no circumstances that could materially threaten the ability of the Group entities to continue as going concerns. Therefore, these condensed interim consolidated financial statements have been prepared on a going concern basis, assuming that those entities will continue operating for the foreseeable future, that is, for 12 months from the end of the reporting period (except for entities in liquidation). These interim condensed financial statements were authorised for issue by the Parent’s Management Board (the “Management Board”) on 25 August 2026. All amounts in these interim condensed consolidated financial statements are presented in the Polish złoty, rounded to the nearest thousand. Therefore, mathematical inconsistencies may occur in summations or between notes. The Polish złoty is the functional currency of the Parent.
Page 19
Half-year report – Interim condensed consolidated financial statements 19 4. Significant accounting policies These interim condensed consolidated financial statements have been prepared using the following measurement bases: • measurement at amortised cost calculated using the effective interest rate method including impairment allowance for assets that are credit-impaired, for financial assets held as part of the business model whose objective is to hold financial assets in order to collect contractual cash flows, and for other financial liabilities, • measurement at fair value – for derivatives and loans for which the contractual cash flows are not solely payments of principal and interest on the principal amount outstanding, • measurement at historical cost – for non-financial assets and liabilities. Changes in accounting policies The accounting policies applied to prepare these interim condensed financial statements are consistent with those applied in the most recent full-year consolidated financial statements as at and for the year ended 31 December 2025. The Group applied the following amendments to standards and interpretations approved for use in the European Union as of 1 January 2026: • Amendments to the classification and measurement of financial instruments (amendments to IFRS 9 and IFRS 7) The amendments included in particular: clarifying the date of recognition and derecognition of certain financial assets and financial liabilities, with an exemption for certain financial liabilities settled through an electronic cash transfer system, clarifying and providing additional guidance on the assessment of whether a financial asset meets the SPPI criteria, introducing new disclosures related to certain instruments whose contractual terms could modify cash flows, updating disclosures related to equity instruments measured at fair value through other comprehensive income (FVOCI). These amendments did not affect the classification and measurement of the Group’s financial assets and financial liabilities, its profit or loss or financial position for the reporting period ended 30 June 2026, or the scope of disclosures presented in the Group’s financial statements for the six months ended 30 June 2026. • Contracts Referencing Nature-dependent Electricity – Amendments to IFRS 9 and IFRS 7 The amendments had no effect on the Group’s consolidated financial statements.
Page 20
Half-year report – Interim condensed consolidated financial statements 20 • Annual Improvements to IFRS Accounting Standards – Volume 11 These annual improvements introduce minor amendments to IFRS 1 First-time Adoption of IFRSs, IFRS 7 Financial Instruments – Disclosures, IFRS 9 Financial Instruments, IFRS 10 Consolidated Financial Statements, and IAS 7 Statement of Cash Flows. The amendments were of a clarifying nature and did not have an impact on the recognition and presentation of the Group’s financial information. These financial statements comply with the requirements of International Accounting Standards, International Financial Reporting Standards and related interpretations adopted by the European Union, which have been issued and are effective for annual periods beginning 1 January 2026. Restatement for comparability In order to better reflect the economic substance and enhance the usefulness of data presented in the consolidated statement of financial position, the Group changed the presentation of the line item Investments by separating it into distinct line items: Investments in debt portfolios measured at amortised cost and Loans. The Group also changed the presentation of the line item Borrowings, debt securities and lease liabilities by separating it into three distinct line items: Borrowings, Debt securities and Lease liabilities. In the consolidated statement of cash flows, the Group separated the line item Interest received and paid on hedging instruments, presenting the respective amounts in separate line items: Interest received on hedging instruments and Interest paid on hedging instruments. The data originally reported in the published consolidated financial statements as at 30 June 2025 and for the period from 1 January to 30 June 2025 has been restated to ensure comparability. Effect of the change on the consolidated statement of financial position PLN thousand 30 Jun 2025 Originally reported Change 30 Jun 2025 Restated to ensure comparability Investments 11,358,743 (11,358,743) - Investments in debt portfolios measured at amortised cost - 10,797,330 10,797,330 Loans - 561,413 561,413
Page 21
Half-year report – Interim condensed consolidated financial statements 21 PLN thousand 30 Jun 2025 Originally reported Change 30 Jun 2025 Restated to ensure comparability Borrowings, debt securities and lease liabilities 6,541,449 (6,541,449) - Borrowings - 3,083,411 3,083,411 Debt securities - 3,387,014 3,387,014 Lease liabilities - 71,024 71,024 Effect of the change on the consolidated statement of cash flows PLN thousand 1 Jan–30 Jun 2025 Originally reported Change 1 Jan–30 Jun 2025 Restated to ensure comparability Interest paid and received on hedging instruments 47,307 (47,307) - Interest received on hedging instruments - 71,451 71,451 Interest paid on hedging instruments - (24,144) (24,144)
Page 22
Half-year report – Interim condensed consolidated financial statements 22 Amendments to existing standards and interpretations adopted by the European Union but not yet effective and not yet applied by the Group Standards and interpretations adopted by the EU Type of expected change in accounting policies Possible effect on the financial statements Effective for periods beginning on or after IFRS 18 Presentation and Disclosure in Financial Statements The standard is to replace IAS 1 Presentation of Financial Statements. The new standard, issued in April 2024, will supersede IAS 1. The implementation of the new requirements is intended to enhance the comparability and transparency of financial statements. Based on the Group’s analysis, the application of the standard will affect the presentation and scope of disclosures in its consolidated financial statements. 1 January 2027
Page 23
Half-year report – Interim condensed consolidated financial statements 23 Standards and interpretations issued but not yet adopted by the European Union Standards and interpretations not yet adopted by the EU Type of expected change in accounting policies Possible effect on the financial statements Effective for periods beginning on or after IFRS 19 Subsidiaries without Public Accountability: Disclosures and Amendments to IFRS 19 The new standard specifies reduced disclosure requirements that an eligible entity may apply instead of the disclosure requirements in other IFRSs. The amendments will have no effect on the Group’s consolidated financial statements. 1 January 2027 IAS 21 The Effects of Changes in Foreign Exchange Rates – Translation to a Hyperinflationary Presentation Currency The purpose of the amendments is to provide consistent rules for translating financial information into a hyperinflationary presentation currency. The amendments address situations in which an entity presents its financial statements in the currency of a hyperinflationary economy, while its functional currency or the functional currency of its foreign operation is that of a non - hyperinflationary economy. The amendments will have no effect on the Group’s consolidated financial statements. 1 January 2027 Amendments to the fair value option in IAS 28 Investments in Associates and Joint Ventures The amendments clarify the scope of entities eligible to use the fair value option as an exemption from applying the equity method to investments in associates and joint ventures. The amendments will have no effect on the Group’s consolidated financial statements. 1 January 2027 IFRS 20 Regulatory Assets and Regulatory Liabilities The standard introduces requirements for the recognition, measurement, presentation and disclosure of regulatory assets, regulatory liabilities, regulatory income and regulatory expense arising for entities subject to rate regulation. It aims to provide users of financial statements with more complete information on how that rate regulation affects a company’s financial performance, financial position and its prospects for future cash flows. IFRS 20 replaces IFRS 14. The amendments will have no effect on the Group’s consolidated financial statements. 1 January 2029
Page 24
Half-year report – Interim condensed consolidated financial statements 24 5. Accounting estimates and judgements In order to prepare interim consolidated financial statements, the Management Board is required to make judgements, estimates and assumptions which affect the application of adopted accounting policies and the reported amounts of assets, liabilities, revenue and expenses, whose actual values may differ from estimates. The estimates and assumptions are reviewed by the Group on an ongoing basis and are based on past experience and other factors, including expectations regarding future events that are considered reasonable in the circumstances. Changes in accounting estima tes are recognised prospectively from the reporting period in which the estimate is revised. Information on estimates and judgements concerning the application of accounting policies which most significantly affect the amounts presented in the financial statements: Item subject to estimation (PLN thousand) 30 Jun 2026 31 Dec 2025 Note Investments in debt portfolios 12,043,458 11,632,709 9 Assumptions and estimate calculation The value of purchased debt portfolios as at the valuation date is determined using an estimation model based on estimates of discounted expected cash flows. The expected cash flows were estimated using analytical methods (portfolio analysis) or based on a legal and economic analysis of individual claims or indebted persons/entities (case-by-case analysis). The method of estimating cash flows from a debt portfolio is selected based on the available data on the characteristics of the debts in the portfolio as well as historical data collected in the course of servicing the portfolios. The KRUK Group prepares projections for recoveries from debt portfolios separately for each market. The projections take into account, among other factors, the historical performance of the debt recovery process for the portfolios, current and planned lega l regulations, the type and nature of the claims and collateral, the current collection strategy, and macroeconomic conditions. The original projection of expected cash flows, taking into account the initial value, is used to determine the effective interest rate, equal to the internal rate of return including an element reflecting credit risk, which is used to discount estimated cash flows and remains unchanged throughout the period for which the portfolio is held. Item subject to estimation (PLN thousand) 30 Jun 2026 31 Dec 2025 Note Loans measured at amortised cost 677,650 610,020 9 Assumptions and estimate calculation The gross loan balance is determined based on expected cash flows discounted using the effective interest rate. The expected cash flows are determined for homogeneous groups of loans using so -called life tables based on historical loan prepayment data. The prepayment probability varies depending, among other factors, on the time elapsed since the grant of a loan. The gross balance of loans is reduced by the amount of expected credit losses. These are determined based, among other things, on the probability of default, the loss given default and total exposure at default.
Page 25
Half-year report – Interim condensed consolidated financial statements 25 Item subject to estimation (PLN thousand) 30 Jun 2026 31 Dec 2025 Note Loans measured at fair value through profit or loss 2,045 2,295 9 Assumptions and estimate calculation Loans that do not meet the SPPI test are measured at fair value. The fair value of loans was determined using Level 3 inputs, namely projections of expected cash flows. The main parameter that affects the estimated fair value of loans is the interest rate used to discount expected cash flows to the present value and the amount of expected credit losses on the portfolio. Item involving judgement (PLN thousand) 30 Jun 2026 31 Dec 2025 Note Deferred tax assets and liabilities 63,838 (assets) 126,682 (liabilities) 56,107 (assets) 123,197 (liabilities) 10.9 Assumptions underlying judgements The KRUK Group controls the timing of the reversal of temporary differences in subsidiaries and therefore recognises deferred tax liabilities equal to the amount of income tax expected to be paid in the future, based on plans and forecasts prepared for a three-year period. The amount of deferred tax liabilities is affected by changes in the level of expected future cash flows from investment companies to KRUK S.A. in the foreseeable future. The level of these cash flows depends, among other things, on: • KRUK S.A.’s liquidity needs and new debt financing raised and projected to be available to KRUK S.A.; • new debt financing raised and projected to be available to the investment companies, • planned expenditure on debt portfolios – the projected liquidity position of the investment companies depends, among other things, on the level of such expenditure, • planned recoveries from purchased debt portfolios held by the investment companies. Accordingly, the deferred tax liability in respect of expected future cash flows from subsidiaries may be subject to material changes between reporting periods. The KRUK Group assesses the recoverability of deferred tax assets based on its approved projection of profits for the following years. Item involving judgement (PLN thousand) 30 Jun 2026 31 Dec 2025 Note Exchange differences on translating equity and profit of InvestCapital -92,349 -148,883 Assumptions underlying judgements InvestCapital carries out material transactions in three different currencies: EUR, PLN and RON. Under IAS 21, the KRUK Group assesses on a quarterly basis whether the functional currency remains appropriate for the transactions conducted, taking into account both hist orical and planned transactions. Given the volume of planned and held investments in debt portfolios, InvestCapital’s functional currency is the euro. 6. Financial risk management The principles of financial risk management are presented in the most recent consolidated full-year financial statements prepared as at and for the financial year ended 31 December 2025. In the period from 1 January to 30 June 2026, there were no significant changes in the approach to financial risk management.
Page 26
Half-year report – Interim condensed consolidated financial statements 26 7. Operating and geographical segments Operating segments Based on the criterion of materiality of revenue in the consolidated statement of profit or loss, the Group has identified the principal operating segments presented below. At least quarterly, the Management Board of the Parent reviews internal management reports relating to each identified business activity. The Group’s operating segments conduct the following activities: • purchased debt portfolios: collection of purchased debt portfolios; • credit management services: fee-based collection of debt on client’s behalf, • other: provision of loans, financial intermediation. The Group changed the presentation of results by operating segment by separating, into distinct columns, data relating to the loan business on the Polish and Romanian markets, reflecting changes in the Group’s structure as a result of which its loan business had been integrated (comparative data was restated to ensure comparability). The performance of each operating segment is discussed below. The key performance metrics for each operating segment are gross profit and EBITDA, which are disclosed in the management’s internal reports reviewed by the President of the Management Board of the Parent. A segment’s gross profit and EBITDA are used to measure the segment’s performance since the management believes them to be the most appropriate metrics for the assessment of the segment’s results against other entities operating in the industry. In the reporting period, the Group’s operating activities concentrated in several geographical areas: Poland, Romania, Italy, Spain, the Czech Republic and France. Based on the locations in which operations are conducted, the following geographical segments have been identified: • Poland, • Romania, • Italy, • Spain, • Other foreign markets. When information is presented by geographical segment, the segment’s revenue is based on the geographical location of debt collection offices. Revenue from collection services and revenue from other products represent revenue from business partners. The Group did not record any revenue from inter-segment transactions.
Page 27
Half-year report – Interim condensed consolidated financial statements 27 Reportable segments For the reporting period ended 30 June 2026 Poland Romania Italy Spain Other foreign markets Unallocated income/expenses Head Office TOTAL Poland excluding the loan segment Loan segment Romania excluding the loan segment Loan segment Revenue 637,465 99,511 215,891 5,005 389,945 199,177 20,498 4,813 - 1,572,305 Purchased debt portfolios 625,954 - 215,784 - 384,834 188,999 20,364 - - 1,435,935 including revaluation of projected recoveries 149,773 - 47,714 - 33,727 (593) (4,481) - - 226,140 Credit management services 11,299 - 107 - 5,111 10,178 134 - - 26,829 Other products 212 99,511 - 5,005 - - - - - 104,728 Other income - - - - - - - 4,813 - 4,813 Direct and indirect costs (159,703) (46,812) (54,577) (4,892) (166,670) (99,163) (13,949) (1,933) - (547,699) Purchased debt portfolios (150,202) - (54,575) - (162,932) (93,401) (13,949) - - (475,059) Credit management services (9,492) - (2) - (3,738) (5,762) - - - (18,994) Other products (9) (46,812) - (4,892) - - - - - (51,713) Unallocated expenses - - - - - - - (1,933) - (1,933) Gross profit1 477,762 52,699 161,314 113 223,275 100,014 6,549 2,880 - 1,024,606 Purchased debt portfolios 475,752 - 161,209 - 221,902 95,598 6,415 - - 960,876 Credit management services 1,807 - 105 - 1,373 4,416 134 - - 7,835 Other products 203 52,699 - 113 - - - - - 53,015 Unallocated income/expenses - - - - - - - 2,880 - 2,880 - Administrative expenses (39,568) (3,980) (17,247) (473) (26,039) (16,977) (4,355) - (92,781) (201,420) EBITDA 2 438,194 48,719 144,067 (360) 197,236 83,037 2,194 2,880 (92,781) 823,186 Depreciation and amortisation (37,973) Finance income/(costs) (194,980) Profit before tax 590,233 Income tax (35,271) Net profit 554,962 Carrying amount of debt portfolios 4,518,873 - 2,058,050 - 3,485,816 1,765,236 215,483 - - 12,043,458 Carrying amount of loans - 643,598 - 36,097 - - - - - 679,695 Cash recoveries 803,601 - 367,265 - 519,211 286,292 34,204 - - 2,010,573 1 Gross profit = revenue – direct and indirect costs 2 EBITDA = gross profit – administrative expenses
Page 28
Half-year report – Interim condensed consolidated financial statements 28 For the reporting period ended 30 June 2025 Poland Romania Italy Spain Other foreign markets Unallocated income/expenses Head Office TOTAL Poland excluding the loan segment Loan segment* Romania excluding the loan segment Loan segment Revenue 617,456 114,083 288,232 6,300 344,825 188,378 36,222 4,200 - 1,599,696 Purchased debt portfolios 605,798 - 288,091 - 337,893 179,564 34,337 - - 1,445,683 including revaluation of projected recoveries 130,879 - 105,838 - 48,149 (9,462) (3,983) - - 271,421 Credit management services 11,530 - 141 - 6,932 8,814 1,885 - - 29,302 Other products 128 114,083 - 6,300 - - - - - 120,511 Other income - - - - - - - 4,200 - 4,200 Direct and indirect costs (159,242) (47,333) (49,736) (2,837) (162,807) (124,868) (12,584) (4,206) - (563,613) Purchased debt portfolios (149,622) - (49,733) - (158,136) (119,067) (12,584) - - (489,142) Credit management services (9,600) - (3) - (4,671) (5,801) - - - (20,075) Other products (20) (47,333) - (2,837) - - - - - (50,190) Unallocated expenses - - - - - - - (4,206) - (4,206) Gross profit1 458,214 66,750 238,496 3,463 182,018 63,510 23,638 (6) - 1,036,083 Purchased debt portfolios 456,176 - 238,358 - 179,757 60,497 21,753 - - 956,541 Credit management services 1,930 - 138 - 2,261 3,013 1,885 - - 9,227 Other products 108 66,750 - 3,463 - - - - - 70,321 Unallocated income/expenses - - - - - - - (6) - (6) Administrative expenses (48,963) (5,660) (15,768) (560) (21,946) (15,723) (5,359) - (86,877) (200,856) EBITDA 2 409,251 61,090 222,728 2,903 160,072 47,787 18,279 (6) (86,877) 835,227 Depreciation and amortisation (31,168) Finance income/(costs) (218,694) Profit before tax 585,365 Income tax (1,211) Net profit 584,154 Carrying amount of debt portfolios 4,258,316 - 1,684,825 - 2,794,598 1,837,177 222,414 - - 10,797,330 Carrying amount of loans - 520,940 - 40,473 - - - - - 561,413 Cash recoveries 776,197 - 344,799 - 445,382 273,291 70,636 - - 1,910,305 * Beginning with the consolidated financial statements for 2025, the item covers the entire loan segment in the relevant geographical area.
Page 29
Half-year report – Interim condensed consolidated financial statements 29 For the three-month period ended 30 June 2026 not reviewed Poland Romania Italy Spain Other foreign markets Unallocated income/expenses Head Office TOTAL Poland excluding the loan segment Loan segment Romania excluding the loan segment Loan segment Revenue 338,955 52,379 70,550 2,359 212,858 100,720 8,024 3,029 - 788,874 Purchased debt portfolios 333,480 - 70,497 - 210,306 95,102 8,023 - - 717,408 including revaluation of projected recoveries 92,622 - 18,306 - 25,702 153 (4,481) - - 132 302 Credit management services 5,405 - 53 - 2,552 5,618 1 - - 13,629 Other products 70 52,379 - 2,359 - - - - - 54,808 Other income - - - - - - - 3,029 - 3,029 Direct and indirect costs (80,634) (22,597) (28,973) (2,924) (81,881) (38,677) (8,378) (653) - (264,717) Purchased debt portfolios (75,723) - (28,972) - (80,114) (35,729) (8,378) - - (228,916) Credit management services (4,907) - (1) - (1,767) (2,948) - - - (9,623) Other products (4) (22,597) - (2,924) - - - - - (25,525) Unallocated expenses - - - - - - - (653) - (653) Gross profit1 258,321 29,782 41,577 (565) 130,977 62,043 (354) 2,376 - 524,157 Purchased debt portfolios 257,757 - 41,525 - 130,192 59,373 (355) - - 488,492 Credit management services 498 - 52 - 785 2,670 1 - - 4,006 Other products 66 29,782 - (565) - - - - - 29,283 Unallocated income/expenses - - - - - - - 2,376 - 2,376 - Administrative expenses (20,423) (1,764) (8,541) (214) (14,032) (8,630) (2,429) - (48,464) (104,497) EBITDA 2 237,898 28,018 33,036 (779) 116,945 53,413 (2,783) 2,376 (48,464) 419,660 Depreciation and amortisation (18,929) Finance income/(costs) (81,338) Profit before tax 319,393 Income tax (26,916) Net profit 292,477 Cash recoveries 414,583 - 180,626 - 270,906 155,639 17,610 - - 1,039,364
Page 30
Half-year report – Interim condensed consolidated financial statements 30 For the three-month period ended 30 June 2025 not reviewed Poland Romania Italy Spain Other foreign markets Unallocated income/expenses Head Office TOTAL Poland excluding the loan segment Loan segment Romania excluding the loan segment Loan segment Revenue 317,834 46,402 132,398 2,432 184,580 90,274 21,299 2,278 - 797,497 Purchased debt portfolios 312,118 - 132,367 - 181,089 85,707 19,414 - - 730,695 including revaluation of projected recoveries 69,779 - 51,941 - 30,678 (9,286) (4,219) - - 138,893 Credit management services 5,666 - 31 - 3,491 4,567 1,885 - - 15,640 Other products 50 46,402 - 2,432 - - - - - 48,884 Other income - - - - - - - 2,278 - 2,278 Direct and indirect costs (80,202) (22,777) (25,041) (1,286) (82,223) (43,585) (7,895) (2,002) - (265,011) Purchased debt portfolios (75,253) - (25,040) - (79,862) (40,669) (7,895) - - (228,719) Credit management services (4,941) - (1) - (2,361) (2,916) - - - (10,219) Other products (8) (22,777) - (1,286) - - - - - (24,071) Unallocated expenses - - - - - - - (2,002) - (2,002) Gross profit1 237,632 23,625 107,357 1,146 102,357 46,689 13,404 276 - 532,486 Purchased debt portfolios 236,865 - 107,327 - 101,227 45,038 11,519 - - 501,976 Credit management services 725 - 30 - 1,130 1,651 1,885 - - 5,421 Other products 42 23,625 - 1,146 - - - - - 24,813 Unallocated income/expenses - - - - - - - 276 - 276 - Administrative expenses (25,391) (2,845) (8,012) (350) (11,735) (8,076) (3,071) - (46,911) (106,391) EBITDA 2 212,241 20,780 99,345 796 90,622 38,613 10,333 276 (46,911) 426,095 Depreciation and amortisation (15,453) Finance income/(costs) (106,022) Profit before tax 304,620 Income tax 27,852 Net profit 332,472 Cash recoveries 397,642 - 178,137 - 218,666 145,344 47,081 - - 986,870
Page 31
Half-year report – Interim condensed consolidated financial statements 31 8. Seasonality or cyclicality of business The Group’s operations are not subject to seasonal or cyclical fluctuations. 9. Nature and amounts of changes in estimates of amounts reported in previous financial years that have a material effect on the reporting period Investments PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Investments in debt portfolios 12,043,458 11,632,709 10,797,330 Loans measured at amortised cost 677,650 610,020 558,770 Loans measured at fair value 2,045 2,295 2,643 12,723,153 12,245,024 11,358,743 Investments measured at amortised cost PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Investments in debt portfolios 12,043,458 11,632,709 10,797,330 Loans measured at amortised cost 677,650 610,020 558,770 12,721,108 12,242,729 11,356,100 Investments in debt portfolios measured at amortised cost PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Value of purchased debt portfolios Unsecured portfolios 11,223,416 10,804,177 10,018,662 Secured portfolios 820,042 828,532 778,668 12,043,458 11,632,709 10,797,330 At the end of each quarter, where appropriate, the Group updates the following parameters which are used to estimate expected future cash flows from debt portfolios measured at amortised cost: a. discount rate in the event of a change in the amount invested in the purchased debt portfolio; b. period over which cash flows are estimated; c. expected future cash flows based on currently available information and the debt collection processes currently in use. The Group analyses the impact of macroeconomic factors on projected recoveries; historically, no correlation has been identified between recoveries from purchased debt portfolios and macroeconomic conditions.
Page 32
Half-year report – Interim condensed consolidated financial statements 32 Assumptions adopted in the valuation of debt portfolios 30 Jun 2026 unaudited 31 Dec 2025 unaudited 30 Jun 2025 unaudited Discount rate1 8.10% - 147.10% 8.00% - 147.10% 8.00% - 147.10% Recoveries estimation period Jul 2026−Jun 2046 Jan 2026−Jan 2046 Jul 2025–Jul 2045 PLN thousand Undiscounted value of future recoveries, including: 27,231,846 26,152,000 23,892,657 discount rate: < 25% 19,117,505 17,926,837 16,522,900 25% - 50% 7,039,257 6,836,415 6,398,992 > 50% 1,075,084 1,388,748 970,765 1 Interest rate range applicable to 99% of the value of debt portfolios Projected estimated schedule of recoveries from debt portfolios (undiscounted value) PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 unaudited 30 Jun 2025 unaudited Time horizon Up to 12 months 3,706,741 3,602,609 3,416,079 1–2 years 3,376,752 3,340,971 3,150,741 2–3 years 2,994,851 2,904,080 2,713,627 3–4 years 2,587,246 2,484,149 2,272,434 4–5 years 2,158,437 2,110,633 1,928,574 5–6 years 1,862,045 1,791,436 1,613,197 6–7 years 1,624,546 1,548,854 1,373,561 7–8 years 1,436,007 1,357,042 1,183,083 8–9 years 1,284,291 1,190,125 1,048,026 9–10 years 1,149,240 1,060,937 932,778 10–11 years 1,012,508 940,096 827,640 11–12 years 879,457 812,430 720,002 12–13 years 775,782 705,894 616,991 13–14 years 661,221 618,375 534,258 14–15 years 519,705 506,852 454,107 15–20 years 1,203,001 1,177,506 1,107,473 Over 20 years 16 11 86 27,231,846 26,152,000 23,892,657 The timing of estimated remaining recoveries on debt portfolios as presented above, by discount rate range, changes between comparative periods as a result of: • acquisition of new debt portfolios, • recoveries from debt portfolios held, • revaluation of estimated remaining recoveries.
Page 33
Half-year report – Interim condensed consolidated financial statements 33 Changes in the net carrying amount of investments in debt portfolios were as follows: PLN thousand Unsecured portfolios Secured portfolios Total Carrying amount of investments in debt portfolios at 1 Jan 2026 10,804,177 828,532 11,632,709 Purchase of debt portfolios* 818,062 46,130 864,192 Cash recoveries from indebted persons and from sale of debt portfolios (1,840,218) (170,355) (2,010,573) Increase/(decrease) in liabilities to indebted persons due to overpayments** 3,654 - 3,654 Valuation of loyalty scheme** (523) - (523) Revenue from purchased debt portfolios 1,324,893 111,042 1,435,935 Exchange differences on translation of debt portfolios*** 113,371 4,693 118,064 Carrying amount of investments in debt portfolios at 30 Jun 2026 11,223,416 820,042 12,043,458 PLN thousand Unsecured portfolios Secured portfolios Total Carrying amount of investments in debt portfolios at 1 Jan 2025 9,674,563 825,715 10,500,278 Purchase of debt portfolios* 2,057,223 165,709 2,222,932 Disposal of debt portfolios resulting from sale of subsidiary (2,402) - (2,402) Cash recoveries from indebted persons and from sale of debt portfolios (3,562,795) (356,953) (3,919,748) Increase/(decrease) in liabilities to indebted persons due to overpayments** 5,921 - 5,921 Valuation of loyalty scheme** 1,778 - 1,778 Revenue from purchased debt portfolios 2,698,495 199,692 2,898,187 Carrying amount of property foreclosed - (1,793) (1,793) Exchange differences on translation of debt portfolios*** (68,606) (3,838) (72,444) Carrying amount of investments in debt portfolios at 31 Dec 2025 10,804,177 828,532 11,632,709 PLN thousand Unsecured portfolios Secured portfolios Total Carrying amount of investments in debt portfolios at 1 Jan 2025 9,674,563 825,715 10,500,278 Purchase of debt portfolios* 806,894 (1,440) 805,454 Cash recoveries from indebted persons and from sale of debt portfolios (1,777,874) (132,431) (1,910,305) Increase/(decrease) in liabilities to indebted persons due to overpayments** 2,863 - 2,863 Valuation of loyalty scheme** 1,311 - 1,311 Revenue from purchased debt portfolios 1,355,227 90,456 1,445,683 Carrying amount of property foreclosed - (1,833) (1,833) Exchange differences on translation of debt portfolios*** (44,322) (1,799) (46,121) Carrying amount of investments in debt portfolios at 30 Jun 2025 10,018,662 778,668 10,797,330 * The item reflects an adjustment to the purchase price for the discount attributable to defective debt cases. ** The amount of investments in debt portfolios is adjusted to account for the measurement of the loyalty scheme and the increase/(decrease) in liabilities to indebted persons due to overpayments in connection with the recognition of costs related to the b onus plan and a provision for refunds of overpayments under ‘Other income/expenses from purchased debt portfolios’. *** Relates to purchased debt portfolios denominated in currencies other than PLN. The item results from exchange rate movements in the respective periods, mainly EUR/PLN fluctuations.
Page 34
Half-year report – Interim condensed consolidated financial statements 34 Investment in purchased debt portfolios is the principal business activity of the Parent and most of its subsidiaries. In light of IAS 7.15, the Group regards investments in debt portfolios as its principal revenue - producing activity and presents expenditu re on their acquisition under operating activities as Change in investments in debt portfolios in the statement of cash flows. As part of its operational process of recovering purchased receivables, the Group occasionally sells individual cases from debt portfolios with the aim of increasing revenue generated from its principal operating activities. In 2025, the Group sold debt portfolios on the Czech and Slovak markets as part of the process of scaling down its operations in those markets. In view of the above, and the provision of IAS 7.14, the Group presents proceeds from the sale of debt cases under operating activities as Change in investments in debt portfolios in the statement of cash flows. In the reporting period, the Group incurred expenditure on the purchase of debt portfolios of PLN 864,192 thousand (six months to 30 June 2025: PLN 805,454 thousand, 2025: PLN 2,222,932 thousand), while recoveries from indebted persons amounted to PLN 2,01 0,573 thousand (six months to 30 June 2025: PLN 1,910,305 thousand, 2025: PLN 3,919,748 thousand). Changes in expected credit losses on purchased debt portfolios were as follows: PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 1 Jan–30 Jun 2025 unaudited Cumulative expected credit losses on purchased debt portfolios at beginning of period 4,645,333 3,924,841 3,924,841 Revaluation of projected recoveries, including: 226,140 496,902 271,421 unsecured portfolios 219,703 514,034 279,726 secured portfolios 6,437 (17,132) (8,305) Deviations from actual recoveries, decreases on early collections in collateralised cases, including: 78,637 223,590 125,397 unsecured portfolios 42,932 148,973 98,998 secured portfolios 35,704 74,616 26,399 Cumulative expected credit losses on purchased debt portfolios at end of period 4,950,110 4,645,333 4,321,659 Changes in expected credit losses are reflected in the value of the debt portfolio.
Page 35
Half-year report – Interim condensed consolidated financial statements 35 Sensitivity analysis – revaluation of projected recoveries A 1% increase in all projected recoveries would result in an increase in the value of portfolios and thus in net profit/(loss) for the reporting period by PLN 106,314 thousand, while a 1% decrease in all projected recoveries would result in a decrease in the value of portfolios, thus reducing net profit/(loss) by PLN 106,314 thousand for the data as at 30 June 2026 (a PLN 103,837 thousand increase/decrease, respectively, for the data as at 31 December 2025). PLN thousand Profit or loss for period 100 bps increase in recoveries 100 bps decrease in recoveries 30 Jun 2026 Investments in debt portfolios 106,314 (106,314) 31 Dec 2025 Investments in debt portfolios 103,837 (103,837) Sensitivity analysis – time horizon The sensitivity analysis assumes extension or shortening of the projection period with a simultaneous increase or decrease in the recovery projections (in the case of extension by one year, projected recoveries increased by PLN 17,792 thousand, in the case of shortening by one year, projected recoveries decreased by PLN 54,769 thousand; for 2025, the amounts were PLN 42,713 thousand and PLN 84,433 thousand, respectively). PLN thousand Profit or loss for period extension by one year shortening by one year 30 Jun 2026 Investments in debt portfolios 233 (880) 31 Dec 2025 Investments in debt portfolios 583 (1,415)
Page 36
Half-year report – Interim condensed consolidated financial statements 36 Loans PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Loans measured at amortised cost 677,650 610,020 558,770 Loans measured at fair value 2,045 2,295 2,643 679,695 612,315 561,413 Loans measured at amortised cost The structure of loans measured at amortised cost at the end of the reporting periods was as follows: IFRS 9 classification 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Gross carrying amount of loans measured at amortised cost Stage 1 423,059 379,905 365,861 Stage 2 170,430 147,686 119,498 Stage 3 552,607 497,637 438,423 POCI 1,380 1,437 1,552 1,147,476 1,026,665 925,334 Allowances for expected credit losses Stage 1 26,963 23,576 22,045 Stage 2 30,095 25,818 21,162 Stage 3 412,768 367,251 323,357 469,826 416,645 366,564 Net carrying amount Stage 1 396,096 356,329 343,816 Stage 2 140,335 121,868 98,336 Stage 3 139,839 130,386 115,066 POCI 1,380 1,437 1,552 677,650 610,020 558,770
Page 37
Half-year report – Interim condensed consolidated financial statements 37 Changes in the net carrying amount of loans measured at amortised cost are presented below. PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 1 Jan–30 Jun 2025 unaudited Carrying amount of loans measured at amortised cost at beginning of period 610,020 499,604 499,604 Acquisition of loans as part of portfolio purchase 9,051 - - New disbursements 584,030 981,624 465,478 Repayments (loan principal and interest) (629,175) (1,093,687) (525,259) Interest income 139,317 257,646 121,210 Allowance for expected credit losses (35,056) (33,571) (922) Exchange differences on translation of loans (537) (1,596) (1,341) Carrying amount of loans measured at amortised cost at end of period 677,650 610,020 558,770 Changes in allowance for expected credit losses on loans measured at amortised cost: 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 PLN thousand Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Loss allowance at beginning of period 23,576 25,818 367,251 416,645 26,869 25,459 294,606 346,934 Loss allowance as at acquisition date 656 - - 656 - - - - Transfer from Stage 1 to Stage 2 (20,552) 20,552 - - (3,513) 3,513 - - Transfer from Stage 1 to Stage 3 (14,146) - 14,146 - (19,772) - 19,772 - Transfer from Stage 2 to Stage 1 569 (569) - - 417 (417) - - Transfer from Stage 2 to Stage 3 - (19,565) 19,565 - - (20,527) 20,527 - Transfer from Stage 3 to Stage 1 - - - - - - - - Transfer from Stage 3 to Stage 2 - - - - - - - - Allowance for expected credit losses recognised in the reporting period and changes reflecting newly granted loans and repayments 36,860 3,859 11,807 52,526 19,575 17,790 32,346 69,711 Loss allowance at end of period 26,963 30,095 412,768 469,826 23,576 25,818 367,251 416,645 The amount of the loss allowance is determined by expected loss recognition stages to which the loans are allocated, based on estimates reflecting the risk of expected credit losses and taking into account the degree of delinquency. The loss allowance at the end of the reporting period represents 40.9% of the gross carrying amount of loans measured at amortised cost (at the end of 2025: 40.6%). The total amount of undiscounted expected credit losses for credit -impaired financial assets as at 30 June 2026 was PLN 27,506 thousand (31 December 2025: PLN 27,541 thousand).
Page 38
Half-year report – Interim condensed consolidated financial statements 38 Impact of macroeconomic factors on the estimation of expected credit losses for the Wonga loan portfolio Expected credit losses for loans measured at amortised cost are determined based on the following parameters: PD (probability of default), PPS (prepayment probability), LGD (loss given default) and EAD (exposure at default). LGD depends on recoveries achieved after an event of default. Recoveries from impaired loan portfolios are realised either through sale of receivables or through debt collection processes, initially amicable and then pursued in courts. For collection proce sses, projected recoveries used to determine LGD are based on a historical repayment curve for comparable receivables and are periodically reviewed and updated in the event of material changes. The Company analyses the impact of macroeconomic factors on projected recoveries and expected credit losses for loans measured at amortised cost. Macroeconomic variables analysed: • consumer bankruptcies, • number of unemployed people (total registered, newly registered and re-registered), • registered unemployment rate, • number of new job offers in the period. If incorporating these macroeconomic variables (in addition to the applied behavioural scoring model) improves the projection accuracy, they are included in the expected credit loss estimation model. Impact of macroeconomic factors on the estimation of expected credit losses for the Novum loan portfolio Calculations of expected credit losses incorporate estimates relating to the anticipated macroeconomic environment. The impact of macroeconomic factors is considered through the effect of forecast macroeconomic variables on the individual risk parameters ( PD, LGD). Historical data is used to verify the correlation between changes in these parameters (or their components) and changes in macroeconomic variables. Macroeconomic variables analysed include: • GDP growth rate, • change in the consumer price index (CPI), • change in the retail sales index, • growth in average wages in the national economy, • unemployment rate. As at the end of 2025, the statistically significant macroeconomic variable was wage growth, which was correlated with historical repayments forming components of the LGD estimates. The baseline macroeconomic scenario used for the LGD estimation is based o n available macroeconomic forecasts, particularly those published by the National Bank of Poland (NBP) regarding inflation and GDP projections.
Page 39
Half-year report – Interim condensed consolidated financial statements 39 Sensitivity analysis – revaluation of projected recoveries The note presents the effect of a change in projected recoveries on the net carrying amount of loans measured at amortised cost as the effect of the change on net profit or loss. PLN thousand Profit or loss for period 100 bps increase in recoveries 100 bps decrease in recoveries 30 Jun 2026 Loans measured at amortised cost 6,789 (6,764) 31 Dec 2025 Loans measured at amortised cost 6,092 (6,108) Sensitivity analysis – time horizon The note presents the effect of extending or reducing the repayment projection period by one month on the net carrying amount of loans measured at amortised cost as the effect of the change on net profit or loss. PLN thousand Profit or loss for period extension by one month shortening by one month 30 Jun 2026 Loans measured at amortised cost (12,653) 11,798 31 Dec 2025 Loans measured at amortised cost (12,249) 11,203
Page 40
Half-year report – Interim condensed consolidated financial statements 40 Loans measured at fair value Changes in the carrying amount of loans measured at fair value: PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 1 Jan–30 Jun 2025 unaudited Carrying amount of loans measured at fair value at beginning of period 2,295 3,301 3,301 Repayments (493) (2,891) (748) Interest income 325 1,078 705 Remeasurement (82) 807 (615) Carrying amount of loans measured at fair value at end of period 2,045 2,295 2,643 Sensitivity analysis – revaluation of projected recoveries The note presents the effect of a change in projected recoveries on the carrying amount of loans measured at fair value as the effect of the change on net profit or loss. PLN thousand Profit or loss for period 100 bps increase in recoveries 100 bps decrease in recoveries 30 Jun 2026 Loans measured at fair value 21 (21) 31 Dec 2025 Loans measured at fair value 23 (23) Sensitivity analysis – time horizon The note presents the effect of extending or shortening the repayment projection period by one month on the carrying amount of loans measured at fair value as the effect of the change on net profit or loss. PLN thousand Profit or loss for period extension by one month shortening by one month 30 Jun 2026 Loans measured at fair value (73) 71 31 Dec 2025 Loans measured at fair value (81) 79
Page 41
Half-year report – Interim condensed consolidated financial statements 41 Sensitivity analysis – interest rate The interest rate on loans measured at fair value is 30.9% (31 December 2025: 30%). Presented below is a sensitivity analysis for the interest rate applied to the fair value measurement of loans: PLN thousand Profit or loss for period 1 pp increase in interest rate 1 pp decrease in interest rate 30 Jun 2026 Loans measured at fair value (18) 18 31 Dec 2025 Loans measured at fair value (20) 20
Page 42
Half-year report – Interim condensed consolidated financial statements 42 10. Type and amounts of items affecting the assets, liabilities, equity, net profit/loss or cash flows, which are material due to their type, size or effect 10.1. Revenue from operating activities including gain/(loss) on expected credit losses, changes in the value of investments, and other income/expenses from purchased debt portfolios PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Jan–30 Jun 2025 unaudited Purchased debt portfolios Revenue from credit management services Revenue from other services Other operating income Total Purchased debt portfolios Revenue from credit management services Revenue from other services Other operating income Total Interest income on debt portfolios and loans measured at amortised cost 1,190,258 - 139,317 - 1,329,575 1,068,373 - 121,210 - 1,189,583 Interest income on loans measured at fair value - - 325 - 325 - - 705 - 705 Revenue from sale of debts and loans 2,679 - - - 2,679 17,511 - - - 17,511 Other income/expenses from purchased debt portfolios (61,779) - - - (61,779) (38,853) - - - (38,853) Revenue from rendering services - 26,829 224 - 27,053 - 29,302 133 - 29,435 Other operating income - - 4,813 4,813 - - - 4,200 4,200 Fair value gains/(losses) on investments measured at fair value - - (82) - (82) - - (615) - (615) Gain/(loss) on expected credit losses 304,777 - (35,056) - 269,721 398,652 - (922) - 397,730 1,435,935 26,829 104,728 4,813 1,572,305 1,445,683 29,302 120,511 4,200 1,599,696
Page 43
Half-year report – Interim condensed consolidated financial statements 43 PLN thousand 1 Apr–30 Jun 2026 not reviewed 1 Apr–30 Jun 2025 not reviewed Purchased debt portfolios Revenue from credit management services Revenue from other services Other operating income Total Purchased debt portfolios Revenue from credit management services Revenue from other services Other operating income Total Interest income on debt portfolios and loans measured at amortised cost 598,337 - 72,085 - 670,422 538,264 - 60,231 - 598,495 Interest income on loans measured at fair value - - 160 - 160 - - 361 - 361 Revenue from sale of debts and loans 1,362 - - - 1,362 13,310 - - - 13,310 Other income/expenses from purchased debt portfolios (59,556) - - - (59,556) (35,595) - - - (35,595) Revenue from rendering services - 13,629 82 - 13,711 - 15,640 38 - 15,678 Other operating income - - - 3,029 3,029 - - - 2,278 2,278 Fair value gains/(losses) on investments measured at fair value - - (47) - (47) - - (253) - (253) Gain/(loss) on expected credit losses 177,265 - (17,472) - 159,793 214,716 - (11,493) - 203,223 717,408 13,629 54,808 3,029 788,874 730,695 15,640 48,884 2,278 797,497
Page 44
Half-year report – Interim condensed consolidated financial statements 44 Other income/expenses from purchased debt portfolios PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Foreign exchange gains/(losses) (58,648) (57,703) (34,679) (33,016) Costs of loyalty scheme valuation 523 (4) (1,311) (586) Provision for overpayments (3,654) (1,849) (2,863) (1,993) (61,779) (59,556) (38,853) (35,595) In the six months ended 30 June 2026, foreign exchange losses were mainly attributable to fluctuations in the EUR/RON exchange rate. Gain/(loss) on expected credit losses from purchased debt portfolios PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Revaluation of projected recoveries 226,140 132,302 271,421 138,893 Deviations of actual recoveries, decreases on early collections in collateralised cases, payments from original creditor 78,637 44,963 127,231 75,823 304,777 177,265 398,652 214,716 Revenue from loans Revenue from loans measured at amortised cost PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Interest income 139,317 72,085 121,210 60,231 Allowance for expected credit losses (35,056) (17,472) (922) (11,493) 104,261 54,613 120,288 48,738 Revenue from loans measured at fair value PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Interest income 325 160 705 361 Remeasurement (82) (47) (615) (253) 243 113 90 108
Page 45
Half-year report – Interim condensed consolidated financial statements 45 Revenue from other services PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Revenue from credit management services 26,829 13,629 29,302 15,640 Revenue from the resale of materials, intermediation and other services 224 82 133 38 27,053 13,711 29,435 15,678 Other operating income PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Gain/(loss) on sale of property 1,548 991 1,618 980 Recharged costs of services and court fees 915 499 1,142 432 Recovery of compensation relating to motor claims 355 126 80 41 Gain on sale of property, plant and equipment 393 270 620 512 Other cooperation 831 727 267 219 Rental 27 13 64 17 Other 744 403 409 77 4,813 3,029 4,200 2,278
Page 46
Half-year report – Interim condensed consolidated financial statements 46 10.2. Services expense PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed IT services (44,004) (22,396) (42,037) (22,961) Debt collection services1 (41,351) (20,869) (40,076) (20,925) Legal assistance services2 (15,905) (8,943) (15,610) (7,979) Postal and courier services (14,223) (6,760) (14,211) (7,589) Administrative and accounting support services (12,904) (6,518) (15,248) (8,942) Banking services (11,577) (5,679) (17,367) (5,721) Communications services (6,845) (3,913) (6,860) (3,472) Space rental and service charges (4,843) (2,481) (5,359) (2,786) Marketing and management services3 (1,983) (1,212) (5,538) (2,887) Printing services (1,759) (903) (1,555) (763) Security services (1,738) (933) (1,420) (844) Repair and maintenance services (1,048) (553) (978) (357) Other auxiliary services (924) (714) (638) (386) Repair of vehicles (809) (474) (783) (482) Other rental (805) (416) (759) (236) Recruitment services (747) (380) (902) (569) Transport services (82) (35) (168) (125) Packing services (16) (9) (36) (8) (161,563) (83,188) (169,545) (87,032) 1 Costs of debt management services provided by external servicers. 2 Legal assistance services relate mainly to debt portfolio management 3 Advertising services in the period are presented under Other expenses The higher cost of banking services in the six months ended 30 June 2025 was attributable to an overall increase in investments in purchased debt portfolios relative to prior periods. 10.3. Employee benefits expense PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Salaries and wages (234,454) (118,963) (230,709) (118,248) Other social security contributions (46,356) (25,160) (45,971) (24,699) Old-age and disability pension contributions (21,685) (11,015) (19,259) (9,849) Equity-settled cost of stock option plan (8,134) (4,089) (10,923) (6,929) Contribution to the State Fund for the Rehabilitation of Persons with Disabilities (PFRON) (1,279) (660) (1,230) (615) (311,908) (159,887) (308,092) (160,340)
Page 47
Half-year report – Interim condensed consolidated financial statements 47 10.4. Court fees PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Legal expenses (164,223) (67,672) (176,924) (72,946) Court enforcement officer fees (64,804) (32,888) (59,569) (26,315) Stamp duties (1,618) (770) (1,413) (705) (230,645) (101,330) (237,906) (99,966) The lower legal expenses relative to the comparative period can be explained by an increased level of legal collection activity in the Spanish market during the six months to 30 June 2025. 10.5. Other expenses PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Taxes and charges (12,733) (8,256) (16,814) (8,755) Advertising (10,894) (4,713) (6,202) (1,393) Staff training (6,784) (4,199) (5,438) (4,028) Raw materials and consumables used (5,421) (2,790) (10,224) (4,021) Business travel (3,297) (2,176) (2,500) (1,564) Entertainment expenses (3,111) (1,621) (2,534) (1,718) Property insurance (610) (312) (632) (327) Losses on motor vehicle damage (424) (133) (610) (258) Costs of services and fees to be recharged (248) 16 (855) (321) Non-compete agreements (238) (140) (288) (157) Membership fees (230) (59) (196) (138) Reimbursement of litigation costs (146) (64) (49) 294 Motor insurance (55) (12) (388) (193) Non-deductible VAT - 82 (844) (600) Write-off of development costs - - (618) (618) Allowances for expected credit losses on receivables - - (17) - Other (812) (432) (717) (267) (45,003) (24,809) (48,926) (24,064) The higher amount reported under raw materials and consumables used in the six months to 30 June 2025 resulted from the relocation of the Parent’s registered office and was attributable to expenses incurred on office equipment.
Page 48
Half-year report – Interim condensed consolidated financial statements 48 10.6. Finance income PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Interest income on bank deposits 1,171 623 521 247 1,171 623 521 247 10.7. Finance costs PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Interest and commission expense on financial liabilities measured at amortised cost (245,118) (124,552) (251,786) (123,370) including interest (227,516) (114,263) (239,958) (117,116) Net foreign exchange gains/(losses) (4,258) (2,929) 285 1,062 Interest expense/income on hedging instruments – IRS (6,864) (3,446) (1,149) (1,779) Hedging income/expense 34,933 15,029 33,722 16,705 Interest expense/income on hedging instruments – CIRS (14,066) (5,862) 1,228 1,113 Foreign exchange gains/losses on settlement of the CIRS hedging instrument (reclassified from other comprehensive income 39,799 39,799 - - Expense/income from settlement of derivatives – FORWARD (577) - (1,515) - (196,151) (81,961) (219,215) (106,269) The Parent partially disposed of its interest in the net assets of a subsidiary through the execution of its foreign currency risk hedging instruments , resulting in the recognition of foreign exchange gains related to the settlement of the hedge of a net investment in a foreign operation in the profit or loss for the current period. 10.8. Effect of exchange rate movements on consolidated statement of profit or loss PLN thousand Note 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Realised exchange gains/(losses) 10.6; 10.7 (3,173) (4,994) (1,104) 5,127 Unrealised exchange gains/(losses) 10.6; 10.7 (1,085) 2,065 1,389 (4,065) Foreign exchange gains/losses on settlement of the CIRS hedging instrument (reclassified from other comprehensive income) 10.7 39,799 39,799 - - Expense/income from settlement of derivatives – FORWARD 10.7 (577) - (1,515) - Remeasurement of debt portfolios due to exchange rate movements 10.1 (58,648) (57,703) (34,679) (33,016) (23,684) (20,833) (35,909) (31,954)
Page 49
Half-year report – Interim condensed consolidated financial statements 49 10.9. Income tax Income tax recognised in profit or loss and total comprehensive income for period PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Current income tax recognised in profit or loss Current income tax expense* (29,585) (23,768) (12,027) (9,171) Deferred income tax recognised in profit or loss Related to the origination and reversal of temporary differences** (5,686) (3,148) 10,816 37,023 Income tax recognised in profit or loss (35,271) (26,916) (1,211) 27,852 Deferred income tax recognised in other comprehensive income Related to the origination and reversal of temporary differences 9,933 9,403 (2,123) 8,828 Income tax recognised in other comprehensive income 9,933 9,403 (2,123) 8,828 Income tax recognised in comprehensive income (25,338) (17,513) (3,334) 36,680 * The income tax disclosed in the statement includes income tax, CFC tax and tax for prior years resulting from a tax audit. ** Deferred tax liability due to expected future cash flows from subsidiaries may be subject to material changes in individual reporting periods. In the six months to 30 June 2026, the Parent effected a partial cancellation of shares in subsidiaries, which resulted in an increase in current income tax recognised in the statement of profit or loss. Reconciliation of effective income tax rate The effective income tax rate differs from the applicable tax rates primarily because the consolidation includes entities whose operations are subject to deferred income taxation when income is realised or dividends are paid. PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Jan–30 Jun 2025 unaudited Profit before tax 590,233 585,365 Tax calculated at the Parent’s rate (19%) (112,144) (111,219) Effect of different foreign income tax rates and deferred tax (6,966) 1,032 Differences resulting from the ability to control the timing of realisation of temporary differences relating to the measurement of net assets of subsidiaries and the probability of their reversal in the foreseeable future, and other non-deductible expenses/non-taxable income 83,839 108,976 Income tax recognised in profit or loss (35,271) (1,211) Effective income tax rate (%) 5.98% 0.21% The KRUK Group does not recognise CIT based on an estimated average annual effective rate as this would not eliminate tax fluctuations over a financial year.
Page 50
Half-year report – Interim condensed consolidated financial statements 50 Deferred tax assets and liabilities Deferred tax assets and liabilities have been recognised in respect of the following items of assets and liabilities: PLN thousand Assets Liabilities Net carrying amount 30 Jun 2026 31 Dec 2025 30 Jun 2026 31 Dec 2025 30 Jun 2026 31 Dec 2025 Item of the statement of financial position Type of temporary difference Property, plant and equipment Taxable/deductible temporary difference arising from the difference between tax and accounting depreciation rates 10,676 11,872 (6,595) (7,003) 4,081 4,869 Intangible assets Taxable/deductible temporary difference arising from the difference between tax and accounting amortisation rates - - (7,464) (7,874) (7,464) (7,874) Tax losses carried forward Deductible temporary difference arising from tax loss available for offset in future tax years 17,729 17,432 - - 17,729 17,432 Trade and other receivables Taxable temporary difference arising from accrued revenue from clients - - (188) (145) (188) (145) Borrowings and other debt instruments Deductible temporary difference arising from interest paid on debt financing deductible for tax purposes in future periods 20,853 24,312 - - 20,853 24,312 Employee benefit liabilities Deductible temporary difference arising from unpaid salaries and accrued holiday entitlements 3,086 3,228 - - 3,086 3,228 Provisions and liabilities Taxable/deductible temporary difference arising from provision for future costs 75 - - (115) 75 (115) Investments in debt portfolios Taxable temporary difference arising from allowances for expected credit losses on investments in debt portfolios - - (1,678) (7,867) (1,678) (7,867) Investments in loans Taxable temporary difference arising from interest and fees received on loans 45,716 39,273 - - 45,716 39,273 Derivative hedging instruments Taxable temporary difference arising from measurement of derivative hedging instruments - - (17,407) (27,339) (17,407) (27,339) Expected future distributions of income from investments in subsidiaries Taxable temporary difference arising from expected future distributions of income from investments in subsidiaries - - (127,647) (112,864) (127,647) (112,864) Deferred tax assets/liabilities 98,135 96,117 (160,979) (163,207) (62,844) (67,090) Deferred tax assets offset against liabilities (34,297) (40,010) 34,297 40,010 Deferred tax assets/liabilities in the statement of financial position 63,838 56,107 (126,682) (123,197) (62,844) (67,090)
Page 51
Half-year report – Interim condensed consolidated financial statements 51 Change in temporary differences in the period PLN thousand Net amount of income tax as at 1 Jan 2026 Change in temporary differences recognised in profit or loss for period Net amount of income tax as at 30 Jun 2026 Net amount of income tax as at 1 Jan 2025 Change in temporary differences recognised in profit or loss for period Net amount of income tax as at 31 Dec 2025 Property, plant and equipment 4,869 (788) 4,081 (558) 5,427 4,869 Intangible assets (7,874) 410 (7,464) (3,470) (4,404) (7,874) Tax losses carried forward 17,432 297 17,729 15,357 2,075 17,432 Trade and other receivables (145) (43) (188) (180) 35 (145) Borrowings and other debt instruments 24,312 (3,459) 20,853 21,413 2,899 24,312 Employee benefit obligations 3,228 (142) 3,086 3,443 (215) 3,228 Provisions and liabilities (115) 190 75 224 (339) (115) Investments in debt portfolios (7,867) 6,189 (1,678) (7,682) (185) (7,867) Investments in loans 39,273 6,443 45,716 28,343 10,930 39,273 Expected future distributions of income from investments in subsidiaries (112,864) (14,783) (127,647) (108,450) (4,414) (112,864) (39,751) (5,686) (45,437) (51,560) 11,809 (39,751) PLN thousand Net amount of income tax as at 1 Jan 2026 Change in temporary differences recognised in other comprehensive income Net amount of income tax as at 30 Jun 2026 Net amount of income tax as at 1 Jan 2025 Change in temporary differences recognised in other comprehensive income Net amount of income tax as at 31 Dec 2025 Derivative hedging instruments (27,339) 9,932 (17,407) (17,848) (9,491) (27,339) (27,339) 9,932 (17,407) (17,848) (9,491) (27,339)
Page 52
Half-year report – Interim condensed consolidated financial statements 52 The amount of deferred tax liabilities is affected by changes in the level of expected future cash flows from investment companies to KRUK S.A. in the foreseeable future. The level of these cash flows depends, among other things, on: • KRUK S.A.’s liquidity needs and new debt financing raised and projected to be available to KRUK S.A.; • new debt financing raised and projected to be available to the investment companies, • planned expenditure on debt portfolios – the projected liquidity position of the investment companies depends, among other things, on the level of such expenditure, • planned recoveries from purchased debt portfolios held by the investment companies. Accordingly, the deferred tax liability in respect of expected future cash flows from subsidiaries may be subject to material changes between reporting periods. The Group applies the exemption in IAS 12 and does not recognise a deferred tax liability in respect of retained earnings of related entities where it is able to control the timing of the reversal of the temporary differences and it is probable that those temporary differences will not reverse in the foreseeable future. The total amount of temporary differences underlying the unrecognised deferred tax liability on retained earnings as at 30 June 2026 was PLN 6,679,786 thousand (as at 31 December 2025: PLN 6,351,904 thousand). As of 1 January 2025, pursuant to the Act on Top-up Tax Levied on Constituent Entities of Multinational and Domestic Groups of 6 November 2024 (the “Act”), the OECD Pillar Two rules entered into force in Poland. These regulations require taxpayers to pay a top-up tax, representing the difference between the effective tax rate (calculated in accordance with the principles set out in the Act) applicable in a given jurisdiction and the minimum rate of 15%. A group of entities becomes subject to these provisions if it achieves consolidated revenue of at least EUR 750 million in two out of the four financial years immediately preceding the tax year. As at 31 December 2025, the Group had not exceeded the above threshold (its revenue for 2025, translated into EUR at the European Central Bank average exchange rate of December of the year preceding the financial year, i.e. 4.2704, amounted to EUR 747 million). Based on current estimates, the KRUK Group will meet the above condition no earlier than in 2028, i.e. the Gr oup’s consolidated revenue may reach the EUR 750 million threshold in 2026 and 2027 at the earliest. As at the end of the reporting period, the threshold was not exceeded by the Group. The Group is in the process of assessing its exposure to the Pillar Two requirements. Given that its subsidiaries operate in Poland, Malta, and Luxembourg – jurisdictions where the estimated effective tax rate, based on profit before tax for the reporting period ended 31 December 2025, is less than 15% – the Group is analysing the potential impact of these regulations on its overall tax burden. This rate will, in practice, differ from the rate determined under IAS 12 Income Taxes . In particular, the Group is evaluating the applicability of permitted exclusions and ‘safe harbour’ provisions set out in the Act and their impact on the effective tax rate used for the top-up tax calculation. Based on the current assessment, the application of this legislation may first increase the Group’s effective annual tax rate in 2028. Therefore, no current tax charge arose for the period. At the same time, the Group takes advantage of the IAS 12 exceptio n from recognising and disclosing information about deferred tax assets and liabilities related to the Pillar Two income taxes.
Page 53
Half-year report – Interim condensed consolidated financial statements 53 10.10. Borrowings, finance lease liabilities and other financial liabilities PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Non-current liabilities Secured borrowings 3,556,291 3,619,895 3,038,603 Debt securities (unsecured liabilities) 3,237,875 3,228,255 3,243,221 Lease liabilities 71,430 78,637 56,763 6,865,596 6,926,787 6,338,587 Current liabilities Secured borrowings 34,267 42,827 44,808 Debt securities (unsecured liabilities) 577,161 232,635 143,793 Lease liabilities 32,223 24,761 14,261 643,651 300,223 202,862 Terms and repayment schedules of borrowings, debt securities and leases PLN thousand Currency Nominal interest rate Maturity periods1 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Borrowings secured over the Group’s assets EUR/PLN 1M WIBOR + margin of 1.7–2.95pp; 3M WIBOR + margin of 2.0–2.7pp; 1M EURIBOR + margin of 1.7– 2.95pp 2026-2031 3,590,558 3,662,722 3,083,411 Debt securities (unsecured liabilities) PLN EUR 3M WIBOR + margin of 2.5–4.65pp; 4.00% 2; 3M EURIBOR + margin of 4.0– 6.5pp 2026-2033 3,815,036 3,460,890 3,387,014 Lease liabilities EUR/PLN CZK 1M WIBOR + margin of 1.15–1.8pp; 1.89%–9.04% 2026-2033 103,653 103,398 71,024 7,509,247 7,227,010 6,541,449 1 Maturity date of the last liability. 2 Fixed interest rate.
Page 54
Half-year report – Interim condensed consolidated financial statements 54 Changes in borrowings, debt securities and lease liabilities PLN thousand Changes in borrowings, debt securities and lease liabilities As at 31 Dec 2025 Disbursements Repayments Finance costs Interest paid Early termination/remeasurement of agreements Exchange differences on translation As at 30 Jun 2026 Secured borrowings 3,662,722 1,668,648 (1,744,167) 101,353 (97,998) 3,590,558 Debt securities (unsecured liabilities) 3,460,890 600,000 (262,500) 157,229 (140,583) 3,815,036 Lease liabilities 103,398 13,624 (13,219) 2,442 (2,592) - - 103,653 7,227,010 2,282,272 (2,019,886) 261,024 (241,173) - - 7,509,247 PLN thousand Changes in borrowings, debt securities and lease liabilities As at 31 Dec 2024 Disbursements Repayments Finance costs Interest paid Early termination/remeasurement of agreements Exchange differences on translation As at 31 Dec 2025 Secured borrowings 3,458,610 2,883,556 (2,678,431) 202,367 (203,380) 3,662,722 Debt securities (unsecured liabilities) 3,109,702 600,000 (242,500) 286,742 (293,054) 3,460,890 Lease liabilities 58,239 74,943 (30,340) 4,702 (4,536) (166) 556 103,398 6,626,551 3,558,499 (2,951,271) 493,811 (500,970) (166) 556 7,227,010
Page 55
Half-year report – Interim condensed consolidated financial statements 55 Impact of IBOR reform To the best of its knowledge, the Group does not anticipate a material impact from IBOR reform on its financial liabilities, but cannot conclusively determine its effect as not all systemic and regulatory solutions have been finalised. The Group is taking measures to prepare for a change in the benchmarks underlying its financial instruments in the event WIBOR ceases to be published. In particular, the Group is monitoring regulatory developments relating to benchmark rates; negotiating amendments to Master Agreements and credit facility agreements under which, respectively, hedging instruments are entered into and bank facilities are granted to Group companies; aligning fallback clauses in new bond issues with market standards, taking into account the recomm endations of the National Working Group on Benchmark Reform, in order to incorporate optimal procedures enabling the transition to an alternative benchmark when it replaces WIBOR. The amounts of the individual items for which WIBOR is used as the benchmark are presented below: PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Carrying amount of financial liabilities for which WIBOR is used as the benchmark Borrowings secured over the Group’s assets 631,367 795,946 623,033 Debt securities (unsecured liabilities) 3,023,249 2,683,749 2,608,915 Lease liabilities 4,180 5,154 1,767 Notional amount of hedging instruments for which WIBOR is used as the benchmark CIRS 2,175,000 2,430,000 2,330,000 IRS - - -
Page 56
Half-year report – Interim condensed consolidated financial statements 56 10.11. Hedging instruments Interest rate risk hedges The interest rate risk management policy covers: a) the Group’s objectives in terms of interest rate risk; b) principles of interest rate risk management at the KRUK Group; c) acceptable impact of interest rate risk on the Group’s results (interest rate risk appetite); d) methods of measuring and monitoring interest rate risk and interest rate risk exposure; e) procedures to be followed if the Group’s interest rate risk appetite is exceeded; f) interest rate risk hedging policies. To manage interest rate risk, the Group enters into IRS and CIRS contracts. Open outstanding IRS contracts held by the KRUK Group companies as at 30 June 2026, with a total notional amount of EUR 432,500 thousand: Bank Group company Type of transaction Volume Fixed rate Variable rate Term ING Bank Śląski S.A. InvestCapital Ltd IRS EUR 210,000,000 2.6535% 1M EURIBOR 29 Nov 2022 to 30 Jun 2027 DNB Bank ASA KRUK S.A. IRS EUR 150,000,000 2.9640% 3M EURIBOR 10 May 2023 to 10 May 2028 DNB Bank ASA KRUK S.A. IRS EUR 10,000,000 2.2550% 3M EURIBOR 21 Dec 2023 to 11 Dec 2028 ING Bank Śląski S.A. InvestCapital Ltd IRS EUR 38,500,000 2.3200% 1M EURIBOR 27 Dec 2023 to 30 Jun 2028 ING Bank Śląski S.A. KRUK S.A. IRS EUR 24,000,000 2.4050% 3M EURIBOR 21 Aug 2024 to 1 Feb 2029 The purpose of the EUR contracts was to provide a hedge against volatility of cash flows generated by liabilities in EUR due to changes in the 1M and 3M EURIBOR reference rates and to hedge interest payments under a credit facility and EUR-denominated bonds. In the six months to 30 June 2026, the Group, in agreement with the bank, effected the early net settlement of a cross-currency interest rate swap (CIRS) entered into on 27 January 2023, with a notional amount of PLN 120,000 thousand, in connection with the early redemption of the hedged bond issue. Furthermore, the Group entered into a cross -currency interest rate swap (CIRS) with a notional amount of PLN 120,000 thousand. The Group pays a coupon based on a fixed interest rate on the EUR -denominated debt specified in the transaction terms and receives a coupon based on a floating interest rate plus a margin, calculated on the PLN-denominated debt covered by the transaction.
Page 57
Half-year report – Interim condensed consolidated financial statements 57 Open outstanding CIRS contracts held by KRUK Group companies as at 30 June 2026, with a total notional amount of PLN 2,175,000 thousand: Bank Group company Type of transaction Volume Fixed rate [EUR] Variable rate [PLN] Transaction date Transaction maturity date ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 330,000,000 2.13% 3M WIBOR 14 Jun 2022 24 May 2027 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 140,000,000 1.90% 3M WIBOR 23 Jun 2022 24 Mar 2027 DNB Bank ASA KRUK S.A. CCIRS PLN 60,000,000 1.96% 3M WIBOR 12 Dec 2022 27 Jul 2027 DNB Bank ASA KRUK S.A. CCIRS PLN 25,000,000 2.05% 3M WIBOR 21 Dec 2022 27 Nov 2026 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 50,000,000 2.475% 3M WIBOR 25 Jul 2023 26 Jan 2028 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 50,000,000 2.435% 3M WIBOR 25 Jul 2023 7 Jun 2028 DNB Bank ASA KRUK S.A. CCIRS PLN 75,000,000 2.61% 3M WIBOR 22 Sep 2023 29 Mar 2028 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 85,000,000 2.48% 3M WIBOR 31 Oct 2023 10 Dec 2026 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 355,000,000 2.34% 3M WIBOR 31 Oct 2023 11 Oct 2029 DNB Bank ASA. KRUK S.A. CCIRS PLN 70,000,000 6.046% 3M WIBOR + 4% 21 Mar 2024 16 Feb 2029 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 90,000,000 6.19% 3M WIBOR + 4% 21 Mar 2024 26 Sep 2028 Alior Bank S.A. KRUK S.A. CCIRS PLN 125,000,000 4.40% 3M WIBOR + 3% 11 Dec 2024 13 Nov 2030 Santander Bank Polska S.A. KRUK S.A. CCIRS PLN 100,000,000 4.86% 3M WIBOR + 2.8% 4 Apr 2025 29 Jan 2031 DNB Bank ASA. KRUK S.A. CCIRS PLN 200,000,000 4.864% 3M WIBOR + 3% 3 Jun 2025 27 Mar 2030 ING Bank Śląski S.A. KRUK S.A. CCIRS PLN 200,000,000 4.930% 3M WIBOR + 3% 3 Jun 2025 26 Mar 2031 Santander Bank Polska S.A. KRUK S.A. CCIRS PLN 100,000,000 4.820% 3M WIBOR + 2.7% 28 Jul 2025 26 Jun 2031 DNB Bank ASA. KRUK S.A. CCIRS PLN 120,000,000 4.860% 3M WIBOR + 2.5% 17 Mar 2026 17 Mar 2032 The transactions were designated for hedge accounting. The purpose of entering into the above CIRS transactions was to: hedge against interest rate risk, understood as volatility of interest expense due to changes in the 3M WIBOR rate – exchange of floating interest rate for a fixed rate; hedge against foreign exchange risk, understood as volatility in the value of EUR -denominated net assets due to EUR/PLN exchange rate movements – offsetting exchange differences;
Page 58
Half-year report – Interim condensed consolidated financial statements 58 Currency risk hedges The Group’s exposure to currency risk arises mainly from investments in subsidiaries and financial liabilities measured in foreign currencies (Note 12). The currency risk management policy covers: a) the Group’s currency risk management objectives, b) the key principles of currency risk management at the Group, c) acceptable impact of currency risk on the Group’s profit or loss and equity (currency risk appetite), d) methods of measuring and monitoring currency risk and currency risk exposure, e) procedures to be followed in the case of exceeding permitted currency risk appetite and specified currency risk limits, f) currency risk hedging policies, g) roles and responsibilities in the currency risk management process. In 2019–2026, the Group took steps to hedge the foreign currency risk arising from the translation of the net assets of a foreign operation through hedging transactions entered into by Group companies. The Group’s objective is to mitigate the effect of exchange differences arising on consolidation of foreign subsidiaries on the consolidated financial statements. The transactions were entered into by KRUK S.A. and settled on a net basis, with no physical delivery. For details of the executed and settled tran sactions, see the most recent consolidated full-year financial statements as at and for the financial year ended 31 December 2025. Currency risk is also hedged using cross-currency interest rate swaps (CIRS), described in the section above: Interest rate risk hedges.
Page 59
Half-year report – Interim condensed consolidated financial statements 59 Amounts related to items designated as hedging instruments PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Assets Liabilities Notional amount Change in fair value used to determine ineffectiveness Assets Liabilities Notional amount Change in fair value used to determine ineffectiveness Item in the statement of financial position Hedge type Instrument type: IRS - 6,736 432,500 (EUR) 16,409 - 23,145 432,500 (EUR) 11,352 Hedging instruments Cash flow hedge CIRS 78,305 4,669 2,175,000 (PLN) (63,718) 137,354 - 2,430,000 (PLN) 25,273 Hedging instruments Cash flow hedge/Hedge of a net investment in a foreign operation 78,305 11,405 (47,309) 137,354 23,145 36,625
Page 60
Half-year report – Interim condensed consolidated financial statements 60 PLN thousand Amount of future cash flows as at 30 Jun 2026 Less than 6 months 6–12 months 1–2 years 2–5 years Over 5 years Instrument type: IRS fixed payment – sale of EUR (13,728) (14,528) (815,098) (1,082,545) - variable payment EUR 13,728 14,528 815,098 1,082,545 - CIRS fixed payment (60,176) (542,188) (211,545) (1,531,879) - variable payment 60,176 542,188 211,545 1,531,879 - Amount of future cash flows as at 31 Dec 2025 Less than 6 months 6–12 months 1–2 years 2–5 years Over 5 years Instrument type: IRS fixed payment – sale of EUR (18,051) (18,609) (916,082) (954,108) - variable payment EUR 18,051 18,609 916,082 954,108 - CIRS fixed payment (264,140) (58,522) (624,050) (1,621,074) - variable payment 264,140 58,522 624,050 1,621,074 -
Page 61
Half-year report – Interim condensed consolidated financial statements 61 PLN thousand 1 Jan–30 Jun 2026 unaudited Hedge reserve Cash flow hedge (interest rate risk) Hedge of net investment (currency risk) Cash flow hedge/Hedge of an investment in a subsidiary (currency risk/interest rate risk) Total hedge reserve Hedge reserve at beginning of period (20,623) 4,082 127,305 110,764 Measurement of instruments recognised in the hedge reserve 9,545 - (25,258) (15,713) Cost of hedging - - 25,587 25,587 Origination/reversal of temporary differences (1,531) - 11,464 9,932 Amount reclassified to profit or loss in period 6,864 - (60,666) (53,802) - Interest income / expense 6,864 - 14,066 20,930 - Foreign exchange gains/losses on settlement of the CIRS hedging instrument (reclassified from other comprehensive income) - - (39,799) (39,799) - Cost of hedging - - (34,933) (34,933) Hedge reserve at end of period (5,745) 4,082 78,432 76,769
Page 62
Half-year report – Interim condensed consolidated financial statements 62 PLN thousand 1 Jan–31 Dec 2025 Hedge reserve Cash flow hedge (interest rate risk) Hedge of net investment (currency risk) Cash flow hedge/Hedge of an investment in a subsidiary (currency risk/interest rate risk) Total hedge reserve Hedge reserve at beginning of period (30,867) 4,082 91,564 64,779 Measurement of instruments recognised in the hedge reserve 3,387 - (12,638) (9,251) Cost of hedging - - 126,428 126,428 Origination/reversal of temporary differences (1,108) - (8,383) (9,491) Amount reclassified to profit or loss in period 7,965 - (69,666) (61,701) - Interest income / expense 7,965 - 2,233 10,198 - Cost of hedging - - (71,899) (71,899) Hedge reserve at end of period (20,623) 4,082 127,305 110,764
Page 63
Half-year report – Interim condensed consolidated financial statements 63 PLN thousand 1 Jan–30 Jun 2025 unaudited Hedge reserve Cash flow hedge (interest rate risk) Hedge of net investment (currency risk) Cash flow hedge/Hedge of an investment in a subsidiary (currency risk/interest rate risk) Total hedge reserve Hedge reserve at beginning of period (30,867) 4,082 91,564 64,779 Measurement of instruments recognised in the hedge reserve (4,363) - (2,375) (6,738) Cost of hedging - - 49,916 49,916 Origination/reversal of temporary differences 269 - (2,392) (2,123) Amount reclassified to profit or loss in period 1,149 - (34,950) (33,801) - Interest income / expense 1,149 - (1,228) (79) - Cost of hedging - - (33,722) (33,722) Hedge reserve at end of period (33,812) 4,082 101,763 72,033
Page 64
Half-year report – Interim condensed consolidated financial statements 64 10.12. Earnings per share Basic earnings per share thousands of shares 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 1 Jan–30 Jun 2025 unaudited Number of ordinary shares as at 1 Jan 19,492 19,382 19,382 Effect of cancellation and issue 18 21 10 Weighted average number of ordinary shares at end of reporting period 19,510 19,403 19,392 PLN Earnings per share 28.43 55.92 30.12 Diluted earnings per share thousands of shares 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 1 Jan–30 Jun 2025 unaudited Weighted average number of ordinary shares at end of reporting period 19,510 19,403 19,392 Effect of issue of unregistered and unsubscribed shares 1,229 1,072 947 Weighted average number of ordinary shares at end of reporting period (diluted) 20,739 20,475 20,339 PLN Earnings per share (diluted) 26.74 52.99 28.71 On 3 April 2026, the Parent’s share capital was increased by PLN 51,052, to PLN 19,543,390, through the issue of Series H shares. The share capital was increased as part of a conditional share capital increase under Resolution No. 22/2021 of the Annual General Meeting of 16 June 2021 through the issue of 51,052 Series H shares of the Parent, with a nominal value of PLN 1.00 per share. The issue of Series H shares was related to the exercise by eligible participants of their rights attached to subscription warrants issued as part of an incentive scheme for key management personnel of KRUK S.A. and the Group companies.
Page 65
Half-year report – Interim condensed consolidated financial statements 65 10.13. Current and non-current items of the statement of financial position PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited restated Assets Non-current assets Property, plant and equipment 118,290 116,041 116,823 Other intangible assets 183,858 143,580 78,135 Goodwill 7,940 7,823 7,861 Investments in debt portfolios measured at amortised cost 8,744,027 8,428,466 7,764,499 Loans 323,782 219,060 200,187 Hedging instruments 33,059 101,372 86,149 Deferred tax assets 63,838 56,107 47,252 Total non-current assets 9,474,794 9,072,449 8,300,906 Current assets Inventories 6,058 9,355 11,741 Investments in debt portfolios measured at amortised cost 3,299,431 3,204,243 3,032,831 Loans 355,913 393,255 361,226 Trade receivables 19,178 14,600 12,595 Other receivables 61,171 60,367 53,182 Income tax receivables 583 9,946 14,694 Hedging instruments 45,246 35,982 28,495 Other assets 18,176 19,347 17,125 Cash and cash equivalents 254,595 212,629 266,130 Total current assets 4,060,351 3,959,724 3,798,019 Total assets 13,535,145 13,032,173 12,098,925 Equity and liabilities Equity Share capital 19,543 19,492 19,403 Share premium 414,198 401,539 379,365 Hedge reserve 76,769 110,764 72,033 Remeasurement reserve for defined benefit plans 5,142 5,142 3,499 Reserve of exchange differences on translation (120,906) (168,676) (154,606) Other reserves 220,823 212,689 199,577 Retained earnings 4,908,938 4,745,190 4,244,200 Equity attributable to owners of the Parent 5,524,507 5,326,140 4,763,471 Non-controlling interests 690 324 (167) Total equity 5,525,197 5,326,464 4,763,304 Non-current liabilities Borrowings 3,556,291 3,619,895 3,038,603 Debt securities 3,237,875 3,228,255 3,243,221 Lease liabilities 71,430 78,637 56,763 Deferred tax liabilities 126,682 123,197 107,967 Provisions 2,670 2,670 1,897 Hedging instruments 11,405 23,145 42,809 Total non-current liabilities 7,006,353 7,075,799 6,491,260 Current liabilities Borrowings 34,267 42,827 44,808 Debt securities 577,161 232,635 143,793 Lease liabilities 32,223 24,761 14,261 Derivatives - 58 - Trade and other payables 226,904 213,018 190,099 Dividend payable - - 349,252 Income tax payable 26,497 21,347 6,208 Employee benefit liabilities 88,670 77,669 78,061 Provisions 17,873 17,595 17,879 Total current liabilities 1,003,595 629,910 844,361 Total liabilities 8,009,948 7,705,709 7,335,621 Total equity and liabilities 13,535,145 13,032,173 12,098,925
Page 66
Half-year report – Interim condensed consolidated financial statements 66 Current and non -current items of the statement of financial position are presented based on cash flows expected as at the end of the reporting period. 10.14. Goodwill PLN thousand Kancelaria Prawna RAVEN KRUK España S.L.U. Total Gross carrying amount as at 1 Jan 2025 299 47,945 48,244 Increase - - - Decrease - - - Exchange differences on translation - (105) (105) Gross carrying amount as at 31 Dec 2025 299 47,840 48,139 Gross carrying amount as at 1 Jan 2026 299 47,840 48,139 Increase - - - Decrease - - - Exchange differences on translation - 117 117 Gross carrying amount as at 30 Jun 2026 299 47,957 48,256 Impairment losses Impairment losses as at 1 Jan 2025 - (40,316) (40,316) Increase - - - Decrease - - - Impairment losses as at 31 Dec 2025 - (40,316) (40,316) Impairment losses as at 1 Jan 2026 - (40,316) (40,316) Increase - - - Decrease - - - Impairment losses as at 30 Jun 2026 - (40,316) (40,316) Net carrying amount As at 1 Jan 2025 299 7,629 7,928 As at 31 Dec 2025 299 7,524 7,823 As at 1 Jan 2026 299 7,524 7,823 As at 30 Jun 2026 299 7,641 7,940 As at 30 June 2026, there were no indications of goodwill impairment.
Page 67
Half-year report – Interim condensed consolidated financial statements 67 10.15. Property, plant and equipment, other intangible assets PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 unaudited Property, plant and equipment Buildings and structures 60,396 57,463 Plant and equipment 38,708 37,150 Vehicles 16,542 15,386 Other property, plant and equipment 1,587 1,925 Property, plant and equipment under construction 1,057 4,117 118,290 116,041 PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 unaudited Other intangible assets Computer software, concessions and licences 63,544 76,008 Capitalised development costs 23,555 21,130 Intangible assets under development 96,759 46,442 183,858 143,580 The increase in the carrying amount of intangible assets under development (development costs) was driven by the Group’s ongoing digital transformation process.
Page 68
Half-year report – Interim condensed consolidated financial statements 68 10.16. Inventories (including property foreclosed as part of investments in debt portfolios) PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Property 6,053 9,278 11,514 Other inventories 5 77 227 6,058 9,355 11,741 As part of its operating activities, the Group forecloses property securing acquired debt. A portion of the recoveries from the portfolios is derived from the sale on the open market of property foreclosed earlier. PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Jan–31 Dec 2025 1 Jan–30 Jun 2025 unaudited Carrying amount of property held at beginning of period 9,278 12,356 12,356 Carrying amount of property foreclosed - 3,453 3,106 Carrying amount of property sold (3,147) (4,811) (2,634) Impairment losses - (1,660) (1,273) Exchange differences on translation of property (78) (60) (41) Carrying amount of property held at end of period 6,053 9,278 11,514 10.17. Trade and other receivables Trade receivables PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Current trade receivables 19,178 14,600 19,178 14,600 Other receivables PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Taxes receivable (other than income tax) 36,339 32,906 Receivables in respect of recovered amounts and court fees 17,407 20,456 Receivables under security deposits and bid bonds 6,789 6,700 Other receivables 636 305 61,171 60,367
Page 69
Half-year report – Interim condensed consolidated financial statements 69 10.18. Cash and cash equivalents PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Cash in hand 115 109 Cash in current accounts 252,332 212,520 Term deposits 2,148 - 254,595 212,629 10.19. Employee benefit liabilities PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Salaries and wages payable 29,668 26,618 Social benefit obligations 29,821 26,329 Provisions for accrued holiday entitlements 20,157 16,548 Personal income tax payable 6,794 6,607 Special accounts 2,230 1,567 88,670 77,669 The increase in employee benefit obligations as at 30 June 2026 is related to the digital transformation being carried out across the Group, under which a portion of salary and wage costs is capitalised as development costs within Intangible assets under development. 10.20. Trade and other payables PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Trade payables 157,084 139,839 Other liabilities 56,527 59,715 Deferred income 5,295 5,296 Accrued expenses 1,684 3,148 Tax and duties payable 6,314 5,020 226,904 213,018 The increase in trade payables as at 30 June 2026 results from liabilities arising from the purchase of debt portfolios.
Page 70
Half-year report – Interim condensed consolidated financial statements 70 10.21. Provisions PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Provisions for retirement and disability benefits 20,543 20,265 Provision for the outcome of a tax audit - - 20,543 20,265 Provisions for retirement and disability benefits Provision for the outcome of a tax audit Carrying amount as at 1 Jan 2025 18,289 1,607 Increase / accrual 1,976 7,417 Reversal of provision for tax audit result - (9,024) Carrying amount as at 31 Dec 2025 20,265 - Carrying amount as at 1 Jan 2026 20,265 - Increase / accrual 554 - Decrease / use (276) - Carrying amount as at 30 Jun 2026 20,543 - In December 2025, the tax proceeding held at the subsidiary KRUK Česká a Slovenská republika s.r.o. was concluded. Its outcome remained consistent with the amount of the provision recognised in previous quarters. In 2025, the Group reversed the unused provision relating to the concluded tax audit at KRUK S.A. (PLN 1,607 thousand).
Page 71
Half-year report – Interim condensed consolidated financial statements 71 11. Related-party transactions Remuneration of the management personnel - Management Board Remuneration of the Parent’s key management personnel was as follows: PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Base pay/managerial contract (gross) 4,792 2,477 4,571 2,295 Additional benefits 88 45 85 43 Share-based payments 8,134 4,089 10,923 6,929 13,014 6,611 15,579 9,267 Remuneration of the Supervisory Board members Remuneration of members of the Parent’s Supervisory Board: PLN thousand 1 Jan–30 Jun 2026 unaudited 1 Apr–30 Jun 2026 not reviewed 1 Jan–30 Jun 2025 unaudited 1 Apr–30 Jun 2025 not reviewed Base pay (gross) 868 440 799 414 Additional benefits 41 35 32 23 909 475 831 437 Other transactions with key management personnel As at 30 June 2026, members of the management body and persons closely associated with them held 9.7% of votes at the Parent’s General Meeting (31 December 2025: 9.7%).
Page 72
Half-year report – Interim condensed consolidated financial statements 72 12. Management of risk arising from financial instruments The Group is exposed to the following risks related to the use of financial instruments: • credit risk, • liquidity risk, • market risk. This note presents condensed information on the Group’s exposure to each type of the above risks, the Group’s objectives, policies and procedures for measuring and managing the risks, and the Group’s management of capital. For a full description of the risk management, see the Group’s most recent full-year consolidated financial statements. Key risk management policies The Management Board of the Parent is responsible for establishing and overseeing the Group’s risk management procedures. The Group’s risk management policies are established to identify and analyse the risks faced by the Group, to set appropriate risk limits and controls, and to monitor risks and the degree to which relevant limits remain matched. The risk management policie s and systems are reviewed on a regular basis to reflect changes in market conditions and in the Group’s activities. The Group, through appropriate training and management standards and procedures, aims to develop a disciplined and constructive control env ironment in which all employees understand their roles and obligations. 12.1. Credit risk Credit risk is the risk of financial loss to the Group if a business partner, indebted person or counterparty to a financial instrument fails to meet its contractual obligations. Credit risk is chiefly associated with loans advanced by the Group, receivables for the services provided by the Group and purchased debt portfolios. Credit risk exposure Carrying amounts of financial assets reflect the maximum exposure to credit risk. Maximum exposure to credit risk as at the end of the reporting periods: 30 Jun 2026 unaudited 31 Dec 2025 Investments in debt portfolios 12,043,458 11,632,709 Loans 679,695 612,315 Hedging instruments 78,305 137,354 Trade and other receivables, excluding tax receivables 44,010 42,061 Cash and cash equivalents 254,595 212,629 13,100,063 12,637,068
Page 73
Half-year report – Interim condensed consolidated financial statements 73 Maximum exposure to credit risk by geographical segment as at the end of the reporting periods: PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Poland 5,289,598 5,193,494 Romania 2,121,632 2,090,879 Italy 3,622,333 3,287,904 Spain 1,777,314 1,821,277 Other foreign markets 289,186 243,514 13,100,063 12,637,068 Credit risk exposure – Investments in debt portfolios measured at amortised cost PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 30 Jun 2025 unaudited Unsecured retail portfolios 10,844,897 10,416,268 9,724,660 Secured retail portfolios 226,983 218,591 229,804 Unsecured corporate portfolios 378,519 387,909 294,002 Secured corporate portfolios 593,059 609,941 548,864 12,043,458 11,632,709 10,797,330 Credit risk exposure – Loans PLN thousand Carrying amount as at 30 Jun 2026 Risk classification Stage 1 Stage 2 Stage 3 POCI Total Gross carrying amount of loans measured at amortised cost low 346,412 135,041 380,910 19 862,382 medium 72,704 33,913 112,229 215 219,061 high 3,448 1,184 18,985 554 24,171 not classified 495 292 40,483 592 41,862 423,059 170,430 552,607 1,380 1,147,476 Allowances for expected credit losses low 20,193 20,863 278,880 - 319,936 medium 6,291 8,804 81,261 - 96,356 high 439 398 16,237 - 17,074 not classified 40 30 36,390 - 36,460 26,963 30,095 412,768 - 469,826 Net carrying amount low 326,219 114,178 102,030 19 542,446 medium 66,413 25,109 30,968 215 122,705 high 3,009 786 2,748 554 7,097 not classified 455 262 4,093 592 5,402 396,096 140,335 139,839 1,380 677,650
Page 74
Half-year report – Interim condensed consolidated financial statements 74 PLN thousand Carrying amount as at 31 Dec 2025 Risk classification Stage 1 Stage 2 Stage 3 POCI Total Gross carrying amount of loans measured at amortised cost low 312,399 119,946 339,839 20 772,204 medium 64,629 26,356 98,492 256 189,733 high 2,457 1,128 18,505 652 22,742 not classified 420 256 40,801 509 41,986 379,905 147,686 497,637 1,437 1,026,665 Allowance for expected credit losses low 17,965 18,531 244,529 - 281,025 medium 5,277 6,877 71,059 - 83,213 high 304 373 15,467 - 16,144 not classified 30 37 36,196 - 36,263 23,576 25,818 367,251 - 416,645 Net carrying amount low 294,434 101,415 95,310 20 491,179 medium 59,352 19,479 27,433 256 106,520 high 2,153 755 3,038 652 6,598 not classified 390 219 4,605 509 5,723 356,329 121,868 130,386 1,437 610,020 Classification by risk segment is performed at loan origination. The classification criterion for the respective risk groups is the delay in principal repayments: • low-risk loans – the proportion of loans in arrears in respect of principal repayments is approximately 5%; • medium-risk loans – the proportion of loans in arrears in respect of principal repayments is approximately 10%; • high-risk loans – an elevated -risk group for which arrears in principal repayments reach approximately 20%. During the life of a loan, it is classified into stages. Credit risk exposure – Cash PLN thousand 30 Jun 2026 31 Dec 2025 Cash in accounts with banks rated below BBB- by Standard & Poor’s* 41,811 40,580 Cash in accounts with banks rated BBB- or higher by Standard & Poor’s* 212,669 171,940 Cash in hand 115 109 254,595 212,629 * Alternatively BBB- by Fitch Ratings Ltd or Baa3 by Moody’s Investors Service Limited. The KRUK Group defines the cash concentration risk as the risk of material exposure to banks with ratings below and above BBB-.
Page 75
Half-year report – Interim condensed consolidated financial statements 75 12.2. Liquidity risk Liquidity risk is the risk that the Group will be unable to settle its liabilities when due. Liquidity risk management aims to ensure that the Group has sufficient liquidity to pay its liabilities as they fall due, without exposing the Group to a risk of loss or damage to its reputation. The key objectives of liquidity management include: • protect the KRUK Group against the loss of ability to pay its liabilities, • secure funds to finance the Group’s day-to-day operations and growth, • effectively manage the available sources of financing. The Group has a liquidity management policy in place, which sets out, among other things, rules for contracting debt finance, preparing analyses and projections of the Group’s liquidity, and monitoring the performance of obligations under credit facility agreements. The Group’s liquidity position is monitored on a regular basis by analysing sensitivity to changes in the projected recoveries from debt portfolios. In accordance with the liquidity management policy adopted by the Group, the following conditions must be met by a Group entity before new debt can be incurred: • the debt can be repaid from the Group’s own assets; • the debt is incurred taking into account the possibility of transferring the funds between companies, and the time and cost of such transfer; • incurring the debt will not cause the financial ratios stipulated in credit facility agreements and the terms and conditions of bond issues to be exceeded.
Page 76
Half-year report – Interim condensed consolidated financial statements 76 Liquidity risk exposure As at 30 Jun 2026 PLN thousand Carrying amount Undiscounted contractual/estimated cash flows* Less than 6 months 6–12 months 1–2 years 2–5 years Over 5 years Non-derivative financial assets and liabilities Investments in debt portfolios 12,043,458 27,231,846 1,829,560 1,877,181 3,376,752 7,740,534 12,407,819 Loans 679,695 1,452,327 310,697 249,433 452,285 271,771 168,141 Trade and other receivables, excluding tax receivables 44,010 44,010 44,010 - - - - Cash and cash equivalents 254,595 254,595 254,595 - - - - Secured borrowings (3,590,558) (4,491,078) (136,379) (149,064) (296,091) (3,909,544) - Unsecured bonds in issue (3,815,036) (4,759,690) (257,684) (617,887) (1,211,123) (1,467,890) (1,205,106) Lease liabilities (103,653) (117,172) (17,875) (17,882) (34,867) (37,392) (9,156) Trade and other payables (213,611) (213,611) (213,611) - - - - 5,298,900 19,401,227 1,813,313 1,341,781 2,286,956 2,597,479 11,361,698 As at 31 Dec 2025 PLN thousand Carrying amount Undiscounted contractual/estimated cash flows* Less than 6 months 6–12 months 1–2 years 2–5 years Over 5 years Non-derivative financial assets and liabilities Investments in debt portfolios 11,632,709 26,152,000 1,814,358 1,788,251 3,340,971 7,498,862 11,709,558 Loans 612,315 671,309 176,568 146,488 164,390 81,044 102,819 Trade and other receivables, excluding tax receivables 42,061 42,061 42,061 - - - - Cash and cash equivalents 212,629 212,629 212,629 - - - - Secured borrowings (3,662,722) (4,547,442) (136,911) (135,947) (297,617) (3,956,463) (20,504) Unsecured bonds in issue (3,460,890) (4,303,551) (273,921) (242,025) (803,807) (2,335,094) (648,704) Lease liabilities (103,398) (117,735) (15,591) (15,355) (31,564) (42,481) (12,744) Trade and other payables (199,554) (199,554) (199,554) - - - - 5,073,150 17,909,717 1,619,639 1,541,412 2,372,373 1,245,868 11,130,425 * Cash flows based on estimates.
Page 77
Half-year report – Interim condensed consolidated financial statements 77 The above amounts do not include expenditure on and recoveries from future purchased debt portfolios and future operating expenses which will be necessary to obtain proceeds from financial assets. Contractual cash flows were determined based on interest rates effective as at 30 June 2026 and 31 December 2025, as appropriate. The Group does not expect the projected cash flows discussed in the maturity analysis to occur significantly earlier than assumed or in amounts materially different from those presented. As at 30 June 2026, the undrawn revolving credit facility limit available to the Group was PLN 941,012 thousand (31 December 2025: PLN 848,002 thousand). The undrawn limit is available until 31 January 2031. 12.3. Market risk Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates, will affect the Group’s results or the value of financial instruments held and investments made by the Group. The objective of market risk management is to maintain and control the Group’s exposure to foreign exchange and interest rate risk within the adopted parameters so as to ensure: • maintain a stable financial position over the long term, • mitigate the liquidity risk; • reduce the impacts of market risk on profit or loss; • mitigate the risk of non-compliance with financial covenants under credit agreements and terms and conditions of bonds. As at 30 June 2026, financial assets denominated in currencies other than PLN accounted for 60% of total assets, while liabilities denominated in foreign currencies represented 30% of total equity and liabilities (31 December 2025: 57% and 30%, respectively). Information on foreign currency risk hedging is presented in Note 10.11. The effect of exchange differences on the statement of profit or loss is presented in Note 10.8.
Page 78
Half-year report – Interim condensed consolidated financial statements 78 Exposure to currency risk and sensitivity analysis The Group’s exposure to currency risk arising from financial instruments denominated in foreign currencies, translated at the exchange rates prevailing at the end of the reporting period, is presented below: PLN thousand 30 Jun 2026 30 Jun 2026 Currency risk exposure Sensitivity analysis of currency risk exposure to a 10% increase in exchange rates PLN EUR RON CZK Total PLN EUR RON CZK Total Trade and other receivables - 608 76 1,228 1,912 - 61 8 123 192 Investments - - 2,051,919 23,337 2,075,256 - - 205,192 2,334 207,526 Cash 1,494 21,612 21,388 415 44,909 149 2,161 2,139 41 4,490 Borrowings, debt securities and lease liabilities - (989,947) - - (989,947) - (98,995) - - (98,995) Trade and other payables (1,485) (3,550) (20,981) - (26,016) (148) (355) (2,098) - (2,601) Currency risk exposure – effect on profit or loss 10 (971,277) 2,052,402 24,979 1,106,114 1 (97,128) 205,240 2,498 110,612 Trade and other receivables - 532,747 19,107 215,301 767,155 - 53,275 1,911 21,530 76,716 Investments - 4,954,838 114,926 - 5,069,764 - 495,484 11,493 - 506,977 Cash - 142,753 23,657 1,847 168,257 - 14,275 2,366 185 16,826 Borrowings, debt securities and lease liabilities - (2,873,926) (16,512) (288) (2,890,727) - (287,393) (1,651) (29) (289,073) Trade and other payables - (102,766) (10,592) - (113,358) - (10,277) (1,059) - (11,336) Currency risk exposure – effect on other comprehensive income - 2,653,646 130,585 216,860 3,001,091 - 265,364 13,060 21,686 300,110 Currency risk exposure 10 1,682,369 2,182,987 241,840 4,107,205 1 168,237 218,299 24,184 410,721 Hedge effect (2,175,000) (2,175,000) - (217,500) - - (217,500) Currency risk exposure after hedging 10 (492,631) 2,182,987 241,840 1,932,205 1 (49,263) 218,299 24,184 193,221
Page 79
Half-year report – Interim condensed consolidated financial statements 79 The following exchange rates of the key foreign currencies were adopted during the preparation of these financial statements: PLN Average exchange rates* End of period (spot rates) 1 Jan–30 Jun 2026 unaudited 1 Jan–30 Jun 2025 unaudited 30 Jun 2026 unaudited 31 Dec 2025 EUR 1 4.2486 4.2283 4.2963 4.2267 USD 1 3.6453 3.8792 3.7708 3.6016 RON 1 0.8259 0.8450 0.8190 0.8291 CZK 1 0.1747 0.1693 0.1772 0.1746 * Average exchange rates were calculated as the arithmetic mean of mid rates quoted by the National Bank of Poland for the last day of each month in the period. The calculation also includes the mid rate quoted for the last day of the previous financial year. Interest rate risk exposure Structure of interest-bearing financial instruments as at the end of the reporting period: PLN thousand Carrying amount 30 Jun 2026 unaudited 31 Dec 2025 Fixed-rate financial instruments Financial assets 12,522,933 12,047,732 Financial liabilities (279,190) (355,196) Fixed-rate financial instruments before hedging 12,243,743 11,692,536 Hedge effect (notional amount) (4,033,150) (4,258,048) Fixed-rate financial instruments after hedging 8,210,593 7,434,488 Variable-rate financial instruments Financial assets 577,130 589,336 Financial liabilities (7,455,073) (7,094,571) Variable-rate financial instruments before hedging (6,877,943) (6,505,235) Hedge effect (notional amount) 4,033,150 4,258,048 Variable-rate financial instruments after hedging (2,844,793) (2,247,187)
Page 80
Half-year report – Interim condensed consolidated financial statements 80 Sensitivity analysis of fair value of fixed-rate financial instruments The Group does not hold any fixed-rate financial assets or liabilities measured at fair value through profit or loss, nor does it enter into derivative transactions as fair value hedges. Therefore, a change in interest rates would have no material effect on profit or loss for the period in this respect. Sensitivity analysis of cash flows from variable-rate financial instruments A 100-basis-point change in interest rates would increase (decrease) equity and pre -tax profit over a one - year period by the amounts shown below. The following analysis is based on the assumption that other variables, in particular exchange rates, remain unchanged. PLN thousand Profit or loss for period Equity excluding profit or loss for period 100 bps increase 100 bps decrease 100 bps increase 100 bps decrease 30 Jun 2026 Variable-rate financial assets 4,988 (4,988) 783 (783) Variable-rate financial liabilities (74,437) 74,437 (114) 114 31 Dec 2025 Variable-rate financial assets 3,606 (3,606) 1,143 (1,143) Variable-rate financial liabilities (64,466) 64,466 (367) 367
Page 81
Half-year report – Interim condensed consolidated financial statements 81 13. Fair value The table below presents a comparison between fair values of financial assets and liabilities and values presented in the statement of financial position: PLN thousand 30 Jun 2026 unaudited 31 Dec 2025 Carrying amount Fair value Carrying amount Fair value Financial assets and liabilities measured at fair value Hedging instruments (IRS) (6,736) (6,736) (23,145) (23,145) Hedging instruments (CIRS) 73,636 73,636 137,354 137,354 Derivatives (FORWARD) - - (58) (58) Loans 2,045 2,045 2,295 2,295 68,945 68,945 116,446 116,446 Financial assets and liabilities not measured at fair value Investments in debt portfolios 12,043,458 11,687,166 11,632,709 11,459,585 Loans 677,650 681,647 610,020 627,459 Trade and other receivables, excluding tax receivables 44,010 44,010 42,061 42,061 Trade and other payables (213,611) (213,611) (199,554) (199,554) Secured borrowings (3,590,558) (3,608,321) (3,662,722) (3,683,740) Debt securities (unsecured liabilities) (3,815,036) (3,964,628) (3,460,890) (3,669,009) 5,145,913 4,626,262 4,961,624 4,576,802 Interest rates used for fair value estimation 30 Jun 2026 unaudited 31 Dec 2025 Investments in debt portfolios* 2.72% - 84.84% 2.58% - 85.85% Loans 19.92% - 47.85% 21.22% - 47.99% Secured borrowings 3.90% - 6.55% 4.24% - 6.69% * Applicable to 99.7% of the debt portfolio value Hierarchy of financial instruments The table below presents an analysis of financial instruments measured at fair value in the statement of financial position, by the valuation method applied. Depending on the level of valuation, the following inputs were used in the valuation models: • Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities; • Level 2: inputs for given assets and liabilities, other than quoted prices from Level 1, observable directly or indirectly; • Level 3: inputs that are not based on observable market prices (unobservable inputs).
Page 82
Half-year report – Interim condensed consolidated financial statements 82 Hierarchy of financial instruments – Level 1 PLN thousand Level 1 Carrying amount Fair value Financial assets and liabilities not measured at fair value As at 31 Dec 2025 Debt securities (unsecured liabilities) (3,460,890) (3,669,009) As at 30 Jun 2026, unaudited Debt securities (unsecured liabilities) (3,815,036) (3,964,628) The fair value of financial liabilities arising from debt securities is determined based on their quoted quoted prices on the Catalyst market as at the last day of the reporting period. Hierarchy of financial instruments – Level 2 PLN thousand Level 2 Carrying amount Fair value Financial assets and liabilities measured at fair value As at 31 Dec 2025 Hedging instruments (IRS) (23,145) (23,145) Hedging instruments (CIRS) 137,354 137,354 Derivatives (FORWARD) (58) (58) As at 30 Jun 2026, unaudited Hedging instruments (IRS) (6,736) (6,736) Hedging instruments (CIRS) 73,636 73,636 Derivatives (FORWARD) - - The fair value of derivative and hedging instruments is determined on the basis of future cash flows from the executed transactions, calculated on the basis of the difference between the forecast 3M WIBOR and 3M WIBOR as at the transaction date. To determine the fair value, the Group uses a 3M WIBOR forecast from an external provider.
Page 83
Half-year report – Interim condensed consolidated financial statements 83 Hierarchy of financial instruments – Level 3 PLN thousand Level 3 Carrying amount Fair value Financial assets and liabilities measured at fair value As at 31 Dec 2025 Loans 2,295 2,295 As at 30 Jun 2026, unaudited Loans 2,045 2,045 Financial assets and liabilities not measured at fair value As at 31 Dec 2025 Investments in debt portfolios 11,632,709 11,459,585 Loans 610,020 627,459 Trade and other receivables, excluding tax receivables 42,061 42,061 Secured borrowings (3,662,722) (3,683,740) Trade and other payables (199,554) (199,554) As at 30 Jun 2026, unaudited Investments in debt portfolios 12,043,458 11,687,166 Loans 677,650 681,647 Trade and other receivables, excluding tax receivables 44,010 44,010 Secured borrowings (3,590,558) (3,608,321) Trade and other payables (213,611) (213,611) The fair value of investments in debt portfolios is calculated based on the expected future cash flows related to the debt portfolios, discounted with a rate reflecting the credit risk associated with each portfolio. The rate used for discounting is calcul ated as an internal rate of return on an investment as at the date of acquisition of a portfolio and is verified so that it includes the current risk -free rate and the current risk premium associated with the credit risk for each portfolio. The difference between fair value and the carrying amount calculated using the amortised cost method arises from the different methodologies used to calculate these two amounts. The carrying amount is affected by estimated remaining collections on debt por tfolios and the closing rate, while the fair value is additionally affected by projected costs of debt collection and the risk-free rate. The fair value of loans was determined based on the projection of expected cash flows. The fair value of financial liabilities under borrowings is determined on the basis of future cash flows from the executed transactions. The Group uses Level 3 inputs to determine the fair value of trade and other receivables, excluding receivables on account of taxes as well as trade and other payables. Due to their short -term nature, their carrying amount is deemed to be equal to their fair value.
Page 84
Half-year report – Interim condensed consolidated financial statements 84 14. Factors and events with material bearing on the Group’s financial results H1 2026 results The Group’s net profit as at 30 June 2026 came in at PLN 554,962 thousand, representing a decrease from net profit earned in the corresponding period of 2025, which amounted to PLN 584,154 thousand (PLN - 29,192 thousand, or -5% year on year). Cash EBITDA f or the first six months of 2026 was PLN 1,397,824 thousand, having improved 8% year on year. Revenue In the six months ended 30 June 2026, the KRUK Group generated PLN 1,572,305 thousand in revenue, down by PLN 27,391 thousand, or 2%, year on year. Revenue from purchased debt portfolios amounted to PLN 1,435,935 thousand, down by PLN 9,748 thousand, or 0.7%, year on year. The largest increase was recorded for Italy (up by PLN 46,941 thousand, or +14%), while the largest decline in revenue was posted for the Romanian market (down by PLN 72,307 thousand, or -25%). In the six months to 30 June 2026, the Group booked PLN 226,140 thousand in total revaluation of projected recoveries, compared with PLN 271,421 thousand a year earlier. Operating expenses In the six months to 30 June 2026, operating expenses excluding depreciation and amortisation (direct and indirect costs, administrative expenses and other operating expenses) amounted to PLN 749,119 thousand, having decreased by PLN 15,350 thousand, or 2% , year on year. The decrease was mainly attributable to lower legal expenses. Finance costs In the six months to 30 June 2026, net finance costs amounted to PLN 194,980 thousand, having gone down by PLN 23,714 thousand year on year (-11%). Investment in new debt portfolios Total expenditure on debt portfolios in the six months ended 30 June 2026 was PLN 864,192 thousand, up by 7% from PLN 805,454 thousand in the corresponding period of the previous year. Recoveries Amounts recovered in the six months ended 30 June 2026 from portfolios purchased by the KRUK Group reached PLN 2,010,573 thousand, up by 5% year on year, with over half of this amount collected in foreign markets. The year-on-year increase of PLN 100,268 thousand recorded in the six months ended 30 June 2026 was attributable mainly to PLN 73,829 thousand growth in recoveries on the Italian market (+17% year on year) and PLN 22,466 thousand growth in recoveries on the Romanian market (+7% year on year).
Page 85
Half-year report – Interim condensed consolidated financial statements 85 15. Issue, redemption and repayment of non-equity and equity securities In the period from 1 January to 30 June 2026, the following series of bonds were redeemed in accordance with their respective terms and conditions: • Series AL2 bonds, with a nominal value of PLN 52,500 thousand, on 2 February 2026 (third tranche), • Series AK2 bonds, with a nominal value of PLN 20,000 thousand, on 18 February 2026, • Series AK3 bonds, with a nominal value of PLN 70,000 thousand, on 10 June 2026. On 5 March 2026, the Parent’s Management Board resolved to exercise the option to carry out an early mandatory redemption of Series AL3 bonds with a total nominal value of PLN 120,000 thousand. The bonds were redeemed on 4 April 2026 together with the payment of an early redemption premium. In the period from 1 January to 30 June 2026, the Group issued new bonds, as outlined below. • On 19 March 2026, unsecured Series AL6 bonds with a nominal value of PLN 600,000 thousand were issued. The bonds bear interest at a floating rate based on 3M WIBOR plus a margin of 2.50pp and mature on 4 April 2033. 16. Dividends paid (or declared) On 26 May 2026, in accordance with the Management Board’s recommendation, the Annual General Meeting of KRUK S.A. passed a resolution on the payment of dividend to the Parent’s shareholders. The Annual General Meeting resolved to distribute a dividend of P LN 20.00 per share to the Parent’s shareholders. The dividend, totalling PLN 390,867,800.00, was distributed from the Parent’s net profit earned in 2025. In accordance with the resolution, the dividend record date with respect to dividend for the year ended 31 December 2025 was set for 1 June 2026. The dividend was paid on 19,543,390 KRUK S.A. shares. The dividend was paid on 3 June 2026. The Group’s profit generated in 2026 was distributed in accordance with the KRUK S.A. Dividend Policy covering the financial years from the financial year beginning on 1 January 2025 to the financial year ending on 31 December 2029, as adopted by the Management Board of the Parent on 16 January 2025. According to the Policy, KRUK S.A. aims to ensure the Group’s sustainable growth and long -term value creation, leading to profitability improvements and regular dividend payouts, while maintaining appropriate liquidity and observing the principles of susta inable development (ESG). The Management Board of the Parent expects that it will submit to each Annual General Meeting a recommendation to pay out dividend amounting to 30% or more of the KRUK Group’s consolidated net profit for the previous financial yea r, attributable to owners of the Parent. This is subject to the condition that, after accounting for the proposed dividend payment, the net debt-to-cash EBITDA ratio remains at or below 3.0. The Dividend Policy is available on the Company’s website at: https://pl.KRUK.eu/relacje-inwestorskie/polityka-dywidendowa
Page 86
Half-year report – Interim condensed consolidated financial statements 86 17. Information on changes in contingent liabilities or contingent assets subsequent to the end of the previous financial year KRUK Group’s assets pledged as security Until the date of issue of this report, there were no movements in contingent liabilities or contingent assets, except for the expiry of guarantees on the stated dates. Security created over the Group’s assets as at 30 June 2026 is presented below. Type Beneficiary Amount Expiry date Enforcement conditions Guarantees provided/promissory notes issued Surety for PROKURA NFW FIZ’s liabilities under the revolving credit facility agreement dated 2 July 2015, as amended, between PROKURA NFW FIZ, KRUK S.A. and mBank S.A. mBank S.A. PLN 525,000 thousand No later than 31 December 2034 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the revolving credit facility agreement Blank promissory note Erste Bank Polska S.A. PLN 270,000 thousand Until the derivative transactions are settled and the bank’s claims thereunder are satisfied KRUK S.A.’s failure to repay its liabilities under treasury transactions made on the basis of the master agreement on the procedure for execution and settlement of treasury transactions of 13 June 2013, as amended Surety for InvestCapital Ltd’s liabilities under the transactions executed under the master agreement between KRUK S.A., InvestCapital Ltd and Erste Bank Polska S.A. Erste Bank Polska S.A. up to PLN 270,000 thousand* No later than 31 December 2035 InvestCapital Ltd’s failure to repay its liabilities under treasury transactions made on the basis of Amendment 3 of 21 June 2018 to the master agreement on the procedure for execution and settlement of treasury transactions
Page 87
Half-year report – Interim condensed consolidated financial statements 87 Type Beneficiary Amount Expiry date Enforcement conditions Surety for liabilities of InvestCapital Ltd, Kruk Romania S. R. L., Kruk España S.L.U. and PROKURA NFW FIZ under the revolving multi-currency credit facility agreement of 3 July 2017, as amended, between KRUK S.A., InvestCapital Ltd, Kruk Romania S.R.L., Kruk España S.L.U. and PROKURA NFW FIZ (the Borrowers) and DNB Bank ASA, ING Bank Śląski S.A., Erste Bank Polska S.A., PKO BP S.A., PEKAO S.A., DNB Bank ASA, ING Bank Śląski S.A., Erste Bank Polska S.A., PKO BP S.A., PEKAO S.A. EUR 1,132,500 thousand Until all obligations under the multi- currency revolving credit facility agreement are satisfied No later than 31 December 2033 Borrower’s failure to pay amounts due under the multi-currency revolving credit facility agreement Surety for PROKURA NFW FIZ’s liabilities towards PKO BP S.A. under the non-revolving working capital facility agreement of 21 September 2021 between PROKURA NFW FIZ, KRUK S.A. and PKO BP S.A. PKO BP S.A. PLN 2,232 thousand No later than 20 September 2029 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the non-revolving working capital facility agreement Surety for PROKURA NFW FIZ’s liabilities towards PKO BP S.A. under the non-revolving working capital facility agreement of 14 December 2021 between PROKURA NFW FIZ, KRUK S.A. and PKO BP S.A. PKO BP S.A. PLN 8,580 thousand No later than 13 December 2029 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the non-revolving working capital facility agreement Surety for PROKURA NFW FIZ’s liabilities towards Pekao S.A. under the overdraft facility agreement of 1 February 2022, as amended, between PROKURA NFW FIZ, KRUK S.A. and Pekao S.A. Pekao S.A. PLN 105,000 thousand No later than 31 January 2034 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the overdraft facility agreement
Page 88
Half-year report – Interim condensed consolidated financial statements 88 Type Beneficiary Amount Expiry date Enforcement conditions Surety for PROKURA NFW FIZ’s liabilities towards PKO BP S.A. under the non-revolving working capital facility agreement of 22 August 2022 between PROKURA NFW FIZ, KRUK S.A. and PKO BP S.A. PKO BP S.A. PLN 19,800 thousand No later than 21 August 2030 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the non-revolving working capital facility agreement Surety for InvestCapital Ltd’s obligations to BANKINTER S.A. of Madrid, under the direct debit collection management contract between BANKINTER S.A. and InvestCapital Ltd dated 7 July 2022, as amended on 26 February 2025. BANKINTER S.A. EUR 7,000 thousand Until all obligations under the direct debit collection management contract of 7 July 2022, as amended on 26 February 2025, are satisfied. InvestCapital Ltd’s failure to pay amounts due to the bank under the direct debit collection management contract of 7 July 2022, as amended on 26 February 2025. Surety for PROKURA NFW FIZ’s liabilities towards PKO BP S.A. under the non-revolving working capital facility agreement of 8 February 2024 between PROKURA NFW FIZ, KRUK S.A. and PKO BP S.A. PKO BP S.A. PLN 33,904 thousand No later than 7 February 2032 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the non-revolving working capital facility agreement Surety for PROKURA NFW FIZ’s liabilities towards PKO BP S.A. under the non-revolving working capital facility agreement of 20 December 2024 between PROKURA NFW FIZ, KRUK S.A. and PKO BP S.A. PKO BP S.A. PLN 46,667 thousand No later than 19 December 2032 PROKURA NFW FIZ’s failure to pay amounts owed to the bank under the non-revolving working capital facility agreement Corporate guarantee provided by KRUK S.A. to InvestCapital Ltd. InvestCapital Ltd PLN 260,000 thousand No later than 21 August 2026 The purpose of the guarantee is to secure the interests of InvestCapital Ltd’s creditors, who may challenge the share cancellation effected at InvestCapital Ltd on 21 May 2026
Page 89
Half-year report – Interim condensed consolidated financial statements 89 Type Beneficiary Amount Expiry date Enforcement conditions Corporate guarantee provided by KRUK S.A. to InvestCapital Ltd. InvestCapital Ltd PLN 100,000 thousand No later than 30 September 2026 The purpose of the guarantee is to secure the interests of InvestCapital Ltd’s creditors, who may challenge the share cancellation effected at InvestCapital Ltd on 23 June 2026 Guarantees obtained Guarantee provided by Erste Bank Polska S.A. for KRUK S.A.’s liabilities under the Lease Agreement Vastint Poland Sp. z o.o. EUR 471 thousand No later than 6 November 2026 KRUK S.A.’s failure to repay its liabilities and properly perform its obligations under the lease agreement secured by the Guarantee * As at 30 June 2026, InvestCapital Ltd had no obligations covered by the surety.
Page 90
Half-year report – Interim condensed consolidated financial statements 90 Provision of loan sureties or guarantees, security pledges In connection with the revolving multi -currency credit facility agreement of 3 July 2017, as amended, concluded between InvestCapital Ltd, KRUK Romania S.R.L., Prokura NFW FIZ, KRUK España S.L.U. (Borrowers), KRUK S.A. (Surety Provider), and DNB Bank ASA, ING Bank Śląski S.A., Santander Bank Polska S.A., PKO BP S.A. and Bank Polska Kasa Opieki S.A. (Lenders), in order to secure liabilities arising under the agreement: • On 28 January 2026, InvestCapital Ltd and the Lenders signed an agreement under Spanish law creating a pledge over debt portfolios purchased by InvestCapital Ltd in Spain. As at 30 June 2026, the value of security created in favour of the Lenders was PLN 7,554,234 thousand (31 December 2025: PLN 7,366,871 thousand). On 29 December 2025, a credit limit agreement was executed between KRUK S.A. and Alior Bank S.A. under which an overdraft facility of up to PLN 200,000 thousand or its equivalent in EUR was granted until 31 December 2030. In order to secure the repayment of KRUK S.A.’s liabilities under the agreement: • On 8 January 2026, KRUK S.A. submitted a consent to enforcement under Article 777(1)(5) of the Code of Civil Procedure for up to PLN 300,000 thousand, which will expire on or before 31 December 2034. In order to secure the repayment of Prokura NFW FIZ’s liabilities under the revolving facility agreement, as amended, executed on 2 July 2015 between Prokura NFW FIZ, KRUK S.A. and mBank S.A. of Warsaw: • On 8 July 2026, after the end of the reporting period, Prokura NFW FIZ entered into an agreement with mBank S.A. to create a registered pledge over a set of rights (debt portfolios owned by Prokura NFW FIZ) .The registered pledge will be created up to the maximum secured amount of PLN 525,000 thousand. As at 30 June 2026, the value of all portfolios pledged in favour of mBank S.A. was PLN 409,797 thousand, including the value of portfolios pledged after the end of the reporting period of PLN 158,885 thousand (31 December 2025: PLN 415,536 thousand).
Page 91
Half-year report – Interim condensed consolidated financial statements 91 18. Glossary of terms Catalyst – an authorisation and trading system for debt financial instruments operated by the Warsaw Stock Exchange and BondSpot S.A. CCIRS – Cross-Currency Interest Rate Swap; CFC tax – tax on income of foreign companies controlled by Polish tax residents CGUs – cash-generating units CIRS – Currency Interest Rate Swap; a foreign exchange and interest rate risk hedging instrument used by the Group to hedge future cash flows and net investments in foreign operations CIT – Corporate Income Tax CPI – Consumer Price Index; an index measuring changes in the prices of consumer goods and services CZK – Czech koruna, the official currency of the Czech Republic Default – failure to meet an obligation, including failure to make a payment EAD – Exposure At Default; total outstanding balance a financial institution is exposed to at the moment a borrower defaults EBITDA – Earnings Before Interest, Taxes, Depreciation and Amortisation; understood as gross profit less administrative expenses ESG – Environmental, Social, Governance; a set of principles and disclosure processes relating to a company’s environmental, social and corporate governance impacts EU – European Union EUR – euro, the official currency of most member states of the European Union EURIBOR – Euro Interbank Offered Rate; the reference rate for deposits and loans in the euro interbank market FORWARD – a derivative instrument constituting a contract for the purchase or sale of an underlying instrument on a predetermined future date and at a predetermined price GDP – Gross Domestic Product Gross profit – revenue less direct and indirect costs Group, KRUK Group – KRUK S.A., its subsidiaries and entities controlled through personal links IAS – International Accounting Standards IFRS – International Financial Reporting Standards IRS – Interest Rate Swap; an interest rate risk hedging instrument used by the Group to hedge future cash flows
Page 92
Half-year report – Interim condensed consolidated financial statements 92 LGD – Loss Given Default; the share of an asset that is lost if a borrower defaults Management Board – the Management Board of KRUK S.A. NBP – National Bank of Poland, the Polish central bank NFW FIZ – Non-Standardised Closed-End Debt Investment Funds OECD – Organisation for Economic Co-operation and Development Parent – KRUK S.A. PD – Probability of Default; the likelihood that a borrower will fail to meet debt obligations PFRON – State Fund for the Rehabilitation of Persons with Disabilities Pillar Two – regulations that require taxpayers that are multinational enterprise groups to pay a top-up tax, representing the difference between the effective tax rate (calculated in accordance with the principles set out in the Act) applicable in a given jurisdiction and the minimum rate of 15% PIT – Personal Income Tax PLN – Polish złoty, the official currency of Poland and the functional currency of the KRUK Group POCI – Purchased or Originated Credit-Impaired; financial assets that are credit-impaired at initial recognition due to credit risk PPS – Prepayment Possibility; probability of early repayment RON – Romanian leu, the official currency of Romania SPPI test – Solely Payments of Principal and Interest; a qualitative assessment of whether the contractual cash flows of a financial asset represent solely payments of principal and interest USD – US dollar, the official currency of the United States WIBOR – Warsaw Interbank Offered Rate; the reference rate for loans in the Polish interbank market
Page 93
Half-year report – Interim condensed consolidated financial statements 93 19. Events after the reporting period not recognised in the financial statements but potentially having a material effect on future performance After the end of the first half of 2026, there were no other material events with potential significant bearing on the Group’s future performance. 20. Representation by the Management Board These interim condensed financial statements and comparative data have been prepared in accordance with the applicable accounting policies and give a true and fair view of the assets, financial position and financial performance of the KRUK Group, and present a true picture of the Group’s development, achievements and position, including a description of its principal threats and risks. The statutory auditor which reviewed these interim condensed financial statements was selected in compliance with applicable laws and regulations and met the conditions for issuing an objective and independent review report in accordance with applicable laws and professional standards. Piotr Krupa President of the Management Board Piotr Kowalewski Member of the Management Board Adam Łodygowski Member of the Management Board Urszula Okarma Member of the Management Board Michał Zasępa Member of the Management Board Monika Grudzień-Wiśniewska Person responsible for maintaining the accounting records Hanna Stempień Person responsible for preparing the financial statements Wrocław, 25 August 2026