1 January to 30 September 2025
#### OVERVIEW
| | | Q3 | Q1-3 | | | |
|--------------------------------|--------------------|---------------------|-----------|--------------------|--------------------|-----------|
| € million | 1/7/-30/9/<br>2024 | 1//7/-30/9/<br>2025 | Δ % | 1/1/-30/9/<br>2024 | 1/1/-30/9/<br>2025 | Δ % |
| Sales revenue | 214.7 | 203.5 | -5 | 662.2 | 639.8 | -3 |
| EBITDA | 19.8 | 22.6 | +14 | 76.1 | 66.0 | -13 |
| EBITDA-margin in % | 9.2 | 11.1 | +1.9 pts. | 11.5 | 10.3 | -1.2 pts. |
| EBITDA adjusted | 19.8 | 22.6 | +14 | 76.8 | 73.2 | -5 |
| EBITDA-margin adjusted in % | 9.2 | 11.1 | +1.9 pts. | 11.6 | 11.4 | -0.2 pts. |
| Depreciation and amortization | -15.3 | -14.2 | +7 | -45.6 | -43.7 | +4 |
| EBIT | 4.4 | 8.4 | +90 | 30.5 | 22.3 | -27 |
| EBIT-margin in % | 2.1 | 4.1 | +2.0 pts. | 4.6 | 3.5 | -1.1 pts. |
| Financial result | -7.4 | -4.1 | +44 | -14.0 | -18.2 | -30 |
| EBT | -3.0 | 4.3 | +241 | 16.5 | 4.1 | -75 |
| Consolidated net profit / loss | -6.0 | 0.3 | +105 | 7.8 | -5.2 | -166 |
| Earnings per share in € | -0.39 | 0.02 | +105 | 0.50 | -0.33 | -166 |
| Number of shares | 15,505,731 | 15,505,731 | | 15,505,731 | 15,505,731 | |
| 30/9/2024 | 30/9/2025 | Δ % |
|------------|-----------|------------|
| 349.0 | 347.2 | -1 |
| 88.3 | 93.7 | +5.4 pts. |
| 38.3 | 38.5 | +0.2 pts. |
| 3,724 | 3,757 | +1 |
| | | |
| 31/12/2024 | 30/9/2025 | Δ % |
| | | |
| 339.9 | 347.2 | +2 |
| 82.8 | 93.7 | +10.9 pts. |
| | | |
| 40.5 | 38.5 | -2.0 pts. |
| | | |
# Quarterly release SURTECO Group January – September 2025
## Economic report
#### SALES AND BUSINESS PERFORMANCE FOR THE SURTECO GROUP
Over the course of the first three quarters of 2025, sales revenues of the SURTECO Group decreased by -3 % to € 639.8 million (2024: € 662.2 million). Aside from sustained weak demand in the domestic market and abroad, key factors for this were the absence of sales from the division for impregnates discontinued at the end of May 2025 and negative currency effects, particularly in relation to the US dollar and Brazilian real. The organic decline in sales derived from continuing business excluding currency effects amounted to -1 %. Overall, business transactions in Germany fell back by -3 % in the first three quarters of 2025 compared with the previous year. In the rest of Europe (not including Germany), business also fell back by -3 %. In North and South America, sales came down by -4 % compared with the previous year and they fell by -3 % in Asia, Australia and the other markets.
#### SURFACES
The surface activities of the Group, including melamine edgebandings in Europe and South America, are grouped together in the Segment Surfaces. The sales revenues of the segment decreased in the first three quarters of 2025, falling to € 196.2 million after € 206.0 million in the year-earlier period. Significantly slack demand during August, negative effects in the mix of product and batch size and the lack of sales derived from the discontinued business with impregnates led to this fall in sales amounting to -5 %.
#### EDGEBANDS
The segment Edgebands comprises all the plastic edging activities of the Group in Europe and South America. Owing largely to the ongoing weak demand in Europe, segment sales of € 107.4 million generated in the months from January to September 2025 were -6 % below the year-earlier value of € 114.7 million.
#### PROFILES
The Segment Profiles bundles the activities with technical extrusions (profiles), skirtings and associated products in Europe and South America. As a result, this business unit operates in more specialized markets than the Group's other segments. During the business year 2025, these markets were less affected by the general weakness in demand. Consequently, the sales of the segment at € 103.8 million were 3 % above the year-earlier value of € 100.3 million during the first three quarters.
#### NORTH AMERICA
The Segment North America includes the activities with all the products of the Group in this region. Sales in the acquired divisions of Omnova are allocated to this segment and they include the manufacturing facility in Thailand. Primarily owing to negative foreign exchange-rate effects compared with the previous year, segment sales fell by -3 % to € 198.7 million during the first three quarters of 2025 (2024: € 205.1 million). Constrained demand in North America was also a factor here.
## ASIA / PACIFIC
The Segment Asia / Pacific encompasses business with all product groups in the area of Asia, Australia and Oceania. During the months from January to September 2025, the Asian market was similarly impacted by a downward trend in demand. As a consequence, sales eased by -7 % to € 33.6 million (2024: € 36.2 million).
## Net assets, financial position and result of operations
## BALANCE SHEET PERFORMANCE / CASH FLOW STATEMENT
On 30 September 2025, the balance sheet total of the Group amounted to € 962.0 million after € 1,012.4 million at year-end 2024. Current assets decreased from € 319.0 million at year-end 2024 to € 317.4 million at the end of the third quarter. Lower cash and cash equivalents resulting from repayment of financial liabilities were offset by higher trade accounts receivable and increased inventories. Non-current assets fell back primarily as a result of scheduled depreciation and amortization and currency adjustments on assets from € 693.4 million at year-end 2024 to € 644.6 million on 30 September 2025. On the liabilities side of the balance sheet, current liabilities amounting to € 154.6 million at year-end 2024 increased to € 165.7 million at the end of the third quarter of 2025 on account of repayments of financial liabilities and thus the reclassification of long-term financial liabilities to short term financial liabilities. Accordingly, non-current liabilities decreased to € 425.7 million compared with year-end figure 2024 of € 447.3 million. Equity consequently fell back from € 410.5 million at year-end 2024 to € 370.6 million and the corresponding ratio (equity / balance sheet total) decreased from 40.5 % to 38.5 % on 30 September 2025. After free cash flow of € 23.8 million in the first three quarters of the previous year, the value amounted to € 20.4 million in the reporting period.
## Abbreviated balance sheet of the SURTECO Group
| € million | 31/12/2024 | 30/9/2025 |
|-------------------------|------------|-----------|
| ASSETS | | |
| Current assets | 319.0 | 317.4 |
| Non-current assets | 693.4 | 644.6 |
| Balance sheet total | 1,012.4 | 962.0 |
| | | |
| LIABILITIES | | |
| Current liabilities | 154.6 | 165.7 |
| Non-current liabilities | 447.3 | 425.7 |
| Equity | 410.5 | 370.6 |
| Balance sheet total | 1,012.4 | 962.0 |
#### GROUP RESULTS
In the first three quarters of 2025, purchase prices of the raw materials paper, plastic, chemicals and energy developed unevenly compared with the previous year. These are the most important cost factors in the SURTECO Group. Overall, the cost of materials ratio at 48.6 % was slightly above the value of 48.3 % in the year-earlier period. Personnel costs in relation to total output went up from 25.9 % in the previous year to 27.5 % over the months January to September 2025. This is primarily due to the provisions for redundancy payments as a result of the discontinuation of the impregnates business. The ratio of other operating expenses improved from 15.2 % in the previous year to 14.5 %. Overall, the expense items amounted to € -586.0 million after € -598.6 million in the previous year. On the basis of total output of € 646.5 million (2024: € 669.5 million) and other operating income of € 5.5 million (2024: € 5.3 million), earnings before financial result, income tax and depreciation and amortization (EBITDA) fell by -13 % to € 66.0 million (2024: € 76.1 million). The EBITDA margin (EBITDA/Sales) amounted to 10.3 % after 11.5 % in the previous year. Taking account of the development of the individual quarters, an analysis demonstrates that EBITDA stabilized during the third quarter of 2025, with even an increase of 14 % compared with the same quarter in the previous year. After analysis of the one-off exceptional effects (transaction costs, restructuring costs, consultancy expenses, material write-downs arising from discontinuation of the Impregnates division, extraordinary other income), adjusted EBITDA amounted to € 73.2 million in the first three quarters of 2025 after € 76.8 million in the previous year. The corresponding margin was 11.4 % (2024: 11.6 %). Amortization and depreciation at € -43.7 million were below the year-earlier value of € -45.6 million. Hence, earnings before financial result and income tax (EBIT) of the Group amounted to € 22.3 million in the first three quarters of 2025 after € 30.5 million in the previous year. As a ratio of sales, the EBIT margin was 3.5 % (2024: 4.6 %). As a result of settlement of financial liabilities, interest expenses came down during the reporting period, although negative exchange-rate effects arising from balance-sheet revaluations led to a financial result of € -18.2 million after € -14.0 million in the previous year. Accumulated, earnings before income tax (EBT) came down to € 4.1 million (2024: € 16.5 million). After deduction of € -9.2 million (2024: € -8.9 million) for income tax and minority interests of € 0.0 million (2024: € 0.1 million), consolidated net loss amounts to € -5.2 million after consolidated net profit of € 7.8 million in the previous year. On the basis of the unchanged amount of 15,505,731 no-par value shares, the earnings per share amounted to € -0.33 in the nine months from January to September 2025 after € 0.50 in the previous year.
## Calculation of free cash flow
| € million | 1/1/-30/9/<br>2024 | 1/1/-30/9/<br>2025 |
|--------------------------------------------------------|--------------------|--------------------|
| Cash flow from current business operations | 44.4 | 38.1 |
| Payout from business combinations | -6.3 | 0.0 |
| Sale of business | 0.0 | 0.7 |
| Purchase of property, plant and equipment | -15.3 | -18.3 |
| Purchase of Intangible assets | -0.6 | -1.8 |
| Inflows from disposal of property, plant and equipment | 1.6 | 1.7 |
| Cash flow from Investment activity | -20.6 | -17.7 |
| Free cash flow | 23.8 | 20.4 |
#### RESULT OF THE SEGMENTS
Adjusted EBITDA of € 16.3 million meant that earnings for the Segment Surfaces during the first three quarters of 2025 were below the year-earlier value of € 21.2 million owing to the reduction in sales volume and slightly increased cost of materials. These reasons accounted for adjusted EBITDA for Edgebands at € 17.4 million being below the level of € 21.4 million from the previous year. Conversely, adjusted EBITDA for Profiles at € 14.7 million was slightly above the year-earlier level of € 14.0 million. Primarily due to improvements in other operating expenses, adjusted EBITDA for the Segment North America increased from € 21.7 million in the previous year to € 23.4 million during the first three quarters of 2025, in spite of a lower volume of sales. A counterpoint was that adjusted EBITDA for Asia / Pacific eased to € 4.7 million (2024: € 5.4 million), primarily owing to volume effects and slightly increased cost of materials.
## Outlook for the business year 2025
According to the ifo Business Climate Index\* published by the ifo Institute for Economic Research, sentiment among companies in Germany has declined once more. It is now at a sustained low level overall. This mood can also be detected in the Group's important sales markets, since experience indicates that the economy of the furniture industry correlates overall with the general economic development. Even if the mood in the main construction sector is undergoing a modest improvement, significant momentum in the downstream purchase of furniture and fittings is unlikely over the short term.
Since restrained demand was anticipated for the current business year and the SURTECO Group is continuing to maintain its strict cost discipline, the earnings forecast given in the Annual Report 2024 (adjusted EBITDA between € 85 million and € 105 million) is confirmed with the target being attained at the lower end of the range. The forecast sales of € 850 million to € 900 million are anticipated at the lower end of the range or slightly below this, on the basis of the ongoing weak demand and negative exchange-rate effects.
<sup>\*</sup>Source: ifo Economic Survey, September 2025
## Income Statement
| | Q3 | | Q1-3 | |
|---------------------------------------------|--------------------|--------------------|--------------------|--------------------|
| € 000s | 1/7/-30/9/<br>2024 | 1/7/-30/9/<br>2025 | 1/1/-30/9/<br>2024 | 1/1/-30/9/<br>2025 |
| Sales revenues | 214,683 | 203,497 | 662,235 | 639,779 |
| Changes in inventories | 878 | -1,576 | 4,884 | 5,007 |
| Own work capitalized | 826 | 838 | 2,349 | 1,695 |
| Total output | 216,387 | 202,759 | 669,468 | 646,481 |
| Cost of materials | -108,187 | -97,282 | -323,572 | -314,057 |
| Personnel expenses | -56,885 | -54,308 | -173,255 | -177,987 |
| Other operating expenses | -32,710 | -30,565 | -101,790 | -93,951 |
| Other operating income | 1,143 | 2,010 | 5,256 | 5,469 |
| EBITDA | 19,749 | 22,614 | 76,107 | 65,955 |
| Depreciation and amortization | -15,338 | -14,227 | -45,613 | -43,665 |
| EBIT | 4,411 | 8,387 | 30,494 | 22,290 |
| Interest Income | 821 | 244 | 2,602 | 774 |
| Interest expenses | -4,991 | -5,350 | -15,065 | -12,958 |
| Other financial expenses and income | -3,265 | 968 | -1,534 | -6,047 |
| Financial result | -7,435 | -4,138 | -13,997 | -18,231 |
| EBT | -3,024 | 4,249 | 16,497 | 4,059 |
| Income tax | -3,018 | -3,935 | -8,862 | -9,227 |
| Net income | -6,042 | 314 | 7,635 | -5,168 |
| Non-controlling interests | 0 | 0 | 144 | 0 |
| Consolidated net profit / loss | -6,042 | 314 | 7,779 | -5,168 |
| Basic and undiluted earnings per share in € | -0.39 | 0.02 | 0.50 | -0.33 |
| Number of shares | 15,505,731 | 15,505,731 | 15,505,731 | 15,505,731 |
| | | | | |
## Consolidated Balance Sheet
| € 000s | 31/12/2024 | 30/9/2025 |
|--------------------------------------------------|------------|-----------|
| ASSETS | | |
| Cash and cash equivalents | 71,186 | 55,133 |
| Trade accounts receivable | 75,084 | 88,094 |
| Inventories | 148,044 | 152,098 |
| Current income tax assets | 1,741 | 1,376 |
| Other current non-financial assets | 12,061 | 14,835 |
| Other current financial assets | 10,932 | 5,909 |
| Current assets | 319,048 | 317,445 |
| Property, plant and equipment | 299,440 | 277,691 |
| Intangible assets | 97,283 | 82,330 |
| Rights of use | 37,509 | 36,748 |
| Goodwill | 227,234 | 219,254 |
| Investments in associates | 404 | 404 |
| Financial assets | 1,798 | 151 |
| Non-current income tax assets | 4,507 | 4,293 |
| Other non-current non-financial assets | 370 | 527 |
| Other non-current financial assets | 997 | 1,015 |
| Deferred taxes | 23,812 | 22,164 |
| Non-current assets | 693,354 | 644,577 |
| | 1,012,402 | 962,022 |
| LIABILITIES AND SHAREHOLDERS' EQUITY | | |
| Short-term financial liabilities | 16,743 | 26,253 |
| Trade accounts payable | 92,191 | 93,544 |
| Income tax liabilities | 1,800 | 3,822 |
| Short-term provisions | 4,910 | 7,586 |
| Other current non-financial liabilities | 3,295 | 4,394 |
| Other current financial liabilities | 35,695 | 30,118 |
| Current liabilities | 154,634 | 165,717 |
| Long-term financial liabilities | 394,359 | 376,047 |
| Pensions and other personnel-related obligations | 11,696 | 11,156 |
| Long term provisions | 191 | 78 |
| Other non-current non-financial liabilities | 23 | 70 |
| Other non-current financial liabilities | 1,368 | 846 |
| Deferred taxes | 39,650 | 37,461 |
| Non-current liabilities | 447,287 | 425,658 |
| Capital stock | 15,506 | 15,506 |
| Capital reserve | 122,755 | 122,755 |
| Retained earnings | 263,807 | 237,554 |
| Consolidated net profit/loss | 8,413 | -5,168 |
| Equity | 410,481 | 370,647 |
| | 1,012,402 | 962,022 |
## Consolidated Cash Flow Statement
| | Q1-3 | | | |
|----------------------------------------------------------------------|--------------------|--------------------|--|--|
| € 000s | 1/1/-30/9/<br>2024 | 1/1/-30/9/<br>2025 | | |
| Earnings before income tax | 16,498 | 4,059 | | |
| Reconciliation of cash flow from current business operations | 49,587 | 51,092 | | |
| Internal financing | 66,085 | 55,151 | | |
| Changes in assets and liabilities (net) | -21,711 | -17,071 | | |
| Cash flow from current business operations | 44,374 | 38,080 | | |
| Cash flow from investment activities | -20,622 | -17,699 | | |
| Cash flow from financial activities | -32,909 | -37,477 | | |
| Change in cash and cash equivalents | -9,157 | -17,096 | | |
| Cash and cash equivalents | | | | |
| 1 January | 111,811 | 71,186 | | |
| Effects of changes in the exchange rate on cash and cash equivalents | 498 | 1,043 | | |
| 30 September | 103,152 | 55,133 | | |
## Segment reporting
With effect from the business year 2023, the management of the company and hence the segment reporting will be carried out through the segments "Surfaces", "Edgebands" and "Profiles", which encompass the regions Europe and South America, and through the regional segments "North America" and "Asia / Pacific". The segments are organized across the companies on the basis of the sales markets. Surfaces encompasses all surface activities including melamine edgings in Europe and South America. The Segment Edgebands bundles the activities with plastic edgebandings in these regions, while the Segment Profiles concentrates on skirtings and technical extrusions (profiles). The regional segments comprise all activities in the relevant geographical markets irrespective of the specific products.
| € 000s | BU<br>Surfaces | BU<br>Edgebands | BU<br>Profiles | BU<br>North<br>America | BU<br>Asia<br>Pacific | Reconcili<br>ation | SURTECO<br>Group |
|------------------------------------------|----------------|-----------------|----------------|------------------------|-----------------------|--------------------|------------------|
| 1/1/-30/9/2025 | | | | | | | |
| External sales | 196,225 | 107,429 | 103,784 | 198,739 | 33,602 | 0 | 639,779 |
| Internal sales with the<br>SURTECO Group | 13,650 | 2,474 | 22 | 8 | 222 | -16,376 | 0 |
| Total sales | 209,875 | 109,903 | 103,806 | 198,747 | 33,824 | -16,376 | 639,779 |
| Segment earnings (EBITDA<br>adjusted) | 16,341 | 17,438 | 14,749 | 23,399 | 4,742 | -3,476 | 73,193 |
| | | | | | | | |
| 1/1/-30/9/2024 | | | | | | | |
| External sales | 206,032 | 114,691 | 100,290 | 205,065 | 36,157 | 0 | 662,235 |
| Internal sales with the<br>SURTECO Group | 13,367 | 1,339 | 83 | 0 | 0 | -14,789 | 0 |
| Total sales | 219,399 | 116,030 | 100,373 | 205,065 | 36,157 | -14,789 | 662,235 |
| Segment earnings (EBITDA<br>adjusted) | 21,171 | 21,387 | 13,981 | 21,680 | 5,398 | -6,824 | 76,793 |
## Segment reporting by regional markets
| Sales revenues<br>€ 000s | BU<br>Surfaces | BU<br>Edgebands | BU<br>Profiles | BU<br>North<br>America | BU<br>Asia<br>Pacific | SURTECO<br>Group |
|--------------------------|----------------|-----------------|----------------|------------------------|-----------------------|------------------|
| 1/1/-30/9/2025 | | | | | | |
| Germany | 53,599 | 19,961 | 48,055 | 0 | 0 | 121,615 |
| Rest of Europe | 135,089 | 43,395 | 55,185 | 1,600 | 0 | 235,269 |
| America | 3,257 | 36,994 | 88 | 181,067 | 378 | 221,784 |
| Asia, Australia, Others | 4,280 | 7,079 | 456 | 16,072 | 33,224 | 61,111 |
| | 196,225 | 107,429 | 103,784 | 198,739 | 33,602 | 639,779 |
| 1/1/-30/9/2024 | | | | | | |
| Germany | 58,836 | 19,856 | 46,180 | 0 | 0 | 124,872 |
| Rest of Europe | 140,004 | 48,613 | 53,355 | 1,272 | 0 | 243,244 |
| America | 2,631 | 40,041 | 5 | 188,274 | 285 | 231,236 |
| Asia, Australia, Others | 4,561 | 6,181 | 750 | 15,519 | 35,872 | 62,883 |
| | 206,032 | 114,691 | 100,290 | 205,065 | 36,157 | 662,235 |
## Calculation of indicators
| EBITDA adjusted | Earnings before financial result, income tax and depreciation and amortization<br>less extraordinary income, acquisition costs, consultancy expenses, material<br>write-down arising from discontinuation of impregnates and restructuring costs |
|------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| EBITDA | Earnings before financial result, income tax and depreciation and amortization |
| EBIT | Earnings bevor financial result and income tax |
| EBIT margin in % | EBIT/Sales |
| EBITDA margin in % | EBITDA/Sales |
| Equity ratio in % | Equity/Total equity (= balance sheet total) |
| Earnings per share in € | Consolidated net profit/Weighted average of the issued shares |
| Free cash flow in € | Cash flow from current business operations - (Payout from business combina<br>tions + Purchase of property,<br>plant and equipment + Purchase of intangible assets + Inflows from disposal of<br>property, plant and equipment +<br>Dividends received) |
| Leverage | Net dept/EBITDA adjusted for the last 12 month |
| Cost of materials ratio in % | Cost of materials/Total output |
| Net debt in € | Short-term financial liabilities + Long-term financial liabilities –<br>Cash and cash equivalents |
| Debt-service coverage in % | (Consolidated net profit + Depreciation and amortization) / Net debt |
| Personnel expense ratio in % | Personnel expenses/Total output |
| Level of debt in % | Net debt/Equity |
| Working Capital in € | (Trade accounts receivable + Inventories) – Trade accounts payable |
| Interest cover factor | EBITDA/Interest (net) (Interest income – Interest expenses) |
| | |
## Contact
Martin Miller Investor Relations T: +49 8274 9988-508 [ir@surteco.com](mailto:ir@surteco.com)
SURTECO GROUP SE Johan-Viktor-Bausch-Straße 2 86647 Buttenwiesen Germany
ISIN: DE0005176903
[www.surteco.com](http://www.surteco.com/)