Eckert & Ziegler Strahlen- und Medizintechnik AG

Interim / Quarterly Report • Aug 9, 2024

2024

1 January - 30 June

Eckert \& Ziegler

Contributing to saving lives

KEY DATA

		$1-6 / 2023$ *	$1-6 / 2024$	Change
Sales	€ million	118.0	145.4	$+23 \%$
Return on revenue before tax	$\%$	17	20
EBITDA	€ million	27.5	37.4	$+36 \%$
EBIT before special items	€ million	22.6	32.5	$+44 \%$
EBIT	€ million	21.5	30.8	$+43 \%$
EBT	€ million	20.0	29.6	$+49 \%$
Net income before other shareholder's interests	€ million	11.0	18.6	$+68 \%$
Profit	€ million	10.9	18.0	$+65 \%$
Earnings per share (basic)	€	0.52	0.87	$+67 \%$
Operational cash flow	€ million	9.1	17.4	$+92 \%$
Depreciation and amortization on non-current assets	€ million	6.0	6.6	$+10 \%$
Employees by end of period (incl. Pentixapharm and Myelo)	Number of employees	1,036	1,085	$+5 \%$

• Due to IFRS 5 change in presentation of previous year's figures

MILESTONES

ANNUAL GENERAL MEETING APPROVES SPLIT-OFF OF PENTIXAPHARM AG

The Annual General Meeting on June 26, 2024 approves the split-off of Pentixapharm AG from Eckert \& Ziegler SE and a dividend distribution of $€ 0.05$ per share for the 2023 financial year.

OPENING OF ACTINIUM-225 PRODUCTION FACILITY
In collaboration with the Institute of Nuclear Physics of the Czech Academy of Sciences (Ustav jaderné fyziky, "UJF"), Eckert \& Ziegler opens a state-of-the-art actinium-225 (Ac-225) production plant for the manufacture of radiopharmaceuticals near Prague in the presence of the Czech Prime Minister Petr Flala.

PHASE III TRIAL WITH PENTIXAFOR

Eckert \& Ziegler subsidiary Pentixapharm receives an encouraging FDA feedback to initiate Phase III trial with PentixaFor as radiopharmaceutical diagnostic in primary aldosteronism.

A. GROUP INTERIM MANAGEMENT REPORT

A. 1 EARNINGS PERFORMANCE

In the first half of 2024, the Eckert \& Ziegler Group (continuing and discontinued operations) achieved a net profit of $€ 18.0$ million. This represents an increase of $€ 7.1$ million in net profit compared to the same period of the previous year.

Revenue

Overall, the Group recorded sales growth of $23 \%$ and, with sales of $€ 145.4$ million at the end of June 2024, was $€ 27.4$ million above the previous year's level of $€ 118.0$ million.

The individual segments show the following developments:
External sales in the Medical segment amounted to $€ 69.7$ million in the first six months of the year, up around $€ 17.1$ million or $32 \%$ on the previous year's level. The main growth driver continues to be business with pharmaceutical radioisotopes, while sales in the area of plant engineering also increased significantly compared to the previous year.

The Isotope Products segment generated external sales of $€ 75.7$ million, $€ 10.4$ million higher than in the first six months of 2023. Compared to the same period of the previous year, there were shifts in seasonality and between the product groups towards higher-margin products. For example, in the previous year, the high-margin sales of radiation sources for industry and, in particular, for use in the energy sector were largely realized in the second half of the year.

EBIT (earnings before interest and taxes) from continuing operations before special items (adjusted EBIT)

From the 2024 financial year, "EBIT before special items from continuing operations" (adjusted EBIT) will be used as a second performance indicator in addition to sales revenue instead of net profit for the year. For the transition from EBIT to adjusted EBIT, please refer to the information in the notes to the interim consolidated financial statements in the section "Key performance indicator defined by management". The previous year's comparative figure has been adjusted accordingly.

The Group's adjusted EBIT increased by around $€ 9.9$ million to $€ 32.5$ million compared to the first half of 2023.
Adjusted EBIT in the Medical segment amounted to $€ 16.6$ million and was therefore $€ 4.1$ million higher than the adjusted EBIT in the same period of the previous year. Gross profit in the first half of the year was significantly higher than in the previous year. The reason for the increase was the significantly stronger sales and the associated degression of fixed costs.

Adjusted EBIT also increased in the Isotope Products segment, rising by around $€ 7.6$ million or $70 \%$ to $€ 18.4$ million. In addition to higher sales, a significantly stronger product mix led to an increase in gross profit of around $€ 9.0$ million. In contrast to the first half of 2023, demand was particularly strong for high-margin radiation sources for use in the energy sector. In the second half of the year, these sales will be significantly lower and the product mix will weaken slightly.

The Other segment, which mainly consists of the holding company for this key figure, closed the first half of the year with an adjusted EBIT of $€-2.5$ million (previous year: $€-0.7$ million). The scope of the "Wäscherei" project in BerlinBuch was reduced due to the commercial assessment of investments, the prioritization of investment projects and the avoidance of high costs. All costs previously recognized under assets under construction that could no longer be allocated to the newly defined scope were derecognized through profit or loss ( $€-0.6$ million) in March 2024. Based on the updated forecast at the beginning of July, the (pro rata) provisions for the Management Board members' bonuses and share-based remuneration were updated. For a detailed explanation of the variable remuneration, please refer to the 2023 remuneration report.

Earnings (net profit for the period)

The Group's six-month earnings of $€ 18.0$ million or $€ 0.87$ per share were $€ 7.1$ million or $65 \%$ higher than in the same period of the previous year. Group earnings in the first half of 2024 were positively influenced by currency effects ( $€+0.6$ million). In the previous year, earnings were negatively impacted by currency effects of $€-0.2$ million.

The Other segment, which comprises the holding company and the newly founded Pentixapharm Holding AG as well as the clinical assets division consisting of Pentixapharm AG and Myelo Therapeutics GmbH, closed the first half of the year with a result (before minority interests) of $€-5.2$ million (previous year: $€-1.9$ million).

In October 2023, the Executive Board and Supervisory Board of Eckert \& Ziegler SE decided to dispose of the Group's clinical assets. In accordance with the provisions of IFRS 5, this area is reported as a discontinued operation. The spinoff is still being prepared.

Losses from discontinued operations increased from $€-1.3$ million to $€-1.9$ million in the first half of the year. The higher development costs compared to the previous year were partially compensated for by income from grants and research funds.

The costs of $€ 1.2$ million for preparing the spin-off had an additional negative impact on earnings in the Other segment.

A. 2 FINANCIAL POSITION

Balance sheet

Total assets at June 30, 2024 increased compared to the 2023 annual financial statements and now amount to $€ 472$ million (previous year: $€ 439$ million).

On the assets side, non-current assets remained stable, although there were significant movements in some non-current asset items. On the one hand, $€ 9.3$ million was invested in property, plant and equipment and intangible assets and the right-of-use asset item (IFRS 16) was increased, primarily due to the extension of existing rental agreements and the updating of rental payments. On the other hand, the remaining shares ( $49 \%$ stake) in BEBIG Medical GmbH were sold ( $€ 10.8$ million). There were no company acquisitions in the first six months of 2024.

Trade receivables increased by $€ 7.4$ million ( $+17 \%$ ) and inventories by $€ 5.9$ million ( $+15 \%$ ) in line with sales growth ( $+23 \%$ compared to the first half of 2023).

The changes on the liabilities side mainly relate to non-current and current loan liabilities, which decreased by a total of $€ 2.8$ million to $€ 23.5$ million. As at June 30, 2024, $€ 17.2$ million was reported as non-current loan liabilities and $€ 6.4$ million as current loan liabilities.

Equity increased by $€ 25.0$ million to $€ 249.1$ million as at June 30, 2024. The increase was mainly due to the higher profit for the period of $€ 18.0$ million and an increase in other reserves of $€ 6.4$ million due to foreign currency translation differences. The equity ratio is $53 \%$.

Other current liabilities increased by $€ 7.8$ million; this rise is due in particular to the increase in income tax provisions.

Liquidity

The operating cash flow from continuing operations amounted to $€ 17.4$ million, around $€ 9.3$ million higher than in the same period of the previous year.

The cash inflow from investing activities from continuing operations amounted to $€ 1.5$ million in the first half of the year (previous year: cash outflow of $€ 13.1$ million). At $€ 9.3$ million, slightly less cash and cash equivalents were used for investments in intangible assets and property, plant and equipment than in the same period of the previous year ( $€ 10.4$ million). The focus was on the expansion of the Dresden-Rossendorf site and further investments in the production of the alpha emitter Actinium-225. The remaining shares in BEBIG Medical GmbH ( $49 \%$ stake) were sold for $€ 10.8$ million in the reporting period. There were no company acquisitions in the first half of 2024; in the previous year, $€ 3.2$ million was spent on acquisitions (payment to the former shareholders of Tecnonuclear SA, Argentina).

The cash outflow from financing activities of continuing operations is mainly due to the repayment of loan liabilities ( $€ 2.8$ million). No loans were taken out in the first half of 2024 (previous year: $€ 7.1$ million). Including the interest payments incurred, funds amounting to $€ 1.2$ million (previous year: $€ 1.3$ million) were used to repay lease liabilities. In addition, the holding company transferred $€ 8.1$ million of the liabilities still outstanding as at December 31, 2023 from the loss absorption 2023 as part of the profit and loss transfer agreement between Eckert \& Ziegler SE and Pentixapharm AG.

Overall, cash and cash equivalents from continuing operations as at June 30, 2024 improved by $€ 8.6$ million compared to the end of 2023 to $€ 76.6$ million ( $€ 68.0$ million as at December 31, 2023).

A. 3 OUTLOOK

In the ad hoc announcement published on July 16, 2024, the Executive Board announced an increase in the profit forecast for the current financial year and expects EBIT (earnings before interest and taxes) before special items from continuing operations of around $€ 55$ million (previously $€ 50$ million). The sales forecast for the current financial year 2024 published on March 22, 2024 remains unchanged. The Executive Board continues to expect sales of just under $€ 265$ million.

The Executive Board of Eckert \& Ziegler SE, Berlin, resolved on October 20, 2023, with the approval of the Supervisory Board, to transfer all shares held by it in Pentixapharm AG, i.e. all of its 21,600,000 shares out of a total of 21,700,000 shares in Pentixapharm AG, to its subsidiary Pentixapharm Holding AG, founded in February 2024, by way of a spinoff for absorption in accordance with the German Reorganization Act (UmwG). Pentixapharm Holding AG will in turn become the listed holding company of the future Pentixapharm Holding AG Group. On June 26, 2024, both the shareholders of Eckert \& Ziegler SE and Pentixapharm Holding AG approved the draft spin-off and takeover agreement submitted to the respective commercial registers of the companies on May 3, 2024. In accordance with the provisions of IFRS 5, the clinical assets segment is reported as a discontinued operation. The spin-off is still being prepared. From the date on which the spin-off takes effect, the division concerned will no longer be part of the Eckert \& Ziegler Group.

A. 4 RISKS AND OPPORTUNITIES

In the 2023 Annual Report, we described risks that could have a significant negative impact on our business, net assets, financial position and results of operations as well as our reputation. The main opportunities and the structure of our risk management system were also outlined.

Additional risks and opportunities that we are not aware of or that we currently consider to be immaterial could also impair our business activities. At present, no risks have been identified that, individually or in combination with other risks, could jeopardize our continued existence.

A. 5 ADDITIONAL INFORMATION

Employees

As at June 30, 2024, the Eckert \& Ziegler Group employed 1,085 people worldwide. This represents a slight increase in the number of employees compared to the previous year (December 31, 2023: 1,075).

B. INTERIM CONSOLIDATED FINANCIAL

B. 1 CONSOLIDATED INCOME STATAMENT OF PROFIT OR LOSS

	6-month report *	6-month report
€ thousand	$1-6 / 2023$	$1-6 / 2024$
Revenues	117,962	145,382
Cost of sales	$-60,594$	$-72,479$
Gross profit on sales	57,368	72,903
Selling expenses	$-12,610$	$-13,359$
General and administrative expenses	$-18,710$	$-23,447$
Impairment/reversals in accordance with IFRS 9	$-70$	$-109$
Other operating income	665	1,721
Other operating expenses	$-4,066$	$-6,415$
Operating result	22,577	31,293
Result from investments valued at equity	310	159
Result from valuation of financial instruments	$-24$	$-28$
Currency gains	855	1,581
Currency gains/losses	$-1,073$	$-998$
Loss according to IAS 29 (hyperinflation)	$-1,134$	$-1,207$
Earnings before interest and taxes (EBIT)	21,511	30,800
Interest received	327	878
Interest paid	$-1,877$	$-2,036$
Profit before tax	19,961	29,642
Income tax expense	$-7,594$	$-9,161$
Result from continuing operations	12,367	20,481
Result from discontinued operations	$-1,320$	$-1,908$
Net income/loss from continuing operations	11,047	18,573
Profit (-)/loss (+) attributable to minority interests	$-135$	$-542$
Profit attributable to the shareholders of Eckert \& Ziegler SE	10,912	18,031
Earnings per share from continuing and discontinued operations
Basic	0.52	0.87
Diluted	0.52	0.87
Earnings per share from continuing operations
Basic	0.59	0.96
Diluted	0.59	0.96
Earnings per share from discontinued operations
Basic	$-0.07$	$-0.09$
Diluted	$-0.07$	$-0.09$
Average number of shares in circulation (basic)	20,809	20,842
Average number of shares in circulation (diluted)	20,854	20,848

[^0]
[^0]: * Due to IFRS 5 change in presentation of previous year's figures

	Quarterly Report II *	Quarterly Report II
€ thousand	$4-6 / 2023$	$4-6 / 2024$

Revenues
Cost of sales
Gross profit on sales
Selling expenses
General and administrative expenses
Impairment/reversals in accordance with IFRS 9
Other operating income
Other operating expenses
Operating result
Result from investments valued at equity
Result from valuation of financial instruments
Currency gains
Currency gains/losses
Loss according to IAS 29 (hyperinflation)

	11,963	16,953
	369	255
	41	-34
	348	471
	-51	-430
	-604	-579

Earnings before interest and taxes (EBIT)	12,066	16,636
Interest received	214	517
Interest paid	$-1,002$	$-1,086$
Profit before tax	11,278	16,067
Income tax expense	$-4,137$	$-4,865$
Result from continuing operations	7,141	11,202
Result from discontinued operations	$-875$	$-1,346$
Net income/loss from continuing operations	6,266	9,856
Profit (-)/loss (+) attributable to minority interests	$-98$	$-312$
Profit attributable to the shareholders of Eckert \& Ziegler SE	6,168	9,544
Earnings per share from continuing and discontinued operations
Basic	0.30	0.46
Diluted	0.30	0.46
Earnings per share from continuing operations
Basic	0.34	0.52
Diluted	0.34	0.52
Earnings per share from discontinued operations
Basic	$-0.04$	$-0.06$
Diluted	$-0.04$	$-0.06$
Average number of shares in circulation (basic)	20,812	20,845
Average number of shares in circulation (diluted)	20,857	20,852

[^0]
[^0]: * Due to IFRS 5 change in presentation of previous year's figures

B. 2 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

	6-month report	6-month report
€ thousand	$1-6 / 2023$	$1-6 / 2024$
Konzernergebnis	11,047	18,573
davon auf die Aktionäre der Eckert \& Ziegler SE entfallend	10,912	18,031
davon auf nicht beherrschende Anteile entfallender Gewinn (+)/ Verlust (-)	135	542
Posten, die unter bestimmten Bedingungen zukünftig in die Gewinn- und Verlustrechnung umgegliedert werden
Kursdifferenzen, die aus der Umrechnung ausländischer Geschäftsbetriebe während des Geschäftsjahres eingetreten sind	$-343$	6,385
Kursdifferenzen aus der Umrechnung ausländischer Geschäftsbetriebe	$-343$	6,385
Posten, die zukünftig nicht in die Gewinn- und Verlustrechnung umgegliedert werden
Gewinn aus Eigenkapitalinstrumenten, die als erfolgsneutral zum beizulegen-den Zeitwert im sonstigen Ergebnis designiert werden	0	0
Nettogewinn aus Eigenkapitalinstrumenten, die als erfolgsneutral zum beizu-legenden Zeitwert im sonstigen Ergebnis designiert werden	0	0
Sonstiges Gesamtergebnis nach Steuern	$-343$	6,385
Konzerngesamtergebnis	10,704	24,958
Vom Konzerngesamtergebnis entfallen auf:
die Aktionäre der Eckert \& Ziegler SE	10,540	24,438
Nicht beherrschende Anteile	164	520

	Quarterly Report II	Quarterly Report II
€ thousand	$4-6 / 2023$	$4-6 / 2024$
Consolidated net income	6,266	9,856
thereof attributable to shareholders of Eckert \& Ziegler	6,168	9,544
thereof profit (+)/loss (-) attributable to non-controlling interests	98	312
Items that will be reclassified to the income statement in the future under certain circumstances
Exchange rate differences from the translation of foreign business operations incurred during the financial year	$-293$	2,233
Exchange rate differences from the translation of foreign business operations	$-293$	2,233
Items that will not be reclassified to the income statement in the future
Profit from equity instruments designated at fair value through other comprehensive income	0	0
Net profit from equity instruments designated at fair value through other comprehensive income	0	0
Other comprehensive income after taxes	$-293$	2,233
Consolidated comprehensive income	5,973	12,089
Consolidated comprehensive income attributable to:
Shareholders of Eckert \& Ziegler AG	5,845	11,760
Non-controlling interests	128	329

B. 3 CONSOLIDATED BALANCE SHEET

€ thousand	Dec. 31, 2023	June 30, 2024
ASSETS
Non current assets
Goodwill	35,723	37,434
Other intangible assets	13,056	15,918
Property, plant and equipment	82,892	87,643
Rights of use (IFRS 16)	28,928	29,958
Investments in affiliates or joint ventures	32,111	21,427
Deferred tax assets	11,650	12,322
Other non-current assets	1,350	1,325
Total non-current assets	205,710	206,028
Current assets
Cash and cash equivalents	67,998	76,625
Trade accounts receivable	43,720	51,152
Contract assets	3,651	6,211
Inventories	39,934	45,834
Income tax receivables	7,065	13,335
Other current assets	5,955	3,810
Non-current assets held for sale and disposal groups	65,332	68,940
Total current assets	233,655	265,907
Total assets	439,365	471,935
EQUITY AND LIABILITIES
Shareholder's equity
Subscribed capital	21,172	21,172
Capital reserves	66,894	67,625
Retained earnings	139,071	156,873
Other reserves	$-1,693$	4,716
Own shares	$-3,269$	$-3,082$
Portion of equity attributable to the shareholders of Eckert \& Ziegler SE	222,176	247,303
Minority interests	1,917	1,757
Total shareholders' equity	224,093	249,060
Non-current liabilities
Long-term debt	20,036	17,172
Long-term lease obligations (IFRS 16)	27,320	28,320
Deferred income from grants and other deferred income	2,005	1,966
Deferred tax liabilities	1,330	1,937
Retirement benefit obligations	10,963	11,014
Other non-current provisions	68,142	70,566
Other non-current liability	1,791	434
Total non-current liabilities	131,587	131,410
Current liabilities
Short-term debt	6,352	6,373
Current portion of lease obligations (IFRS 16)	2,596	2,832
Trade accounts payable	5,868	5,345
Advance payments received	4,540	3,965
Deferred income from grants and other deferred income (current)	272	272
Income tax liabilities *	2,838	8,849
Other current provisions	6,438	8,213
Other current liabilities	23,883	26,066
Contract liabilities	6,041	6,851
Liabilities directly associated with assets and disposal groups held
for sale assets and disposal groups *	24,857	22,699
Total current liabilities	83,685	91,465
Total equity and liabilities	439,365	471,935

[^0]
[^0]: (*) Adjustment IFRS 5 disclosure as at 31 December 2023 due to reclassification

B. 4 CONSOLIDATED CASH-FLOW STATEMENT

	6-month report $1 / 1 / 2023-$	6-month report $1 / 1 / 2024-$
€ thousand	06/30/2023	06/30/2024
Cash flows from operating activities:
Profit for the period	12,367	20,481
Adjustments for:
Depreciation and value impairments	6,003	6,561
Net interest income [interest expense (+)/income (-)]	1,550	1,158
Income tax expense	8,031	9,161
Income tax payments	$-6,652$	$-9,993$
Non-cash release of deferred income from grants	0	$-139$
Gains (-)/losses on the disposal of non-current assets	$-172$	569
At-equity results and other	1,548	1,882
Change in the non-current provisions, other non-current liabilities	2	24
Other non-cash items	2,765	$-267$
Changes in current assets and liabilities:
Receivables	$-19,509$	$-7,287$
Inventories	6,280	$-5,682$
Change in other current assets	$-4,042$	$-6,568$
Change in current liabilities and provisions	914	7,527
Cash inflow from operating activities - continuing operations	9,085	17,427
Cash outflow/inflow from operating activities - discontinued operations	5,961	$-3,698$
Cash flow from operating activities	15,046	13,729
Cash flow from investing activities
Payments for intangible assets and property, plant and equipment	$-10,385$	$-9,389$
Proceeds from the sale of intangible assets and property, plant and equipment	69	65
Payments for acquisitions (net of cash acquired)	$-3,185$	0
Payments received from investments	446	63
Payments received from the sale of investments	0	10,780
Cash outflow from investing activities - continuing operations	$-13,055$	1,519
Cash outflow from investing activities - discontinued operations	$-1,837$	0
Cash outflow from investing activities	$-14,892$	1,519
Cash flow from financing activities
Payment by the Group holding company to the discontinued operations	$-2,116$	$-8,066$
Dividends paid	$-10,406$	0
Distributions on third-party interests	$-332$	$-439$
Deposits from the taking out of loans	7,101	0
Disbursements for the payment of loans and lease liabilities	$-1,532$	$-4,043$
Interest received	327	873
Interest paid	$-556$	$-633$
Payments for the increase in shares in subsidiaries	0	$-470$
Cash outflow from financing activities - continuing operations	$-7,514$	$-12,778$
Cash inflow from financing activities - discontinued operations	2,116	8,264
Cash outflow from financing activities	$-5,398$	$-4,514$
Changes in cash and cash equivalents resulting from exchange rates	$-348$	110
Decrease/Increase in cash and cash equivalents	$-5,592$	10,844
Cash and cash equivalents at the beginning of the period	82,701	77,699
Cash and cash equivalents at the end of the period before reclassification	77,109	88,543
Reclassification of cash and cash equivalents to discontinued operations	$-7,698$	$-11,918$
Cash and cash equivalents at the end of the period after reclassification	69,411	76,625

B. 5 CONSOLIDATED STATEMENT OF SHAREHOLDERS EQUITY

Amounts in € thousand, excluding subscribed capital	Subscribed capital		Capital reserve	Retained reserves	Cumulative other equity items				Treasury shares	Equity attributable to shareholders of Eckert \& Ziegler AG	Non- controlling interests	Consolidated equity
					Unrealised net income/ expense from actuarial gains/losses	Unrealised net income/ expense from securities	Foreign currency exchange differences
As of January 1, 2023	21,171,932	21,172	66,607	123,177	$-1,709$	0	6,390	$-3,570$	212,067	1,562	213,629
Total income and expenses recognised directly in equity	0	0	0	0	0	0	$-372$	0	$-372$	29	$-343$
Consolidated net income	0	0	0	10,912	0	0	0	0	10,912	135	11,047
Consolidated comprehensive income	0	0	0	10,912	0	0	$-372$	0	10,540	164	10,704
Dividends paid/resolved	0	0	0	$-10,406$	0	0	0	0	$-10,406$	$-332$	$-10,738$
Share-based remuneration	0	0	62	0	0	0	0	166	228	0	228
As of June 30, 2023	21,171,932	21,172	66,669	123,683	$-1,709$	0	6,018	$-3,404$	212,429	1,394	213,823
As of January 1, 2024	21,171,932	21,172	66,894	139,071	$-2,092$	0	400	$-3,269$	222,176	1,917	224,093
Total income and expenses recognised
Directly in equity	0	0	0	0	0	0	6,407	0	6,407	$-22$	6,385
Consolidated net income	0	0	0	18,031	0	0	0	0	18,031	542	18,573
Consolidated comprehensive income	0	0	0	18,031	0	0	6,407	0	24,438	520	24,958
Dividends paid/resolved	0	0	0	0	0	0	0	0	0	$-439$	$-439$
Share-based remuneration	0	0	731	0	0	0	0	187	918	0	918
Use of treasury shares for acquisitions	0	0	0	$-229$	0	0	0	0	$-229$	$-241$	$-470$
As of June 30, 2024	21,171,932	21,172	67,625	156,873	$-2,092$	0	6,807	$-3,082$	247,303	1,757	249,060

B. 6 NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS

These interim consolidated financial statements as at June 30, 2024 comprise the financial statements of Eckert \& Ziegler SE and its subsidiaries.

Accounting policies

The condensed interim consolidated financial statements of Eckert \& Ziegler SE as at June 30, 2024 were prepared in accordance with IAS 34, the International Financial Reporting Standards (IFRS) applicable to interim financial reporting. All standards of the International Accounting Standards Board (IASB), London, and the valid interpretations of the International Financial Interpretations Committee (IFRIC) and the Standing Interpretations Committee (SIC) applicable in the EU on the reporting date were taken into account. The interim report does not include all the notes that are normally included in financial statements for a full financial year and has therefore been condensed. Accordingly, the interim financial statements should be read in conjunction with the consolidated financial statements of Eckert \& Ziegler AG as at December 31, 2023. The accounting policies explained in the notes to the consolidated financial statements for 2023 were applied unchanged, except with regard to the first-time application of amended standards, which had no effect.

In order to prepare the consolidated financial statements in accordance with IFRS, it is necessary to make estimates and assumptions that have an impact on the amount and disclosure of the assets and liabilities, income and expenses recognized. The actual values may differ from the estimates. Significant assumptions and estimates are made for the period of use, the recoverable amount of non-current assets, the realizability of receivables and the recognition and measurement of provisions. Due to rounding, it may be that individual figures do not add up exactly to the totals provided.

This interim report contains all the necessary information and adjustments required for a true and fair view of the net assets, financial position and results of operations of Eckert \& Ziegler SE as at the date of the interim report. The results for the current financial year do not necessarily allow conclusions to be drawn about the development of future results.

Scope of consolidation

The consolidated financial statements of Eckert \& Ziegler SE include all companies in which Eckert \& Ziegler SE has the direct or indirect possibility of determining the financial and business policy (control concept).

Acquisitions and disposals of companies

There were no company acquisitions in the first six months of 2024.
The disposals included the sale of the remaining $49 \%$ stake in BEBIG Medical GmbH. TCL Healthcare Capital PTE Ltd. exercised its option to purchase the remaining shares in BEBIG Medical GmbH for an already agreed fixed amount of $€ 10,780$ thousand. The transaction does not affect profit or loss in the financial year because the purchase agreement concluded in 2022 was already recognized in profit or loss at that time. The Group derecognized the $49 \%$ investment in BEBIG Medical GmbH accounted at equity in the amount of $€ 10,780$ thousand in return for payment from the new sole shareholders. The resulting additional liquidity will be used in particular to finance projects in the Medical segment.

Changes in the scope of consolidation

Pentixapharm Holding AG was founded in the first quarter of 2024 with share capital of $€ 50$ thousand. Eckert \& Ziegler SE holds $100 \%$ of the capital. Eckert \& Ziegler SE is thus preparing the way for a transfer of all its shares in Pentixapharm AG to Pentixapharm Holding AG by way of a spin-off for absorption in accordance with the German Transformation Act (UmwG). Pentixapharm Holding AG was fully consolidated.

Tecnonuclear Uruguay SA, Montevideo, Uruguay (still trading as Tarflux SA) with share capital of 10 thousand Uruguayan pesos became operational for the first time in the first quarter of 2024. The wholly owned subsidiary of Tecnonuclear SA, Buenos Aires, Argentina, is to handle its export business. Tecnonuclear Uruguay SA is now fully consolidated.

Discontinued operations

A part of the Eckert \& Ziegler Group whose business activities and cash flows can be clearly separated operationally and for accounting purposes from the remaining business activities is reported as a "discontinued operation" if it has either been sold or is classified as "held for sale". Discontinued operations are presented in a separate line item in the consolidated income statement as result from discontinued operations after tax. If an operation is classified as a discontinued operation, the consolidated income statement and the consolidated statement of changes in equity for the comparative year are adjusted as if the operation had been classified as such from the beginning of the comparative year.

The result from discontinued operations relates to the operating loss of the Pentixa Group for the periods presented. This mainly comprises the Group's development activities to the extent that these are not capitalized.

Due to the upcoming spin-off of the Pentixapharm Group, the assets and liabilities will be classified as held for sale and reported separately in the balance sheet as at December 31, 2023 and June 30, 2024 in accordance with IFRS 5.

The main classes of assets and liabilities that comprise the operation classified as held for sale are as follows:

€ thousand	06/30/2024	12/31/2023
Intangible assets (thereof goodwill: $€ 775$ thousand)	53,770	52,565
Property, plant and equipment	296	323
Deferred tax assets	1,793	1,793
Inventories	5	5
Receivables and other assets	1,158	945
Cash and cash equivalents	11,918	9,701
Assets held for sale	68,940	65,332
€ thousand	06/30/2024	12/31/2023
Deferred tax liabilities	9,249	8,877
Liabilities from deliveries and services	455	2,542
Other liabilities	12,995	13,438
Liabilities held for sale	22,699	24,857

As at June 30, 2024, $€ 7,719$ thousand ( $€ 7,625$ thousand as at December 31, 2023) of the other liabilities relate to variable purchase price components arising from the acquisition of Myelo Therapeutics GmbH , which are measured at fair value.

The allocation of liabilities to discontinued operations was adjusted compared to the consolidated financial statements as at December 31, 2023. The previous year's figure was corrected. Accordingly, liabilities held for sale increased by $€ 3,035$ thousand from $€ 21,822$ thousand to $€ 24,857$ thousand in the comparative figures as at December 31, 2023. The Group's income tax liabilities decreased accordingly in the comparative figure from $€ 5,873$ thousand to $€ 2,838$ thousand.

Revenue recognition

Sales in the first six months break down as follows:

€ thousand	06/30/2024	06/30/2023
Revenue from the sale of goods	120,302	99,608
Revenue from the provision of services	14,708	14,910
Revenue from construction contracts	10,372	3,444
Total	145,382	117,962

Currency translation

The financial statements of companies outside the European Monetary Union are translated in accordance with the functional currency concept. The following exchange rates were used for currency translation:

		Exchange rate	Exchange rate	Average	Average
Country	Currency	on 06/30/2024	on 12/31/2023	exchange rate	exchange rate
USA	USD	1.0705	1.1050	1.0812	1.0811
CZ	CZK	25.0250	24.7240	25.0192	23.6801
GB	GBP	0.8464	0.8691	0.8545	0.8766
CHN	CNY	7.7748	7.8509	7.8011	7.4898
BR	BRL	5.8915	5.3618	5.4945	5.4833
ARG	ARS	977.1168	893.9032
CH	CHF	0.9634	0.9260	0.9615	0.9856
UY	UYU	42.8282		41.9813

Equity and treasury stock

As at June 30, 2024, Eckert \& Ziegler SE held 326,455 treasury shares. This corresponded to $1.54 \%$ of the company's share capital.

Segment information

SEGMENT REPORT - INCOME STATEMENT
	Isotope Products		Medical		Holding		Elimination		Total
€ thousand	1-6/2024	1-6/2023 *	1-6/2024	1-6/2023 *	1-6/2024	1-6/2023 *	1-6/2024	1-6/2023 *	1-6/2024
Sales to external customers	75,688	65,316	69,694	52,646	0	0	0	0	145,382
Sales to other segments	5,215	4,652	198	62	68	0	$-5,481$	$-4,714$	0
Total segment sales	80,903	69,968	69,893	52,708	68	0	$-5,481$	$-4,714$	145,382
Result from investments valued at equity	154	$-8$	5	30	0	288	0	0	159
Segment profit before interest and profit taxes (EBIT) - before special items	18,437	10,767	16,563	12,535	$-2,471$	$-702$	0	0	32,529
Segment profit before interest and profit taxes (EBIT)	17,632	9,706	16,876	12,224	$-3,708$	$-419$	0	0	30,800
Interest expenses and revenues	$-311$	$-801$	$-480$	$-587$	$-367$	$-162$		0	$-1,158$
Income tax expense	$-4,616$	$-2,955$	$-5,338$	$-4,688$	793	50	0	0	$-9,161$
IFRS 5				$-1,908$	$-1,320$			$-1,908$	$-1,320$
Profit before minority interests	12,705	5,950	11,057	6,949	$-5,190$	$-1,851$	0	0	18,573

(*) 1-6/2023 restated in accordance with IFRS5 adjustment

SEGMENT REPORT - BALANCE SHEET

	Isotope Products		Medical		Holding		Total
€ thousand	1-6/2024	12/2023	1-6/2024	12/2023	1-6/2024	12/2023	1-6/2024	12/2023
Segmental assets	217,305	206,030	171,297	162,087	222,694	220,441	611,294	588,558
Elimination of inter-segmental shares, equity investments and receivables							$-139,360$	$-149,194$
Consolidated total assets							471,935	439,364
Segmental liabilities	$-115,415$	$-112,318$	$-86,394$	$-98,714$	$-42,862$	$-45,866$	$-244,672$	$-256,898$
Elimination of intersegmental liabilities							21,797	41,627
Consolidated liabilities							$-222,875$	$-215,271$
Investments in associated companies	1,934	1,843	19,493	30,268	0	0	21,427	32,111
	Isotope Products		Medical		Holding		Total
€ thousand	1-6/2024	1-6/2023*	1-6/2024	1-6/2023*	1-6/2024	1-6/2023*	1-6/2024	1-6/2023*
Investments (without acquisitions)	4,740	3,790	4,530	6,057	119	2,375	9,389	12,222
Depreciation and amortization incl. RoU according to IFRS 16	$-3,250$	$-3,037$	$-2,669$	$-2,332$	$-642$	$-633$	$-6,561$	$-6,002$
Impairments	$-42$	$-49$	$-67$	$-21$	0	0	$-109$	$-70$

(*) 1-6/2023 restated in accordance with IFRS 5 adjustment

Key performance indicator defined by management

From the 2024 financial year, "EBIT before special items from continuing operations" will be used as a key performance indicator alongside sales revenue. This key figure assesses the operating performance of the core business excluding special items. These include financial and currency results, losses in accordance with IAS 29 (hyperinflation), acquisition costs, divestments and restructuring. When calculating this key figure, EBIT from continuing operations is increased by extraordinary expenses and reduced by extraordinary income. The derivation is shown here:

	Isotope Products		Medical		Holding		Total
€ thousand	1-6/2024	1-6/2023	1-6/2024	1-6/2023	1-6/2024	1-6/2023	1-6/2024	1-6/2023
EBIT (only continuing operations)	17,632	9,706	16,876	12,224	$-3,708$	$-419$	30,800	21,551
Financial results	$-126$	7	23	$-11$		$-287$	$-103$	$-291$
Currency results	$-276$	$-80$	$-336$	322	1	$-19$	$-611$	223
Losses in accordance with IAS 29 (hyperinflation)	1,207	1,134					1,207	1,134
Acquisition costs							0	0
Divestments					1,200		1,200	0
Restructuring					36	23	36	23
EBIT before special items (only continuing operations)	18,437	10,767	16,563	12,535	$-2,471$	$-702$	32,529	22,600

Material transactions with related parties

In accordance with IAS 24, transactions with persons or companies that control or are controlled by Eckert \& Ziegler SE must be disclosed. Transactions between the company and its subsidiaries, which are related parties, were eliminated in the course of consolidation and are therefore not explained. Details of transactions between the Group and other related parties are provided below.

Other material related parties for the half-year financial statements are as follows:

• Eckert Wagniskapital und Frühphasenfinanzierung GmbH, which holds $31.1 \%$ of the shares in Eckert \& Ziegler SE, and whose main shareholder Dr Andreas Eckert is Chairman of the Supervisory Board of Eckert \& Ziegler SE.
• ELSA 2 Beteiligungen GmbH, which is a wholly owned subsidiary of Eckert Wagniskapital und Frühphasenfinanzierung GmbH.
• ELSA 3 Beteiligungen GmbH, which is a wholly owned subsidiary of Eckert Wagniskapital und Frühphasenfinanzierung GmbH

The following significant transactions were carried out with related parties in the first half of the year, whereby these transactions were conducted at arm's length:

Eckert \& Ziegler SE has concluded a consultancy agreement with Eckert Wagniskapital und Frühphasenfinanzierung GmbH . The company wishes the consultant to make its specific knowledge and special experience available to it, in particular in the person of Dr. Eckert, and to provide it with consulting services that go beyond Dr. Eckert's activities as a member of the Supervisory Board. The consultancy agreement has been in place since July 1, 2023. Eckert \& Ziegler SE spent $€ 84$ thousand (of which $€ 60$ thousand for actual consulting and $€ 24$ thousand for remuneration in kind) for the first six months of the year (previous year: $€ 0$ thousand).

ELSA 3 Beteiligungen GmbH has leased a production and administration building in Berlin-Buch to Eckert \& Ziegler SE. During the first six months, Eckert \& Ziegler SE paid an amount of $€ 441$ thousand (previous year: $€ 426$ thousand) for the rent. As at June 30, 2024, lease liabilities to ELSA 3 Beteiligungen GmbH in the amount of $€ 8,341$ thousand (as at December 31, 2023 $€ 8,633$ thousand) are reported in the balance sheet due to the application of lease accounting in accordance with IFRS16.

By purchase agreement dated April 29, 2024, Pentixapharm Holding AG, a wholly owned subsidiary of Eckert \& Ziegler SE, acquired 100,000 shares in Pentixapharm AG from ELSA 2 Beteiligungen GmbH, based in Berlin (entered in the commercial register of the Berlin - Charlottenburg Local Court under HRB 170874), at a price of $€ 4.70$ per share, giving Eckert \& Ziegler SE 100\% control - directly and indirectly - over the Pentixapharm Group. The acquisition of the shares in ELSA 2 Beteiligungen GmbH generates a liability to the existing shareholder of $€ 481$ thousand, taking into account a lump-sum expense and transaction fee of $€ 11$ thousand. The purchase price is due for payment at the latest as soon as PTX has successfully placed a capital increase and sufficient liquidity is available.

The balances of the Eckert \& Ziegler Group related parties with regard to receivables, loan receivables, liabilities and loan liabilities as at June 30 of the financial years are as follows:

$€$ thousand	$06 / 30 / 2024$	$12 / 31 / 2023$
Receivables from related parties	0	0
Liabilities to related parties	8,822	8,633

In June 2024, the profit and loss transfer agreement between Eckert \& Ziegler SE and Eckert \& Ziegler Radiopharma GmbH (EZR) was terminated with effect from December 31, 2024. The aim is in particular to focus the use of the liquidity generated by EZR's business on EZR's direct investments and on financing its subsidiaries within the Medical segment. However, Eckert \& Ziegler SE retains the right to decide on dividend distributions at any time.

Disclosures on financial instruments

The financial assets measured at fair value as at June 30, 2024 essentially comprise the following values:

• The Group has hedged a $€ 20.0$ million loan over 5 years with variable interest rates based on the 3-month Euribor using an interest rate cap. Like the loan, this interest rate cap has a nominal amount of $€ 20.0$ million, a term of 5 years and a similar repayment structure. The strike rate is a 3 -month Euribor of $1.5 \%$. As at June 30, 2024, the fair value of the derivative asset (measurement hierarchy level 2) from the interest rate cap was $€ 315$ thousand (as at December 31, 2023: $€ 343$ thousand). The fair value of the interest rate cap was determined using a standard market interest rate option valuation model, taking market parameters into account.

• As at the reporting date, the consolidated balance sheet shows liabilities to banks in the amount of $€ 23,545$ thousand (as at December 31, 2023: $€ 26,388$ thousand). The fair value of these loan liabilities amounts to $€ 23,168$ thousand. The fair value was determined using market parameters.

The financial liabilities measured at fair value (FVTPL) according to Level 3 as at March 31, 2024 mainly comprise the following amounts:

Liabilities from the contingent purchase price payments from the company acquisitions within the meaning of IFRS 3 in the amount of $€ 1,313$ thousand as at June 30, 2024 (as at December 31, 2023: $€ 1,313$ thousand). The fair value of these liabilities is determined on the basis of the agreed conditions for variable purchase price determination and taking into account the estimated probability of occurrence for these conditions (level 3 measurement hierarchy). The estimates underlying the measurement of the contingent purchase price liability have not changed compared to December 31, 2023.

The fair value of cash and cash equivalents, current receivables, trade payables and other current trade payables and other receivables corresponds approximately to the carrying amount. The main reason for this is the short maturity of such instruments.

Events after the balance sheet date

With effect from July 1, 2024, Pentixapharm AG concluded an agreement to acquire the target discovery unit of Berlinbased Glycotope GmbH. The acquired assets do not constitute a business within the meaning of IFRS 3. Glycotope's Target Discovery Unit uses a proprietary technology platform to develop new tumor-specific monoclonal antibodies or antibody fragments. The transaction includes a portfolio of preclinical antibodies that can potentially be developed into radiopharmaceuticals, laboratories, cell banks, a database of tumor structures, development laboratories including facilities and equipment as well as numerous patents, licenses and other tangible assets. The purchase price for the acquired assets was one euro. In addition, there is an obligation to pay $90 \%$ of the revenue from any future exploitation of the acquired licenses up to a total amount of $€ 6,666,666.66$ to the seller. However, such use of the acquired licenses is currently considered unlikely. Overall, the Pentixapharm Group will be able to expand its workforce with an integrated team of 37 research and development specialists and administrative staff. The transaction not only provides Pentixapharm with the opportunity to build a clinical pipeline beyond PTP's current CXCR4 ligand-based proprietary programs, but also strengthens the administrative and organizational capabilities of the Pentixapharm Group, which will significantly facilitate the separation from Eckert \& Ziegler SE due to the spin-off.

There were no other events after the balance sheet date that had a significant impact on the Group's net assets, financial position or results of operations.

This interim statement contains statements about future developments that may constitute forward-looking statements. These statements - like any entrepreneurial activity in a global environment - are always subject to uncertainty. These statements are based on the beliefs and assumptions of the Executive Board of the Eckert \& Ziegler Group, which are based on currently available information. Should factors such as macroeconomic or regional developments, changes in exchange rates and interest rates, changes in material costs or new upheavals from the war in Ukraine or other imponderables occur or the assumptions on which the statements are based prove to be incorrect, the actual results may differ from those forecast. Eckert \& Ziegler SE assumes no obligation and does not intend to update or correct forward-looking statements and information on an ongoing basis. They are based on the circumstances prevailing on the day of their publication.

This document contains supplementary financial indicators that are or may be alternative performance measures. For the assessment of Eckert \& Ziegler's net assets, financial position and results of operations, these supplementary key financial figures should not be used in isolation or as an alternative to the key financial figures presented in the consolidated financial statements and calculated in accordance with the relevant accounting standards. Due to rounding, it is possible that individual figures in this document may not add up precisely to the totals provided and that the percentages shown may not precisely reflect the absolute values to which they relate.

C. ADDITIONAL INFORMATION

C. 1 RESPONSIBILITY STATEMENT BY THE STATUTORY REPRESENTATIVES (BALANCE-SHEET OATH)

To the best of our knowledge, and in accordance with the applicable reporting principles for interim financial reporting, the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the interim management report of the Group includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group for the remaining months of the financial year.

Berlin, 7 August 2024

C. 2 REVIEW CERTIFICATE

To Eckert \& Ziegler SE, Berlin
We have reviewed the condensed interim consolidated financial statements - comprising the consolidated balance sheet, the consolidated income statement, the consolidated statement of comprehensive income, the consolidated cash flow statement, the consolidated statement of changes in equity, and selected notes - and the interim group management report of Eckert \& Ziegler SE, Berlin, for the period from January 1, 2024 to June 30, 2024, which are part of the halfyear financial report pursuant to $\$ 115 \mathrm{WpHG}$ ("Wertpapierhandelsgesetz": German Securities Trading Act).

The preparation of the condensed interim consolidated financial statements in accordance with the IFRS for the Interim Financial Reporting as adopted by the EU, and of the interim group management report in accordance with the requirements of the WpHG applicable to interim group management reports, is the responsibility of the Company's Executive Board. Our responsibility is to issue a report on the half-year consolidated financial statements and on the interim group management report based on our review.

We performed our review of the half-year consolidated financial statements and the interim group management report in accordance with the German generally accepted standards for the review of financial statements promulgated by the Institut der Wirtschaftsprüfer (IDW). Those standards require that we plan and perform the review so that we can preclude, through critical evaluation, with a certain level of assurance, that the half-year consolidated financial statements have not been prepared, in all material respects, in accordance with the IFRS for the Interim Financial Reporting as adopted by the EU and that the interim group management report has not been prepared, in all material respects, in accordance with the provisions of the WpHG applicable to interim group management reports. A review is limited primarily to inquiries of company employees and analytical assessments and therefore does not provide the assurance attainable in a financial statement audit. Since, in accordance with our engagement, we have not performed a financial statement audit, we cannot issue an auditor's report.

Based on our review, no matters have come to our attention that cause us to presume that the half-year consolidated financial statements have not been prepared, in material respects, in accordance with the IFRS for the Interim Financial Reporting as adopted by the EU, or that the interim group management report has not been prepared, in material respects, in accordance with the requirements of the WpHG applicable to interim group management reports.

Berlin, 7 August 2024
Forvis Mazars GmbH \& Co. KG
Wirtschaftsprüfungsgesellschaft
Steuerberatungsgesellschaf
Udo Heckeler
(German Public Auditor)
David Reinhard
(German Public Auditor)

FINANCIAL CALENDAR

August 9, 2024	Quarterly Report II/2024
September 24, 2024	Baader Investment Conference 2024, Munich
September 25, 2024	Berenberg/Goldman Sachs, German Corporate Conference, Munich
November 14, 2024	Quarterly Report III/2024
November 14, 2024	Berenberg Pan-European Discovery Conference USA (virtual)
November 19-21, 2024	Jefferies Healthcare Conference, London
November 25-27, 2024	German Equity Forum, Frankfurt

Subject to changes

IMPRINT

PUBLISHER
Eckert \& Ziegler SE

DESIGN
2dKontor, Apenrade, Denmark

PHOTOS

Bernhard Ludewig
Deloitte
Jana Plavec, Czech Academy of Sciences

CONTACT

Eckert \& Ziegler SE
Robert-Rössle-Straße 10
13125 Berlin
www.ezag.com
Karolin Riehle
Investor Relations

Phone +4930941084 - 0
info@ezag.de

ISIN DE0005659700
WKN 565970