Skip to main content

AI assistant

Sign in to chat with this filing

The assistant answers questions, extracts KPIs, and summarises risk factors directly from the filing text.

Sign up Log in

CANCOM SE Annual Report 2026

Mar 26, 2026

71_10-k_2026-03-25_e5f183b7-22fa-44af-9c60-8371fd197675.pdf

Annual Report

Open in viewer

Opens in your device viewer

CANCOM SE

ANNUAL REPORT 2025

Table of contents

TO OUR SHAREHOLDERS

SUMMARISED GROUP MANAGEMENT REPORT AND MANAGEMENT REPORT OF CANCOM SE

CONSOLIDATED FINANCIAL STATEMENTS OF CANCOM SE

ANNUAL FINANCIAL STATEMENTS OF CANCOM SE

AUDITOR'S REPORTS

Key figures

CANCOM GROUP

in € million 2025 2024
Revenue 1,714.7 1,737.6 - 1.3 %
Gross profit 697.0 693.6 + 0.5 %
EBITDA 102.7 113.0 - 9.1 %
EBITDA margin 6.0 % 6.5 % - 0.5 Pp
EBITA 48.0 59.6 - 19.5 %
EBIT 39.2 48.0 - 18.3 %
Employees 5,281 5,553 - 4.9 %
31.12.2025
31.12.2024
Balance sheet total 1,444.9
1,406.9		 + 2.7 %
545.4
574.4		 - 5.0 %
Equity ratio 37.7 %
40.8 %		 - 3.1 Pp
Cash and cash equivalents 198.9
144.7		 + 37.5 %

SEGMENTS

SEGMENT GERMANY
in € million 2025 2024
Revenue 1,092.6 1,134.7 - 3.7 %
EBITDA 40.1 69.8 - 42.6 %
EBITDA margin 3.7 % 6.2 % - 2.5 Pp

SEGMENT INTERNATIONAL

in € million 2025 2024
Revenue 622.1 602.9 + 3.2 %
EBITDA 62.6 43.3 + 44.6 %
EBITDA margin 10.1 % 7.2 % + 2.9 Pp

To our shareholders

"The structural drivers of digitalisation remain strong: companies and public institutions continue to invest in high-performance, secure and sovereign IT infrastructures, as well as in the industrial use of artificial intelligence. With our clear strategic focus and our integrated portfolio, we are excellently positioned to support our customers' transformation in a sustainable manner."

Rüdiger Rath, CEO

Letter from the Executive Board

Dear Shareholders,

2025 has been an eventful year. Despite a challenging market environment, we have gained significant momentum over the course of the year. In the second half of the year in particular, we were able to provide the decisive impetus and refocus our business development clearly on growth.

Overall economic development in our core markets remained subdued in 2025. Geopolitical tensions, structural adjustment processes in industry and the public sector, as well as political changes, led to noticeable caution in investment decisions by our customers in the SME sector and the public sector, particularly in the first half of the year. However, as the year progressed, we observed increasing stabilisation and a gradual upturn in the market, which intensified particularly in the final quarter.

At the same time, uncertainties along the supply chains for IT infrastructure became more prominent towards the end of the year. Bottlenecks in semiconductors and other components led to rising prices and changed delivery times for infrastructure products. Further developments are currently difficult to predict and are likely to accompany us in the medium to long term. Overall, however, it is clear that our customers' fundamental digitalisation plans remain intact. Investment decisions are now being made with greater care and longer lead times, but the structural need for high-performance and secure IT infrastructure remains high. This was also evident at our successful CANCOM LIVE customer roadshow in Germany and Austria, which attracted more than 1,100 participants.

Against this backdrop, two topics are becoming increasingly important for our customers: AI transformation and digital resilience. Companies and public institutions need to make their IT infrastructures more resilient, secure and, at the same time, more powerful in order to meet the growing demands of data processing, cybersecurity and regulatory requirements. At the same time, the increasing industrial use of artificial intelligence is opening up new opportunities for efficiency gains and innovation.

On the technology side, this presents clear growth potential, particularly in our strategic focus areas. With its divisions in Artificial Intelligence, Cloud & Datacenter, Network & Connectivity, Modern Workplace and IoT, CANCOM is ideally positioned to comprehensively address our customers' needs in the AI-driven transformation. As a leading Digital Business Provider and AI Enabler, we have a broad end-to-end portfolio that supports our customers from strategic consulting and the design of modern IT architectures to the implementation and operation of highperformance infrastructures.

Operationally, we worked specifically to further strengthen our capabilities during the reporting year. We have further harmonised internal structures and processes, increased transparency and consistently aligned our resources with our strategic focus areas. At the same time, we have further intensified cooperation within our core markets of Germany and Austria in order to leverage synergies more effectively and support our customers in an even more integrated manner. The combination of technological expertise, high integration capabilities and regional customer proximity remains a key differentiator for CANCOM in this environment. Against this backdrop, we further strengthened our regional presence in southern Baden in the reporting year by opening a new location in Freiburg im Breisgau.

Especially in times of increased uncertainty, companies and public sector clients are looking for reliable partners who can take responsibility for business-critical IT environments and place technological decisions in an overall economic and regulatory context. We meet this responsibility with clear quality standards and consistent capital market-oriented management of our business.

Our close, long-standing partnerships with all leading technology manufacturers remain a key competitive advantage. They provide us with early market insights and relatively stable access to supply and terms – and thus directly benefit our customers.

We would like to express our special thanks to our employees, who have contributed significantly to the company's success with their high level of commitment, outstanding expertise and great professionalism. We would also like to thank our customers and business partners for their trust and constructive cooperation, as well as you, our shareholders, for your continued support.

For the coming financial year, we expect the market environment to remain uncertain, but to stabilise overall. The structural drivers of digitalisation – increasing demands for security and sovereignty, the industrial use of artificial intelligence and the modernisation of critical IT infrastructures – remain as strong as ever. With our clear strategic focus, our operational strength and our solid market position, we are confident that we will continue to seize opportunities in a targeted manner and shape the digital transformation of our customers in a sustainable and successful way.

Your Executive Board of CANCOM SE

Rüdiger Rath Thomas Stark CEO CFO

Report of the Supervisory Board

Dear Shareholders,

The 2025 reporting year was another eventful year for CANCOM SE, particularly against the backdrop of a continuing challenging macroeconomic environment. Geopolitical uncertainties and structural adjustment processes in industry and the public sector led to continued reluctance on the part of many companies and public sector clients to make investment decisions. Against this backdrop, the Supervisory Board continuously monitored the impact of this environment on the CANCOM Group's business development and supported the Executive Board in managing key challenges.

At the same time, the pressure to transform towards digitalisation, IT security and increased efficiency remained high, which resulted in a differentiated demand pattern, particularly for IT service providers. Focus was placed on further developing offerings in the field of artificial intelligence (AI), strengthening the digital resilience of our customers and continuously improving CANCOM's internal performance and processes. These strategic initiatives form a central foundation for the sustainable growth and long-term competitiveness of the CANCOM Group and were discussed regularly and in detail at meetings during the reporting year.

In the 2025 financial year, the Supervisory Board once again fulfilled its statutory and constitutional duties with great care. It was kept fully informed about business developments and future economic prospects. Thanks to its solid financial basis, the CANCOM Group remains well positioned for the plans and developments in the new year. Consequently, the Supervisory Board supports the Executive Board's dividend proposal, and we propose to you, our shareholders, a dividend of € 1.00 per dividendbearing share for the 2025 financial year.

The Executive Board and Supervisory Board would like to thank Dr Ilias Läber, who left the Supervisory Board in the reporting year, for his professional commitment and contribution to the company's success.

Following these introductory remarks, the activities of the Supervisory Board during the reporting year are described below.

In the 2025 financial year, the Supervisory Board performed the tasks and duties incumbent upon it under the law, the Articles of Association and the Rules of Procedure. It advised the Executive Board on the management of the company, supporting and monitoring the management and development of the company.

The Supervisory Board was always able to convince itself that the work of the Executive Board was lawful, appropriate and proper. As part of their close cooperation, the Executive Board reported to the Supervisory Board regularly, promptly and comprehensively in writing, by telephone and in personal meetings on the situation and prospects, the principles of business policy, the profitability of the company and the company's significant business transactions. Even outside of the scheduled meetings, the Chairman of the Executive Board in particular was in regular personal exchange with the members of the Supervisory Board, primarily with the Chairman of the Supervisory Board. In addition, the entire Supervisory Board was kept informed by the Executive Board on an ongoing basis about relevant developments and transactions requiring approval. The Supervisory Board was directly and promptly involved in all decisions of fundamental importance to the company or in which it was required to be involved by law, the Articles of Association or the Rules of Procedure. In urgent cases, the board had the option of passing resolutions by written circulation procedure if necessary. Thanks to the regular, timely and detailed information provided by the Executive Board, the Supervisory Board was always able to fulfil its monitoring and advisory functions.

A. Meetings and key topics

As an IT infrastructure provider and integration partner, CANCOM is active for its customers in an industry characterised by rapid innovation cycles and intense competition. At the same time, digitalisation and AI transformation are also key issues for sustainable and future-proof growth. Accordingly, in the 2025 financial year, the Supervisory Board maintained close and regular dialogue with the Executive Board on key developments in the market and in individual business areas, as well as on the strategic and organisational measures necessary to avoid risks and exploit opportunities.

In the 2025 reporting year, the Supervisory Board held a total of seven meetings, on 28 February, 25 March, 29 April, 23 June, 9 and 30 September, and 11 December. The regular meetings in June, 30 September and December were held as face-to-face meetings, although participation via video conference was possible in justified cases. The meetings in February, April and 9 September were extraordinary meetings held as video conferences. The regular meeting in March was also held as a virtual meeting. In addition, a resolution was passed by circular resolution on 22 December.

Supervisory Board member Number of
attendances /
number of
meetings*		 Number of
attendances in
person / number of
in-person
meetings*
Klaus Weinmann
(Chairman of the Supervisory
Board) 7 / 7 3 / 3
Prof. Dr Isabell Welpe
(Deputy Chairwoman of the
Supervisory Board) 7 / 7 2 / 3
Dr Swantje Schulze 7 / 7 3 / 3
Dr Ilias Läber
(member until 31 March 2025) 2 / 2 0 / 0
Jürgen Maidl 7 / 7 3 / 3
Lukas Abegg
(member since 2 April 2025) 5 / 5 3 / 3

*) Based on meetings during the term of office of the respective member.

In accordance with the recommendation of the German Corporate Governance Code (GCGC) to hold Supervisory Board meetings without the presence of the Executive Board, the Supervisory Board met without the Executive Board following each of its regular meetings with the Executive Board.

At the four regular meetings, the Supervisory Board received and discussed in detail the reports of the Executive Board pursuant to § 90 (1) sentence 1 no. 1-3 AktG on the intended business policy, profitability and the course of business, including the market and competitive situation. In addition, the Executive Board reported in accordance with § 90 (1) sentence 1 no. 4 AktG on transactions that could be of significant importance for the profitability or liquidity of the company and/or the Group.

Furthermore, the Supervisory Board also dealt with sustainability issues (environment, social, governance, or ESG for short) in the past year, which were also discussed in particular with the Supervisory Board's ESG officer, Prof. Dr Welpe.

In addition, the following key topics and resolutions from the Supervisory Board's activities in the 2025 financial year are worth mentioning:

  • At its meeting on 28 February, the Supervisory Board focused in particular on the establishment of a new remuneration system for the members of the Executive Board, which was also submitted to the Annual General Meeting on 24 June 2025 for approval. In addition, the Supervisory Board resolved to extend the appointment of Mr Rüdiger Rath to the Executive Board ahead of schedule and to conclude a new management contract with him.
  • At its meeting on 25 March, the Supervisory Board focused in particular on reviewing the annual financial statements of CANCOM SE and the CANCOM Group for the 2024 financial year. The auditor's report on the annual financial statements was discussed in detail both at the immediately preceding audit committee meeting and subsequently by the entire Supervisory Board. The Supervisory Board approved the annual financial statements and consolidated annual financial statements, together with the combined management report of CANCOM SE and the Group for the 2024 financial year. The annual financial statements for the 2024 financial year were thus adopted. In addition, the board approved, among other things, the proposal for the appropriation of profits for the 2024 financial year and the remuneration report. During the internal part of the Supervisory Board meeting, the motion for the judicial appointment of Lukas Abegg was approved, among other things.
  • The purpose of the meeting on 29 April was to review and approve the non-financial group report, including the reporting on the EU taxonomy, and the agenda for the Annual General Meeting in 2025.
  • At its meeting on 23 June, the Supervisory Board focused on discussing current business developments and approved transactions requiring its consent, including those relating to the medium/long-term financing structure.
  • At the Supervisory Board meeting on 9 September, the Supervisory Board approved the Executive Board's decision to repurchase own shares using the existing authorisation granted by the Annual General Meeting on 24 June 2025.

  • At the Supervisory Board meeting on 30 September, in addition to discussing current business developments, an internal training session was held by Prof. Dr Welpe in connection with her expertise in the field of AI. She highlighted current developments in this area.

  • At its meeting on 11 December, the Supervisory Board discussed and approved the business development and planning for the 2026 financial year. There was also a dedicated agenda item for discussing various corporate governance issues. In particular, the efficiency of the Supervisory Board's activities was reviewed in accordance with the recommendation of the GCGC, and no objections were raised. In addition, the annual declaration of conformity with the GCGC was adopted together with the Executive Board. Furthermore, the Executive Board reported on current topics in the area of GRC (governance, risk management and compliance). Finally, the Supervisory Board discussed sustainability issues (ESG).

  • As part of a circular resolution on 22 December, the Supervisory Board set, among other things, the new targets for the remuneration of the Executive Board for the new financial year 2026.

B. Composition of the Executive Board and Supervisory Board

Throughout the 2025 financial year, the Executive Board of CANCOM SE consisted of Mr Rüdiger Rath (CEO) and Mr Thomas Stark.

The members of the Supervisory Board of CANCOM SE in the reporting year were: Klaus Weinmann, Prof. Dr Isabell Welpe, Dr Swantje Schulze, Dr Ilias Läber (until 31 March 2025), Jürgen Maidl and Lukas Abegg (since 2 April 2025). The Chair and Deputy Chair of the Supervisory Board were Klaus Weinmann (Chair) and Prof. Dr Isabell Welpe (Deputy Chair). The vacant position of Dr Kari Kapsch, which had been vacant since 1 January 2025, was filled by the court appointment of Lukas Abegg. Lukas Abegg was confirmed as a member of the Supervisory Board at the Annual General Meeting on 24 June 2025. The vacant position of Dr Ilias Läber was not filled until the Annual General Meeting, as it was decided at this meeting to reduce the number of members of the Supervisory Board from six to five, and since then the Supervisory Board has been composed of the existing five members in accordance with the Articles of Association.

In accordance with Section 100 (5) of the German Stock Corporation Act (AktG), CANCOM SE has appointed one member of the Supervisory Board with special knowledge in the field of accounting (Mr Weinmann) and another member with special knowledge in the field of auditing (Dr Läber respectively Mr Abegg). In addition, Prof. Dr Welpe has been appointed as a member of the Supervisory Board with special expertise in sustainability issues (ESG). During the reporting year, the Deputy Chair of the Supervisory Board held discussions with representatives of the corporate governance departments of shareholders on current issues.

C. Composition and work of the committees

The Supervisory Board has formed two committees to fulfil its tasks: an Audit Committee and a Nomination Committee. Due to the size of the Supervisory Board, issues relating to the remuneration of the members of the Supervisory Board are discussed by the entire board, which the Supervisory Board considers to be efficient and does not require the formation of a separate remuneration committee.

Audit Committee

In the reporting year, the Audit Committee consisted of Supervisory Board members Dr Ilias Läber respectively Lukas Abegg, Klaus Weinmann and Prof. Dr Isabell Welpe. Dr Ilias Läber respectively Lukas Abegg served as chairmen and Klaus Weinmann as deputy chairman. The Audit Committee as a whole had relevant knowledge of the sector in which CANCOM operates at all times.

All committee members in office at the time participated in all Audit Committee meetings and decision-making processes in accordance with their committee membership.

Meetings of the Audit Committee 2025

Number of
participations /
number of meetings*		 Number of
attendances in
person / Number of
meetings attended
in person*
0 / 0
1 / 1 0 / 0
2 / 2 0 / 0
2 / 2 0 / 0
1 / 1

*) Based on meetings during the term of office of the respective member.

The Audit Committee met on 25 March and 18 November in the past financial year, with all committee members present. Both meetings were held virtually.

  • At the meeting on 25 March, the Audit Committee discussed the financial statements and the combined management report for the 2024 financial year and the proposal to the Supervisory Board to approve them. In addition, the proposal to the Supervisory Board on the appropriation of profits and the election of the auditor for the 2025 financial year were also discussed.
  • At its meeting on 18 November, the committee focused primarily on the topics of governance, risk management and compliance, addressing, among other things, the company's risk management system, the effectiveness, resources and findings of the internal audit department, and compliance with integrity in financial reporting. In addition, the topic of sustainability was a central point of the meeting.

Irrespective of this, the chair of the audit committee in particular was in regular contact with the auditors. In accordance with the recommendations of the GCGC, it was agreed that, in addition to close communication regarding the audit and its results, the auditor would also inform the board of any inaccuracies in the GCGC compliance statement.

Nomination Committee

During the reporting year, the Nomination Committee comprised Supervisory Board members Klaus Weinmann, Prof. Dr Isabell Welpe and Dr Swantje Schulze. Klaus Weinmann chaired the Nomination Committee and Prof. Dr Welpe served as deputy chair.

Meetings of the Nomination Committee in 2025
Committee member Number of
attendances /
Number of
meetings		 Number of
attendances in
person / Number of
meetings attended
in person
Klaus Weinmann
(Committee Chairman) 1 / 1 0 / 0
Prof. Dr. Isabell Welpe 1 / 1 0 / 0
Dr. Swantje Schulze 1 / 1 0 / 0

The Nomination Committee met on 25 March during the past financial year with all acting committee members present. The meeting was held as a video conference.

• At the meeting on 25 March, the Nomination Committee dealt with the replacement of Dr Kapsch's vacant position.

D. Corporate governance and declaration of conformity

The work of the Supervisory Board is based on the provisions of the German Stock Corporation Act and the recommendations of the German Corporate Governance Code. At its meeting on 11 December 2025 in particular, the Supervisory Board discussed in detail the applicable Code recommendations in the version dated 28 April 2022, published in the Federal Gazette on 27 June 2022, and reviewed the extent to which these have been and will be complied with in future. The Executive Board and Supervisory Board of CANCOM SE have declared that they fully complied with the Code recommendations in the past financial year and plan to continue to comply with these recommendations in the future.

A detailed description of the company's corporate governance can be found in the Corporate Governance Statement on the website www.cancom.com under the menu item Corporate Governance.

No conflicts of interest involving members of the Supervisory Board that would be subject to disclosure under the recommendations of the German Corporate Governance Code arose during the reporting period.

E. Annual and consolidated financial statements

The financial statements prepared by the Executive Board and the combined management report for CANCOM SE and the Group for the 2025 financial year were audited by Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft, appointed by the Annual General Meeting, under the direction of auditor Andreas Weissinger as the auditor responsible for the audit. Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft conducted the audit of CANCOM's financial statements for the 2025 financial year for the second time. The annual financial statements of CANCOM SE and the combined management report for CANCOM SE and the CANCOM Group were prepared in accordance with German statutory accounting regulations. The consolidated financial statements were prepared in accordance with International Financial Reporting Standards (IFRS) as applicable in the European Union and in accordance with the additional German statutory provisions applicable pursuant to Section 315a (1) of the German Commercial Code (HGB). The auditor conducted the audit in accordance with Section 317 HGB and the EU Audit Regulation (Regulation (EU) No. 537/2014), taking into account the German principles of proper auditing established by the Institute of Public Auditors (IDW), and issued an audit opinion in each case.

In the 2025 financial year, the Supervisory Board once again convinced itself that Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft was independent. The auditor submitted all the declarations of independence required under the EU Audit Regulation and the German Commercial Code and issued the corresponding confirmations.

Both the auditors and the other members of the Supervisory Board attended the Audit Committee meeting on 24 March 2026 as guests. The annual financial statements, the consolidated financial statements, the combined management report, the auditor's report on its audit and the Executive Board's proposal for the appropriation of net retained profits were made available to all members of the Supervisory Board in good time before the meeting.

The meeting focused on the financial statements and the combined management report for CANCOM SE and the CANCOM Group, with the Audit Committee concentrating in particular on the key audit matters described in the respective audit opinion, in addition to the audit priorities defined in advance. The Audit Committee also reviewed the Executive Board's proposal for the appropriation of net retained profits and the payment of a dividend of € 1.00 per share. In addition, the auditor reported to the Audit Committee and the Supervisory Board on the course and key findings of its audits and was available to answer questions, discuss issues and provide additional information. After a detailed presentation of the audit reports, annual financial statements and the combined management report, the Supervisory Board approved the results of the audit. Based on the final results of the audit by the Audit Committee and its own review, no objections were raised. The Supervisory Board therefore approved the annual financial statements of CANCOM SE, the consolidated annual financial statements and the combined management report of CANCOM SE and the CANCOM Group for the 2025 financial year as prepared by the Executive Board. The annual financial statements were thus adopted. The Supervisory Board approved the Executive Board's proposal for the appropriation of profits.

Dear Shareholders, The CANCOM Group is in a solid position. The Supervisory Board would like to thank the members of the Executive Board and the entire CANCOM team for their dedicated commitment and constructive cooperation over the past financial year.

Looking ahead to the 2026 financial year, the Supervisory Board expects the macroeconomic environment to remain uncertain, but with a tendency towards stabilisation. To take this into account, the focus in the current 2026 financial year will continue to be on sustainable growth, increasing the company's profitability and improving its return on equity. The Supervisory Board will continue to closely monitor the economic conditions and their impact on business development in the 2026 financial year and support the Executive Board in responsible and forward-looking corporate management. Particular attention will be paid to the opportunities arising from the AI transformation, both in terms of the further development of competitive customer solutions and the realisation of internal efficiency potential.

Finally, we would like to thank you, our shareholders, customers and partners. Thank you for your trust.

Munich, 24 March 2026

For the Supervisory Board

Klaus Weinmann Chairman of the Supervisory Board

CANCOM on the capital market

Development of the German stock market

The DAX performed well in the 2025 stock market year. After starting just above 20,000 points, the leading index continued its upward trend before falling to its low for the year of 19,670 points in March. From there, the leading index continued its recovery phase and closed the 2025 stock market year at around 24,490 points – an increase of around 23 percent over the previous year. The TecDAX, on which CANCOM SE is listed, also performed well, gaining around 9 percent over the course of the year and ending the year at around 3,730 points.

Performance of the CANCOM share

CANCOM SE shares performed well overall in the past trading year. After opening at € 23.52 in January the share price rose until it fell to its lowest level of € 22.90 in March. The subsequent gains were followed by a decline to an annual low of € 22.10 in August. From there, the share price developed positively and closed the stock market year at € 26.65. Accordingly, the CANCOM share price gained just under 15 percent compared to the beginning of the year.

CANCOM launched its 2025 share buyback programme in September 2025 and acquired 1,044,402 of its own shares by the end of 2025.

SHAREHOLDER STRUCTURE

Primepulse SE 15.00 %
K & K Stiftung 6.49 %
Union Investment 5.06 %
SEO Management 5.04 %
Allianz Global Investors 4.97 %
CANCOM SE 3.01 %
Freefloat 60.43 %

Information based on voting rights notifications as of 31 December 2025

MASTER DATA AND INDICES

ISIN / WKN DE0005419105 / 541910
Stock exchange segment Frankfurt Stock Exchange, Prime Standard
Index membership TecDAX, SDAX
Designated sponsor Kepler Cheuvreux

CANCOM SHARE PERFORMANCE OVER THE YEAR

RESEARCH COVERAGE

Berenberg
BNP Paribas Exane
Cantor Fitzgerald
Deutsche Bank
DZ Bank
Jefferies
Kepler Cheuvreux
mwb research
Oddo BHF
Metzler Capital Markets

KEY FIGURES AND TRADING DATA OF THE CANCOM SHARE

2025 2024
First price of the year (XETRA) € 23.52 29.14
Closing price at year end (XETRA) € 26.65 23.24
Highest price
(05.06.2025 / 04.07.2024)		 € 30.55 33.28
Lowest price
(06.08.2025 / 02.12.2024)		 € 22.10 22.80
Yearly performance % 14.7 -20.3
Market capitalization
(as at 31 December)		 €
million		 812.0 732.4
Average turnover per trading day
(XETRA)		 pieces 66,421 66,691
Average turnover per trading day
(XETRA)		 € 1,700,233 1,879,312
Earnings per share from continuing
operations (undiluted)		 € 0.92 0.99
Shares outstanding as at 31 December pieces 30,470,943 31,515,345

Dividend

CANCOM SE's dividend policy is designed to support the Group's growth strategy, which is the primary objective of the Executive Board. The Executive Board of CANCOM SE sees promising growth opportunities in the IT environment, partly due to the megatrends of digitalisation, artificial intelligence and cyber security. Future profits will therefore be used primarily to finance growth and the further development of business activities. These growth investments are to be made in the interests of increasing the value of the company in the long term and thus also in the interests of shareholders.

For the 2025 financial year, the Executive Board and Supervisory Board will propose an unchanged high dividend of € 1.00 per share to the Annual General Meeting (previous year: € 1.00). As at 31 December 2025, the share capital amounted to € 31,515,345, meaning that the number of shares entitled to dividends was 30,470,943. As at 31 December 2025, the company held 1,044,402 treasury shares.

Annual General Meeting

The Annual General Meeting of CANCOM SE took place on 24 June 2025 as an ordinary Annual General Meeting in the Alte Kongresshalle in Munich, attended by shareholders and shareholder representatives. A total of around 71.57 percent of the company's share capital was represented. All proposed resolutions put to the vote were passed by a majority.

Communication with the capital market

CANCOM attaches great importance to active, open and transparent communication with all capital market participants. CANCOM's Investor Relations team is in regular and close contact with investors, analysts and shareholders. In 2025, CANCOM presented itself at a large number of investor conferences, the analyst conference at the Eigenkapitalforum in Frankfurt and roadshows. The Executive Board and the Investor Relations team also engaged in lively discussions with investors and potential investors outside of the conferences.

Up-to-date information on CANCOM shares can be found on the website www.cancom.com.

We transform for the better.

Summarised group management report and management report of CANCOM SE

16 Foundation of the group
---- ------------------------- -- --

Summarised Group management report and management report of CANCOM SE

Foundation of the Group

The CANCOM Group (hereinafter referred to as "CANCOM" or "CANCOM Group") is one of the leading digital business providers and AI enablers in the DACH region. Its activities are concentrated on defined focus areas, in particular AI solutions, digital resilience and the modern workplace. In addition to its activities in its core markets of Germany and Austria, the Group has major subsidiaries or branches in Switzerland, Slovakia, the Czech Republic, Romania and Belgium.

Structure of the CANCOM Group

The parent company of the CANCOM Group is CANCOM SE, based in Munich, Germany. It performs central financing and management functions for all Group companies in Germany. In addition to the central management and financing activities of the parent company, the operating units are supported in their day-to-day business operations by centralised departments for purchasing, internal IT, warehousing/logistics, finance, vehicle and travel management, repair/service and human resources ("Central Services") as well as marketing/communications and product management. In addition, the operating units have access to an internal specialised sales department ("Competence Centre") across the organisation.

Apart from these centralised functions, CANCOM is primarily decentralised in its operating units and operates mainly in units structured by region. In Germany, the organisation comprises the regional units South, Southwest, Central, Northeast and West, as well as locations in Slovakia and Belgium. In addition, there are the supra-regional business units Managed Services, Public and Unified Commerce. In Austria, the CANCOM Group is represented by the CANCOM Austria Group, based in Vienna. The company also has major branches and subsidiaries in the Czech Republic, Romania and Switzerland.

In its financial reporting, the CANCOM Group reports on its operating business performance in two business segments in addition to the overall view of the Group: "Germany" and "International".

Reportable segments

All companies of the CANCOM Group based in Germany form the "Germany" business segment. All companies in the CANCOM Group that are based outside Germany are grouped together in the "International" business segment. The allocation of resources for both business segments is carried out by the Executive Board. The companies assigned to each business segment can be found in the list of shareholdings published in the notes to the consolidated financial statements in this annual report, on the basis of the company's registered office.

In addition to the business segments, the CANCOM Group's business segment reporting includes a reconciliation statement. For further details on the business segments and the reconciliation statement, see section D.2 of the consolidated financial statements.

Changes in the reporting period

With effect from 30 September 2025, CANCOM Austria AG, a subsidiary of CANCOM SE, sold ITM Informationstransport und -management GmbH. The company was therefore only included in the CANCOM consolidated financial statements for the reporting period up to the date of sale.

Further information on the sale of the company in the reporting period can be found in sections A.2.2 and A.2.3 of the consolidated financial statements.

Significant events after the reporting period

There were no significant events for the CANCOM Group after the reporting period.

Business model and sales markets

CANCOM's product and service offering is geared towards advising and supporting corporate customers, organisations and public sector clients in adapting their IT infrastructures and processes to the requirements of digitalisation. CANCOM acts as a complete solution provider and sees itself as a leading digital business provider and AI enabler for its customers.

The CANCOM Group offers innovative solutions in the areas of artificial intelligence, security & networks, data centres & cloud, IoT solutions, modern workplace and enterprise applications, and provides services for the entire IT lifecycle – from the provision of IT infrastructures, through planning and integration, to support, managed services and X-as-a-Service.

This broad range of products and services enables the CANCOM Group to generate revenue both on the basis of its own capabilities and services (service business) and from fees and commissions for the sale of third-party IT products (sale of goods). Within this business model, the Executive is pursuing a course of strategic transformation of the CANCOM Group into a digital business provider and AI system integrator. The range of services offered includes consulting and solution design, hardware-related services, help desk and remote service offerings, as well as complex managed services and as-a-service offerings. In order to provide its services, CANCOM operates its own logistics and data centres and, as of the reporting date, employed more than 3,600 people in the Professional Services division, who provide various services to customers.

The CANCOM Group distinguishes between three revenue categories. Firstly, the sale of hardware and associated software; secondly, the sale of third-party software licences; and thirdly, the provision of services such as IT strategy consulting, IT services and support. The business activities differ in terms of when revenue is recognised. Details can be found in section A.3.2 of the consolidated financial statements. CANCOM purchases IT hardware and software and resells it to end users. CANCOM purchases goods and merchandise both directly from manufacturers and from distributors. In some business relationships, CANCOM acts as an agent and intermediary. In other contractual relationships, CANCOM is classified as a principal due to its own services, for

example in the context of maintenance, guarantees and warranties provided by CANCOM itself. Details on the classification of CANCOM as an agent or principal can be found in section A.3.2.2 of the consolidated financial statements.

Geographically, the CANCOM Group is primarily active in the DACH region, but also in Romania and Belgium. Other locations are in Slovakia, the Czech Republic and the USA. A significant external factor influencing CANCOM's business development is therefore the development of the IT market in its largest sales markets, Germany and Austria. For these markets as a whole – and thus also for CANCOM – the general trend towards digitalisation and AI transformation is a key driver. The importance of (AI-based) IT processes in business, administration, education and healthcare is growing. New applications for IT-supported solutions and investments to improve existing infrastructures are contributing to market development.

In addition to macroeconomic developments, important external factors beyond CANCOM's control that may have a positive or negative impact on business development include general legislation, the overall threat situation in the area of cyber security, and the quality certifications and environmental and social standards required by customers. As a provider of IT services and products, the CANCOM Group's business model is not subject to any special industry-specific legal provisions, licensing requirements or regulatory oversight, i.e. external regulatory or politically influenced factors that go beyond the legal framework generally applicable to all companies. In addition, the availability of IT hardware and software on the global market is an external factor that cannot be influenced.

The CANCOM Group's customer base primarily comprises commercial end users, ranging from small and medium-sized enterprises to large companies and corporations, as well as public institutions. The CANCOM Group's customers are also active in industries that are subject to industry-specific requirements, for example as operators of critical infrastructure or financial service providers. In these cases, CANCOM provides its services after evaluating and, if necessary, adapting its own system landscape and designs processes in accordance with customer-specific and/or regulatory requirements.

Competitive position

The CANCOM Group is primarily active in Germany and Austria. In both markets, the CANCOM Group has a prominent market position due to its size.

According to the latest available analysis by the Federal Statistical Office and the IT industry association Bitkom, there are over 100,000 companies in Germany in the fields of IT hardware, software and IT services, although they vary greatly in terms of size and/or range of services. There are 426 large companies with annual revenues of more than € 50 million in the combined IT hardware, software and IT services business segment.

Based on data from the current system house ranking by industry media outlet ChannelPartner, there are only ten companies in Germany that achieve domestic revenue of over € 1 billion. According to this ranking, based on revenue for the 2024 financial year, CANCOM remains the seventh-largest system house in Germany. The CANCOM Group thus belongs to the very small group of large companies in the German IT industry compared to the total number of companies active in the market.

The total volume of the German IT market in 2025 was estimated at € 160.6 billion by the industry association Bitkom in January 2026. With domestic annual sales of just under € 1.1 billion in 2025, the CANCOM Group's market share in the German IT market is less than 1 percent.

These figures reflect the continuing high degree of fragmentation in the German IT market and demonstrate the significant market potential that remains for CANCOM in its home market of Germany alone.

In Austria, the CANCOM Group's most important foreign market, the IT market is also highly fragmented. According to the latest employment statistics from the Austrian Chamber of Commerce for the professional association "Management Consulting, Accounting and Information Technology", a total of around 6,100 companies are active in the IT sector in Austria. 52 of these companies have more than 250 employees and are classified as

large enterprises. With more than 1,500 employees, the CANCOM Austria Group is one of the leading companies in the Austrian market. Based on a total volume of the IT market in Austria of € 20.1 billion in the past financial year (previous year: € 18.0 billion) as reported by Statista, the market share of the CANCOM Austria Group (a significant part of the International business segment) was less than 3 percent in 2025.

Both core markets of the CANCOM Group show long-term growth trends and are also highly fragmented. There continues to be significant market potential for the CANCOM Group in both markets.

Explanation of the control system used within the company

In the 2025 financial year, as in previous years, the most significant financial performance indicators for the development of the CANCOM Group were revenue (or sales revenue), EBITDA1 and EBITA2 . Due to the heterogeneous product and service mix of the CANCOM Group, the previous performance indicator gross profit is no longer used in the previous year.

EBITA, which is operating profit before interest, income taxes and amortisation of intangible assets (amortisation) from purchase price allocations or company acquisitions, is part of the management system instead of EBIT3 . From a purely accounting perspective, the corporate strategy involving significant corporate acquisitions has a negative impact on operating profit (EBIT) due to the consolidation of newly acquired companies in the form of amortisation, which is independent of the CANCOM Group's business success. The Executive Board therefore believes that EBITA reflects the CANCOM Group's business performance more accurately than EBIT.

The reconciliation of the financial performance indicators for the reporting year can be reconciled as follows on the basis of the business segment reporting (see section D.2 of the consolidated financial statements):

Explanation of the alternative performance measures (APMs) used in accordance with the APM guidelines of the European Securities and Markets Authority (ESMA):

1) EBITDA = Result for the period + Income taxes + Currency gains/losses + Income from companies accounted for using the equity method + Other financial income + Interest income + Depreciation, amortisation, impairment of tangible assets, intangible assets and right-of-use assets.

2) EBITA = Result for the period + Income taxes + Currency gains/losses + Income from companies accounted for using the equity method + Other financial income + Interest income + Amortisation of intangible assets resulting from company acquisitions (in particular customer bases, order backlogs).

3) EBIT = Result for the period + Income taxes + Currency gains/losses + Income from companies accounted for using the equity method + Other financial income + Interest income.

(in T€) Business segment
Germany		 International
business segment		 Consolidated
EBIT -5,133 44,331 39,198
+ Scheduled amortisation on customer bases etc. 3,728 5,074 8,802
EBITA -1,405 49,405 48,000
+ Depreciation of property, plant and equipment, software and rights of use 41,483 13,241 54,724
EBITDA 40,078 62,646 102,724
+ Personnel expenses 281,688 189,619 471,256
+ other income and expenses 92,081 25,405 95,120
+ Cost of materials/expenses for purchased services 702,602 370,158 1,045,603
+ Revenue between business segments 23,838 25,736 0
Total revenue 1,116,449 647,828 1,174,703

To manage and monitor the development of the reporting segments, the Executive Board of CANCOM SE analyses, among other things, their revenue, EBITDA and EBITA and compares the actual figures with the planned figures. Any significant deviations in the key figures identified necessitate the preparation of a forecast.

In addition, external indicators such as inflation rates, interest rates, developments and forecasts for the general economy and the IT industry, as well as findings and signals from the existing early risk detection system, are regularly taken into account for corporate management purposes. Please refer to the explanations in the risk and opportunity report for more information. Nonfinancial performance indicators are not used in the company's internal management system.

For CANCOM SE, net income is the most significant financial performance indicator. In the reporting year, income from investments in subsidiaries was an important financial performance indicator in addition to net income. CANCOM SE's net income in 2025 was significantly influenced by income from investments in the CANCOM Group. Non-financial performance indicators are also not used in the management system at CANCOM SE.

Research and development activities

As CANCOM primarily operates in the IT market in the areas of services and trading, it does not carry out any research activities.

The development services provided by CANCOM focus primarily on software solutions, applications and architectures in IT areas such as artificial intelligence, cloud computing, mobile solutions, the Internet of Things, data analytics, IT security and shared managed services. In addition, there are customisations for company software used in-house and development services for the company's own platforms.

However, compared to the CANCOM Group's total revenues, expenditure on development work is not significant. Development activities in the CANCOM Group are organised on a project basis. Where necessary, they are supported by the use of third-party services. In the reporting period, there were no expenses for capitalised own work (previous year: € 1.6 million):

CANCOM Group: Research and development (in € million)

2025 2024
Total research and
development expenditure 0.0 1.6
of which capitalised own work 0.0 0.6
of which for third-party services 0.0 0.0

In the reporting period, research and development costs that were not capitalised amounted to € 16.8 million (previous year: € 12.9 million).

Economic report

With a share of over 60 percent of sales, Germany is by far the most important sales market for the CANCOM Group. The other significant sales market in terms of sales volume is Austria. In addition to the general economic development in these country markets, the overall market for information and communication technology in both country markets also forms an important framework condition and basis for comparison for assessing CANCOM's economic development.

According to Eurostat, the statistical office of the European Union, economic development in the eurozone was positive in 2025, with gross domestic product rising by 1.5 percent compared with the previous year.

Germany

In the CANCOM Group's home market, economic performance, measured in terms of gross domestic product, rose by 0.2 percent in 2025 compared with the previous year, according to initial calculations by the Federal Statistical Office. This means that the German economy returned to slight growth after two years of decline. This growth was mainly driven by rising consumer spending by private households and the government, while the export economy continued to struggle. At the same time, investment activity remained subdued as companies continued to act cautiously in an environment characterised by uncertainty.

Austria

According to initial calculations by the Austrian Institute of Economic Research (WIFO), economic output in Austria, CANCOM's most important foreign market, rose by 0.6 percent in 2025 compared with the previous year. The Austrian economy thus continued its moderate growth trajectory. The year saw slightly positive economic momentum, particularly in the final quarter of 2025, when overall economic development strengthened somewhat compared with previous quarters. At the same time, economic expansion remained subdued overall, as individual sectors – particularly construction and parts of industry – continued to experience weaker demand.

Gross domestic product 2025*
(change compared to prior year in %)
Germany 0.2
Austria 0.6

*) Source: Federal Statistical Office, Austrian Institute for Economic Research, January 2026.

However, economic development in the CANCOM Group's two most important national markets, Germany and Austria, lagged behind the eurozone.

ICT market

The German market for information and communication technology (ICT) was characterised by generally subdued but stable momentum in 2025. Despite a continuing challenging macroeconomic environment, the industry remained more resilient than the economy as a whole. This is particularly reflected in the Bitkom-ifo Digital Index, which tracks the business climate in the digital economy. Although the index remained in negative territory for much of the year, closing at -4.0 points at the end of the year, it was still well above the ifo Business Climate Index for the economy as a whole, which most recently stood at -8.5 points.

On average, companies in the digital sector rated their current business situation as predominantly positive. However, after a solid start to the year with values between +2.9 and +7.0 points, a flattening trend continued over the course of the year. The business situation reached a low point in the summer at +0.2 points (July) before improving noticeably again in August and October (+6.6 points and +7.8 points respectively). At the end of the year, the assessment of the situation declined slightly, standing at +1.7 points in December. This indicates moderate but overall robust capacity utilisation.

Business expectations remained subdued throughout 2025. With the exception of early summer, they remained consistently negative. The second quarter was particularly weak, with expectations reaching their low for the year in April at -13.1 points. It was not until June that sentiment improved temporarily to -2.8 points, before deteriorating again in the autumn. The December figure of -9.4 points illustrates that many companies continued to face uncertainties regarding demand trends, willingness to invest and geopolitical risks.

The business climate fluctuated more strongly in 2025 than in previous years. Values ranged between -4.3 points (May) and a brief positive swing of +1.8 points (November). The interim high in August (+1.7 points) was mainly based on a stabilised business situation, but was unable to establish itself in the long term. The return to negative territory in the fourth quarter (-3.8 points in December) illustrates that the business situation of individual companies is very uneven.

Despite the fluctuating sentiment indicators, the market volume in the ICT sector remained on course for growth in 2025. Bitkom forecast market growth of 3.9 percent to € 234.8 billion for the year as a whole. According to Bitkom, the volume of the information technology (IT) market, which is particularly relevant to CANCOM,

is estimated at € 160.6 billion in 2025. Compared to 2024, this market segment grew by 5.3 percent. This growth is driven by software (+9.4 percent), IT services, which grew moderately (+2.9 percent), and IT hardware, which recorded growth of 3.8 percent despite investment restraint.

Information technology (IT) market in 2025, Germany* (change compared to prior year in %)

*) Source: Bitkom/IDC, January 2026.

The Austrian information technology market recorded significantly positive growth in 2025, which was reflected in all market segments considered. The IT market as a whole grew by +11.4 percent compared to the previous year. The IT services sector, including IT services and security services, recorded growth of +5.7 percent. The IT hardware segment, which includes data centres, IoT applications and semiconductors, grew particularly strongly at +19.2 percent. The software sector also performed well, rising by +4.6 percent compared to the previous year.

Information technology (IT) market 2025, Austria* (change compared to prior year in %)

*) Source: Statista Insights, January 2026.

For the CANCOM Group's two most important national markets, the overall development in the ICT market was positive.

Business performance in 2025

In the reporting period from 1 January to 31 December 2025, the CANCOM Group generated revenue of € 1,714.7 million (previous year: € 1,737.6 million). While the Germany business segment achieved revenue of € 1,092.6 million (previous year: € 1,134.7 million), the International business segment, which also includes CANCOM Austria, achieved revenue growth of 3.2 percent to € 622.1 million (previous year: € 602.9 million).

In the past financial year, the company's working capital amounted to € 64.7 million (previous year: € 108.6 million). As a result, cash flow from operating activities amounted to € 139.8 million (previous year: € 192.9 million).

The weak economic environment in Germany, the CANCOM Group's core market, had a particularly negative impact on business with small and medium-sized customers. Among public sector customers, reluctance to spend in the reporting year was characterised by high political uncertainty regarding budgets at the federal level.

In the International business segment, revenue in the hardware and software area increased, driven by robust demand. In contrast, economic uncertainty had a negative impact on willingness to invest in services in particular. Revenue declined in this area.

In the 2025 financial year, the CANCOM Group's EBITDA reached € 102.7 million (previous year: € 113.0 million). The performance of the International business segment, particularly that of CANCOM Austria, is satisfactory overall. In contrast, the performance of the Germany business segment fell short of the Executive Board's expectations at the beginning of the financial year. The CANCOM Group's EBITA reached € 48.0 million (previous year: € 59.6 million) and € 28.5 million (previous year: € 33.5 million) for the result for the period. The reduced operating result (EBITA) in the compared to the previous year is the main reason for the deviation in the CANCOM Group's result for the period. Overall, the result for the period reflects the operating performance presented in the financial year.

Comparison of forecasts with results

Looking at the forecast for the CANCOM Group's performance in the 2025 financial year, which was published at the end of March 2025 and subsequently updated during the course of the year, the following comparison emerges (see table). As usual, the original forecast, published on 31 March 2025, referred to the business development of the CANCOM Group compared to the reporting date of 31 December 2024. Continued market uncertainties, in particular the economic challenges in CANCOM's core market of Germany, led to customer reluctance to buy. In conjunction with increased internal costs, the forecast was adjusted in July of the reporting year.

Performance indicators Result Forecast Forecast* Results
(in € million) 2024 (31 March 2025) (31 July 2025) 2025
CANCOM Group
Revenue 1,737.6 1,700 bis 1,850 1,650 bis 1750 1,714.7
EBITDA 113.0 115 bis 130 100 bis 110 102.7
EBITA 59.6 61 bis 76 46 bis 56 48.0

*) The Executive Board of CANCOM SE updated the forecast for the CANCOM Group in an ad-hoc announcement on 31 July 2025.

A comparison of the initial forecast for the year with the overall result for the reporting year is not meaningful due to the adjusted forecast for the CANCOM Group issued in July.

Based on the adjusted forecast, business performance in 2025 remained consistent with the Executive Board's expectations. Revenue in the reporting period amounted to € 1,714.7 million. EBITDA and EBITA reached € 102.7 million and € 48.0 million respectively.

Order situation

At the reporting date, the CANCOM Group's order backlog reached a historic high. The order backlog in the Germany business segment declined slightly. The order backlog in the International business segment improved significantly, primarily due to the good order situation at the CANCOM Austria Group. At the end of the reporting period, the contractually fixed order backlog – calculated in accordance with IFRS 15 – amounted to € 737.5 million (previous year: € 702.8 million). Details on the order situation can be found in section C.1 of the consolidated financial statements.

However, the order situation does not reflect all business transactions of the CANCOM Group. This is due to the contract structure commonly used for orders. These often cover longer periods of time during which the volume may vary (framework agreements). However, there may also be very short periods between the order and the recognition of revenue.

Employees

As at 31 December 2025, the CANCOM Group employed 5,281 people (31 December 2024: 5,553). This represents a decrease of 4.9 percent compared to the reporting date of the previous year. The average number of employees in the CANCOM Group in the reporting year was 5,393 (previous year: 5,579).

At the end of 2025, employees were working in the following areas:

CANCOM Group: Employees

2025 2024*
Professional Services 3,567 3,729
Sales 891 921
Central services 823 903
Total 5,281 5,553

*) The calculation has been adjusted for the 2024 financial year.

Results of operations, financial position and net assets of the CANCOM Group

Result of operations

CANCOM Group: Revenue
(in € million)
2025 1,714.7
2024 1,737.6

In the 2025 financial year, the CANCOM Group's revenue reached € 1,714.7 million (previous year: € 1,737.6 million). Excluding the effect of company acquisitions, revenue for the past financial year amounted to € 1,712.1 million. The slowdown in demand from CANCOM Group customers described in the section "Business performance in 2025" caused revenue to fall short of the previous year's figure. Through the sale of goods, in particular hardware and software, the CANCOM Group generated revenue of € 1,010.2 million in the 2025 financial year (previous year: € 1,095.1 million) and revenue of € 704.5 million from the provision of services (previous year: € 642.6 million).

In the Germany business segment, revenue amounted to € 1,092.6 million (previous year: € 1,134.7 million), with organic revenue reaching € 1,090.0 million. Revenue in the International business segment, driven primarily by the CANCOM Austria Group, rose to € 622.1 million (previous year: € 602.9 million).

The CANCOM Group's other operating income amounted to € 27.9 million in the 2025 financial year (previous year: € 12.2 million). Of this, € 12.8 million is attributable to a sale and leaseback transaction.

The CANCOM Group's total output in the 2025 financial year amounted to € 1,742.6 million, slightly below the previous year's figure (previous year: € 1,751.2 million).

CANCOM Group: Material expenses
(in € million)
2025 2024
Cost of materials/expenses for
purchased services 1,045.6 1,057.6

The CANCOM Group's material expenses amounted to € 1,045.6 million in the reporting period, which was below the previous year's level (previous year: € 1,057.6 million), while the cost of materials ratio remained constant at 61.0 percent (previous year: 60.9 percent). In the Germany business segment, the cost of materials ratio was 62.9 percent in the reporting year, and 57.1 percent in the International business segment.

CANCOM Group: Gross profit
(in € million)
2025 697.0
2024 693.6

The CANCOM Group's gross profit rose slightly in the 2025 financial year compared with the previous year to € 697.0 million (previous year: € 693.6 million). The gross profit margin rose to 40.6 percent (previous year: 39.9 percent). The higher proportion of services in the product mix, which is characterised by higher gross profit margins than the sale of hardware and software, led to an increase in the gross profit margin. In the Germany business segment, gross profit fell to € 427.6 million (previous year: € 448.2 million). In the International business segment, CANCOM recorded a very significant increase in gross profit to € 296.2 million (previous year: € 269.9 million). The total gross profit for the Germany and International business segments amounted to € 723.8 million in the reporting year (previous year: € 718.1 million). Due to sales between the business segments, this total decreased by € 26.8 million (previous year: € 24.8 million) to arrive at the consolidated gross profit of € 697.0 million (previous year: € 693.6 million) reported in the consolidated financial statements.

CANCOM Group: Personnel expenses (in € million)

. . 0.
2025 2024
Wages and salaries 386.5 385.5
Social security contributions 80.9 77.7
Expenses for retirement benefits 4.3 4.3
Share-based payments settled with
equity instruments		 0.0 0.0
Share-based payments with cash
settlement		 -0.4 0.1
Total 471.3 467.6

Personnel expenses amounted to € 471.3 million in the 2025 financial year, slightly above the previous year's figure (previous year: € 467.6 million). The personnel expense ratio was 27.0 percent (previous year: 26.9 percent), 0.3 percentage points above the previous year's level.

Other operating expenses amounted to € 121.7 million in the reporting year, representing an increase of 9.5 percent (previous year: € 111.1 million). General cost increases contributed significantly to this rise.

CANCOM Group: EBITDA
(in € million)
2025 102.7
2024 113.0

In the 2025 financial year, the CANCOM Group's EBITDA reached € 102.7 million (previous year: € 113.0 million), with the organically generated share amounting to € 103.3 million.

EBITDA declined in the Germany business segment to € 40.1 million (previous year: € 69.8 million); € 40.6 million was generated organically. In the International business segment, however, EBITDA grew very significantly to € 62.6 million (previous year: € 43.3 million).

CANCOM Group: EBITDA margin

(in %)

2025 6.0
2024 6.5

In the reporting period, the CANCOM Group's EBITDA margin amounted to 6.0 percent (previous year: 6.5 percent). The development of the EBITDA margin was particularly influenced by higher other operating expenses.

The EBITDA margin in the Germany business segment reached 3.7 percent in the reporting year (previous year: 6.2 percent). In the International business segment, the EBITDA margin was 10.1 percent (previous year: 7.2 percent).

CANCOM Group: Depreciation and amortisation
(in € million)
2025 2024
Scheduled depreciation of property, plant
and equipment		 -15.8 -14.7
Scheduled amortisation of software and
impairment losses on software		 -12.6 -13.3
Scheduled amortisation of right-of-use assets -26.3 -25.5
Scheduled amortisation on customer
bases etc.		 -8.8 -11.6
Impairment losses on goodwill 0 0
Total -63.5 -65.0

Depreciation, amortisation, impairment of tangible assets, intangible assets and right-of-use assets amounted to € 63.5 million in the 2025 financial year, slightly below the figure for the comparative period of the previous year (€ 65.0 million).

CANCOM Group: EBITA
(in € million)
2025 48.0
2024 59.6

The CANCOM Group generated EBITA of € 48.0 million in the 2025 financial year, which was below the previous year's figure of € 59.6 million. The organic share of EBITA in the past financial year reached € 46.8 million. The total for the business segments corresponded to the EBITA reported on a consolidated basis in the consolidated financial statements for the reporting year and the previous year.

In the Germany business segment, EBITA amounted to € -1.4 million (organic: € -0.8 million), down from € 28.7 million in the previous year. EBITA in the International business segment grew significantly by 59.9 percent to € 49.4 million (previous year: € 30.9 million).

The CANCOM Group's EBIT amounted to € 39.2 million (organic € 40.2 million) in the reporting period, compared with € 48.0 million in the previous year.

In the Germany business segment, EBIT amounted to € -5.1 million (previous year: € 23.2 million). The organically generated share of EBIT amounted to € 4.2 million. Growth in the International business segment rose by 78.6 percent to EBIT of € 44.3 million (previous year: € 24.8 million), which was very significant.

CANCOM Group: Profit for the period

(in € million)

In the 2025 financial year, the CANCOM Group generated a result for the period of € 28.5 million (previous year: € 33.5 million).

Financial position and net assets

Principles and objectives of financial management

The core objective of CANCOM's financial management is to secure liquidity at all times in order to guarantee day-to-day business operations. In addition, the aim is to optimise profitability and, in doing so, achieve the highest possible credit rating in order to secure favourable refinancing. The financing structure is primarily geared towards long-term stability and maintaining financial flexibility in order to take advantage of business and investment opportunities.

Capital structure of the Group

The CANCOM Group's balance sheet total amounted to € 1,444.9 million as at the reporting date of 31 December 2025 (31 December 2024: € 1,406.9 million). The balance sheet total increased by a total of 2.7 percent in the reporting year, primarily due to the increase in cash and cash equivalents on the assets side and the increase in trade liabilities on the liabilities side.

On the liabilities side, € 545.4 million was attributable to Shareholder's Equity and € 899.5 million to borrowed capital. The CANCOM Group's equity ratio thus amounted to 37.7 percent at the end of the 2025 financial year (31 December 2024: 40.8 percent). The debt ratio was 62.3 percent (31 December 2024: 59.2 percent). The impact of inflation on interest rates, both on

cash and cash equivalents on the assets side and on interestbearing liabilities on the liabilities side, is negligible, particularly due to the low volume of loan liabilities in the reporting period.

As of the reporting date of 31 December 2025, there were current liabilities to banks of € 0.2 million (previous year: € 0.9 million). Non-current liabilities to banks amounted to € 0.0 million (previous year: € 0.3 million). As CANCOM conducts most of its business in the euro zone, currency differences are mainly limited to the US dollar and were hedged in order to preserve assets. Cash and cash equivalents amounted to € 198.9 million as of the reporting date for the 2025 financial year (previous year: € 144.7 million). This was significantly influenced by the much lower payments for the purchase of own shares compared to the previous year, amounting to € 26.8 million (previous year: € 146.7 million). Cash and cash equivalents exceed interest-bearing financial liabilities many times over. Accordingly, the CANCOM Group has no net financial debt as of the 2025 reporting date.

Debt and equity

Current liabilities, i.e. liabilities with a remaining term of less than one year, amounted to € 688.4 million at the end of the financial year (31 December 2024: € 620.9 million). The largest balance sheet items were trade liabilities, which amounted to € 424.3 million at the reporting date (31 December 2024: € 376.6 million), and other current non-financial liabilities of € 89.7 million (31 December 2024: € 84.2 million). The growth is largely attributable to the increase in operating business in the final quarter. Other current non-financial liabilities remained stable at € 67.2 million (previous year: € 67.0 million). Current contract liabilities amounted to € 80.1 million (previous year: € 72.8 million). Current other provisions amounted to € 11.1 million (previous year: € 9.7 million).

At € 211.1 million as of the reporting date, non-current liabilities were at the same level as the previous year (31 December 2024: € 211.7 million). The largest individual items are other non-current financial liabilities, which amounted to € 152.1 million (31 December 2024: € 146.2 million) and non-current employee benefit provisions, which amounted to € 24.2 million at the end of the financial year (previous year: € 25.5 million). The balance sheet item for deferred tax liabilities fell to € 16.5 million at the end of the year (previous year: € 18.1 million).

Shareholder's Equity totalled € 545.4 million at the end of the 2025 financial year (31 December 2024: € 574.4 million). The capital reserve, the largest single item, remained unchanged at € 483.8 million in the reporting period (previous year: € 483.8 million). Retained earnings including carryforwards and profit after taxes amounted to € 29.8 million as of the reporting date (previous year: € 58.4 million). This balance sheet item was reduced by a total of € 31.5 million (previous year: € 35.0 million) in the reporting year due to the payment of a dividend of € 1.00 per share in accordance with the resolution of the 2025 Annual General Meeting. Furthermore, the repurchase of own shares in the amount of € 26.8 million (previous year: € 146.7 million) had a reducing effect on the balance sheet item. Issued capital remained unchanged at € 31.5 million. The allocation of the result for the period of € 28.7 million (previous year: € 33.5 million) to retained earnings had a positive effect.

Significant financing measures

During the reporting period, current business and necessary replacement investments were financed from cash and cash equivalents and operating cash flow. The same applies to all other investments. In addition, € 26.8 million of free cash flow was used for share buybacks in the past financial year

Assets

On the assets side of the balance sheet, current assets amounted to € 838.0 million as at 31 December 2025 (31 December 2024: € 771.8 million). The increase compared with the previous year-end figure is primarily due to the higher amount of cash and cash equivalents of € 198.9 million (previous year: € 144.7 million). While trade receivables rose slightly to € 431.3 million (previous year: € 423.8 million), inventories declined significantly to € 53.9 million (previous year: € 68.0 million). Current contract assets grew to € 20.8 million (previous year: € 18.4 million). Other current financial assets reached a value of € 63.4 million (previous year: € 54.5 million). Other current assets increased to € 69.6 million (previous year: € 62.4 million).

Non-current assets declined to € 607.0 million as of the reporting date (31 December 2024: € 635.1 million). The value of goodwill remained unchanged at € 270.0 million. Both rights of use (€ 116.3 million) and property, plant and equipment (€ 51.2 million; previous year: € 59.0 million) declined compared with the previous year (€ 119.8 million). The decrease in intangible assets from

€ 74.7 million to € 55.2 million is due to the reduction in customer bases, order backlogs and acquired software. Other non-current financial assets decreased to € 46.9 million (previous year: € 47.8 million). Deferred tax assets rose to € 21.2 million (previous year: € 14.6 million).

Cash flow and liquidity

Based on a result for the period of € 28.5 million (previous year: € 33.5 million), cash flow from operating activities for the 2025 reporting period amounted to € 139.8 million (previous year: € 192.9 million). The main factor influencing the development of cash flow from operating activities was the change in working capital. Trade liabilities and other liabilities amounted to € 60.1 million (previous year: € 42.7 million), while trade receivables, contract assets, capitalised contract costs and other assets amounted to € 8.7 million (previous year: € 54.8 million) in the reporting period. The change in inventories was positive at € 13.3 million (previous year: € 11.1 million). Depreciation, amortisation, impairment of tangible assets, intangible assets and right-of-use assets had an impact of € 63.5 million (previous year: € 65.0 million) on operating cash flow.

Cash flow from investing activities amounted to € 6.2 million in the reporting year (previous year: € -43.2 million), significantly exceeding the previous year's figure. This was mainly due to cash inflows from disposals of property, plant and equipment, intangible assets and financial assets amounting to € 21.4 million, compared with € 3.5 million in the previous year. Payments from the acquisition of subsidiaries and operations decreased to € -4.1 million in the reporting period (previous year: € -28.7 million). Cash outflows for investments in property, plant and equipment, intangible assets and rights of use (CapEx) were also lower in the reporting period at € 14.8 million (previous year: € 22.3 million). The CapEx ratio thus improved by 0.4 percentage points in the reporting year to 0.9 percent (previous year: 1.3 percent). Due to the decline in cash and cash equivalents, interest and dividends received fell to € 2.1 million (previous year: € 3.4 million).

Cash flow from financing activities amounted to € 91.7 million, which was significantly below the figure for the comparative period of the previous year (previous year: € 227.5 million). The significant year-on-year reduction in payments for the purchase of treasury shares, amounting to € 26.8 million (previous year: € 146.7 million), had a positive effect. Proceeds resulting from repayment of current financial liabilities decreased to € -0.6 million (previous year: € -7.8 million). The volume of

repayments of lease liabilities decreased to € 39.7 million (previous year: € 43.5 million). Proceeds resulting from financial liabilities to leasing companies and proceeds resulting from sublease transactions increased to € 11.9 million compared with € 9.9 million in the previous period. The reduced number of shares compared to the previous year consequently led to a decrease in dividend payments to € 31.6 million (previous year: € 35.1 million).

In the reporting period, the CANCOM Group's cash and cash equivalents increased by € 54.3 million to € 198.9 million as at 31 December 2025 (31 December 2024: € 144.7 million). As of the reporting date, the CANCOM Group had committed credit lines (including guarantee credits) with banks amounting to € 210.0 million. Of this amount, a total of € 172.5 million was freely available as of 31 December 2025. As of the reporting date, the CANCOM Group therefore had a high positive balance of cash and cash equivalents and had access to unused credit lines with financial institutions. This puts CANCOM in an exceptionally strong position to meet its payment obligations at any time.

Overall statement on the results of operations, financial position and net assets of the CANCOM Group

In the 2025 financial year, the CANCOM Group achieved consolidated revenue of € 1,714.7 million (previous year: € 1,737.6 million), while EBITDA was down on the previous year at € 102.7 million. Profitability, measured in terms of the EBITDA margin, was 6.0 percent (previous year: 6.5 percent). While the Germany business segment recorded a decline in revenue and earnings, the International business segment increased both revenue and earnings. However, the factors described in the section "Business performance in 2025" slowed down the overall development of the CANCOM Group in the financial year.

Accordingly, the Executive Board does not consider the CANCOM Group's performance in the reporting year to be entirely satisfactory. Against this backdrop, the Executive Board has already initiated comprehensive measures to sustainably increase the CANCOM Group's efficiency and profitability. These include optimising the cost structure, focusing the portfolio more strongly on future-oriented fields such as artificial intelligence, data centres & cloud, and security & networks, and consistently developing AI and security expertise. The aim is to significantly improve the profitability of the CANCOM Group in the 2026 financial year while achieving sustainable, profitable growth.

Results of operations, financial position and net assets of the CANCOM SE

Within the CANCOM Group, CANCOM SE assumes the central financing and management function for the investments it holds. The opportunities and risks of CANCOM SE thus arise from the opportunities and risks of its investments. These are explained in more detail in the risk and opportunity report.

CANCOM SE generated revenue of € 12.1 million in 2025 (previous year: € 11.2 million). Revenue was mainly generated from Group allocations. Other operating income in 2025 was € 6.6 million, higher than in the previous period (previous year: € 5.8 million). Income from investments fell significantly to € 32.0 million (previous year: € 104.9 million). The previous year's figure was driven by one-off high distributions, in particular from CANCOM Austria Beteiligungs GmbH. Profits received under profit transfer agreements amounted to € 5.4 million (previous year: € 13.2 million). Other interest and similar income fell to € 4.3 million (previous year: € 6.5 million). Income taxes amounted to € -0.4 million (previous year: € 5.7 million). Income in the reporting period was offset by other operating expenses of € 8.8 million (previous year: € 8.5 million). Write-downs on investments in the reporting period amounted to € 10.8 million and expenses from loss transfers to € 24.1 million; neither of these two types of expense arose in the previous year. As a result, CANCOM SE posted a net profit of € 3.9 million for the 2025 financial year, which was significantly below the comparable figure (previous year: € 113.4 million).

CANCOM SE's balance sheet total fell to € 628.9 million at the reporting date for the 2025 financial year (previous year: € 674.5 million). On the assets side of the balance sheet, this change was mainly due to a € 57.4 million reduction in receivables from affiliated companies (previous year: € 105.1 million) as a result of lower profit transfers than in the previous year. In contrast, the balance sheet item "Cash on hand and bank balances" increased to € 72.1 million (previous year: € 56.9 million). Overall, current assets decreased from € 176.6 million to € 142.8 million. Fixed assets fell to € 485.4 million (previous year: € 497.3 million). Property, plant and equipment stayed flat at € 0.6 million (previous year: € 0.6 million). Meanwhile, financial assets decreased to € 484.7 million (previous year: € 496.7 million) with the item "Shares in affiliated companies" (2025: € 480.9 million; previous year: € 491.7 million).

On the liabilities side, Shareholder's Equity fell to € 600.3 million (previous year: € 654.7 million) due to the reduced net retained profits of € 82.3 million (previous year: € 109.9 million). Retained earnings fell to € 2.1 million (previous year: € 27.9 million) as a result of the share buyback programme in the 2025 financial year. Provisions also fell, reaching € 2.0 million (previous year: € 6.0 million) on the reporting date. Liabilities amounted to

€ 26.6 million as of 31 December 2025 (previous year: € 13.6 million). The increase was primarily due to the rise in the item "Liabilities to affiliated companies" to € 9.9 million (previous year: € 0.0 million). Higher VAT liabilities, which are reported under the "Other liabilities" balance sheet item, resulted in an increase in value to € 16.2 million (previous year: € 13.3 million).

CANCOM SE's equity ratio amounted to 95.5 percent as of the reporting date for the reporting period (previous year: 97.1 percent). As of the reporting date, CANCOM SE had committed credit lines amounting to € 145.5 million, of which € 145.1 million was unused.

Overall statement on the results of operations, financial position and net assets of the CANCOM SE

Overall, CANCOM SE is in a very solid position in terms of earnings, assets and finances at the end of the 2025 financial year, as demonstrated by its high Equity ratio, among other things. Based on the profitable business activities of the affiliated companies of CANCOM SE and thus of the CANCOM Group as a whole, as well as the resulting positive effects on the result of operations of the parent company, in particular the net income for the year, the Executive Board assesses the course of business for CANCOM SE in the 2025 financial year as satisfactory.

Takeover-relevant disclosures

The disclosure pursuant to § 289a (1) HGB and § 315a (1) HGB are provided below. For individual takeover-related disclosures, please refer to the annexes in the consolidated financial statements and the notes to the annual financial statements of CANCOM SE. With regard to the powers of the Executive Board concerning conditional and authorised capital, the issue of share options and the authorisation to carry out a share buyback programme, reference is also made to the explanations in the annexes to the consolidated financial statements and the annexes to the annual financial statements of CANCOM SE.

Amount and division of share capital

As at 31 December 2025, the company's share capital amounted to € 31,515,345.00 and was divided into 31,515,345 no-par value shares (previous year: € 31,515,345.00). Accordingly, the share capital was not adjusted in the past financial year.

Details on the development of the share capital in 2025 are described in section B.17.1. of the consolidated financial statements.

The amount of share capital attributable to each share is € 1.00. The shares are bearer shares. They are certified in global certificates. Shareholder is therefore not entitled to certification. Each no-par value share grants one vote at the Annual General Meeting. There are no different classes of shares. Each share carries the same rights and obligations. There are no holders of shares with special rights that confer control powers.

On the basis of the resolution passed by the Annual General Meeting on 24 June 2025, which enables the Executive Board of CANCOM SE to buy back its own treasury shares, a share buyback programme ("Share Buyback Programme 2025") was approved on 9 September 2025 and launched on 22 September 2025. As part of this buyback programme, CANCOM SE repurchased a total of 1,044,402 of its treasury shares in the period from 22 September 2025 to 30 December 2025 inclusive. The volume-weighted average price (excluding incidental acquisition costs) for this programme amounted to € 25.71 per share.

This means that a total of € 26.8 million (previous year: € 146.6 million) was spent on the purchase of treasury shares (excluding incidental acquisition costs) in the 2025 financial year.

Further information is provided in section B.17.1.2 of the consolidated financial statements.

Direct or indirect shareholdings of 10 percent or more

In the 2025 financial year, CANCOM SE was not notified of any new additional direct holdings in the share capital exceeding 10 percent of the voting rights.

In the 2024 financial year, CANCOM SE was notified of the following direct shareholding in the share capital exceeding 10 percent of the voting rights:

• PRIMEPULSE SE, Munich, Germany: 15.00 percent since 15 October 2024.

Appointment and dismissal of members of the Executive Board

The provisions of the German Stock Corporation Act (§ 84 and 85 AktG) and Council Regulation (EC) No. 2157/2001 on the Statute for the Executive Board of a European Company (Art. 39 SE Regulation, Art. 9 (1) (c) (ii) SE Regulation in conjunction with

§ 84 (3) AktG) apply to the appointment and dismissal of members of the Executive Board. The Supervisory Board determines the number of members of the Executive Board. When appointing the Executive Board, CANCOM observes the recommendations of the German Corporate Governance Code, taking into account the specific situation of the company.

Amendment of the Articles of Association

The provisions of § 133 and §179 AktG apply to amendments to the Articles of Association. An amendment to the Articles of Association requires a resolution of the Annual General Meeting passed by at least a three-quarters majority of the share capital represented at the time of the resolution. The Articles of Association may stipulate a capital majority that deviates from the statutory provision, but may only stipulate a larger majority and further requirements for an amendment to the object of the company. § 15 (3) of the Articles of Association of CANCOM SE provides for such a provision. According to this provision, resolutions to amend the Articles of Association require a two-thirds majority of the votes cast or, if at least half of the share capital is represented, a simple majority of the votes cast. In cases where the law additionally requires a majority of the share capital represented at the time of the resolution, a simple majority of the share capital represented at the time of the resolution is sufficient, unless another majority is mandatory by law. The Annual General Meeting may delegate to the Supervisory Board the authority to make amendments that only affect the wording. This has been done in the Company by the provision in § 11 of the Articles of Association.

Significant agreements subject to a change of control

During the reporting period, there were no significant agreements subject to a change of control.

Corporate governance statement pursuant to § 315d HGB in conjunction with § 289f HGB

CANCOM SE has published the corporate governance statement pursuant to § 315d HGB in conjunction with § 289f HGB on the company's website under Corporate Governance or directly at https://omext.cancom.de/dam/?mdocs-file=21147.

Group sustainability statement

CANCOM prepares a non-financial Group sustainability statement in accordance with § 315b-315c in conjunction with § 289c-289e of the German Commercial Code (HGB). The European Sustainability Reporting Standards (ESRS) as published in Annex I to Commission Delegated Regulation (EU) 2023/2772 of 31 July 2023, are applied as the reporting framework. In addition, the simplifications provided for by Delegated Regulation (EU) 2025/1416 ESRS Quick Fix are applied. For the 2025 financial year, CANCOM reports in accordance with the ESRS; 97 percent of the disclosures and data points required for CANCOM under the ESRS are reported. The CANCOM Group sustainability statement covers the aspects required to be included in a non-financial statement pursuant to § 289c HGB. With regard to the material sustainability topics, CANCOM discloses, in accordance with § 289c HGB, the information necessary for an understanding of CANCOM's situation as well as of the impacts, risks and opportunities of CANCOM in the area of sustainability and with respect to these material topics.

The table below provides a reconciliation of the material aspects in accordance with § 289c (2) HGB and the topics material to CANCOM with the ESRS topics.

Aspects pursuant to § 289c HGB Material topics for CANCOM Reconciliation to ESRS topics
Environmental matters Climate change adaptation, climate change mitigation,
energy, resource outflows related to products and services		 E1 Climate change
E5 Resource use and circular economy
Employee-related matters,
social matters and respect
for human rights		 Secure employment, working time, adequate wages, social
dialogue, work-life balance, health and safety, gender
equality and equal pay for work of equal value, training and
development, diversity		 S1 Own workforce
Combating corruption and
bribery		 Corporate culture, protection of whistleblowers G1 Business conduct

CANCOM addresses social matters at municipal and regional level (e.g. through donations) and supports the development of local communities through various activities. However, CANCOM does not pursue a specifically designed concept in this regard.

For each thematic ESRS standard, CANCOM describes the policies, management processes and quantitative disclosures applied in relation to the sustainability topics. In accordance with Article 8 of the EU Taxonomy Regulation 2020/852 and the supplementary delegated acts and the simplifications introduced under the Omnibus, Delegated Regulation (EU) 2026/73, CANCOM publishes the relevant information in the section "Information on the EU taxonomy" of this Group sustainability statement.

The Group sustainability statement was subject to a voluntary limited assurance audit conducted by Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft in accordance with the ISAE 3000 revised auditing standard relevant to sustainability reporting.

General disclosures (ESRS 2)

General basis for the preparation of the Group sustainability statement (BP-1)

The Group sustainability statement covers CANCOM SE and its consolidated subsidiaries. This corresponds to the scope of consolidation of the consolidated financial statements as presented in the section "Foundations of the Group" in the summarised Group management report. For reporting under E1 Climate change, the operational control criterion was applied to the organisational structure in accordance with the Greenhouse Gas (GHG) Protocol and the GHG inventory was prepared accordingly.

ITM Informationstransport und -management GmbH was sold during the 2025 financial year, and CloudXcelerate GmbH was merged into CANCOM Austria AG. Both companies were excluded from the reporting due to their lack of material impacts on sustainability matters.

In accordance with the requirements of the ESRS, CANCOM includes the entire value chain in its reporting and analysis. The key stakeholder groups comprise employees within CANCOM's own business activities, the suppliers and manufacturers in the upstream value chain, as well as customers and investors in the downstream value chain. A detailed description of the value chain is provided in SBM-1.

CANCOM does not make use of the option to refrain from disclosing certain information on the grounds of data protection or copyright.

Disclosures in relation to specific circumstances (BP-2)

CANCOM defines the time horizons as follows: short-term (< 1 year), medium-term (< 3 years), long-term (< 4 years) and in perspective (> 4 years). The definition deviates from that set in ESRS 1, section 6.4, as CANCOM already applies this classification system in other areas of the company, such as risk management.* This ensures that impacts, risks and opportunities are assessed consistently and that no differing assessment systems are applied within the company.

For the calculation of Scope 3 emissions under E1 Climate change, various assumptions and estimation methods were applied due to partially limited data availability within CANCOM's own operations and along the value chain. In certain categories, emissions were calculated on the basis of revenue figures where no consistent activity data were available. Where primary data from the supply chain were not provided, product group- or sectorspecific average values from recognised databases were used; in addition, model-based assumptions, for example on usage profiles or commuting behaviour, were applied where more detailed information was not available. The calculation approach was based on a data hierarchy in which primary data were prioritised, with average or model-based factors used only as a secondary option.

Uncertainties in the emission data arise in particular from the continued limited availability of supplier-specific emission information and from the heterogeneous data bases across individual companies. To improve data quality and to progressively reduce the proportion of estimates required, efforts are ongoing to expand data depth, standardise data collection processes and increase the integration of primary data provided by suppliers.

For reporting under S1 Own workforce, quantitative data was collected for the companies in Germany, Austria and Slovakia. For companies with a low number of employees and limited impact on the impacts, risks and opportunities (IROs) in the area of own workforce in Belgium, Romania, Switzerland and the Czech Republic, data were extrapolated using the number of employees.

The data collection thus covers approximately 95 percent of employees; values were extrapolated for the remaining 5 percent. The extrapolation is based on the assumption that CANCOM pursues a largely homogeneous business model within the Group and that the operational activities of the companies for which data were extrapolated correspond to those of the countries for which data were collected. Based on these assumptions, the missing data were proportionally extrapolated so that the overall results can be presented as representative of the entire Group. An exception applies to the disclosures under S1-6 Total number of employees and under S1-16 Key remuneration metrics, which were collected for all countries.

This Group sustainability statement includes certain disclosures by reference. These disclosures and references are listed in the table below. Where the report refers to other sections of the Group management report or annual report, this is also indicated in the text.

Disclosure requirement Reference
BP-1: General basis for preparation
of the Group sustainability
statement		 Section "Foundations of the
Group" in the summarised Group
management report
GOV-5: Risk management and
internal controls over sustainability
reporting*		 Section "Opportunities and risks
report" in the summarised Group
management report
Information on the EU taxonomy:
Total revenue; projection for GHG
inventory: total revenue		 Consolidated statement of
comprehensive income (consoli
dated financial statements)
Information on the EU taxonomy:
Total CapEx		 Consolidated asset table (B8)
SBM-1: Strategy, business model
and value chain		 Section "Foundations of the
Group" in the summarised Group
management report

The role of the administrative, management and supervisory bodies (GOV-1)

CANCOM's management and supervisory bodies consists of five non-executive and two executive members. The interests of the workforce are represented by the CANCOM SE works council, which is composed exclusively of representatives from the existing employee representatives of the local works councils within CANCOM. Direct subsidiaries with more than 500 employees delegate three members to the works council, while subsidiaries with between 100 to 499 employees each delegate one member. Where direct subsidiaries of CANCOM perform solely holding or administrative functions, the right of delegation is transferred to the operational subsidiaries, but not beyond the first level of operational companies.

The Executive Board of CANCOM SE bears direct responsibilities for sustainability, human resources and governance. Compliance with statutory requirements, codes, internal policies and the Code of Conduct is continuously monitored as part of compliance management. The qualifications of the Supervisory Board are documented annually in a skills matrix. All members have experience in the area of human resources as well as knowledge of governance, risk and compliance and expertise in sustainability matters relevant to the company. To ensure sound corporate governance, CANCOM's management level has experience that is particularly relevant to the IT services and hardware trade sectors, the IT hardware and IT services products offered, and the geographical locations of Germany, Austria, Belgium, Romania, Switzerland, Slovakia and the Czech Republic. In addition, the membership of Prof. Dr. Isabell Welpe on the Supervisory Board, as a sustainability expert, ensures access to in-depth specialist expertise.

The percentage of women on the Executive Board is 0 percent, while men make up 100 percent. The percentage of women on the Supervisory Board is 40 percent, while men make up 60 percent.

At the time of publication of this statement, the Supervisory Board of CANCOM SE consists of five members, all of whom are shareholders. All members, namely Klaus Weinmann, Prof. Dr. Isabell Welpe, Dr. Swantje Schulze, Jürgen Maidl and Lukas Abegg, are, in the assessment of the Supervisory Board, independent members within the meaning of sections C.6 and C.7 of the German Corporate Governance Code. Accordingly, the proportion of independent members is 100 percent. The assessment of impacts, risks and opportunities is carried out in close cooperation with the Executive Board, namely Rüdiger Rath and Thomas Stark.

The corporate sustainability department maintains close, bi-weekly coordination with the Chief Financial Officer (CFO) regarding current sustainability activities, the sustainability strategy and reporting. In addition, coordination with the entire Executive Board takes place several times a year, in particular with regard to definition of sustainability targets and review of progress. Going forward, this will be supported by the development of KPIs during the 2026 financial year and the introduction of an internal monitoring system to track target achievement. Sustainability matters were addressed on multiple occasions in Executive Board meetings during the 2025 financial year. Responsibility for the monitoring of IROs lies with Thomas Stark, Chief Financial Officer of CANCOM. The CFO holds bi-weekly meetings with the corporate sustainability department, in which all aspects of sustainability management, including the addressing of material

IROs, are discussed. In this way, the CFO ensures that he fulfils his responsibility for sustainability matters.

At least once a year, the Audit Committee addresses matters of governance, risk, compliance and sustainability in a dedicated meeting. The results of this meeting are made available to the entire Supervisory Board. Prof. Dr. Isabell Welpe regularly contributes her expertise in the area of sustainability to discussions on strategy and reporting. In the 2025 financial year, the results of the double materiality assessment were also presented to her and discussed jointly. CANCOM has established specific controls and procedures for the management of IROs. Specifically, this involves a sustainability monitoring system for the identification and management of sustainability-related risks, opportunities and impacts, as well as compliance as part of risk management under the responsibility of CANCOM's risk management department. These controls and procedures are integrated into other internal functions by incorporating sustainability risks into the company-wide risk assessment.*

Prof. Dr. Isabell Welpe, as a member of the Supervisory Board, contributes expertise in the areas of environment, social affairs and governance. The results of the double materiality assessment were discussed, adjusted and validated with the Executive Board and also discussed with Prof. Dr. Isabell Welpe. The management level is equipped to take sustainability-related decisions and monitor their implementation. Should the management level of CANCOM not be able to provide the required expertise independently and immediately, subject-matter experts from the relevant areas are consulted and involved in the decision-making processes. The scope of CANCOM's sustainability assessment was expanded by identifying the IROs as part of the double materiality assessment. To this end, new knowledge is being built up progressively in order to appropriately address these new aspects.

Information provided to and sustainability matters addressed by the undertaking´s administrative, management and supervisory bodies (GOV-2)

The working practices of the Executive Board and the Supervisory Board are based on the relevant statutory requirements, the German Corporate Governance Code, the Articles of Association and the resolutions of the Annual General Meeting of CANCOM SE. In addition, the rules of procedure for the Supervisory Board and the rules of procedure and distribution of responsibilities for the Executive Board apply.

The Executive Board manages the company with the objection of sustainable value creation. Its members share responsibility for overall management, work collegially and continuously inform each other about important measures and processes in their areas of business. The CFO is responsible for the corporate sustainability department at CANCOM. Its responsibilities include sustainability reporting and the further development and implementation of the company-wide sustainability strategy. It acts as the central interface for all sustainability-related matters within the CANCOM Group. The CFO is informed about current developments in relation to sustainability on a bi-weekly basis.

The Executive Board informs the Supervisory Board in its meetings and the Audit Committee with comprehensive information on all aspects of business development, significant business transactions, planning, the risk situation, risk management, compliance and sustainability matters, including the sustainability strategy and sustainability reporting, that are relevant to CANCOM. The Executive Board and Supervisory Board regularly discuss the strategic direction of the company, including the sustainability strategy and progress in its implementation. The continuous dialogue between the two bodies forms the basis for efficient corporate governance at CANCOM.

The Executive Board was not involved in the identification of impacts, risks and opportunities; this was carried out by the specialist departments. However, the IROs were presented to the Executive Board and formally approved by resolution. During the reporting period, the Executive Board and Supervisory Board engaged intensively with sustainability matters and with all IROs assessed as material (see the overview of material IROs in section SBM-3).

Management integrates the identified impacts, risks and opportunities into strategic monitoring, decision-making processes for important transactions and risk management procedures by using traditional risk management processes* and integrating ESG aspects and IROs. Depending on the relevance and urgency of the respective aspects, possible trade-offs between economic, environmental and social objectives are discussed in meetings on the implementation of the sustainability strategy. In this way, CANCOM ensures that sustainability aspects are consistently incorporated into business decisions and that long-term value creation is reconciled with environmental and social responsibility. The Group sustainability statement is submitted to the Supervisory Board for review and approval prior to publication. In addition, at least once a year a dedicated meeting is held at which the Supervisory Board is informed about the key sustainability topics including specific measures, regulatory requirements and strategic decisions. The Supervisory Board advises the Executive Board on corporate management and monitors its activities. The Supervisory Board is also responsible for approving the corporate planning, which includes sustainability planning.

Integration of sustainability-related performance in incentive schemes (GOV-3)

The performance indicators for Executive Board remuneration at CANCOM in the 2025 financial year, as defined by the Supervisory Board, comprises both financial and non-financial criteria and are geared towards both the short- and long-term. For 2025, EBITA was defined as the short-term financial performance indicator, supplemented by the non-financial factor: the development of a new sustainability strategy. This factor has been incorporated into the remuneration policy. The non-financial factor accounts for 10 percent of the Executive Board's variable remuneration.

The remuneration system for the members of the Executive Board is determined by the Supervisory Board, regularly reviewed for appropriateness and adjusted at least every four years at the Annual General Meeting. It forms the basis for the annual determination of the specific remuneration of the members of the Executive Board. Each year, the Supervisory Board decides which indicators best reflect the implementation of the corporate strategy. Executive Board remuneration thus makes a significant contribution to promoting the growth and transformation strategy by setting targeted incentives. Non-financial criteria relating to sustainability and strategic topics are firmly embedded in variable remuneration.

Statement on due diligence (GOV-4)

The following table illustrates how and where the application of the key elements and steps of the due diligence process is reflected in the CANCOM Group sustainability statement:

Core elements of due diligence

a) Integration of due diligence
into governance, concept and
business model		 GOV-3, SBM-3
b) Involvement of affected
stakeholders in all key steps of
due diligence		 diligence process
c) Identification and assessment
of negative impacts on people
and the environment

d) Measures to address negative impacts on people and the environment

e) Monitoring the effectiveness of these efforts and communication

Sections in this sustainability statement

See disclosure under ESRS GOV-2,

See disclosure under ESRS 2 GOV-2, SBM-2, IRO-1, MDR-P (policies of the respective topic-specific ESRS), as well as topic-specific ESRS: consideration of the various phases and purposes of stakeholder involvement throughout the due

See disclosure under ESRS 2 IRO-1 (including topic-specific IRO-1 information in the respective section), SBM-3

See disclosure under ESRS 2 MDR-A (measures in the respective topicspecific ESRS) and topic-specific ESRS: consideration of the range of measures

See disclosure under ESRS 2 MDR-T (targets) and topic-specific ESRS: in relation to parameters and targets

Risk management and internal controls over sustainability reporting (GOV-5)*

This section first describes CANCOM's general risk management and risk controlling framework and subsequently addresses additional aspects, such as the consideration of sustainability matters within risk management and sustainability reporting. CANCOM's risk culture is characterised by the fundamental belief that the pursuit of entrepreneurial opportunities inherently involves the acceptance of risks. CANCOM regards the recognition of opportunities and the proactive management of risks as an essential component of responsible and value based corporate governance.

In order to define and ensure adequate risk control, the Executive Board has formulated risk principles in a risk management strategy and appointed a central enterprise risk manager and several local risk officers who regularly monitor and assess any risks. In addition, there is close coordination with the corporate sustainability department, which, in the course of sustainability related activities, has identified further sustainability related risks that are incorporated into the Group risk management inventory.

The internal control and risk management system in place at CANCOM with regard to the (Group) accounting process comprises guidelines, procedures and measures designed to ensure that accounting complies with the relevant principles and standards. The internal control and risk management system relating to the (Group) accounting process is intended to ensure that business transactions are consistently recorded, prepared and assessed in the balance sheet and included in the financial statements. Procedures and processes have been established for risk management and internal control to ensure the quality and reliability of CANCOM's sustainability reporting. These include establishing the dual control principle for data management and text preparation (for each data point, one person is responsible for data entry and another person for data control and approval), the consistent definition of data points for the entire CANCOM Group, the documentation of reporting processes and source systems, and the implementation of sustainability software to enable consistent data collection and consolidation and, thereby uniform data collection structures across CANCOM. The sustainability software also allows for full traceability of data entry and approval, as well as traceability of the underlying source systems of the data. Overall, this also leads to an improvement in data quality. CANCOM proceeds as follows when assessing risks: first, the identified individual risks are assessed according to their probability of occurrence and potential damage, and examined for their interdependencies with other individual risks. All identified individual risks are also assigned to a responsible person at the level of the individual subsidiaries. They are then grouped into thematic clusters. Where risks can be meaningfully controlled using quantifiable variables, appropriately defined key figures are used to assess them. If no precisely definable metrics are available for risks, they are assessed in collaboration with the respective responsible persons, the enterprise risk managers and the members of the Executive Board responsible for risk management. In addition, an annual survey of key players from the companies and business units of the CANCOM Group has been initiated. This tool-based survey is designed to ensure that the existing risk assessments correspond to the current risk potential and to determine whether new risks or risk areas should be taken into account from an expert perspective.

Specific mitigation measures are defined for the most significant risks identified. To address rising energy costs, framework agreements have been concluded and the use of renewable and self-sufficient energy sources for the company's own electricity production has been promoted. To prevent violations of social corporate governance requirements, CANCOM relies on specialists in labour law, intensive information and education, clear assignment of responsibilities on site and continuous awarenessraising among employees. To ensure energy security, storage solutions have been implemented, an emergency power supply has been set up, and diesel reserves have been built up to enable extended operating times of the data centre generators.

CANCOM systematically integrates the results of risk assessments and internal controls into the relevant internal functions and processes. Upon the identification of an increased risk, the company responds immediately by developing and implementing specific measures. These specific adjustments are aimed at effectively mitigating the identified risk. In addition, acute risks are continuously monitored. Should such risks arise, the member of the Executive Board responsible for risk management immediately initiates appropriate risk mitigation measures. In this process, the relevant departments are specifically involved, as they are able to make a material contribution to risk reduction.

The subsidiary CANCOM Austria demonstrates, through its implementation, how the integrative approach is successfully applied. Following the completion of the planning phase, risks and opportunities are analysed in detail in order to assess the likelihood of achieving the defined objectives. Potential risks that could arise from the planning are critically examined. Based on this analysis, concrete measures are derived and communicated to the relevant departments. These findings are incorporated into the forecast every six months in order to take potential risks into account at an early stage and take countermeasures if necessary.

Through this holistic approach, CANCOM Austria ensures that the results of risk assessment and internal controls are not considered in isolation but are actively integrated into the company's operational and strategic processes. This enables proactive and flexible adaptation to changing risk landscapes and supports the sustainable development of the company.

CANCOM has established a structured system for regular reporting on the results of its risk assessment and internal controls to ensure that the administrative, management and supervisory bodies are fully informed. A key element of this reporting system is the risk management dashboard, which is presented to the Executive Board on a quarterly basis. This dashboard provides a concise overview of the company's top risks and very high risks, as well as acute risk situations. This quarterly reporting enables the Executive Board to respond promptly to changes in the risk landscape and to make strategic adjustments if necessary.

In addition, a detailed report is submitted to the Audit Committee once a year. In this comprehensive presentation, the results of the risk assessment and internal controls are analysed and discussed in detail. This enables the Audit Committee to assess the effectiveness of risk management and internal control systems and, where appropriate, to issue recommendations for improvements or adjustments.

CANCOM identifies, analyses and manages financial risks in its risk management system, also where such risks relate to aspects that may have an impact on sustainability. This serves to centralise reporting and avoid duplication. This does not prevent the identification and assessment of IROs in the context of sustainability reporting. Further details can be found in the section "Risks and opportunities report" of the summarised Group management report.

The harmonisation of risk management and reporting processes in the Group management report and the Group sustainability statement will be further intensified going forward.

Strategy, business model and value chain (SBM-1)

CANCOM's product and service offering is geared towards advising and supporting corporate customers, organisations and public sector clients in adapting their IT infrastructures and processes to the requirements of digitalisation. CANCOM acts as a complete solution provider and sees itself as a leading digital business provider and AI enabler for its customers.

The CANCOM Group offers innovative solutions in the areas of artificial intelligence, security & networks, data centres & cloud, IoT solutions, modern workplace and enterprise applications, and provides services for the entire IT lifecycle – from the provision of IT infrastructures, through planning and integration, to support, managed services and X-as-a-Service.

This broad range of products and services enables the CANCOM Group to generate revenue both on the basis of its own capabilities and services (service business) and from fees and commissions for the sale of third-party IT products (sale of goods). Within this business model, the management is pursuing a course of strategic transformation of the CANCOM Group into a digital business provider and AI system integrator. The range of services offered includes consulting and solution design, as well as the provision of hardware-related services, help desk and remote service offerings, and complex managed services and X-as-a-service solutions. CANCOM operates its own logistics and data centres in order to provide such services.

The CANCOM Group distinguishes between three revenue categories. Firstly, the sale of hardware and associated software; secondly, the sale of third-party software licences; and thirdly, the provision of services such as IT strategy consulting, IT services and support. The business activities differ in terms of when revenue is recognised. CANCOM purchases IT hardware and software and

resells it to end users. CANCOM purchases goods both directly from manufacturers and from distributors. In some business relationships, CANCOM acts as an agent and intermediary. In other contractual relationships, CANCOM is classified as a principal due to its own services, for example in the context of maintenance, guarantees and warranties provided by CANCOM itself. The parent company of CANCOM Group is CANCOM SE, based in Munich, Germany. It performs centralised financing and management functions for the group companies, i.e. the companies in which it holds shares. In addition to the central management and financing activities of the parent company, the operating units are supported in their day-to-day business operations by centralised departments for internal IT, warehousing/logistics, finance, fleet and travel management, repair/service and human resources ("Central Services") as well as marketing/communications and product management. In addition, the operating units have access to an internal specialised sales department ("Competence Center") across the organisation. The CANCOM Austria Group, based in Vienna, is a wholly owned subsidiary of CANCOM SE. Within the CANCOM Austria Group, CANCOM Austria AG performs the central financing and management functions for the subsidiaries of CANCOM Austria. The company has branches in Austria and subsidiaries in the Czech Republic, Romania and Switzerland.

Further details on the business model can be found in the section "Foundations of the Group".

The group-wide corporate strategy of CANCOM is called ALL IN 28 and pursues three core objectives: profitable growth as the #1 Digital Business Provider and AI-Enabler, high-performance teams & attractive employer, and operational excellence & internal AI efficiency. The focus is on these business areas: AI, IoT, Modern Workplace, Cloud & Datacenter, Security & Connectivity and Enterprise Applications.

The primary objective is to focus on profitable growth, which is to be achieved through the comprehensive utilisation of the solution and service portfolio. This means that the various offerings and services are optimally combined to provide maximum added value to customers.

The second objective focuses on creating the conditions for high-performance teams characterised by a strong corporate culture, excellent leadership and open communication. This involves continuously increasing employee satisfaction, which not only creates a positive working environment, but also promotes commitment and supports key sustainability aspects. The strategy also aims to increase CANCOM's attractiveness as an employer.

This objective is particularly relevant as it is directly linked to the workforce, which is the key interface to the sustainability strategy. This objective of the corporate strategy aims to reduce employee turnover and establish uniform career and succession management. This is intended not only to strengthen employee retention to the company, but also to provide clear perspectives for their professional development.

CANCOM's third objective is to achieve operational excellence and AI efficiency. This includes the optimisation of internal processes to work more efficiently and effectively, ultimately benefiting the organisation. The aim also includes to reduce the workload of employees through smoother process flows and thereby increase productivity. Another focus is the successful integration and utilisation of synergies between CANCOM Austria and CANCOM a+d IT solutions GmbH, also based in Austria, in order to bundle the strengths of both units and strengthen their market position.

Overall, the ALL IN 28 strategy underscores CANCOM's ambition to be a successful, forward-looking company that pursues its economic objectives while also providing its employees with an attractive and fulfilling working environment.

CANCOM's economic activities were not broken down according to ESRS sectors.

In addition to the ALL IN 28 strategy, CANCOM has a new sustainability strategy with environmental, social and governance objectives, which was developed in 2025. These objectives relate to the topics of climate change (see section E1 Climate change) and human resources (see section S1 Own workforce). To date, CANCOM has not yet developed targets for the topics of circular economy (E5) and business conduct (G1) but intends to develop targets for these areas in the medium-term.

No assessment of the currently most important groups of products and services, customer categories, geographical areas and stakeholder relationships has yet been carried out with regard to the sustainability goals. CANCOM will analyse challenges in strategy implementation in the short-term and develop countermeasures. Potential challenges include the development of suitable KPIs for performance measurement and the additional workload for the departments involved.

CANCOM has not made use of the option provided for in Article 18(1)(a) of Directive 2013/34/EU (22) to omit certain information.

Explanation of its own business model:

CANCOM is an international IT company that is primarily active in the DACH region. CANCOM generates revenue from the sale of IT hardware and related services, as well as other IT services independent of hardware sales.

CANCOM provides its services to small and medium-sized enterprises, large international corporations and public sector clients. Accordingly, its customers are commercial end users. CANCOM purchases IT hardware directly from manufacturers or through distributors. Some of the hardware is shipped directly to customers (direct shipment). CANCOM also provides services that combine hardware with a CANCOM service product. These include, for example, the pre-configuration of devices, the assembly of components into finished products, and services relating to delivery to the customer, on-site installation and maintenance/servicing. Project logistics are either handled by external service providers or directly by CANCOM. In the software segment, CANCOM sources products from manufacturers, integrates them into customer projects or licenses and packages them for individual customer use. CANCOM offers IT services both as managed services – with operational responsibility for clearly defined tasks – and in a scalable XaaS model which provides customers with specific services in a flexible manner tailored to their needs. For the provision of highly specialised services, CANCOM engages external IT experts. The services are mainly provided in Germany and Austria, with additional market access in Switzerland, Belgium and Romania. Development and service locations are situated in Slovakia and the Czech Republic. CANCOM's strategy is to expand its trading and service business in its existing core markets and thereby achieve profitable growth in the coming years. In addition to its own employees, business partners are among the most important stakeholders. Due to its presence on the capital market, investors, ESG rating agencies and – as a result of its stock market listing – the media are also relevant stakeholder groups for CANCOM.

Upstream value chain:

CANCOM maintains long-standing and close supply relationships with its suppliers. The supplier base can be divided into three main groups.

1. Manufacturers:

CANCOM sources a large proportion of its goods directly from manufacturers (OEMs). These are predominantly large, multinational companies that manufacture the hardware and software products sold by CANCOM to its customers or used in the provision of its own services.

2. Distributors:

Some manufacturers market their products through distributors, which resell OEM products to companies such as CANCOM.

3. General suppliers and service providers:

CANCOM also works with a large number of small and medium-sized service providers that supply products or services which are not sold directly to customers but are used for its own business operations – for example, for property maintenance or the provision of specialised consulting and development services. CANCOM acts as a sales channel for its suppliers. The products offered by manufacturers are procured either on the basis of specific customer enquiries or as part of strategic portfolio development. Supply disruptions affecting individual products or product categories can generally be compensated for by alternative products in the case of less specialised equipment such as laptops, peripheral devices or standard solutions. In contrast, for highly specialised components – such as those in the areas of server and network technology – CANCOM relies on selected suppliers. CANCOM pursues a sustainable procurement strategy to ensure the long-term availability of and access to products. Supply security and the associated supplier risks are continuously monitored as part of the Group's risk management* system. Suppliers represent the most important stakeholder group in the upstream value chain. The two largest suppliers, Ingram and TD SYNNEX, are major distributors which could in principle be replaced in the medium-term, but their limited number restricts the scope for negotiation on purchasing terms. Due to its high purchasing volume, CANCOM exerts a significant influence on these top distributors, who in turn have a comparable influence on CANCOM, as competitive terms are crucial in the hardware

business. In the case of manufacturers such as Dell, which also belong to the ten largest revenue generating suppliers, CANCOM's influence in the upstream value chain is comparatively limited. Suppliers are a key stakeholder group in the upstream value chain. Corporations that do not serve any other distribution channels can exert greater influence on CANCOM due to their market position and branded products. Suppliers are also a focus in terms of due diligence obligations. As an internationally active and publicly traded company, CANCOM attaches great importance to responsible corporate governance and is committed to the principles of sustainable business conduct that respect human rights. In doing so, CANCOM aligns itself with the Guiding Principles on Business and Human Rights and renewed its commitment to these values in 2015 through continued support of the UN Global Compact. CANCOM fully endorses the principles of the UN Global Compact and takes care to protect human rights and avoid negative impacts from its business activities and products. A particular focus is placed on suppliers' workers (in accordance with ESRS "Workers in the value chain"). As almost all suppliers are based in Europe and North America, the relevance of supply chain monitoring is considered to be low; likewise, CANCOM has only limited leverage over larger corporations. Accordingly, this topic is classified as non-material in the double materiality assessment. To ensure standards are met, CANCOM has introduced a mandatory supplier commitment declaration that obliges suppliers to comply with the principles of the UN Global Compact. In addition, CANCOM's business activities in Germany are subject to the German Supply Chain Act, and it has implemented the legally required processes for supply chain monitoring. This enables the identification, addressing and remediation of human rights violations. CANCOM reports annually on compliance with the German Supply Chain Act.

Downstream value chain:

Customers range from small and medium-sized enterprises to large multinational corporations. Business relationships vary depending on the type of services purchased. Customer relationships in which the sale of hardware and software is the main focus are generally one-off in nature but may also be recurring. In the case of longer-term hardware contracts, CANCOM maintains long-term, hardware-focused relationships. In the service segment, contract terms typically range from several months to several years, with customer relationships generally designed to be long-term. Customers purchase IT hardware, software and a range of services from CANCOM, which they use according to their respective requirements. Most CANCOM customers have in common that they use digital technologies to digitise (business) processes and

thus increase (operational) efficiency. CANCOM products promote digital participation in an increasingly connected society. Use cases vary depending on the industry: they range from IoT and sensor solutions in production to the planning and implementation of complex workplace and data centre infrastructures to the digitisation of educational offerings and processes in the healthcare sector. How the solutions are used depends on the individual requirements of the customers and is beyond CANCOM's direct sphere of influence.

CANCOM is positioned in the value chain between IT product manufacturers and end users. In addition to providing solutions throughout the entire life cycle of IT hardware, CANCOM also offers services at the end of life. These include remarketing activities in which hardware components and devices that are still usable are collected, refurbished and reused. When further use is no longer possible, CANCOM collects the devices and forwards them to certified disposal companies for professional recycling. CANCOM's business activities are not subject to any specific legal regulations beyond the general provisions for commercial enterprises. However, certain IT services – such as those in the area of critical infrastructure or financial services – are subject to sector-specific legal requirements, which CANCOM strictly complies with. In this regard, the applicable legal framework in the respective country markets is determined by European framework legislation and the relevant national regulations.

CANCOM is one of the seven largest IT service providers in the DACH region. Its strong regional presence, combined with more than 5,000 experts and a comprehensive service portfolio enable CANCOM to achieve growth above the market average. Paired with an expansion strategy, CANCOM is in a preferred market position. Investors can participate in this growth through the share price performance. An attractive dividend policy combined with share buybacks programmes allows the value per share to increase disproportionately, thereby further enhance shareholder value.

CANCOM is not active in the fossil fuel sectors and does not generate any revenue from economic activities related to coal, oil or gas. CANCOM is neither engaged in chemical production nor involved in the manufacture or trade of controversial weapons. CANCOM does not participate in the cultivation or production of tobacco.

CANCOM has not yet carried out an assessment of its key products and services, as well as of significant markets and customer groups, with regard to its sustainability objectives.

Interests and views of stakeholders (SBM-2)

As required by the ESRS, CANCOM's entire value chain was considered. All stakeholder groups were classified as part of a comprehensive stakeholder analysis. This involved assessing both CANCOM's influence on stakeholders and the influence of stakeholders on CANCOM. The most important stakeholder groups include employees in our own business activities, suppliers, investors and workers in the upstream value chain, as well as customers in the downstream value chain. Important information on the employee group is derived from the annual employee survey. For the largest suppliers and customers – measured in terms of business volume – a sustainability media and location screening was carried out. Extensive databases from SATYR and a sustainability location analysis were used as input for this. Due to its large purchasing volume and long-standing relationships with major suppliers and providers of IT hardware, IT services and distributors, CANCOM is able to offer its services to customers on attractive terms. Customers benefit from a broad purchasing network and CANCOM's long-standing supplier relationships with regard to delivery reliability and availability of IT products and services.

Communication with CANCOM stakeholders is of central importance to CANCOM's value creation and long-term business success. Customers, suppliers, investors and employees are directly linked to value creation and business success. In addition, customers, investors, employees and suppliers are crucial for the development and implementation of CANCOM's sustainability strategy. The involvement of stakeholder groups is primarily carried out by the corporate sustainability, human resources, investor relations, legal & compliance, procurement and sales departments, as well as by the Executive Board (proxy approach). The insights gained are incorporated into the materiality assessment, which is described in more detail in section IRO-1. The following overview shows how CANCOM engages in dialogue with its most important stakeholder groups – employees, investors and customers.

Employees (affected stakeholders):

Engagement: The Executive Board of CANCOM regularly keeps the workforce informed about current topics and projects within the company. CANCOM also uses an email newsletter to communicate with employees on a regular basis. An employee survey is conducted on an annual basis. Training and development are supported through regularly updated offerings that are accessible

to all employees. In addition, employee appraisals are used to create individual development plans. A whistleblowing tool provides employees with an additional channel to raise concerns with the company.

Outcome of the engagement: Regular direct communication by the Executive Board promotes a culture of openness and innovation. The email newsletter not only disseminates internal news but also serves as a platform for the company suggestion scheme, for example through internal idea competitions. The employee survey provides important impulses for the continuous improvement of working conditions. Training and development opportunities enable employees to pursue both professional and personal development. Employee appraisal meetings and feedback promote the individual development of each employee. The unrestricted use of the whistleblowing tool strengthens trust in the company by ensuring that employees can raise sensitive issues at any time.

Investors (potentially affected stakeholders and users of sustainability reports):

Engagement: CANCOM communicates with investors through roadshows, investor conferences, investor calls and personal exchanges through the investor relations department. Investors receive comprehensive information through quarterly reports, the Annual Report including the Group sustainability statement in the Group management report and the remuneration report. In addition, press releases are issued to the capital market and announcements subject to ad hoc publicity. All investors and stakeholders also have access to the content that CANCOM presents at analyst events and investor conferences at regular intervals and several times a year. Once a year, CANCOM invites all shareholders to the Annual General Meeting, where each shareholder has the right to speak and vote in accordance with their registered votes.

Outcome of the engagement: Investors are provided with information through a wide variety of channels enabling them to make well-informed investment decisions and keep abreast of the current status of the company's operations. At the Annual General Meeting, investors can exercise their voting rights and thus play a decisive role in shaping the company's development. In terms of sustainability, investors focused on topics such as skills shortages, employee satisfaction including employee turnover, and governance issues.

Customers (affected stakeholders and users of sustainability reports):

Engagement: Communication with customers takes place through negotiations, review meetings, round tables, trade fairs and conferences, customer events, acquisition talks and training courses.

Outcome of the engagement: A key objective of CANCOM is to increase customer satisfaction. Sustainability topics play a significant role for many customers. In this context, the focus is primarily on climate change mitigation, sustainable delivery (including the reduction of packaging), workforce related topics and sustainability assessments, such as those conducted by EcoVadis.*

Suppliers (affected stakeholders and users of sustainability reports):

Engagement: A risk assessment is carried out at least once a year in accordance with requirements of the German Supply Chain Act. Audits, some of which are carried out on site, are conducted on new suppliers and existing suppliers.

Outcome of the engagement: In most cases, suppliers sign CANCOM's Business Partner Code. Where necessary, measures are initiated and suppliers agree on targets to improve environmental and workforce-related or human rights-related topics. In the event of serious human rights violations, the business relationship with the supplier is terminated.

The results of CANCOM's annual employee survey are evaluated and changes are initiated to continuously improve employees' working conditions. Investor feedback, customer discussions and the results of supplier audits are also analysed regularly, and the requirements of the most important stakeholder groups are evaluated internally.

The results of CANCOM's annual employee survey are analysed and implemented in close cooperation between the Executive Board and the works council. The Executive Board is informed comprehensively and promptly by the investor relations and corporate sustainability departments about feedback from communication with investors on sustainability-related topics.

Customer requirements that affect CANCOM's sustainability performance are a high priority for the company and are communicated to the Executive Board by the sales and corporate sustainability departments in regular meetings.

Feedback from the aforementioned stakeholder groups is presented and explained to the Supervisory Board at least once a year. Supplier audits and risk assessments are included in the annual report for the German Supply Chain Act, which is coordinated with the Executive Board and submitted to the Supervisory Board.

Material impacts, risks and opportunities and their interaction with strategy and business model (SBM-3)

The material sustainability topics according to the double materiality assessment are:

  • Climate change: climate change adaptation, climate change mitigation, energy;
  • Circular economy: resource outflows related to products and services;
  • Own workforce: secure employment, working hours, adequate wages, social dialogue, work-life balance, health and safety, gender equality and equal pay for work of equal value, training and skills development, diversity;
  • Business conduct: corporate culture, protection of whistleblowers.

CANCOM has not identified any company-specific sustainability matters.

CANCOM will review the resilience of its strategy and business model with regard to significant impacts in the medium-term.

The material IROs are listed in the table below. The IRO numbers addressed by the respective measures are listed in the description of the measures in the respective sections.

Topic Number IRO formulation Value chain IRO categorisation
Climate change
mitigation		 1 Negative impact due to growth and resource consumption in production
(upstream value chain), vehicle fleet and energy consumption for data
centres and offices, and product use (downstream value chain), resulting
in GHG emissions.		 Entire value chain Negative impact
(actual)
Climate change
adaptation		 2 Effects on climate-related events, such as floods, fires and heat waves Negative impact
(actual)
Energy 3 Positive impact through improved energy management as a result of
ISO 50001 certification at all CANCOM locations in Germany and the
implementation of the ISO 14001 environmental management system
at CANCOM Austria locations.		 Own operations
Positive impact
(actual)
Energy 4 Negative impact on climate change due to high energy consumption
and electricity from non-renewable energy sources, which lead to high
GHG emissions.		 Negative impact
(actual)
Circular economy 5 The technology market is characterised by a high rate of innovation and
comparatively short product life cycles. Due to its strong focus on growth
and increasing unit volumes, CANCOM has a negative impact on resource
use. Higher revenue means more products and thus more resource
outflows.		 Negative impact
(actual)
Secure employment 6 Positive impact on employees by offering permanent employment
contracts, providing job security		 Own operations Positive impact
(actual)
Working time 7 Positive impact on employees through flexible working hours,
increasing satisfaction and well-being.		 Own operations Positive impact
(actual)
Adequate wages 8 Positive impact on employees through adequate remuneration,
providing security and demonstrating appreciation.		 Own operations Positive impact
(actual)
Social dialogue 9 Positive impact through extensive communication with its employees,
fostering a sense of participation and increasing satisfaction.		 Own operations Positive impact
(actual)
Social dialogue 10 A lack of opportunities for participation or communication of information
can lead to employee dissatisfaction and negatively affect well being.		 Own operations Negative impact
(potential)
Work-life balance 11 Positive impact through a balanced work-life balance, enabling employees
to combine work and family responsibilities.		 Own operations Positive impact
(actual)
Health and safety 12 Positive impact on employees through comprehensive health protection,
improving health and reducing illness.		 Own operations Positive impact
(actual)
Gender equality
and equal pay for
equal work		 13 Positive impact on people through gender equality and reduction of the
gender pay gap, increasing well-being and satisfaction.		 Own operations Positive impact
(potential)
Gender equality
and equal pay for
equal work		 14 Negative impact on employee well-being due to unequal pay for
equal work, leading to dissatisfaction.		 Own operations Negative impact
(actual)
Training and skills
development		 15 Positive impact on employees through extensive training and
development opportunities as it provides opportunities for personal and
professional development and thereby increases satisfaction.		 Own operations Positive impact
(actual)
Diversity 16 Negative impact on employees' development opportunities due to a lack
of diversity in leadership positions and top management.		 Own operations Negative impact
(potential)
Corporate culture 17 Positive impact on employees due to the establishment of a good
corporate culture and the preservation of values, enabling employees to
realise their full potential.		 Own operations Positive impact
(actual)
Protection of
whistleblowers		 18 Positive impact on employees, suppliers' employees, business partners,
customers and local communities by enabling them to report compliance
violations to CANCOM anonymously, as this leads to the protection of
people along the entire value chain.		 Entire value chain Positive impact
(actual)

Description of the processes to identify and assess material impacts, risks and opportunities (IRO-1)

CANCOM has conducted a double materiality assessment to identify and assess impacts, risks and opportunities. As specified in the ESRS, the analysis was conducted in accordance with both impact materiality (inside-out approach) and financial materiality (outside-in approach) in order to identify the material sustainability matters. Potential and actual positive or negative impacts, risks and opportunities are identified on the basis of stakeholder dialogues, internal workshops and the analysis of industry trends, the business model and business activities. In order to identify sustainability-related risks and opportunities, CANCOM focussed in particular on dependencies on resources and their availability along the supply and value chain. At the same time, CANCOM assessed which risks and opportunities underlie the impacts previously identified.

The topics are considered both from the perspective of the company (in terms of how they affect financial performance) and from the perspective of the environment and people. The topics are then evaluated and identified as material if they exceed a threshold value of 50 out of 100 percent. The threshold values were defined based on the Group's risk management system. *

Individual impacts that were deemed not relevant for assessment from the outset (e.g. regionally limited issues with obviously low impact, not irreversible) were not subjected to an assessment (threshold test).

In accordance with ESRS requirements, a distinction was made between actual and potential impacts, which were then assigned to the individual stakeholder groups along the value chain. An assessment catalogue was created for the threshold determination process by consulting experts on the respective topics. This concerns definitions and clustering (classification into one of four categories: low, medium, high, very high) for scope, extent, irreversibility and probability of occurrence. In addition, the different time horizons were defined (short-term: < 1 year; medium-term: < 3 years; long-term: < 4 years; in perspective: > 4 years) .

Prioritisation is based on potential negative impacts on human rights. For all matters related to negative impacts on human rights, severity takes precedence over probability of occurrence in the threshold test. In the case of actual negative impacts, materiality is

determined by the severity of the impact; in the case of potential negative impacts, it is determined by the severity and probability of occurrence of the impact. Positive impacts are classified according to their extent and scope, as well as the probability of occurrence in the case of potential positive impacts.

Financial opportunities and risks for the company were identified through extensive stakeholder engagement (see SBM-2 Interests and views of stakeholders), workshops with stakeholders and the evaluation of documents such as annual reports. Individual financial opportunities and risks that were deemed not relevant for assessment from the outset (e.g. very low damage potential and very low probability of occurrence) were not subject to assessment (threshold test).

Initially, suitable quantitative thresholds for the assessment of financial risks and opportunities were defined in consultation with CANCOM's risk management department. A low level of damage is considered to be a potential loss of up to € 4 million, a medium level of damage is € 4 to € 8 million, a high level of damage is € 8 to € 12 million, and a very high level of damage is over € 12 million. Sustainability risks and opportunities were assessed based on their probability of occurrence and the potential extent of their financial impact in the short-, medium- and long-term and in perspective.

The assessment of materiality also took into account financial impacts associated with dependencies on natural and social resources, even if these do not (or do not yet) meet the criteria for recognition in the balance sheet in accordance with ESRS 1, paragraphs AR 14 and AR 15. Internal stakeholders who were able to contribute expertise on the respective topics were involved in determining the level of individual financial risks and opportunities. There was close communication with risk management in order to verify the expert opinions and determine the final financial impact.

The results of the threshold test (impact materiality and financial materiality) were then consolidated in a heat map. Following consultation with experts and the preparation of a preliminary heatmap, the results of the threshold assessments were reviewed once again by CANCOM's corporate sustainability department. The results were then submitted to the Executive Board of CANCOM for review and verification.

CANCOM Group's risk management department was involved in the entire process from the outset. There was close communication, particularly in the determination of financial risks and opportunities, especially when determining thresholds. The financial thresholds for assessing financial sustainability risks are consistent with other financial risks.

Sustainability-related risks and opportunities that were identified as material were then fully integrated into the overall risk management system and used there for the assessment of the general risk profile. As soon as risks and opportunities with a high probability of occurrence or potential for damage were identified, they were prioritised. The aim is to minimise sustainability-related risks and make the best possible use of sustainability-related opportunities.*

The input parameters for determining assumptions are based on the respective subject areas. For employee topics, SAP-based data from the human resources department is used. In addition, a tool is used to collect and calculate environmental data. Furthermore, the data management tool is used to collect extensive data on individual topics required by the ESRS. In future, this data management tool will be used more extensively for data management and verification.

The final approval of the material topics was given by the CANCOM Executive Board.

At the conclusion of the materiality analysis, the materiality of the sustainability topics was subject to a final review. In the last step of the analysis, the topics were assessed in terms of their usefulness for decision-making. To this end, not only was their relevance for the regulatory requirements of ESRS 1 examined, but also their relevance for the strategic orientation of the company and for key stakeholder groups. The thresholds defined in the materiality analysis were supplemented and validated by the scope of the strategic orientation and the respective stakeholders. This process step did not change the materiality results.

The double materiality assessment was carried out by CANCOM for the first time, therefore, there are no changes from the prior year. The double materiality assessment will be carried out again, for example, in the event of fundamental changes to the business model or other significant changes.

Disclosure requirements contained in ESRS covered by the Group sustainability statement (IRO-2)

The ESRS index and a complete overview of all data points derived from other EU legislation can be found in the Annex.

Environmental information

Information on the EU taxonomy

As part of the Paris Climate Agreement in 2015, the European Union committed to becoming climate neutral as a community of states by 2050. To achieve this goal, the European Commission launched the European Green Deal in December 2019. As a strategic framework, the European Green Deal comprises a series of measures designed to accelerate the transition to an emissionsneutral and sustainable economy for various sectors and industries through targeted investments and the channelling of financial flows.

A key element in driving forward this sustainable transformation of the economic system is the introduction of the so-called EU taxonomy. This is based on Regulation (EU) 2020/852 on the establishment of a framework to facilitate sustainable investment and amending Regulation (EU) 2019/2088, which was adopted by the European Parliament and the Council of Europe in June 2020. In 2023, Delegated Regulation (EU) 2023/2486 and 2023/2485 published the technical assessment criteria for taxonomy objectives 3 to 6, defined further economic activities for objectives 1 and 2 and adapted their technical assessment criteria. The Taxonomy Regulation thus defines a total of six environmental objectives to which economic activities can make a significant contribution by complying with the criteria of the EU taxonomy.

The following six environmental objectives have been defined:

  • Climate change mitigation (CCM)
  • Climate change adaptation (CCA)
  • Sustainable use and protection of water and marine resources (WTR – Water)
  • Transition to a circular economy (CE)
  • Pollution prevention and control (PPC)
  • Protection and restoration of biodiversity and ecosystems (BIO – Biodiversity and ecosystems)

The EU taxonomy focuses on economic activities that have a particularly high environmental impact and whose transformation can make a significant contribution to the six environmental objectives.

CANCOM is obliged to prepare a non-financial Group statement in accordance with the Non-Financial Reporting Directive (Directive 2014/95/EU). As a result, CANCOM has been subject to the disclosure requirements of the EU taxonomy since 2021.

Application of the EU taxonomy for the CANCOM Group in the 2025 reporting year

At the beginning of January 2026, Delegated Regulation (EU) 2026/73 amending the EU taxonomy came into force. This regulation is applied for the reporting period of the 2025 financial year and introduces a procedural change with the newly introduced materiality threshold: companies will no longer be required to assess non-material activities for taxonomy eligibility or alignment. For non-financial companies, activities are considered non-material if they account for less than 10 percent of revenue, capital expenditure (CapEx) or operating expenditure (OpEx). In addition, companies can refrain from disclosing whether their current operating expenditure is taxonomy-eligible if this expenditure is not relevant to their business model. CANCOM applies this in the context of operating expenditure.

Identification of taxonomy-eligible economic activities

CANCOM has reviewed and reassessed its taxonomy-eligible economic activities for the financial year. The following economic activities have been identified as taxonomy-eligible and material:

  • 6.5 Transport by motorbikes, passenger cars and light commercial vehicles (climate change mitigation), and
  • 7.7 Acquisition and ownership of buildings (climate change mitigation)

As in the prior year, CANCOM has concluded that the description of the activities does not reflect the material aspect of the CANCOM Group's business activities for the economic activity "Data processing, hosting and related activities" (CCM 8.1). The CANCOM Group generates its consolidated revenue from trading of IT hardware and software and from the provision of IT services. At CANCOM, the operation of data centres primarily serves

to support the provision of IT services and to enable internal operating procedures and internal administrative processes. CANCOM therefore does not classify the activity as part of its revenue-generating core business, but only as taxonomy-eligible capital expenditure.

In accordance with the Commission Notice (C/2023/305) (FAQ), neither investments nor operating expenditure is allocated to the environmental objective "climate change adaptation". Furthermore, the activities under consideration cannot be classified as enabling activities within the meaning of this objective – they do not provide adaptation solutions for other activities that would enable a significant contribution. Therefore, no revenue is allocated to this environmental objective. Double counting is therefore ruled out.

Determination of taxonomy alignment

For the economic activities eligible for taxonomy, the technical assessment criteria were reviewed in collaboration with experts from the respective business areas. These criteria are used to assess whether CANCOM makes a significant contribution to the relevant objective through the respective activity and, at the same time, does not cause significant harm to the other environmental objectives. If both are the case, the activity is environmentally sustainable within the meaning of the EU taxonomy. The analysis of the technical assessment criteria yielded the following results.

For the economic activity "transport by motorbikes, passenger cars and light commercial vehicles" (CCM 6.5), the assessment of taxonomy alignment was negative due to a lack of positive evidence from manufacturers and leasing companies and thus non-fulfilment of the technical assessment criteria.

For the economic activity "acquisition and ownership of buildings" (CCM 7.7), the assessment of taxonomy alignment was negative due to a lack of positive evidence from landlords and thus non-fulfilment of the technical assessment criteria.

Supplementary disclosures on the KPIs

The information and key figures on revenue, CapEx and OpEx reported in accordance with the requirements of the EU Taxonomy Regulation are calculated on the basis of the CANCOM Group's consolidated financial statements, which were prepared in accordance with the International Financial Reporting Standard (IFRS) as applicable in the European Union.

Revenue

In accordance with the Delegated Act on reporting requirements, revenue corresponds to the income reported in IAS 1.82 (a). The reported revenue KPI for CANCOM indicates the ratio of revenue from taxonomy-aligned activities to total revenue. Total revenue can be found in the consolidated statement of comprehensive income (consolidated financial statements). The denominator of the revenue KPI is based on consolidated net revenue.

The numerator of the revenue KPI comprises the portion of net revenue derived from goods or services associated with taxonomy-compliant economic activities. Currently, there are no products or services that have been classified as material and taxonomy-eligible.

For the 2025 financial year, the share of taxonomy-eligible revenue in total revenue is 0 percent.

CapEx

The CapEx KPI is based on additions to property, plant and equipment and intangible assets before depreciation and amortisation and without taking into account revaluations in the financial year or changes in fair value (e.g. in accordance with IAS 16, IAS 38 and IFRS 16 for rights of use arising from leases). The total capital expenditure relevant to the EU taxonomy can be found in the consolidated asset table (B8). This sum forms the denominator of the CapEx KPI.

The numerator of the CapEx KPI comprises the portions of the above-mentioned denominator that relate to assets or processes associated with taxonomy-compliant economic activities (category (a)), or the acquisition of production from taxonomy-compliant economic activities and individual measures that enable a lower-carbon execution of the target activities or lead to a reduction in GHG emissions (category (c)).

For the 2025 financial year, the share of taxonomy-eligible investments in the total investment volume is 66.7 percent. At the same time, no investments that are considered taxonomy-compliant could be reported for 2025.

OpEx

The determination of taxonomy-eligible and taxonomy-compliant shares of total operating expenses is not carried out within the framework of Delegated Regulation (EU) 2026/73, as operating expenses for taxonomy-eligible activities do not arise to a significant extent in CANCOM's core business. Accordingly, this information is not relevant to the business model.

In this report, information on fossil gas and nuclear energy has been deleted in accordance with the omnibus amendments, as the specific reporting forms for these sectors have been repealed in Delegated Regulation (EU) 2021/2178 to reduce reporting obligations.

Reporting form for taxonomy-eligible and taxonomy-aligned activities

Reporting form 1: Proportion of revenue, CapEx and OpEx from goods or services related to taxonomy-eligible or taxonomy-aligned economic activities — Disclosure for the financial year 2025 (summary KPI)

Financial
year 2025		 by environmental objective Breakdown of taxonomy-aligned activities
KPI Total Proportion of taxonomy-eli
gible activities		 Taxonomy-aligned activities nomy-aligned activities
Proportion of taxo		 Climate change mitigation Climate change adaptation Water Circular economy Pollution Biodiversity Proportion of enabling
activities		 Proportion of transitional
activities		 Non-assessed non-material
activities		 activities in the previous
Taxonomy-aligned
financial year 2024		 previous financial year 2024
Proportion of taxonomy
aligned activities in the
€ million % £ % % % % % % % % % % € %
Revenue 1,714.7 0 0 0 0 0 0 0 0 0 0 0 100 0 0
CapEx 48.5 66.7 0 0 0 0 0 0 0 0 0 0 33.3 12,000* <0.1*

Reporting form 2: Proportion of CapEx from goods or services associated with taxonomy-eligible or taxonomy-aligned economic activities - Disclosure for the 2025 financial year (broken down by activity)

Reported CapEx KPI
Financial year 2025 Environmental target for
taxonomy-aligned activities
Economic activities Code (share of taxonomy-compliant
Taxonomy-eligible KPI
revenue, CapEx, OpEx)		 Taxonomy-aligned KPI (monetary
value of Revenue/CapEx/OpEx)		 (share of taxonomy-compliant
Taxonomy-aligned KPI
revenue, CapEx, OpEx)		 Climate change mitigation Climate change adaptation Water Circular economy Pollution Biodiversity Enabling activity Transitional activity taxonomy-eligible activities
Taxonomy-aligned share of
% € % % % % % % % % % %
Transport by motorbikes, passenger
cars and light commercial vehicles		 CCM 6.5 29.8 0 0 0 0 0 0 0 0 - - 0
Acquisition and ownership
of buildings		 CCM 7.7 36.9 0 0 0 0 0 0 0 0 - - 0
Total alignment by target 0 0 0 0 0 0 0
Total KPI value CapEx 66.7 0 0 0 0 0 0 0 0 - - 0

Climate change (E1)

CANCOM recognises the growing importance of climate change as one of the key global challenges. Against this background, CANCOM pursues the target of systematically reducing GHG emissions and energy consumption both within its own operations and across the entire value chain – upstream and downstream. The climate strategy described below provides the strategic framework for this process.

Integration of sustainability-related performance in incentive schemes (E1.GOV-3)

Climate-related considerations are an integral component of the remuneration system for the Executive Board. Variable remuneration is assessed, inter alia, based on the achievement of sustainability-related activities, such as the development of a new sustainability strategy in the 2025 financial year. These criteria do not include specific climate-related KPIs but do encompass activities in the area of climate change. In this way, CANCOM ensures that its managers actively contribute to the implementation of the climate strategy.

Transition plan for climate change mitigation (E1-1)

A new climate strategy was presented in the 2025 financial year. A comprehensive transition plan for climate change mitigation is expected to be prepared during the 2026 financial year.

Material impacts, risks and opportunities and their interaction with strategy and business model (E1.SBM-3)

As part of the materiality analysis, it was examined whether material risks, opportunities and impacts exist for CANCOM in the area of climate change. The assessment concluded that no specific risks or opportunities were identified that have a material impact on the company's financial performance and position.

With regard to impacts, both positive and negative effects have been identified. CANCOM records positive impacts, including the certification of the energy management system in accordance with ISO 500011 at all German sites, as well as its gradual implementation at the Austrian sites. Negative impacts arise from additional resource consumption due to further growth in the upstream value chain, as well as from GHG emissions generated by the vehicle fleet, office space and data centres, which continue through to the use of products in the downstream value chain.

In the resilience analysis described in E1.IRO-1 CANCOM assets located in the countries in which CANCOM operates (Germany, Austria, Belgium, Slovakia, Romania, Switzerland, the Czech Republic) were analysed. The analysis concluded that no material risks for CANCOM were identified regarding the effects of climate change. ESG risks, and climate risks in particular, are integrated into CANCOM's risk management2 in the short-, medium- and long-term, and the strategy and business model are adjusted accordingly where necessary.

Impacts of climate change (E1.IRO-1)

The impacts on climate change were identified and assessed as part of the double materiality assessment for both CANCOM's own business activities and the upstream and downstream value chain. Focus was placed on the company's own business activities, as well as on the upstream supply chain, including the production of hardware, and the downstream value chain, including the use of the products. In particular, the production of hardware results in high levels of emissions in the upstream value chain. Within CANCOM's own business activities, impacts were also identified as material contributions to climate change, for example from the vehicle fleet and from the procurement of electricity and heat for offices and data centres. In the downstream value chain, for example, electricity consumption during the use phase of the hardware has a further negative effect on the environment. A detailed description of the general process for identifying and assessing impacts, risks and opportunities can be found in the "General disclosures" section of ESRS 2.

In order to identify the most significant opportunities as well as physical and transition risks up to 2050, CANCOM conducted a comprehensive climate scenario analysis with a time horizon of 2050 together with The Climate Service in 2023. Various climate scenarios (RCP 8.5, 6.0, 4.5 and 2.6) were analysed, with a particular emphasis on the resilience of the business model.

This is highly dependent on assets such as data centres, offices and transportation activities along the value chain. If these assets were to be affected by the impacts of climate change, CANCOM's business model would be at risk. Both physical risks (such as extreme weather events and rising sea levels) and transition risks (such as political, legal and technological changes) were considered.

As the climate risk analysis was carried out in 2023, not all climate risks set out in the ESRS standard were yet known at that time. Consequently, not all climate risks in accordance with ESRS were considered; instead, the following climate risks and opportunities were assessed:

  • Physical climate risks: extreme temperatures, coastal flooding, drought, fire, tropical storms, water stress and inland flooding.
  • Transition risks: CO₂ prices, litigation, technology, reputation, markets, and
  • Transition opportunities: resource efficiency, energy sources, products and services, markets and resilience.

IIn summary, these risks are currently assessed as very unlikely and do not pose a threat to CANCOM's financial performance and financial position. No assets or business activities were identified that are incompatible with the transition to a climate-neutral economy or that require significant transformation measures.

CANCOM analysed various climate scenarios (RCP 8.5, 6.0, 4.5, 2.6) for the year 2050. Across all scenarios, the risk arising from temperature extremes represents the most significant physical risk, while technological changes constitute the most significant transition risk. The sites in Hamburg are particularly affected as they exhibit the highest overall risk in each scenario. The second-highest physical risk varies between fluvial flooding (RCP 8.5) and drought (RCP 6.0, 4.5, 2.6). Reputation represents the second-highest transition risk across all scenarios. The Aachen site ranks second in terms of overall risk, while the sites in Jettingen-Scheppach (RCP 8.5, 6.0) and Kempten (RCP 4.5, 2.6) show the lowest risk. Risks related to coastal flooding, tropical cyclones and water stress are of limited relevance for CANCOM. Overall, the analysis indicates that CANCOM must primarily be prepared for technological and reputational challenges, while physical risks vary in their severity depending on location and scenario. The analysis of transition risks for the year 2050 shows that the greatest financial challenges for CANCOM lie in the areas of technology and reputation. Litigation and CO₂ pricing play a subordinate role.

1) Content unaudited.

2) Information on the accounting-related internal control and risk management system within the scope of the Group sustainability statement is unaudited.

The summary of opportunities for the 2050s considers two climate scenarios: RCP 4.5 and RCP 2.6. Under the RCP 4.5 scenario, the greatest opportunities for CANCOM arise primarily from products and services, with the Innsbruck site offering the highest potential. Another key driver is resilience, which is expected to play a significant role in the 2050s. The lowest level of opportunities for CANCOM is identified in the area of resource efficiency. Under the RCP 2.6 scenario, opportunities for CANCOM are likewise mainly driven by products and services, with the Innsbruck site again offering the greatest potential. Resilience remains an important factor in the realisation of opportunities, while resource efficiency continues to represent the area with the lowest opportunities for CANCOM.

The climate scenarios applied in the analysis are consistent with critical climate-related assumptions, as commonly used scenarios (RCP 8.5, 6.0, 4.5, 2.6) were employed to model the impacts of climate change on CANCOM. Different time horizons (shortterm: < 1 year; medium-term: < 3 years; long-term: < 4 years; in perspective: > 4 years) were applied.

CANCOM identified short-, medium- and long-term climate risks based on data from climate models such as those developed by the IPCC and NASA and assessed the extent to which its assets and business activities could potentially be exposed to these risks. Transition risks were identified and assessed across short-, medium- and long-term horizons. For this purpose, the climate scenario analysis described above was conducted.

As no significant climate risks have been identified for CANCOM, CANCOM is considered to be sufficiently adapted to climate change in the short-, medium- and long-term.

Policies related to climate change mitigation and adaptation (E1-2 and MDR-P)*

CANCOM's current environmental policy addresses the most important impacts of CANCOM in the area of climate change. It obliges all parts of the company and all employees to implement the defined environmental targets in their activities. Suppliers

are required to adhere to a Business Partner Code for recording, documenting and reporting energy consumption and emissions, as well as complying with environmental regulations. The CANCOM environmental policy was updated in 2025 and can be found on the CANCOM website.

Responsibility for implementing the concept lies with the Executive Board of CANCOM, which monitors progress and takes strategic decisions.

The environmental policy is based on internationally recognised standards and initiatives such as the principles of the UN Global Compact and the Carbon Disclosure Project (CDP), which CANCOM is committed to complying with during implementation.

The environmental policy covers climate change mitigation, climate change adaptation and the protection of natural resources. Increasing energy efficiency is an essential component of the sustainability strategy and is governed by the environmental policy. CANCOM also promotes the use of renewable energies based on the environmental policy.

In the 2025 financial year, an initial climate strategy was adopted with the aim of strengthening environmental sustainability and contributing to limiting global warming to well below 2 °C in line with the Paris Agreement. Based on the completed GHG inventory, the climate strategy will be expanded into a comprehensive transition plan for climate change mitigation. The climate strategy is part of the long-term corporate strategy and has been approved by the Executive Board. Responsibility for monitoring the implementation of the sustainability strategy lies with the CFO and the corporate sustainability department. An annual review and needs-based adjustment of the strategy will be carried out to ensure compliance with corporate objectives and regulatory requirements. The strategy includes the climate targets (see E1-4) adopted in the 2025 financial year as part of the new sustainability strategy, as well as a description of the key levers and measures (see E1-3) through which the strategy is to be implemented.

Actions and resources related to climate change mitigation and adaption (E1-3 and MDR-A)

Through the implementation of decarbonisation measures, GHG emissions are to be significantly reduced, and the defined emission reduction targets achieved, thereby contributing to the mitigation of climate change. The progress of these measures is reviewed on an annual basis to ensure alignment with the strategic direction and to make any necessary adjustments to meet the sustainability targets. Some of the following measures were implemented in the 2025 financial year, while others will be implemented in the short and medium-term over the next few years. The level of investments in these measures has not yet been determined for the 2025 financial year. CANCOM will continue to implement the new sustainability strategy from the 2026 financial year onwards, so further measures will be added. The most important levers and measures for reducing emissions are as follows:

Lever 1: Decarbonisation of our own operating processes

Further electrification of the vehicle fleet, support for the use of public transport and e-bikes (IRO 1 and 3)

To reduce direct GHG emissions from the vehicle fleet, the fleet is being gradually converted to electric vehicles. CANCOM also offers its employees a discounted job ticket for public transport throughout Germany. In addition, bike leasing is supported with associated tax and social security benefits.

Expansion of energy supply from renewable sources (IRO 1 and 3)

The procurement of renewable energy to supply the company's facilities will be further expanded in order to end dependence on fossil fuels. CANCOM is also committed to continuously increasing energy efficiency in all areas of its operations. By 2035, the company aims to achieve a 50 percent reduction in Scope-1- and Scope-2-emissions, in parallel with the switch to renewable energy sources. To achieve this target, guarantees of origin for sustainably generated energy will continue to be procured and the company's own production of renewable electricity will be expanded wherever possible.

Lever 2: Increasing energy efficiency in critical infrastructures

Increasing energy efficiency in data centres (IRO 1 and 3)

CANCOM is improving the energy efficiency of its data centres with advanced cooling technologies, server virtualisation and energy-efficient hardware. These measures optimise operational processes and support sustainability targets.

Lever 3: Circular economy and resource conservation

Circularity of IT equipment (IRO 5)

CANCOM optimises the life cycle of IT equipment to reduce waste and emissions and is working to reduce indirect emissions along the value chain. This includes implementing circular economy principles such as reprocessing, reuse and recycling of IT equipment to extend its service life and thus minimise emissions.

Lever 4: Reduction of indirect emissions in the value chain

Development of measures for the continuous reduction of Scope 3 emissions (IRO 1 and 3)

Based on the calculation of Scope-3-emissions, targeted measures are being developed that affect logistics, business travel, employee commute, purchasing (purchased goods and services) and customers (use of sold products).

Measures/
action plans		 Expected results Contribution to
strategic targets		 Scope
(value chain, geography,
stakeholders)		 Time horizon
Measure 1:
Further electrification of the
vehicle fleet, support for the
use of public transport and
e-bikes		 Higher proportion of electric
vehicles in the fleet, support for
the use of public transport and
e-bikes, thereby contributing to
climate change mitigation.		 Contribution to achieving
the climate strategy as
part of the sustainability
strategy.		 Activities: leasing and ordering
electric vehicles
Geography: CANCOM Group
Stakeholders: Employees,
Management		 By 2035
Measure 2:
Expansion of energy supply
from renewable sources		 Expansion of the purchase and
certification of green electricity.		 Contribution to achieving
the climate strategy as
part of the sustainability
strategy.		 Activities: Expansion of purchasing
and certification of green electricity
Geography: CANCOM Group
Stakeholders: Management		 By 2035
Measure 3:
Increasing energy efficiency
in data centres		 Improving the energy efficiency
of data centres using advanced
cooling technologies, server
virtualisation and energy
efficient hardware.		 Contribution to achieving
the climate strategy as
part of the sustainability
strategy.		 Activities: Use of advanced cooling
technologies, server virtualisation
and energy-efficient hardware
Geography: CANCOM Group
Stakeholders: Management		 By 2035
Measure 4:
Circularity of IT equipment		 Optimisation of the life cycle of
IT equipment to reduce waste
and emissions.		 Contribution to achieving
the climate strategy as
part of the sustainability
strategy.		 Activities: Optimising the life cycle
of IT equipment to reduce waste
and emissions
Geography: Germany
Stakeholders: Management		 By 2035

Targets related to climate change mitigation and adaption (E1-4 and E1.MDR-T)

In the 2025 financial year, CANCOM set ambitious emission reduction targets as part of its new sustainability strategy. CANCOM aims to contribute to limiting global temperature rise to 1.5 °C. Since then, CANCOM has made significant progress in improving the accuracy of its emissions data and expanding its reporting framework. This includes finalising the calculation of Scope 3 categories, which are crucial for assessing and reducing indirect emissions along the entire value chain.

CANCOM calculates its reported GHG emissions in accordance with the Greenhouse Gas Protocol. Scope-1-, Scope-2- and Scope-3- GHG-emissions are calculated for all sites under CANCOM's operational control. CANCOM GHG emission reduction targets apply the same GHG inventory boundaries as those presented in the GHG inventory.

These are absolute reduction targets. CANCOM aims to reduce Scope-1- and Scope-2-GHG-emissions by 50 percent by 2035 and to continuously reduce Scope-3-GHG-emissions, achieving net zero emissions by 2045. The targets use 2025 as the baseline year. It is

particularly noteworthy that 98 percent of emissions are attributed to Scope 3, which underlines the need to comprehensively address the Scope 3 categories in order to achieve a significant impact. The reduction targets address CANCOM's negative impact on the climate. When developing the reduction targets, a climate scenario in line with limiting global warming to 1.5 °C was considered. CANCOM has based its targets on national climate targets and the EU's climate targets. CANCOM's climate targets have not yet been validated by the Science Based Target Initiative (SBTi), but CANCOM is striving to achieve this in the short- to medium-term.

CANCOM relies on a wide variety of decarbonisation levers to achieve its GHG emission reduction targets. Key measures include the decarbonisation of its own operational processes, improvements in energy efficiency in critical infrastructures, circular economy and resource conservation, as well as the reduction of indirect emissions along the value chain.

The achievement of climate targets is continuously monitored by the Executive Board and the Supervisory Board as part of the sustainability strategy.

Interaction with the
concept		 Target level and unit Scope of
the target		 Reference
value/year*		 Target
period		 Assumptions
for setting the
targets		 Scientific
reference		 Involvement of
stakeholders in
target definition
Target 1:
Contribution to
achieving the
sustainability
strategy		 Reduction of Scope-1-
and Scope-2-GHG
emissions by 50 %
by 2035		 All
locations		 FY 2025 By 2035 - - Management
Target 2:
Contribution to
achieving the
sustainability
strategy		 Continuous reduction
of Scope-3-GHG
emissions
by 2035		 All
locations		 FY 2025 By 2035 - - Management
Target 3:
Contribution to
achieving the
sustainability
strategy		 Net zero emissions
by 2045		 All
locations		 FY 2025 By 2045 - - Management

*) Base year representative of normal business development without the influence of special effects.

Energy consumption and energy mix (E1-5)

The largest share of energy consumption is attributable to the operation of data centres, fuel consumption of the vehicle fleet and heating demand at the at the company's sites. In 2025, total energy consumption amounted to 57,770 MWh.

The reported energy consumption covers the CANCOM Group's own business activities, including all companies under its operational control. Data is collected as part of the energy management system based on measured values or information provided by energy suppliers. Where data are not available, they are plausibilised on the basis of the previous year's values and adjusted where necessary for special events. Information on energy intensity and energy consumption from climate-intensive activities, for the purpose of determining the affected sectors and related revenues, is not disclosed in the financial year 2025. Disclosure is planned for the next financial year.

The following table shows energy consumption and energy mix as well as total energy consumption.

Energy consumption and energy mix Unit 2025
Total energy consumption MWh 57,770
Total energy consumption from fossil sources MWh 36,826
Fuel consumption from coal and coal products MWh 0
Fuel consumption from crude oil and petroleum
products		 MWh 27,625
Fuel consumption from natural gas MWh 2,645
Fuel consumption from other fossil sources MWh 0
Consumption of purchased or acquired electricity,
heat, steam and cooling from fossil sources		 MWh 6,556
Total energy consumption from nuclear sources* MWh 103
Total energy consumption from renewable sources MWh 20,841
Fuel consumption from renewable sources MWh 39
Consumption of purchased or acquired electricity,
heat, steam and cooling from renewable sources		 MWh 20,045
Consumption of self-generated non-fuel renewable
energy		 MWh 756
Total energy consumption from other
non-renewable sources		 MWh 0
Share of fossil sources in total energy consumption % 64
Share of nuclear sources in total energy
consumption		 % 0
Share of renewable sources in total energy
consumption		 % 36
Share of other non-renewable sources in total
energy consumption		 % 0
Non-renewable energy production MWh 0
Renewable energy production MWh 984

*) This figure is an estimate based on the share of nuclear energy in the national electricity mix of the countries in which CANCOM sources electricity from the public grid. Publicly available data on the electricity mix in the EU and Switzerland were used as data sources.

Gross GHG emissions in categories Scope 1, 2, 3 and total GHG emissions (E1-6)

Total GHG emissions

The GHG inventory provides a comprehensive overview of the emissions generated in the course of business activities. The calculation is carried out in accordance with the Greenhouse Gas Protocol. The reporting covers Scope-1-, Scope-2- and Scope-3 emissions of the consolidated Group companies as well as emissions from associated companies, joint ventures and non-consolidated subsidiaries under operational control.

During the reporting period, there were no significant events or changes in relevant circumstances between the reporting dates of the companies in the value chain and the Group's own closing date that had to be taken into account in the GHG accounting.

Compared to the previous financial year, there were no changes in the corporate structure or value chain that would have affected the GHG inventory. For Scope 1 and Scope 2, the calculation methodology and underlying emission factors remained unchanged. For Scope 3, emissions were calculated for the first time in the financial year 2025 and fully integrated into the reporting. The process for determining Scope-3-emissions was newly introduced and therefore still involves methodological limitations, which will be continuously reduced as part of further process development.

In the 2025 financial year, total GHG emissions of the CANCOM Group amounted to 956,795 t CO₂e under the market-based method and 960,716 t CO₂e under the location-based method. A detailed breakdown is provided in the table below.

Unit 2025
t CO₂e 8,049
% 0
t CO₂e 6,890
t CO₂e 2,970
t CO₂e 945,776
t CO₂e 568,782
t CO₂e 3,922
t CO₂e 1,731
t CO₂e 4,064
t CO₂e 367,277
t CO₂e 960,716
t CO₂e 956,795

1 ) The consumption data are partially based on extrapolations, as the data for 2025 were not yet fully available at the time of data collection.

2) Only direct use-phase emissions from electricity-consuming products are included. Indirect use-phase emissions, such as those from software applications or cloud-based services, are not accounted for.

CANCOM uses the revenue figures from the Group management report to calculate GHG intensity (see Consolidated statement of comprehensive income, line "Revenues").

Intensity of GHG emissions 2025
Total GHG emissions (location-based) per revenue
(thousand t CO₂e/€ million)		 0.560
Total GHG emissions (market-based) per revenue
(thousand t CO₂e/€ million)		 0.558

Scope-1- and Scope-2-GHG-emissions

In the financial year, direct Scope-1-GHG-emissions amounted to 8,049 t CO₂e. Location-based Scope-2-GHG-emissions amounted to 6,890 t CO₂e, while market-based Scope-2-GHG-emissions amounted to 2,970 t CO₂e.

The calculation of direct emissions (Scope 1) and indirect emissions from the purchase of electricity, heat and cooling (Scope 2) is based on activity data for all sites recorded in the energy management system. Values that are not available are validated based on the previous year's data and, where necessary, adjusted to reflect any special events during the financial year. Data validation is carried out by central energy management; the subsequent system-supported calculation uses location- or country-specific emission factors.

Contractual instruments play a significant role in the GHG inventory, as they influence the origin and environmental impact of the energy purchased and sold. The share of contractual instruments for Scope 2 is entirely attributable to bundled instruments. These include green electricity purchased directly from the supplier and guarantees of origin. A percentage breakdown of the instruments in relation to market-based Scope 2 emissions is not disclosed for the 2025 financial year.

Biogenic CO₂ emissions from the combustion or biodegradation of biomass are not included in the calculation. As biogenic emissions were classified as not relevant for Scope 1, Scope 2 and Scope 3, no separate disclosure is provided in this report.

The following categories were classified as non-material and were therefore not included in the reporting:

Category Reason for exclusion
3.2 Capital goods Emissions from capital goods are not
material in relation to the overall GHG
inventory.
3.5 Waste generated in
operations		 Only small amounts of office and
packaging waste arise at the operating
sites.
3.8 Upstream leased assets Energy consumption from leased assets
is already included in Scope 1 and 2.
3.9 Downstream transport
and distribution		 Transport-related emissions are reported
under category 3.4.
3.10 Processing of sold products CANCOM does not sell intermediate
products to manufacturers.
3.12 Treatment of end-of-life
products		 Emissions from the end-of-life treatment
of products are not material in relation to
the overall GHG inventory.
3.13 Downstream leased assets CANCOM leases products to customers
only to a limited extent.
3.14 Franchises CANCOM does not operate a franchise
model.
3.15 Investments Emissions from investments are already
included in Scope 1, 2 and 3, where
relevant.

Scope-3-GHG-emissions

Scope-3-GHG-emissions account for a significant share of total GHG emissions and are therefore a key lever for emission reductions along the value chain. In the 2025 financial year, absolute Scope-3-GHG-emissions amounted to 945,776 t CO₂e.

As part of the reporting process, a comprehensive materiality assessment was carried out to determine the relevant Scope 3 categories for the company-specific GHG inventory. The following categories were identified as material: 3.1 Purchased goods and services, 3.3 Fuel and energy-related activities, 3.4 Upstream transportation and distribution, 3.6 Business travel, 3.7 Employee commute, and 3.11 Use of sold products.

Although category 3.4 Upstream transportation and distribution was identified as material in the materiality assessment, it could not yet be included in the GHG inventory for the 2025 reporting year. This is due to the fact that, at the time of data collection, the transport data were not available in the required data quality. Reporting on this category will be carried out in the next reporting year.

The calculation of Scope-3-GHG-emissions is carried out in accordance with the Corporate Value Chain (Scope 3) Standard of the Greenhouse Gas Protocol. The calculation methods applied for the material Scope 3 categories are set out below.

Purchased goods and services: For IT hardware, GHG emissions are determined based on activity data. The number of procured devices is multiplied by a product group-specific average emission factor. The emission factors used follow a cradle-to-gate approach and include raw material extraction, product-specific recycling effects based on the cut-off approach, manufacturing, transport, assembly and packaging. For all other procurement categories – as well as in cases where activity data are not available in the granularity required for IT hardware calculation – the spend-based method is applied. The emission factors used for this purpose are taken from the EXIOBASE database. For procurement processes that are not available in the evaluation logic required for emission calculation, emissions are estimated by extrapolation based on revenue from merchandise.

Fuel- and energy-related activities: Emissions are derived from the energy data collected for Scope 1 and Scope 2. Fuel consumption is multiplied by emission-specific factors for upstream emissions (extraction, production, processing, delivery). Electricity consumption is assessed using country-specific factors that take into account generation, processing, transmission and distribution.

Business travel: Depending on data availability, emissions are either provided directly by travel management providers or calculated on the basis of the activity data supplied. Calculation is based on the distance travelled and the number of overnight stays. For distances travelled, the mode of transport, type of journey and number of travellers are taken into account; for air travel, the aircraft type and seat class are additionally considered. Overnight stays are assessed based on the number of nights, rooms and hotel category.

Employee commute: Emissions are calculated based on national averages for commuting distances and modes of transport, taking into account employee numbers, mobile office usage and days of attendance. The commuting value determined per full-time office employee is then assessed using country-specific emission factors (tank-to-wheel approach).

Use of sold products: Emissions from the use of sold products are determined for IT hardware on the basis of activity data. For this purpose, the number of devices sold per product type is multiplied by a product-specific factor for life-cycle electricity consumption. This factor takes into account the assumed service life, the utilization degree and the average power consumption during the use phase. The assessment of usage-related electricity consumption is carried out on location-based emission factors that reflect the average electricity mix intensity and upstream emissions from electricity generation. For companies where activity data is not available in the required granularity, emissions are estimated by extrapolation based on the respective revenue from merchandise.

The share of GHG emissions from material Scope 3 categories, calculated using primary data from suppliers or other partners along the value chain amounted to 0.13 percent for the 2025 financial year.

CO₂ credits (E1-7)

During the reporting period, CANCOM did not finance any projects for the reduction or mitigation of GHG emissions through CO₂ credits.

Internal CO₂ pricing (E1-8)

CANCOM does not currently apply an internal CO₂ pricing system.

Circular economy (E5)

Description of the processes to identify and assess material resource use and circular-economy-related impacts, risks and opportunities (E5.IRO-1)

The processes for identifying the material IROs in the area of circular economy are described in the section ESRS 2. CANCOM's entire business activities were reviewed. Consultations were held with the relevant departments, such as logistics and remarketing.

According to the double materiality assessment, there are no material opportunities or risks in the area of circular economy.

CANCOM has a positive impact in the area of circular economy through the use of more environmentally friendly packaging and filling materials, as well as through recommendations to suppliers to use more environmentally friendly packaging and filling materials. In addition, the resource-efficient use of company mobile phones is promoted – the devices can also be used privately and, after a usage period of two years, are reused through so-called remarketing measures. At the same time, there are potentially negative impacts within CANCOM's value chain due to the unsustainable consumption of finite resources such as rare earths contained in the hardware sold. The technology market is characterised by a high pace of innovation and comparatively short product life cycles. As a result, IT service providers potentially contribute to higher resource consumption.

Policies related to resource use and circular economy (E5.MDR-P)*

A key component of CANCOM's sustainability strategy is the promotion of the reuse of hardware products within the framework of so-called remarketing. As CANCOM does not operate its own production facilities, it has only limited influence on the reduction of primary raw materials in the products sold. CANCOM therefore ensures that its procurement, transport, provision, sale and disposal of products are as environmentally friendly as possible.

CANCOM's concepts pursue the goal of sustainable procurement and the promotion of hardware product reuse. The current environmental policy of the CANCOM Group addresses CANCOM's material impact in the area of circular economy. It obliges all parts of the organisation and all employees to implement the defined environmental targets in their activities. The policy was developed in collaboration with relevant departments, such as the environmental department, logistics and remarketing. The policy is made available to potentially affected stakeholders and stakeholders who need to assist with implementation.

Suppliers are required through a Business Partner Code to record, document and report compliance with environmental regulations. Responsibility for implementation lies with the Executive Board of CANCOM, which monitors progress and takes strategic decisions. The environmental policy is aligned with internationally recognised standards and initiatives such as the principles of the UN Global Compact and the CDP, which CANCOM commits to complying with during implementation.

The environmental policy was updated in 2025 and is available on the CANCOM website.

Actions and resources related to resource use and circular economy (E5.MDR-A)

By implementing measures to promote the circular economy, CANCOM aims to significantly reduce negative impacts and enhance positive impacts. The progress of these measures is monitored annually to ensure that CANCOM maintains its strategic direction and makes adjustments as necessary to achieve its sustainability targets. The most important measures are described below.

Reduction of packaging (IRO 5)

CANCOM has implemented a packaging material selection function in SAP EWM that automatically suggests the most suitable cardboard packaging. This is based on the ratio of the total product volume to the volume of available cardboard packaging, ensuring that packaging is as efficient and resource-saving as possible. The cardboard packaging is sourced regionally, ensuring short transport routes and certified production. Since 2024, CANCOM has exclusively used wet-adhesive tape made of kraft

paper with corn starch as an adhesive for packaging parcels in its central warehouse in Germany, replacing the bundling machine previously used, which wrapped two-piece cardboard boxes with plastic tape, with a modern solution. CANCOM also focuses on with regard to filling material: since 2024, the AirPlus material used by Storopack has been made of 100 percent recycled material (previously 50 percent since 2022).* In addition, reusable load carriers with Internet-of-Things connectivity are used in project business. Furthermore, packaging-free delivery is an integral part of larger, long-term projects. For transport purposes, Euro pallets are used within a deposit system, while industrial pallets are collected in containers for recycling. In addition, CANCOM operates a consistent waste separation system and intelligent container management. Fill levels are automatically transmitted to the waste disposal company, thereby avoiding empty runs and increasing efficiency.

Efficient operation of warehouses (logistics perspective) (IRO 1 and 3)

Route optimisation in the warehouse is system-supported via SAP EWM, thereby preventing empty runs by industrial trucks during both storage and order picking. The vehicles are charged using electricity from photovoltaic systems. In the medium- to long-term, the replacement of existing lead-acid batteries with more powerful lithium-ion batteries is planned. CANCOM is also connected to Toyota fleet management, which provides continuous recommendations for improving efficiency. The autostore small-parts warehouse with 18,000 bins is characterised by high energy efficiency, optimal use of space and low noise pollution for employees. In addition, the Service Factory is supplied in an environmentally friendly manner using reusable plastic boxes.

Return and reuse/resale of hardware (IRO 5)

As part of its remarketing activities, CANCOM generally takes back rented and leased hardware after a two-year period of use. After the secure deletion of data, the devices are reintegrated into the usage cycle in cooperation with brokers by being resold for further use. This extends the service life of the products and contributes to the conservation of resources. The aim is to further expand these activities in the medium- and long-term.

The measures described above are ongoing. No specific financial resources have been allocated to individual measures. During the reporting period, no stakeholders became known who were harmed by actual material impacts, as higher resource consumption is not associated with harm to stakeholders, such as CANCOM's own workforce. Accordingly, no remedial measures were necessary. Furthermore, no additional quantitative or qualitative progress information is available on measures announced in previous periods, as the processes described are continuously implemented and monitored.

Targets related to resource use and circular economy (E5.MDR-T)

As the circular economy strategy is still under development, CANCOM has not yet defined any specific measurable targets in this area. The definition of appropriate targets is planned for the 2026 financial year.

Data points E5-5 36c and E5-5 40 are not reported.

Social information

Own workforce (S1)

Interests and views of stakeholders (S1.SBM.2)

The interests, views and rights of CANCOM employees, including respect for their human rights, are a central component of the strategy and business model. CANCOM integrates these aspects through the policies, measures and targets described below in order to ensure fair and sustainable working conditions and to continuously improve working conditions at CANCOM. Employees engagement takes place through regular employee surveys and feedback discussions, ensuring that employees' perspectives are actively incorporated into decision-making processes and contribute to the continuous improvement of the working environment.

Material impacts, risks and opportunities and their interaction with strategy and business model (S1.SBM.3)

The CANCOM strategy and business model are closely linked to the impact on its own workforce. Actual and potential impacts on employees arise from the fact that the business model is largely based on the work of highly qualified personnel and therefore

have a significant influence on the company's orientation. CANCOM actively takes into account the material risks and opportunities resulting from these impacts and dependencies in its strategic planning in order to ensure sustainable and fair working conditions. Through continuous adjustments to its strategy and processes, CANCOM ensures that its business model remains resilient in the long-term and meets both the requirements of its employees and its corporate objectives.

According to the double materiality assessment, there are no material opportunities or risks in the area of S1.

The material impacts listed below affect various types of workers, including permanent employees, fixed-term employees and agency workers. In this context, CANCOM has ensured that all individuals within the workforce who may be affected by material impacts are taken into account in the following descriptions. The material negative potential and actual impacts are described below. Regarding social dialogue, a potential negative impact is that a lack of opportunities for co-determination or communication of information can lead to dissatisfaction among employees. With regard to gender equality and equal pay for equal work, inequality in pay for equal work can lead to employee dissatisfaction employees. In terms of diversity, a potential negative impact arises if insufficient emphasis is placed on promoting employee individuality, as this can lead to declining employee loyalty and reduced employer attractiveness. The impacts described are not widespread but are potential impacts on the topics mentioned.

In terms of social dialogue, CANCOM achieves positive effects through comprehensive internal communication, which strengthens the feeling of participation and increases satisfaction. Employer attractiveness is further enhanced by offers such as mobile office and company cars, which also support work-life balance. In the area of occupational health and safety, CANCOM has a positive impact on employee well-being through measures such as ergonomic office equipment and regular health days. In terms of gender equality and equal pay, CANCOM potentially contributes to reducing the gender pay gap. In addition, a comprehensive range of training and further education courses promotes employees' professional and personal development. Finally, with its adopted diversity guidelines and initiatives such as the regular Girls' Day, CANCOM sends a clear signal in favour of diversity and the recruitment of female trainees. The effects described are not widespread but are potential effects on the topics mentioned.

In addition, efforts in corporate climate change mitigation also have an impact on employees. These efforts can lead to adjustments in job profiles (e.g. extension of ISO 50001* to other locations with corresponding tasks for environmental managers), expansions of task profiles (e.g. for data collection in the HR area) and further training measures (e.g. for sustainability management software).

CANCOM has not identified any business activities or sites that pose a significant risk of forced labour, compulsory labour or child labour. All sites are in countries with high labour standards (EU and Switzerland), compliance with which is ensured by statutory frameworks and regulatory oversight. Similarly, no groups within the workforce have been identified that are exposed to a higher risk of harm than others.

Policies related to own workforce (S1-1 and MDR-P)

CANCOM stands for its commitment to people and a fair working environment – this commitment is firmly anchored in CANCOM's corporate values. CANCOM is therefore also committed to international standards such as the principles of the United Nations Global Compact in areas such as human rights and labour standards, and the ILO principles. CANCOM offers equal opportunities, applies a zero-tolerance approach to discrimination, harassment and human rights violations, thereby ensuring a safe working environment. The objective is to foster a respectful and inclusive working environment in which everyone feels comfortable. CANCOM ensures that human rights violations can be reported confidentially and with protection from retaliation through various channels. The whistleblower protection system ensures that there are clear reporting channels, thorough investigations and corrective measures. In addition, CANCOM has a compliance management system that helps to monitor human rights violations. All cases are documented. The whistleblower protection system is described in more detail in section G1.1 - G1.3.

Discrimination has no place at CANCOM – whether on the grounds of gender, age, origin, religion, sexual orientation or disability. Through a continuous improvement process, CANCOM creates a working environment in which everyone can feel comfortable and participate. CANCOM stands for diversity. For this reason, CANCOM has been a member of the Diversity Charter since June 2021.

The principles are reflected in several company-wide policies: in the CANCOM Code of Conduct*, which sets out binding principles of conduct for integrity, compliance and ethical conduct; in the Business Partner Code*, which defines requirements for responsible and legally compliant behaviour on the part of partners; in the diversity and inclusion policy*, which regulates the promotion of equal opportunities, diversity and an inclusive corporate culture; and in the global human rights policy*, which ensures the protection of fundamental human rights along the value chain. These policies apply to all CANCOM companies and employees. Business partners are expected to share these values. In these policies, CANCOM explicitly addresses the issues of human trafficking, forced or compulsory labour and child labour. Compliance with policies is monitored by human resources.

Through clear processes and effective action, CANCOM embeds these principles in its day-to-day operations and thereby creates a respectful and appreciative working environment for its employees. Responsibility for implementation of the concepts lies with the Executive Board and top management, who make strategic decisions. In addition, there is a statement from the Executive Board on corporate governance and CANCOM policies. During the definition and development of the policies, particular attention was paid to taking into account affected interest groups, such as people from different cultural and national backgrounds. In particular, the professional development of people from different cultural and national backgrounds was identified as a relevant topic and was incorporated into the guidelines. Activities or areas that are explicitly excluded are also described in the policies.

In order to actively involve and support affected stakeholder groups, specifically people from different cultural and national backgrounds, for example, the concept provides communication channels that offer clear guidance, resources and training. These are intended to facilitate implementation and promote cooperation with internal and external partners to achieve the objectives of the policies effectively.

A fair and inclusive working environment is important to CANCOM, which is why CANCOM has developed concepts for eliminating discrimination, including harassment, promoting equal opportunities and supporting diversity and inclusion. Within this framework, the concepts explicitly cover grounds for discrimination such as ethnic origin, skin colour, gender, sexual orientation, gender identity, disability, age, religion, political opinion, national origin or social background, as well as other forms of discrimination covered by EU and national law.

CANCOM has not identified any groups of people within its own workforce who are considered particularly vulnerable. Therefore, there are no specific policies or measures in place for the inclusion or positive promotion of such groups. As a result, CANCOM does not implement any special policies to eliminate discrimination targeted at particularly vulnerable persons.

CANCOM is committed to respecting and promoting human rights across all areas of its business. This is based on the human rights policy*, which is a binding part of the CANCOM Code of Conduct*. It stipulates that all employees must respect and actively uphold human rights. The policy is aligned with international standards such as the ILO Core Labour Standards and the principles of the UN Global Compact. CANCOM has established processes to identify, assess and address human rights risks, including grievance mechanisms and remedial measures. In addition, the company pursues measures to address and remedy potential or actual human rights violations, including reporting systems and the protection of whistleblowers.

CANCOM adopts a holistic approach to occupational health and safety in accordance with ISO 45001* for all employees. The aim is to create a safe, healthy and sustainable working environment. The CANCOM occupational health and safety policy* defines clear rights and obligations. Regular risk assessments, training courses and site inspections ensure compliance, and annual audits confirm that standards are being met. Health promotion is achieved through health day, voluntary preventive medical check-ups and sports activities. The company's workplace reintegration management system supports employees in the event of illness and provides sustainable solutions for maintaining health. CANCOM fosters a culture of openness by encouraging employees to report hazards and suggest improvements.

Processes for engaging with own workers and workers' representatives about impacts (S1-2)

CANCOM engages in regular dialogue with its employees through various channels in order to hear their perspectives and take them into account in decision-making processes. Through annual surveys and annual feedback meetings, employees have the opportunity to express their views directly to CANCOM or their

respective line managers. The anonymity of the surveys ensures that critical voices are also heard. CANCOM coordinates with the works councils in advance, thus enabling employee representatives to influence the design of the surveys. Regular consultations systematically capture the perspectives of the workforce and ensure that different opinions and views are heard and respected. Operational responsibility for employee involvement lies with the human resources department. The human resources department is responsible for integrating feedback into strategic approaches or operational decisions. Accordingly, the results of surveys are analysed and incorporated into company-wide measures. For example, findings from annual surveys have led to new initiatives and benefits for employees. CANCOM also uses various channels to gain insights into the perspective of diverse employee groups, to establish role models and to promote understanding through company-wide outreach.

The CANCOM works councils regularly consult with management on key topics and the effectiveness of dialogue formats. Through trusting cooperation with the employee committees, comprehensible, practical and sustainable solutions and regulations for the day-to-day working life of employees are developed. This ensures transparency and continuous improvement.

In order to gain insights into the perspectives of particularly vulnerable or marginalised groups within its own workforce, CANCOM takes concrete steps, such as one-on-one meetings.

CANCOM has an SE Works Council with representatives from the employee committees and the workforce. This council discusses the economic situation, challenges, opportunities and important employee issues. These meetings take place annually, and where necessary, more frequently. In addition, meetings with employee representatives are held at regional level at shorter, regular intervals, in some cases on a monthly basis. CANCOM's management is responsible for ensuring that this involvement takes place and that the insights gained are reflected in its actions. A safe, healthy and fair working environment is a central component of sustainable corporate management at CANCOM. For this reason, the Code of Conduct* was agreed with the employee representatives.

Processes to remediate negative impacts and channels for own workers to raise concerns (S1-3)

CANCOM ensures that discrimination, harassment and other forms of misconduct can be reported confidentially and with protection from retaliation through various channels. The whistleblower protection system ensures that clear reporting channels, thorough investigations and corrective measures are in place. Receipt of reports submitted by email, post or via the reporting tool is confirmed within seven days. Information on follow-up measures is provided to the whistleblower no later than within two months. A personal meeting is also possible at the whistleblower's request. CANCOM considers the whistleblower protection system to be effective. Employees can contact their line manager, employee representatives or the human resources department directly to lodge complaints or report violations. Furthermore, violations can be reported anonymously or by name via a digital whistleblower system, or employees can write directly to the central group mailbox of the Compliance Office. Violations can also be reported directly to the Compliance Officer or to management. The options are available for all areas of labour law, employment contracts, personal discrimination or violations of the company's values, policies and guidelines via the channels described above.

CANCOM has a compliance management system in place to handle complaints and find solutions. The protection of employees' confidentiality is ensured and thereby fosters trust. CANCOM refers to the reporting options in its Code of Conduct*. In addition, all employees are informed and made aware of these options at least once a year through a newsletter. The annual compliance training courses also refer to the relevant channels. The reporting channels are also part of the internal information pages and are easily accessible to employees.

Problems raised are followed up and assessed promptly and neutrally by the Compliance Office. CANCOM has defined deadlines by which feedback and investigations must be completed. All steps – from reporting to internal investigations to measures taken – are documented comprehensively but confidentially. In the event of serious violations, authorities such as the police, public prosecutors or supervisory authorities are involved. This ensures that reports are processed effectively and within the defined time frame. As part of the annual training courses, CANCOM employees are made aware of the procedure and questions are asked and information provided during the training. CANCOM guarantees that no person will be dismissed, transferred to a lower-value position, suspended, threatened, harassed or discriminated against in any way as a result of a report made in

good faith. The concept of whistleblower protection has been laid down in the general works agreement on the procedure for compliance reporting and has been established with the employee representatives.

Actions on material impacts on own workforce (S1-4 and MDR-A)

Key measures relating to our own workforce are described below. The measures apply to all employees, unless specific employee groups are mentioned.

Recruitment and equality (IRO 13, 14 and 16)

Review and update of recruitment processes, job descriptions, job evaluations and remuneration to ensure they are based on genderneutral performance and remuneration criteria (all measures to be implemented in the short- and medium-term).

Employee satisfaction and prevention of discrimination (IRO 6, 7, 8, 9, 10, 11, 12, 13, 14, 15 and 16)

Conducting eNPS (Employee Net Promoter Score) surveys to assess employee satisfaction and loyalty; analysis of the results to identify trends and areas for improvement; conducting targeted employee surveys on experiences and perceptions of CANCOM as an employer; analysis of the results to identify strengths and areas for improvement, as well as to promote diversity, flexible working hours, mobile office, inclusion and to prevent discrimination and remedy identified discrimination or harassment issues (all measures to be implemented in the short- and medium-term). Depending on their area of work, employees can work as flexibly as possible in order to achieve an optimal work-life balance. From a technological perspective, this is supported at all times through the cloud-based CANCOM Digital Workspace, regardless of location and device.

Promotion of managers (IRO 15)

Implementation of training programmes for managers to establish a leadership culture based on equal treatment, inclusion and empathy; promotion of the further development of young professionals through targeted development programmes (all measures to be implemented in the short- and medium-term).

Promotion of diversity (IRO 16)

Group-wide policies on diversity and inclusion as well as anti-discrimination were initially introduced to ensure a common understanding at all sites and a uniform approach to addressing significant impacts. This process includes regular surveys, direct communication and training to gain insights. Analysis of the data shows where specific problems and areas for improvement prevail. Based on these results, strategic short- and medium-term measures are developed to address the identified impacts.

The measures described are those currently being pursued, and no further measures are being pursued at this time.

Results from surveys and employee feedback ensure that meaningful measures are defined for the coming years and that the results of the survey are taken into account appropriately.

Clear communication and annual development reviews promote the skills and competencies of employees. These reviews support continuous improvement and professional growth for employees, ensuring that the workforce remains highly qualified and motivated.

The monitoring of the effectiveness of strategies and actions is ensured through regular coordination meetings within the human resources department, during which progress is assessed against the defined targets. In this process, the actions and targets are regularly aligned with the positive and negative impacts described above, and additional measures are developed where necessary if target achievement is at risk or in order to provide remediation for those affected by actual material impacts. As this report is the first one prepared in accordance with the CSRD, no reporting on progress with regard to the actions has yet been provided.

A risk management strategy in the area of human resources is part of the Group's risk management and human resourcesrelated risks are dealt with in an integrated manner.1 Training courses, for example on sustainability software and regulatory developments, were used to mitigate the impact of the transition to a more environmentally friendly, climate-neutral economy on the company's own workforce.

Most of the above measures are ongoing. No specific financial resources have been allocated to individual measures.

CANCOM relies on targeted training programmes to professionalise employees in new technologies and processes. These include training on energy-efficient solutions, sustainable IT and the circular economy. Annual development reviews are designed to ensure that the skills needed for the transformation are built up. Employees receive individual development plans to actively shape the transition to a climate-neutral economy. Operational adjustments are planned at an early stage to avoid negative effects such as job losses. These include optimising resources and retraining skilled workers for new areas of responsibility.

CANCOM ensures that its own practices do not cause or contribute to material negative impacts on the workforce by conducting regular employee surveys and continuously integrating feedback into its practices. This applies in particular to practices in the areas of human resources and occupational health and safety and is regularly reviewed by the human resources department.

Targets related to managing material impacts (S1-5 and MDR-T)

In order to reduce adverse impacts and amplify positive effects, CANCOM has defined ambitious targets for 2030, based on the 2025 financial year.2 These include conducting at least 90 percent of all initial interviews virtually. Measures for early career orientation, such as internships, are to be increased by 10 percent. The trainees quota is to be increased to at least 10 percent of the net workforce, while the retention rate for trainees is to rise to at least 75 percent. In addition, CANCOM is aiming for a diversity quota of 40 percent among trainees and wants to ensure that at least 50 percent of former trainees participate in development programmes within three years of completing their training. For managers, it is planned that 95 percent will participate in career coaching programmes, with the share of women among the participants to be increased to 20 percent. In addition, 90 percent of managers are to complete the Leadership Journey, with a completion rate of 70 percent. To complement this, a mentoring programme will be introduced in which experienced employees pass on their knowledge to young talents.3

1) Information on the accounting-related internal control and risk management system within the scope of the Group sustainability statement is unaudited.

2) No scientific references were used to set the targets.

3) The targets were newly defined in the 2025 financial year and therefore no changes were made to the targets.

Interaction with
concept		 Target level and unit Scope
of the target		 Reference
value/
year*		 Target
period		 Assumptions for
setting the targets		 Scientific
reference		 Involvement of
stakeholders in
target definition
Target 1:
Contribution to
achieving the new
sustainability strategy		 Conducting ≥ 90 % of initial
interviews as virtual interviews		 All sites FY 2025 By 2030 Target contributes
to reducing GHG
emissions by
reducing travel		 - Management,
Employees
Target 2:
Contribution to
achieving the new
sustainability strategy		 Increase early career orientation
measures for potential
employees, e.g. internships,
by 10 %		 All sites FY 2025 By 2030 Contribution to
corporate strategy
and the target of a
10 % training rate		 - Management,
Employees
Target 3:
Contribution to
achieving the new
sustainability strategy		 Improvement of the trainees rate
to ≥ 10 % of the net workforce		 Sites
in Germany		 FY 2025 By 2030 Contribution to
corporate strategy
and the target of a
10 % training rate		 - Management,
Employees
Target 4:
Contribution to
achieving the new
sustainability strategy		 Improvement of the trainee
retention rate to ≥75 %		 Sites
in Germany		 FY 2025 By 2030 Contribution to the
corporate strategy
and the target of a
10 % training rate		 - Management,
Employees
Target 5:
Contribution to
achieving the new
sustainability strategy		 Increase diversity among
trainees to a diversity rate
of 40 %		 Sites
in Germany		 FY 2025 By 2030 Contribution to the
new sustainability
strategy		 - Management,
Employees
Target 6:
Contribution to
achieving the new
sustainability strategy		 Increase the participation of
trainees in development
programmes to 50 % within
three years of completing
their training		 Sites
in Germany		 FY 2025 By 2030 Contribution to the
new sustainability
strategy		 - Management,
Employees
Target 7:
Contribution to
achieving the new
sustainability strategy		 95 % participation of managers
in career coaching		 All sites FY 2025 By 2030 Contribution to the
new sustainability
strategy		 - Management,
Employees
Target 8:
Contribution to
achieving the new
sustainability strategy		 Increase the proportion of
women participating in career
coaching to 20 %.		 All sites FY 2025 By 2030 Contribution to the
new sustainability
strategy		 - Management,
Employees
Target 9:
Contribution to
achieving the new
sustainability strategy		 Increase participation of
managers in the Leadership
Journey to 90 % and completion
of the programme to 70 %		 All sites FY 2025 By 2030 Contribution to the
new sustainability
strategy		 - Management,
Employees
Target 10:
Contribution to
achieving the new
sustainability strategy		 Implementation of a Mentoring
Programme during which
employees with many years of
professional experience pass on
their knowledge to young talents		 All sites FY 2025 By 2030 Contribution to the
new sustainability
strategy		 - Management,
Employees

*) Base year representative of normal business development without the influence of special effects.

With regard to setting targets, CANCOM has implemented a structured process that involves active cooperation with its own workforce and their legitimate representatives or credible proxies. This enables CANCOM to take the perspectives and needs of the employees concerned into account appropriately. To set its objectives, the company consulted its employees in a regular employee survey to ensure that the objectives set were in line with the actual needs of its own workforce. CANCOM's objectives relate in particular to improving working conditions, such as secure employment, working hours, adequate remuneration, social dialogue, work-life balance, occupational health and safety, equal treatment and equal opportunities, and diversity. Performance

indicators and internal reporting are used several times a year to monitor progress towards these targets. These procedures ensure transparent tracking and continuous evaluation of actions in relation to the defined targets.

CANCOM continuously identifies potential for improvement and insights from the company's performance through regular employee surveys. Based on these insights, the appropriate measures are adjusted to ensure that the objectives are implemented effectively and sustainably while meeting the needs of its own workforce.

Characteristics of the undertaking's employees (S1-6)

The table below shows the composition of the workforce as total headcount.1 CANCOM collects and analyses employment data using multiple IT systems at country level and a central sustainability software for consolidation to ensure consistent and transparent reporting. The information on the number of employees was collected at the reporting date of 31 December 2025 and is given as headcount. This number of employees forms the basis for further disclosure requirements in the following sections and provides the basis for the extrapolation of relevant quantitative indicators.

Gender Number of employees
Male 4,281
Female 1,084
Total number of employees 5,365

The following overview shows the number of employees in the countries in which CANCOM operates:

Countries Number of employees
Germany 3,405
Austria 1,506
Slovakia 299
Switzerland 60
Czech Republic 40
Romania 45
Belgium 10
Total number of employees 5,365

The following table provides an overview of the total number of employees by type of employment and gender.

Type of employment Female Male Total
Number of employees 1,084 4,281 5,365
Number of employees
with permanent contracts		 1,076 4,226 5,302
Number of employees
with fixed-term contracts		 6 48 55 2
Number of on-call
workers		 2 6 8

During the financial year, 704 employees left the company. This is reflected in a employee turnover rate of 13.12 percent.3

The employee figures listed here differ from the number of employees reported in the consolidated financial statements (5,281) because a different definition was used in accordance with ESRS.

Collective bargaining coverage and social dialogue (S1-8)

At CANCOM, 27.4 percent of employees are covered by collective bargaining agreements. Within the European Economic Area (EEA), a total of 27.4 percent of employees are also covered by collective bargaining agreements. The breakdown by EEA contries in terms of collective bargaining coverage and representation through employee representative bodies is shown below:

Collective bargaining coverage
Coverage
rate		 Employees –
EEA
(for countries
with >50 emplo
yees represen
ting >10 % of
total workforce)		 Employees -
outside the EEA
(estimate for
regions with
>50 employees
representing >10
% of workforce)		 Representation
in the workplace
(EEA only)
(for countries
with >50 emplo
yees represen
ting >10 % of
total workforce)
0-19 % Germany,
Slovakia		 Slovakia
20-39 % Switzerland
40-59 %
60-79 %
80-100 % Austria Germany,
Austria

There is an agreement with employees on representation through a European Works Council.

2) This figure was slightly adjusted due to rounding effects in the extrapolation.

1) In the sustainability statement, the number of employees is calculated in accordance with ESRS S1-6. This results in a modified value compared to the section "Foundations of the Group" in the summarised Group management report.

3) The total number of employees as of the reporting date of 31 December 2025 was used to calculate the turnover rate, rather than the average number of employees over the year. The turnover rate was collected for the national companies in Germany, Austria and Slovakia and extrapolated for the other countries Belgium, Romania, Switzerland and the Czech Republic.

Diversity metrics (S1-9)

At CANCOM the top management level is defined as the Executive Board, comprising Executive Vice Presidents and Senior Vice Presidents. This corresponds to the two management levels below the administrative and supervisory bodies. CANCOM discloses the gender distribution at the top management level both in absolute numbers and percentages, as shown in the table below:

Category Number of employees
at top management
level		 Percentage share
(%)
Male 42 91.3 %
Female 4 8.7 %
Total 46 100 %

In addition, CANCOM records the age distribution of employees in the following age groups: under 30 years, 30–50 years and over 50 years, as shown in the table below:

Category Number of employees Percentage share
(%)
Under 30 823 15.34 %
30 2,963 55.24 %
Over 50 1,579 29.42 %

Adequate wages (S1-10)

All employees receive adequate remuneration in line with applicable national benchmarks.

Health and safety metrics (S1-14)

During the reporting period, 100 percent of employees were covered by the ISO 45001 occupational health and safety management system.1

During the reporting period, there were 0 fatalities related to work-related injuries and 0 fatalities attributable to work-related illnesses. A total of 59 reportable work accidents were recorded, corresponding to an accident rate of 6.62 . With regard to work-related illnesses, CANCOM reports 0 cases of reportable work-related illnesses, subject to legal restrictions on data collection. Furthermore, the total number of days lost due to work-related injuries and fatalities resulting from work accidents and work-related illnesses amounted to 0 days.

Compensation metrics (S1-16)

The unadjusted gender pay gap amounts to 22.9 percent and is calculated as the difference between the average remuneration of female and male employees, expressed as a percentage of the average remuneration of male employees. The figure reflects the average pay gap between women and men but does not take into account structural factors such as hierarchical level, role or professional experience. CANCOM aims to determine the gender pay gap adjusted for structural factors in the medium-term.

Data point S1-16 97b is not reported.

Incidents, complaints and severe human rights impacts (S1-17)

During the reporting period, there were 5 reports of discrimination, including harassment. In total, 22 reports were received via internal reporting systems and 0 reports via external channels such as OECD National Contact Points.3 No fines, sanctions or damages were imposed on CANCOM in connection with these reports.

No severe human rights incidents occurred during the reporting period. CANCOM ensures that its internal control mechanisms and risk assessments are continuously reviewed and improved.

Governance information

Business conduct (G1)

The role of the administrative, management and supervisory bodies (G1.GOV-1)

CANCOM ensures that the Executive Board plays a central role in the company's corporate governance by creating sustainable value and establishing a strong corporate culture that upholds the core values of innovation, agility and sustainability. The Executive Board also oversees sustainability management, including sustainability strategy and sustainability reporting. In doing so, the Executive Board is actively involved in the management of sustainability, including ESG risk management and compliance, and contributes to the strategic direction of the company.

1) Content unaudited.

2) Calculated as the number of work accidents/working hours (own workforce) × 1 million. In the calculation of the S1-14 health and safety metrics, and in line with S1-14 AR 90, contractual working hours were used instead of actual working hours to calculate the rates. In order to reflect the results as realistically as possible, estimated working time, such as average sickness days, was deducted from the denominator representing working hours.

3) The number of reports and cases was collected for the companies in Germany, Austria and Slovakia and extrapolated for the other countries Belgium, Romania, Switzerland and the Czech Republic.

In addition, the Executive Board has expertise in the areas of corporate governance and sustainability, compliance and risk management, which is continuously expanded and deepened through external consulting.

Furthermore, the ESG topics were also assigned to the area of responsibility of a member of the Executive Board, specifically the CFO, at CANCOM SE in the 2025 financial year. The Executive Board is committed to the principles of sustainable corporate governance. The Executive Board's commitment to corporate governance and sustainable corporate management is published on the company website www.cancom.de in the Investors > Corporate Governance section.*

Description of the processes to identify and assess material impacts (G1-IRO-1)

As part of the double materiality assessment, relevant activities relating to business conduct, all sites and the value chain were specifically taken into account in order to ensure a comprehensive analysis and sound decision-making. The systematic evaluation of these factors ensures that potential risks are identified at an early stage, negative impacts are minimised and opportunities are used effectively. This approach enables the proactive integration of industry-specific challenges, regulatory requirements and marketrelevant developments into strategic planning.

By establishing a positive corporate culture and upholding its values, CANCOM generates positive effects on employees, suppliers' workers, business partners, customers and local communities. A good corporate culture enables employees to reach their full potential and creates a positive working environment, which contributes to the well-being of the workforce.

This also applies to the possibility of anonymously reporting compliance violations to CANCOM in order to protect people along the entire value chain. The whistleblower system in place is available to all whistleblowers along the entire value chain in multiple languages. Reports can be submitted anonymously. An adequate level of protection for whistleblowers is ensured.

Corporate culture (G1-1)

CANCOM has established clear processes to define, develop, promote and regularly evaluate its corporate culture. The corporate culture is actively promoted through training programmes, internal policies and management workshops. In addition, regular feedback meetings and internal communication formats are used to strengthen a value-based and transparent corporate culture.

Internal reporting channels have been set up to protect whistleblowers in relation to discrimination, harassment and human rights violations, including anonymous online platforms, internal confidential contact points and ombudsman services, which are available to all employees and relevant external stakeholders. Receipt of reports submitted via email, post or the reporting tool set up at CANCOM is confirmed within seven days. Information on follow-up measures is provided to whistleblowers no later than within three months. In the case of anonymous reports, CANCOM does not take any steps that could lead to the identification of the reporting person. The reporting tool is technically designed in such a way that tracing the sender of an anonymous report including the IP address is not possible.

All reports are received and processed across the Group by the Compliance Officers responsible for the respective countries. Responsibility for responding to the reported violation remains with the respective Group company.

Incoming reports and any internal investigations derived therefrom, the involvement of authorities where applicable, and the resulting measures are comprehensively documented by the compliance department while maintaining confidentiality. Authorities such as the police, public prosecutors and/or supervisory authorities are involved after the investigation of facts and where necessary.

CANCOM guarantees that no person will be dismissed, transferred to a lower-value position, suspended, threatened, harassed or discriminated against in any way as the result of a report made in good faith. Under no circumstances will sanctions of any kind be imposed on the person acting in good faith. This applies subject to any conflicting statutory requirements (e.g. Section 125 (1) sentence 1 no. 3 GWB, antitrust self-cleaning).

In addition to internal channels, whistleblower also have access to external reporting channels. For example, reports can be submitted to the central external reporting office at the Federal Office of Justice (BfJ), the Federal Financial Supervisory Authority (BaFin) and the Federal Cartel Office. European institutions have also set up corresponding reporting offices (e.g. at the European Anti-Fraud Office or the European Securities and Markets Authority).

CANCOM regularly provides employees with training on reporting channels and whistleblower protection mechanisms. In addition, CANCOM has implemented measures such as internal protection guidelines and non-traceable reporting options to effectively protect whistleblowers from retaliation, in line with the applicable statutory requirements.

Corporate culture and business conduct policies (G1-MDR-P)

The CANCOM Code of Conduct and the compliance reporting channel guideline* define clear guidelines and targets for promoting corporate culture, protecting whistleblowers and shaping corporate culture in a sustainable and responsible manner. The guidelines address the material impacts associated with this area and establish a structured procedure for the regular monitoring and assessment of progress.

The scope of the Code of Conduct* applies to the entire CANCOM Group, that is, to all CANCOM employees and affiliated companies, regardless of the legal nature of their employment relationship and the country in which they are employed. The members of the governing bodies of the individual companies of the CANCOM Group are also bound by the principles set out therein. It also applies to suppliers of goods and services via the Business Partner Code*. The compliance reporting channel guideline* applies to all CANCOM employees, all business partners and other third parties and aims to encourage the reporting of identified or, in good faith, suspected breaches of statutory or internal requirements to CANCOM – either by providing the reporter's name or anonymously.

Responsibility for implementing the guidelines lies with the Executive Board of CANCOM, which monitors progress and takes strategic decisions.

CANCOM conducts its business at all times in compliance with all applicable national and international laws, regulations, guidelines and resolutions. Every manager within CANCOM exemplifies legally compliant behaviour and monitors compliance with legal requirements and internal guidelines by their assigned employees within their area of responsibility. CANCOM is committed to responsible and sustainable corporate governance in accordance with the principles of the United Nations Global Compact, the OECD Guidelines for Multinational Enterprises and the ILO Declaration on Fundamental Rights and Principles at Work.

The interests of employees were taken into account through the participation of the general works councils of CANCOM GmbH, ICT Service GmbH and CANCOM Managed Service GmbH. The interests of the Executive Board were represented by CANCOM's labour law team. The outcome of this process is the general works agreement on the compliance management system and the general works agreement on the procedure for compliance reports.*

The guidelines are made available to the public on the CANCOM website and to employees on the internal Compliance SharePoint. In addition, employees are made aware of the guidelines through a link in the HR Compass, in an annual e-learning course and at least once a year in a compliance newsletter. Suppliers are also made aware of the guidelines in the Business Partner Code in accordance with the requirements of the German Supply Chain Act.

Actions in the area of corporate culture and whistleblower protection (G1-MDR-A)

The principles and values set out in the guidelines are put into practice through measures. These actions are specifically designed to implement the defined requirements, to achieve measurable progress and to drive sustainable changes in business processes and across the value chain concerning corporate culture and the protection of whistleblowers. By defining clear responsibilities, providing resources and continuously evaluating them, CANCOM ensures that the are not merely formal in nature but have a tangible impact. No decision has yet been made on the corresponding investments in the measures listed below, and therefore no report is provided.

Action: Increasing the visibility of whistleblowers protection tools (IRO 17 and 18)

In the medium-term, CANCOM will implement targeted actions to further strenghten the protection of whistleblowers and to avoid or mitigate adverse impacts. This action includes placing the tools for whistleblowers protection more prominently visible on the websites and intranet pages. The action will be implemented in the medium-term across the entire CANCOM Group within its own business activities.

Annex

Data points from other EU legislation (ESRS 2)

Disclosure
requirement		 Data point Description SFDR
reference		 Pillar 3
reference		 Benchmark
Regulation
Reference		 EU
Climate
Law
reference		 Page
number
ESRS 2 GOV-1 21 (d) Gender diversity in governance bodies x x 31
ESRS 2 GOV-1 21 (e) Percentage governance body members that
are independent		 x 31
ESRS 2 GOV-4 30 Due diligence declaration x 32-33
ESRS 2 SBM-1 40 (d) i Participation in fossil fuel activities x x x 37
ESRS 2 SBM-1 40 (d) ii Participation in activities related to the
manufacture of chemicals		 x x 37
ESRS 2 SBM-1 40 (d) iii Participation in activities related to controversial
weapons		 x x 37
ESRS 2 SBM-1 40 (d) iv Participation in activities related to the cultivation
and production of tobacco		 x 37
ESRS E1-1 14 Transition plan to achieve climate neutrality by 2050 x n.a.
ESRS E1-1 16 (g) excluded from the Paris-aligned benchmarks x x n.a.
ESRS E1-4 34 GHG emission reduction targets x x x 49-50
ESRS E1-5 38 Energy consumption from fossil sources
disaggregated by sources (only high climate
impact sectors)		 x 50
ESRS E1-5 37 Energy consumption and energy mix x 50
ESRS E1-5 40-43 intensity related to activities in climate-intensive
sectors		 x x 50
ESRS E1-6 44 GHG emissions in Scope 1, 2 and 3 categories
and total GHG emissions		 x x x 51-53
ESRS E1-6 53-55 Intensity of gross GHG emissions x x 51-53
ESRS E1-7 56 Reduction of greenhouse gases and CO2 credits x 53
ESRS E1-9 66 Exposure of the benchmark portfolio to
climate-related physical risks		 x n.a
ESRS E1-9 66 (a);
66 (c)		 Breakdown of cash amounts by acute and
chronic physical risk Location of significant assets
with material physical risk		 x n.a
ESRS E1-9 67 (c) Breakdown of the carrying value of its real estate
assets by energy-efficiency classes		 x n.a
ESRS E1-9 69 Degree of exposure of the portfolio to climate-related
opportunities		 x n.a
ESRS E2-4 28 Quantity of each pollutant listed in Annex II
to the E-PRTR Regulation (European Pollutant
Release and Transfer Register) emitted to air,
water and land		 x n.a.
ESRS E3-1 9 Water and marine resources x n.a.
ESRS E3-1 13 Specific strategy Approach x n.a.
ESRS E3-1 14 Sustainable oceans and seas x n.a.
ESRS E3-4 28 (c) Total volume of water recycled and reused x n.a
ESRS E3-4 29 Total water consumption in m3 per net revenue
from own activities		 x n.a.
ESRS 2- SBM 3 - E4 16 (a) i - x n.a.
ESRS 2- SBM 3 - E4 16 (b) - x n.a.
Disclosure
requirement		 Data point Description SFDR
reference		 Pillar 3
reference		 Benchmark
Regulation
Reference		 EU
Climate
Law
reference		 Page
number
ESRS 2- SBM 3 - E4 16 (c) - x n.a.
ESRS E4-2 24 (b) Sustainable practices or policies relating to land
use and agriculture		 x n.a.
ESRS E4-2 24 (c) Sustainable ocean / marine practices or policies x n.a.
ESRS E4-2 24 (d) Strategies to combat deforestation x n.a.
ESRS E5-5 37 (d) Non-recycled waste x n.a.
ESRS E5-5 39 Hazardous and radioactive waste x n.a.
ESRS 2- SBM3 - S1 14 (f) Risk of forced labour x 56
ESRS 2- SBM3 - S1 14 (g) Risk of child labour x 56
ESRS S1-1 20 Commitments in the area of human rights policy x 56-57
ESRS S1-1 21 Due diligence requirements in relation to
matters covered by the International Labour
Organization Core Conventions 1 to 8		 x 56-57
ESRS S1-1 22 Procedures and measures to combat trafficking
in human beings		 x 56-57
ESRS S1-1 23 Strategy or management system for the prevention
of occupational accidents		 x 57
ESRS S1-3 32 (c) Handling of complaints x 58
ESRS S1-14 88 (b) & (c) Number of fatalities and number and rate of
occupational accidents		 x x 62
ESRS S1-14 88 (e) Number of days lost due to injury, accident,
death or illness		 x 62
ESRS S1-16 97 (a) Unadjusted gender pay gap x x 62
ESRS S1-16 97 (b) Excessive remuneration of members of
governing bodies		 x n.a.
ESRS S1-17 103 (a) Cases of discrimination x 62
ESRS S1-17 104 (a) Non-compliance with the United Nations Guiding
Principles on Business and Human Rights and the
OECD Guidelines		 x x 62
ESRS 2- SBM3 – S2 11 (b) Significant risk of incidents of child labour or
forced labour in the value chain		 x n.a
ESRS S2-1 17 Commitments in the area of human rights policy x n.a.
ESRS S2-1 18 Strategies related to labour in the value chain x n.a.
ESRS S2-1 19 Non-compliance with the United Nations Guiding
Principles on Business and Human Rights and the
OECD Guidelines		 x n.a.
ESRS S2-1 19 Due diligence requirements for issues covered
by the International Labour Organization Core
Conventions 1 to 8		 x x n.a.
ESRS S2-4 36 Problems and incidents related to human rights
in the upstream and downstream value chain		 x n.a.
ESRS S3-1 16 Commitments in the area of human rights x n.a.
ESRS S3-1 17 Non-compliance with the United Nations Guiding
Principles on Business and Human Rights, the ILO
principles or the OECD Guidelines		 x x n.a
ESRS S3-4 36 Problems and incidents related to human rights x n.a.
ESRS S4-1 16 Strategies related to consumers and end-users x n.a.
ESRS S4-1 17 Non-compliance with the United Nations Guiding
Principles on Business and Human Rights and the
OECD Guidelines		 x x n.a
Data point Description SFDR
reference		 Pillar 3
reference		 Benchmark
Regulation
Reference		 EU
Climate
Law
reference		 Page
number
35 Problems and incidents related to human rights x n.a.
§ 10 (b) United Nations Convention against Corruption x n.a.
§ 10 (d) Protection of whistleblowers x 63-64
§ 10 (d) Fines for non-compliance with anti-corruption
and bribery regulations		 x x n.a
§ 24 (b) Standards on anti-corruption and bribery x n.a

Disclosure of all data points considered in the preparation of the sustainability statement (ESRS 2 IRO-2.56)

Standard Topic No. Page number
ESRS 2 General basis for preparation of the sustainability statement BP-1 29-30
ESRS 2 General basis for preparation of the sustainability statement BP-2 30
ESRS 2 General disclosures GOV-1 30-31
ESRS 2 General disclosures GOV-2 31-32
ESRS 2 General disclosures GOV-3 32
ESRS 2 General disclosures GOV-4 32-33
ESRS 2 General disclosures GOV-5 33-34
ESRS 2 General disclosures SBM-1 34-37
ESRS 2 General disclosures SBM-2 38-39
ESRS 2 General disclosures SBM-3 39-40
ESRS 2 General disclosures IRO-1 41-42
ESRS 2 General disclosures IRO-2 42
ESRS E1 Climate change E1-GOV-3 45
ESRS E1 Climate change E1-1 45
ESRS E1 Climate change E1.SBM-3 45-46
ESRS E1 Climate change E1.IRO-1 46
ESRS E1 Climate change E1-2 / MDR-P 47
ESRS E1 Climate change E1-3 / MDR-A 48
ESRS E1 Climate change E1-4 / MDR-T 49
ESRS E1 Climate change E1-5 50
ESRS E1 Climate change E1-6 51
ESRS E1 Climate change E1-7 53
ESRS E1 Climate change E1-8 53
ESRS E5 Resource use and circular economy E5.IRO-1 53
ESRS E5 Resource use and circular economy E5-1 / MDR-P 53-54
ESRS E5 Resource use and circular economy E5-MDR-A 54
ESRS E5 Resource use and circular economy E5.MDR-T 55
ESRS S1 Own workforce S1.SBM-2 55
ESRS S1 Own workforce S1.SBM-3 55-56
ESRS S1 Own workforce S1-1 / MDR-P 56-57
ESRS S1 Own workforce S1-2 57
ESRS S1 Own workforce S1-3 58
ESRS S1 Own workforce S1-4 / MDR-A 58
ESRS S1 Own workforce S1-5 / MDR-T 59-60
ESRS S1 Own workforce S1-6 61
ESRS S1 Own workforce S1-7 61
ESRS S1 Own workforce S1-8 61
ESRS S1 Own workforce S1-9 62
ESRS S1 Own workforce S1-10 62
ESRS S1 Own workforce S1-14 62
ESRS S1 Own workforce S1-16 62
ESRS S1 Own workforce S1-17 62
ESRS G1 Business conduct G1-GOV-1 62-63
ESRS G1 Business conduct G1-IRO-1 63
ESRS G1 Business conduct G1-1 63-64
ESRS G1 Business conduct G1-MDR-P 64
ESRS G1 Business conduct G1-MDR-A 64

Risks and opportunities report

As a group operating across borders in an industry with rapid innovation cycles, CANCOM Group faces numerous risks and opportunities, some of which can have a significant impact on its planned business development and the associated earnings, financial and asset situation. Business opportunities are always associated with risks. Based on this, the management of the CANCOM Group has set itself the goal of shaping business development positively on the basis of a balanced opportunity-risk ratio and thereby sustainably increasing the value of the company in the interests of its shareholders.

Risk and opportunity management

The CANCOM Group's risk culture is shaped by the fundamental belief that exploiting business opportunities necessarily involves taking risks. From CANCOM's perspective, one of the principles of value-oriented and responsible corporate management is therefore to exploit business opportunities while at the same time proactively managing the associated risks. The CANCOM Group's risk policy, which is based on this fundamental belief, therefore stipulates that business decisions must always be made with the awareness that the opportunities taken correspond to the risks accepted in doing so. In the context of its risk policy, CANCOM sees itself as a rapidly growing company in a rapidly changing market environment. Provided that the risk-reward ratio appears appropriate, the company's management will therefore tend to opt for exploiting the business opportunity rather than avoiding a risk.

The management of the CANCOM Group closely monitors market developments and the competitive situation, evaluates them and, in regular planning and forecasting meetings between the Executive Board and operational management, derives potential opportunities for the respective business areas and sets targets and measures to exploit the identified opportunities.

In contrast, continuous risk management serves to efficiently monitor and identify risks at an early stage and is an integral part of the CANCOM Group's strategy and business development as well as its internal management and control systems. CANCOM's risk management aims to identify risks that could jeopardise the company's existence or are otherwise significant at an early stage and to deal with them responsibly.

Risk management system

Internal control and risk management system with regard to the (Group) accounting process

CANCOM's existing internal control and risk management system with regard to the (Group) accounting process comprises guidelines, procedures and measures designed to ensure that accounting complies with the relevant laws and standards. The key features can be described as follows:

  • In addition to a business distribution plan, CANCOM has a clear management and corporate structure. Cross-divisional key functions are managed centrally by CANCOM SE.
  • The functions of the areas significantly involved in the accounting process are clearly separated. Areas of responsibility are clearly assigned.
  • Integrity and accountability with regard to finances and financial reporting are ensured by including a commitment to this in the company's own code of conduct.
  • The risk management system provides for the analysis of new laws, accounting standards and other announcements whose non-compliance would pose a significant risk to the regularity of accounting.
  • The financial systems used are protected against unauthorised access by appropriate IT measures. Where possible, standard software is used for the financial systems employed.
  • The consolidated financial statements are prepared in a central consolidation office using standardised consolidation software.
  • The annual financial statements included in the consolidated financial statements are prepared in accordance with uniform accounting policies applicable throughout the Group.

  • The risk management system is based on a holistic corporate governance approach in which all elements – risk management, compliance management, business continuity management, internal auditing and the internal control system (ICS) – are regularly reviewed for effectiveness and influence each other. In line with this holistic approach, the elements and audit routines described above are being gradually established within the organisation, where they do not already exist (e.g. in acquired subsidiaries).

  • An adequate set of guidelines (e.g. payment guidelines, travel expense guidelines, etc.) has been established and is continuously updated. The significant assets of all companies are regularly reviewed for impairment. Guidelines are in place for the control of all accounting-related processes.

  • The dual control principle is applied consistently to all payment-related processes.
  • Accounting-related processes are reviewed by the (process-independent) internal audit department. These audit routines are being gradually established where they do not yet exist (e.g. in acquired subsidiaries).
  • Both the risk management system and the internal control system (ICS) include adequate measures for controlling accounting-related processes.
  • The resources available to the departments and divisions involved in the accounting process are based, in both quantitative and qualitative terms, on the capacity and qualification requirements necessary to ensure functionality.
  • The risk management system stipulates that accounting data received or passed on must be checked on an ongoing basis for completeness and accuracy, including by means of random samples. There is a three-stage review system for checking the accuracy of the financial statements. Individual financial statements are prepared by the financial accounting department, with group accounting and consolidation providing a further control instance before the finance department carries out a third review.

The internal control and risk management system with regard to the (group) accounting process is designed to ensure that business transactions are always correctly recorded, prepared and assessed in the balance sheet and included in the financial statements.

Appropriate staffing, the use of adequate software and clear legal and internal company guidelines form the basis for a proper, uniform and continuous accounting process. The clear delineation of areas of responsibility and various control and review mechanisms, as described in more detail above (in particular the authorisation concept, plausibility checks and the dual control principle), ensure correct and responsible accounting. Specifically, this provides organisational support to ensure that business transactions are recorded, processed and documented

in accordance with legal requirements, the articles of association and internal guidelines, and that they are recorded in the accounts promptly and correctly. At the same time, it ensures that assets and liabilities are accurately recognised, reported and measured in the annual and consolidated financial statements and that reliable and relevant information is provided in a complete and timely manner.

Internal control and risk management system of the Group

In order to ensure the adequacy and effectiveness of the internal control system and the risk management system as far as possible, all essential elements of the Group's risk management and internal control system are reviewed, updated, supplemented or revised as necessary at regular update meetings, to which experts from the respective divisions are invited as required. In this context, external and internal early warning indicators have been defined in the key divisions of the company to identify developments that could jeopardise the continued existence of the CANCOM Group as quickly as possible. Their effects are reviewed together with the overall risk determined on the basis of an externally commissioned risk-bearing capacity assessment. In addition, based on findings made during internal audits or external audits, continuous improvements are made to risk management and internal control systems. On this basis, the Executive Board has no indication that the internal control system and the risk management system are inadequate or ineffective in all material respects and in their entirety. Notwithstanding the assessment of the effectiveness and adequacy of CANCOM's internal control and risk management systems, there are inherent limitations to the effectiveness of internal control or risk management systems in general. No control or risk management system, regardless of its assessment, can completely rule out all misstatements.

Risk identification, analysis and documentation

In order to define and ensure adequate risk control, the Executive Board has formulated risk principles in a risk management strategy and appointed a central enterprise risk manager and several local risk officers who regularly monitor and assess any risks. The primary objectives of risk management include the timely identification of material risks that could jeopardise the company's existence and the initiation of appropriate risk control measures to minimise or avert any damage that could result from the possible occurrence of a risk.

To document the organisational regulations and measures for risk identification, analysis, assessment, quantification, management and control, CANCOM has drawn up a risk management policy which, among other things, describes the appropriate handling of business risks at CANCOM.

CANCOM proceeds as follows when assessing risks: First, the identified individual risks are assessed according to their probability of occurrence and potential damage, and examined for their interdependencies with other individual risks. All identified individual risks are also assigned to a responsible person at the level of the individual subsidiaries. They are then grouped into thematic clusters. Where risks can be meaningfully controlled using quantifiable variables, appropriately defined key figures are used to assess them. If no precisely definable metrics are available for risks, they are assessed in collaboration with the respective responsible persons, the enterprise risk managers and the members of the Executive Board responsible for risk management. In addition, an annual survey of key players from the companies and business units of the CANCOM Group has been initiated. This tool-based survey is designed to ensure that the existing risk assessments correspond to the current risk potential and to determine whether new risks or risk areas should be taken into account from an expert perspective.

The risks, their potential damage and their probability of occurrence are presented both as net and gross figures, i.e. before and after countermeasures have been taken into account. The probability of occurrence is differentiated on the basis of the following categories: low, medium, high and very high. The potential damage is also differentiated according to the categories low, medium, high and very high. With the help of a risk matrix, the individual risks can be systematised according to the dimensions mentioned a ely and assigned to different risk classes. The following tables serve to explain the individual dimensions and to present the resulting risk matrix.

PROBABILITY OF OCCURRENCE

Probability of
occurrence		 Definition
Low Probability < 25 %
Occurrence is expected within the next five years,
or the risk has never occurred before.
Medium Probability ≥ 25 to < 50 %
Occurrence is expected within the next
three years, or the risk has occurred in
the last three years.
High Probability ≥ 50 to < 75 %
Occurrence is expected within the next two years,
or the risk has occurred in the last two years.
Very high Probability ≥ 75 %
Occurrence is expected within one year.

POTENTIAL AMOUNT OF DAMAGE

Potential amount
of damage		 Definition
Low Slight adverse effects on earnings, net assets
and financial position (€ 0 to € 4.0 million)
Medium Significant adverse effects on earnings, assets
and financial position (≥ € 4.0 to € 8.0 million)
High Significant adverse effects on earnings, assets
and financial position (≥ € 8.0 to € 12.0 million)
Very high Very significant adverse effects on earnings,
assets and financial position (≥ € 12.0 million)

RISK MATRIX – OVERALL RISK ASSESSMENT

Probability of
occurrence		 Potential amount of damage
Low Medium High Very high
Low Low Low Medium Medium
risk risk risk risk
Medium Low Medium Medium High
risk risk risk risk
High Medium
risk		 Medium
risk		 High risk Very high
risk
Very high Medium High Very high Very high
risk risk risk risk

For risks that could jeopardise the company's existence, among other things, the CANCOM Group has defined early warning indicators as part of its risk management system. Changes and developments in these indicators are continuously monitored and discussed at risk management meetings. Regular risk management meetings between the Executive Board and the Enterprise Risk Manager ensure that existing and future risks are monitored continuously and promptly. This also ensures that the Executive Board and Supervisory Board are informed of any material risks at an early stage. Risks are defined as material if their overall assessment falls into the "very high risk" category.

Due to the high significance of risks related to cyber security and compliance for business development, the CANCOM Group operates two additional, separate risk management systems in addition to its overarching enterprise risk management system: an IT risk management system and a compliance management system. These systems are operated by the Chief Information Security Officer and the Group Compliance Officer of the CANCOM Group. Both are in direct contact with the Enterprise Risk Manager, who operates the Group Risk Management System.

In addition to risks, the risk management system also identifies potential opportunities and compares them.

Risks of future development

The following provides an overview of the identified risks and possible future developments or events with potentially negative effects on the CANCOM Group. The risks remaining after the implementation of mitigation measures are described (net presentation). The period covered by the risk and opportunity assessment corresponds to the forecast period. All of the risk factors mentioned below affect both business segments (Germany and International) equally. If one of the two business segments is particularly affected by one of the risks mentioned, this is indicated accordingly below. It cannot be ruled out that risks that are not yet known or risks that are currently considered insignificant and are therefore not described below may affect future business activities.

OVERALL ASSESSMENT

Risk Overall assessment
Current Develop
ment*
Economic, regulatory, market and
industry-related risks
Direct sales risks Medium +
Economic and (geo)political risks high =
Regulatory risks medium =
Risks arising from competition and
technological change		 High +
Project and business-related risks
Operational disruption risks,
in particular IT systems		 / /
Cyber security risks / /
Bad debt risks Medium +
Liability, warranty and compensation risks Medium +
Internal risks low =
Supplier dependency risks high +
Project risks high +
Subcontractor risks low -
Financial risks
Financing, liquidity and credit risks Low =
Exchange rate, inflation and interest
rate risk		 Medium =
Personnel risks
Key personnel and know-how risk Medium =
Legal risks
Compliance and legal risks Medium +
Data protection regulations risks Medium =
Legal violation risks Medium +
Strategic risks
Reputational risks low =
Risks arising from the acquisition/
sale of companies or company shares		 Low -
Risks arising from misjudgements in
acquisitions and integrations		 Medium =
Sustainability risks low =
Information security risks
Information security risks Medium new

*) w"+" = risk increased, "=" = risk unchanged, "-" = risk decreased, "new" = risk newly added compared to the previous year.

Changes in risks compared to the previous year

During the reporting period, there have been changes to the assessment of risks relating to the future development of the CANCOM Group published in the 2024 combined management report. The changes mainly relate to the assessment of the risks listed in the table above, as well as the risks described in more detail below: "Operational disruption risks, in particular IT systems", "Cyber security risks" and the summarised "Information security risks".

Economic, regulatory, market and industry-related risks

There are risks associated with direct sales by manufacturers.

The CANCOM Group is exposed to direct competition from manufacturers of hardware and software. While manufacturers often distribute their products through intermediaries such as CANCOM, there are business models that facilitate direct sales. If manufacturers succeed in establishing their direct sales more strongly, this could have a negative impact on the results of operations, financial position and net assets of the CANCOM Group.

To counteract this risk, CANCOM maintains close contact with both potential and existing customers, as well as with key manufacturers and distributors. In addition, CANCOM strives to offer customers added value over direct purchasing from manufacturers by providing the highest possible quality of service in conjunction with a broadly diversified portfolio of sales channels, targeted advice and additional services that manufacturers do not offer.

The occurrence of the risk from direct sales by manufacturers cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as low. The potential damage is assessed as high. Overall, the risk is therefore assessed as medium.

The overall assessment has increased compared to the previous year.

The CANCOM Group's business development could be negatively affected by economic and (geo)political developments.

As an IT service provider and system house, CANCOM is dependent on suppliers and customer demand for hardware, software, IT system solutions and IT services. The size of customers' IT budgets depends both on the economic situation of the companies and on the general economic and (geo-)political conditions. If, as a result of these conditions, for example due to an economic downturn, IT budgets in the public or private sector are cut, corresponding funds are used for other purposes, or existing or potential customers cease their business activities, this may lead to orders to CANCOM being postponed or cancelled. Similarly, interruptions in the supply chains for hardware, software or services could have a negative impact on business development.

Potential sources of risk here include a sustained economic downturn in Germany, which, in conjunction with ongoing (trade) conflicts such as war scenarios or increased tariffs, could have an immense negative impact on CANCOM and its customers of the CANCOM Group. It is conceivable that important components of IT supply chains could be jeopardised, interrupted or eliminated altogether, that the delivery of urgently needed energy sources could be hampered, or that important freight routes could only be used to a limited extent or not at all. The export-heavy DACH region also presents a special situation for local CANCOM customers, as sharply rising tariffs lead to planning uncertainties. This, in turn, can have a significant negative impact on CANCOM's business development, as customers may hold back on their originally planned IT budgets. The geopolitical impact of the recently started war in Iran could not be accurately assessed at the time of writing and was therefore not fully considered in the risk assessment.

To counteract these risks, CANCOM monitors economic and (geo) political developments, utilises external consultants and early warning indicators such as the ifo Business Climate Index, the Austrian Purchasing Managers' Index, the IMF Trend and studies by the industry association Bitkom, and incorporates the insights gained into corporate management, supplier management and the range of products and services offered. The product and solution portfolio focuses in particular on IT services, especially managed services. Compared to the system house business, these

business areas are generally characterised by multi-year contract terms and place fewer demands on the use of hardware, which reduces dependence on short-term economic and (geo)political developments.

The risk of a negative impact of economic and (geo)political developments on business performance cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence as medium. The potential damage is estimated to be very high. Overall, the risk is therefore assessed as high.

The overall assessment has not changed compared to the previous year.

The CANCOM Group's business activities could be restricted or otherwise negatively affected by regulatory measures.

One risk factor for the CANCOM Group's business development is regulatory changes, for example in corporate taxation and labour law, but in particular regulatory changes relating to the IT industry, such as import and export restrictions, customs duties or bans or restrictions on the use of IT products or IT services. Examples of regulations that directly or indirectly affect the CANCOM Group include the Digital Operational Resilience Act, the NIS 2 Directive, which came into force in December 2025, the KRITIS Regulation and the Cloud Computing Compliance Criteria Catalogue. Similarly, increased regulatory requirements could mean that services can only be offered at significantly higher internal cost or at considerably higher prices. Such or similar regulatory changes or changes in transactions requiring official approval could also trigger a significant deterioration in the CANCOM Group's business performance or profitability in the medium term. In addition, the CANCOM Group's product and service offerings could be negatively affected or prohibited by regulatory changes, for example in the areas of data protection, data storage and data processing, or could no longer comply with regulatory requirements.

To counteract these risks, CANCOM monitors regulatory developments, uses external consultants, establishes internal structures and responsibilities at an early stage and incorporates the findings into corporate management and the range of products and services.

The risk of regulatory developments having a negative impact on business development cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence as medium. The potential damage is also estimated as medium.

The overall assessment has therefore not changed compared with the previous year and is classified as medium.

Increasing competition and technological change in the IT market could lead to lower revenue, lower margins and/ or a loss of market share for the CANCOM Group.

The market in which the CANCOM Group operates is characterised by strong competition and rapid technological change. Insufficient knowledge of the market and competition poses the risk of incorrect or missing decisions in terms of market approach and marketing mix as well as strategic and tactical product and pricing policy. This can lead to a lack of sales success and stagnation in already saturated markets, but also to risky investments in new business areas with uncertain market success.

In addition, competitive pressure could intensify further, for example through price reductions on existing offerings from competitors or the launch of new competing products. It is also possible that new competitors could enter the market or that new alliances of competitors could form, which could gain significant market share in a short period of time. Increased competitive pressure is also evident in the IT hardware sector, particularly due to the oligopolistic market among memory chip manufacturers. Due to the high demand for memory and chip components for the provision of artificial intelligence, including by large, internationally active hyperscalers, and the resulting shortage of supply, there is a threat of price increases coupled with declining availability. Against this backdrop, there are risks with regard to availability and volatile price developments, which could affect Revenue and margins in existing and new contracts due to price and delivery obligations.

In addition, disruptive and rapidly advancing developments in the field of artificial intelligence are also having a significant impact on customer behaviour that should not be underestimated. For example, increased use of AI in customer companies may lead to processes and activities being automated and performed to a high standard in future. This, in turn, may have an impact on the demand for CANCOM's refined hardware and software solutions for workplace equipment in the retail and service sectors. In addition, CANCOM customers may also have increased expectations that AI-supported internal process and service optimisations will lead to lower service prices. If these expectations are not met with adequate service quality, there is a risk of negative margin developments or customer churn.

To counteract these industry- and market-based risks, CANCOM continuously adapts its organisation, processes and product and solution portfolio to current market conditions and customer requirements. 's product and solution portfolio focuses in particular on expanding the areas of artificial intelligence, modern workplace, Internet of Things, security and cloud. In addition, CANCOM monitors market and technology developments in order to identify new trends at an early stage and is in constant dialogue with existing and potential customers in order to identify their needs at an early stage. As a further countermeasure, CANCOM maintains close relationships with hardware and software manufacturers, distributors and service providers in order to obtain both favourable pricing conditions for CANCOM and technologically leading offers when purchasing goods and services.

In the past, CANCOM has entered into a cooperation or strategic partnership with ServiceNow. This collaboration aims to provide state-of-the-art digital solutions and AI-supported value-added services for small and medium-sized businesses in Germany, Austria and Switzerland. It comprises a complete portfolio of ServiceNow and CANCOM solutions designed to transform business processes for greater productivity, efficiency and cost optimisation.

The aim is to create added value for customers in order to become more relevant within the value chain for the design of processes for customers. To this end, products and solutions are being developed that are closely related to CANCOM's IT service business and are intended to implement process automation for customers. This will initially require high investments in the development of products, technical solutions and services, as well as new market access. The developments may not lead to the desired success, or may not lead to any success at all.

The risk of a negative impact on business development due to the competitive situation and/or technological change in the IT market cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as medium. The potential damage is assessed as very high. Overall, the risk is therefore assessed as high.

The overall assessment has increased compared to the previous year.

Project and business-related risks

The companies of the CANCOM Group are exposed to liability, warranty and compensation risks.

The CANCOM Group and its subsidiaries purchase products, in particular hardware and software, from manufacturers or distributors. CANCOM is therefore dependent on these products being of high quality and meeting relevant specifications and quality standards. In the event of defects during the warranty period, CANCOM can generally seek compensation from suppliers. However, due to delays between the purchase of goods from suppliers and their resale to customers in a project, it is possible that customers may assert warranty claims against the CANCOM Group or its subsidiaries which CANCOM itself cannot assert against suppliers. In addition, CANCOM itself assumes the warranty obligation for its own products and services.

Further liability, warranty and compensation risks arise from the CANCOM Group's business activities, as CANCOM implements and, where applicable, operates IT solutions in complex installation, system integration, software, operational management and outsourcing projects for customers. In this context, given the complexity of the IT solutions and the depth of integration at the customer's site, technical problems may arise that have a significant negative impact on the customer's business processes. With the AHP Enterprise Cloud Platform developed by CANCOM, there is a risk that the cloud may not be usable, or may not be fully or properly usable, for the customer due to malfunctions, incorrect configurations or updates. In addition, failures and errors in data centres could lead to operational restrictions or even interruptions at the customer's premises in the context of hosting services. As CANCOM rents some of its data centres externally, such a risk could also materialise without this being primarily attributable to the CANCOM Group. Operational management risks also arise from the failure to identify interruptions, monitoring errors and breaches of obligations agreed with customers for immediate troubleshooting within the framework of service level agreements in a timely manner. All of this can result in CANCOM being exposed to liability, warranty and damage claims and possibly also losing contractual relationships.

To counteract these risks, CANCOM takes numerous precautions as part of its business continuity management, which are designed to ensure, for example, the operation of cloud services and their provision. These include, among other things, the use of redundant data centres. The CANCOM Group's data centres also have an information security management system certified in accordance with the international ISO 27001 standard, including comprehensive and tested emergency concepts. In addition, CANCOM endeavours to agree on industry-standard liability limitations in the contracts for the service and project business affected by this. In addition, CANCOM takes out insurance against liability and compensation risks where this makes economic sense.

The occurrence of one or more liability, warranty or compensation risks cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence to be low. The potential for damage is estimated to be high. Overall, the risk is therefore assessed as medium.

The overall assessment has been raised compared to the previous year.

CANCOM Group projects could be delayed, cancelled or fail to achieve the desired success for other reasons. In addition, investments and advance payments already made could potentially be lost in whole or in part.

The CANCOM Group carries out IT projects in which IT solutions tailored to specific customers are planned and implemented. IT projects are often highly complex and involve considerable time and expense. In this context, there are both technical risks in the context of project implementation and risks arising from the drafting of contracts.

When implementing projects, it cannot be ruled out that they may be delayed, cancelled or, for other reasons, fail to achieve the desired success. As it is often not possible to agree on down payments or advance payments in projects, the CANCOM Group's services can usually only be invoiced after the completion of agreed project phases or after the completion of the entire project. This means that the CANCOM Group sometimes has to make significant advance payments when implementing projects. A project delay or cancellation may result in such investments already made being lost in part or in full, or in services already rendered not being invoiced. If customers refuse to accept projects, whether justified or unjustified, this usually leads to payment delays or a complete failure to make planned payments.

In the cloud computing service area, there is also a risk that agreed services may not be provided or guaranteed, which could result in disruptions or failures of any kind for the customer. This can lead to considerable costs and expenses for CANCOM, possibly resulting in contractual penalties or the impairment or termination of customer relationships.

Larger projects in the service sector lead to increased risks in the scheduling of employees. External employees and subcontractors must also be used, whose performance and costs may not meet expectations, which can lead to additional expenses. The loss of large projects can lead to increased personnel costs, as it is often not possible to deploy adequate personnel to other projects or to take appropriate countermeasures without delay.

When drafting contracts for IT projects, fixed prices are sometimes calculated and agreed upon. There is therefore a risk that, due to incorrect assumptions, incorrect calculations, the occurrence of unforeseen shortages or price shocks, or force majeure, the actual costs and time required will exceed the budget and no adjustment can be agreed with the customer.

To counteract these risks, enquiries at CANCOM usually undergo a process to review technical and economic feasibility before a quote is prepared. In this context, with appropriate consideration of project risks, the focus is on ensuring the best possible solution for the customer. An internal review of potential contract risks is also carried out. Where possible, standardised contracts are used, which also contain price escalation clauses. These are monitored by project management during the projects. CANCOM uses various measures and procedures, such as the use of redundant data centres, to ensure that the agreed services are provided.

The occurrence of one or more of the risks listed, which are significant for the success of projects and the associated investments and upfront costs, cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence as medium. The potential damage is estimated to be very high. Overall, the risk is therefore assessed as high.

The overall assessment has increased compared to the previous year.

There are risks associated with acting as a subcontractor.

Companies in the CANCOM Group are often used as subcontractors in large-scale projects. In such cases, they are commissioned by a general contractor to perform partial services as part of the IT services to be provided by the latter. In this situation, CANCOM is dependent on the commission from the general contractor. There is a risk of postponements and reductions in the scope of the contract, as well as the risk of default by the general contractor.

To counteract these risks, CANCOM is constantly expanding its customer base and cultivating intensive relationships, as well as checking clients, and also endeavours to act as the primary contractor.

The occurrence of risk from subcontracting activities cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence as medium. The potential for damage is estimated as low. Overall, the risk is therefore assessed as low.

The overall assessment has not changed compared to the previous year.

There are risks of bad debts.

Defaults on (financial) receivables or long-term loans can pose a significant risk. To counteract this risk, CANCOM pursues an intensive receivables management policy. Internal guidelines exist for the granting of credit limits, both in terms of their absolute amount and the persons authorised to approve them. As a rule, customers are only supplied after a successful credit check. In addition, CANCOM conducts ongoing sales activities to acquire new customers and expand existing customer relationships in order to be able to compensate for the potential loss of individual major customers through new business. Risks can also be transferred to factoring banks at an early stage through the sale of individual receivables. However, especially in times of economic weakness in the DACH market, which is important for CANCOM, defaults on receivables cannot be completely ruled out.

The occurrence of risks from bad debts cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as low. The potential damage is assessed as very high. Overall, the risk is therefore assessed as medium.

The overall assessment has increased compared to the previous year.

Risks arise from dependence on suppliers.

CANCOM is dependent on deliveries from manufacturers and distributors for its supply of hardware and software. Unexpected delivery bottlenecks, price increases (e.g. as a result of shortage scenarios) or reduced supplier bonuses can have a negative impact on revenue and earnings. Since, among other things, the inventories of the CANCOM Group's logistics centres are generally designed for short periods for optimisation reasons, there may be an impact on capital commitment due to possible increased stockpiling and restrictions on partial deliveries.

For example, supply bottlenecks are emerging in this area due to a shortage of memory chips. Supply difficulties can also be expected for hardware products in which these components are used in large numbers. In addition, such a shortage can also lead to price increases, which CANCOM must take into account in its customer business.

To counteract this risk, CANCOM maintains close contact with key manufacturers and distributors and, where possible and appropriate, enters into long-term supply agreements. CANCOM also works with a broad range of manufacturers and distributors so that it can quickly switch to alternative manufacturers or alternative sources of supply.

The occurrence of the risk arising from dependence on suppliers and manufacturers cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as high. The potential damage is assessed as high. Overall, the risk is therefore assessed as high.

The overall assessment has therefore been raised compared to the previous year.

There are internal risks.

The CANCOM Group's value chain encompasses all stages of business activity, from marketing activities, consulting, Sales, logistics and transition to user training, maintenance and the operation of IT solutions. Disruptions within or between these areas or in work processes, for example in the support centre or in managed services, could lead to problems, including temporary the breakdown of workflows in individual or multiple areas. Storage risks, such as damage or loss that occurs during storage and is not insured, are also taken into account. In addition, due to sometimes short-term sharp price fluctuations for products, there is a risk of only being able to sell goods below price or not at all, or that call-off quantities will not be purchased in the agreed quantities. Furthermore, there is a risk of quality problems, especially in areas requiring intensive consultation.

To counteract these risks, CANCOM monitors and controls the provision of advice and delivery of services via employees responsible for customer satisfaction (key account managers). In addition, resource management tools are used and project goals and interim targets for customer orders are defined and monitored. To counteract the risks associated with warehousing, the procurement process is continuously optimised. Based on close networking with manufacturers and distributors, CANCOM always strives to keep inventory levels appropriate to the situation and storage costs as low as possible, while at the same time avoiding short-term delivery bottlenecks. Appropriate insurance policies are in place to cover damage caused by errors. In addition, internal processes and procedures are subject to constant monitoring by departmental supervisors and the Executive of the CANCOM Group. Furthermore, business continuity management safeguards essential and central operational processes against downtime with appropriate emergency plans.

In addition to the aforementioned potential risks in the area of internal risks, there is also potential for damage arising from the introduction and implementation of the central ERP system SAP S/4HANA in the CANCOM Group. Delays in the Group-wide implementation could result in additional expenses, for example for external consultants. However, CANCOM's business activities could also be affected in the long term and, in some cases, negatively. There is also a considerable risk to the availability of the web shop, customer connections and even the entire e-commerce process chain due to faulty or failed implementations, as well as a possible total failure of the ERP system. Among other things, this could have a negative impact on the processing of customer projects and orders, such as deliveries and invoicing.

Technical downtime could also mean that internal processes such as time recording, invoicing or accounting procedures could no longer be maintained or carried out, or only partially, with all the consequences that this would entail.

To counteract this risk, CANCOM uses various measures such as experienced employees and project managers for the successful implementation of internal projects, proven management and control systems, and ensures the highest possible level of control. Project managers are appointed and project goals and their sub-goals are clearly defined in the form of milestones. The project managers monitor the individual steps and drive forward the rapid implementation of SAP. A training concept and a corresponding test phase are designed to reduce additional risks.

The occurrence of one or more of these internal risks cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence as low and the potential damage as medium. Overall, the risk is therefore assessed as low.

The overall assessment has not changed compared to the previous year.

There is a risk of operational disruptions, in particular disruptions to IT systems, which could impair information technology.

As part of structural adjustments to the overall, Group-wide risk management process, all operational disruption risks, in particular IT systems, were aggregated in the risk category of information security risks.

At the time of consolidation in this risk category, the overall assessment was medium.

There are cyber security risks.

As part of structural adjustments to the overall, Group-wide risk management process, all information, communication and cyber security risks were aggregated in the information security risks risk category.

At the time of consolidation in this risk category, the overall assessment was high.

Financial risks

There are financing, liquidity and credit risks.

A sharp deterioration in the liquidity situation is a significant risk for companies and could threaten their continued existence. This also applies to CANCOM SE and the CANCOM Group. In addition, a significant deterioration in business performance could give rise to financing requirements that would have to be covered by either Shareholder's Equity or debt instruments. In this case, there is a risk that such refinancing will not be successful or, due to the company's poor credit rating, will only be possible on unfavourable terms. A sufficient credit rating is therefore a necessary basis, in particular for the granting of debt capital, for example by banks, and thus also for the long-term existence of the company. A significant deterioration in creditworthiness therefore represents a material risk to the continued existence of the CANCOM Group. Another general financing risk may be posed by financing instruments that are subject to conditions (covenants) which, if not met, trigger an unplanned payment obligation.

To counteract these risks, the core objective of CANCOM's treasury management is to ensure that sufficient liquid funds are available at all times to guarantee smooth business operations. This also takes into account a possible negative impact on working capital resulting from the current availability of memory modules, as preventive stockpiling can lead to increased capital commitment in this area. In addition, the aim is to optimise profitability and thus achieve the highest possible credit rating in order to secure favourable refinancing. In addition to medium-term financial planning, the Group also has a monthly liquidity plan. The planning systems cover the entire scope of consolidation. Since the Equity ratio (calculated using the method employed by banks) is a key indicator when granting bank loans, its development is monitored regularly so that any necessary countermeasures can be taken in good time.

As of the reporting date, the CANCOM Group had cash and cash equivalents of € 198.9 million and credit lines (including guarantee credits) with banks of € 210.0 million, of which € 172.5 million was freely available as of 31 December 2025. This means that cash and cash equivalents significantly exceed interest-bearing financial liabilities as of the reporting date, resulting in no net financial debt for the CANCOM Group. The equity ratio was 37.8 percent as of the reporting date.

At the time of preparing this risk report, the Executive Board does not identify any risks arising from the financing, liquidity or creditworthiness situation that could jeopardise the continued existence of the company. Nevertheless, the occurrence of such risks cannot be completely ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as low. The potential damage is assessed as medium. Overall, the risk is therefore assessed as low.

The overall assessment has not changed compared to the previous year.

There are risks arising from changes in exchange rates, inflation and interest rates.

The CANCOM Group's international business activities generate cash flows in different currencies. The majority of transactions are conducted in the eurozone, which limits currency risk. Nevertheless, a significant depreciation of the euro against other currencies could lead to exchange rate losses. This foreign currency risk is reduced by the focus on the DACH region. Further potential risks with possible negative financial implications could arise from changes in inflation and interest rates. An increase in inflation is accompanied by a loss of purchasing power, which reduces the value of cash and cash equivalents. The inflation rates in Germany and the eurozone, which are now lower but still not insignificant, combined with a high level of cash and cash equivalents on the Group's consolidated balance sheet, mean that there is an increased risk of inflation. Variable-rate loans or other interest-ratedependent activities could be negatively affected by higher interest rates, but this is not a significant factor in the reporting period due to the low volume of loan liabilities.

To counteract this risk, derivative financial instruments are used to hedge valuable underlying transactions, such as currency hedges. Any transactions in different currencies are hedged on a daily basis, whereby customer-related transactions are generally hedged. Hedging is carried out using forward exchange transactions, which generally offer CANCOM the opportunity to purchase foreign currency at an agreed rate. Due to the direct relationship with a customer transaction, CANCOM does not see any risk here compared to purchasing foreign currency on the day of payment to the respective supplier. Economic hedging relationships were not recognised as balance sheet hedging relationships in the reporting year. The conclusion of hedging transactions is permitted for dedicated persons in amounts subject to approval. Approvals for exceeding these limits are granted by the CFO/Executive Board. Treasury activities to optimise purchasing conditions could have

negative effects and worsen purchasing conditions in the event of unfavourable hedging. Through internal financial equalisation within the Group, CANCOM continues to reduce its external financing volume and thus optimise the CANCOM Group's interest rate management, with a positive impact on net interest income. The advantages of intra-group lending and borrowing opportunities are based on the liquidity surpluses of individual group companies used within the cash management system, which can be used to internally finance the cash requirements of other group companies. In addition to domestic overdraft facilities, CANCOM exclusively uses fixed-interest loans. Liabilities abroad are insignificant.

The fundamental factors for the assessment are a high level of self-financing and the resulting low level of borrowing, currency hedging to minimise risk, the direct passing on of prices through price escalation clauses in contracts, the adjustment of hourly rates for service contracts, and the passing on of manufacturer price increases in the traditional trading environment. Inflationary effects are also evident and expected in other areas of the CANCOM Group, but these are reflected in the risk categories "personnel cluster" and "sustainability risks".

The occurrence of risks arising from exchange rate, inflation and interest rate changes cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as medium. The potential damage is assessed as medium. Overall, the risk is therefore assessed as medium.

The overall assessment has not changed compared to the previous year.

Personnel risks

Personnel risks exist because the operational success of the CANCOM Group depends on its ability to develop, attract and retain sufficiently qualified key personnel and to maintain and protect the company's expertise.

Particularly, but not exclusively, in the business areas of (specialist) Sales, consulting, technical support and IT system operation, CANCOM's operational business success is strongly linked to the professional qualifications and personal skills of its management and employees. Thus, both the inability to recruit and the loss of sufficiently qualified personnel within the company represent a risk to business development. Another risk is the loss of key personnel with specialised skills or personal qualifications and experience within the company, whose knowledge and reputation

can have a significant impact on CANCOM's operational success, at least in the short term. If these employees leave the company or are unavailable for other reasons in the longer term, there is a risk of losing know-how and the danger that the CANCOM Group will lose rights to its own software developments.

Irrespective of this, there is a risk that the shortage of skilled workers will make recruitment more difficult in general in the future, or that the skills and qualifications required for CANCOM's own digital transformation will be lacking and cannot be replaced with the help of artificial intelligence solutions, meaning that trends such as AI cannot be adequately positioned on the market. An unexpectedly sharp rise in the wage level of skilled workers as a result of labour shortages or rising inflation also poses risks to the planned business development. Furthermore, salary increases for existing CANCOM employees are already factored into future development, but may be higher than planned.

To counteract these risks, which are primarily of a business nature, CANCOM offers measures to motivate and develop its employees. In addition, regular monitoring identifies top performers and ensures they receive special attention. CANCOM also attempts to retain its employees in the long term through various measures. In addition, there are appropriate substitution arrangements, particularly in sensitive and knowledge-intensive areas, so that the unexpected absence of an employee can be compensated for as far as possible, at least in the short term. CANCOM implements measures to strengthen its image as an employer and offers various qualification and further training measures. CANCOM also offers its employees a high degree of flexibility by providing them with a future-proof workplace (digital workplace) with easy and secure access to company data and applications, regardless of time, location and device, thereby promoting its image and attractiveness as an employer for employees of the digital generation. In addition, CANCOM strives to tap into new human resources abroad and utilise them for its own purposes, for example through its branch in Slovakia.

The occurrence of the aforementioned personnel risks cannot be ruled out, but early warning indicators have been put in place to identify harmful fluctuations at an early stage. Following the implementation of countermeasures, the Executive Board assesses the probability of occurrence as low. The potential damage is assessed as very high. Overall, the risk is therefore assessed as medium.

The overall assessment has not changed compared to the previous year.

Legal risks

At the time of preparing this summary management report, there are minor contingent liabilities from legal disputes or relevant litigation risks, in particular not related to the risks described below.

There are risks arising from violations of compliance guidelines.

The issue of compliance and the associated commitment to social responsibility and ethical conduct is of paramount importance to the CANCOM Group. In order to meet the requirements of CANCOM's various stakeholders, comply with applicable laws and adhere to ethical conduct guidelines, CANCOM has an established and ISO-certified (ISO 37301) compliance management system in place, which, among other things, defines measures to counteract potential compliance violations. It is managed by a compliance officer. In addition, there is a code of conduct that defines how to deal with all of the company's stakeholders. The code has been rolled out company-wide and is accessible and mandatory for all CANCOM employees. Furthermore, web-based training courses provide lasting support for compliance awareness among the entire workforce.

The occurrence of risks from potential compliance violations cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence to be low. The potential damage is estimated to be very high. Overall, the risk is therefore assessed as medium.

The overall assessment has increased compared to the previous year.

Risks also arise from violations of national and international data protection regulations.

The use of data by the CANCOM Group, in particular data relating to its customers, suppliers and employees, is subject to the provisions of the Federal Data Protection Act and similar international regulations such as the European General Data Protection Regulation. If unauthorised third parties gain access to customer data processed or stored by CANCOM in the course of fulfilling orders, or if CANCOM itself violates data protection regulations, this could lead to immense claims for damages, in addition to unforeseeable damage to its reputation.

To counteract these risks, the CANCOM Group trains its employees on data protection and has established security standards to protect against unauthorised access to data in addition to a data protection management system.

The occurrence of risks arising from violations of data protection regulations cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as medium. The potential damage is assessed as high. Overall, the risk is therefore assessed as medium.

The overall assessment has not changed compared to the previous year.

There are risks arising from violations of national and international laws or regulations.

Due to its business activities and obligations as a listed company, the CANCOM Group operates within the scope of a large number of sometimes complex national and international laws and regulations. For example, CANCOM is subject to national and international financial market regulations such as EMIR, MAR, WpHG, the Frankfurt Stock Exchange Rules and the regulations of the Federal Financial Supervisory Authority (BaFin), within the scope of national and international labour laws, such as the German Temporary Employment Act (Arbeitnehmerüberlassungsgesetz), within the scope of national and international tax and corporate law, and within the scope of accounting rules such as IFRS and regulations such as the German Corporate Governance Code. These and other laws and regulations give rise to the risk that CANCOM could violate requirements, which could have negative effects on its business activities or financial position, for example. In addition, tax audits can lead to differing legal opinions on relevant issues and to additional tax claims and additional levies, resulting in double taxation. Violations of regulatory requirements are also conceivable, which the CANCOM Group could encounter due to its activities as an IT service provider by not complying with legal requirements or not complying with them adequately. Examples include regulations regarding the digital resilience of financial institutions, which also apply to their IT service providers, such as the EU DORA Regulation or the related NIS2 Directive, as well as strict requirements regarding the criteria that cloud providers must meet. Furthermore, CANCOM is also confronted with regulations regarding the use and sale of AI solutions in the EU AI Act, which sets out precise requirements for usable artificial intelligence. A violation of these regulations in particular can result in many services and applications not being offered at all or only being offered to a limited customer base.

To counteract this risk, CANCOM employs qualified personnel to assess and implement laws and regulations in all areas of the company, trains CANCOM employees on legal regulations and supports training and qualification measures. In addition, CANCOM makes selective use of external consultants to identify necessary adjustments.

The occurrence of risks arising from violations of national and international laws or regulations cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as low. The potential damage is assessed as very high. Overall, the risk is therefore assessed as medium.

The overall assessment has increased compared to the previous year.

Strategic risks

There are risks arising from misjudgements regarding both past and future acquisitions of companies and their integration into the CANCOM Group.

The acquisition of companies and investments represents a significant risk for the CANCOM Group. There is a risk that acquired companies and the market environment in which they operate will not develop sufficiently. There is also a risk that risks will arise or materialise that were not identified or incorrectly assessed during the preliminary review of the acquired companies. Furthermore, key personnel at the acquired companies could leave the company as a result of the acquisition by CANCOM, meaning that the objectives to be achieved with the acquisition could only be achieved under difficult conditions due to the loss of these key personnel. There is also a risk that customers of the acquired company will not place orders with CANCOM or will not want to conclude corresponding contracts with CANCOM. In addition, the organisational integration of further affiliated companies into the CANCOM Group may involve considerable time and financial expenditure. It is also possible that the strategies underlying the acquisition, as well as the targeted objectives and synergy effects, may not be realised or may not be realised to the extent planned. The realisation of one or more of these risks could, even after several years, result in the loss of all or part of the investment made and, under certain circumstances, lead to an unscheduled write-down affecting the balance sheet and the profit and loss statement (impairment).

To counteract this risk, CANCOM conducts a due diligence process for each transaction, actively manages potential risks in the context of M&A processes and draws on experience from previous acquisitions and corresponding integration expertise. The company benefits from its long-standing, in-depth knowledge of the market situation. In addition, CANCOM employs external consultants in M&A processes and draws on experienced internal integration managers for the integration process. Checklists and documentation are also used for this purpose, enabling processes and risks to be recorded in an orderly manner. By focusing on its core business, the company attempts to reduce the risk associated with acquisitions in new business areas.

It can be said that the acquisition behaviour of the CANCOM Group has had numerous positive effects. This can be attributed, on the one hand, to the focus on the DACH regions and the expertise available here with regard to market and customer situations and, on the other hand, to the integration of existing departments and specialists. The recent acquisitions have thus been successfully integrated.

The occurrence of one or more risks arising from misjudgements in acquisitions and their integration cannot be ruled out. After implementing countermeasures, the Executive Board estimates the probability of occurrence as medium. The potential damage is estimated as high. Overall, the risk is therefore assessed as medium.

The overall assessment has not changed compared to the previous year.

There are risks associated with the acquisition or sale of companies or shares.

The CANCOM Group has acquired or sold a number of companies or company shares in the course of its history. In purchase or sale processes of this kind, there is a risk in the context of contract negotiations or contract drafting. There is also a risk that it may subsequently transpire that certain warranties and/or guarantees and/or obligations entered into by the seller/purchaser have not been fulfilled. If this becomes apparent only after the limitation period has expired and/or the seller/purchaser is unable to compensate for any claims for damages, this may lead to financial losses for the respective company of the CANCOM Group. Profit-based or future-oriented sales price calculations may also

prove disadvantageous for CANCOM. Investments in associated companies also represent a further risk in this area, as these must be accounted for using the equity method, which in the worst case could lead to unplanned write-downs affecting net income.

To counteract these risks, CANCOM carries out a due diligence process for every transaction and, in addition to internal resources, also uses external consultants and services for both business and legal issues when drafting contracts.

The occurrence of one or more risks arising from the acquisition or sale of companies or company shares cannot be ruled out. After implementing countermeasures, the Executive Board assesses the probability of occurrence as low. The potential damage is assessed as medium. Overall, the risk is therefore assessed as low.

The overall assessment has been reduced compared to the previous year.

There are risks relating to the loss of the company's reputation.

Professional reputation management is aimed at all existing and potential customers, suppliers and shareholders of CANCOM. It is therefore essential to maintain a positive external and internal perception. Should this image, which naturally also reflects the corporate culture, deteriorate, there is a risk of damage to the further development of the business and to its earnings, financial and asset position.

Another important criterion is attractiveness as an employer and the development of a positive employer reputation. In times of skilled labour shortages and the resulting competition for talent, it is essential to be an interesting employer for well-trained and motivated employees in order to reduce damage to reputation in every respect and to minimise the overall impact on CANCOM.

There is therefore a risk that decisions or actions taken by individual employees or other company representatives, the long-term consequences of which have not been sufficiently examined, could damage the reputation of the CANCOM Group. The best possible reputation in terms of sustainability criteria is essential for CANCOM. There has been a paradigm shift from "nice-to-have" to "must-have" as more and more stakeholders and shareholders assess social, environmental and ethical aspects. Actions that conflict with these criteria have a long-term impact on CANCOM's strategy, reputation and public image.

After all countermeasures and efforts have been taken, the Executive Board assesses the probability of occurrence as low. The potential damage is classified as medium. Overall, the risk is therefore classified as low.

The overall assessment has been reduced compared to the previous year.

There are sustainability-related risks.

The CANCOM Group is part of an ecological and social system that is currently undergoing change, the development of which could have a negative impact on the Group's profitability. Risks such as chronic and acute climate risks, energy costs and security, higher costs due to sustainability regulations, but also disadvantages due to unsustainable corporate management, for example in competition for customer tenders, are taken into account in the overall assessment. Accordingly, the CANCOM Group's Executive Board is taking measures such as the gradual expansion of renewable energy sources for electricity generation and the expansion of its own electricity storage infrastructure. CANCOM is also involved in regional projects for charitable causes. CANCOM promotes sustainable corporate policy through good corporate governance, which supports and ensures legally compliant and regulatory-compliant behaviour within the CANCOM Group. Further information on CANCOM's sustainability goals and measures can be found in the group sustainability statement in the combined management report.

After all countermeasures and efforts have been taken, the Executive Board assesses the probability of occurrence as low. The potential damage is classified as low. Overall, the risk is therefore classified as low.

The overall assessment has not changed compared to the previous year.

Information security risks

There are risks relating to information security, which are addressed as part of a comprehensive, group-wide information security risk management process.

The CANCOM Group is exposed to various information security risks, which are systematically recorded, assessed and addressed as part of a Group-wide information security risk management process. The reliable availability, reliability and integrity of IT systems form an essential basis for the CANCOM Group's operational processes. Risks can arise both from the operation of database-supported applications and from the use of central systems for merchandise management, e-commerce, controlling or financial accounting. Technical malfunctions or failures – both internal and external – can lead to restrictions in operational processes and temporarily impair individual business-critical processes. In addition, malfunctions in our own or leased data centres can lead to restrictions in the provision of data centre services and related services for customers.

Cyber attacks continue to pose a significant risk to IT-based processes and the CANCOM infrastructure. The increasing sophistication of digital attacks, facilitated by the use of modern technologies such as artificial intelligence, increases the requirements for the protection of systems, networks, employees, customers and data. Despite comprehensive security measures, it cannot be ruled out that CANCOM will be the target of a successful attack. Potential effects include temporary disruptions to internal IT, faulty service or monitoring processes for customer systems, and unauthorised access to sensitive data. A simultaneous failure of data centres and their redundant backup locations would also have financial and reputational implications. System malfunctions can subsequently have a negative impact on business processes and customer and supplier relationships.

To minimise risk, the CANCOM Group pursues a comprehensive package of measures to ensure IT availability and information security. This includes the use of advanced security products, the latest data centre technologies, redundant system architectures and a Group-wide business continuity management system (certified according to ISO 22301 and 22313) that simulates failure scenarios and regularly reviews and tests emergency processes. Modern IT security concepts and tools are also used. Continuous monitoring of the threat situation by the CANCOM Service Operations Centre and the CANCOM RedTeam is also crucial. The use of the AHP Enterprise Cloud additionally supports IT security through its system architecture. Overall responsibility for information security

lies with the Group-wide Chief Information Security Officer. He is responsible for the ISO 27001-certified Information Security Management System (ISMS). In addition, CANCOM has an externally audited IT risk management system in accordance with ISO 27005 / ISO 31000, which monitors identified risks, initiates appropriate measures and ensures their documentation.

After all countermeasures and efforts have been taken, the Executive Board assesses the probability of occurrence as low. The potential damage is classified as very high. Overall, the risk is therefore classified as medium.

As the risk in this composition has not been reported previously, no development can be reported in comparison to the previous year.

Overall risk assessment

Overall, there have been individual changes in the assessment and presentation of the risks described compared to the previous year, which are due, among other things, to a number of external factors. A key aspect in assessing the risks in the forecast period is the increasing shortage of hardware components that are important for CANCOM and its distributors, with a simultaneous increase in the price of these components and corresponding end products. These effects are expected to impact the CANCOM Group's business through the 2026 financial year and beyond.

In addition, risks relating to the internal use and sales of artificial intelligence products must also be considered in view of the increased trend in the 2025 financial year. These systems are highly complex to implement and deploy, which means that sufficient data security cannot be guaranteed in some cases. Ethical and data protection risks relating to the use of artificial intelligence were also considered as part of the risk management process. In addition, increased use of AI solutions by CANCOM customers may also lead to a change in product demand, as jobs may be lost through the effective and efficient use of these AI applications and therefore no longer need to be equipped by CANCOM. There is also a risk of a decline in demand in the area of services offered, as processes and software could be generated, implemented or maintained by AI.

In addition to event-driven factors, the Executive Board's risk assessment is based on a systematic determination of the company's risk-bearing capacity. The Executive Board defines the maximum acceptable risk-bearing capacity of the CANCOM Group as a loss that, within the forecast period, jeopardises the refinancing of the company on the capital market at acceptable terms. Overall, the changes in assessments compared with the summary management report for 2024 do not represent a significant change in the overall risk situation of the CANCOM Group. Against the backdrop of the overall risk situation, the Executive Board of CANCOM SE assesses the existence of the Group and CANCOM SE as not being at risk from today's perspective.

In view of CANCOM's position in the market, its business success in the past year and its existing risk management system, the Executive Board is confident that it will be able to successfully meet the challenges arising from the aforementioned risks in the current financial year as well.

In addition to this confident self-assessment, external assessments also present a positive view of CANCOM's creditworthiness. LBBW's rating at the end of the 2025 financial year was 5 (31 December 2024: 4).

Opportunities for future development

CANCOM's international business activities (with a focus on Germany, Austria and Switzerland) in various areas of the IT industry and IT-related business fields open up numerous opportunities for the company. In order to identify these opportunities, the Group regularly conducts a comprehensive review of the market and competitive environment, focusing on current industry, technology and macroeconomic trends.

The following provides an overview of opportunities and possible future developments and events that could have a positive impact on the results of operations, financial position and net assets of the CANCOM Group.

Economic, regulatory, market and industry-related opportunities

Opportunities could arise from general market developments due to rising demand and changing consumption patterns.

The rapid and dynamic development of artificial intelligence (AI) opens up numerous opportunities for system integrators, particularly through the automation of complex processes, the optimisation of IT infrastructures, secure integration into corporate environments and intelligent data analysis. AI solutions make it possible to network systems more efficiently, execute processes autonomously, detect errors at an early stage, significantly increase company productivity and reduce costs. In addition, with the right advice, personalised solutions can be developed for customers, for example through AI-supported analysis and decision-making. This not only leads to cost savings, but also to greater competitiveness and new business models, for example through the use of AI in Industry 4.0, IoT and cyber security.

In general, the transformation to a digital and AI-supported future is progressing rapidly. Under the terms "digital change" or "digital transformation," the importance of digital infrastructures and applications is increasing. Companies, public administration, and the health and education sectors must continue to invest in powerful IT infrastructures and IT applications. The role of information technology in the provision of services and value creation in companies is becoming increasingly important. Ensuring competitiveness requires customers to carefully examine the possibilities offered by artificial intelligence in particular. In addition to the obvious infrastructure requirements, the increasing demands on the performance of modern IT landscapes are also increasing the complexity of IT solutions, and the need for consulting and service offerings is growing accordingly. Ensuring data control and data sovereignty, the requirements for sovereignty in customers' IT systems require security concepts and are causing an increased demand for security solutions.

Overall, changing usage and consumption patterns and the digital transformation are driving demand for digital technology and digital applications to meet new challenges and further develop existing offerings. The digitalisation and simplification of processes and business models, often supported by artificial intelligence solutions, is the key to meeting user requirements in the future and thus ensuring competitiveness.

In an international comparison, the German market, which is relevant for CANCOM, still needs to catch up – both in companies and in the education sector and administration. Three major areas of work have developed for IT decision-makers. The introduction of powerful infrastructures and applications, increasing the performance of existing solutions, and innovation, i.e. the development of new offerings for customers and users based on existing solutions.

In order to satisfy customer demand in the long term, CANCOM relies on a comprehensive portfolio of solutions and services. The areas of artificial intelligence, Internet of Things, data centres & cloud, modern workplace and security & connectivity in particular can continue to be presented to CANCOM customers as core competencies. This ensures that customers can be provided with comprehensive IT solutions that are essential to them, both now and in the future.

CANCOM offers its customers a wide range of IT and software solutions as well as consulting services. Thanks to its proximity to customers, whom CANCOM serves regionally on site and at more than 80 CANCOM locations in Europe, CANCOM expects to participate in positive market development. Due to its position as one of the leading providers in German-speaking countries, CANCOM is in a position to grow not only in a positive economic environment.

The Executive Board of CANCOM SE believes that the CANCOM Group's special position in the market and broad product portfolio could create opportunities arising from general market developments. The Executive Board continues to assess the significance of opportunities arising from general market developments for the CANCOM Group's business development as high.

Opportunities could arise from changes in the regulatory environment, including higher requirements for IT systems or changes in labour law.

With the increasing importance of IT infrastructures and IT applications, legislators are also placing greater demands on the quality and security of this infrastructure. Examples include strict regulatory requirements imposed by EU-DORA, NIS directives, the Cyber Resilience Act and the KRITIS Regulation, which place significantly higher demands on the operation of IT infrastructures. Changing requirements for data protection or the operational security of IT systems can create an increased need for consulting and investment among customers. For example, in view of the AI Act adopted by the European Union, companies may need support in purchasing and implementing a legally

compliant AI solution. Companies operating in the healthcare sector, which is an important customer segment for CANCOM, are required by the Patient Data Protection Act to introduce appropriate organisational and technical measures to establish and maintain IT security. The implementation of the requirements of new regulations at companies of significant public importance requires investments in IT infrastructure and IT security.

Changes in the regulatory environment could lead to demand for IT hardware, IT services and consulting exceeding the expectations of the Executive Board. The Executive Board of CANCOM SE therefore believes that changes in the regulatory environment could create opportunities for the CANCOM Group. The overall opportunity continues to be rated as high.

Opportunities could arise from good contacts with manufacturers and distributors.

In order to offer customers suitable solutions for their IT requirements, CANCOM maintains close relationships with key manufacturers and distributors of hardware and software in the IT industry. These partnerships have often grown over a long period of time, giving CANCOM a high status in the partner programmes of many manufacturers and distributors.

With its own partner account management, CANCOM develops and strengthens its relationships with manufacturers and distributors. This gives CANCOM access to the latest information from manufacturers, and CANCOM employees in purchasing and Sales can always tailor their decisions and recommendations to customer needs based on the latest information. As an important partner to manufacturers and distributors in the DACH region, opportunities could arise from this close cooperation. Good contacts with manufacturers and distributors enable the CANCOM Group to respond quickly to changes in demand with suitable offers and to remain able to deliver even in a difficult market environment.

Even in times of shortages of essential components and hardware on the IT market, the close relationships developed with manufacturers and suppliers can offer added value for the CANCOM Group and its customers. This is because it can help to secure preferential and reliable delivery of scarce goods, enabling CANCOM to position itself as a reliable partner for its customers on the market.

The Executive Board of CANCOM SE believes that the CANCOM Group could benefit from its good relationships with manufacturers and distributors. The Executive Board continues to attach great importance to the opportunities offered by good contacts with manufacturers and distributors for the CANCOM Group's business development.

Project- and business-related opportunities and technical trends

In the coming years, digital transformation and artificial intelligence will continue to dominate the German economy and the associated technologies will continue to dominate the IT market. Agile, flexible and scalable IT solutions are an important basis for successful digital transformation.

CANCOM can also benefit from trends. In addition to the demand for ever more powerful IT hardware, CANCOM has identified artificial intelligence, the Internet of Things (IoT), data centres & cloud, modern workspaces and security & connectivity as key trends in the industry.

Opportunities could arise from the increasing demand for artificial intelligence and automation solutions.

As more and more devices are connected to the internet, enormous amounts of data are being generated from the associated IT applications. There are various solutions and possibilities in the field of artificial intelligence for generating useful and usable information from this data and these networks. The implementation of AI solutions can, for example, increase productivity, simplify the analysis and structuring of complex data sets, or open up completely new business models through the automated networking of this acquired information. According to the IDCA study on the economic potential of generative AI from 2025, global value creation through artificial intelligence could increase by up to \$ 16 trillion.

CANCOM can position itself as an important partner for customers in this area by providing consulting and services in addition to AI technologies. Thanks to its existing expertise, CANCOM can implement the diverse and complex requirements involved in introducing AI solutions in the interests of the customer and its end users, thereby achieving a positive impact on the respective

business areas of CANCOM customers. In addition, the increased use of AI applications can also have a positive impact on demand in other business areas of the CANCOM Group. This is because, in addition to the respective application, powerful hardware is also required for the comprehensive and efficient use of AI solutions. Data centres must be expanded and are subject to completely new, extended requirements in terms of the necessary computing power, network and bandwidth requirements, and cooling technologies. In addition, the necessary cloud and network structures must be created in companies, e.g. to collect and generate data, and suitable edge devices must be in use. Only suitable infrastructure can ensure that the respective AI modules can achieve the desired productivity gains for CANCOM customers.

In addition to sales of software and hardware, AI solutions also offer CANCOM potential in the service sector, as artificial intelligence can be used to generate its own extensions to the service portfolio, but also because customers continue to require additional services that cannot be provided using their own AI, as the corresponding conceptual and application-related quality of CANCOM services cannot be achieved.

Examples of the diverse areas of application for artificial intelligence include individualised cancer therapy through the systematic evaluation of various medical data and its linking with other research results within a very short time, chatbots for answering customer enquiries, and the use of automated analysis methods to combat crime.

Companies are also showing interest in developing strategies and technologies to consolidate and process information from a wide variety of extensive data pools and complex data streams on the one hand, and to gain valuable insights and ultimately benefits for companies and customers from the data on the other.

The analysis of large amounts of structured, semi-structured and unstructured data from various sources, including the use of artificial intelligence, is giving rise to new, data-based business models and strategies. The main aim here is to identify recurring patterns from the analysis of large amounts of data in order to derive predictions and even (automated) instructions for action (smart services). For example, historical data can be used to analyse machines, systems and manufacturing processes and plan maintenance in order to minimise or even completely prevent production downtime.

However, in order for user companies to actually be able to drive new customer services, product developments and business models through appropriate IT solutions, they need their IT partners to offer a combination of technology, industry and process expertise, as well as a strong capacity for innovation. This is where CANCOM can add value for its customers thanks to its many years of expertise in the field of IT infrastructure and its IoT & AI portfolio.

The Executive Board of CANCOM SE believes that the significant expansion of the possibilities for using AI solutions beyond pure data analysis and information gathering to include process optimisation, automation, agent solutions, etc. could create great opportunities for the CANCOM Group. The use of these technologies requires investments in infrastructure – from data centres for operating large language models to workplace/end devices and data archiving – which should be optimised for AI. In addition, there is a considerable need for consulting services among customers.

CANCOM has entered into a cooperation and strategic partnership with ServiceNow. This collaboration aims to provide state-ofthe-art digital solutions and AI-supported value-added services for small and medium-sized businesses in Germany, Austria and Switzerland. It comprises a complete portfolio of ServiceNow and CANCOM solutions designed to transform business processes for greater productivity, efficiency and cost optimisation.

Areas such as IT service management, workflow automation and AI-driven analytics support SMEs in the DACH region in their digital transformation, improve operational efficiency and promote the growth, agility and innovation that SMEs need to succeed in a challenging business environment.

By integrating AI-driven data and processes into digital workflows and providing reliable solutions such as CANCOM Assistant (AI-based service desk), Asset Management-as-a-Service, Workplace-as-a-Service, Network-as-a-Service, SecOps-as-a-Service and Cloud Services Management, ServiceNow and CANCOM are jointly addressing SMEs by helping their customers optimise their business results.

CANCOM can benefit from the jointly developed services and create deeper and higher-value service integration into its customers' process landscape.

The Executive Board continues to rate the opportunity arising from growing demand for products related to artificial intelligence and the Internet of Things (IoT) as high.

Opportunities could arise from an acceleration of the Everything-as-a-Service (XaaS) trend.

Everything-as-a-Service (XaaS) is defined by the Fraunhofer Institute as an approach in which customers are provided with all services for infrastructure, hardware and software, as well as related services, as a service. In addition to the original concepts of IaaS (Infrastructure-as-a-Service), PaaS (Platform-as-a-Service) and SaaS (Software-as-a-Service), special solutions for individual areas are also offered in as-a-service models. From the service provider's point of view, the connecting element is the flexible procurement of services, whereby the customer is only charged for the use of the services.

For customers, the advantage lies in the scalability of the services and the ability to pay only for the services they have actually used. Companies also use as-a-service models to increase their agility, gain access to the latest solutions and accelerate digitalisation within the company. The majority of companies already purchase new software using a SaaS model.

The Executive Board expects the trend towards the use of XaaS offerings to accelerate due to the advantages of this approach. The Executive Board of CANCOM SE assumes that the acceleration of the XaaS trend could create opportunities for the CANCOM Group. The Executive Board continues to rate the importance of the opportunity for faster adoption of XaaS offerings as high.

Opportunities could arise from technological developments in the area of data centre and cloud environments.

Cloud computing will continue to be a strategic element of digital transformation and the technological basis for new high-tech trends. German companies have already become much more positive about cloud computing and its use. Nevertheless, companies want to further increase their use of cloud solutions.

Data centres and the cloud are also becoming increasingly important in the context of the advancing usability and use of artificial intelligence in all sectors of the economy. This can be seen not least in the fact that large, globally active hyperscalers such as Microsoft, Alphabet, Meta and Amazon are investing large sums in their data centre and cloud infrastructures. These are an essential cornerstone for the extensive usability of AI applications and AI agents.

The increasing demand for cloud solutions could have a positive impact on the demand for CANCOM's products and services overall. With its knowledge of the complex interrelationships of IT structures, which have often developed over many years, its long-standing project experience and its own competence centres for various IT solution topics, in addition to an extensive cloud solution portfolio, CANCOM combines expertise in the transformation and operation of modern IT environments.

In addition to its strong positioning in the field of cloud solutions, data centre architectures also offer great market potential, as they represent a highly scalable IT infrastructure in conjunction with the aforementioned hybrid cloud architectures. Combined with the use of AI potential, such an IT environment can offer significant added value for customers, as it promises efficient and innovative use.

The Executive Board of CANCOM SE believes that the increasing demand for and use of hybrid cloud and data centre scenarios could create opportunities for the CANCOM Group. The Executive Board considers the significance of the opportunity arising from technological developments in the area of cloud and data centre environments to be high.

Opportunities could arise from the spread of mobile and digital workplaces (digital workplace).

The digital workplace is a key IT issue for companies. The digital transformation is changing the world of work, but the coronavirus pandemic has also provided new impetus. Work-life balance and the opportunity to work in flat, interdisciplinary hierarchies are of great importance. At the same time, approximately 24 percent of all employees work at least part-time in digital workplaces outside of fixed office locations. The digital workplace is not limited to traditional office work. In connection with artificial intelligence, workloads will be shifted significantly to end devices due to increased requirements for real-time processing, regulation and security, thus offering significant growth potential.

This brings IT-based communication solutions for telephone/video conferencing, chats and collaboration solutions, as well as Internet of Things (IoT) applications, into focus, all of which must be incorporated into the overall digital workplace concept.

CANCOM has established a strong presence in the digital workplace sector in recent years. A holistic understanding of hybrid workplaces, hybrid work s and digital experience, including technology, security, sustainability and culture, is of central importance here.

The Executive Board of CANCOM SE believes that CANCOM's competitive positioning and portfolio in the digital workplace sector could present opportunities for business development. The Executive Board continues to regard the opportunities arising from the spread of mobile and digital workplaces as significant.

Opportunities could arise from changes in cyber security requirements and cyber threat situations.

Because organisations depend on their IT functioning reliably and securely, the issue of IT security is of central importance, and not only from a regulatory perspective. The number of cyber attacks on corporate networks and public administration is increasing, and they are becoming increasingly professional. The trend towards mobile working, the use of artificial intelligence and the spread of IoT applications require appropriate IT security strategies with global reach. Ever-increasing amounts of data must be reliably managed and protected, while at the same time the number of potential points of attack is rising due to the increasing number of devices in the network. IT managers are therefore increasingly planning projects to establish and expand network protection.

Accordingly, IT security is moving up the priority lists of IT decision-makers, as data protection, network security and protection against production disruptions involve considerable effort. Accordingly, the automation of IT security solutions, which is largely supported by artificial intelligence, is one of the technologies of greatest importance to IT decision-makers. This is because it allows IT security processes to be designed more efficiently while at the same time offering increased information gains, which ultimately can potentially mean reduced effort for analysis and monitoring. At the same time, the number of points of entry increases with the number of devices in a network. Protection will become one of the most central issues in the coming years, especially for IoT applications. Companies will be dealing intensively with IT security issues, particularly when introducing digital workplace concepts.

CANCOM holds DIN ISO 27001 certification (information security). This certifies CANCOM's information security management system, which is tailored to CANCOM's circumstances and adapted to customer needs. For customers, the certification signals operational reliability in all processes and compliance with high technical and security-related standards.

The Executive Board of CANCOM SE believes that the CANCOM Group could benefit from growing market demand with its portfolio of security solutions. Unexpected events with security implications, such as the discovery of vulnerabilities, could present opportunities for the CANCOM Group's business development. The Executive Board continues to rate the significance of the opportunity arising from changes in cyber security requirements and cyber threat situations as high.

Opportunities could arise from the use of the Internet of Things (IoT).

Mobile internet is no longer limited to smartphones and tablets. Sensors, wearables, connected cars, smart home and other IoT devices: the number of devices that exchange information and data is high and growing steadily. The networking, cooperation and communication between the various end devices is also increasing. The connection between the physical and virtual environments that characterises the IoT is growing.

The IoT gives providers access to more data streams, ultimately bringing them closer to their customers. IoT applications are also becoming increasingly critical to the success of production processes, for example in edge computing.

Connecting multiple data points or data sources can generate valuable insights into customer behaviour, opening up new business models and sales channels – especially through the use of automation and AI solutions. The IoT forms the infrastructure that plays a significant role in the concrete design of digital business models.

For IoT projects, companies seek partners who, in addition to meeting economic requirements, can provide specialised industry knowledge and technical expertise. The introduction of the G5 standard in mobile communications and the Wi-Fi 6 standard represents a significant step forward, enabling IoT and Industry 4.0 projects and accelerating the trend toward a connected Industry 4.0.

The IoT is the basis of Industry 4.0, in which networked systems and devices exchange and process data in real time and are controlled semi-autonomously by automated or AI-supported processes. Big data and analytics have long since become a central element in the control of these complex systems.

In the past, cloud computing and industrial applications often focused on the infrastructure side (IaaS) and the application side (SaaS). Now, however, the platform concept has clearly become the centre of attention. Platform as a Service (PaaS) is increasingly becoming an important element for companies to realise their innovation projects. PaaS offers them access to standardised infrastructure services and development platforms, combined with the option of adding individual enhancements to set themselves apart from the competition in the rapidly developing market for digital business models, smart services and services related to the Internet of Things. This is another reason why companies are planning to increase their spending on IaaS and PaaS projects in the coming years.

The Executive Board of CANCOM SE believes that accelerating the use of IoT could create opportunities for the CANCOM Group. The Executive Board continues to rate the significance of the opportunity arising from the spread of the Internet of Things (IoT) as medium.

Personnel opportunities

Opportunities could arise from a shortage of skilled workers in IT departments.

The number of unfilled IT positions in companies has been growing for years. In its survey of 7 August 2025, the industry association Bitkom estimates that there are 109,000 unfilled positions in the IT sector in Germany and forecasts a further increase in the unmet demand for skilled workers (8 out of 10 companies surveyed expect the shortage of skilled workers to worsen). These figures indicate a significant shortage of skilled workers today and in the future, which means that companies are spending more and more time searching for IT specialists. Companies are increasingly confronted with a lack of internal IT capacity due to the diversity and complexity of requirements. As a result, companies are turning to service providers such as CANCOM. The CANCOM Executive Board expects competition for talent to accelerate further in the coming years.

In order to take advantage of the high demand for IT specialists, CANCOM is positioning itself as an attractive employer and is trying to attract and retain skilled workers for the company. International recruitment, such as at CANCOM's site in Kosice, Slovakia, is also of central importance, as it allows the company to acquire well-trained professionals whose contribution to the day-to-day business operations of the CANCOM Group can be of great value. A high training rate and extensive investments in the training and further education of employees are just as much a part of the solution as targeted employer branding and benefit programmes. CANCOM actively involves its employees in the design process and identifies starting points for successful employee retention.

The Executive Board of CANCOM SE believes that forwardlooking human resources policies and positioning as an attractive employer could create opportunities for the CANCOM Group. The Executive Board continues to assess the significance of the opportunity arising from the shortage of skilled workers in IT departments as medium.

Strategic opportunities

Opportunities could arise from successful company acquisitions and takeovers.

The IT market in Germany remains highly fragmented. According to data from June 2025, the industry association Bitkom recently recorded over 95,000 companies in the IT hardware, software and IT services segments alone. Acquisitions within the IT industry are therefore part of the development for larger companies. CANCOM has also repeatedly taken advantage of strategic opportunities through acquisitions in recent years.

Company acquisitions are an integral part of the CANCOM Group's growth strategy. Acquisitions can strengthen CANCOM in important geographical regions, bring new knowledge to the company and open up new customer groups. Furthermore, acquired companies can offer their customers a wider range of products and services through access to the CANCOM portfolio, thus contributing to the positive development of the CANCOM Group.

In order to identify promising companies for acquisition, employees from the Mergers and Acquisitions (M&A) department monitor the market with support from within the company and from external consultants. Acquisitions are carefully and extensively reviewed before completion. There is a post-merger process in which the acquired companies are usually merged into existing companies within the CANCOM Group and the business processes are integrated.

The Executive Board of CANCOM SE believes that the knowledge and experience gained from previous acquisitions could create opportunities for the CANCOM Group through company acquisitions. The Executive Board continues to regard the opportunities arising from successful company acquisitions and takeovers as highly significant.

Opportunities may arise as a result of the CANCOM Group's sustainable approach.

Public interest in environmental and social sustainability has increased significantly. The CANCOM Group's positioning as a sustainable IT service provider creates corresponding opportunities with regard to customers and end users as well as suppliers and employees. Being perceived as a sustainable company can increase both its attractiveness as an employer and its reputation among existing and potential customers and business partners. The CANCOM Group has already implemented measures to improve environmental sustainability. These include, for example, expanding energy generation at the CANCOM Group's locations, primarily through photovoltaics and corresponding storage technology. The expansion of its own energy storage also increases the availability of the IT infrastructure in important CANCOM properties, even in the event of a weather-related power failure. Opportunities arise from the development of sustainable infrastructures and a sustainable market presence for the CANCOM Group. To this end, CANCOM reports in detail on all sustainability activities carried out within the company in its group sustainability statement.

For their part, the CANCOM Group's customers are also responding to the increasing demands in the area of sustainability and are attaching greater importance to sustainability when developing their IT solutions. Through its products and services, CANCOM can help to improve the sustainability performance of its customers. Opportunities arise from the CANCOM Group's customers' stronger focus on sustainability.

The Executive Board continues to assess the significance of the opportunities arising in relation to environmental and social sustainability as low.

Overall assessment of opportunities

CANCOM stands out for its innovative strength and its ability to seize opportunities in the IT market. With a clear focus on forward-looking technologies such as AI, the IoT, cloud computing and data centres, networks and IT security, CANCOM is positioning itself as a pioneer in digital transformation.

In the field of the IoT, CANCOM offers innovative solutions that enable companies to network their devices and systems, allowing them to collect and analyse valuable data in real time. This data helps companies to optimise their processes, increase efficiency and develop new business models. By integrating IoT technologies, companies can increase their productivity while reducing costs. CANCOM also supports companies in integrating the diverse applications of artificial intelligence into the business and customer processes relevant to them. Automation, forecasting and improvements can thus be achieved much more easily with the help of the CANCOM portfolio.

Cloud computing and data centres are central components of CANCOM's IT strategy. By providing cloud services, CANCOM enables companies to design their IT infrastructure in a flexible and scalable manner. This leads to greater agility and enables companies to respond quickly to market changes. CANCOM's cloud solutions also offer high availability and security, which is essential for the smooth operation of business-critical applications. At the same time, CANCOM operates state-of-the-art data centres that meet the highest standards in terms of security, availability and energy efficiency. These data centres provide the basis for the provision of cloud services and other IT solutions and ensure that customer data is stored and processed securely and reliably. By combining cloud computing and powerful data centres, CANCOM ensures that companies can use a robust and future-proof IT infrastructure that meets the requirements of digital transformation.

Networks and IT security are key concerns for CANCOM. The company offers comprehensive network solutions that enable secure and efficient communication within companies and with external partners. By providing state-of-the-art technologies, CANCOM ensures that networks are powerful, reliable and secure. At the same time, CANCOM offers comprehensive security solutions that protect companies from threats. At a time when cyber attacks are becoming increasingly frequent and sophisticated, CANCOM ensures that its customers' IT infrastructure can be protected in the best possible way.

The balanced and economical use of artificial intelligence is a key innovation driver and a core topic in the areas described in the preceding paragraphs. This is because solutions in this area require networking between machines and data, but also require sufficient cloud or data centre infrastructure, which in turn must be adequately protected against unwanted access or data leaks. On the other hand, they also offer opportunities to make networks and structures more efficient and, in the area of IT security, specifically support the identification of risks and security gaps.

In summary, CANCOM's innovative strength and comprehensive IT solutions in the areas of IoT, AI, cloud, data centres, networks and IT security mean that it is excellently positioned to seize the opportunities offered by the IT market and offer its customers genuine added value. In addition, profitable growth can be achieved by exploiting synergies and economies of scale, for example through improved purchasing conditions, the centralisation of administrative tasks and better access to tenders for large-scale projects. The expansion of the high-margin services business reduces dependence on price developments in the hardware sector.

The growth of the CANCOM Group has also been supported by acquisitions in recent years. In a market that remains highly fragmented, the Group's solid asset position and strong financial resources mean that there will continue to be opportunities in the future to further expand its market position through suitable acquisitions.

The Executive Board of CANCOM SE is confident that the Group's earning power and innovative strength form a solid basis for future business development and provide the necessary resources to decisively exploit CANCOM's business opportunities.

Forecast report

Development of the overall economy and the IT market

With a share of over 60 percent of sales, Germany will remain the CANCOM Group's most important market in the future and, alongside Austria, is one of the Group's two most significant sales regions. The expected economic development of CANCOM will be determined primarily by the overall economic conditions and the forecast trends in the information technology market in both countries, as these provide decisive points of reference for the future market environment.

Further economic development in both countries in 2026 will continue to be influenced by a variety of external factors. These include ongoing geopolitical and trade policy uncertainties, particularly military action in the Middle East, increasing economic fragmentation, and structural challenges such as skills shortages, high energy costs, and lower competitiveness compared to other countries. These factors are affecting the investment behaviour of many companies and influencing demand for IT services, cloud infrastructures, and digital transformation projects.

Despite these negative factors, a gradual economic recovery is expected in 2026, driven by stronger domestic economic momentum and reduced external pressures. Economic policy measures to modernise infrastructure and administration, as well as investment programmes to promote digitalisation, are also likely to have positive effects. At the same time, the market environment for providers such as CANCOM remains challenging: investment decisions, particularly among small and medium-sized enterprises, continue to be cautious, and project durations may be extended. Overall, the environment in 2026 is expected to be supported by moderate economic recovery but still characterised by a high degree of uncertainty.

Germany

According to the Federal Ministry of Economics, the German government expects real economic growth of 1.0 percent in 2026 compared to the previous year. The forecast continues to take into account existing negative factors such as geopolitical and trade policy uncertainties, structural competitive challenges, demographic-related skills shortages and increased energy and bureaucratic costs. At the same time, the Federal Government anticipates a gradual economic recovery in the course of 2026, driven primarily

by stronger domestic economic momentum and easing external economic pressures. Economic policy measures – in particular investment programmes and measures to modernise infrastructure – are expected to make an additional contribution to growth.

Austria

For Austria, the Austrian Institute of Economic Research (WIFO) forecasts real gross domestic product growth of 1.2 percent for 2026. After the economy gradually improved in the second half of 2025, this recovery is expected to continue in 2026. Industry in particular is likely to have passed its low point after a weak previous year, meaning that exports and gross industrial value added are likely to pick up again. This will also support capital investment. The construction industry, on the other hand, is likely to gain momentum only gradually. Overall, the Austrian economy will be characterised by moderate but stable growth momentum in 2026.

Outlook: Gross domestic product in 2026*
(change compared to prior year in %)
Germany +1.0
Austria +1.2

*) Source: Federal Ministry of Economics, January 2026; Austrian Institute of Economic Research, December 2025.

ITC market in Germany and Austria

The industry association Bitkom expects continued positive growth in the German market for information and communication technology in 2026. According to its forecast, the overall market is set to grow by 4.4 percent to € 245.1 billion (previous year: € 234.8 billion), continuing its robust development of previous years. The market figures for the previous year were subsequently adjusted by Bitkom.

Based on the current Bitkom/IDC forecast, the largest segment in terms of volume, information technology (IT), will grow by 5.8 percent (previous year: 5.3 percent). The software segment is once again developing particularly dynamically, making the largest contribution to market growth with an increase of 10.2 percent (previous year: 9.4 percent) to € 58.3 billion. Software for the operation of public cloud infrastructures, whose revenue

is expected to rise by 16.4 percent to € 38.3 billion, accounts for a significant share of this. In the IT services sector, revenue is expected to increase by 3.5 percent (previous year: 2.9 percent) to € 54.3 billion. The market for IT hardware is also developing positively, growing by 3.9 percent (previous year: 3.8 percent) to € 57.4 billion, driven in particular by investments in digital infrastructures. Overall, the outlook confirms that the German digital economy will continue to expand despite challenging economic conditions and strengthen its role as a significant growth driver in the German technology market.

Outlook: Market for information technology (IT) 2026, Germany* (change compared to prior year in %)

Total IT market +5.8
IT services +3.5
IT hardware (including
semiconductors)		 +3.9
Software +10.2

*) Source: Bitkom/IDC, January 2026.

Based on data aggregated by Statista for the Austrian market, significant growth is once again expected for 2026 (previous year's figures from Statista adjusted retrospectively). The IT market as a whole is expected to grow by 10.3 percent (previous year: 11.4 percent) to € 22.1 billion, continuing its dynamic development. IT services, including security services, are expected to grow by 4.4 percent (previous year: 5.7 percent) to € 8.6 billion. The IT hardware segment is growing particularly strongly, contributing significantly to the overall increase with forecast growth of 17.4 percent (previous year: 19.2 percent) to € 10.9 billion. The software segment is developing moderately positively and is expected to grow by 3.5 percent (previous year: 4.6 percent) to € 2.6 billion in 2026. Overall, the forecast thus points to a continuation of the robust digitalisation trend in Austria, driven in particular by rising investments in infrastructure and hardware.

Outlook: Market for information technology (IT) 2026, Austria* (change compared to prior year in %)

Total IT market +10.3
IT services
(IT services, security)		 +4.4
IT hardware
(data centres, IoT,
semiconductors)		 +17.4
Software +3.5

*) Source: Statista Insights, January 2026.

The latest study, "IT Agenda 2026," by VOICE – Bundesverband der IT-Anwender e. V. (Federal Association of IT Users) – shows that European IT organisations will continue to face increasing cost and innovation pressures in 2026.

AI has seen the greatest increase in importance of all trend areas. AI is the only topic that has continued to gain strategic relevance, displacing "digitalisation" from second place on the list of priorities. Companies plan to increase the share of AI in their IT budgets by around 80 percent, while revenue in the AI software and platform sector is growing strongly – a clear indication of the increasing operational use of AI-supported applications, automation and advanced analytics.

Despite budget constraints, IT security will remain the most strategically important area of action in 2026. According to the study, budgets for security solutions are growing at double-digit rates, reflecting the ongoing pressure from cyber threats and the need for robust security architectures.

Overall, the results underscore that IT organisations will face the dual challenge in 2026 of driving innovation, particularly in the areas of AI and cloud technologies, while at the same time ensuring strict optimisation of their IT cost structures. These developments are shaping the market environment in which the CANCOM Group also operates.

In addition to the challenging circumstances on the customer side, CANCOM is facing a tense supply situation with its suppliers for 2026. According to IDC, the semiconductor market has been experiencing a significant shortage of memory components since the end of 2025, which is likely to continue until 2027. The main reason for this is the rapid expansion of AI infrastructures, which is triggering a structural shift in production capacities. As the major manufacturers are prioritising their production for storage solutions for AI data centres, significantly less capacity is available for general IT hardware, including server, PC and enterprise storage components. According to DigiKey, the industry expects a significant price increase as a result. At the same time, delivery times are becoming longer as manufacturers give preference to large volume buyers such as hyperscalers, making procurement more difficult for other market participants. Overall, the analysis assumes that the tight supply situation will continue beyond 2026, leading to higher hardware costs and a more volatile supply chain situation. Accordingly, CANCOM assumes that the situation described will have a significant impact on the IT market and thus on the CANCOM Group in the medium term.

Premises of the forecast

The forecasts for the CANCOM Group and CANCOM SE take into account all information known to the Executive Board at the time of preparing this report that could have an impact on future business development. The outlook is based, among other things, on the expectations described above regarding economic development and the development of the IT market in 2026. In this context, the Executive Board expressly points out that uncertainties remain in assessing general economic development. There is still a high degree of uncertainty about economic development in the CANCOM Group's core markets. Global, particularly macroeconomic, uncertainty factors such as a possible escalation of existing geopolitical conflicts and regional tensions make it even more difficult to assess developments. The Executive Board of the CANCOM Group has assessed the current developments in the Middle East and their possible impact on the business development of the CANCOM Group and CANCOM SE. Although there is currently no direct impact on the CANCOM Group's business in its sales markets, the macroeconomic consequences are difficult to assess at present.

The following forecast for the business development of the CANCOM Group and CANCOM SE for 2026 is based on the assumption that the onset or escalation of current crises or acts of war, as well as the exacerbation of supply bottlenecks caused by a tense market for memory modules, will not have serious and lasting negative macroeconomic consequences triggered by such or other sudden external events and which could affect the IT services and IT infrastructure business in the sales and procurement markets relevant to CANCOM in the DACH region.

For the CANCOM Group as a whole, unforeseeable events that could influence the expected development of the company from today's perspective continue to represent a significant risk. Such events include, for example, the effects of short-term legal or regulatory changes. These potential events are not taken into account in the current forecast for 2026. The forecast developments in key performance indicators relate exclusively to the development of the CANCOM Group in the 2026 financial year compared with the respective reporting date of the previous year.

Forecast for the CANCOM Group

AI is ubiquitous today, but five years ago it played hardly any role at all. This demonstrates the constant and dynamic change in the IT industry and at the same time underlines the importance of the sector. In the opinion of the Executive Board, the long-term digitalisation trend and the associated demand, particularly for AI applications, IT infrastructure, software and IT services, will remain intact in all IT markets relevant to CANCOM despite various influencing factors (including consumer reluctance, distortions in the supply chain for IT hardware and a weak economic environment). Accordingly, the Executive Board assumes that demand for IT hardware, software and IT services, particularly for AI applications, will continue to be driven by fundamental sustainable developments. It therefore expects the overall market environment for the CANCOM Group's business activities and for the products and services in its portfolio to be positive in the medium term.

At the same time, the markets continue to be influenced by increased macroeconomic and geopolitical factors. According to current estimates by the German Federal Government, Germany's gross domestic product is expected to grow by 1.0 percent in the current year. For Austria, another key market for the CANCOM Group, the Austrian Institute for Economic Research expects GDP growth of 1.2 percent in 2026. Even this moderate overall economic growth could have an impact on the IT sector and influence the basis and assumptions of the forecasts. Uncertainties arise in particular from possible disruptions in the supply chains for IT components with an impact on availability, delivery quantities and conditions, extended IT usage cycles, the postponement of Investments and reduced spending on IT services as a result of increasing cost pressure.

In light of this, the Executive Board expects revenue in the "Germany" and "International" business segments to develop largely in line with each other. Compared to the previous year, the Executive Board expects a steady upturn in business, leading to a positive outlook for the year as a whole. In conjunction with reduced internal costs compared to the previous year, the result of operations in the "Germany" business segment are expected grow disproportionately.

The Executive Board is focusing on the performance indicators Revenue, EBITDA and EBITA. Based on the conditions and assumptions outlined above, the Executive Board of CANCOM SE forecasts the following development for the CANCOM Group in the 2026 financial year:

Performance indicators
(in € million)
2025 Forecast 2026
Revenue 1,714.7 1,750 bis 1,850
EBITDA 102.7 110 bis 130
EBITA 48.0 55 bis 75

Forecast for CANCOM SE

The parent company of the Group generates income primarily from profit transfer agreements with subsidiaries and distributions from subsidiaries, as well as from allocations for management and financing services provided within the CANCOM Group. The future economic development of the individual company is directly dependent on the economic development of the Group. The statements in the Group's forecast report therefore apply accordingly.

Consequently, the Executive Board of CANCOM SE expects a significant increase in net income compared with the previous year.

Munich, 24 March 2026

The Executive Board of CANCOM SE

Rüdiger Rath Thomas Stark Chief Executive Officer Chief Financial Officer

Note on rounding

Due to rounding, it is possible that individual figures in this document may not add up exactly to the stated total and that percentages shown may not accurately reflect the absolute values to which they refer.

Disclaimer regarding forward-looking statements

This document contains statements that relate to future business performance and future financial performance, as well as future events or developments affecting CANCOM, and may constitute forward-looking statements. These are based on the current expectations, assumptions and estimates of the Executive Board, as well as other information currently available to management, much of which is beyond CANCOM's control. These statements can be identified by terms and words such as "expect", "want", "assume", "believe", "aim", "estimate", "presume", "anticipate", "intend", "could", "plan", "should", "will", "predict" or similar terms. All statements, with the exception of documented facts from the past, are forward-looking statements. Such forward-looking statements include, among other things: expectations regarding the availability of products and services, the financial situation and the result of operations, the business strategy and the Executive Board's plans for future operating activities, economic developments and all statements regarding assumptions. Although these statements are made with great care, CANCOM, represented by the Executive Board, cannot guarantee the accuracy of the expectations, particularly in the forecast report. Various known and unknown risks, uncertainties and other factors could cause actual results to differ materially from those contained in the forward-looking statements. In this context, the following factors, among others, are significant: external political influences, changes in the general economic and business situation, changes in the competitive position and situation, for example due to the emergence of new competitors, new products and services, new technologies, changes in the investment behaviour of customer target groups, etc., as well as changes in business strategy. Should one or more of these risks or uncertainties materialise, or should the underlying expectations prove to be incorrect or the assumptions prove to be incorrect, CANCOM's actual results, performance and achievements (both negative and positive) may differ materially from those expressly or implicitly stated in the forward-looking statement. No guarantee can be given as to the adequacy, accuracy, completeness or correctness of the information or opinions contained in this document. CANCOM also assumes no obligation and does not intend to update these forward-looking statements or to correct them in the event of developments other than those expected.

With passion and technology, we accompany the digital evolution of our customers.

Our Mission

TO OUR SHAREHOLDERS | MANAGEMENT REPORT | CONSOLIDATED FINANCIAL STATEMENTS | ANNUAL FINANCIAL STATEMENTS | NOTES 98

Consolidated financial statements of CANCOM SE

100 Consolidated balance sheet
----- ---------------------------- -- --

Consolidated balance sheet

ASSETS

(in T€) Notes 31.12.2025 31.12.2024
Current assets
Cash and cash equivalents B.1 (A.3.4) 198,902 144,674
Trade receivables B.3 (A.3.6) 431,315 423,754
Current contract assets B.4 (A.3.7) 20,820 18,427
Inventories B.5 (A.3.8) 53,930 68,049
Other current financial assets B.6 (A.3.17) 63,411 54,483
Other current non-financial assets B.7 (A.3.18) 69,599 62,363
Total current assets 837,977 771,750
Non-current assets
Property, plant and equipment B.8.1 (A.3.9) 51,152 59,045
Intangible assets (other than goodwill) B.8.2 (A.3.10) 55,173 74,674
Goodwill B.8.3 (A.3.11) 270,043 270,043
Right-of-use assets B.8.4 (A.3.13) 116,269 119,840
Financial assets and loans B.8.5 (A.3.14) 33 33
Shares in companies accounted for using the equity method B.8.6 (A.3.15) 14,174 14,479
Deferred tax assets B.9 (A.3.16) 21,209 14,567
Other non-current financial assets B.6 (A.3.17) 46,942 47,821
Other non-current non-financial assets B.7 (A.3.18) 31,969 34,644
Total non-current assets 606,964 635,146
Total assets 1,444,941 1,406,896

LIABILITIES AND SHAREHOLDERS' EQUITY

(in T€) Notes 31.12.2025 31.12.2024
Current liabilities
Current liabilities to banks B.10 (A.3.19) 173 854
Trade liabilities B.11 (A.3.20) 424,294 376,617
Other current financial liabilities B.12 (A.3.24) 67,211 67,012
Current employee benefit provisions B.16 (A.3.21) 1,629 1,178
Current other provisions B.13 (A.3.22) 11,091 9,670
Current contract liabilities B.4 (A.3.7) 80,086 72,793
Income tax liabilities B.14 (A.3.23) 14,215 8,518
Other current non-financial liabilities B.15 (A.3.25) 89,706 84,237
Total current liabilities 688,405 620,879
Non-current liabilities
Non-current liabilities to banks B.10 (A.3.19) 0 250
Other non-current financial liabilities B.12 (A.3.24) 152,058 146,214
Non-current employee benefit provisions B.16 (A.3.21) 24,173 25,496
Non-current other provisions B.13 (A.3.22) 5,309 6,235
Non-current contract liabilities B.4 (A.3.7) 13,004 15,352
Deferred tax liabilities B.9 (A.3.16) 16,539 18,093
Other non-current non-financial liabilities B.15 (A.3.25) 6 10
Total non-current liabilities 211,089 211,650
Shareholders' Equity B.17
Issued capital B.17.1 31,515 31,515
capital reserve B.17.2 483,763 483,763
Retained earnings including carryforwards and profit after taxes B.17.3 29,754 58,412
Other reserves B.17.4 286 308
Non-controlling interests 129 369
Total equity 545,447 574,367
Total liabilities and shareholders' equity 1,444,941 1,406,896

Consolidated statement of total comprehensive income

(in T€) Notes 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
Revenues C.1 (A.3.2) 1,714,703 1,737,619
Other operating income C.2 27,867 12,163
Work performed by the entity and capitalised C.3 0 1,607
Capitalised contract costs C.4 0 -234
Total output 1,742,570 1,751,155
Material expenses/cost of purchased services C.5 -1,045,603 -1,057,572
Gross profit 696,967 693,583
Personnel expenses C.6 -471,256 -467,628
Depreciation, amortisation, impairment of tangible assets, intangible assets
and right-of-use assets		 C.7 -63,526 -65,044
Impairment losses for financial assets including reversals of impairment losses -1,250 -1,795
Other operating expenses C.8 -121,737 -111,138
Operating profit (EBIT) 39,198 47,978
Interest and similar income C.9 5,203 6,751
Interest and similar expenses C.9 -6,585 -6,933
Other financial result income C.10 1,839 2,939
Other financial result expenses C.10 -2,181 -2,108
Result from companies accounted for using the equity method C.11 246 145
Foreign currency gains/losses C.12 -54 39
Profit before income taxes 37,666 48,811
Income taxes C.13 -9,148 -15,288
Profit after tax from continuing operations 28,518 33,523
Profit after taxes from discontinued operations C.14 0 0
Profit for the period 28,518 33,523
of which: attributable to owners of the parent 28,709 33,453
of which: attributable to non-controlling interests C.15 -191 70
Weighted average shares outstanding (units) undiluted 31,356,503 33,706,066
Weighted average shares outstanding (units) diluted 31,356,503 33,706,066
Earnings per share from continuing operations (undiluted) in € C.16 0.92 0.99
Earnings per share from continuing operations (diluted) in € C.16 0.92 0.99
Earnings per share from discontinued operations (undiluted) in € C.16 0.00 0.00
Earnings per share from discontinued operations (diluted) in € C.16 0.00 0.00
Earnings per share for profit after taxes attributable to the owners of
the parent (undiluted) in €		 C.16 0.92 0.99
Earnings per share for profit after taxes attributable to the owners of
the parent (diluted) in €		 C.16 0.92 0.99
(in T€) 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
Profit for the period 28,518 33,523
Other comprehensive income
Items subsequently reclassified to profit after taxes (recycled)
Gains/losses from the currency translation of foreign operations -22 -208
Gains/losses from financial assets measured at fair value through other comprehensive income 0 -92
Deferred taxes on items subsequently reclassified to profit after taxes for the result for the period 0 21
Items not subsequently reclassified to profit after taxes (not recycled)
Gains/losses from the remeasurement of defined benefit plans 1,314 -1,952
Deferred taxes on items that are not reclassified to profit after taxes -280 394
Other comprehensive income for the period 1,012 -1,837
Total comprehensive income for the period 29,530 31,686
of which: attributable to owners of the parent 29,721 31,616
of which: attributable to non-controlling interests -191 70

Consolidated cash flow statement

(in T€) Notes 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
Cash flow from operating activities
Profit for the period 28,518 33,523
Adjustments
+
Depreciation, amortisation, impairment of tangible assets, intangible assets
and right-of-use assets		 63,526 65,044
+
Interest income and other financial income		 1,477 -795
+
Income taxes		 9,148 15,288
+/- Changes in non-current provisions -1,660 -1,720
+/- Changes in current provisions 1,867 2,134
+/- Gain/loss from disposal of non-current assets/liabilities -13,962 -1,031
+/- Changes in inventories 13,291 11,138
+/- Changes in trade receivables, in contract assets, in capitalised contract costs
and other assets		 -8,704 54,806
+/- Changes in trade payables and other liabilities 60,075 42,689
-
Interest paid		 -1,077 -2,310
+/- Income taxes paid and received -12,185 -26,631
+/- Other non-cash income and expenses -527 741
Total cash flow from operating activities D.1 139,787 192,876
Cash flow from investing activities
-
Payments from the acquisition of subsidiaries and operations		 -4,110 -28,699
+
Proceeds from cash acquired in the acquisition of subsidiaries		 0 606
+
Proceeds from the disposal of shares in subsidiaries		 1,650 0
-
Cash outflow from the disposal of shares in subsidiaries		 -562 0
-
Payments from the acquisition of financial investments		 -400 -770
-
Payments for investments in tangible and intangible assets as well
as right-of-use assets		 -14,838 -22,276
+
Sales proceeds for tangible and intangible assets as well as for
financial investments		 21,387 3,517
+
Interest and dividends received		 2,085 3,414
+
Dividends received from joint ventures and associated companies		 952 974
Total cash flow from investing activities D.1 6,164 -43,234
(in T€) Notes 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
Cash flow from financing activities
-
Payments due to the repurchase of own shares		 -26,849 -146,717
-
Payments from the repayment of non-current financial liabilities
(including the portion reported as current)		 -375 -125
-
Payments from the repayment of lease liabilities
(from the perspective of the lessee)		 -39,742 -43,479
+/- Proceeds/payments resulting from issuing/repayment of current
financial liabilities		 -555 -7,806
+/- Proceeds/payments resulting from financial liabilities to leasing companies
and proceeds resulting from sublease transactions		 11,933 9,885
-
Payments for interest on non-current financial liabilities and lease liabilities		 -4,543 -4,132
-
Dividends paid		 -31,565 -35,101
Total cash flow from financing activities D.1 -91,696 -227,475
Net increase/decrease in cash and cash equivalents 54,255 -77,833
+/- Effect of exchange rate changes on cash and cash equivalents -27 -42
+/- Cash and cash equivalents at the beginning of the period 144,674 222,549
Cash and cash equivalents at the end of the period D.1 198,902 144,674
thereof
Cash and cash equivalents from continuing operations 198,902 144,674
Cash and cash equivalents from discontinued operations 0 0

Retained earnings including carryforwards and

Consolidated statement of changes in equity

profit after taxes
Shares Issued
capital		 capital
reserves		 Retained
earnings		 Profit after
taxes including
carryforwards		 Remeasure
ment of defined
benefit plans
in T pieces in T€ in T€ in T€ in T€ in T€
1.1.2024 36,687 36,687 478,591 154,932 54,900 -1,619
Profit for the period 33,453
Other comprehensive income 0 -1,558
Total comprehensive income 33,453 -1,558
Dividend distribution in the
business year		 -35,017
capital reduction -5,172 -5,172 5,172 5,172 -5,172
Changes due to the repurchase
of treasury shares		 -146,679
31.12.2024 31,515 31,515 483,763 13,425 48,164 -3,177
1.1.2025 31,515 31,515 483,763 13,425 48,164 -3,177
Profit for the period 28,709
Other comprehensive income 0 1,034
Total comprehensive income 28,709 1,034
Dividend distribution in the
business year		 -31,515
Changes due to the repurchase of
treasury shares		 -26,886
31.12.2025 31,515 31,515 483,763 -13,461 45,358 -2,143
Other
reserves
Total Shareholders'
Equity		 Non-controlling
interests		 Total owners
of the parent		 Valuation of
financial assets		 Currency translation
of foreign
operations
in T€ in T€ in T€ in T€ in T€
724,460 382 724,078 71 516
33,523 70 33,453
-1,837 0 -1,837 -71 -208
31,686 70 31,616 -71 -208
-35,100 -83 -35,017
0 0
-146,679 -146,679
574,367 369 573,998 0 308
574,367 369 573,998 0 308
28,518 -191 28,709
1,012 0 1,012 -22
29,530 -191 29,721 -22
-31,564 -49 -31,515
-26,886 -26,886
545,447 129 545,318 0 286

Notes to the consolidated financial statements

A. General information

A.1. Basics

The consolidated financial statements of CANCOM SE and its subsidiaries (hereinafter referred to as the "CANCOM Group" or "Group") were prepared in the reporting period (financial year 2025) in accordance with International Financial Reporting Standards and International Accounting Standards (IFRS/IAS, as applicable in the EU).

The business activities of CANCOM SE and its consolidated subsidiaries comprise the design of IT architectures and IT infrastructure, system integration and the provision of managed services. As a full-service provider, the company's business activities focus primarily on the provision of IT services in addition to Sales of hardware and software from well-known manufacturers. The IT services offered include the design of IT architectures and IT landscapes, the conception and integration of IT systems, and the operation of the systems.

The consolidated financial statements have been prepared in euros (€). Unless otherwise stated, all amounts are given in thousands of euros (T€). In individual cases, rounding may mean that the figures in this report do not add up exactly to the stated total and that the percentages do not result exactly from the figures presented.

The reporting period covers the period from 1 January 2025 to 31 December 2025 (comparative period: 1 January 2024 to 31 December 2024). The address of the registered office is: Erika-Mann-Straße 69, 80636 Munich, Germany. CANCOM SE is registered at Munich Local Court under HRB 203845.

The shares are traded on the regulated market of the Frankfurt Stock Exchange under ISIN DE0005419105 and are admitted to the Prime Standard.

These consolidated financial statements were approved for publication by the Executive Board on 24 March 2026.

A.2. Consolidation and company acquisitions

A.2.1. Consolidation principles

A.2.1.1. Subsidiaries

In addition to CANCOM SE as the parent company, the CANCOM consolidated financial statements include domestic and foreign companies over which CANCOM SE exercises control in accordance with IFRS 10 (subsidiaries).

Subsidiaries are fully consolidated from the date of acquisition, i.e. from the date on which the Group obtains control; the CANCOM Group applies the revaluation method. Consolidation ends as soon as the parent company no longer exercises control. The financial statements of the subsidiaries are prepared using uniform accounting methods for the same reporting period as the financial statements of the parent company. Intra-group transactions between group companies are eliminated in full.

A.2.1.2. Joint ventures

Joint ventures are included in the consolidated financial statements using the equity method. In joint ventures, CANCOM SE has rights to the net assets of the company and manages it together with another party (joint control). The IFRS financial statements of these companies are used as the basis for inclusion using the equity method.

In the 2023 financial year, two joint ventures – Sensor Network Services GmbH and K-Businesscom Rental Services GmbH (now CANCOM Rental Services GmbH) – were included for the first time. These companies are immaterial, both individually and in aggregate, for the presentation of the CANCOM Group's net assets, financial position and result of operations.

At Sensor Network Services GmbH, joint control ended in the reporting period due to a redistribution of voting rights. In March 2025, CANCOM's participation rate was reduced from 50.0 percent to 25.0 percent, meaning that Sensor Network Services GmbH was classified as an associate from this point onwards. In November 2025, CANCOM's participation rate was reduced again from

25.0 percent to 12.5 percent, with the result that Sensor Network Services GmbH was classified as an investment from this point onwards and was therefore reported under the balance sheet item "Financial assets and loans" at the end of the reporting period.

A.2.1.3. Associated companies

Associated companies are also included in the consolidated financial statements using the equity method. CANCOM SE has significant influence on associated companies, meaning it can participate in the financial and business policy decisions of the company but does not exercise control or joint control over the decision-making processes. The IFRS financial statements of these companies are used as the basis for consolidation using the equity method.

In the 2023 financial year, four associated companies (CANCOM Financial Services GmbH, CALPANA business consulting GmbH, Workheld GmbH, Elmon GmbH) were included for the first time. These companies are immaterial, both individually and in aggregate, for the presentation of the CANCOM Group's net assets, financial position and Result of operations.

In the reporting period, Sensor Network Services GmbH was classified as an associate for the first time rather than a joint venture; at the end of the reporting period, it was classified as an investment (see previous section of these consolidated financial statements).

A.2.1.4. Non-consolidated structured companies

In the 2019 financial year, CANCOM sold a developed property in Jettingen-Scheppach to a leasing company and then leased it back (sale and leaseback transaction). The developed property had a carrying amount of € 21,284 thousand at the time of sale. The leasing company "Duana Grundstücksverwaltungsgesellschaft mbH & Co. Vermietungs KG" is not controlled by CANCOM SE within the meaning of IFRS 10, as CANCOM SE does not hold the majority of voting rights nor does it have control on the basis of other contractual agreements. The property was sold to the leasing company by way of a contribution in exchange for company shares. The sole purpose of the leasing company is to hold and manage the leased property over the term of the lease. The leasing company is financed by a bank loan and by the sale of its receivables.

At the end of the reporting period and the comparative period, the CANCOM Group's balance sheet shows the following items in relation to the leasing company:

(in T€) 31.12.2025 31.12.2024
Share in Duana Grundstücksverwaltungs
gesellschaft mbH & Co. Vermietungs KG		 5 5
Rights of use for land and buildings 9,606 10,304
Lease liabilities 11,601 12,452
Loan to Duana Grundstücksverwaltungs
gesellschaft mbH & Co. Vermietungs KG		 3,856 3,190

The shareholder's interest and the loan are reported under the balance sheet item "Financial assets and loans" and the balance sheet item "Other non-current financial assets" in the balance sheet, respectively. The rights of use for land and buildings are reported under the balance sheet item "Rights of use" in the balance sheet. Lease liabilities are included in the balance sheet item "Other non-current financial liabilities" and "Other current non-financial liabilities" respectively. The maximum risk of loss from the investment in the leasing company is limited to the shareholder's share and the loan granted to the leasing company. The loan is intended to offset any losses from changes in the residual book value of the developed property at the end of the lease term.

A.2.2. Company acquisitions and investments and disposals of companies

For the accounting principles applicable to company acquisitions, please refer to section A.3.31 of the consolidated financial statements.

A.2.2.1. Company acquisitions in the reporting period

No company acquisitions were made in the reporting period.

A.2.2.2. Company acquisitions from previous periods

The goodwill arising from the acquisition of the business division of DextraData GmbH and from the acquisition of CANCOM Switzerland AG in the 2023 financial year, the company

acquisitions of NWC Services GmbH and the S&L Group in the 2022 financial year, and the company acquisition of Anders & Rodewyk Das Systemhaus für Computertechnologien GmbH in the 2021 financial year developed as follows in the reporting period:

SBSK GmbH &
Co. KG		 Business division
of
DextraData GmbH		 CANCOM
Switzerland AG		 NWC Services
GmbH		 S&L Group
2,525 2,250 2,041 922 1,225
-874 0 -491 59 0
0 -2,250 0 -635 -1,225
1,651 0 1,550 346 0

A.2.2.3. Company disposals during the reporting period

During the reporting period, CANCOM Austria AG sold 100 percent of its shares in ITM Informationstransport und -management Gesellschaft m.b.H. The deconsolidation of the subsidiary took place on 30 September 2025. Until deconsolidation, ITM Informationstransport und -management Gesellschaft m.b.H. was assigned to the International business segment within the CANCOM Group.

The calculation of the deconsolidation result for ITM Informationstransport und -management Gesellschaft m.b.H. for the reporting period, which was recognised in the statement of comprehensive income under "Other operating income", is shown in the following table:

(in T€) 30.9.2025
Purchase price received in cash 1,650
Cash and cash equivalents transferred (derecognised) -562
Other derecognised assets -1,680
Debts derecognised 1,899
Directly attributable disposal costs -11
Deconsolidation result before income taxes 1,296
Income taxes -298
Deconsolidation result after income taxes 998

A.2.3. Scope of consolidation

All subsidiaries were included in the CANCOM Group's scope of consolidation. In the reporting period, this comprised 24 subsidiaries (comparative period: 28 subsidiaries), of which 7 were domestic subsidiaries and 17 were foreign subsidiaries (comparative period: 9 domestic subsidiaries and 19 foreign subsidiaries).

In Germany, there was a reduction of 2 subsidiaries in the reporting period, as SBSK GmbH & Co. KG was transferred to CACNOM GmbH by accretion and SBSK GmbH by merger with effect from 1 January 2025.

Abroad, the scope of consolidation was reduced by two subsidiaries in the reporting period due to the deconsolidation of ITM Informationstransport und -management Gesellschaft m.b.H. as of 30 September 2025 (see section A.2.2.3 of these consolidated financial statements) and the merger of CloudXcelerate GmbH into CANCOM Austria AG with effect from 1 January 2025.

The list of shareholdings in accordance with § 313 of the German Commercial Code (HGB) is included in the Annex to the consolidated financial statements and is published in the company register together with the consolidated financial statements.

All fully consolidated subsidiaries included in the consolidated financial statements have 31 December 2025 as the reporting period's reporting date (comparative period: 31 December 2024).

A.2.4. Major subsidiaries

The following table lists the major subsidiaries of the CANCOM Group:

Name of subsidiary Registered office
of the company		 Participation
rate in %
CANCOM GmbH Jettingen-Scheppach 100.00
CANCOM Austria AG Vienna/Austria 100.00
CANCOM
Managed Services GmbH Munich 100.00
CANCOM Public GmbH Berlin 100.00
CANCOM Brunn am Gebirge/
a + d IT solutions GmbH Austria 100.00
CANCOM ICT Service Ltd. Munich 100.00

A.2.5. Translation of foreign currency financial statements

The assets and liabilities of subsidiaries whose functional currency is not the euro are converted at the closing rate. The functional currency is the currency of the primary economic environment in which the subsidiary operates. Items included in the result for the period are translated at the average exchange rate for the year. Shareholders' Equity components of subsidiaries are translated at the corresponding historical exchange rate at the time of origination. The currency differences resulting from the translation are recognised within Shareholders' Equity under "other reserves" (i.e. in other comprehensive income in the statement of comprehensive income and not in the result for the period).

The exchange rates used to translate foreign currency financial statements developed as follows in relation to the euro in the reporting period and in the comparative period:

Currency 2025 2024
Swiss franc (CHF)
Closing rate 1 € = 0.9314 CHF 1 € = 0.9412 CHF
Average rate 1 € = 0.9371 CHF 1 € = 0.9526 CHF
Romanian leu (RON)
Closing rate 1 € = 5.0968 RON 1 € = 4.9743 RON
Average rate 1 € = 5.0416 RON 1 € = 4.9746 RON
Czech koruna (CZK)
Closing rate 1 € = 24.2370 CZK 1 € = 25.1850 CZK
Average rate 1 € = 24.6920 CZK 1 € = 25.1189 CZK

A.3. Explanation of accounting and valuation methods

A.3.1. General principles

The balance sheet items in the consolidated financial statements are primarily measured at amortised cost. Derivative financial instruments, plan assets for pension and severance obligations, and certain balance sheet items acquired in the course of company acquisitions are measured at fair value.

Individual items in the statement of comprehensive income and the balance sheet have been aggregated to improve the clarity of the presentation. These items are explained in the Annex.

The statement of comprehensive income comprises a presentation of the result for the period (profit and loss account) and a presentation of other comprehensive income. The presentation of the result for the period is structured according to the total cost method. Total expenses incurred during the period are compared with total output for the period. The latter comprises total Revenue plus other operating income, Work performed by the entity and capitalised, and capitalised contract costs. Expenses are broken down by cost type. The presentation of other comprehensive income includes expenses and income that are not recognised in the Result for the period but in Shareholders' Equity (under "other reserves"). Where applicable, the amounts recognised in Shareholders' Equity are subsequently reclassified to the Result for the period.

Assets and liabilities are classified in the balance sheet according to their maturity as non-current (with maturities of more than one year) and current.

A.3.2. Revenue recognition

A.3.2.1. Regulatory basis and revenue categories

IFRS 15 must be applied for revenue recognition from contracts with customers. The standard contains a principle-based five-step model that must be applied to all contracts with customers. According to this five-step model, the contract with the customer must first be determined (step 1). In step 2, the separate performance obligations in the contract must be identified. Subsequently (step 3), the transaction price must be determined, with explicit provisions for the treatment of variable consideration, financing components, payments to the customer and barter transactions. Once the transaction price has been determined, step 4 involves allocating the transaction price to the individual performance obligations. This is based on the individual selling

prices of the individual performance obligations. CANCOM generally determines these from prices of comparable goods or services that can be observed directly on the market; if, in exceptional cases, it is not possible to determine them on the basis of such market prices, the individual selling prices are derived using appropriate methods that are in line with the requirements of IFRS 15. Finally (step 5), the revenue can be recognised if the performance obligation has been fulfilled by the company. This requires the transfer of control of the goods or services to the customer. In addition, step 5 requires a determination to be made for each performance obligation identified at the inception of the contract as to whether it will be fulfilled over a period of time or at a point in time. According to IFRS 15, the former, period-based fulfilment only occurs if the customer uses the service at the same time as CANCOM provides it, if the customer already obtains control during the creation/improvement of an asset by CANCOM, or if CANCOM creates a customer-specific asset (without alternative use) and CANCOM has a legal claim to payment for the services already rendered. If one of these three circumstances applies, revenue is recognised in accordance with the progress of performance (or according to the degree of completion, also known as the "percentage of completion" method); the input-based cost-to-cost method is generally used for this purpose. In this respect, revenue may be spread over several periods. On the other hand, in the case of point-in-time fulfilment of the performance obligation, revenue is recognised in full in the period in which the customer obtains control of the promised asset; indicators for this include, for example, when a customer has accepted the asset or has taken physical possession of it.

In addition to the five-step model for revenue recognition, IFRS 15 contains further provisions. The provisions on capitalised contract costs (see section A.3.7 of the consolidated financial statements), performance obligations as a principal or agent, and guarantees and warranties are particularly relevant for the CANCOM Group.

The CANCOM Group distinguishes between the following revenue categories:

  • Sale of hardware and associated software;
  • Sale of third-party software licences;
  • Provision of services, such as IT strategy consulting, IT services and support.

A.3.2.2. Principal/agent classification

The regulations on performance obligations as a principal or agent address the question of whether the performance obligation consists of delivering the goods or providing the service itself (in which case the company acts as the principal) or whether it consists of commissioning another party to deliver the goods or provide the service (in which case the company acts as the agent). According to IFRS 15, an entity can only be a principal if it has control over the specific good or service before transferring a promised good or service to a customer. A number of indicators requiring interpretation must be used to determine principal/agent status. For example, it must be examined who is primarily responsible for the performance obligation (the company itself or a subcontractor acting on behalf of the company indicates principal status; another party indicates agent status). In addition, it must be analysed who bears the inventory risk (the company itself indicates principal status; another party indicates agent status). Furthermore, it must be determined how pricing is determined (at the discretion of the company indicates principal status; at the discretion of another party indicates agent status). If another party is involved in the delivery of goods or the provision of services to a customer (i.e. the customer is offered a combined supply of goods/services by the company and the other party) and the company performs a significant integration function by combining the goods or services supplied by another party into the specific good or service contractually promised to the customer, the company performs a significant integration function services and the company performs a significant integration service by integrating the goods or services provided by another party into the specific good or service contractually promised to the customer, it has control over the goods or services before they are transferred to the customer and thus acts as a principal.

Classification as a principal means that revenue must be recognised in the amount of the expected consideration in exchange for the transfer of the goods or services in question – i.e. as a gross amount. Gross revenue is reported in the statement of comprehensive income under "Revenue" and is offset against the corresponding Cost of materials/expenses for purchased services. Classification as an agent, on the other hand, means that the company only recognises the income in the amount of the fee or commission it expects to receive in exchange for commissioning the other party to deliver its goods or provide its services – i.e. as a net amount. The fee or commission is the portion of the consideration that

the company retains after paying the other party the consideration received for the delivery of the goods or the provision of the services. At CANCOM, the net amount is recognised in the statement of comprehensive income under "Revenue".

An assessment of whether CANCOM is classified as a principal or an agent is made at CANCOM in connection with the sale of hardware (and associated software), where the customer can optionally purchase additional services (e.g. in the form of maintenance contracts, guarantees or warranties) from the hardware/software manufacturer. The following applies in this case:

  • Maintenance, guarantees and warranties provided either exclusively by CANCOM or by third parties and CANCOM are classified by the company as principal;
  • Maintenance, guarantees and warranties provided exclusively by third parties are classified by the company as agent.

On the other hand, an assessment is made as to whether CANCOM is classified as a principal or agent when selling software licences obtained from third parties (see section A.3.2.5 of the consolidated financial statements).

A.3.2.3. Guarantees and warranties

With regard to guarantees and warranties, IFRS 15 requires a distinction to be made between whether the guarantee or warranty is an assurance of the contractually agreed product specification (i.e. a functional guarantee) or a service that goes beyond the assurance of the contractually agreed product specification (i.e. an additional service). The former functional guarantees exist in particular if the company is financially liable by law for damage caused by its products. In this case, it must be examined whether a provision must be recognised in accordance with IAS 37 (see section A.3.22 of the consolidated financial statements). In the case of assurances that go beyond the contractually agreed product specifications, the customer can usually choose whether to purchase the guarantee or warranty separately. This is therefore a separately identifiable service that must be recognised as a separate performance obligation in accordance with IFRS 15 (see step 2 above) and to which part of the transaction price must be allocated (see step 4 above). Performance is either period-based or point-in-time-based (see step 5 above). At CANCOM, warranties are regularly recognised as additional services when selling hardware or software in connection with the Sales of additional services – in particular in the form of warranties or guarantees (see above).

A.3.2.4. Sale of hardware and associated software

Contracts for the sale of hardware (and associated software) are examined within the CANCOM Group to determine whether they contain independent performance obligations. This is the case, for example, if the contract includes a service component in addition to the delivery of goods. Revenue from the sale of hardware (and associated software) must be recognised when control of the goods is transferred to the customer. This is usually the case when the hardware/software is handed over to the customer. The sale of hardware (and associated software) normally involves performance obligations that are fulfilled at a specific point in time. The consideration is usually fixed and does not contain any variable components. Contracts do not generally contain any significant financing components. Invoicing to the customer takes place when the revenue is recognised. Invoices are usually payable within 30 days.

A.3.2.5. Sale of third-party software licences

Revenue from the purchase and sale of standard software licences is reported as an agent, i.e. the difference between the consideration received from the customer and the acquisition cost of the software licence (as a net amount or profit margin) is reported under "Revenue".

A.3.2.6. Provision of services, such as IT strategy consulting, IT services and support

CANCOM also examines contracts for the provision of services with regard to independent performance obligations. Revenue from service contracts is generally recognised on a time basis according to the progress of performance, as the performance obligation is usually fulfilled when the benefits resulting from the service are transferred. In cases where CANCOM is obliged to be on standby or to provide services (e.g. support/service contracts), revenue is recognised on a pro rata basis over the term of the contract. In addition, input-based methods are used to determine the stage of completion, i.e. revenue is recognised in proportion to the ratio of costs incurred (or resources consumed) to the expected total costs of performing the service. These input-based methods are appropriate for determining the progress of service components, as the customer receives the benefits of the service on a pro rata basis or the customer benefit can be reasonably derived from the costs incurred in relation to the expected total costs of service fulfilment. Invoicing to the customer usually takes place

when the revenue is recognised. Invoices are generally payable within 30 days. As a rule, services are priced separately; if this is not the case, the transaction prices are allocated on the basis of the relative individual selling prices.

A.3.3. Expense recognition and other income recognition

Operating expenses are recognised in profit or loss when the service is used or when they are incurred.

Interest payable or receivable is recognised as an expense or income on an accrual basis; the effective interest method is applied in accordance with IFRS 9. Interest expenses incurred in connection with the acquisition and production of certain assets are only capitalised if they are qualifying assets in accordance with IAS 23. In connection with leases (see also section A.3.28 of the consolidated financial statements), interest expenses (CANCOM is the lessee) or interest income (CANCOM is the lessor) are recognised in accordance with IFRS 16 at a constant interest rate on the remaining lease liability or as constant periodic interest on the lessor's net investment.

Dividends are recognised in profit or loss in accordance with IFRS 9 when the legal right to receive payment arises.

A.3.4. Cash and cash equivalents

Cash and cash equivalents are financial instruments (see also section A.3.26 of the consolidated financial statements); they are accounted for in accordance with IFRS 9. CANCOM classifies them in the measurement category "financial assets measured at amortised cost". Cash and cash equivalents comprise bank balances, cash on hand and short-term deposits with banks with an initial remaining term of up to three months. Amortised cost generally corresponds to the nominal value. Cash and cash equivalents are subject to the impairment requirements of IFRS 9, which means that expected credit losses must be recognised for these items.

A.3.5. Non-current assets held for sale and disposal groups, related liabilities and discontinued operations

No non-current assets held for sale, disposal groups or related liabilities were recognised in the reporting period or the comparative period. Furthermore, there were no presentation and disclosure requirements in connection with a discontinued operation in either the reporting period or the comparative period.

In accordance with IFRS 5, the balance sheet item "non-current assets and disposal groups held for sale" includes non-current assets and disposal groups classified as "held for sale". Such classification must be made if the associated carrying amount is realised primarily through a sale transaction and not through continued use. Furthermore, the items must be available for immediate sale in their current condition, and the sale must be considered highly probable and expected to take place within one year.

A non-current asset is not subject to scheduled depreciation as long as it is classified as "held for sale" or belongs to a disposal group classified as "held for sale". Non-current assets or disposal groups classified as "held for sale" shall be measured immediately after classification and at subsequent reporting dates at the lower of their carrying amount and fair value less costs to sell.

If a non-current asset is no longer classified as "held for sale" or no longer belongs to a disposal group classified as "held for sale", it is reclassified as a non-current item and, at the time of the decision not to sell, is measured either at its recoverable amount or – if this value is lower – at its carrying amount before classification, adjusted for any scheduled depreciation or revaluations that would have been recognised without classification.

For disposal groups that meet the definition of discontinued operations, additional presentation and disclosure requirements apply in accordance with IFRS 5. Within the statement of comprehensive income and within the segment information, the components of profit or loss attributable to the discontinued operation (components of profit or loss of subsidiaries that are part of the discontinued operation; deconsolidation gains; directly attributable disposal costs; other income and expenses directly attributable to the discontinued operation) are reclassified to the item "Result from discontinued operations". For discontinued operations in the reporting period, this reclassification is also made for the comparative period, i.e. retroactively. No (retrospective) reclassification is made in the cash flow statement.

IFRS does not regulate how elimination entries are to be allocated to or between discontinued operations and continuing operations in the context of expense and income consolidation. Within the CANCOM Group, intra-group income is eliminated at the supplying/performing business unit and the associated expenses are eliminated at the receiving business unit.

A.3.6. Trade receivables

Trade receivables are financial instruments (see also section A.3.26 of the consolidated financial statements); they are primarily accounted for in accordance with IFRS 9, with the items initially measured at the transaction price in accordance with IFRS 15. CANCOM classifies trade receivables as financial assets within the measurement category "assets measured at amortised cost". The impairment provisions of IFRS 9 must be applied to these items; the simplification model is used here, which allows simplified methods for determining expected credit losses using impairment matrices.

A.3.7. Contract assets, capitalised contract costs, contract liabilities

Contract assets, capitalised contract costs and contract liabilities are balance sheet items that arise in connection with revenue recognition in accordance with IFRS 15 (see section A.3.2 of the consolidated financial statements).

Contract assets exist when CANCOM has fulfilled its performance obligation but the customer has not yet provided consideration. Unlike receivables, contract assets are contingent claims; that is, the customer has not yet accepted the goods or services. Contract assets are subject to the impairment provisions of IFRS 9; CANCOM uses the simplification model and simplified methods to determine expected credit losses using impairment matrices. Contract liabilities exist if CANCOM has not yet fulfilled its performance obligation but has already received consideration from the customer.

IFRS 15 differentiates between contract costs, acquisition costs and contract fulfilment costs. Additional contract acquisition costs – i.e. those that CANCOM would not have incurred without the conclusion of the contract – must in principle be capitalised in accordance with IFRS 15, provided that the costs are expected to be recovered. However, CANCOM recognises additional initiation costs immediately as expenses when they arise if the contract term or amortisation period is less than one year. Contract fulfilment costs must be capitalised in accordance with IFRS 15 if the costs relate directly to the contract, generate resources that are used to fulfil the contracts, and compensation for the costs is expected – unless the costs fall within the scope of another standard. CANCOM specifies the capitalisation criterion of "expected reimbursement of costs" in such a way that the contract must either already have been concluded on the respective reporting date or, in the opinion of the Executive responsible for concluding the contract, be highly likely to be concluded in the near future. Furthermore, the contract revenue must exceed the planned direct costs in order for the capitalisation criterion of expected compensation of costs to be met.

Contract acquisition costs to be capitalised and contract fulfilment costs to be capitalised are recognised in the CANCOM Group under the balance sheet items "capitalised short-term contract costs" and "capitalised long-term contract costs" respectively. These items include capitalised own and third-party services (design and conception, set-up and service provision costs, and legal advisory costs). The costs capitalised in this way are subsequently reversed over the term of the contract upon fulfilment of the customer contract or amortised on a straight-line basis. In addition, impairments are recognised where applicable.

No contract costs were capitalised in the reporting period or the comparative period. At the end of the reporting period and the comparative period, the balance sheet did not contain any contract costs.

In the result for the period, the expenses are neutralised accordingly in the balance sheet under the item "capitalised contract costs". Depreciation and any impairment losses on capitalised contract costs are also reported in the result for the period under the item "capitalised contract costs".

A.3.8. Inventories

In accordance with IAS 2, inventories are generally measured at the lower of cost and net realisable value. For CANCOM, the acquisition costs are relevant. The acquisition costs of inventories include all costs of acquisition and other costs incurred in bringing the inventories to their present location and condition. Acquisition costs are determined on the basis of a weighted average value.

The net realisable value is the estimated selling price in the ordinary course of business less the estimated necessary selling costs. If the reasons that led to the impairment of inventories to net realisable value no longer apply, a corresponding reversal of impairment is made. Impairments and reversals of impairments of inventories are reported in the presentation of the result for the period under "Cost of materials/expenses for purchased services".

A.3.9. Property, plant and equipment

In accordance with IAS 16, property, plant and equipment are initially recognised at cost and subsequently depreciated on a straight-line basis over their estimated useful lives. The acquisition or production costs comprise the purchase price, all directly attributable costs, estimated costs for future disposal and restoration obligations, and borrowing costs, provided these are capitalised in accordance with IAS 23.

The following useful lives are used for depreciation:

  • Buildings on third-party land: 50 years;
  • Buildings on own land: 30-33 years;
  • IT data centres: 7 years;
  • Motor vehicles: 6-8 years;
  • Technical equipment and machinery: 7–20 years;
  • Operating and office equipment: 3–14 years.

The appropriateness of the useful lives is reviewed regularly. If necessary, adjustments are made to the useful lives. Depreciation generally begins when the asset is ready for use. If there are indications of impairment in accordance with IAS 36 and the recoverable amount is below the amortised cost or production cost, the items are written off on an unscheduled basis (see also section A.3.12 of the consolidated financial statements). If the reasons for the unscheduled write-offs no longer apply, corresponding write-ups are made.

Low-value assets whose acquisition or production costs do not exceed € 250 are recognised in full as an expense in the result for the period for the year in which they are acquired.

Gains or losses from the impairment of property, plant and equipment are reported in the item "Depreciation, amortisation, impairment of tangible assets, intangible assets and right-of-use assets" within the presentation of the Result for the period; Gains or losses from the disposal of property, plant and equipment are included in the item "Other operating income" or "Other operating expenses".

A.3.10. Intangible assets (excluding goodwill)

This balance sheet item mainly includes acquired intangible assets and internally generated intangible assets.

Acquired intangible assets (acquired rights and licences) are initially measured at cost (acquisition price, directly attributable costs). Assets identified in the context of company acquisitions (see also section A.3.31 of the consolidated financial statements), such as contractual customer relationships, order backlogs or rental advantages, are recognised as acquired intangible assets and initially measured at fair value, provided that the criteria of IFRS 3 and IAS 38 are met.

Internally generated intangible assets (such as internally developed software) are recognised if they meet the capitalisation criteria of IAS 38 (in particular, evidence of technical feasibility, intention and ability to use, and reliable measurement). The production costs comprise the costs directly attributable to the development phase and borrowing costs, provided that these are capitalised in accordance with IAS 23. Research costs are recognised as expenses.

Acquired and internally generated intangible assets with finite useful lives are amortised on a scheduled basis after initial recognition. The straight-line method of amortisation is used, and a non-linear method (e.g. a revenue- or payment-based method) is used for customer bases and order backlogs; within the CANCOM Group, useful lives of 3-12 years are assumed.

The appropriateness of the useful lives is reviewed regularly. If necessary, adjustments are made to the useful lives. If there are indications of impairment for intangible assets with a finite useful life in accordance with IAS 36 and if the recoverable amount is below the amortised cost or production cost, the items are written down on an extraordinary basis (see also section A.3.12 of the consolidated financial statements). If the reasons for the impairment losses no longer apply, corresponding write-ups are made.

Any acquired and internally generated intangible assets with indefinite useful lives are not amortised on a scheduled basis, but are tested for impairment at least once a year in accordance with IAS 36 (see also section A.3.12 of the consolidated financial statements).

Gains or losses from the impairment of intangible assets are reported in the presentation of the Result for the period under "Depreciation, amortisation, impairment of tangible assets, intangible assets and right-of-use assets"; Gains or losses from the disposal of intangible assets are included in the item "Other operating income" or "Other operating expenses".

A.3.11. Goodwill

Goodwill arises in connection with a company acquisition (see also section A.3.31 of the consolidated financial statements) if the total consideration transferred to the seller of the business exceeds the net amount of the identifiable assets acquired and liabilities assumed. The positive difference must be capitalised in accordance with IFRS 3.

Goodwill is not amortised on a scheduled basis, but is tested for impairment at least once a year in accordance with IAS 36 (see also section A.3.12 of the consolidated financial statements). The impairment test for goodwill is carried out at the level of groups of cash-generating units to which the item was allocated upon

initial recognition. There are two groups of cash-generating units within the CANCOM Group: "CANCOM Germany" and "CANCOM International". The assets and liabilities allocated to CANCOM Germany (International) correspond to the assets and liabilities of the Germany (International) business segment. Upon initial recognition, goodwill is allocated to the group of cash-generating units that is expected to benefit from the synergies resulting from the business combination. According to IAS 36, a cash-generating unit is the smallest identifiable group of assets with cash inflows that are largely independent of other assets. Goodwill is impaired whenever the recoverable amount of the group of cash-generating units allocated to the item is lower than the carrying amount of these groups of cash-generating units; the goodwill must then be written down by this difference on an extraordinary basis. The recoverable amount is calculated as the higher of the value in use and the fair value less costs to sell of the group of cash-generating units. This is determined using a present value model, taking into account cash flows based on internal projections. A subsequent reversal of the impairment in the form of a write-up of goodwill cannot be made.

A.3.12. Impairment of property, plant and equipment, intangible assets, goodwill, rights of use

Impairment losses are determined in accordance with IAS 36 by comparing the carrying amount with the recoverable amount. Such an impairment test is performed at the level of individual assets if it is possible to estimate the recoverable amount for the individual asset. Otherwise, the impairment test must be performed at the level of the cash-generating unit (or at the level of groups of cash-generating units). A cash-generating unit is the smallest group of assets that generates largely independent cash inflows.

At each reporting date, an assessment is made as to whether there are any indications of impairment of assets. If such an indication exists, the recoverable amount of the asset or cash-generating unit (or group of cash-generating units) must be determined and compared with the carrying amount. Goodwill, any other intangible assets with indefinite useful lives and intangible assets not yet ready for use are tested for impairment once a year, regardless of whether there are any indications of impairment.

The recoverable amount of an asset or cash-generating unit (or group of cash-generating units) is determined as the higher of fair value less costs to sell and value in use. For a cash-generating unit (or group of cash-generating units), the recoverable amount is generally determined using the discounted cash flow method, taking into account cash flows based on internal projections. The cash flows are discounted using a cost of capital that reflects current market expectations regarding the interest rate effect and the specific risks of the cash-generating unit (or group of cashgenerating units).

An impairment loss is recognised if the recoverable amount of the asset or cash-generating unit (or group of cash-generating units) is less than the corresponding carrying amount. In the case of a cash-generating unit (or group of cash-generating units), any goodwill must first be reduced or eliminated. If the carrying amount is not sufficient, the other assets of the cash-generating unit (or group of cash-generating units) must be reduced proportionally.

Except for goodwill, an assessment must be made at each reporting date to determine whether there is any indication that a previously recognised impairment loss no longer exists or has decreased. If this is the case, the carrying amount of the asset or cash-generating unit must be increased to its recoverable amount. Assets may not be revalued above their carrying amounts determined by depreciation, which would have been determined if no impairment losses had been recognised previously.

A.3.13. Right-of-use assets

Right-of-use assets are assets that CANCOM must recognise if it enters into leases (see section A.3.28 of the consolidated financial statements) as a lessee. Accounting is carried out in accordance with IFRS 16. According to this standard, the lessee must normally recognise a lease liability as the present value of the lease payments not yet made and, at the same time, capitalise a right-of-use asset in the amount of the acquisition costs, which are essentially derived from the initial carrying amount of the lease liability. The right-of-use asset is then depreciated over the term/ useful life of the underlying asset. In addition, the impairment provisions in IAS 36 apply (see section A.3.12 of the consolidated financial statements).

The CANCOM Group has the following three classes of rights of use:

  • Rights of use for land and buildings;
  • rights of use for operating and office equipment;
  • rights of use for motor vehicles.

A.3.14. Financial assets and loans

The balance sheet item "Financial assets and loans" may include securities, loans issued and investments in companies. These items are financial instruments (see also section A.3.26 of the consolidated financial statements) and are accounted for in accordance with IFRS 9. CANCOM assigns them to the measurement category "financial assets at fair value through other comprehensive income". Subsequent measurement is at fair value with changes in value recognised in Shareholders' Equity under "other reserves" (i.e. in other comprehensive income and not in the presentation of the period result), whereby changes in value of equity instruments (equity investments) recognised in Shareholders' Equity are never included in the period result. (i.e. in other comprehensive income in the statement of comprehensive income and not in the presentation of the Result for the period), whereby changes in value of equity instruments (investments in companies) recognised in Shareholders' Equity are never transferred to the Result for the period. For debt instruments, the impairment provisions of IFRS 9 are also relevant, i.e. expected credit losses must be recognised for these items at each reporting date. The change in expected credit losses represents an impairment loss or gain to be recognised in the Result for the period.

A.3.15. Shares in companies accounted for using the equity method

Joint ventures and associates are included in the consolidated financial statements using the equity method. Under the equity method, the carrying amount of the investment in the investor's balance sheet is carried forward in line with the development of the proportionate Shareholders' Equity in the investee. The investment is recognised and measured in its entirety as an asset (under the balance sheet item "Shares in companies accounted for using the equity method"); the individual assets and liabilities are not included in the investor's balance sheet. Under the equity method, the shares are initially recognised at cost. This carrying amount is subsequently adjusted for any changes in the owner's share of the net assets of the investee. The owner's profit or loss includes its share of the profit or loss of the investee, and the owner's other comprehensive income includes its share of

the other comprehensive income of the investee. Within the presentation of the Result for the period, this is recognised under the item "Profit or loss from companies accounted for using the equity method".

A.3.16. Deferred taxes

Deferred taxes are recognised in accordance with IAS 12 to take into account the future tax consequences of temporary differences between the tax bases of assets and liabilities and their carrying amounts in the IFRS financial statements, as well as loss carryforwards. Deferred taxes are measured on the basis of the regulations enacted by the legislator at the end of the respective reporting period for the reporting periods in which the differences are likely to be offset or the loss carryforwards are likely to be utilised. Deferred tax assets on loss carryforwards are only recognised if their realisation appears sufficiently certain in the near future. Deferred tax assets and liabilities are only offset if certain conditions are met.

The offsetting entry for the recognition of deferred taxes in the balance sheet is made within the presentation of the Result for the period under the item "Income taxes" unless the tax results from a business transaction or event that is recognised in the same or another period either in Shareholders' Equity under "Other reserves" (i.e. in other comprehensive income in the statement of comprehensive income) or elsewhere directly in Shareholders' Equity.

Deferred tax assets and deferred tax liabilities in connection with the global minimum taxation rules (Pillar 2 model rules) are not to be recognised or disclosed in accordance with IAS 12.

A.3.17. Other financial assets

The balance sheet item "Other financial assets" includes, in particular, receivables from finance leases (see section A.3.28 of the consolidated financial statements) and financial instruments such as, in particular, receivables from suppliers, non-controlling shareholders and employees. It also includes derivative financial instruments (see section A.3.27 of the consolidated financial statements) with a positive market value as at the reporting date. Accounting is carried out in accordance with IFRS 9. CANCOM classifies receivables in the measurement category "financial assets measured at amortised cost". Subsequent measurement is carried out using the effective interest method. In addition, the impairment provisions of IFRS 9 are relevant and expected credit losses must therefore be recognised.

Derivative financial instruments not included in hedge accounting relationships must be assigned to the measurement category "financial assets at fair value through profit or loss". As a result, the items must be measured at fair value at each reporting date; changes in value must be recognised in the Result for the period.

A.3.18. Other assets

Receivables and accruals that do not meet the definition of financial instruments are reported under the balance sheet items "other current assets" and "other non-current financial assets". These include, in particular, receivables from public authorities and accrued expenses. Unless a specific IFRS/IAS applies, the provisions of the framework for accounting are applied.

A.3.19. Liabilities to banks

Liabilities to banks include subordinated and non-subordinated loans that CANCOM has received from banks. These are financial instruments (see section A.3.26 of the consolidated financial statements) that must be accounted for in accordance with IFRS 9. In the CANCOM Group, liabilities to banks are assigned to the measurement category "financial liabilities measured at amortised cost". Subsequent measurement is at amortised cost using the effective interest method. The latter method implies that interest expenses are recognised on an accrual basis in the amount of the effective interest charge (i.e. including transaction costs and premiums/discounts).

A.3.20. Liabilities from deliveries and services

Trade liabilities are financial instruments (see also section A.3.26 of the consolidated financial statements); they are accounted for in accordance with IFRS 9. In the CANCOM Group, the items are allocated to the measurement category "financial liabilities measured at amortised cost". The carrying amount generally corresponds to the agreed purchase price of the service received or the original invoice amount (reduced by any discounts taken, if applicable).

A.3.21. Pension provisions and similar provisions

Within the CANCOM Group, this includes pension commitments and severance payments in Austria. The latter are statutory or contractual entitlements of employees to receive one-off severance payments upon leaving the company. The amount of the severance payments depends on the length of service and the salary level of the employees.

In accordance with IAS 19, provisions must be recognised for pension commitments and other post-employment benefits in the form of defined benefit plans where the actuarial risk (that the benefits will cost more than expected) and the investment risk (that the invested assets are insufficient to provide the expected benefits) are borne primarily by the company. The provision is reported as a net liability, i.e. the defined benefit obligation (which reflects future pension or severance payments to employees) is reduced by the capital formed to finance the pension or severance payments (actuarial liability) if the actuarial liability meets the definition of plan assets.

The defined benefit obligation is measured using an actuarial valuation method (current single premium method or projected unit credit method). This method assumes that the employee earns an additional portion of his or her final benefit entitlement in each year of service; as a result, the defined benefit obligation increases gradually until retirement or departure. Future payments are discounted using an interest rate derived from market yields on senior corporate bonds at each reporting date. The method takes into account actuarial assumptions such as demographic assumptions (e.g. mortality, turnover, early retirement) and financial assumptions (e.g. discount rate, future salary trends).

Cost components related to provisions for pensions and other post-employment benefits are service cost, net interest (interest expense, interest income), actuarial gain or loss, and return on plan assets. Within the presentation of the result for the period, the service cost (i.e. the increase in the present value of a defined benefit obligation arising from work performed in the reporting period) is reported under "Personnel expenses" and net interest under "Interest and similar expenses". Net interest is determined by multiplying the net liability by the discount rate of the defined benefit obligation. Actuarial gains or losses and income from plan assets are recognised in Shareholders' Equity under "Retained earnings including carryforwards and profit after taxes" (i.e. in other comprehensive income in the statement of comprehensive income and not in the presentation of the result for the period). Actuarial gains and losses are changes in the present value of the defined benefit obligation due to experience adjustments (effects of differences between previous actuarial assumptions and actual developments) and the effects of changes in actuarial assumptions. The return on plan assets is the difference between the actual return on plan assets and the return based on the discount rate of the defined benefit obligation.

A.3.22. Other provisions

The balance sheet items "Current other provisions" and "Non-current other provisions" include personnel-related provisions for anniversary, early retirement and severance obligations on the one hand, and obligations for bonuses, premiums and other gratuities on the other. In accordance with IAS 19, these are recognised either in accordance with the rules for current employee benefits, in accordance with the rules for other (i.e. not pension or severance) long-term employee benefits, or in accordance with the rules for long-term employee benefits arising from the termination of employment, depending on the characteristics of the obligation.

The balance sheet items "current other provisions" and "non-current other provisions" also include warranty obligations, any levies for copyright infringements and other provisions (such as for dismantling obligations or onerous contracts or imminent losses). Such provisions are recognised in accordance with IAS 37 if a present (legal or constructive) obligation has arisen from a past event, is likely to result in an outflow of resources, and can be reliably estimated. The valuation is based on the best possible estimate of the expenditure required to settle the obligation at the reporting date. Long-term provisions must be discounted at a risk-adjusted interest rate.

A.3.23. Income tax liabilities, income tax receivables

The balance sheet item "Income tax liabilities" includes payment obligations from corporation and trade tax assessments. Accounting is carried out in accordance with IAS 12. The carrying amount generally corresponds to the amount payable to the tax authorities.

Actual income taxes are calculated based on the respective national tax results and regulations for the year. In addition, the actual taxes reported in the financial year also include adjustment amounts for any tax payments or refunds for years that have not yet been finally assessed, but excluding interest payments or interest refunds and penalties on additional tax payments.

Claims arising from tax overpayments are reported under the balance sheet item "Other current assets". These are refund amounts that are virtually certain as at the reporting date.

If it is unlikely that the amounts reported in the tax returns can be realised (uncertain tax positions), tax liabilities are recognised. The amount is determined based on the best possible estimate of the expected tax payment (expected value or most probable value of the tax uncertainty). Tax assets from uncertain tax positions are recognised if it is probable that they can be realised. Only if there is a tax loss carryforward or an unused tax credit is no tax liability or tax asset recognised for these uncertain tax positions; instead, the deferred tax asset for the unused tax loss carryforwards and tax credits is adjusted.

A.3.24. Other financial liabilities

The balance sheet items "other current non-financial liabilities" and "other non-current financial liabilities" include, in particular, lease liabilities arising from CANCOM acting as a lessee in leases (see section A.3.28 of the consolidated financial statements). This also includes financial liabilities arising in connection with sale and leaseback transactions where the sale of the underlying asset does not meet the criteria for a sale in accordance with IFRS 15 and therefore payments received from the sale must be recognised as financial liabilities in accordance with IFRS 9. These "financial liabilities to leasing companies" are subsequently measured under the measurement category "financial liabilities measured at amortised cost" and thus using the effective interest method. In addition, purchase price liabilities incurred in the course of company acquisitions (see section A.3.31 of the consolidated financial statements) are allocated to the balance sheet items. The latter purchase price liabilities are contingent considerations (see section A.3.31 of the consolidated financial statements for accounting information).

Furthermore, derivative financial instruments not included in hedge accounting relationships (see section A.3.27 of the consolidated financial statements) are reported under the balance sheet items "Other current financial liabilities" or "Other non-current financial liabilities" if they have a negative fair value on the reporting date. Such items must be allocated to the measurement category 'financial liabilities at fair value through profit or loss'. As a result, they must be measured at fair value at each reporting date; changes in value must be recognised in the Result for the period.

A.3.25. Other debts

The balance sheet items "other current non-financial liabilities" and "other non-current liabilities" include liabilities and accruals that do not meet the definition of financial instruments. These include, in particular, liabilities to public authorities, cooperatives and social security institutions, as well as liabilities to employees. Unless a specific IFRS/IAS applies, the provisions of the framework for accounting are applied.

A.3.26. Financial instruments

Financial instruments are defined in IAS 32; the relevant accounting and disclosure requirements can be found in IFRS 9 and IFRS 7. The term "financial instrument" covers financial assets and financial liabilities. Financial assets comprise cash, contractually guaranteed rights to receive cash or other financial assets, such as Trade receivables, derivative financial instruments with a positive fair value, and equity instruments held in other companies. Financial liabilities comprise contractual obligations to deliver cash or other financial assets. These include, for example, loans taken out, short-term loans, trade liabilities and derivative financial instruments with a negative fair value.

The balance sheet items "Cash and cash equivalents", "Trade receivables", "Other current financial assets", "Financial investments and loans" and "Other non-current financial assets" exclusively comprise financial assets. The balance sheet items "Current liabilities to banks", "Trade liabilities", "Other current financial liabilities", "Non-current liabilities to banks" and "Other non-current financial liabilities" consist exclusively of financial liabilities.

Upon initial recognition, financial instruments must be assigned to measurement categories listed in IFRS 9. The measurement category determines the subsequent measurement of the items. There are three measurement categories for financial assets ("financial assets at fair value through profit or loss", "financial assets at fair value through other comprehensive income", and "financial assets measured at amortised cost"). Financial assets are allocated on the basis of criteria, taking into account the objective associated with the item (the business model) and the characteristics of the cash flows. Financial liabilities can be assigned to two measurement categories ("financial liabilities at fair value through profit or loss", "financial liabilities measured at amortised cost").

Financial assets and financial liabilities must be recognised as soon as an entity becomes a party to the arrangements of the financial instrument. Market purchases or sales are recognised uniformly within the CANCOM Group on the settlement date (the date on which the asset is delivered to or by the entity). Initial measurement is at fair value or, for trade receivables, at the transaction price in accordance with IFRS 15. The requirements of IFRS 13 apply to the determination of fair value. Transaction costs are included in the initial carrying amount for items not measured at fair value through profit or loss.

The CANCOM Group did not make use of the option to voluntarily designate financial assets or financial liabilities as "financial assets/liabilities at fair value through profit or loss" (fair value option) upon initial recognition in the reporting period or in the comparative period.

After initial recognition, financial instruments in the measurement categories "financial assets/liabilities at fair value through profit or loss" and "financial assets at fair value through other comprehensive income" must be measured at fair value. The measurement categories "financial assets/liabilities at fair value through profit or loss" also include derivative financial instruments that are not included in an effective hedge accounting relationship in accordance with IFRS 9 (see also section A.3.27 of the consolidated financial statements). Changes in the value of the latter measurement categories are recognised in profit or loss (i.e. via the presentation of the Result for the period). The subsequent measurement of items falling under the measurement category "financial assets at fair value through other comprehensive income" is also carried out at fair value. However, changes in value are recognised in Shareholders' Equity under "other reserves" (i.e. in other comprehensive income in the statement of comprehensive income and not in the presentation of the Result for the period), taking into account tax aspects. Changes in value recognised in this way are never transferred to the Result for the period in the case of equity instruments.

Derivative financial instruments included in an effective hedge relationship (see also section A.3.27 of the consolidated financial statements) are not assigned to any measurement category. They are also recognised at fair value, but depending on the type of hedging relationship, the changes in value may also be recognised in Shareholders' Equity under "other reserves" (i.e. in other comprehensive income in the statement of comprehensive income).

Financial assets in the measurement category "financial assets measured at amortised cost" and financial liabilities in the measurement category "financial liabilities measured at amortised cost" are measured at amortised cost after initial recognition using the effective interest method.

Debt instruments classified in the measurement category "financial assets measured at amortised cost" and the measurement category "financial assets measured at fair value through other comprehensive income" are subject to the impairment requirements of IFRS 9. The expected credit loss for each item must be recognised on each reporting date. The change in the expected credit loss

represents an impairment loss or gain to be recognised in profit or loss. To determine the impairment, the financial instruments concerned are divided into three stages:

  • Stage 1: no evidence of impairment, no increase in default risk; determination of risk provision based on the probability-weighted default over the next 12 months (12M_ECL);
  • Level 2: no evidence of impairment, but increased risk of default; determination of risk provision based on probability-weighted default over the entire term (L_ECL);
  • Stage 3: objective evidence of impairment; determination of risk provision based on probability-weighted default over the entire term (L_ECL).

A.3.27. Derivative financial instruments

Derivative financial instruments are generally used by the CANCOM Group exclusively to hedge risks arising from exchange rate fluctuations in the form of forward exchange transactions and similar currency derivatives. In addition, in connection with company acquisitions (see section A.3.31 of the consolidated financial statements), assets and liabilities may arise that meet the definition of derivative financial instruments and must therefore be accounted for accordingly. These are contingent considerations.

Derivative financial instruments are accounted for in accordance with IFRS 9. Derivative financial instruments are either accounted for separately or included in an effective hedge accounting relationship. Hedge accounting means entering into underlying and hedging transactions that are documented as having an economic relationship in such a way that the compensatory effects on earnings resulting from changes in market prices occur in the same period. If a hedging relationship is designated, the gains and losses from the underlying and hedging transactions are recognised in accordance with the specific hedge accounting rules. In principle, hedge accounting is optional for each transaction. However, the application of hedge accounting rules is subject to certain conditions. For example, the hedging relationship must be documented. Furthermore, the hedging relationship must meet

certain effectiveness criteria (economic relationship between the underlying transaction and the hedging instrument, no dominant influence of default risk, hedging ratio corresponds to the hedging ratio used for risk management purposes).

Hedge accounting was not practised in the CANCOM Group in the reporting period or the comparative period.

Fair value is used as the measurement basis for the initial and subsequent measurement of derivative financial instruments. The fair value of certain derivatives can be either positive or negative; depending on this, they are either assets or financial liabilities. Fair value is determined in accordance with the requirements of IFRS 13. If no quoted market prices from active markets are available, fair values are calculated using present value or option pricing models, the key input factors of which (e.g. market prices, interest rates) are derived from quoted prices or other directly or indirectly observable input factors.

Stand-alone derivative financial instruments, i.e. those not included in an effective hedge accounting relationship in accordance with IFRS 9, are always assigned to the measurement category "financial assets/liabilities at fair value through profit or loss". Changes in the value of derivative financial instruments that CANCOM enters into to hedge operational currency risks are recognised in the presentation of the result for the period under "other operating income" or "other operating expenses".

Derivative financial instruments included in an effective hedge relationship are not assigned to any measurement category. They are also recognised at fair value, whereby recognition is either through profit or loss (i.e. in the presentation of the period result) or through equity in the item "other operating income" or "other operating expenses", depending on the type of hedge (fair value hedge, cash flow hedge) or the characteristics of the hedge, either recognised in profit or loss (i.e. in the presentation of the Result for the period) or recognised in Shareholders' Equity under "Other reserves" (i.e. in other comprehensive income in the statement of comprehensive income).

A.3.28. Leases

Leases must be accounted for in accordance with IFRS 16. A lease is defined in IFRS 16 as a contract for the use of an identifiable asset over which the company has control, whereby the latter is specified by the right to derive substantial economic benefits and the right to determine the use. IFRS 16 differentiates between the lessee's perspective and the lessor's perspective in its accounting requirements.

On the commitment date, the lessee must generally recognise an asset for the right of use granted and a lease liability. The lease liability is initially recognised at the present value of the lease payments not yet made. The right of use must be capitalised at the acquisition cost, which is essentially based on the initial carrying amount of the lease liability. Subsequently, the lease payments must be broken down into a repayment portion and an interest portion (with a constant interest rate on the remaining liability) and recognised accordingly as a reduction in the lease liability or as financing costs (interest expense). In addition, the lease liability (and thus also the right of use) must be revalued (at present value) if there are changes in the term, purchase options, residual value guarantees and variable lease payments. The right-of-use asset must be amortised over the term/useful life of the underlying asset. Furthermore, right-of-use assets are subject to the impairment provisions of IAS 36 (see section A.3.12 of the consolidated financial statements). Short-term leases and leases where the underlying asset is of low value may be exempted from the basic accounting requirement for lease liabilities and right-of-use assets. Simplified recognition rules then apply. CANCOM does not make use of these optional simplification rules.

The lessor must classify the lease at the outset as either a finance lease or an operating lease. The former is a lease in which substantially all the risks and rewards incidental to ownership of an underlying asset are transferred – which is not the case with an operating lease. If classified as a finance lease, the lessor derecognises the leased asset and recognises a receivable in the amount of the net investment value. As a result, the lease payments must be broken down into a repayment portion and an interest portion (with a constant interest rate on the remaining receivable) and recognised accordingly as a reduction in the receivable or as financial income (interest income). The lessor must apply the derecognition and impairment requirements of IFRS 9 to the net investment/receivable. If classified as an operating lease,

the lease payments are recognised as income in the Result for the period on a straight-line basis over the term of the lease (or on another systematic basis). The leased asset remains on the lessor's balance sheet and is depreciated by the lessor on a scheduled basis.

The provisions in IFRS 16 on sale and leaseback transactions primarily apply at CANCOM when merchandise is sold to a leasing company and immediately leased back from that leasing company in order to then lease the merchandise to CANCOM customers. A distinction is made between two cases here:

  • The sale to the leasing company is classified as a sale in accordance with IFRS 15 (i.e. the leasing company obtains control of the merchandise). CANCOM derecognises the merchandise in full, but recognises a proportionate right of use in addition to the lease liability as part of the leaseback (i.e. CANCOM is the lessee). Proportionate revenue and proportionate cost of materials/expenses for purchased services are recognised from the sale to the leasing company. When leasing to CANCOM customers, the provisions of IFRS 16 on subleases apply; CANCOM is the sublessor. The sublease is predominantly classified as a finance lease. The recognition of the lease receivable and the derecognition of the leased asset (i.e. the right of use) results in a gain, which is recognised in the presentation of the Result for the period under "other operating income" as "income from subleases".
  • The sale to the leasing company is not classified as a sale in accordance with IFRS 15 (i.e. the leasing company does not obtain control over the merchandise). CANCOM does not initially derecognise the merchandise. Instead, the payment received from the leasing company is recognised as a financial liability in accordance with IFRS 9. The leases with customers (i.e. CANCOM is the lessor) are predominantly classified as finance leases, which is accompanied by the derecognition of the merchandise. As a lessor, CANCOM applies the provisions for manufacturers and distributors in IFRS 16 and therefore recognises revenue at the beginning of the respective lease in the amount of the present value of the lease payments to be received and the corresponding cost of materials/expenses for purchased services.

A.3.29. Government grants

Government grants that constitute grants for assets in accordance with IAS 20 (i.e. grants for Investments) are only recognised if there is reasonable assurance that a company within the CANCOM Group will meet the associated conditions and the grants will be awarded. The grants are not deducted from the corresponding asset, but are recognised as deferred income in the balance sheet item "Other current non-financial liabilities" or in the balance sheet item "Other non-current non-financial liabilities". The deferred item is subsequently reversed through profit or loss over the useful life or depreciation period of the corresponding property, plant and equipment asset (i.e. via the presentation of the Result for the period in the item "Other operating income"). Performance-related payments are also recognised in the item "Other operating income" in the presentation of the result for the period in which the corresponding entitlement arises.

A.3.30. Transactions and items in foreign currency

According to IAS 21, a foreign currency transaction is a business transaction whose value is stated in a foreign currency or which requires settlement in a foreign currency. A foreign currency is any currency other than the functional currency of the group company. Foreign currency transactions are business transactions for the purchase or sale of goods or services in foreign currency, borrowings or loans in foreign currency, or acquisitions or disposals of assets and liabilities in foreign currency in other ways. Foreign currency items are balance sheet items that were received or recorded in foreign currency (and whose entries were therefore preceded by foreign currency transactions).

Foreign currency transactions and foreign currency items are initially translated into the functional currency at the spot rate valid on the respective transaction date.

The subsequent measurement of a foreign currency item depends on whether it is a monetary or non-monetary item. Monetary items in a foreign currency must be translated into the functional currency at each reporting date using the closing rate (i.e. the spot rate on the reporting date). Translation differences must generally be recognised in profit or loss, i.e. within the presentation of the Result for the period. Translation differences from operating assets and liabilities (e.g. from trade receivables or trade liabilities) are

recognised under "other operating income" or "other operating expenses". Translation differences arising from non-operating assets and liabilities (e.g. from financial loans issued or received) are recognised under "currency gains/losses". Non-monetary items are translated into the functional currency at the exchange rate prevailing on the date of initial recognition, provided they are measured at cost. Non-monetary items measured at fair value must be translated at the exchange rate prevailing on the date of measurement (i.e. usually at the closing rate). Translation differences from non-monetary items are to be treated like all other gains or losses, i.e. they are either recognised in profit or loss or recognised in Shareholders' Equity under "other reserves" (i.e. in the statement of comprehensive income).

A.3.31. Company acquisitions

Business combinations are accounted for in accordance with IFRS 3 using the acquisition method. At the acquisition date, the acquirer must recognise the identifiable assets acquired, the liabilities assumed and any non-controlling interests in the acquired company in accordance with the requirements of IFRS 3 and, as a rule, measure them at fair value. This results in a revaluation of the Shareholders' Equity (assets less liabilities) of the acquired company. The purchase price of a company acquisition is measured as the sum of the consideration transferred (including contingent consideration), measured at fair value at the acquisition date, and the non-controlling interests in the acquired company. A positive difference between the purchase price and the revalued Shareholders' Equity represents goodwill, which is recognised as an asset in the balance sheet; a negative difference, however, must be recognised immediately as income in the presentation of the Result for the period after re-examination (see below).

Costs incurred in connection with the business combination are recognised as an expense in the result for the period under the item "other operating expenses".

When the Group acquires a company, it assesses the appropriate classification and designation of the financial assets and liabilities assumed in accordance with the terms of the contract, economic circumstances and conditions prevailing at the acquisition date.

Any agreed contingent consideration is recognised at fair value at the acquisition date. Subsequent changes in the fair value of contingent consideration that represents an asset or liability are generally recognised in the Result for the period in accordance with IFRS 9. Contingent consideration that is classified as Shareholders' Equity is not remeasured and its subsequent settlement is recognised in Shareholders' Equity.

Goodwill is initially measured at cost, which is measured as the excess of the total consideration transferred and the amount of the non-controlling interest over the acquired identifiable assets and liabilities of the company. If this consideration is less than the fair value of the net assets of the acquired company, the difference is recognised in the presentation of the Result for the period.

After initial recognition, goodwill is not amortised but is tested for impairment at least once a year in accordance with IAS 36 (see sections A.3.11 and A.3.12 of the consolidated financial statements). For the purpose of impairment testing, goodwill must be allocated to cash-generating units in accordance with the requirements of IAS 36.

A.3.32. Share-based payments

The accounting treatment of share-based payments and share-based compensation programmes is based on IFRS 2. The standard distinguishes between share-based payments settled with equity instruments and share-based payments with cash settlement.

In the case of share-based payments settled with equity instruments, the fair value of the services received – which in transactions with employees is determined indirectly by reference to the fair value of the equity instruments granted – is recognised as an expense in the Result for the period (within the CANCOM Group under the item "Personnel expenses") over the period in which the employees acquire an unrestricted right to the bonuses (vesting period). A non-linear distribution is assumed here. This non-linear distribution is known as "graded vesting". It is assumed that the employee has earned 50 percent of the entitlement after two years, a further 25 percent after three years and the remaining 25 percent after four years. As a balancing entry, Shareholders' Equity is increased accordingly. The amount recognised as an expense is adjusted to reflect the number of awards for which the relevant service conditions and non-market-related performance conditions are expected to be met, so that the amount ultimately

recognised as an expense is based on the number of awards that meet the relevant service conditions and non-market-related performance conditions at the end of the vesting period.

In the case of share-based payment agreements settled in cash, a liability is recognised. Within the CANCOM Group, this is reported under the balance sheet item "Current other provisions" or "Non-current other provisions". The liability is measured at each reporting date at the fair value of the appreciation rights. Changes in fair value are recognised in profit or loss in the presentation of the Result for the period (within the CANCOM Group under "Personnel expenses").

A.3.33. Earnings per share

Earnings per share are calculated in accordance with IAS 33. The standard distinguishes between undiluted earnings per share and diluted earnings per share.

Undiluted basic earnings per share are calculated by dividing the consolidated result for the period, less the Non-controlling interests, by the weighted average number of ordinary shares outstanding during the period.

Diluted earnings per share take into account not only the currently outstanding ordinary shares but also potential ordinary shares.

The calculation of undiluted and diluted earnings per share can be found in the statement of comprehensive income under the presentation of the Result for the period.

A.3.34. Repurchased treasury shares

Acquired treasury shares are deducted from Shareholders' Equity. Within the CANCOM Group, the amounts paid for the acquisition are recognised in full (i.e. including the nominal values of the repurchased treasury shares) against retained earnings. Transaction costs arising from the acquisition of treasury shares are also recognised as a reduction in retained earnings.

In the event of the cancellation of previously acquired treasury shares (capital reduction), the issued capital is reduced by the nominal value attributable to the cancelled shares and the capital reserve is increased accordingly.

In the event of a resale of previously acquired treasury shares, the amount of the consideration received is recognised as an increase in retained earnings.

A.4. Discretionary decisions and estimation uncertainties

Discretionary decisions must be made when applying recognition and measurement methods. The most important forwardlooking assumptions and other significant sources of estimation uncertainty existing at the reporting date, which involve the risk that the carrying amounts of assets and liabilities will need to be adjusted within the next reporting period, are explained below:

  • In the context of company acquisitions, the acquired assets and assumed liabilities must be identified at the acquisition date and generally measured at fair value (see section A.3.31 of the consolidated financial statements). In particular, the identification and measurement of intangible assets (such as acquired customer bases, order backlogs, rental advantages) is subject to judgement.
  • In accordance with IFRS 15, if another party is involved in the delivery of goods or the provision of services to a customer, a company must evaluate whether its performance obligation is to deliver the goods or provide the services as a principal or to act as an agent in the context of revenue recognition (see section A.3.2 of the consolidated financial statements) whether its performance obligation is to deliver the goods or provide the services as a principal or to engage another party to deliver the goods or provide the services as an agent. The weighting of individual arguments for or against a principal/agent position – and thus a point-in-time or period-based revenue recognition – to be carried out as part of an overall assessment is complex and, in some cases, subject to discretion. This applies in particular to sales of third-party software licences (see section A.3.2.5 of the consolidated financial statements).
  • When performing impairment tests on goodwill, assumptions are made that form the basis for determining the recoverable amount (see section B.8.3 of the consolidated financial statements); executive planning calculations are also used for this purpose.

  • In the case of trade liabilities (see section B.11 of the consolidated financial statements) in connection with additional agreements that CANCOM enters into with suppliers, it must be examined whether the additional agreement constitutes a significant contract modification in relation to the original supply contract in accordance with IFRS 9 or whether the trade liabilities should be derecognised. The derecognition criteria are discretionary.

  • When determining the term of leases (see section D.3 of the consolidated financial statements), it is necessary to assess, in connection with extension and termination options, whether the respective exercise of the option is sufficiently certain.

  • The valuation of share options and performance shares granted to employees as share-based payments (see section D.4 of the consolidated financial statements) takes into account, in particular, estimated market-dependent performance conditions (such as expected volatilities and risk-free interest rates) as well as company-specific parameters (such as fluctuations and mortality rates).
  • Value adjustments are made on receivables to account for expected credit losses arising from the insolvency or unwillingness of customers to pay. This applies in particular to the carrying amounts of trade receivables (see section D.6.5 of the consolidated financial statements).
  • The determination of the useful lives of property, plant and equipment and intangible assets (see sections A.3.9 and A.3.10 of the consolidated financial statements) is based on management assessments and planning calculations. This also applies to the determination of impairments of such items and of financial assets.

In the case of these recognition and measurement uncertainties, the best possible information available as of the reporting date is used. The actual amounts may differ from the estimates. The carrying amounts recognised in the financial statements and subject to these uncertainties can be found in the balance sheet and the related notes in the Annex.

At the time of preparation of the consolidated financial statements, no significant changes in the assumptions underlying the recognition and measurement are to be expected. From the current perspective, no significant adjustments to the assumptions and estimates are expected that would have a material impact on the Result for the period or on the carrying amounts of the affected assets and liabilities in the next financial year (reporting period 2026).

A.5. Accounting standards applied for the first time

The CANCOM Group has applied the following amendment to IASB pronouncements for the first time in the reporting period:

• Amendment to IAS 21 "The Effects of Changes in Foreign Exchange Rates" (title of the amendment: "Lack of convertibility").

The amendment concerns the determination of the exchange rate in the event of long-term non-convertibility. IAS 21 is supplemented by guidelines for assessing whether one currency can be converted into another currency. Furthermore, the standard now contains explanations on how to determine the exchange rate if such a conversion is not possible, and additional corresponding disclosure requirements.

The above rule change has no material impact on the CANCOM Group's net assets, financial position, result of operations or cash flows.

A.6. Accounting standards not applied

No IFRS were voluntarily applied early for the consolidated financial statements of CANCOM SE as at 31 December 2025. The pronouncements will be taken into account for the first time when they become mandatory. The application of IFRS requires that the European Union (EU) grant the approvals that are still pending in some cases.

With the exception of IFRS 18, whose application will result in significant changes in presentation, particularly with regard to the income statement, the regulatory changes listed below are not expected to have a material impact on the presentation of the CANCOM Group's net assets, financial position, result of operations or cash flows.

A.6.1. Mandatory first-time application in the 2026 reporting period

The following announcement will be applied for the first time in the CANCOM consolidated financial statements as at 31 December 2026:

• Amendment to IFRS 9 "Financial Instruments" and amendment to IFRS 7 "Financial Instruments: Disclosures" (designation of the amendment: "Changes to the classification and measurement of financial instruments");

  • "Improvements to International Financial Reporting Standards" ("Volume 11"; publication 2024);
  • Amendment to IFRS 9 "Financial Instruments" and amendment to IFRS 7 "Financial Instruments: Disclosures" (title of the amendment: "Contracts relating to electricity subject to natural conditions").

The amendment to IFRS 9 and IFRS 7 clarifies the classification of financial assets linked to environmental, social and governance (ESG) and similar characteristics. In addition, the amendment addresses the settlement of liabilities through electronic payment systems. The accounting changes also introduced additional disclosure requirements with regard to investments in equity instruments measured at fair value through other comprehensive income and financial instruments with contingent features (e.g. ESG targets).

The IASB is making amendments to various IFRSs via omnibus standards entitled "Improvements to International Financial Reporting Standards". A total of five standards were amended in Volume 11.

The amendment to IFRS 9 and IFRS 7 relates to contracts for electricity derived from natural resources. These contracts help companies access electricity from sources such as wind or solar power. The amended IFRS 9 contains clarifications on the application of the "own use exemption" to these contracts. In addition, the amended IFRS 9 contains adjustments to the rules for accounting for hedging transactions, with the possibility of using contracts for electricity from renewable energy sources as hedging instruments if certain conditions are met. The amended IFRS 7 contains additional disclosure requirements for these contracts.

A.6.2. Mandatory firsrt-time application in the 2027 reporting period or later

The following pronouncements will be applied for the first time in the CANCOM consolidated financial statements as at 31 December 2027 or later:

  • IFRS 18 "Presentation of Financial Statements";
  • IFRS 19 "Subsidiaries without Public Accountability: Disclosures" (not yet adopted by the EU) and amendment to IFRS 19 (published in 2025; not yet adopted by the EU);

• Amendment to IAS 21 "The Effects of Changes in Foreign Exchange Rates" (title of the amendment: "Translation to a Hyperinflationary Presentation Currency"; not yet adopted by the EU).

IFRS 18 replaces IAS 1 "Presentation of Financial Statements" and leads to adjustments to IAS 7 "Cash Flow Statements". According to the standard, the income statement must be structured according to the areas "operating", "Investments" and "financing". Disclosure options are therefore no longer applicable. Mandatory interim figures must be presented after the first two sections. In the cash flow statement, the disclosure options for dividends and interest received and paid are no longer applicable, and the operating result is specified as the starting point for applying the indirect method. In addition, IFRS 18 contains guidelines on whether and how notes to the financial statements should be provided for performance indicators defined by Executive management. In the year of initial application of IFRS 18, the previous year's comparative figures must be adjusted. For the adjustment of the income statement, a reconciliation must be presented in the Annex.

IFRS 19 allows certain subsidiaries to apply IFRS accounting standards with reduced disclosures in the notes. The standard can be applied by a subsidiary if the subsidiary itself is not subject to public accountability and its parent company prepares IFRS consolidated financial statements. The amendment to IFRS 19 also contains reduced disclosure requirements for standards and amendments issued between February 2021 and May 2024.

The amendments to IAS 21 address how companies should translate financial statements from a non-hyperinflationary currency into a hyperinflationary currency.

A.6.3. Announcements without a mandatory first-time application date

The amendments to IFRS 10 "Consolidated Financial Statements" and IAS 28 "Investments in Associates and Joint Ventures" (title of the amendments: "Sale or Contribution of Assets between an Investor and its Associate or Joint Venture" and "Effective Date of Amendments to IFRS 10 and IAS 28"; EU adoption not yet completed) do not yet have a mandatory date of initial application. They address an inconsistency between the provisions of IFRS 10 and IAS 28 in the case of the sale of assets to an associate or joint venture or the contribution of assets to an associate or joint venture.

A.7. Changes to the reporting structure and corrections of errors, changes to recognition and measurement methods, presentation changes due to discontinued operations

There were no changes to the reporting structure, error corrections or changes to recognition and measurement policies in the reporting period or the comparative period. Furthermore, there were no changes in presentation due to a discontinued operation in the reporting period or the comparative period.

B. Notes to the consolidated balance sheet

B.1. Cash and cash equivalents

Cash and cash equivalents comprise exclusively bank balances and cash on hand that are due at any time.

B.2. Non-current assets held for sale and disposal groups as well as related liabilities

No non-current assets held for sale, disposal groups or related liabilities were recognised in the reporting period or the comparative period.

B.3. Trade receivables

Trade receivables are composed as follows:

(in T€) 31.12.2025 31.12.2024
Gross book value
(before value adjustments) 432,852 426,594
Value adjustments -1,537 -2,840
Trade receivables,
balance sheet disclosure		 431,315 423,754

Trade receivables reported in the balance sheet relate exclusively to contracts with customers in accordance with IFRS 15.

The gross carrying amount for trade receivables developed as follows in the reporting period:

(in T€) Level 2 Level 3 Total
Gross carrying amount as of
January 1		 422,104 4,490 426,594
Changes in the scope of
consolidation		 -470 0 -470
Transfer to Level 3 -1,428 1,428 0
Transfer to Level 2 131 -131 0
Additions to new receivables 383,569 910 384,479
Derecognition due to
settlement of the receivable		 -373,175 -2,279 -375,454
Derecognition due to write-off
of the receivable		 -387 -1,910 -2,297
Gross carrying amount as at
December 31		 430,344 2,508 432,852

Value adjustments for trade receivables developed as follows in the reporting period:

(in T€) Level 2 Stage 3 Total
Allowance account as of
January 1		 560 2,280 2,840
Changes in the scope of
consolidation
Transfer to Level 3 -8 8 0
Transfer to Level 2 103 -103 0
Revaluation of valuation
allowances (additions,
reversals)		 171 -102 69
Derecognition due to write-off
of the receivable		 -2 -1,370 -1,372
Allowance account as of
December 31		 824 713 1,537

The amount of € 1,250 thousand (reporting period: € 1,795 thousand) comprises the amounts shown in the previous table for the revaluation of impairment losses of € 69 thousand (comparative period: € 984 thousand) and for derecognition due to the write-off of receivables of € 1,372 thousand (comparative period: € 38 thousand); it also includes losses from the derecognition/write-off of receivables of € 2,549 thousand (comparative period: € 886 thousand), gains from payments received on receivables already derecognised/written off of € 17 thousand (comparative period: € 21 thousand), impairment losses and reversals of impairment losses on contract assets of € -9 thousand

(comparative period: € 11 thousand) and impairment losses and reversals of impairment losses on receivables from finance leases of € -12 thousand (comparative period: € 5 thousand).

For trade receivables, impairments and reversals of impairments for expected credit losses are determined using a valuation matrix. Please refer to the information on default risks in section D.6.5 of the consolidated financial statements.

B.4. Contract assets, contract liabilities and capitalised contract costs

The following table provides information on contract assets from contracts with customers:

31.12.2025 31.12.2024
20,820 18,427
20,820 18,427

Contract assets mainly relate to orders in progress in connection with IT projects. These are primarily claims for consideration for services completed but not yet invoiced as of the reporting date. A reclassification to trade receivables occurs when the claim for payment is unconditional. This is particularly the case when the customer accepts delivery; this regularly triggers invoicing to the customer.

The following table provides information on contract liabilities arising from contracts with customers:

(in T€) 31.12.2025 31.12.2024
Current contract liabilities 80,086 72,793
Non-current contract liabilities 13,004 15,352
Contract liabilities,
balance sheet disclosure		 93,090 88,145

Contract liabilities mainly relate to advance payments received from customers and prepaid fixed-term contracts in connection with IT projects and support services. Of the amount of € 88,145 thousand reported at the beginning of the reporting period, € 72,201 thousand was recognised as Revenue in the reporting period. The amount of € 73,884 thousand reported at the beginning of the comparative period was mainly recognised as Revenue in the comparative period.

No contract costs were capitalised as contract initiation costs or contract fulfilment costs in either the reporting period or the comparative period. At the end of the reporting period and the comparative period, the balance sheet did not contain any contract costs.

In the comparative period, scheduled depreciation was recognised on capitalised contract initiation costs in the amount of € 144 thousand and on contract fulfilment costs in the amount of € 90 thousand.

In the statement of comprehensive income (in the Result for the period), capitalised contract costs are reported as a separate item within total operating performance.

B.5. Inventories

Inventories mainly comprise goods, in particular hardware components and software. They are composed as follows:

(in T€) 31.12.2025 31.12.2024
Finished goods, merchandise and raw
materials, consumables and supplies		 53,707 66,997
Prepayments made 223 1,052
Inventories, balance sheet disclosure 53,930 68,049

The cost of finished goods, merchandise and raw materials and consumables amounted to € 888.745 thousand in the reporting period (comparative period: € 915.406 thousand).

Inventories were impaired by € 999 thousand in the reporting period in relation to finished goods and merchandise (comparative period: € 768 thousand) due to excess coverage, obsolescence, reduced marketability or subsequent costs. In addition, reversals of impairments on inventories amounting to € 111 thousand (comparative period: € 720 thousand) were made in the reporting period due to better-than-expected sales of obsolete inventories.

No inventories were pledged as collateral in the reporting period or the comparative period.

B.6. Other financial assets

Other current financial assets are as follows:

(in T€) 31.12.2025 31.12.2024
Receivables from finance leases 30,980 30,699
Receivables from financial institutions 17,695 0
Bonus receivables from suppliers 10,316 14,787
Receivables from companies with
which there is a equity interest		 2,663 3,644
Accounts payable 1,499 3,084
Receivables from employees 223 115
Cover capital in the form of
reimbursement claims		 35 1,026
Derivative financial assets 0 1,128
Other current financial assets,
balance sheet disclosure		 63,411 54,483

Other non-current financial assets comprise the following:

(in T€) 31.12.2025 31.12.2024
Receivables from finance leases 40,173 43,288
Receivables from companies in which
the Group has an equity interest		 3,856 3,277
Receivables from deposits 1,920 646
Assets from employee benefits 993 318
Derivative financial assets 0 292
Other non-current financial assets,
balance sheet disclosure		 46,942 47,821

B.7. Other assets

Other current assets are broken down as follows:

(in T€) 31.12.2025 31.12.2024
Deferred expenses 49,056 42,211
Receivables from tax overpayments 18,949 19,227
Receivables from insurance benefits 669 772
Receivables from social security institutions 43 41
Other receivables 882 112
Other current assets,
balance sheet disclosure		 69,599 62,363

Other non-current assets comprise the following:

(in T€) 31.12.2025 31.12.2024
Deferred expenses 31,969 34,644
Other non-current financial assets,
balance sheet disclosure		 31,969 34,644

Deferred expenses mainly comprise advance payments made under ongoing maintenance contracts.

B.8. Fixed assets

The development of fixed assets in the reporting and comparative periods, consisting of the balance sheet items

  • property, plant and equipment,
  • intangible assets (excluding goodwill),
  • Goodwill,
  • rights of use,
  • financial assets and loans,
  • shares in companies accounted for using the equity method,

are presented in the corresponding consolidated fixed asset schedules.

Development of Group fixed assets

(consolidated fixed asset schedule) for the reporting period

(in T€) Balance as at
1.1.2025		 Currency
differences
2025		 Additions
2025		 Disposals
from decon
solidation
2025		 Disposals
2025		 Transfers
2025		 Balance as at
31.12.2025
Property, plant and equipment
Motor vehicles 10,616 -1 370 51 4,519 0 6,415
Land and buildings 21,637 2 661 0 4,643 36 17,693
IT data centres 34,330 -2 4,760 0 918 29 38,199
Other operating and office equipment 53,541 26 6,583 4 14,003 -81 46,062
Technical equipment and machinery 3,615 0 31 0 0 16 3,662
Total property, plant and equipment 123,739 25 12,405 55 24,083 0 112,031
Intangible assets (excluding goodwill)
Purchased and self-developed software 116,507 -2 2,432 0 9,215 0 109,722
Customer bases, order backlogs,
other items from company acquisitions 49,709 18 0 365 677 0 48,685
Total intangible assets
(excluding goodwill) 166,216 16 2,432 365 9,892 0 158,407
Goodwill 289,010 0 0 0 0 0 289,010
Rights of use
Rights of use for land and buildings 136,712 12 17,570 0 18,787 0 135,507
Rights of use for operating and
office equipment 6,955 28 1,304 1 2,611 0 5,675
Rights of use for motor vehicles 44,433 0 14,773 36 5,916 0 53,254
Total rights of use 188,100 40 33,647 37 27,314 0 194,436
Financial assets and loans 33 0 0 0 0 0 33
Investments in companies accounted
for using the equity method 14,479 0 1,319 0 1,624 0 14,174
Total 781,577 81 49,803 457 62,913 0 768,091
Balance as at
Currency
Additions
Disposals
Disposals
Transfers
Balance as at
Balance as at
Balance as at
1.1.2025
differences
2025
from decon
2025
2025
31.12.2025
31.12.2025
31.12.2024
2025
solidation
2025
9,775
-1
246
2
4,177
0
5,841
574
3,260
2
1,992
0
646
19
4,627
13,066
21,297
-2
6,204
0
915
28
26,612
11,587
29,202
14
7,162
4
13,927
-52
22,395
23,667
1,160
0
239
0
0
5
1,404
2,258
64,694
13
15,843
6
19,665
0
60,879
51,152
72,572
-3
12,576
0
9,213
0
75,932
33,790
18,970
12
8,802
126
356
0
27,302
21,383
91,542
9
21,378
126
9,569
0
103,234
55,173
18,967
0
0
0
0
0
18,967
270,043
270,043
49,401
4
14,068
0
7,884
0
55,589
79,918
4,141
15
1,736
1
2,611
0
3,280
2,395
14,718
1
10,501
19
5,903
0
19,298
33,956
68,260
20
26,305
20
16,398
0
78,167
116,269
0
0
0
0
0
0
0
33
0
0
0
0
0
0
0
14,174
42
63,526
152
45,632
0
261,247
506,844
243,463

Development of Group fixed assets

(consolidated fixed asset schedule) for the reporting period

(in T€) Balance as at
1.1.2024		 Currency
differences
2024		 Additions
from initial
consolidation
2024		 Additions
2024		 Disposals
2024		 Transfers
2024		 Balance as at
31.12.2024
Property, plant and equipment
Motor vehicles 14,992 0 3 637 5,016 0 10,616
Land and buildings 19,669 0 0 1,471 0 497 21,637
IT data centres 34,490 0 0 3,759 3,919 0 34,330
Other operating and office equipment 48,069 -26 19 8,577 2,601 -497 53,541
Technical equipment and machinery 3,519 0 0 96 0 0 3,615
Total property, plant and equipment 120,739 -26 22 14,540 11,536 0 123,739
Intangible assets (excluding goodwill)
Purchased and self-developed software 111,312 -2 0 7,738 2,541 0 116,507
Customer bases, order backlogs,
other items from company acquisitions		 69,273 -109 2,180 0 21,635 0 49,709
Total intangible assets
(excluding goodwill) 180,585 -111 2,180 7,738 24,176 0 166,216
Goodwill 283,477 0 5,533 0 0 0 289,010
Rights of use
Rights of use for land and buildings 134,068 -32 711 5,869 3,904 0 136,712
Rights of use for operating and
office equipment		 8,601 -42 6 866 2,476 0 6,955
Rights of use for motor vehicles 33,232 -9 111 15,709 4,610 0 44,433
Total rights of use 175,901 -83 828 22,444 10,990 0 188,100
Financial assets and loans 1,926 0 0 0 1,893 0 33
Shares in companies accounted
for using the equity method		 14,538 0 0 848 907 0 14,479
Total 777,166 -220 8,563 45,570 49,502 0 781,577
Balance as at
Balance as at
Balance as at
31.12.2024
31.12.2024		 Disposals
2024		 Additions
2024		 Currency
differences
2024		 Balance as at
1.1.2024
9,775
841		 4,722 621 0 13,876
3,260
18,377		 0 1,341 0 1,919
21,297
13,033		 3,912 5,529 0 19,680
29,202
24,339		 2,430 6,968 1 24,663
1,160
2,455		 0 239 0 921
64,694
59,045		 11,064 14,698 1 61,059
72,572
43,935		 2,465 13,254 1 61,782
18,970
30,739		 21,636 11,582 1 29,023
91,542
74,674		 24,101 24,836 2 90,805
18,967
270,043		 0 0 0 18,967
49,401
87,311		 3,902 14,247 0 39,056
4,141
2,814		 2,476 2,366 1 4,250
14,718
29,715		 4,610 8,897 0 10,431
68,260
119,840		 10,988 25,510 1 53,737
0
33		 0 0 0 0
0
14,479		 0 0 0 0
243,463
538,114		 46,153 65,044 4 224,568

ACQUISITION/PRODUCTION COSTS DEPRECIATION CARRYING AMOUNTS

Balance as at

31.12.2024 31.12.2023

B.8.1. Property, plant and equipment

The property, plant and equipment for the reporting and comparative periods are as follows:

(in T€) 31.12.2025 31.12.2024
Land and buildings 13,066 18,377
IT data centres 11,587 13,033
Technical equipment and machinery 2,258 2,455
Motor vehicles 574 841
Other operating and office equipment 23,667 24,339
Property, plant and equipment,
balance sheet disclosure		 51,152 59,045

B.8.2. Intangible assets (excluding goodwill)

Intangible assets (excluding goodwill) are broken down as follows:

(in T€) 31.12.2025 31.12.2024
Software acquired for consideration 29,661 37,342
Customer bases 16,964 23,134
Self-developed software 4,129 6,593
Order backlog 3,481 6,032
Other intangible assets resulting from
company acquisitions		 938 1,573
Intangible assets (excluding goodwill),
balance sheet disclosure		 55,173 74,674

The item "purchased software" includes, in particular, ERP systems and software for data centre components. These are amortised on a straight-line basis and have an average remaining useful life of three years.

The customer bases and order backlogs are based on company acquisitions made in the reporting period and in previous periods. The items are amortised on a straight-line basis over their respective expected useful lives. Customer bases have an average remaining useful life of eight years, order backlogs have an average remaining useful life of two years, and other intangible assets resulting from company acquisitions have an average remaining useful life of four years.

The item "Software developed in-house" mainly includes the AHP Private Cloud Platform in the amount of € 2,090 thousand (comparative period: € 3,634 thousand), which is amortised over its expected useful life. The average remaining useful life is two years.

The item "Other intangible assets resulting from company acquisitions" includes advantageous lease agreements and productspecific software.

B.8.3. Goodwill

Goodwill is broken down as follows:

(in T€) 31.12.2025 31.12.2024
CANCOM Germany 176,652 176,652
CANCOM International 93,391 93,391
Goodwill, balance sheet disclosure 270,043 270,043

SBSK GmbH & Co. KG was acquired in the comparative period. This resulted in goodwill of € 5.532 thousand, which was allocated in full to the CANCOM Germany cash-generating unit.

Goodwill is not amortised on a scheduled basis, but is tested for impairment at least once a year in accordance with IAS 36 by comparing the carrying amount with the recoverable amount of the respective group of cash-generating units (see also the notes in sections A.3.11 and A.3.12 of the consolidated financial statements).

The following table shows the key assumptions on which the calculations of the value in use of the two groups of cash-generating units are based (figures for the comparative period in brackets).

Group of cash-generating units Goodwill as at
31.12.2025
in T€		 Revenue growth
in %
for 2026		 Average revenue
growth in %
for 2027-2030		 Pre-tax
discount rate
in %		 After-tax
discount rate
in %
CANCOM Germany 176,652 9.2 (5.7) 4.1 (4.1) 13.09 (10.91) 9.38 (7.97)
CANCOM International 93,391 6.3 (5.1) 4.3 (4.1) 11.89 (9.8) 9.61 (8.01)

The recoverable amount is determined as the value in use using the discounted cash flow method; the payments taken into account are based on a five-year detailed forecast period. The forecasts are based on financial plans approved by Executive management, take past experience into account and are based on Executive management's assessment of future developments. External market studies (e.g. by Bitkom) are also used. The forecasts are based on individual revenue estimates for the groups of cash-generating units. Cash flows beyond the detailed forecast period are extrapolated using a perpetual growth rate of 1.5 percent (comparative period: 1.5 percent). The components of the discount rates are determined using external financial information systems; the base rates used in the reporting period were 3.46 percent (comparative period: 2.58 percent); a uniform market risk premium of 6.0 percent (comparative period: 7.0 percent) was used in the reporting period. In the reporting period, the peer group consisted of four companies (comparative period: five companies) based in Europe.

For the CANCOM Germany cash-generating unit group, the recoverable amount exceeded the carrying amount by € 226.447 thousand at the end of the reporting period (€ 166.441 thousand at the end of the comparative period). An analysis was performed to determine whether goodwill impairment would have been necessary in the event of lower revenue growth. The sensitivity analyses showed that if average revenue growth had been 1.6 percentage points lower in absolute terms (comparative period: 1.0 percentage point) for the period from 2027 to 2030 (comparative period: period from 2026 to 2029), the recoverable amount would have corresponded to the carrying amount.

For the CANCOM International group of cash-generating units, the recoverable amount exceeded the carrying amount by € 409.546 thousand at the end of the reporting period (€ 294.212 thousand at the end of the comparative period). An analysis was performed to determine whether goodwill impairment would have been necessary in the event of lower revenue growth. The sensitivity analyses showed that if average revenue growth had been 4.0 percentage points lower in absolute terms (comparative period: 2.3 percentage points) for the period 2027 to 2030 (comparative period: 2026 to 2029), the recoverable amount would have corresponded to the carrying amount.

In addition, for both cash-generating units, it was examined whether a discount rate that was 2 percentage points higher in each case would have led to an impairment of the allocated goodwill. Based on this assumption, CANCOM concluded that there would have been no need for impairment for the two cash-generating units.

B.8.4. Rights of use

Right-of-use assets are allocated to the following classes in the CANCOM Group:

  • Right-of-use assets for land and buildings,
  • rights of use for operating and office equipment,
  • rights of use for motor vehicles.

The development of the individual classes can be seen in the consolidated statement of fixed assets for the reporting period and the comparative period. For further information on leases, please refer to section D.3 of the consolidated financial statements.

B.8.5. Financial assets and loans

Financial assets and loans mainly relate to financial investments amounting to € 28 thousand (comparative period: € 28 thousand).

B.8.6. Shares in companies accounted for using the equity method

The following table shows the carrying amounts of the shares in companies accounted for using the equity method:

(in T€) 31.12.2025 31.12.2024
Joint ventures 7,149 8,092
Associated companies 7,025 6,387
Shares in companies accounted
for using the equity method,
balance sheet disclosure		 14,174 14,479

Sensor Network Services GmbH was reported as a joint venture with a carrying amount of € 538 thousand as at 31 December 2024. In March 2025, CANCOM's participation rate was reduced from 50.0 percent to 25.0 percent, meaning that Sensor Network Services GmbH was classified as an associate from this date onwards. In November 2025, CANCOM's participation rate was reduced again from 25.0 percent to 12.5 percent, with the result that Sensor Network Services GmbH was classified as an investment from this date and was therefore reported under the balance sheet item "Financial assets and loans" at the end of the reporting period.

The companies included in the carrying amounts are immaterial, both individually and in aggregate, for the presentation of the CANCOM Group's net assets, financial position and result of operations.

B.9. Deferred taxes

Deferred tax assets for the reporting period and the comparative period developed as follows:

Deferred tax assets from temporary
differences
(in T€)		 tax loss
carryfor
wards
(in T€)
Balance as at 1.1.2025 14,558 9
Disposal from recognition of actuarial
losses from pension provisions and similar
provisions directly in Shareholders' Equity
without affecting profit or loss		 -313 0
Tax expense/income in the result
for the period		 3,636 3,327
Currency differences recognised directly
in Shareholders' Equity		 -8 0
Balance as at 31.12.2025 17,873 3,336
Balance as at 1.1.2024 11,007 8
Addition from capitalisation without effect
on profit or loss due to initial consolidation		 3,405 0
Addition from recognition of actuarial
losses from pension provisions and similar
provisions directly in Shareholders' Equity
without affecting profit or loss		 433 0
Tax expense/income in the result
for the period		 -290 1
Currency differences recognised directly
in Shareholders' Equity		 3 0
Balance as at 31.12.2024 14,558 9

In the reporting period, the CANCOM Group had corporate income tax loss carryforwards amounting to € 11,319 thousand (comparative period: € 35 thousand) and trade tax loss

carryforwards amounting to € 10,136 thousand (comparative period: € 20 thousand). The amount of unused losses for which no deferred tax asset has been recognised in the balance sheet amounts to € 0 thousand in the reporting period (comparative period: € 0 thousand). None of these unrecognised tax loss carryforwards will expire over time. Based on the planned tax results, the capitalised deferred tax assets from loss carryforwards are expected to be realised.

Deferred tax assets from temporary differences relating to balance sheet items are composed as follows in the reporting period and the comparative period:

(in T€) 31.12.2025 31.12.2024
Current assets
Trade receivables 39 10
Current contract assets 4 2
Inventories 38 57
Other current financial assets -4,357 -3,327
Other current assets 265 760
Non-current assets
Property, plant and equipment 9,649 7,785
Intangible assets (excluding goodwill) -827 -1,182
Goodwill 4,069 5,080
Right-of-use assets -33,362 -34,000
Financial assets and loans -193 -162
Other non-current financial assets -3,264 -4,459
Current liabilities
Trade liabilities 80 415
Other current financial liabilities 1,186 3,165
Current employee benefit provisions 611 518
Current other provisions 548 317
Current contract liabilities -33 -11
Other current financial liabilities 193 458
Long-term liabilities
Other non-current financial liabilities 40,875 35,882
Non-current employee benefit provisions 2,513 3,003
Non-current other provisions 476 604
Long-term contract liabilities -182 -153
Other long-term liabilities -455 -204
Total 17,873 14,558

In the reporting period and the comparative period, no impairment losses were recognised on deferred tax assets from loss carryforwards or on deferred tax assets from temporary differences.

Deferred tax liabilities for the reporting period and the comparative period developed as follows:

Deferred tax liabilities from temporary
differences
(in T€)
Balance as at 1.1.2025 18,093
Disposal from recognition of actuarial gains from
financial investments directly in Shareholders' Equity
without affecting profit or loss		 -5
Tax expense/income in the result for the period -1,495
Currency differences recognised directly in
Shareholders' Equity		 -54
Balance as at 31.12.2025 16,539
Balance as at 1.1.2024 20,255
Addition from off-balance sheet items due to initial
consolidation		 1,078
Addition from recognition of actuarial gains from
financial investments directly in Shareholders' Equity
without affecting profit or loss -10
Tax expense/income in the result for the period -3,215
Currency differences recognised directly in
Shareholders' Equity		 -15
Balance as at 31.12.2024 18,093

Deferred tax liabilities arising from temporary differences relating to balance sheet items in the reporting period and the comparative period are composed as follows:

(in T€) 31.12.2025 31.12.2024
Current assets
Trade receivables 2,649 2,423
Current contract assets 531 362
Inventories -10 6
Other current financial assets 2,616 2,128
Non-current assets
Property, plant and equipment 1,174 2,150
Intangible assets (excluding goodwill) 5,208 7,666
Goodwill 491 481
Financial assets and loans 348 353
Other non-current financial assets 4,120 2,933
Current liabilities
Trade liabilities 179 0
Other current financial liabilities 135 -350
Current other provisions 138 144
Current contract liabilities 0 634
Long-term liabilities
Other non-current financial liabilities -1,046 -848
Non-current employee benefit provisions
and similar provisions		 6 11
Total 16,539 18,093

In the reporting period, no deferred tax liabilities were recognised for temporary differences in connection with shares in s ubsidiaries amounting to € 3,604 thousand (comparative period: € 3,563 thousand) in accordance with IAS 12.39.

Deferred taxes are measured using the tax rates expected to apply at the respective reporting date for the period in which an asset is realised or a liability is settled. At the end of the reporting period, these tax rates range between 16.0 percent and 31.9 percent. The quantitative effects of the gradual reduction in the corporate income tax rate by one percentage point per annum – beginning in 2028 and ending in 2032 – on the accounting of deferred taxes were analysed and classified as immaterial for the consolidated financial statements. The future reduction in the corporation tax rate was therefore not taken into account in the consolidated financial statements.

B.10. Liabilities to banks

Current liabilities to banks are as follows:

(in T€) 31.12.2025 31.12.2024
Short-term loans 173 854
Current liabilities to banks,
balance sheet disclosure		 173 854

Non-current liabilities to banks are broken down as follows:

(in T€) 31.12.2025 31.12.2024
Long-term loans 0 250
Non-current liabilities to banks,
balance sheet disclosure		 0 250

B.11. Trade liabilities

Trade liabilities for the reporting period and the comparative period mainly comprise liabilities for delivered merchandise and liabilities for services rendered. They also include trade liabilities in connection with bills of exchange amounting to € 44.484 thousand (comparative period: € 32.355 thousand).

Information on liquidity and currency risks relating to trade liabilities is provided in sections D.6.2 and D.6.3 of the consolidated financial statements.

B.12. Other financial liabilities

Other current financial liabilities are as follows:

(in T€) 31.12.2025 31.12.2024
Lease liabilities 39,413 35,309
Financial liabilities to leasing companies 16,167 15,620
Accounts payable 8,348 8,412
Purchase price liabilities for the
acquisition of shares in affiliated
companies or for acquired
business areas		 2,009 5,896
Supervisory Board remuneration 420 466
Outstanding cost invoices 364 405
Derivative financial liabilities 250 0
Financial liabilities to financial
service providers		 154 710
Liabilities from share buybacks 53 0
Liabilities to companies in which the
Group has a participating interest		 30 44
Liabilities for interest and bank charges 3 150
Other current financial liabilities,
balance sheet disclosure		 67,211 67,012

Other non-current financial liabilities comprise the following:

(in T€) 31.12.2025 31.12.2024
Lease liabilities 124,556 114,060
Financial liabilities to leasing companies 24,541 27,890
Purchase price liabilities for the acquisition
of shares in affiliated companies or for
acquired business areas 2,735 4,264
Derivative financial liabilities 226 0
Other non-current financial liabilities,
balance sheet disclosure		 152,058 146,214

B.13. Provisions (excluding pension provisions)

Provisions (excluding pension provisions) developed as follows in the reporting period:

(in T€) Balance as at
1.1.2025		 Disposals from
deconsolida
tion		 Consumption Reversal Additions Balance as at
31.12.2025
Anniversary provisions 5,906 56 609 0 146 5,387
Severance payments, salaries 3,408 0 2,108 1,191 4,738 4,847
Provisions for contingent losses 4,141 0 332 0 661 4,470
Closing costs 1,109 1 869 120 732 851
Share-based payments 678 0 18 643 285 302
Warranties 214 0 27 19 31 199
Archiving costs 89 0 0 0 7 96
Other 360 0 0 130 18 248
15,905 57 3,963 2,103 6,618 16,400

The additions reported under provisions for severance payments and salaries mainly relate to restructuring measures in the form of the closure of divisions in individual regions. This results in the redundancy of employees with corresponding severance payments.

The total amount of provisions shown in the previous table includes non-current provisions of € 5.309 thousand (comparative period: € 6.235 thousand), which are reported under the item "Other non-current provisions". These mainly relate to anniversary provisions of € 4.890 thousand (comparative period: € 5,461 thousand), share-based payments amounting to € 302 thousand (comparative period: € 660 thousand) and provisions for archiving costs amounting to € 75 thousand (comparative period: € 57 thousand).

The cash outflows for anniversary payments are expected to occur within a period up to 2065 (comparative period: 2064). The current provisions for severance payments, salaries and anticipated losses recognised in the reporting period generally result in payments in the following year.

B.14. Income tax liabilities

Income tax liabilities mainly comprise income tax obligations arising from the reporting period and the comparative period.

B.15. Other liabilities

Other current liabilities are as follows:

(in T€) 31.12.2025 31.12.2024
Value added tax liabilities 44,239 32,507
Liabilities for royalties and employee bonuses 18,909 22,750
Liabilities for holiday pay and overtime 10,805 10,454
Liabilities for wage tax and church tax 6,124 5,447
Liabilities for social security contributions 4,620 4,141
Liabilities for wages and salaries 2,714 2,010
Liabilities to employers' liability insurance
associations		 875 878
Liabilities from severely disabled persons'
contributions		 349 371
Prepaid expenses 217 275
Credit card liabilities 86 89
Travel expense liabilities 14 4
Liabilities for capital gains tax 0 4,802
Other liabilities 754 509
Other current liabilities,
balance sheet disclosure		 89,706 84,237

Other non-current liabilities are as follows:

(in T€) 31.12.2025 31.12.2024
Prepaid expenses 6 10
Other non-current liabilities,
balance sheet disclosure		 6 10

B.16. Pension provisions s and similar provisions

B.16.1. Pension provisions

The pension obligations recognised in the balance sheet in the amount of € 4.422 thousand (comparative period: € 5.054 thousand) exclusively comprise obligations for pensions of active and former employees based on defined benefit plans that were assumed in the context of company acquisitions and are financed by the employer – in Switzerland, 50 percent is financed by the employee. These are predominantly pension obligations from pension plans and several individual commitments. The risks relate to disability, mortality and longevity risks as well as risks arising from uncertain adjustments to pension benefits; there are also financing risks resulting from the commitments. The net liability from pension plans amounts to € 4.493 thousand (comparative period: € 5,129 thousand) and the net asset value from pension plans amounts to € 71 thousand (comparative period: € 75 thousand). The current portion of the net liability from pension plans amounts to € 110 thousand (comparative period: € 162 thousand).

The amount of pension commitments from pension plans is calculated based on the length of service and remuneration of individual employees or on fixed commitments.

No material risks associated with defined benefit obligations are expected. Approximately two-thirds of the obligations are secured by plan assets, which either take into account a higher coverage ratio in the restricted collective foundation assets, include coverage of the longevity risk in the pension plan, or provide for the pension option in the reinsurance policies.

The development of the pension obligation and plan assets for the defined benefit plans is as follows:

The plan assets consist of foundation assets, pension fund assets and reinsurance policies managed independently by various providers and are composed as follows:

(in T€) 2025 2024
Change in pension obligations
Status of defined benefit obligation as at
1 January 13,984 10,259
Service cost: present value of benefits
earned during the period		 366 200
Past service cost -7 328
Revaluations: actuarial gains (-) and
losses (+) from
- changes in financial assumptions -632 428
- Changes in experience adjustments -396 -68
Interest expense 307 292
Pension payments -307 -240
Contributions from beneficiary employees 306 172
Benefit payments from plan assets -648 0
Contract transfers to the target plan 2,485 2,426
Net translation differences 94 187
Defined benefit obligation as at 31.12. 15,552 13,984
Change in plan assets
Fair value of plan assets as at 1 January 9,160 6,340
Revaluations: gains and losses excluding
interest income -422 -23
Interest income 156 158
Contributions made by the employer
(payments into plan assets)		 490 176
Pension payments from plan assets -129 -69
Contributions from beneficiary employees 306 172
Benefit payments from plan assets -723 0
Contract transfers to the target plan 2,485 2,235
Net translation differences 87 171
Fair value of plan assets as at 31.12. 11,410 9,160
Impact of the asset cap
Impact of the asset cap as at 1 January 230 245
Revaluations: gains and losses excluding
interest income 42 -23
Interest expense 8 8
Impact of the asset cap as at 31.12. 280 230
Composition
Defined benefit obligation as at 31.12. 15,552 13,984
Fair value of plan assets as at 31.12. -11,410 -9,160
4,142 4,824
Impact of the asset cap 280 230
Pension obligation recognised in the
balance sheet as at 31.12. 4,422 5,054
thereof
Net asset value from pension plans -71 -75
Net liability from pension plans 4,493 5,129
(in T€) 2025 2024
Foundation assets (Switzerland) 9,277 7,014
Fund assets (Germany) 1,263 1,312
Reinsurance (Germany and Austria) 870 834
Fair value as at 31.12. 11,410 9,160

The foundation's assets are mainly invested in equity instruments, securities and real estate. Fair values were determined on the basis of prices quoted on active markets. The fund assets are invested in reinsurance policies, which are held directly.

The fund assets (Germany) show a surplus in the reporting period, which, however, is not recognised as an asset in the amount of € 280 thousand (comparative period: € 230 thousand), as CANCOM has no future economic benefit in the form of a refund on paid-in contributions. CANCOM's executive regularly reviews the actual or expected cash flows of the plan assets to determine whether the investment mix compensates as fully as possible for the risks arising from the defined benefit pension commitments.

The following assumptions were used to determine the defined benefit obligation for Germany and Austria (eurozone countries):

2025
(in %)		 2024
(in %)
Interest rate 4.30 3.54
Salary trend 0.17 0.18
Pension dynamics 2.40 2.39

The following assumptions were used to determine the defined benefit obligation for Switzerland:

2025
(in %)		 2024
(in %)
Interest rate 1.20 1.00
Salary trend 1.50 1.00
Pension dynamics 0.00 0.00

The biometric calculation bases were taken from the Heubeck 2018 G tables (for Germany), the AVÖ 2018_P ANG tables (for Austria) and the BVG 2020 generation tables (for Switzerland). Future pension increases are reported as a weighted average value for the reporting period, taking into account contractual agreements, although there is effectively no inflation in Switzerland.

The average term of pension obligations for Germany and Austria in the reporting period is 13.5 years (comparative period: 14.6 years) and for Switzerland 15.4 years (comparative period: 15.9 years).

The total expense for pension plans in accordance with IAS 19 is composed as follows in the reporting period and the comparative period:

2025
(in T€)		 2024
(in T€)
Current service cost 366 200
Past service cost -7 328
Gains (-) or losses (+) from revaluations -564 360
Net interest income (-)/expense (+) 159 142
Net translation differences 7 16
-39 1,046

The following table shows the percentage impact that a change in the assumptions made would have on the defined benefit obligation in Germany and Austria (eurozone countries) as at the reporting date, assuming that all other assumptions remain unchanged:

Absolute
change in %		 Sensitivity
2025 in %		 Sensitivity
2024 in %
Interest rate +1.00 -11.97 -12.88
-1.00 14.72 16.03
Salary trend +0.50 0.19 0.23
-0.50 -0.18 -0.22
Pension dynamics +0.25 2.91 3.11
-0.25 -2.78 -2.96

The following sensitivities apply to Switzerland as at the reporting date:

Absolute
change in %		 Sensitivity
2025 in %		 Sensitivity
2024 in %
Interest rate +0.25 -3.68 -3.78
-0.25 3.96 4.08
Salary trend +0.25 0.30 0.31
-0.25 -0.30 -0.35
Pension dynamics +0.25 2.25 2.25
-0.25 -2.13 -2.13

The above sensitivity analyses were performed using an actuarial method that shows the effect of realistic changes in the key assumptions at the end of the reporting period or comparative period on the defined benefit obligation.

In the reporting period, pension obligations of € 585 thousand (comparative period: € 511 thousand) and contributions to plan assets of € 304 thousand (comparative period: € 262 thousand) are expected for the following year. Furthermore, net pension payments of € 110 thousand (comparative period: € 162 thousand) are expected for the year following the reporting period.

In the reporting period, the recognised expenses for defined contribution plans amounted to € 2,362 thousand (comparative period: € 2,299 thousand).

B.16.2. Provisions for severance payments

The provisions for severance payments recognised in the balance sheet in the amount of € 21,309 thousand (comparative period: € 21,545 thousand) mainly comprise statutory and contractual claims by employees in Austria or their dependants for one-off severance payments. These may arise in particular as a result of termination by the employer, mutual agreement to terminate the employment relationship, retirement or death of the employee. In the case of severance pay obligations, the CANCOM Group bears the risk of inflation as a result of salary adjustments, which simultaneously lead to higher severance pay obligations. For employees who joined after 31 December 2002, monthly contributions are paid into an external employee pension fund, so that the CANCOM Group generally does not incur any severance payment obligations.

The development of the severance payment obligation and the plan assets for the defined benefit plans is as follows:

(in T€) 2025 2024
Change in severance payment
obligations
Status of defined benefit obligation
as at 1 January 22,101 21,656
Changes in the scope of consolidation -56 0
Service cost: present value of benefits
earned in the period		 212 331
Remeasurements: actuarial gains (-)
and losses (+) from
- changes in demographic assumptions 0 108
- Changes in financial assumptions -986 194
- Changes in experience adjustments 198 1,320
Interest expense 751 710
Severance payments -296 -2,218
Defined benefit obligation as at 31.12. 21,924 22,101
Change in plan assets
Fair value of plan assets as at 1 January 556 497
Revaluations: gains and losses excluding
interest income		 -1 3
Interest income 19 15
Contributions made by the employer
(payments into plan assets)		 41 41
Fair value of plan assets as at 31.12. 615 556
Composition
Defined benefit obligation as at 31.12. 21,924 22,101
Fair value of plan assets as at 31.12. -615 -556
Net liability from pension plans 21,309 21,545

The plan assets consist of a direct reinsurance policy, which had a fair value of € 615 thousand at the end of the reporting period (comparative period: € 556 thousand).

The following assumptions were used to determine the defined benefit obligation:

2025
(in %)		 2024
(in %)
Interest rate 3.99 3.48
Salary trend 3.70 3.70

The biometric calculation bases were taken from the AVÖ 2018-P tables for employees.

The average term of the severance payment obligations in the reporting period is 8.9 years (comparative period: 9.9 years).

The total expense for severance obligations in accordance with IAS 19 for the reporting period is composed as follows:

2025
(in T€)		 2024
(in T€)
Current service cost 212 331
Gains (-) or losses (+) from
remeasurements		 -787 1,619
Net interest income (-)/expense (+) 732 695
157 2,645

The following table shows the percentage impact that a change in the assumptions made would have on the defined benefit obligation at the reporting date, assuming that all other assumptions remain unchanged:

Absolute
change in %		 Sensitivity
2025 in %		 Sensitivity
2024 in %
+1.00 -7.98 -8.88
-1.00 9.07 10.18
+0.50 4.35 4.86
-0.50 -4.12 -4.59

The above sensitivity analyses were performed using an actuarial method that shows the effect of realistic changes in the key assumptions at the end of the reporting period on the defined benefit obligation.

In the reporting period, expenses for severance payments of € 940 thousand (comparative period: € 944 thousand) and contributions to plan assets of € 43 thousand (comparative period: € 41 thousand) are expected for the following year. Furthermore, net severance payments of € 1,519 thousand (comparative period: € 1,016 thousand) are expected for the year following the reporting period.

B.17. Shareholders' Equity

B.17.1. Issued capital

The company's share capital was last reduced by 14.1 percent in July 2024 through the approved redemption of 1,669,758 no-par value bearer shares and in October 2024 through the approved redemption of 3,501,705 no-par value bearer shares. As at 31 December 2025, the share capital of CANCOM SE amounted to € 31,515 thousand in accordance with the Articles of Association (comparative period: € 31,515 thousand) and was divided into 31,515,345 no-par value shares (shares without par value with a calculated par value of € 1.00 per share ) (comparative period: 31,515,345 no-par value shares). Of these 31,515,345 no-par value shares, 1,044,402 no-par value shares (31 December 2024: 0 no-par value shares) were held by CANCOM SE itself as treasury shares as at 31 December 2025.

B.17.1.1. Authorised and conditional capital

The Executive Board is authorised by resolution of the Annual General Meeting of 14 June 2023, with the approval of the Supervisory Board, to increase the company's issued capital on one or more occasions by up to a total of € 7.074 thousand (comparative period: € 7.074 thousand) by issuing up to 7,074,370 new no-par value bearer shares in return for cash and/or non-cash contributions (Authorised Capital I/2023). Shareholders shall generally be granted subscription rights; the statutory subscription right may also be granted in such a way that the new shares are taken over by a credit institution or an institution equivalent to a credit institution pursuant to § 186 (5) sentence 1 AktG with the obligation to offer them to the shareholders of the company for subscription. However, the Executive Board is authorised, with the approval of the Supervisory Board, to exclude the statutory subscription right of shareholders in the following cases:

  • for fractional amounts;
  • if a capital increase against cash contributions does not exceed 10 percent of the share capital and the issue price of the new shares is not significantly lower than the stock market price (§ 186 (3) sentence 4 AktG); when exercising this authorisation with the exclusion of subscription rights pursuant to § 186 (3) sentence 4 AktG, the exclusion of subscription rights based on other authorisations pursuant to § 186 (3) sentence 4 AktG must be taken into account;
  • in the case of capital increases against contributions in kind for the purpose of granting new shares for the acquisition of companies, interests in companies or parts of companies, or for the purpose of acquiring claims against the company.

The total number of shares issued on the basis of the above authorisation with the exclusion of subscription rights in the case of capital increases against cash and/or contributions in kind may not exceed a proportionate amount of 10 percent of the share capital either at the time of the resolution or at the time of the utilisation of this authorisation. This maximum limit of 10 percent of the share capital shall be reduced by the proportionate amount of the share capital (i) attributable to shares in the company that are issued by the Executive Board during the term of the authorised capital, excluding subscription rights in accordance with § 186 (3) sentence 4 of the German Stock Corporation Act (AktG) or against contributions in kind, or that are sold as treasury shares, and (ii) attributable to shares in the company that are issued or are to be issued during the term of the authorised capital from conditional capital to service option or convertible bonds, which in turn are issued by the Executive Board during the term of the authorised capital with the exclusion of subscription rights in accordance with § 186 (3) sentence 4 AktG or against a contribution in kind.

The Executive Board is authorised, with the approval of the Supervisory Board, to determine the further content of the share rights and the conditions for implementing capital increases from Authorised Capital I/2023. Finally, the Supervisory Board is authorised to amend the wording of the Articles of Association in line with the scope of the capital increase in each case. The Executive Board did not make use of the Authorised Capital I/2023 authorisation during the reporting period. Accordingly, Authorised Capital I/2023 remains unchanged at € 7.074 thousand as of 31 December 2025 in accordance with the Articles of Association.

The company's share capital is conditionally increased by up to € 7.074 thousand through the issue of up to 7,074,370 new no-par value bearer shares (Conditional Capital 2023). The conditional capital increase will only be carried out to the extent that the holders of convertible and/or option bonds issued by the company until 13 June 2028 on the basis of the authorisation granted by the Annual General Meeting on 14 June 2023 exercise their conversion or option rights or conversion or option obligations from such bonds are fulfilled and to the extent that no other forms of fulfilment are used to service them. The new shares shall participate in profits from the beginning of the financial year in which they arise through the exercise of conversion or option rights or through the fulfilment of conversion or option obligations. The Executive Board is authorised, with the approval of the Supervisory Board, to determine the further details of the implementation of the conditional capital increase. The Supervisory Board is authorised to amend the wording of the Articles of Association in accordance with the respective utilisation of the conditional capital.

The company's share capital is conditionally increased by up to € 1.500 thousand through the issue of up to 1,500,000 new no-par value bearer shares (Conditional Capital I/2018). The conditional capital increase shall only be implemented to the extent that holders of share options issued by the company in the period up to 13 June 2023 on the basis of the authorisation resolution of the Annual General Meeting of 14 June 2018 exercise their subscription rights to shares in the company and the company does not grant its own treasury shares or cash compensation in fulfilment of the subscription rights. The new shares of the company resulting from the exercise of these subscription rights shall participate in profits from the beginning of the financial year in which they are issued. The Executive Board is authorised, with the approval of the Supervisory Board, to determine the further details of the implementation of the conditional capital increase.

No new shares were issued in the reporting period (2025) or the comparative period (2024) by utilising Contingent Capital 2023 and Contingent Capital I/2018.

In connection with a capital increase from company funds (§ 207 et seq. of the German Stock Corporation Act (AktG)) of € 31.515.345.00 by € 100,000 to € 131.515,345.00 by converting a partial amount of € 100,000 of the capital reserves reported in the balance sheet as at 31 December 2024 into share capital, followed by an ordinary capital reduction (Sections 222 et seq. AktG) by the previously resolved capital increase amount of € 100,000 to € 31,515,345.00, the existing conditional capital (Conditional Capital I/2018 and Conditional Capital 2023), which was increased in accordance with § 218 sentence 1 AktG as a result of the capital increase from company funds by operation of law – without the need for a separate resolution by the Annual General Meeting – in the same ratio as the share capital, were reduced by resolution of the Annual General Meeting to their original amounts of € 1.500 thousand (Contingent Capital 1/2018) and € 7.074 thousand (contingent capital 2023) by resolution of the Annual General Meeting.

The Executive Board is not aware of any restrictions relating to voting rights or the transfer of shares.

B.17.1.2. Share buyback programme

On 24 June 2025, the Annual General Meeting authorised the Executive Board of CANCOM SE to acquire treasury shares up to a total of 10 percent of the issued capital until 23 June 2028 inclusive. The 10 percent limit is based on the share capital at the time the authorisation takes effect. If the share capital is lower

at the time this authorisation is exercised, this lower value shall apply. The acquisition is to be made via the stock exchange or via a public purchase offer addressed to the shareholders. In both cases, the purchase price may not exceed or fall below the arithmetic mean of the closing auction prices of CANCOM SE shares in XETRA trading (or a comparable successor system) on the Frankfurt Stock Exchange on the last three trading days prior to the purchase or the entering into of a purchase obligation by more than 10 percent. The repurchase volume may be limited if the shares offered exceed the total amount of the company's purchase offer. The authorisation may be exercised for any purpose permitted by law. Excluding shareholders' subscription rights, treasury shares may be transferred to third parties for the purpose of acquiring companies or participating in companies. Treasury shares may also be sold for cash, provided that the purchase price is not significantly lower than the current stock market price at the time of sale. Furthermore, treasury shares may also be used to fulfil conversion or option rights granted by the company or to implement a scrip dividend. Furthermore, treasury shares may be pledged or transferred to fulfil remuneration agreements and offered for sale to employees and members of the Executive Board in connection with the exercise of subscription rights. The Executive Board of CANCOM SE was also authorised to redeem treasury shares with the approval of the Supervisory Board without a further resolution by the Annual General Meeting.

The authorisation to acquire treasury shares up to a total of 10 percent of the issued capital until 4 June 2029 was fully utilised and revoked with the new authorisation granted by the 2025 Annual General Meeting. The new authorisation is valid until 23 June 2028.

With the announcement on 9 September 2025, the Executive Board, with the approval of the Supervisory Board, resolved a share buyback programme ("2025 Share Buyback Programme") in the period from 22 September 2025 to 18 September 2026 in the amount of up to 10 percent of the share capital.

Between 22 September 2025 and 30 December 2025 inclusive, a total of 1,044,402 treasury shares were repurchased as part of the 2025 share buyback programme. Based on the number of shares comprising the share capital as at 31 December 2025 (31,515,345 shares), this corresponds to 3.31 percent of the share capital. The treasury shares were acquired by a bank commissioned by CANCOM SE exclusively via the electronic trading system of the Frankfurt Stock Exchange (XETRA) and in accordance with Article 5(1)(a) of Regulation (EU) No. 596/2014 in conjunction with Article 2(1) of Delegated Regulation (EU) 2016/1052.

As part of a voluntary public share buyback offer on 1 July 2024, CANCOM SE repurchased a total of 3,501,705 of its own treasury shares at a price of € 33.00 in the period from 4 July 2024 to 24 July 2024 inclusive. A bank was commissioned to repurchase the shares on behalf of CANCOM SE. The allocation ratio was 76.15 percent. Based on the shares that comprised the share capital at the time the repurchase took effect (35,017,050 no-par value shares), this corresponds to a 10.00 percent share of the share capital after the previously carried out redemption of treasury shares and associated capital reduction took effect.

As part of a previous share buyback programme, "Share Buyback Programme 2023/24", CANCOM SE repurchased a total of 1,103,850 treasury shares in the period from 1 January 2024 to 5 April 2024 inclusive.

During the reporting period, treasury shares were repurchased at a market value of € 26.849 thousand (comparative period: € 146.595 thousand), corresponding to an average share price of € 25.71 (volume-weighted; excluding transaction costs; comparative period: € 31.83). The amount paid was recognised in full as a reduction in retained earnings. Furthermore, transaction costs from the acquisition of treasury shares amounting to € 53 thousand in the reporting period and € 121 thousand in the comparative period were recognised as a reduction in retained earnings. The shares acquired in the reporting period were not transferred to third parties, sold for cash, used to fulfil conversion or option rights, or used to implement a stock dividend until 31 December 2025. Furthermore, no treasury shares were used to fulfil remuneration agreements or offered for sale to employees or members of the Executive Board in connection with the exercise of subscription rights during the reporting period. Nor were any treasury shares redeemed during the reporting period.

On 1 July 2024, the Executive Board of CANCOM SE, with the approval of the Supervisory Board, resolved to cancel the treasury shares held by the company and to reduce the share capital. CANCOM SE redeemed the 1,669,758 treasury shares held by the company and reduced the share capital by the corresponding nominal amount of € 1,669,758. CANCOM had acquired these treasury shares as part of the "2023/24 Share Buyback Programme" in the period from 27 November 2023 to 5 April 2024 inclusive, based on the authorisation granted by the Annual General

Meeting on 28 June 2022. This corresponds to 4.55 percent of the company's share capital. The share capital at that time, amounting to € 36.686.808, amounted to € 35.017.050 after the capital reduction and was divided into 35.017.050 no-par value shares with a share capital amount of € 1.00 per share.

In addition, on 1 July 2024, the Executive Board and Supervisory Board of CANCOM SE resolved to make use of the authorisation granted by the Annual General Meeting on 5 June 2024 to acquire treasury shares in accordance with Art. 5 SE-VO in conjunction with § 71 (1) No. 8 AktG (German Stock Corporation Act) and to offer shareholders the repurchase of up to 3,501,705 treasury shares (corresponding to 10 percent of the share capital after the previously intended redemption of treasury shares and associated capital reduction) as part of a voluntary public repurchase offer addressed to all shareholders. The share buyback was carried out at € 33.00 per share. A total of 3,501,705 shares were repurchased. The offer was published in the Federal Gazette on 3 July 2024. The amendment to the Articles of Association to reflect the reduced share capital was made on 4 July 2024. The final results and the allocation ratio were published in the Federal Gazette on 29 July 2024.

On 9 October 2024, the Executive Board of CANCOM SE decided, with the approval of the Supervisory Board, to withdraw the 3,501,705 treasury shares held by the company and to reduce the share capital by the corresponding nominal amount of € 3,501,705. The announcement was published in the Federal Gazette on 9 October 2024. The entry in the Articles of Association was made on 17 October 2024 and the entry in the commercial register was made on 19 November 2024.

CANCOM had acquired these treasury shares as part of the "2024 Share Buyback Offer" in the period from 4 July 2024 to 24 July 2024 inclusive, based on the authorisation granted by the Annual General Meeting on 5 June 2024. This corresponds to 10.00 percent of the company's share capital. Following the capital reduction, the share capital amounts to € 31,515,345 and is divided into 31,515,345 no-par value shares with a share capital amount of € 1.00 per share.

Further information on the share buyback programmes is available on the company's website at www.cancom.com.

B.17.2. capital reserve

The capital reserve was formed from premiums from capital increases of CANCOM SE, from capital reductions and from the issue of share-based payments.

By resolution of the 2025 Annual General Meeting on 24 June 2025, a partial amount of € 100,000 of the restricted capital reserve was converted into a free capital reserve within the meaning of § 272 (2) No. 4 of the German Commercial Code (HGB) during the reporting period (see also section B.17.1.1 of these consolidated financial statements).

In the comparative period, the capital reserve increased by € 1,670 thousand in July 2024 and € 3,502 thousand in October 2024 due to the reduction in share capital; overall, the capital reserve thus increased by € 5,172 thousand in the comparative period.

B.17.3. Retained earnings including carryforwards and profit after taxes

Retained earnings include the Group's past earnings that have not been distributed. Furthermore, remeasurements of defined benefit plans, after taking deferred taxes into account, and repurchased treasury shares are reported in retained earnings. In accordance with the resolution of the Annual General Meeting, € 31.515 thousand or € 1.00 per share was distributed as a dividend from the retained earnings in the 2024 annual financial statements of CANCOM SE in 2025 (comparative period: € 35.017 thousand or € 1.00 per share).

In the reporting period, gains (after taking deferred taxes into account) of € 1,034 thousand (comparative period: losses of € 1,558 thousand) from the Remeasurement of defined benefit plans were recognised in retained earnings.

B.17.4. Other reserves

Other reserves include gains from the currency translation of foreign operations recognised in Shareholders' Equity in the reporting period amounting to € 286 thousand (comparative period: € 308 thousand).

In the comparative period, gains from the valuation of financial assets at fair value of € 71 thousand recognised in other reserves or in other comprehensive income were reclassified to the result for the period (under "Other financial income").

B.17.5. Capital risk management

The CANCOM Group manages its capital with the aim of maximising returns for shareholders by optimising the ratio of equity to debt capital. This ensures that all Group companies can operate under the going concern assumption. The Group's capital structure consists of debt, cash and cash equivalents, and Shareholders' Equity. The latter comprises issued shares, retained earnings and other reserves, as well as Non-controlling interests.

The objectives of capital management are to ensure the continuation of the company and an adequate return on Shareholders' Equity. To achieve this, capital is set in relation to total capital. In order to achieve these objectives, the Executive may implement capital structure measures (such as conditional capital increases) or change the amount of debt capital, for example by taking out/ repaying liabilities to banks or by amending contracts entered into as a lessee.

Capital is monitored on the basis of Shareholders' Equity. Shareholders' Equity is the balance sheet equity according to the Consolidated balance sheet. Debt capital is defined as the sum of all long-term and current liabilities according to the Consolidated balance sheet.

The balance sheet Shareholders' Equity, debt capital and total capital are as follows:

As at
31.12.2025		 As at
31.12.2024
Shareholders' Equity €
million		 545.4 574.4
Shareholders' Equity as a
percentage of total capital		 % 37.7 40.8
Debt capital €
million		 899.5 832.5
Debt capital as percent of
total capital		 % 62.3 59.2
Total capital (Shareholders' €
Equity plus debt) million 1,444.9 1,406.9

The Group's capital structure is reviewed regularly as part of risk management.

C. Notes to the consolidated statement of comprehensive income

C.1. Revenue

Revenue for the reporting period and the comparative period is broken down as follows:

(in T€) 2025 2024
from the sale of goods 1,010,234 1,095,797
from the provision of services 704,469 641,822
Total 1,714,703 1,737,619
Thereof from the sale of goods
Attributable to the Germany
business segment		 688,587 724,510
Attributable to the International
business segment		 321,647 371,287
Thereof from the provision of services
Attributable to the Germany business
segment		 404,024 410,220
Attributable to the International
business segment		 300,445 231,601
(in T€) 2025 2024
Revenue from contracts with
customers		 1,682,790 1,695,122
Leasing revenue 31,913 42,497
Total 1,714,703 1,737,619

The following table shows how revenue from contracts with customers in the reporting and comparative periods is broken down according to the two options for recognising revenue from contracts with customers over time as provided for in IFRS 15. The table also shows which business segment the revenue from contracts with customers is attributable to.

(in T€) 2025 2024
Date of revenue recognition
Products and services transferred at
a point in time		 978,321 1,053,300
Products and services transferred
over a period of time		 704,469 641,822
Total 1,682,790 1,695,122
of which
attributable to the Germany
business segment		 1,092,334 1,133,840
Attributable to the International
business segment		 590,456 561,282

To determine the total transaction price attributable to unfulfilled performance obligations at the end of the reporting period (i.e. the contractually fixed open order backlog in accordance with IFRS 15), CANCOM takes into account customer contracts that had a contract volume of at least € 100 thousand (comparative period: € 100 thousand) at the time of conclusion, whereby subsequent extension options on the part of the customer are not included. Furthermore, with reference to IFRS 15.121 (a), customer contracts with an expected original term of no more than one year are not included. At the end of the reporting period, the contractually fixed open order backlog amounted to € 737,479 thousand (comparative period: € 702,780 thousand). Of this amount, € 424,130 thousand (comparative period: € 414,324 thousand) is expected to be recognised in the 2026 financial year (comparative period: 2025), € 286,611 thousand (comparative period: € 249,336 thousand) in the financial years 2027 to 2029 (comparative period: in the financial years 2026 to 2028) and € 26,738 thousand (comparative period: € 39,120 thousand) in the financial year 2030 or later (comparative period: in the financial year 2029 or later).

C.2. Other operating income

Other operating income for the reporting period and the comparative period is composed as follows:

(in T€) 2025 2024
Income relating to other periods 17,521 2,867
Operating currency gains 7,696 6,931
Income from subleases 2,303 1,662
Rental income 201 129
Income from government grants 95 246
Income from compensation payments 4 266
Other operating income 47 62
Total 27,867 12,163

Income relating to other periods in the reporting period and the comparative period mainly comprises income from the sale of fixed assets amounting to € 14,320 thousand (comparative period: € 1,285 thousand) and income from the derecognition of accounts receivable in the amount of € 1,748 thousand (comparative period: € 1,467 thousand).

The income from subleases recognised in the reporting and comparative periods arises in connection with sale and leaseback transactions in which merchandise is sold to a leasing company – whereby this sale is classified as a sale in accordance with IFRS 15 – and are immediately leased back from this leasing company in order to then lease the merchandise to CANCOM customers (see section A.3.28 of the consolidated financial statements).

C.3. Work performed by the entity and capitalised

Work performed by the entity and capitalised includes work performed by the company's own employees in connection with the acquisition and production of fixed assets and capitalisable development costs relating to intangible assets. Own work is broken down as follows:

(in T€) 2025 2024
Capitalised development costs 0 1,030
Capitalised own work in connection
with acquired intangible assets		 0 577
Total 0 1,607

Research and development costs that were not capitalised because they did not meet the recognition criteria in IAS 38 amounted to € 16,781 thousand in the reporting period (comparative period: € 12,898 thousand).

C.4. Capitalised contract costs

No contract initiation costs were recognised in capitalised contract costs in the reporting period (comparative period: € -144 thousand). In the comparative period, the amounts recognised were exclusively due to the reversal of contract initiation costs capitalised in previous periods.

No contract fulfilment costs (comparative period: € -90 thousand) were recognised in capitalised contract costs in the reporting period. In the comparative period, the amounts recognised resulted exclusively from the reversal of contract fulfilment costs capitalised in previous periods.

C.5. Cost of materials/expenses for purchased services

The cost of materials/expenses for purchased services for the reporting period comprises expenses for raw materials, consumables and supplies and for purchased goods amounting to € 888,745 thousand (comparative period: € 915,406 thousand) as well as expenses for purchased services from the core business amounting to € 155,970 thousand (comparative period: € 142,118 thousand). In addition, impairments on inventories amounting to € 999 thousand (comparative period: € 768 thousand) and reversals of impairments on inventories amounting to € 111 thousand (comparative period: € 720 thousand) were recognised.

C.6. Personnel expenses

Personnel expenses for the reporting period and the comparative period are broken down as follows:

(in T€) 2025 2024
Wages and salaries -386,479 -385,452
Social security contributions -80,888 -77,760
Expenses for retirement benefits -4,247 -4,273
Share-based payments with
cash settlement		 358 -143
Total -471,256 -467,628

C.7. Depreciation

Depreciation for the reporting period and the comparative period is broken down as follows:

(in T€) 2025 2024
Scheduled depreciation of property,
plant and equipment		 -15,843 -14,698
Impairment losses on property,
plant and equipment		 0 0
Scheduled amortisation of software -12,576 -13,254
Impairment losses on software 0 0
Scheduled amortisation of
right-of-use assets		 -26,305 -25,510
Impairment losses on rights of use 0 0
Scheduled amortisation on customer
bases etc.		 -8,802 -11,582
Impairment losses on customer bases, etc. 0 0
Impairment losses on goodwill 0 0
Total -63,526 -65,044

C.8. Other operating expenses

Other operating expenses for the reporting period and the comparative period are composed as follows:

(in T€) 2025 2024
Maintenance, repairs, servicing, licensing -27,229 -26,083
External services -13,108 -12,662
Legal and consulting costs -12,363 -8,368
Room costs -10,350 -10,433
Vehicle costs -10,033 -10,158
Entertainment and travel expenses -8,774 -9,557
Operating currency losses -8,551 -5,427
Expenses for damages -7,000 0
Advertising costs -4,691 -4,558
Cost of goods sold -3,964 -5,064
Training costs -3,104 -3,701
Insurance and other contributions -2,720 -2,983
Communication and office costs -2,589 -3,015
Fees, money transfer costs -1,256 -1,121
Stock exchange and representation costs -270 -262
Other operating expenses -5,735 -7,746
Total -121,737 -111,138

C.9. Interest income and interest expenses

Interest income mainly comprises interest income from receivables from finance leases amounting to € 2,671 thousand (comparative period: € 2,916 thousand), interest income from bank balances amounting to € 1,365 thousand (comparative period: € 1,619 thousand), interest income from trade receivables amounting to € 964 thousand (comparative period: € 1,109 thousand) and interest income from financial assets amounting to € 63 thousand (comparative period: € 948 thousand).

Interest expenses mainly comprise interest expenses from lease liabilities amounting to € 4,420 thousand (comparative period: € 3,990 thousand), interest expenses from pension and severance provisions amounting to € 884 thousand (comparative period: € 837 thousand), interest-like expenses amounting to € 740 thousand (comparative period: € 604 thousand), interest expenses in connection with the sale of receivables amounting to € 155 thousand (comparative period: € 280 thousand) and interest expenses from liabilities to banks amounting to € 54 thousand (comparative period: € 855 thousand).

C.10. Other financial result

Other financial income for the reporting period includes income from the revaluation of contingent consideration in connection with company acquisitions amounting to € 1,689 thousand (comparative period: € 2,482 thousand), income from the derecognition of financial instruments amounting to € 150 thousand (comparative period: € 457 thousand), expenses from the derecognition of financial instruments amounting to € 1,798 thousand (comparative period: € 1,668 thousand) and expenses from the revaluation of contingent consideration in connection with company acquisitions amounting to € 383 thousand (comparative period: € 440 thousand). For further details, please refer to section D.5 of the consolidated financial statements.

C.11. Result from companies accounted for using the equity method

The result from companies accounted for using the equity method reported in the reporting period, amounting to € 246 thousand (comparative period: € 145 thousand), relates exclusively to the result from continuing operations and results in the amount of € 326 thousand from joint ventures (comparative period: € -186 thousand) and € -80 thousand from associates (comparative period: € 331 thousand). These are exclusively amounts that were recognised in the results for the period of the joint ventures and associates, respectively.

The result from companies accounted for using the equity method reported in the reporting period in the amount of € 246 thousand (comparative period: € 145 thousand) was allocated to the Germany business segment in the amount of € 40 thousand (comparative period: € -90 thousand) and to the International business segment in the amount of € 206 thousand (comparative period: € 235 thousand).

C.12. Currency gains/losses

The net amount of € -54 thousand reported in the reporting period (comparative period: € 39 thousand) comprises currency gains of € 2 thousand (comparative period: € 39 thousand) and currency losses of € -56 thousand (comparative period: € 0 thousand).

C.13. Income taxes

The income tax rate for domestic companies amounted to 31.0 percent in the reporting period (comparative period: 31.0 percent) and relates to corporation tax, trade tax and the solidarity surcharge.

The quantitative effects of the gradual reduction in the corporation tax rate by one percentage point per annum – beginning in 2028 and ending in 2032 – on the amount of deferred income tax expenses and income were analysed and classified as immaterial for the consolidated financial statements. The future reduction in the corporation tax rate was therefore not taken into account when recognising deferred income tax expenses and income in the consolidated financial statements.

The differences between the reported tax expenses and the tax rate of CANCOM SE are as follows in the reporting and comparative periods:

(in T€) 2025 2024
Result before income taxes 37,666 48,811
Expected tax expense at the tax rate
applicable to domestic companies
(reporting period: 31.0 %; comparative
period: 31.0 %)		 -11,676 -15,131
Taxation difference abroad 3,111 1,921
Loss carryback -310 0
Tax-free income and tax-irrelevant
capital losses		 -1 -1
Actual income taxes relating to
other periods		 486 -232
Permanent differences 115 197
Non-deductible operating expenses
and trade tax additions and deductions		 -1,083 -1,986
Effect of tax rate changes 93 -20
Other 117 -36
Total -9,148 -15,288

The actual tax rate for the reporting and comparative periods is as follows:

(in T€ bzw. in %) 2025 2024
Result before income taxes 37,666 48,811
Income taxes -9,148 -15,288
Actual tax expense ratio 24.29 % 31.32 %

Income taxes comprise taxes paid or payable in the individual countries on income and earnings as well as deferred tax liabilities:

(in T€) 2025 2024
Actual income tax expense -17,606 -18,214
Deferred income tax expense/income
from deferred tax assets 6,963 -289
from deferred tax liabilities 1,495 3,215
8,458 2,926
of which
Actual income tax expense recognised
in the result for the period		 -17,590 -18,176
Deferred income tax expense/income
recognised in the result for the period		 8,458 2,926
Actual income tax expense recognised
in retained earnings or capital reserves		 -16 -38

The global minimum taxation regulations (Pillar 2 model rules), which may result in additional actual tax expense from the 2024 financial year onwards, will not result in any higher charges for the CANCOM Group in the reporting period. Whether global minimum taxation will apply and what impact this would have on the CANCOM Group was tested on the basis of the safe harbour transitional provisions provided for in the legislation, using the CANCOM Group's financial and tax data for the 2024 financial year and, for selected countries, on the basis of current figures. On this basis, all countries in which the CANCOM Group operates are exempt from the supplementary tax. There is currently no indication that this result will change on the basis of the financial and tax data for subsequent financial years.

C.14. Result from discontinued operations

There was no result from discontinued operations in either the reporting period or the comparative period.

C.15. Result for the period attributable to non-controlling interests

The result for the period attributable to non-controlling interests for the reporting period and the comparative period results from the majority stake in CANCOM physical infrastructure GmbH (CANCOM stake: 80 percent) and the majority stake in CANCOM Banking Services GmbH (CANCOM stake: 96 percent).

C.16. Earnings per share

C.16.1. Undiluted basic earnings per share

To calculate undiluted basic earnings per share from continuing operations, an amount of € 28.709 thousand (comparative period: € 33.453 thousand) was used as the numerator in the reporting period. This is determined on the basis of the result for the period attributable to the shareholders of the parent company of € 28.709 thousand (comparative period: € 33.453 thousand) less the result from discontinued operations of € 0 thousand (comparative period: € 0 thousand).

For the calculation of undiluted basic earnings per share from discontinued operations, an amount of € 0 thousand (comparative period: € 0 thousand) was used as the numerator in the reporting period.

C.16.2. Diluted earnings per share

In calculating diluted earnings per share from continuing and discontinued operations, no additional shares were taken into account in the reporting period (comparative period: no additional shares) compared with the number of shares used to determine undiluted earnings. In the reporting and comparative periods, this is the weighted average number of shares for the period from the issue of the share options on 17 August 2018 to 31 December 2025 that would have been issued if the options had been exercised. When calculating the diluted weighted average number of shares as at 31 December 2025, 289,224 options (comparative period: 339,224 options) were excluded from the calculation of the undiluted weighted average number of shares as at 31 December 2025, as the respective exercise prices of the ranches were above the average price for the reporting period and the options were therefore considered to have no intrinsic value in the reporting period. These options could potentially dilute basic earnings per share in the future.

In the numerator, an amount of € 28.709 thousand was used in the reporting period and the comparative period to calculate diluted earnings per share from continuing operations (comparative period: € 33,453 thousand) was used in the numerator to calculate undiluted earnings per share from continuing operations, meaning that there were no adjustments to the numerator of basic earnings per share from continuing operations.

To determine diluted earnings per share from discontinued operations, an amount of € 0 thousand (comparative period: € 0 thousand) was used as the numerator in the reporting period; in this respect, there were also no adjustments to the numerator of undiluted earnings per share from discontinued operations.

D. Other information

D.1. Notes to the consolidated cash flow statement

The consolidated cash flow statement is prepared in accordance with the requirements of IAS 7. This requires a distinction to be made between cash flows from operating activities, investing activities and financing activities. Cash flow from operating activities is determined using the indirect method.

The cash and cash equivalents in the cash flow statement comprise all cash and cash equivalents reported in the balance sheet (i.e. cash on hand, cheques and bank balances) that are available within three months. The cash and cash equivalents are not subject to any restrictions on disposal.

The following table shows a reconciliation of liabilities from financing activities (liabilities to banks, lease liabilities and financial liabilities to leasing companies; the latter two are reported under "Other current financial liabilities" and "Other non-current financial liabilities" in the balance sheet), showing the changes that occurred during the reporting period:

(in T€) Balance as
at 1.1.2025		 Cash
effective		 Changes not affecting cash flow Balance as at
31.12.2025
changes from company
acquisitions/
sales		 from exchange
rate differences		 from newly
concluded
contracts		 from other
changes
Liabilities to banks 1,104 -931 0 0 0 0 173
Lease liabilities 149,369 -23,524 -19 19 34,054 4,071 163,970
Financial liabilities to leasing
companies		 43,511 -4,285 0 58 0 1,424 40,708
193,984 -28,740 -19 77 34,054 5,495 204,851

Apart from the non-cash transactions presented in the previous table and in the previous sections, no significant non-cash transactions took place in the reporting or comparative period in the area of financing.

In the reporting and comparative periods, CANCOM entered into additional agreements with a supplier that enable the latter to sell its receivables to financial service providers (supplier financing agreements). This grants CANCOM an additional 60 days' payment term; without such agreements, the payment term would be 10 days. In return, CANCOM has to pay a fee for each day that it makes use of the extended payment term, which is determined on the basis of the 3-month EURIBOR plus a surcharge. As the additional agreements constitute a significant contract modification in relation to the original supplier contract in accordance with IFRS 9, the resulting trade liabilities must be derecognised and reported under the balance sheet item "Other current financial liabilities" as "Financial liabilities to financial service providers". At the end of the reporting period, an amount of € 154 thousand (comparative period: € 710 thousand) was reported under this item due to supplier financing agreements; as the supplier sells its corresponding receivables directly to the financial services provider, CANCOM assumes that the supplier had received payments in this amount at the end of the reporting period. In the cash flow statement, changes in such financial liabilities to financial service providers are presented within cash flow from operating activities, as from an economic perspective the payments are payments in connection with the operating activities of the CANCOM Group.

The item "Proceeds/payments resulting from financial liabilities to leasing companies and proceeds resulting from sublease transactions" included in cash flow from financing activities

comprises, on the one hand, proceeds/payments resulting from disposals carried out as part of sale and leaseback transactions (see section A.3.28 of the consolidated financial statements) that are not classified as sales in accordance with IFRS 15 (from financial liabilities) in the amount of € -4,285 thousand (comparative period: € -6,045 thousand). On the other hand, in the reporting period, this includes payments received from such disposals that are classified as sales in accordance with IFRS 15 (from lease liabilities) in the amount of € 16,218 thousand (comparative period: € 15,931 thousand). The latter cash inflows from lease liabilities are cash flows from disposals in which the associated cash inflows from leasing to CANCOM customers (i.e. from the sublease) are reported in cash flow from operating activities.

D.2. Segment reporting

Segment information is provided in accordance with the provisions of IFRS 8. The segment information is based on the segmentation used for internal management purposes.

The CANCOM Group reports on two business segments – Germany and International.

Management controls the CANCOM Group on the basis of the services, goods and software offered in these two business segments. All companies based in Germany form the Germany business segment. The International business segment therefore includes all companies based outside Germany. The list of shareholdings, which forms part of the consolidated financial statements, shows which company is assigned to which business segment.

Segment information

(in T€) Germany International
1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024		 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
Revenue
Revenue from external customers 1,092,611 1,134,730 622,092 602,889
Revenue between business segments 23,838 13,744 25,736 28,817
Total income 1,116,449 1,148,474 647,828 631,706
Cost of materials/expenses for purchased services -702,602 -711,338 -370,158 -364,703
Personnel expenses -281,688 -283,847 -189,619 -183,781
Other income and expenses -92,081 -83,526 -25,405 -39,963
EBITDA 40,078 69,763 62,646 43,259
Depreciation of property, plant and equipment,
software and rights of use		 -41,483 -41,110 -13,241 -12,352
Scheduled amortisation on customer bases etc. -3,728 -5,500 -5,074 -6,082
Operating profit (EBIT) -5,133 23,153 44,331 24,825
Interest income 3,811 5,473 1,924 1,835
Interest expenses -3,715 -3,814 -3,402 -3,676
Other financial result (not affecting EBIT) 914 362 -1,064 653
Result before income taxes -4,123 25,174 41,789 23,637
Income taxes 384 -10,076 -9,532 -5,212
Profit from discontinued operations 0 0 0 0
Profit for the period -3,739 15,098 32,257 18,425
Total business segments Reconciliation Consolidated
1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024		 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024		 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
1,714,703 1,737,619
49,574 42,561 -49,574 -42,561
1,764,277 1,780,180 -49,574 -42,561 1,714,703 1,737,619
-1,072,760 -1,076,041 27,157 18,469 -1,045,603 -1,057,572
-471,307
-117,486		 -467,628
-123,489		 51
22,366		 0
24,092		 -471,256
-95,120		 -467,628
-99,397
102,724 113,022 0 0 102,724 113,022
-54,724 -53,462 0 0 -54,724 -53,462
-8,802 -11,582 0 0 -8,802 -11,582
39,198 47,978 0 0 39,198 47,978
5,735 7,308 -532 -557 5,203 6,751
-7,117 -7,490 532 557 -6,585 -6,933
-150 1,015 0 0 -150 1,015
37,666 48,811 0 0 37,666 48,811
-9,148 -15,288 0 0 -9,148 -15,288
0 0 0 0 0
28,518 33,523 0 0 28,518 33,523

D.2.1. Basis of measurement for the results of the business segments

The accounting methods used in internal reporting on the business segment correspond to the recognition and measurement methods described in section A.3 of the consolidated financial statements. No asymmetric allocations are made when allocating expenses and income to reportable segments.

Internal revenue is recognised either on a cost basis or on the basis of current market prices, depending on the type of service.

Segment assets, segment liabilities and investments are not presented, as internal reporting is based exclusively on earnings figures by business segment for the purposes of group management.

D.2.2. Reconciliation statements

The reconciliation item shows items that are not directly related to the business segments. These include sales between the business segments.

D.2.3. Information about geographical areas and products and services

(in T€) Revenue by customer location
2025 2024
Germany 1,035,983 1,056,301
Austria 484,018 476,781
Romania 49,394 51,889
Switzerland 31,374 32,959
Other countries 113,934 119,689
Total Group 1,714,703 1,737,619
(in T€) Non-current assets
31.12.2025 31.12.2024
Germany 350,291 330,975
Austria 162,232 211,009
Other countries 12,083 16,262
Total Group 524,606 558,246

Significant revenue and significant non-current assets allocated to foreign countries relate to Austria in the reporting period (comparative period: Austria).

In the reporting period and the comparative period, no individual customer accounted for 10 percent or more of the CANCOM Group's revenue. There are therefore no disclosure requirements with regard to dependencies on customers.

Non-current assets include all non-current assets except deferred tax assets and financial instruments.

Information on revenue from external customers for each product and service or for each group of comparable products and services is not provided, as the information is not available and the costs of collecting it would be excessive.

D.3. Leases

D.3.1. CANCOM as lessee

CANCOM leases a wide range of different assets. The leased assets are allocated to the categories "Land and buildings", "Operating and office equipment" and "Motor vehicles". The leases have terms of between two and 14 years. The following table contains information on leases in which CANCOM is the lessee:

(in T€) Land and buildings
Operating and
office equipment		 Motor vehicles Total
2025 2024 2025 2024 2025 2024 2025 2024
Rights of use
Depreciation 14,068 14,247 1,736 2,366 10,501 8,897 26,305 25,510
Income from subleasing 0 0 2,303 1,662 0 0 2,303 1,662
Additions 17,570 6,580 1,304 872 14,773 15,820 33,647 23,272
Carrying amounts as at 31.12. 79,918 87,311 2,395 2,814 33,956 29,715 116,269 119,840
Lease liabilities
Interest expenses 1,763 1,682 1,155 1,201 1,502 1,107 4,420 3,990
Total cash outflows for leases 16,118 16,154 16,484 21,628 11,583 9,696 44,185 47,478
Gains/losses from sale and
leaseback transactions		 12,967 0 0 0 0 0 12,967 0

In the 2019 financial year, the CANCOM Group carried out a significant sale and leaseback transaction. This involved the sale and leaseback of a property in Jettingen-Scheppach in September 2019 via a leasing company (see also section A.2.1.4 of the consolidated financial statements). The lease payments resulting from the lease-back amounted to € 992 thousand in the reporting period (comparative period: € 1,008 thousand).

A significant sale and leaseback transaction was carried out in the CANCOM Group in the reporting period. This involved the sale and leaseback of a property in Vienna in December 2025. A gain of € 12,967 thousand was recognised from the sale, which is included in "Other operating income" in the presentation of the Result for the period. The lease payments resulting from the leaseback amounted to € 657 thousand in the reporting period.

Leases in which CANCOM acts as the lessee may include extension options. These are taken into account when determining the term or lease payments if their exercise is deemed sufficiently certain. The extension options not taken into account in the lease payments would increase the lease payments in the years 2027 (comparative period: 2027) to 2049 (comparative period: 2049) and result in a total cash outflow of € 59,925 thousand (comparative period: € 45,508 thousand).

Termination options of the lessee lead to a reduction in the term or a reduction in the lease payments if the exercise is considered sufficiently certain. In principle, CANCOM does not expect to exercise termination options, so that the full basic lease term is taken into account when determining the term or the lease payments.

For a presentation of future interest and repayment payments from lease liabilities, please refer to section D.6.2 of the consolidated financial statements.

D.3.2. CANCOM as lessor

D.3.2.1. Finance leases

In the reporting period and the comparative period, CANCOM sold merchandise to leasing companies and immediately leased the merchandise back from these leasing companies (sale and leaseback transactions) in order to then lease the merchandise to CANCOM customers. The term of the leases ranged from one to six years. In the reporting and comparative periods, approximately half of the new transactions relating to sales to leasing companies were classified as sales in accordance with IFRS 15 and approximately half of the new transactions were classified as non-sales in accordance with IFRS 15 (see section A.3.28 of the consolidated financial statements for the two cases to be distinguished in sale and leaseback transactions). The non-guaranteed residual values were estimated to be relatively low, so there are hardly any risks in this regard. There are no variable lease payments or other risk-bearing agreements.

If disposals to leasing companies carried out as part of sale and leaseback transactions were classified as sales in accordance with IFRS 15, CANCOM recognised pro rata revenue and pro rata cost of materials/expenses for purchased services. In the reporting period, the gains from these sale and leaseback transactions amounted to € 1,301 thousand (comparative period: € 1,138 thousand).

The following table shows the amounts recognised in the presentation of the Result for the period for finance leases in the reporting period and the comparative period:

(in T€) 2025 2024
Gains/losses on disposal 1,944 1,341
Finance income on net investment in
the lease		 2,673 2,920
Impairment losses or reversals of
impairment losses on finance lease
receivables -12 5
Income from variable lease payments
not included in the measurement		 0 0

In the reporting period, carrying amounts for the net investment in the lease totalled € 71,153 thousand (comparative period: € 73,987 thousand).

The following table shows the undiscounted future lease payments for receivables from finance leases and a reconciliation to the net investment in the lease for the reporting period and the comparative period:

(in T€) 2025 2024
Finance lease payments due within
1 year 33,301 33,727
Finance lease payments due between
1 and 5 years		 40,225 43,557
Finance lease payments due in over
5 years 2,109 2,139
Total finance lease payments
(undiscounted) 75,635 79,423
Non-guaranteed residual values 0 0
Interest income not yet realised 4,418 5,384
Present value of lease payments
to be received 71,217 74,039
Impairment losses on finance lease
receivables -64 -52
Net investment in the lease 71,153 73,987

D.3.2.2. Operating leases

In the reporting period and the comparative period, CANCOM was only involved to an insignificant extent as a lessor in operating leases.

None of the assets reported in the reporting period and the comparative period (see section B.8 of the consolidated financial statements) were involved in operating leases.

D.4. Share-based payments

The following share-based payments exist in the CANCOM Group:

  • equity-settled share-based payments (issued by CANCOM SE),
  • Share-based payments with cash settlement (issued by CANCOM SE).

D.4.1. Option rights issued by CANCOM SE

On the basis of the authorisation pursuant to agenda item 9 of the Annual General Meeting on 14 June 2018 regarding the granting of subscription rights (share options) and the creation of Contingent Capital I/2018, the Group introduced a share option programme (settled with equity instruments) that entitles members of the management and selected employees of the company or affiliated companies to purchase shares in the company. Under the programme ("ESOP 2018"), holders of exercisable options have the right to purchase shares at the market price of the shares on the date of grant. The share option programme entitles the following groups of beneficiaries to purchase shares:

  • Group 1: Members of the Executive Board;
  • Group 2: Members of the management of affiliated companies;
  • Group 3: Managers of the company;
  • Group 4: Managers of affiliated companies.

The option rights can be exercised under the following contractual conditions at a ratio of 1:1 to subscribe for new no-par value bearer shares in CANCOM SE with a pro rata share of the share capital of € 1.00 per share. The option rights can be exercised for the first time after four years of service from the date of grant. Further staggered waiting periods ("vesting periods") determine the vesting of 50 percent after two years, a further 25 percent after three years and the remaining 25 percent after four years. If the employment relationship is suspended, the expiry of the vesting periods is suspended and the vesting periods are extended by the corresponding period after the suspended employment relationship is resumed. The option rights can be exercised after the waiting period has expired within a term of ten years after the date of issue.

The option rights may be exercised within a period of ten years after the date of issue following the expiry of the waiting period.

  • the relevant reference price exceeds the exercise price by at least 5 percent p.a. on a linear basis ("absolute performance target"), and
  • the price of CANCOM SE shares has outperformed the unweighted average price of peer group shares over the same period between the date of issue and the date of exercise of the option right ("relative performance target").

On 17 August 2018, 585,000 share options were issued (tranche 1). A further 23,000 share options were issued on 2 July 2019 (tranche 2). On 6 May 2020, a further 150,000 share options were issued (tranche 3).

In 2018, 30,000 share options (belonging to tranche 1, group 2) will expire, in 2019, 20,000 share options (belonging to tranche 1, group 4) will expire, in 2020, 228,000 share options (200,000 options belonging to tranche 1, group 1; 20,000 options belonging to tranche 1, group 4; 8,000 options belonging to tranche 2, group 4), in 2021, 4,527 share options (2,027 options belonging to tranche 1, group 3; 2,500 options belonging to tranche 1, group 4) will expire in 2021 due to changes in non-fulfilment of service conditions; in 2022, 77,133 share options (2,133 options belonging to tranche 1, group 3; 75,000 options belonging to tranche 3, group 1) will expire in 2022, and 39,116 share options (9,116 options belonging to tranche 1, group 3; 30,000 options belonging to tranche 1, group 4) will expire in 2023, 20,000 share options (20,000 options belonging to tranche 1, group 4) will expire in the comparative period, and 50,000 share options (20,000 options belonging to tranche 1,

group 2; 15,000 options belonging to tranche 1, group 3; 15,000 options belonging to tranche 2, group 2) expired in the reporting period, meaning that 289,224 share options (comparative period: 339,224 share options) were actually outstanding and exercisable at the end of the reporting period. Of the 289,224 share options, 214,224 share options are attributable to tranche 1 (group 1: 60,000 share options, group 2: 50,000 share options, group 3: 16,724 share options, group 4: 87,500 share options, taking into account a transfer of 20,000 options from Group 2 to Group 4 in 2020) and 75,000 share options to Tranche 3 (Group 1: 75,000 share options). In the comparative period, of the 339,224 share options, 249,224 share options are attributable to tranche 1 (group 1: 60,000 share options, group 2: 70,000 share options, Group 3: 31,724 share options, Group 4: 87,500 share options, taking into account a transfer of 20,000 options from Group 2 to Group 4 in 2020), 15,000 share options on tranche 2 (group 2: 15,000 share options) and 75,000 share options on tranche 3 (group 1: 75,000 share options). The share options still outstanding at the end of the reporting period have a weighted average contract term of 2.0 years.

The conditional capital 2018/I of € 1,500 thousand entered in the commercial register on the date of issue or conditional capital to be resolved in the future, authorised capital to be created for this purpose in the future, or treasury shares of the company shall serve to secure and exercise the option rights, provided that the company does not grant cash compensation in fulfilment of the subscription rights.

The fair value of the share options was determined using a multivariate binomial tree model. In particular, an arbitrage-free and risk-neutral capital market and the possibility of reproducing the safe investment were assumed. The volatility indicator used is the standard deviation of the continuous return on the share over a specific period, converted to an annual basis; the expected volatility used is based on historical volatility. The absolute and relative performance targets were taken into account in the multivariate binomial tree model.

Exercise conditions that are not market conditions are not included in the estimate of the fair value of the share options. Instead, exercise conditions that are not market conditions must be taken into account by adjusting the number of equity instruments included in the determination of the transaction amount. The amount recognised for the service is therefore ultimately based on the number of equity instruments that can ultimately be exercised.

For tranche 1, the fair value per share option on the date of grant was € 10.40 (group 1), € 9.78 (group 2), € 9.33 (group 3) and € 9.39 (group 4) respectively. Furthermore, to determine the fair values for the share-based payments on the date of grant for all groups, a share price on the date of grant of € 39.60, an exercise price of € 40.72, an expected volatility of 28.98 percent, expected dividends of 1.11 percent and a risk-free interest rate (based on government bonds) of 0.02 percent. The expected volatility is based on an assessment of the historical volatility of the share price of the company and the peer group. The weighted average fair value of the share options issued in Tranche 1 was € 9.91 on the date of grant.

For Tranche 2, the fair value per share option on the date of grant was € 13.80 (Group 2) and € 13.17 (Group 4), respectively. Furthermore, to determine the fair values for the share-based payments on the date of grant for both groups, a share price on the date of grant of € 47.50, an exercise price of € 46.68, an expected volatility of 33.13 percent, expected dividends of 1.11 percent and a risk-free interest rate (based on government bonds) of -0.53 percent. The expected volatility is based on an assessment of the historical volatility of the share price of the company and its peer group. The weighted average fair value of the share options issued in Tranche 2 was € 13.58 on the date of grant.

For Tranche 3, the fair value per share option on the date of grant was € 14.47 (Group 1). To determine the fair value of the share-based payment, a share price on the date of grant of € 48.30, an exercise price of € 46.83, an expected volatility of 36.61 percent, expected dividends of 1.11 percent and a risk-free interest rate (based on government bonds) of -0.65 percent. The expected volatility is based on an assessment of the historical volatility of the share price of the company and its peer group.

Expenses for share-based payments settled with equity instruments were last incurred at the end of the vesting period, taking into account expired options for all tranches issued in the 2023 financial year.

D.4.2. Variable Executive Board remuneration (committed performance shares) issued by CANCOM SE

In the course of his appointment in the 2021 financial year, member of the Executive Board Rüdiger Rath was granted long-term variable remuneration (long-term incentives, LTI), which is classified as share-based payments with cash settlement for future performance. In each financial year, the member of the Executive Board is granted an amount per tranche (€ 175,000 on an annual basis; this corresponds to a target remuneration of 100 percent), the receipt of which is dependent on targets to be met over a three-year target achievement period. With the appointment

of Rüdiger Rath as Chief Executive Officer, an adjustment to € 210,000 was agreed with effect from the 2023 financial year, and with the contract extension on 28 February 2025, an adjustment to € 200,000 was agreed with effect from March 2025. Tranche 1 (LTI 2021) relates to the variable remuneration for the 2021 financial year, for which the three-year target achievement period of the 2021, 2022 and 2023 financial years is relevant. Tranche 2 (LTI 2022) relates to variable remuneration for the 2022 financial year, for which the three-year target achievement period of the 2022, 2023 and 2024 financial years is relevant. This continues accordingly for the other tranches.

With effect from 1 January 2023, member of the Executive Board Thomas Stark switched to the 2021 remuneration system, which involves the granting of long-term variable remuneration (long-term incentives, LTI), classified as share-based payments with cash settlement for future performance. In each financial year, the member of the Executive Board is granted an amount per tranche (€ 155,000 on an annual basis; this corresponds to a target remuneration of 100 percent), the receipt of which is dependent on targets to be met over a three-year target achievement period. Thomas Stark is participating in Company Tranche 3 (LTI 2023) for the first time in relation to variable remuneration for the 2023 financial year, for which the three-year target achievement period of the 2023, 2024 and 2025 financial years is relevant. This continues accordingly for the other tranches.

Due to his move from the Executive Board of K-Businesscom AG (now CANCOM Austria AG) to the Executive Board of CANCOM SE, Mr Jochen Borenich was granted long-term variable remuneration (long-term incentives, LTI) from 1 August 2023, which is classified as share-based payments with cash settlement for future performance. In each financial year, the member of the Executive Board is granted an amount per tranche (€ 180,000 on an annual basis; this corresponds to a target remuneration of 100 percent), the receipt of which is dependent on targets to be met over a three-year target achievement period. Jochen Borenich participates pro rata in company tranche 3 (LTI 2023) with regard to variable remuneration for the 2023 financial year, for which the three-year target achievement period of the 2023, 2024 and 2025 financial years is relevant. As Jochen Borenich left the Executive Board of CANCOM SE with effect from 31 December 2024, he was granted share-based payments with cash settlement for the last time for the 2024 financial year, for which the three-year target achievement period of the 2024, 2025 and 2026 financial years is relevant.

The new remuneration system established in 2025 will apply uniformly to all members of the Executive Board with effect from 1 January 2026.

The tranches granted to the members of the Executive Board with the parameters used at the time of issue are shown in the following table.

Beneficiary
Executive
Board member		 Tranche,
designation		 Date of
issue		 Time reference
Amount granted		 Amount
granted per
year
in €		 Proportio
nate amount
granted
per year in €		 Fair value at
issue per share
in €		 Number of
performance
shares
allocated		 Fair value
at issue per
tranche
in €
Rüdiger Rath Tranche 1, LTI 2021 23. 9.2021 1.10. to 31.12.2021, 3/12 175,000 43,750 52.59 805 42,335
Rüdiger Rath Tranche 2, LTI 2022 7.12.2021 1.1. to 31.12.2022, 12/12 175,000 175,000 62.69 2,850 178,667
Rüdiger Rath Tranche 3, LTI 2023 14.12.2022 1.1. to 31.12.2023, 12/12 210,000 210,000 29.42 7,340 215,943
Rüdiger Rath Tranche 4, LTI 2024 12.12.2023 1.1. to 31.12.2024, 12/12 210,000 210,000 26.63 7,895 210,244
Rüdiger Rath Tranche 5, LTI 2025 13.12.2024 1.1. to 31.12.2025, 12/12 210,000 210,000 23.81 8,777 208,980
Rüdiger Rath Tranche 5, LTI 2025 13.12.2024 1.1. to 31.12.2025, 12/12 -8,333 -8,333 23.81 -350 -8,334
Rüdiger Rath Tranche 6, LTI 2026 22.12.2025 1.1. to 31.12.2026, 12/12 200,000 200,000 26.98 7,610 205,318
Thomas Stark Tranche 3, LTI 2023 14.12.2022 1.1. to 31.12.2023, 12/12 155,000 155,000 29.52 5,418 159,939
Thomas Stark Tranche 4, LTI 2024 12.12.2023 1.1. to 31.12.2024, 12/12 155,000 155,000 26.75 5,827 155,872
Thomas Stark Tranche 5, LTI 2025 13.12.2024 1.1. to 31.12.2025, 12/12 155,000 155,000 23.91 6,478 154,889
Thomas Stark Tranche 6, LTI 2026 22.12.2025 1.1. to 31.12.2026, 12/12 155,000 155,000 26.90 5,898 158,656
Jochen Borenich Tranche 3, LTI 2023 14. 6.2023 1.8. to 31.12.2023, 5/12 180,000 75,000 27.46 2,547 69,941
Jochen Borenich Tranche 4, LTI 2024 12.12.2023 1.1. to 31.12.2024, 12/12 180,000 180,000 26.20 6,767 177,295

The following table shows the fair values of the performance shares granted per tranche at the end of the reporting period and the valuation parameters used in the calculation. The expected

volatility is based on an assessment of the historical volatility of the company's share price.

Beneficiary
Executive		 Tranche, designation Fair value
as at 31.12.2025		 Parameters for determining the fair value per share as at 31 December 2025
Board member per share
in €		 Share price
per share
in €		 Expected
volatility
in %		 Maximum
remuneration
in €		 Expected
dividend
in %		 Risk-free
interest rate
in %
Rüdiger Rath Tranche 3, LTI 2023 29.47 26.65 27.10 729,767 3.78 2.02
Rüdiger Rath Tranche 4, LTI 2024 28.52 26.65 40.13 736,952 3.78 2.04
Rüdiger Rath Tranche 5, LTI 2025 27.65 26.65 35.80 735,838 3.78 2.13
Rüdiger Rath Tranche 6, LTI 2026 26.66 26.65 35.78 745,838 3.78 2.23
Thomas Stark Tranche 3, LTI 2023 29.47 26.65 27.10 575,866 3.78 2.02
Thomas Stark Tranche 4, LTI 2024 28.52 26.65 40.13 581,200 3.78 2.04
Thomas Stark Tranche 5, LTI 2025 27.64 26.65 35.80 545,053 3.78 2.13
Thomas Stark Tranche 6, LTI 2026 26.59 26.65 35.78 545,053 3.78 2.23
Jochen Borenich Tranche 3, LTI 2023 29.47 26.65 27.10 219,042 3.78 2.02
Jochen Borenich Tranche 4, LTI 2024 28.52 26.65 40.13 530,422 3.78 2.04

For each tranche, the target is used to determine the number of shares that the members of the Executive Board will receive at the end of the respective target achievement period, which corresponds to the amount granted annually (allocated performance shares). The allocated performance shares are calculated by dividing the amount granted annually by the average share price 30 trading days prior to the target being set. At the end of the target achievement period relevant for each tranche, the degree of target achievement for the tranche is determined. The

number of performance shares to be used as the basis for payment (to be paid) is calculated by multiplying the originally allocated performance shares by the degree of target achievement. Payment is made in cash after a vesting period of four years from the date on which the respective target was set; payment entitlements already earned do not expire. The payment amount is determined by multiplying the performance shares to be paid by the average share price 30 trading days prior to the determination of target achievement plus dividend equivalent.

The respective tranche remains in place subject to the members of the Executive Board completing a period of service. This period of service extends over the duration of the respective financial year to which the tranche relates. For example, tranche 1 (LTI 2021) was earned in instalments over the period from 1 January 2021 to 31 December 2021.

The income for share-based payment agreements with cash settlement from committed performance shares amounted to € 357 thousand in the reporting period (comparative period: expense of € 143 thousand). The recognised provision at the end of the reporting period was € 302 thousand (comparative period: € 678 thousand). At the end of the reporting period, expenses and liabilities relating to tranche 3 (LTI 2023), tranche 4 (LTI 2024), tranche 5 (LTI 2025) and, on a pro rata basis, tranche 6 (LTI 2026) with a binding agreement, as the targets for the tranches had been set, the financial performance criteria had been determined, the allocated performance shares had been determined and the vesting period had begun. Tranche 1 (LTI 2021) was paid out in the amount of € 19 thousand with a target achievement level of 76.6 percent due in the reporting period, and Tranche 2 (LTI 2022) was determined to be € 0 after the end of the target achievement period 2022, 2023, 2024, with a value of € 0 due to the minimum target achievement of 70 percent not being reached.

The fair value of the liability from promised performance shares was determined using a binomial tree model. In particular, an arbitrage-free and risk-neutral capital market and the possibility of reproducing the safe investment were assumed. The volatility indicator used is the standard deviation of the continuous return on the share over a specific period, converted to an annual basis; the expected volatility used is based on historical volatility.

Exercise conditions that are not market conditions are not included in the estimate of the fair value of the liability arising from the promised performance shares. Instead, they are taken into account by adjusting the number of bonuses that are included in the measurement of the liability associated with the remuneration. The target achievement conditions for Tranche 1 (LTI 2021) – achievement of certain EBITA targets in the 2021, 2022 and 2023 financial years – constitute exercise conditions that are not market conditions. Similarly, the target achievement conditions for tranche 2 (LTI 2022) – achievement of certain EBITA targets in the 2022, 2023 and 2024 financial years – constitute exercise conditions that are not market conditions. This also applies to the target achievement conditions for tranche 3 (LTI 2023) – achievement of certain EBITA targets in the 2023, 2024 and 2025 financial years – and in relation to the target achievement conditions for tranche 4 (LTI 2024) – achievement of certain EBITA targets in the financial years 2024, 2025, 2026 – as well as in relation to the target achievement conditions for tranche 5 (LTI 2025) – achievement of certain EBITA targets in the financial years 2025, 2026, 2027 – and in relation to the target achievement conditions for tranche 6 (LTI 2026) – achievement of certain earnings per share targets in the financial years 2026, 2027, 2028.

The following table shows the fair values of the liabilities and provisions recognised for the respective tranches and the parameters used for measurement at the end of the reporting period. The table also contains information on the development of provisions and the respective weighted average contract terms of the performance shares still outstanding at the end of the reporting period.

Beneficiary
Executive
Board member		 Tranche,
designation		 Fair value of
the liability
as at 1.1.2025		 Consumpti
on in 2025
in T€		 Addition,
reversal
2025
in T€		 Fair value of
the liability as
at 31.12.2025		 Parameters for determining
the fair value of the liability
as at 31.12.2025		 Weighted
average contract
term of outstan
in T€ in T€ Fair value
per share
in €		 Number of
performance
shares
allocated		 Target
achievement
rate
in %		 ding shares
as at 31.12.2025
in years
Rüdiger Rath Tranche 1, LTI 2021 19 -19 0 0 / / / /
Rüdiger Rath Tranche 2, LTI 2022 0 0 0 0 / / / /
Rüdiger Rath Tranche 3, LTI 2023 138 0 -138 0 29.47 7,340 65.9 1.0
Rüdiger Rath Tranche 4, LTI 2024 136 0 -136 0 28.52 7,895 56.3 2.0
Rüdiger Rath Tranche 5, LTI 2025 10 0 156 166 27.65 8,427 71.1 3.0
Rüdiger Rath Tranche 6, LTI 2026 0 0 5 5 26.66 7,610 100.0 4.0
Thomas Stark Tranche 3, LTI 2023 102 0 -102 0 29.47 5,418 65.9 1.0
Thomas Stark Tranche 4, LTI 2024 101 0 -101 0 28.52 5,827 56.3 2.0
Thomas Stark Tranche 5, LTI 2025 7 0 120 127 27.64 6,478 71.1 3.0
Thomas Stark Tranche 6, LTI 2026 0 0 4 4 26.59 5,898 100.0 4.0
Jochen Borenich Tranche 3, LTI 2023 48 0 -48 0 29.47 2,547 65.9 1.5
Jochen Borenich Tranche 4, LTI 2024 117 0 -117 0 28.52 6,767 56.3 2.0
678 -19 -357 302

D.5. Further information on financial instruments

The following table shows the carrying amounts of financial assets and financial liabilities by measurement category in accordance with IFRS 9 and the fair values for the reporting period:

(in T€) Carrying
amount		 FA_AC1 FA_FVOCI2 FA_FVPL/
FL_FVPL3		 FL_AC4 No
category		 Fair value
31.12.2025
31.12.2025 Amortised
cost		 Fair
value		 Fair
value		 Amortised
cost		 Accounting in
accordance
with IFRS 16
and IAS 19
Current assets
Cash and cash equivalents 198,902 198,902 198,902
Trade receivables 431,315 431,315 431,315
Other current financial assets 63,411 32,397 31,014 63,411
- Receivables from
finance leases		 30,980 30,980
- Other items 32,397 34 32,431
Non-current assets
Financial assets and loans 33 33 33
Other non-current
financial assets		 46,942 5,776 41,166 45,179
- Receivables from
finance leases		 40,173 38,410
- Other items 5,776 993 6,769
Current liabilities
Current liabilities to banks 173 173 173
Trade liabilities 424,294 424,294 424,294
Other current financial liabilities 67,211 1,062 26,736 39,413 67,211
- Lease liabilities 39,413 39,413
- Contingent consideration in
accordance with IFRS 3		 812 812
- Derivative financial liabilities 250 250
- Other items 26,736 26,736
Non-current liabilities
Other non-current financial
liabilities		 152,058 2,962 24,540 124,556 /
- Lease liabilities 124,556 /
- contingent consideration in
accordance with IFRS 3		 2,735 2,735
- Derivative financial liabilities 227 227
- Other items 24,540 23,367
Total assets 740,603 668,390 33 0 / 72,180 738,840
Total liabilities 643,736 / / 4,024 475,743 163,969 /

1) Measurement category "financial assets measured at amortised cost".

2) Measurement category "financial assets measured at fair value through other comprehensive income".

3) Measurement category "financial assets measured at fair value through profit or loss" or "financial liabilities measured at fair value through profit or loss".

4) Measurement category "financial liabilities measured at amortised cost".

The following table shows the carrying amounts of financial assets and financial liabilities by measurement category in accordance with IFRS 9 and the fair values for the comparative period:

(in T€) Carrying
amount		 FA_AC1 FA_FVOCI2 FA_FVPL/
FL_FVPL3		 FL_AC4 No
category		 Fair value
31.12.2024
31.12.2024 Amortised
cost		 Fair
value		 Fair
value		 Amortised
cost		 Accounting in
accordance
with IFRS 16
and IAS 19
Current assets
Cash and cash equivalents 144,674 144,674 144,674
Trade receivables 423,754 423,754 423,754
Other current financial assets 54,483 21,630 1,128 31,725 54,483
- Receivables from finance
leases		 30,699 30,699
- derivative financial assets 1,128 1,128
- Other items 21,630 1,026 22,656
Non-current assets
Financial assets and loans 33 33 33
Other non-current
financial assets		 47,821 3,923 292 43,606 45,389
- Receivables from finance
leases		 43,288 40,856
- derivative financial assets 292 292
- Other items 3,923 318 4,241
Current liabilities
Current liabilities to banks 854 854 854
Trade liabilities 376,617 376,617 376,617
Other current financial liabilities 67,012 4,699 27,004 35,309 67,012
- Lease liabilities 35,309 35,309
- Contingent consideration in
accordance with IFRS 3		 4,699 4,699
- Other items 27,004 27,004
Non-current liabilities
Non-current liabilities to banks 250 250 227
Other non-current financial
liabilities		 146,214 4,264 27,890 114,060 /
- Lease liabilities 114,060 /
- contingent consideration in
accordance with IFRS 3		 4,264 4,264
- Other items 27,890 26,452
Total assets 670,765 593,981 33 1,420 / 75,331 668,333
Total liabilities 590,947 / / 8,963 432,615 149,369 /

1) Measurement category "financial assets measured at amortised cost".

2) Measurement category "financial assets measured at fair value through other comprehensive income".

3) Measurement category "financial assets measured at fair value through profit or loss" or "financial liabilities measured at fair value through profit or loss".

4) Measurement category "financial liabilities measured at amortised cost".

For cash and cash equivalents (liquid funds) and other short-term financial instruments, i.e. Trade receivables, other short-term financial assets, current liabilities to banks, trade liabilities and other short-term financial liabilities, the fair values correspond to the carrying amounts recognised on the respective reporting dates.

The valuation of financial assets and financial liabilities is performed at fair value based on the availability of relevant information and the three levels of the measurement hierarchy set out in IFRS 13. For level 1, quoted market prices for identical assets and liabilities in active markets are directly observable. In the second level, the measurement is based on valuation models that incorporate market-observable variables (e.g. interest rates, exchange rates). The third level provides for the use of valuation models that do not rely on market-observable input factors.

For the securities included in the balance sheet item "Financial investments and loans", the fair value corresponds to the market price on the reporting date multiplied by the number of securities held (level 1).

The fair value of forward exchange transactions is determined using a discounted cash flow method. Future payments are estimated on the basis of forward exchange rates (observable rates on the reporting date) and the contracted forward exchange rates, discounted at an interest rate that takes into account the credit risk of the various counterparties (Level 2).

The fair values of non-current receivables from finance leases and other items within other non-current financial assets, as well as non-current liabilities to banks, are determined as the present values of the expected payments from the assets and liabilities and on the basis of market interest rates for comparable financial instruments (Level 2).

The fair values of lease liabilities are not disclosed with reference to IFRS 7.29 (d).

The fair values determined for contingent considerations from company acquisitions are based on different valuation models. Since, in addition to input factors observable on the market (e.g. risk-adjusted discount rates), company-specific (and therefore not observable on the market) input factors are also included in the respective valuation model, these are assigned to level 3. Specifically, these are the following items:

  • four contingent purchase price liabilities from the acquisition of NWC Services GmbH, which were recognised for the first time at the end of the 2022 financial year;
  • three contingent purchase price liabilities incurred by the CANCOM Group in connection with the acquisition of the KBC Group (now CANCOM Austria Group) in the 2023 financial year;
  • four contingent purchase price liabilities from the acquisition of SBSK GmbH & Co. KG, which were recognised for the first time in the comparative period.

The contingent considerations resulting from the acquisition of the shares in NWC Services GmbH are performance-related components (earn-outs); These are contingent payments dependent on the EBIT of the acquired company for a total of four periods up to 30 September 2025 in the amount of € 346 thousand (fair value as at 31 December 2025).

The contingent consideration received by the CANCOM Group in connection with the acquisition of the KBC Group results from previous acquisitions of K-Businesscom AG, St. Gallen, and Belsoft Infortix AG, Zurich. Belsoft Infortix AG was merged with K-Businesscom AG in the 2023 financial year; K-Businesscom AG was renamed CANCOM Switzerland AG, Zurich. The contingent considerations are also performance-related components (earn-outs); they are contingent payments dependent on the EBIT of the acquired companies for a total of three periods up to 31 December 2028 in the amount of € 1,550 thousand (fair value as at 31 December 2025).

The contingent consideration resulting from the acquisition of the shares in SBSK GmbH & Co. KG are performance-related components (earn-outs); These are contingent payments based on the EBIT of the acquired company for a total of four periods up to 31 December 2027 in the amount of € 1,651 thousand (fair value as at 31 December 2025).

The following table shows the development of the contingent consideration, which is classified at fair value in Level 3 of the measurement hierarchy, for the reporting period:

(in T€) Contingent
consideration
Balance as at 1.1.2025 8,963
Change from derecognition/revaluation -1,306
Disposals/offsets -4,110
Balance as at 31 December 2025 3,547

In the reporting period, unrealised income from revaluation amounted to € 1,688 thousand (comparative period: € 2,714 thousand) and unrealised expenses from revaluation amounted to € 382 thousand (comparative period: € 137 thousand), which were recognised in the items "Other financial income" and "Other financial expenses" in the presentation of the Result for the period.

The net results by measurement category for the reporting period and the comparative period are as follows:

(in T€) 2025 2024
Financial assets measured at amortised
cost (FA_AC)		 -346 1,971
Financial assets measured at fair value
through other comprehensive income
(FA_FVOCI)		 5 0
Financial assets/liabilities measured
at fair value through profit or loss
(FA_FVPL/FL_FVPL)		 -1,794 3,585
Financial liabilities measured at
amortised cost (FL_AC)		 356 -3,670
Total -1,779 1,886

Net results by measurement category comprise interest expense, interest income, bank charges, value adjustments and reversals of value adjustments, as well as measurement results from financial instruments recognised at fair value through profit or loss. The valuation result for the measurement category "financial liabilities measured at amortised cost" also includes gains and losses from revaluation.

The application of the effective interest method to measure financial liabilities measured at amortised cost results in interest expense of € 100 thousand (comparative period: € 117 thousand), which is recognised in the result for the period under the item "Interest and similar expenses".

D.6. Risk management

D.6.1. General information on risk management

The aim of CANCOM's risk policy is to identify at an early stage and deal responsibly with risks that could jeopardise the company's existence or are otherwise material. In order to define and ensure adequate risk control, the Executive Board has formulated risk principles and appointed a central risk officer who regularly monitors, measures and, if necessary, controls any risks.

As part of a risk analysis, risks at CANCOM are regularly classified and assessed according to the criteria of probability of occurrence and amount of damage and thus entered into a risk matrix. In this context, all risks are assigned to a responsible person. Where risks can be quantified, appropriately defined key figures are used to assess them. If no precisely definable metrics are available for risks, they are assessed by the responsible persons.

For risks that could jeopardise the company's existence, early warning indicators are defined as part of the early risk detection system. Changes or developments in these indicators are continuously monitored and discussed in risk management meetings. Regular risk management meetings between the Executive Board and risk officers ensure that existing and future risks are monitored continuously and in a timely manner.

D.6.2. Liquidity risks

Liquidity risk is the risk that the company will not be able to meet its payment obligations at a contractually agreed date.

Due to its strong equity base and fundamentally long-term financing structure, CANCOM is only exposed to liquidity risk to a limited extent.

For many years, CANCOM has been using a liquidity management system that monitors liquidity developments and assesses liquidity risks on a daily basis and carries out short-term to long-term liquidity planning.

CANCOM has sufficient net liquidity thanks to profit retention and capital increases. Short-term liquidity is also guaranteed at all times through credit lines and factoring agreements. Long-term liquidity is secured through long-term bank financing and corresponding equity capital. Borrowed funds have been significantly reduced and are predominantly short-term as of the reporting date.

Liquidity risk is minimised through early refinancing of financial liabilities. The following tables show the contractually agreed (undiscounted) interest and principal payments due from the end of the reporting period or the end of the comparative period:

(in T€) 2026 2027 2028 to 2030 2031
and thereafter
Trade liabilities 424,294
Financial liabilities to financial service providers 154
Liabilities to credit institutions 173
Lease liabilities 39,413 31,451 58,046 35,059
Financial liabilities to leasing companies 16,167 10,887 11,662 1,992
Derivative financial liabilities 250 226
Liabilities from contingent consideration 812 343 2,392
Other financial liabilities 10,415
Interest payments payable 4,057 3,012 4,537 2,263
Total 495,735 45,919 76,637 39,314
(in T€) 2025 2026 2027 to 2029 2030
and beyond
Trade liabilities 376,617
Financial liabilities to financial service providers 710
Liabilities to banks 854 125 125
Lease liabilities 35,309 39,519 47,864 26,677
Financial liabilities to leasing companies 15,620 11,939 13,916 2,035
Derivative financial assets -1,128 -292
Liabilities from contingent consideration 4,699 733 3,531
Other financial liabilities 10,674
Interest payments payable 3,661 2,682 2,664 1,221
Total 447,016 54,706 68,100 29,933

The CANCOM Group can draw on credit lines from banks. As of the reporting date of the reporting period, credit and guarantee lines amounted to € 210,006 thousand (comparative period: € 167,893 thousand). The total amount not yet utilised amounted to € 172,525 thousand as of the reporting date (comparative period: € 151,348 thousand). During the reporting and comparative periods, there were no delays in interest and principal payments within the CANCOM Group.

D.6.3. Currency risks

Currency risks arise in particular when receivables, liabilities, cash and cash equivalents and planned transactions are denominated or will arise in a currency other than the Company's functional currency. As CANCOM conducts most of its business in the euro zone and the companies predominantly conduct their transactions in their local currency as their functional currency, currency risks

relating to financial instruments are minimal. Accordingly, there were no significant risk concentrations in relation to currency risks in the reporting period or the comparative period, except for financial instruments denominated in US dollars.

CANCOM does not engage in currency speculation and has an ongoing currency management system in place. Where applicable, foreign currency risks from orders are hedged. The operating units are prohibited from borrowing or investing funds in foreign currencies for speculative reasons. Intra-group financing or investments are preferably carried out in the respective functional currency or on a currency-hedged basis. The conclusion of currency hedging transactions is permitted for designated persons in amounts subject to approval. Approvals for exceeding these amounts are granted by the Executive Board.

IFRS 7 requires a sensitivity analysis to classify the significance of currency risks. Sensitivity analyses are used to determine the impact that a change in the aforementioned exchange rates on the reporting date would have on the CANCOM Group's result for the period and Shareholders' Equity. The effects are determined by applying hypothetical changes in exchange rates of ten percent to the portfolio of relevant financial instruments in foreign currency as of the reporting date. It is assumed that the portfolio as of the reporting date is representative of the reporting period. In the reporting period and the comparative period, sensitivity analyses were performed exclusively on the result for the period in relation to the US dollar. Trade receivables and trade liabilities as well as forward exchange transactions, where applicable, were included.

If the euro had been 10 percent stronger (weaker) against the US dollar at the end of the reporting period, the result for the period would have been € 696 thousand higher (€ 142 thousand lower).

If the euro had been 10 percent stronger (weaker) against the US dollar at the end of the comparative period, the result for the period would have been € 1,612 thousand higher (€ 1,905 thousand lower).

D.6.4. Interest rate risks

Due to its long-term financing, CANCOM is only affected by interest rate risks to a limited extent. In the past, interest rate fluctuations have had only a minor impact on the result for the period, as existing loan agreements were predominantly concluded at fixed interest rates. In addition, CANCOM's strong equity base enables it to take out loans at favourable interest rates.

The CANCOM Group has a risk management system in place for optimising interest rate risks, consisting of ongoing monitoring of market interest rates and its own interest rate terms; in addition, there is constant contact with the banks. Credit line agreements provide for the possibility of adjusting interest rates. Interest rate hedging transactions are only intended to be concluded in the event of significant interest rate fluctuations.

D.6.5. Default risks

Credit risk or default risk refers to the risk that business partners will not meet their contractual payment obligations, resulting in a loss for the CANCOM Group. In general, the CANCOM Group only enters into transactions that comply with specified risk limits in order to minimise credit risks. Before accepting a new customer, the Group uses internal and external credit checks to assess the creditworthiness of potential customers and set their credit limits. Customer assessments and credit limits are reviewed at least once a year.

Default risks generally exist for financial assets. IFRS 9 contains impairment provisions for certain financial assets for accounting purposes. The following table shows the financial assets in the CANCOM Group to which the impairment provisions in IFRS 9 were applied in the reporting period and the comparative period. The table also contains key information on the respective impairment tests. The table shows that the default risks to be recognised in connection with financial assets in the CANCOM Group only existed in relation to trade receivables and contract assets.

Carrying
amount
as at
31.12.2025
(in T€)		 Net
impair
ment loss
(income)
2025
(in T€)		 Carrying
amount
as at
31.12.2024
(in T€)		 Net
impair
ment loss
(gain)
2024
(in T€)		 Type of
investiga
tion		 Value
adjustment
model,
stage classi
fication		 Expected
credit
losses
taken into
account2		 Testing for
increased
default
risk		 Definition
of default
(transition
from
Level 2 to
Level 3)		 Conside
ration of
collateral
Cash and cash
equivalents		 198,902 0 144,674 0 Individual
examina
tion		 Standard
model;
Level 1		 12M_ECL No
(banks
with
investment
grade
rating)		 / No
Claims on banks
from collateral
provided and from
VAT payable1		 17,695 0 0 0 Individual
investiga
tion		 Standard
model;
Level 1		 12M_ECL No
(banks
with
investment
grade
rating)		 / No
Trade receivables,
contract assets		 452,135 -1,238 442,181 -1,800 Group and
individual
analysis		 Simplifica
tion model;
Level 2,3		 L_ECL
(value
adjust
ment
matrix)		 Not
applicable		 Indica
tions of
insolvency
(e.g. ban
kruptcy)		 No
Receivables
from finance leases1		 71,153 -12 73,987 5 Group
investiga
tion		 Simplifica
tion model;
Level 2		 L_ECL
(value
adjust
ment
matrix)		 Not
applicable		 Not
applicable		 No
Receivables
from suppliers1		 10,316 / 14,787 / None
(waived
due to
immateria
lity)		 / / / / /

1) Balance sheet disclosure for "Other current financial assets" or "Other non-current financial assets".

2) L_ECL = expected credit losses over the entire term; 12M_ECL = portion of L_ECL resulting from default events that are possible within the next 12 months after the reporting date.

CANCOM generally considers financial assets to be defaulted if repayment is deemed unlikely. A credit-related impairment exists in particular if CANCOM has indications of financial difficulties or even insolvency on the part of the debtor. An immediate reduction in the gross carrying amount of a financial asset due to uncollectibility is made if, after appropriate assessment, CANCOM cannot assume that the item is wholly or partially realisable or recoverable.

For cash and cash equivalents, expected credit losses are determined on the basis of the default probabilities of the banks at which the balances are held. The default probabilities are determined on the basis of current prices for credit default swaps. The default risk associated with balances from the investment of liquid funds with credit institutions is virtually eliminated by risk diversification (multiple credit institutions) and the selection of

credit institutions with strong credit ratings (investment grade rating). In the reporting period and the comparative period, the expected credit losses determined were immaterial, so they were not recognised.

With regard to trade receivables and contract assets, CANCOM uses a value adjustment matrix with four loss rates (not yet overdue to over 365 days overdue) to determine the expected credit losses. Depending on the age structure of the receivables, value adjustments are made to the items on a Group-wide basis. Furthermore, any change in creditworthiness since the payment term was granted up to the reporting date is taken into account. There is no significant concentration of credit risk, as the customer base is broad and there are only minor correlations. The loss rates are based on historical values, adjusted for prospective expectations.

In principle, CANCOM considers a receivable to be in default on the respective reporting date if it is more than 365 days past due at that time. With regard to gross receivables that are more than 365 days past due, it is assumed for the purpose of determining loss rates that 30 percent of these will actually remain unpaid or default; furthermore, a bankruptcy rate of 20 percent is assumed. The estimates are based on historical experience within the CANCOM Group.

Regardless of the overdue status determined for each item on the respective reporting date, if there are objective indications of insolvency (i.e. when moving from Level 2 to Level 3, in particular when insolvency becomes known or there are indications of imminent insolvency) Trade receivables or contract assets with little or no expectation of payment are written down in full, as a percentage of the original value.

In the reporting period, expenses for value adjustments on trade receivables and contract assets amounting to € 1,238 thousand (comparative period: € 1,800 thousand) were recognised.

The value adjustment matrix for the reporting period is as follows:

Value adjustment matrix as at 31.12.2025 Loss rate
(weighted
average)
in %		 Gross carrying
amount
including VAT
in T€		 Gross carrying
amount
excluding VAT
in T€		 Value
adjustment
in T€
Not yet overdue as at the reporting date 0.10 367,304 283,431 283
Overdue by 1 to 120 days as at the reporting date 0.44 74,272 63,014 277
As at the reporting date 121 to 365 days past due 3.31 9,588 7,971 264
Overdue for more than 365 days as at the reporting date 24.00 2,229 1,957 470
Objective evidence of impairment at the reporting date 100.00 279 243 243
Total 453,672 356,616 1,537

The value adjustment matrix for the comparative period is as follows:

Value adjustment matrix as at 31.12.2024 Loss rate
(weighted
average)
in %		 Gross carrying
amount
including VAT
in T€		 Gross carrying
amount
excluding VAT
in T€		 Value
adjustment
in T€
Not yet overdue as at the reporting date 0.07 351,475 283,754 199
Overdue by 1 to 120 days as at the reporting date 0.32 82,556 70,360 225
As at the reporting date 121 to 365 days past due 2.40 6,500 5,696 137
Overdue by more than 365 days as at the reporting date 24.00 2,483 2,184 524
Objective evidence of impairment at the reporting date 100.00 2,007 1,755 1,755
Total 445,021 363,749 2,840

The value adjustment was calculated in the reporting period and the comparative period from the respective gross carrying amount excluding VAT multiplied by the corresponding loss rate. The change in the value adjustment item (31 December 2025: € 1,537 thousand; 31 December 2024: € 2,840 thousand; 31 December 2023: € 1,890 thousand) resulted in an amount of € 1,303 thousand (comparative period: € 946 thousand), of which € 69 thousand (comparative period: € 984 thousand) was attributable to the revaluation of the impairment loss and € 1,372 thousand (comparative period: € 38 thousand) to the derecognition due to the write-off of receivables. Changes in the scope of consolidation resulted in an increase in the valuation allowance of € 0 thousand (comparative period: increase of € 4 thousand), which had no effect on profit or loss. In addition, the item "Impairment losses on financial assets including reversals of impairment losses" includes losses from the derecognition/

write-off of trade receivables of € 2,549 thousand (comparative period: € 886 thousand), gains from payments received on trade receivables already derecognised/written off of € 17 thousand (comparative period: € 21 thousand), impairment losses and reversals of impairment losses on contract assets of € 9 thousand (comparative period: € 11 thousand) and impairment losses or reversals of impairment losses on receivables from finance leases of € 12 thousand (comparative period: € 5 thousand). For information on the development of the valuation allowance item for the reporting period, please refer to section B.3 of the consolidated financial statements.

In the case of receivables from finance leases, CANCOM has the right to reclaim the goods leased to the customer in the event of default on the customer's receivable, and the leasing business is generally financed by a sale and leaseback transaction, in which the corresponding lease liability generally no longer has to be serviced in the event of default on the customer's receivable, resulting in an extremely low default risk leaseback transaction, in which case the corresponding lease liability generally no longer has to be serviced in the event of default on the customer receivable. The amounts reported under "Receivables from finance leases" are future lease payments not yet due on the respective reporting dates, which are reported at their present value (i.e. discounted). To determine the impairment loss, the respective carrying amount is multiplied by the loss rate for trade receivables not yet past due on the reporting date (reporting period: 0.10 percent; comparative period: 0.07 percent). In the reporting period, an impairment loss of € 12 thousand (comparative period: impairment gain of € 5 thousand) was recognised in the statement of comprehensive income under "Impairment losses on financial assets including reversals of impairment losses".

No expected credit losses are recognised in relation to trade receivables due to immateriality.

The theoretical maximum default risk of the items listed above is equal to the carrying amounts reported. The Group does not generally have any collateral that would reduce this default risk.

D.6.6. Financial market risks

CANCOM's risk management system continuously analyses potential financial market risks. Trading in financial instruments and structured products is not part of the company's core business and is used, if at all, only for economic hedging of valuable underlying transactions that are exposed to currency risks. Foreign currencies were hedged in the amount of \$ 39,953 thousand (comparative period: \$ 60,438 thousand) as of the reporting date for the reporting period. The financial market risk is limited to the exchange rate risk of the forward exchange transactions concluded

by the company on the reporting date of the reporting period, which have a negative (comparative period: positive) fair value of € -477 thousand (comparative period: net € 1,420 thousand).

Authorisation to purchase and sell structured products from banks is restricted to the Executive Board. This is to prevent transactions in this area from being carried out by inexperienced persons.

D.7. Contingent liabilities, contingent assets and other financial obligations

The companies of the CANCOM Group had the following financial obligations arising from rental, leasing, telecommunications and licence agreements:

Due in 2026 2027 2028 2029 2030 After
2030		 Total
(in T€) (in T€) (in T€) (in T€) (in T€) (in T€) (in T€)
from rental
agreements
(ancillary
rental costs) 2,695 2,314 2,066 1,741 1,421 3,442 13,679
from leasing
agreements		 713 526 356 167 76 0 1,838
from
telecommu
nications
contracts 2,207 290 113 32 32 32 2,706
from licence
agreements 13,876 2,389 1,326 0 0 0 17,591
Total 19,491 5,519 3,861 1,940 1,529 3,474 35,814

D.8. Relationships with related parties

CANCOM SE prepares these consolidated financial statements as the parent company. These consolidated financial statements are not included in any higher-level consolidated financial statements.

Related parties and companies in accordance with IAS 24 are persons and companies that control, jointly manage or exercise significant influence over the CANCOM Group. This also includes companies that are controlled, jointly managed or significantly influenced by persons related to CANCOM, their close family members or the CANCOM Group itself. Persons related to CANCOM are therefore the active members of the Executive Board and Supervisory Board of CANCOM SE and their close family members. The companies related to CANCOM in the reporting and comparative periods are the subsidiaries, joint ventures and associated companies of the CANCOM Group. For an overview of these companies, please refer to the explanations in section A.2.1 of the consolidated financial statements on the Scope of consolidation and to the list of shareholdings in the consolidated financial statements. In addition, companies controlled or jointly controlled by active members of the Executive Board and Supervisory Board of CANCOM SE or by their close family members are considered to be related companies.

At the end of the reporting period, trade receivables from joint ventures amounted to € 677 thousand (comparative period: € 1,464 thousand) and from associated companies amounted to € 16 thousand (comparative period: € 26 thousand). These relate to CANCOM Rental Services GmbH. In addition, there are short-term loans to associated companies amounting to € 2 thousand (comparative period: short-term and long-term loans of € 2.099 thousand) and long-term loans to joint ventures amounting to € 0 thousand (comparative period: € 139 thousand). In the reporting period, CANCOM sold goods or services amounting to € 28.319 thousand (comparative period: € 34.139 thousand) to joint ventures and € 597 thousand (comparative period: € 397 thousand) to associated companies.

At the end of the reporting period, financial liabilities to joint ventures (to CANCOM Rental Services GmbH) amounted to € 25,745 thousand (comparative period: € 26,749 thousand). Furthermore, at the end of the reporting period, trade liabilities to joint ventures amounted to € 188 thousand (comparative period: € 243 thousand) and to associated companies in the amount of € 718 thousand (comparative period: € 1,069 thousand). In the reporting period, these were mainly to Elmon GmbH and in the comparative period mainly to Elmon GmbH. In the reporting period, CANCOM purchased goods or services amounting to € 15,845 thousand (comparative period: € 16,971 thousand) from joint ventures and € 5,940 thousand (comparative period: € 7,525 thousand) from associated companies.

Members of the Executive Board or Supervisory Board and their close family members only occasionally purchase goods or services from CANCOM. CANCOM did not sell any goods and/or services to members of the Executive Board and Supervisory Board of CANCOM SE or their close family members during the reporting period; in the comparative period, the total value was less than € 10 thousand.

In addition, companies that are considered by CANCOM to be related parties and are neither subsidiaries nor joint ventures or associates of the CANCOM Group purchased goods or services from CANCOM. In the reporting period, the total value was € 0 thousand (comparative period: € 187 thousand, of which € 53 thousand was outstanding as of the reporting date).

All transactions with these related parties were concluded under normal business conditions and were settled between ten and 30 days net. None of the balances were hedged. In the reporting period and the comparative period, no expenses were recognised for irrecoverable or doubtful receivables with regard to the amounts owed by related companies and persons. No guarantees were granted or received. In the case of the subsidiaries of the CANCOM Group, business transactions were eliminated in the course of consolidation and therefore do not require further explanation.

In connection with the remuneration of the Executive Board, expenses for short-term benefits amounting to € 1,569 thousand (comparative period: € 1,926 thousand) were incurred in the reporting period. Total income of € 358 thousand (comparative period: total expense of € 143 thousand) was recognised for the share-based remuneration of the Executive Board in the reporting period.

No post-employment benefits or other long-term benefits were granted to the members of the Executive Board active in the reporting period in the reporting and comparative periods.

During the reporting period, the members of the Executive Board were granted total remuneration of € 1,925 thousand (comparative period: € 2,290 thousand) in accordance with § 314 (1) No. 6 in conjunction with § 315e (1) of the German Commercial Code (HGB). The remuneration comprises short-term benefits amounting to € 1,569 thousand (comparative period: € 1,926 thousand).

During the reporting period, 7,610 performance shares (tranche 6 at € 205 thousand) were granted to member of the Executive Board Rüdiger Rath. In addition, an addendum to tranche 5 was signed for Executive Board member Rüdiger Rath during the reporting period, reducing the number of performance shares granted by 350 and the fair value at issue by € 8 thousand. Executive Board member Thomas Stark was granted 5,898 performance shares (tranche 6 at € 159 thousand) during the reporting period. Performance shares are share-based payments with cash settlement, which have a total fair value of € 356 thousand at the time of issue and are included in the total remuneration for the reporting period.

The members of the Executive Board, Rüdiger Rath and Thomas Stark, were granted 8,777 performance shares (tranche 5 at € 209 thousand) in the comparative period. The members of the Executive Board, Rüdiger Rath and Thomas Stark, were granted 6,478 performance shares (tranche 5 at € 155 thousand) in the comparative period. The performance shares are share-based

payments with cash settlement, which have a fair value of € 364 thousand in total at the time of issue and are included in the total remuneration for the comparative period.

Former members of the Executive Board were granted € 0 thousand in the reporting period and € 0 thousand in the comparative period.

The remuneration of the members of the Supervisory Board in the reporting period comprised a basic remuneration and additional remuneration for committee activities and amounted to a total of € 444 thousand in the reporting period, including attendance fees (comparative period: € 500 thousand).

Individualised information on the remuneration of the Executive Board and the Supervisory Board is presented in the remuneration report in accordance with § 162 of the German Stock Corporation Act (AktG). The remuneration report is published on the company's website.

There were no other significant business transactions between the company and members of the Executive Board and the Supervisory Board in the reporting period or the comparative period.

D.9. Declaration on the Corporate Governance Code

In accordance with § 161 (1) of the German Stock Corporation Act (AktG), the Executive Board and Supervisory Board have issued a joint declaration of conformity with the recommendations of the German Corporate Governance Code, which has been published. This is available to the public on the company's website at: https://omext.cancom.de/dam/?mdocs-file=21013 .

D.10. Auditors' fees

The following fees (total remuneration including expenses and excluding input tax) were calculated for the auditors within the meaning of § 318 of the German Commercial Code (HGB) for the reporting period and the comparative period:

(in T€) 2025 2024
Audit services -800 -721
Other assurance services -90 0
Other services -3 -98
Of which for the comparative period -108 -47

The fees shown in the above table correspond to the expenses recognised in the presentation of the Result for the period for the reporting period and the comparative period.

In the reporting period and the comparative period, these fees relate exclusively to Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft, excluding fees from international associations and networks. The audit services include € 795 thousand (comparative period: € 716 thousand) for the statutory audit of the consolidated financial statements and the annual financial statements of CANCOM SE and € 5 thousand (comparative period: € 5 thousand) for the audit of the remuneration report. The other assurance services for the reporting period amounting to € 90 thousand relate to audit services in connection with sustainability reporting. The other services for the comparative period amounting to € 98 thousand relate to consulting services in connection with sustainability reporting.

D.11. Number of employees

The CANCOM Group employed an average of 5,393 people during the reporting period (comparative period: 5,579 employees) and 5,281 people at the end of the year (comparative period: 5,553 employees).

The average number of employees during the reporting period was 5,393 (comparative period: 5,579), distributed across the following functional areas: Professional Services 3,624 employees (comparative period: 3,771 employees), Sales 910 employees (comparative period: 948 employees) and Central services 859 employees (comparative period: 860 employees).

D.12. Information on shareholdings in CANCOM SE

As at 31 December 2025, the company had the following information on reportable holdings in accordance with §§ 33 et seq. of the German Securities Trading Act (WpHG):

Allianz Global Investors GmbH, Frankfurt, Germany, last notified CANCOM SE on 26 November 2025 that its share of voting rights in CANCOM SE, held directly or indirectly, had fallen below the threshold of 5 percent of voting rights on 25 November 2025 and amounted to 4.97 percent (corresponding to 1,567,836 voting rights) on that date.

SEO Management AG, Rapperswil-Jona, Switzerland, did not report any threshold events in 2025. The following notification therefore continues to apply: SEO Management AG, Rapperswil-Jona, Switzerland, notified CANCOM SE on 28 August 2023 that its share of voting rights in CANCOM SE, held directly or indirectly, exceeded the threshold of 5 percent on 23 August 2023 and amounted to 5.04 percent (corresponding to 1,960,474 voting rights) on that date.

Union Investment Privatfonds GmbH, Frankfurt am Main, Germany, exceeded the threshold of 5 percent on several occasions in 2025. Most recently, Union Investment Privatfonds GmbH notified CANCOM SE on 25 July 2025 that its share of voting rights in CANCOM SE, held directly or indirectly on 24 July 2025, held directly or indirectly, exceeded the threshold of 5 percent of voting rights and amounted to 5.06 percent (corresponding to 1,593,411 voting rights) on that date.

On 16 May 2025, K & K Stiftung, Vienna, Austria (formerly: ALUK Privatstiftung) voluntarily notified CANCOM SE that its share of voting rights in CANCOM SE, held directly or indirectly, amounted to 6.49 percent (previously: 5.97 percent) on 14 May 2025. This corresponds to 2,044,046 voting shares on that date. There was therefore no further threshold crossing.

PRIMEPULSE SE, Munich, Germany, did not announce any threshold crossing in 2025. The following notification therefore continues to apply: PRIMEPULSE SE, Munich, Germany, notified CANCOM SE on 10 December 2024 that its share of voting rights in CANCOM SE, held directly or indirectly, exceeded the threshold of 15 percent on 6 December 2024 and amounted to 15.00 percent (corresponding to 4,727,315 voting rights) on that date.

UBS Group AG, Zurich, Switzerland, last notified CANCOM SE on 15 May 2025 that its share of voting rights in CANCOM SE on 12 May 2025, held directly or indirectly, had fallen below the threshold of 3.00 percent of the voting rights and amounted to 2.30 percent (corresponding to a total of 723,965 voting rights) on that date.

BlackRock, Inc., Wilmington, Delaware, United States of America, notified CANCOM SE on 25 June 2025 that its share of voting rights in CANCOM SE, held directly or indirectly, fell below the threshold of 3 percent of voting rights on 20 June 2025 and amounted to 2.81 percent (corresponding to 886,570 voting rights) on that date.

D.13. Executive Board and Supervisory Board

The following persons were appointed to the Executive Board during the reporting period:

  • Mr Rüdiger Rath, Dipl.-Betriebswirt, Gelsenkirchen (Chairman);
  • Mr Thomas Stark, graduate industrial engineer, Wittislingen.

All members of the Executive Board are authorised to represent the company jointly with another member of the Executive Board or in conjunction with an authorised signatory.

The following members of the Executive Board are members of statutory Supervisory Boards or comparable domestic or foreign Supervisory Bodies of commercial enterprises:

Mr Rüdiger Rath in:

  • CANCOM ICT Service GmbH, Munich (group mandate, Chairman of the Supervisory Board).
  • CANCOM Austria AG, Vienna (group mandate, Chairman of the Supervisory Board).
  • CANCOM GmbH, Jettingen-Scheppach (group mandate, Chairman of the Supervisory Board).

Mr Thomas Stark in:

  • CANCOM Austria AG, Vienna (group mandate, deputy member of the supervisory board).
  • CANCOM Austria Beteiligungs GmbH, Vienna (group mandate, Chairman of the Supervisory Board).

The following persons were and/or are members of the Supervisory Board during the reporting period:

  • Mr Klaus Weinmann, Chairman of the Board of Directors and Managing Director of PRIMEPULSE SE, Munich (member of the Supervisory Board since 25 October 2023, Chairman of the Supervisory Board since 12 December 2023);
  • Prof Dr Isabell Welpe, Professor and Chair of Strategy and Organisation at the Technical University of Munich, Munich (member of the Supervisory Board since 26 June 2019 and Deputy Chair of the Supervisory Board since 1 January 2025);
  • Dr Swantje Schulze, Vice President Revenue EMEA at Knime AG (member of the Supervisory Board since 27 April 2023);
  • Mr Jürgen Maidl, freelance management consultant (member of the Supervisory Board since 5 June 2024);
  • Mr Lukas Abegg, Partner at Spectrum Entrepreneurial Ownership, Switzerland (member of the Supervisory Board since 2 April 2025);

• Dr Ilias Läber, Chief Executive Officer & Member of the Board of Directors of Spectrum Value Management Ltd. and Managing Partner & Member of the Board of Directors of SEO Management AG, Jona (Switzerland), (member of the Supervisory Board until 31 March 2025).

The following members of the Supervisory Board are members of other statutory Supervisory Boards or comparable domestic or foreign supervisory bodies of commercial enterprises:

Mr Klaus Weinmann:

  • STEMMER IMAGING AG, Puchheim (Supervisory Board member);
  • FLOWFRAME SE, Munich (Chairman of the Supervisory Board).

Prof Dr Isabell Welpe:

  • Deloitte Deutschland GmbH Wirtschaftsprüfungsgesellschaft, Düsseldorf (Supervisory Board member);
  • Indus Holding AG, Bergisch Gladbach (Supervisory Board member).

Dr Ilias Läber (until 31 March 2025):

  • Holcim LTD, Zug, Switzerland (Member of the Board of Directors);
  • dormakaba Holding AG (member of the Board of Directors);
  • Swiss Automotive Group, Cham, Switzerland (member of the Board of Directors).

At the Supervisory Board meeting on 25 March 2025, it was decided that Lukas Abegg would take over as a member of the Audit Committee and as Chairman when his judicial appointment took effect. With his judicial appointment, Mr Abegg also took over the position of independent, knowledgeable financial expert on the Supervisory Board in accordance with § 100 (5) of the German Stock Corporation Act (AktG). This position had been held on an interim basis by Prof Dr Welpe after Dr Ilias Läber resigned from the Supervisory Board on 31 March 2025. Following the court appointment of Lukas Abegg on 2 April 2025, the following members of the Supervisory Board were appointed as experts:

  • The expert for the audit of the annual financial statements (pursuant to § 100 and § 107 of the AktG) is Lukas Abegg (member of the Supervisory Board);
  • The expert for accounting (in accordance with § 100 and § 107 of the AktG) is Klaus Weinmann (Chairman of the Supervisory Board).

At the time of preparing this report, the Supervisory Board of CANCOM SE consists of five members.

D.14. Significant events after the reporting period

There were no significant events for the CANCOM Group after the reporting period.

D.15. Proposal for the appropriation of CANCOM SE's net profit

The Executive Board resolves to propose to the Supervisory Board and the Annual General Meeting that CANCOM SE's net profit for the reporting period, determined in accordance with commercial law provisions, amounting to € 82,291,903.34 (comparative period: € 109,884,354.84) to be used for the distribution of a dividend of € 1.00 (comparative period: € 1.00) per dividend-bearing share.

D.16. Application of the exemption pursuant to § 264 (3) HGB

CANCOM GmbH, Jettingen-Scheppach, CANCOM ICT Service GmbH, Munich, CANCOM Managed Services GmbH, Munich, and CANCOM Public GmbH, Berlin, are making use of the relief provisions of § 264 (3) HGB.

Munich, 24 March 2026

The Executive Board of CANCOM SE

Rüdiger Rath Thomas Stark Chief Executive CFO

List of shareholdings

Name of company Seat of the company Participation rate
in %
Subsidiaries
1. CANCOM GmbH Jettingen-Scheppach 100.00
and its subsidiaries
2. - VVM AG Dietlikon/Switzerland 100.00
3. - CANCOM Computersysteme GmbH Graz/Austria 100.00
and its subsidiaries
4.
- CANCOM a + d IT solutions GmbH		 Brunn am Gebirge/Austria 100.00
5. CANCOM ICT Service GmbH Munich 100.00
6. CANCOM Managed Services GmbH Munich 100.00
7. CANCOM Public GmbH Berlin 100.00
8. CANCOM Public SRL Brussels/Belgium 100.00
9. CANCOM physical infrastructure GmbH Jettingen-Scheppach 80.00
10. CANCOM VVM II GmbH Jettingen-Scheppach 100.00
11. CANCOM VVM GmbH Munich 100.00
12. CANCOM Slovakia s.r.o. Košice/Slovakia 100.00
13. CANCOM Austria Beteiligungs GmbH Vienna/Austria 100.00
and its subsidiaries
14. - CANCOM Austria AG Vienna/Austria 100.00
and its subsidiaries
15.
- CANCOM ROMANIA S.R.L.		 Bucharest/Romania 100.00
16.
- CANCOM Czech Republic s.r.o.		 Prague/Czech Republic 100.00
17.
- CANCOM Switzerland AG		 Zurich/Switzerland 100.00
18.
- K-Businesscom Inc.		 Georgia/USA 100.00
19.
- CANCOM Converged Services GmbH		 Vienna/Austria 100.00
20.
- evolaris next level GmbH		 Raaba-Grambach/Austria 100.00
21.
- CANCOM Cashpooling and Hedging GmbH		 Vienna/Austria 100.00
and its subsidiaries
22.
- CANCOM Banking Services GmbH		 Vienna/Austria 96.00
23.
- CANCOM Consumption Services GmbH		 Vienna/Austria 100.00
24.
- CANCOM Property Management Ltd.		 Vienna/Austria 100.00
Joint ventures/associated companies accounted for using the equity method
25. CANCOM Financial Services GmbH Schweinfurt 40.00
26. CANCOM Rental Services Ltd. Vienna/Austria 49.00
27. CALPANA business consulting GmbH Linz/Austria 40.00
28. Workheld GmbH Vienna/Austria 39.90
29. Elmon GmbH Wiener Neudorf/Austria 25.10
Non-consolidated structured entities and financial investments
30. Sensor Network Services GmbH Vienna/Austria 12.50 1
31. Duana Property Management Company Ltd. & Co. Rental KG Mainz 100.00 2
32. Human.technology Styria GmbH Graz/Austria 8.00 3

1) From 1 January 2025 to 26 March 2025: 50 percent participation rate, from 27 March 2025 to 2 November 2025: 25 percent participation rate, from 3 November 2025: 12.5 percent participation rate. Shareholders' Equity as at 31 December 2024: € 248 thousand; net income for 2024: € -282 thousand.

2) Voting rights 10 percent. Shareholders' Equity as at 31 December 2025: € -29 thousand; annual result for 2025: € 2 thousand.

3) Shareholders' Equity as at 31 December 2024: € 220 thousand; annual result for 2024: € 0 thousand.

Responsibility statement by the legal representatives

To the best of our knowledge, we assure that, in accordance with the applicable accounting principles, the consolidated financial statements give a true and fair view of the net assets, financial position and Result of operations of the Group and that the group management report, which is combined with the management report of CANCOM SE, the course of business, including the business results and the situation of the Group, are presented in such a way that they give a true and fair view, and the significant opportunities and risks of the Group's anticipated development are described.

Munich, 24 March 2026

The Executive Board of CANCOM SE

Chief Executive CFO

Rüdiger Rath Thomas Stark

Shaping the future with IT excellence.

Annual financial statements of CANCOM SE

184 Balance sheet
----- --------------- --

186 Profit and loss statement

Balance sheet

ASSETS

(in €) 31.12.2025 31.12.2024
A. FIXED ASSETS
I. Intangible assets
Concessions, industrial property rights and similar rights and assets acquired for consideration,
as well as licences to such rights and assets		 75,228.11 75,442.83
II. Property, plant and equipment
Other equipment, operating and office equipment 633,093.46 566,819.02
III. Financial assets
1. Shares in affiliated companies 480,865,545.36 491,731,027.25
2. Loans to affiliated companies 2,550,000.00 4,100,000.00
3. Investments 1,257,341.76 857,341.76
484,672,887.12 496,688,369.01
485,381,208.69 497,330,630.86
B. CURRENT ASSETS
I. Receivables and other assets
1. Receivables from affiliated companies 57,418,807.86 105,091,168.98
2. Receivables from companies with which there is an equity interest 2,000,000.00 2,010,500.00
3. Other assets 11,256,066.20 12,600,731.22
70,674,874.06 119,702,400.20
II. Cash on hand and bank balances 72,131,716.92 56,870,359.41
142,806,590.98 176,572,759.61
C. PREPAID EXPENSES 688,665.70 579,756.66
Total assets 628,876,465.37 674,483,147.13

LIABILITIES AND SHAREHOLDERS' EQUITY

(in €) 31.12.2025 31.12.2024
A. SHAREHOLDERS' EQUITY
I. Issued capital 31,515,345.00 31,515,345.00
Treasury shares -1,044,402.00 0.00
II. Capital reserve 485,377,488.32 485,377,488.32
III. Retained earnings
1. Statutory reserve 6,665.71 6,665.71
2. Other retained earnings 2,115,102.25 27,919,357.43
2,121,767.96 27,926,023.14
IV. Retained earnings 82,291,903.34 109,884,354.84
600,262,102.62 654,703,211.30
B. PROVISIONS
1. Tax provisions 112,457.86 1,497,123.00
2. Other provisions 1,887,942.94 4,487,520.28
2,000,400.80 5,984,643.28
C. COMMITMENTS
1. Trade liabilities 422,987.19 276,052.69
2. Liabilities to affiliated companies 9,948,902.73 18,420.65
3. Other liabilities 16,242,072.03 13,301,940.21
26,613,961.95 13,596,413.55
D. DEFERRED TAX LIABILITIES 0.00 198,879.00
Total liabilities 628,876,465.37 674,483,147.13

Profit and loss statement

INCOME STATEMENT

for the period from 1 January 2025 to 31 December 2025

(in €) 1.1.2025 to
31.12.2025		 1.1.2024 to
31.12.2024
1.
Revenue		 12,057,050.20 11,214,555.45
2.
Other operating income		 6,634,311.00 5,808,255.09
3.
Personnel expenses
a) Wages and salaries -11,078,219.75 -11,393,138.96
b) Social security contributions and expenses for retirement benefits and support -1,732,740.67 -1,824,708.01
of which € 9,194.30 for pensions (previous year: € 20,680.79)
-12,810,960.42 -13,217,846.97
4.
Amortisation of intangible assets
of fixed assets and property, plant and equipment -187,565.93 -162,431.04
5.
Other operating expenses		 -8,820,214.89 -8,518,364.85
6.
Income from investments		 31,959,922.87 104,925,863.02
7.
Profits received under a profit transfer agreement		 5,353,199.82 13,153,884.08
8.
Other interest and similar income		 4,320,131.50 6,501,243.11
9.
Depreciation on financial assets		 -10,813,724.00 0.00
10. Expenses from loss absorption -24,124,542.25 0.00
11.
Interest and similar expenses		 -57,599.15 -619,412.05
12. Income taxes 415,597.75 -5,694,924.00
13. Earnings after taxes 3,925,606.50 113,390,821.84
14. Other taxes -2,713.00 -4,762.00
15. Net profit 3,922,893.50 113,386,059.84
16. Profit carried forward from the previous year 78,369,009.84 1,669,758.00
17.
Transfer to capital reserves		 0.00 -5,171,463.00
18. Retained earnings 82,291,903.34 109,884,354.84

Notes

A. General information

CANCOM SE has its registered office in Munich and is entered in the commercial register at Munich Local Court (HRB 203845).

The company is a large corporation (§ 267 (3) sentence 2 HGB in conjunction with § 264d HGB). Accounting and valuation are based on the provisions of the German Commercial Code (HGB) on the accounting of corporations, the supplementary provisions of the German Stock Corporation Act (AktG) and EC Regulation 2157/2001 on the Statute for a European Company (SE).

The principle of consistency in presentation has been observed. There have been no changes in accounting and valuation methods in the financial year compared with the previous year.

The annual financial statements were prepared in € and € thousand and on a going concern basis. In individual cases, rounding may mean that the figures in this report do not add up exactly to the stated total and that the percentages do not result exactly from the figures presented.

B. Explanation of the recognition and measurement methods

B.1. Intangible assets

Intangible assets subject to depreciation are valued at acquisition cost less scheduled pro rata depreciation (over a normal useful life of three years). Depreciation is calculated using the straight-line method.

B.2. Property, plant and equipment

Property, plant and equipment are stated at cost less scheduled and any unscheduled depreciation. Depreciation is calculated using the straight-line method.

Property, plant and equipment are based on useful lives of between three and 14 years. Impairment losses are recognised if permanent impairment is expected.

Low-value assets whose acquisition or production costs do not exceed € 250.00 are recognised in full as an expense in the year of acquisition.

Assets with acquisition costs between € 250.00 and € 1,000.00 have been capitalised in a collective item since 1 January 2018. All assets for a given year are recorded in this collective item and depreciated on a straight-line basis over five years.

B.3. Financial assets

Financial assets are measured at cost or at the lower fair value if there is evidence of permanent impairment.

Interest receivables on loans to affiliated companies are capitalised if the underlying contract provides for a corresponding increase in the loan amount and no interest payments are made during the term.

B.4. Receivables and other assets

Receivables and other assets are recognised at their nominal value or, if lower, at their fair value.

B.5. Cash on hand and bank balances

Cash on hand and bank balances are stated at nominal value.

B.6. Prepaid expenses

Prepaid expenses comprise expenditure incurred before the reporting date insofar as it represents expenses for a specific period thereafter.

B.7. Shareholders' Equity

Issued capital is stated at nominal value.

Acquired treasury shares are reported as an adjustment item within Shareholders' Equity. The calculated value of the acquired treasury shares (nominal value multiplied by the number of repurchased shares) is deducted from the Issued capital. The remaining difference to acquisition costs is offset against other retained earnings. Incidental acquisition costs are recognised in the profit and loss account.

B.8. Provisions

Provisions are measured at the amount necessary to settle the obligation based on reasonable commercial judgement, taking into account all identifiable risks and uncertain obligations as well as imminent losses.

B.9. Liabilities

All liabilities are recognised at their settlement amount.

B.10. Deferred tax assets and liabilities

Deferred tax liabilities are recognised on differences between the commercial and tax values of assets, liabilities and prepaid expenses if a tax burden is expected in future financial years. If future tax relief is expected overall, the option under § 274 (1) sentence 2 of the German Commercial Code (HGB) is not exercised, meaning that deferred tax assets are not recognised. Loss carryforwards are taken into account to the extent that they can be offset against taxable income within the next five years. Furthermore, differences between the commercial and tax valuations of assets, liabilities and prepaid expenses of subsidiaries are included to the extent that future tax burdens and reliefs from the reversal of temporary differences at CANCOM SE as the parent company are to be expected.

Deferred taxes are measured on the basis of the tax rates applicable in the financial year in which the temporary differences are reversed, provided that the future tax rates are already known. The quantitative effects of the gradual reduction in the corporation tax rate by one percentage point per annum – beginning in 2028 and ending in 2032 – on the accounting of deferred taxes were analysed and classified as immaterial for the annual financial statements of CANCOM SE. The future reduction in the corporation tax rate was therefore not taken into account in the accounting for deferred taxes in the annual financial statements of CANCOM SE. The income tax rate is 31.0 percent (previous year: 31.0 percent) and relates to corporation tax, trade tax and the solidarity surcharge.

B.11. Principles of currency translation

Receivables and liabilities in foreign currencies are recognised at the exchange rate on the date they arise. Receivables and liabilities in foreign currencies within the Group are translated in accordance with § 256a of the German Commercial Code (HGB) at the average spot exchange rate on the reporting date.

Loans to affiliated companies in foreign currencies are recognised at the bank purchase rate when received. On the reporting date, they are translated at the average spot exchange rate in accordance with the acquisition cost principle.

Exchange rate gains/losses realised during the year in connection with loans to affiliated companies in foreign currencies are combined with unrealised exchange rate gains/losses on the reporting date.

B.12. Sharebased payment

At the Annual General Meeting on 14 June 2018, it was resolved to issue subscription rights to shares in CANCOM SE to members of the Executive Board or Management Board and selected employees of CANCOM SE and affiliated companies. CANCOM SE has the option of fulfilling this in cash or from the Contingent Capital 2018/1 resolved by the Annual General Meeting. On 17 August 2018, 585,000 share options were issued, on 2 July 2019, 23,000 share options were issued, and on 6 May 2020, 150,000 share options were issued. In the 2018 financial year, 30,000 share options were issued, in the 2019 financial year 20,000 share options, in the 2020 financial year 228,000 share options, in the 2021 financial year 4,527 share options, 77,133 share options in the 2022 financial year, 39,116 share options in the 2023 financial year and 20,000 share options in the previous year expired due to changes in non-fulfilment of service conditions. In the reporting year, 50,000 share options expired. As at 31 December 2025, 289,224 options are actually outstanding and exercisable. It is currently assumed that the option rights will be serviced by equity instruments. They will therefore only be recognised in the balance sheet when the option rights are exercised.

B.13. Income from investments

Income from investments is generally recognised at the point in time at which the claim arises and the receipt of the corresponding income can be reasonably expected based on sound commercial judgement.

B.14. Profits received or losses to be offset under a profit transfer agreement

Profits received or losses to be offset under a profit transfer agreement are recognised when the amount to be transferred can be determined with certainty, even if the subsidiary's annual financial statements have not yet been finalised.

C. Explanations and disclosures on individual items in the balance sheet

C.1. Fixed assets

The development of fixed assets is shown in the statement of changes in fixed assets.

For information on the composition of financial assets and the respective annual results of the subsidiaries, please refer to the list of shareholdings.

In the previous year, CANCOM SE acquired 100 percent of the shares and 100 percent of the voting rights in K-Businesscom GmbH from CANCOM Austria AG. K-Businesscom GmbH was then merged into CANCOM GmbH. This increased CANCOM SE's shares in affiliated companies by € 27.755 thousand.

Loans to affiliated companies as of the reporting date relate to loans to CANCOM physical infrastructure GmbH (€ 2.550 thousand; previous year: € 4.100 thousand).

Development of fixed assets (statement of changes in fixed assets) for the reporting period

Balance
as at 1.1.2025		 Additions
in 2025		 Disposals
2025		 Balance
as at 31.12.2025
386,012.66 0.00 0.00 386,012.66
386,012.66 0.00 0.00 386,012.66
1,030,229.50 275,370.82 125,938.52 1,179,661.80
1,030,229.50 275,370.82 125,938.52 1,179,661.80
522,282,809.25 4,023.00 55,780.89 522,231,051.36
4,100,000.00 0.00 1,550,000.00 2,550,000.00
857,341.76 400,000.00 0.00 1,257,341.76
527,240,151.01 404,023.00 1,605,780.89 526,038,393.12
528,656,393.17 679,393.82 1,731,719.41 527,604,067.58

ACQUISITION/PRODUCTION COSTS DEPRECIATION CARRYING AMOUNTS

Balance as at 1.1.2025 Additions in 2025 Disposals 2025 Balance as at 31.12.2025 Balance as at 31.12.2025 Balance as at 31.12.2024 to such rights and assets 386,012.66 0.00 0.00 386,012.66 310,569.83 214.72 0.00 310,784.55 75,228.11 75,442.83 386,012.66 0.00 0.00 386,012.66 310,569.83 214.72 0.00 310,784.55 75,228.11 75,442.83 Other equipment, operating and office equipment 1,030,229.50 275,370.82 125,938.52 1,179,661.80 463,410.48 187,351.21 104,193.35 546,568.34 633,093.46 566,819.02 1,030,229.50 275,370.82 125,938.52 1,179,661.80 463,410.48 187,351.21 104,193.35 546,568.34 633,093.46 566,819.02 1. Shares in affiliated companies 522,282,809.25 4,023.00 55,780.89 522,231,051.36 30,551,782.00 10,813,724.00 0.00 41,365,506.00 480,865,545.36 491,731,027.25 2. Loans to affiliated companies 4,100,000.00 0.00 1,550,000.00 2,550,000.00 0.00 0.00 0.00 0.00 2,550,000.00 4,100,000.00 3. Investments 857,341.76 400,000.00 0.00 1,257,341.76 0.00 0.00 0.00 0.00 1,257,341.76 857,341.76 527,240,151.01 404,023.00 1,605,780.89 526,038,393.12 30,551,782.00 10,813,724.00 0.00 41,365,506.00 484,672,887.12 496,688,369.01 Total 528,656,393.17 679,393.82 1,731,719.41 527,604,067.58 31,325,762.31 11,001,289.93 104,193.35 42,222,858.89 485,381,208.69 497,330,630.86

C.2. Receivables and other assets

Trade receivables and other assets have a remaining term of less than one year (previous year: remaining term of less than one year). Receivables from affiliated companies include loan receivables with a remaining term of more than one year amounting to € 0 thousand (previous year: remaining term of more than one year € 5,252 thousand).

Of the receivables from affiliated companies, € 5,353 thousand (previous year: € 13,154 thousand) relates to profit claims based on profit transfer agreements, € 31,000 thousand to distributions (previous year: € 40,198 thousand), € 1,114 thousand (previous year: € 2,435 thousand) to Trade receivables, € 18,650 thousand (previous year: € 31,488 thousand) to receivables from loans and € 1,302 thousand (previous year: € 17,816 thousand) to other receivables.

Other assets mainly relate to tax receivables amounting to € 11,132 thousand (previous year: € 12,534 thousand).

C.3. Issued capital

The company's share capital was last reduced by a total of 14.1 percent in July 2024 through the approved redemption of 1,669,758 no-par value bearer shares and in October 2024 through the approved redemption of 3,501,705 no-par value bearer shares. As at 31 December 2025, the share capital of CANCOM SE amounted to € 31.515 thousand in accordance with the Articles of Association (comparative period: € 31,515 thousand) and was divided into 31,515,345 no-par value shares (shares without par value with a calculated par value of € 1.00 per share) (comparative period: 31,515,345 no-par value shares).

C.3.1. Authorised and conditional capital

By resolution of the Annual General Meeting on 14 June 2023, the Executive Board is authorised, with the approval of the Supervisory Board, to increase the company's issued capital on one or more occasions by up to a total of € 7.074 thousand (comparative period: € 7,074 thousand) by issuing up to 7,074,370 new no-par value bearer shares in return for cash and/or non-cash contributions (Authorised Capital I/2023). Shareholders shall generally be granted subscription rights; the statutory subscription right may also be granted in such a way that the new shares are taken over by a credit institution or an institution equivalent to a credit institution pursuant to § 186 (5) sentence 1 AktG with the obligation to offer them to the shareholders of the company for subscription. However, the Executive Board is authorised, with the approval of the Supervisory Board, to exclude the statutory subscription right of shareholders in the following cases:

• for fractional amounts;

  • if a capital increase against cash contributions does not exceed 10 percent of the share capital and the issue price of the new shares is not significantly lower than the stock market price (§ 186 (3) sentence 4 AktG); when exercising this authorisation with the exclusion of subscription rights pursuant to § 186 (3) sentence 4 AktG, the exclusion of subscription rights based on other authorisations pursuant to § 186 (3) sentence 4 AktG must be taken into account;
  • in the case of capital increases against contributions in kind for the purpose of granting new shares for the acquisition of companies, interests in companies or parts of companies, or for the purpose of acquiring claims against the company.

The total number of shares issued on the basis of the above authorisation with the exclusion of subscription rights in the case of capital increases against cash and/or contributions in kind may not exceed a proportionate amount of 10 percent of the share capital either at the time of the resolution or at the time of the utilisation of this authorisation. This maximum limit of 10 percent of the share capital shall be reduced by the proportionate amount of the share capital (i) attributable to shares in the company that are issued by the Executive Board during the term of the authorised capital, excluding subscription rights in accordance with § 186 (3) sentence 4 of the German Stock Corporation Act (AktG) or against contributions in kind, or that are sold as treasury shares, and (ii) attributable to shares in the company that are issued or are to be issued during the term of the authorised capital from conditional capital to service option or convertible bonds, which in turn are issued by the Executive Board during the term of the authorised capital with the exclusion of subscription rights in accordance with § 186 (3) sentence 4 AktG or against a contribution in kind.

The Executive Board is authorised, with the approval of the Supervisory Board, to determine the further content of the share rights and the conditions for implementing capital increases from Authorised Capital I/2023. Finally, the Supervisory Board is authorised to amend the wording of the Articles of Association in line with the scope of the capital increase in each case. The Executive Board did not make use of the Authorised Capital I/2023 authorisation during the reporting period. Accordingly, Authorised Capital I/2023 remains unchanged at € 7.074 thousand as of 31 December 2025 in accordance with the Articles of Association.

The company's share capital is conditionally increased by up to € 7.074 thousand through the issue of up to 7,074,370 new no-par value bearer shares (Conditional Capital 2023). The conditional capital increase will only be carried out to the extent that the holders of convertible and/or option bonds issued by the company until 13 June 2028 on the basis of the authorisation granted by the Annual General Meeting on 14 June 2023 exercise their

conversion or option rights or conversion or option obligations from such bonds are fulfilled and to the extent that no other forms of fulfilment are used to service them. The new shares shall participate in profits from the beginning of the financial year in which they are created through the exercise of conversion or option rights or through the fulfilment of conversion or option obligations. The Executive Board is authorised, with the approval of the Supervisory Board, to determine the further details of the implementation of the conditional capital increase. The Supervisory Board is authorised to amend the wording of the Articles of Association in accordance with the respective utilisation of the conditional capital.

The company's share capital is conditionally increased by up to € 1,500 thousand through the issue of up to 1,500,000 new no-par value bearer shares (Conditional Capital I/2018). The conditional capital increase shall only be implemented to the extent that holders of share options issued by the company in the period up to 13 June 2023 on the basis of the authorisation resolution of the Annual General Meeting of 14 June 2018 exercise their subscription rights to shares in the company and the company does not grant its own treasury shares or cash compensation in fulfilment of the subscription rights. The new shares of the company resulting from the exercise of these subscription rights shall participate in profits from the beginning of the financial year in which they are issued. The Executive Board is authorised, with the approval of the Supervisory Board, to determine the further details of the implementation of the conditional capital increase.

No new shares were issued in the reporting period (2025) or the comparative period (2024) by utilising Contingent Capital 2023 and Contingent Capital I/2018.

In connection with a capital increase from company funds (§ 207 et seq. of the German Stock Corporation Act (AktG)) of € 31.515.345.00 by € 100,000 to € 131.515,345.00 by converting a partial amount of € 100,000 of the capital reserve reported in the balance sheet as at 31 December 2024 into share capital, followed by an ordinary capital reduction (§ 222 et seq. AktG) by the previously resolved capital increase amount of € 100,000 to € 31,515,345.00, the existing conditional capital (Conditional Capital I/2018 and Conditional Capital 2023), which was increased in accordance with § 218 sentence 1 AktG as a result of the capital increase from company funds by operation of law – without the need for a separate resolution by the Annual General Meeting – in the same ratio as the share capital, were reduced by resolution of the Annual General Meeting to their original amounts of € 1,500 thousand (Contingent Capital 1/2018) and € 7,074 thousand (contingent capital 2023) by resolution of the Annual General Meeting.

The Executive Board is not aware of any restrictions relating to voting rights or the transfer of shares.

C.3.2. Share buyback programme

On 24 June 2025, the Annual General Meeting authorised the Executive Board of CANCOM SE to acquire treasury shares up to a total of 10 percent of the issued capital until 23 June 2028 inclusive. The 10 percent limit is based on the share capital at the time the authorisation takes effect. If the share capital is lower at the time this authorisation is exercised, this lower value shall apply. The acquisition is to be made via the stock exchange or via a public purchase offer addressed to the shareholders. In both cases, the purchase price may not exceed or fall below the arithmetic mean of the closing auction prices of CANCOM SE shares in XETRA trading (or a comparable successor system) on the Frankfurt Stock Exchange on the last three trading days prior to the purchase or the entering into of a purchase obligation by more than 10 percent. The repurchase volume may be limited if the shares offered exceed the total amount of the company's purchase offer. The authorisation may be exercised for any purpose permitted by law. Excluding shareholders' subscription rights, treasury shares may be transferred to third parties for the purpose of acquiring companies or participating in companies. Treasury shares may also be sold for cash, provided that the purchase price is not significantly lower than the current stock market price at the time of sale. Furthermore, treasury shares may also be used to fulfil conversion or option rights granted by the company or to implement a scrip dividend. Furthermore, treasury shares may be pledged or transferred to fulfil remuneration agreements and offered for sale to employees and members of the Executive Board in connection with the exercise of subscription rights. The Executive Board of CANCOM SE was also authorised to redeem treasury shares with the approval of the Supervisory Board without a further resolution by the Annual General Meeting.

The authorisation to acquire treasury shares up to a total of 10 percent of the issued capital until 5 June 2029 was fully utilised and revoked with the new authorisation granted by the 2025 Annual General Meeting. The new authorisation is valid until 23 June 2028.

With the announcement on 9 September 2025, the Executive Board, with the approval of the Supervisory Board, resolved a share buyback programme ("2025 Share Buyback Programme") in the period from 22 September 2025 to 18 September 2026 in the amount of up to 10 percent of the share capital.

In the period from 22 September 2025 to 30 December 2025 inclusive, a total of 1,044,402 treasury shares were repurchased under the 2025 Share Buyback Programme. Based on the number of shares comprising the share capital as at 31 December 2025 (31,515,345 shares), this corresponds to 3.31 percent of the share capital. The treasury shares were acquired by a bank commissioned by CANCOM SE exclusively via the electronic trading system of the Frankfurt Stock Exchange (XETRA) and in accordance with Article 5(1)(a) of Regulation (EU) No. 596/2014 in conjunction with Article 2(1) of Delegated Regulation (EU) 2016/1052.

As part of a voluntary public share buyback offer on 1 July 2024, CANCOM SE repurchased a total of 3,501,705 of its own treasury shares at a price of € 33.00 in the period from 4 July 2024 to 24 July 2024 inclusive. A bank was commissioned to repurchase the shares on behalf of CANCOM SE. The allocation ratio was 76.15 percent. Based on the shares that comprised the share capital at the time the offer took effect (35,017,050 no-par value shares), this corresponds to a 10.00 percent share of the share capital after the previously carried out redemption of treasury shares and associated capital reduction took effect.

As part of a previous share buyback programme, "Share Buyback Programme 2023/24", CANCOM SE repurchased a total of 1,103,850 of its treasury shares in the period from 1 January 2024 to 5 April 2024 inclusive.

During the reporting period, treasury shares were repurchased at a market value of € 26.849 thousand (comparative period: € 146.595 thousand), corresponding to an average share price of € 25.71 (volume-weighted; excluding transaction costs; comparative period: € 31.83). The amount paid was deducted from the issued capital in the amount of the total nominal value of the repurchased treasury shares, and the remaining difference was recognised as a reduction in other retained earnings. Furthermore, incidental acquisition costs from the purchase of treasury shares amounting to € 53 thousand in the reporting period and € 121 thousand in the comparative period were recognised in the income statement. The shares acquired in the reporting period were not transferred to third parties, sold for cash, used to fulfil conversion or option rights, or used to implement a stock dividend until 31 December 2025. Furthermore, no treasury shares were used to fulfil remuneration agreements or offered for sale to employees or members of the Executive Board in connection with the exercise of subscription rights during the reporting period. Nor were any treasury shares retired during the reporting period.

On 1 July 2024, the Executive Board of CANCOM SE, with the approval of the Supervisory Board, resolved to cancel the treasury shares held by the company and to reduce the share capital.

CANCOM SE redeemed the 1,669,758 treasury shares held by the company and reduced the share capital by the corresponding nominal amount of € 1,669,758. CANCOM had acquired these treasury shares as part of the "2023/24 Share Buyback Programme" in the period from 27 November 2023 to 5 April 2024 inclusive, based on the authorisation granted by the Annual General Meeting on 28 June 2022. This corresponds to 4.55 percent of the company's share capital. The share capital at that time, amounting to € 36.686.808, amounted to € 35.017.050 after the capital reduction and was divided into 35.017.050 no-par value shares with a share capital amount of € 1.00 per share.

In addition, on 1 July 2024, the Executive Board and Supervisory Board of CANCOM SE resolved to make use of the authorisation granted by the Annual General Meeting on 5 June 2024 to acquire treasury shares in accordance with Art. 5 SE-VO in conjunction with § 71 (1) No. 8 AktG (German Stock Corporation Act) and to offer shareholders the repurchase of up to 3,501,705 treasury shares (corresponding to 10 percent of the share capital after the previously intended redemption of treasury shares and associated capital reduction) as part of a voluntary public repurchase offer addressed to all shareholders. The share buyback was carried out at € 33.00 per share. A total of 3,501,705 shares were repurchased. The offer was published in the Federal Gazette on 3 July 2024. The amendment to the Articles of Association to reflect the reduced share capital was made on 4 July 2024. The final results and the allocation ratio were published in the Federal Gazette on 29 July 2024.

On 9 October 2024, the Executive Board of CANCOM SE decided, with the approval of the Supervisory Board, to withdraw the 3,501,705 treasury shares held by the company and to reduce the share capital by the corresponding nominal amount of € 3,501,705. The announcement was published in the Federal Gazette on 9 October 2024. The entry in the Articles of Association was made on 17 October 2024 and the entry in the commercial register was made on 19 November 2024.

CANCOM had acquired these treasury shares as part of the "2024 Share Buyback Offer" in the period from 4 July 2024 to 24 July 2024 inclusive, based on the authorisation granted by the Annual General Meeting on 5 June 2024. This corresponds to 10.00 percent of the company's share capital. Following the capital reduction, the share capital amounts to € 31.515 thousand and is divided into 31,515,345 no-par value shares with a share capital amount of € 1.00 per share.

Further information on the share buyback programmes is available on the company's website at www.investoren.cancom.de.

C.4. capital reserve

The capital reserve is composed as follows:

(in T€) 2025 2024
Capital reserve 1.1. 485,378 480,206
Transfer to capital reserve due to
capital reduction		 0 5,172
Capital reserve 31.12 485,378 485,378

By resolution of the 2025 Annual General Meeting on 24 June 2025, a partial amount of € 100,000 of the restricted capital reserve was converted into a free capital reserve within the meaning of § 272 (2) No. 4 of the German Commercial Code (HGB) during the reporting period (see also Section C.3.1 of these annual financial statements).

In the 2024 financial year, transfers to the capital reserve in the amount of € 5.172 thousand were made in connection with the redemption of a total of 5,171,463 no-par value shares as part of a capital reduction.

C.5. Other revenue reserves

Other retained earnings are composed as follows:

(in T€) 2025 2024
Other retained earnings 1.1. 27,919 169,909
Acquisition of own shares -25,804 -141,990
Other retained earnings 31.12. 2,115 27,919

The difference between the nominal value of the repurchased treasury shares deducted from the share capital and the pure purchase price of the treasury shares – excluding incidental acquisition costs – was recognised as a reduction in other retained earnings.

C.6. Balance sheet profit

The net profit is composed as follows:

(in T€) 2025 2024
Carry forward 1.1. 109,884 36,687
Dividend distribution -31,515 -35,017
Allocation to capital reserves 0 -5,172
Net profit 3,923 113,386
Retained earnings 31.12 82,292 109,884

C.7. Other provisions

Other provisions include provisions for variable purchase price components (earn-outs) from the acquisition of the S&L Group and NWC Services GmbH (€ 346 thousand; previous year: € 2,262 thousand), audit and closing costs (€ 439 thousand; previous year: € 585 thousand), share-based payments (€ 303 thousand; previous year: € 679 thousand), bonuses (€ 238 thousand; previous year: € 359 thousand), variable salary components (€ 142 thousand; previous year: € 218 thousand), outstanding invoices (€ 121 thousand; previous year: € 0 thousand), retention obligations (€ 71 thousand; previous year: € 64 thousand), holiday pay (€ 69 thousand; previous year: € 55 thousand), tax audit costs (€ 68 thousand; previous year: € 50 thousand), severance payments (€ 51 thousand; previous year: € 172 thousand), anniversary payments (€ 28 thousand; previous year: € 28 thousand), partial retirement (€ 11 thousand; previous year: € 13 thousand) and employers' liability insurance contributions (€ 1 thousand; previous year: € 3 thousand).

C.8. Liabilities

With regard to the composition of liabilities, we refer to the statement of liabilities presented below.

Remaining term Secured by liens or
similar rights
(in T€) Up to
1 year		 more than
1 year		 more than
5 years		 As of
31.12.2025		 Type, form
1. Trade liabilities 423 0 0 423 0 not applicable
2. Liabilities to affiliated companies 9,949 0 0 9,949 0 not applicable
3. Other liabilities 15,845 391 6 16,242 0 not applicable
(of which from taxes) 15,268 0 0 15,268
Total 26,217 391 6 26,614 0
Remaining term Secured by liens or
similar rights
(in T€) Up to
1 year		 more than
1 year		 more than
5 years		 As of
31.12.2024		 Type, form
1. Trade liabilities 276 0 0 276 0 not applicable
2. Liabilities to affiliated companies 18 0 0 18 0 not applicable
3. Other liabilities 12,945 338 19 13,302 0 not applicable
(of which from taxes) 12,358 0 0 12,358
Total 13,239 338 19 13,596 0

Liabilities to affiliated companies in the 2025 financial year, after offsetting against current receivables, relate to loss transfer obligations from profit transfer agreements amounting to € 9,919 thousand (previous year: € 0 thousand). In addition, there are trade liabilities of € 30 thousand (previous year: € 18 thousand).

C.9. Deferred taxes

As at 31 December 2025, deferred taxes arise from temporary differences between commercial and tax valuations, as well as from tax loss carryforwards. Deferred tax assets from temporary differences result mainly from other provisions, pension provisions and goodwill. Deferred tax liabilities arising from temporary differences result mainly from investments in affiliated companies, other investments, leasing transactions and trade liabilities. Deferred tax assets and liabilities were offset against each other in accordance with § 274 (1) sentence 1 HGB. The offsetting results in a calculated surplus of deferred tax assets amounting to € 5,424 thousand. The option to apply the accounting policy pursuant to § 274 (1) sentence 2 of the German Commercial Code (HGB) was not exercised, and deferred tax assets were therefore not recognised in the balance sheet.

D. Notes and disclosures on the profit and loss account

The income statement was prepared using the total cost method.

Revenue in the 2025 financial year mainly comprises revenues from the provision of management services (€ 12,057 thousand; previous year: € 11,114 thousand). 92.6 percent (previous year: 90.5 percent) of revenue in the 2025 financial year was generated in Germany (€ 11,163 thousand; previous year: € 10,147 thousand) and 7.4 percent (previous year: 9.5 percent) from abroad (€ 894 thousand; previous year: € 1,068 thousand).

Other operating income primarily includes cost allocations within the Group amounting to € 5,574 thousand (previous year: € 5,220 thousand). Income relating to other periods in the 2025 financial year includes income from the reversal of provisions (€ 779 thousand; previous year: € 293 thousand), income from cost reimbursements from previous years (€ 97 thousand; previous year: € 80 thousand) and income from the sale of fixed assets (€ 16 thousand; previous year: € 22 thousand).

Other operating expenses include expenses from currency translation amounting to € 51 thousand (previous year: € 0 thousand). Extraordinary expenses in the reporting year relate to expenses from the acquisition of treasury shares (€ 53 thousand; previous year: € 121 thousand).

Income from investments amounting to € 31.960 thousand (previous year: € 104.926 thousand) relates exclusively to affiliated companies.

The item "Profits received under a profit transfer agreement" shows the net income transferred to CANCOM SE by CANCOM GmbH (€ 0 thousand; previous year: € 9,587 thousand) and CANCOM ICT Service GmbH (€ 5,353 thousand; previous year: € 3,567 thousand). The item "Expenses from loss transfer" shows the net loss for the reporting period of € 24,125 transferred to CANCOM SE from CANCOM GmbH.

Other interest and similar income mainly comprises interest income from affiliated companies amounting to € 3,879 thousand (previous year: € 4,886 thousand).

Depreciation on financial assets in the 2025 reporting year includes an unscheduled write-down of € 10,814 thousand due to an expected permanent impairment in accordance with § 253 (3) sentence 5 HGB of the investment in CANCOM Managed Services GmbH due to poor earnings expectations.

Other interest and similar expenses relate to expenses of € 25 thousand (previous year: € 20 thousand) from the discounting of liabilities and provisions.

Income taxes include deferred tax income of € 199 thousand (previous year: € 724 thousand).

The global minimum taxation regulations (Pillar 2 model rules), which may lead to additional actual tax expenses (income) from the 2024 financial year onwards, will not result in any higher charges for CANCOM SE.

E. Other information

E.1. Other financial obligations

The obligations arising from current rental, leasing and licence agreements amount to:

Due in 2026
(in T€)		 Total
(in T€)
from rental agreements 136 136
from leasing agreements 16 35
from licence agreements 70 70
from agency agreements 392 392
of which affiliated companies 528 528

E.2. Contingent liabilities

As of the reporting date, guarantees exist for CANCOM a+d IT Solutions GmbH (€ 40 thousand; previous year: € 40 thousand), CANCOM Financial Services GmbH (€ 4 thousand; previous year: € 0 thousand), CANCOM GmbH (€ 0 thousand; previous year: € 6,100 thousand), CANCOM ICT Service GmbH (€ 0 thousand; previous year: € 1,500 thousand), CANCOM physical infrastructure GmbH (€ 150 thousand; previous year: € 150 thousand) and CANCOM Public SRL (€ 500 thousand; previous year: € 500 thousand).

Contingent liabilities in the form of joint and several liability for guarantee credits and other loans amounted to € 9.501 thousand as of the reporting date (previous year: € 9.193 thousand). The guarantee credits and other loans were entered into in full in favour of affiliated companies.

CANCOM SE only enters into contingent liabilities after careful risk assessment and, as a matter of principle, only in connection with affiliated companies or companies whose business activities are linked to CANCOM SE or affiliated companies. In accordance with the exemption provision under § 264 (3) of the German Commercial Code (HGB), declarations of assumption of liability were issued for the subsidiaries CANCOM Managed Services GmbH and CANCOM Public GmbH, according to which CANCOM SE is liable for obligations entered into up to the reporting date in the following financial year. Based on continuous evaluation of the risk situation of the contingent liabilities incurred and taking into account the information obtained up to the date of preparation, CANCOM SE currently assumes that the obligations underlying the contingent liabilities can be fulfilled by the respective principal debtors. CANCOM SE therefore considers the risk of a claim being made on all of the contingent liabilities listed to be unlikely.

E.3. Executive Board and Supervisory Board

The following persons were appointed to the Executive Board during the reporting period:

  • Mr Rüdiger Rath, Dipl.-Betriebswirt, Gelsenkirchen (Chairman);
  • Mr Thomas Stark, graduate industrial engineer, Wittislingen.

All members of the Executive Board are authorised to represent the company jointly with another member of the Executive Board or in conjunction with an authorised signatory.

The following members of the Executive Board are members of statutory Supervisory Boards or comparable domestic or foreign Supervisory Boards of commercial enterprises:

Mr Rüdiger Rath in:

  • CANCOM ICT Service GmbH, Munich (group mandate, Chairman of the Supervisory Board).
  • CANCOM Austria AG, Vienna (group mandate, Chairman of the Supervisory Board).
  • CANCOM GmbH, Jettingen-Scheppach (group mandate, Chairman of the Supervisory Board).

Mr Thomas Stark in:

  • CANCOM Austria AG, Vienna (group mandate, deputy member of the supervisory board).
  • CANCOM Austria Beteiligungs GmbH, Vienna (group mandate, Chairman of the Supervisory Board).

The following persons were and/or are members of the Supervisory Board during the reporting period:

  • Mr Klaus Weinmann, Chairman of the Board of Directors and Managing Director of PRIMEPULSE SE, Munich (member of the Supervisory Board since 25 October 2023, Chairman of the Supervisory Board since 12 December 2023);
  • Prof Dr Isabell Welpe, Professor and Chair of Strategy and Organisation at the Technical University of Munich, Munich (member of the Supervisory Board since 26 June 2019 and Deputy Chair of the Supervisory Board since 1 January 2025);
  • Dr Swantje Schulze, Vice President Revenue EMEA at Knime AG (member of the Supervisory Board since 27 April 2023);
  • Mr Jürgen Maidl, freelance management consultant (member of the Supervisory Board since 5 June 2024);
  • Mr Lukas Abegg, Partner at Spectrum Entrepreneurial Ownership, Switzerland (member of the Supervisory Board since 2 April 2025);

• Dr Ilias Läber, Chief Executive Officer & Member of the Board of Directors of Spectrum Value Management Ltd. and Managing Partner & Member of the Board of Directors of SEO Management AG, Jona (Switzerland), (member of the Supervisory Board until 31 March 2025).

The following members of the Supervisory Board are members of other statutory Supervisory Boards or comparable domestic or foreign supervisory bodies of commercial enterprises:

Mr Klaus Weinmann:

  • STEMMER IMAGING AG, Puchheim (Supervisory Board member);
  • FLOWFRAME SE, Munich (Chairman of the Supervisory Board).

Prof Dr Isabell Welpe:

  • Deloitte Deutschland GmbH Wirtschaftsprüfungsgesellschaft, Düsseldorf (Supervisory Board member);
  • Indus Holding AG, Bergisch Gladbach (Supervisory Board member).

Dr Ilias Läber (until 31 March 2025):

  • Holcim LTD, Zug, Switzerland (Member of the Board of Directors);
  • dormakaba Holding AG (member of the Board of Directors);
  • Swiss Automotive Group, Cham, Switzerland (member of the Board of Directors).

At the Supervisory Board meeting on 25 March 2025, it was decided that Lukas Abegg would take over as a member of the Audit Committee and as Chairman when his judicial appointment took effect. With his judicial appointment, Mr Abegg also took over the position of independent, knowledgeable financial expert on the Supervisory Board in accordance with § 100 (5) of the German Stock Corporation Act (AktG). This position had been held on an interim basis by Prof Dr Welpe after Dr Ilias Läber resigned from the Supervisory Board on 31 March 2025. Following the court appointment of Lukas Abegg on 2 April 2025, the following members of the Supervisory Board were appointed as experts:

  • The expert for the audit of the annual financial statements (pursuant to §§ 100 and 107 of the German Stock Corporation Act) is Lukas Abegg (member of the Supervisory Board);
  • The expert for accounting (in accordance with § 100 and § 107 of the German Stock Corporation Act (AktG)) is Klaus Weinmann (Chairman of the Supervisory Board).

At the time of writing this report, the Supervisory Board of CANCOM SE consists of five members.

E.4. Number of employees

On average over the year, the company employed 142 (previous year: 148) people in the Central services function, including part-time employees but excluding trainees, interns and members of the Executive Board. Of these, 14 (previous year: 15) employees were assigned to management board support/holding functions, 10 (previous year: 11) to legal, 74 (previous year: 78) to finance and accounting, and 44 (previous year: 44) to human resources.

E.5. Auditors' fees

The disclosures required under § 285 No. 17 of the German Commercial Code (HGB) are omitted as they are included in the consolidated financial statements prepared by CANCOM SE.

E.6. Declaration on the Corporate Governance Code

In accordance with § 161 (1) of the German Stock Corporation Act (AktG), the Executive Board and Supervisory Board have issued a joint declaration of conformity with the recommendations of the German Corporate Governance Code, which has been published. This is permanently available to the public on the company's website.

E.7. Total remuneration of the Executive Board and Supervisory Board

The total remuneration of the Executive Board members is divided into fixed and variable components. Payment of the variable components is linked to clearly defined performance targets.

Individual current and former members of the Executive Board were granted share options in 2018 and 2020. In addition, current and former members of the Executive Board were granted performance shares with cash settlement as share-based remuneration in 2021, 2022, 2023, 2024 and 2025. The share-based remuneration of the members of the Executive Board is as follows:

• Thomas Stark: 60,000 share options, fair value at issue on 17 August 2018: € 624,000. Rudolf Hotter: 150,000 share options, fair value at issue on 6 May 2020: € 2,170,500; 75,000 share options will expire in 2022.

  • Rüdiger Rath: 805 performance shares, fair value at issue on 23 September 2021: € 42,335.
  • Rüdiger Rath: 2,850 performance shares, fair value at issue on 7 December 2021: € 178,667.
  • Rüdiger Rath: 7,340 performance shares, fair value at issue on 14 December 2022: € 215,943.
  • Thomas Stark: 5,418 performance shares, fair value at issue on 14 December 2022: € 159,939.
  • Rüdiger Rath: 7,895 performance shares, fair value at issue on 12 December 2023: € 210,244.
  • Thomas Stark: 5,827 performance shares, fair value at issue on 12 December 2023: € 155,872.
  • Jochen Borenich: 2,547 performance shares, fair value at issue on 14 June 2023: € 69,941.
  • Jochen Borenich: 6,767 performance shares, fair value at issue on 12 December 2023: € 177,295.
  • Rüdiger Rath: 8,777 performance shares, fair value at issue on 13 December 2024: € 208,980; Contract amendment dated 28 February 2025: 8,427 performance shares (reduction of 350 performance shares), fair value at issue: € 200,647 (reduction of € 8,334).
  • Thomas Stark: 6,478 performance shares, fair value at issue on 13 December 2024: € 154,889.
  • Rüdiger Rath: 7,610 performance shares, fair value at issue on 22 December 2025: € 205,318.
  • Thomas Stark: 5,898 performance shares, fair value at issue on 22 December 2025: € 158,656.

The total remuneration of the Executive Board amounted to € 1.925 thousand in the reporting year (previous year: € 2.290 thousand), which includes all performance shares granted in the reporting year. Remuneration of former members of the Executive Board amounted to € 0 thousand in the reporting year (previous year: € 0 thousand).

The total remuneration of the Supervisory Board amounted to € 444 thousand in the reporting year (previous year: € 500 thousand).

E.8. Information on shareholdings in CANCOM SE

As at 31 December 2025, the company had the following information on reportable shareholdings in accordance with § 33 et seq. of the German Securities Trading Act (WpHG):

Allianz Global Investors GmbH, Frankfurt, Germany, last notified CANCOM SE on 26 November 2025 that its share of voting rights in CANCOM SE, held directly or indirectly, had fallen below the threshold of 5 percent of voting rights on 25 November 2025 and amounted to 4.97 percent (corresponding to 1,567,836 voting rights) on that date.

SEO Management AG, Rapperswil-Jona, Switzerland, did not report any threshold events in 2025. The following notification therefore continues to apply: SEO Management AG, Rapperswil-Jona, Switzerland, notified CANCOM SE on 28 August 2023 that its share of voting rights in CANCOM SE, held directly or indirectly, exceeded the threshold of 5 percent on 23 August 2023 and amounted to 5.04 percent (corresponding to 1,960,474 voting rights) on that date.

Union Investment Privatfonds GmbH, Frankfurt am Main, Germany, exceeded the threshold of 5 percent on several occasions in 2025. Most recently, Union Investment Privatfonds GmbH notified CANCOM SE on 25 July 2025 that its share of voting rights in CANCOM SE, held directly or indirectly on 24 July 2025, held directly or indirectly, exceeded the threshold of 5 percent of voting rights and amounted to 5.06 percent (corresponding to 1,593,411 voting rights) on that date.

On 16 May 2025, the K & K Stiftung, Vienna, Austria (formerly: ALUK Private Stiftung) voluntarily notified CANCOM SE that its share of voting rights in CANCOM SE held directly or indirectly on 14 May 2025 amounted to 6.49 percent (previously: 5.97 percent). This corresponds to 2,044,046 voting shares on that date. There was therefore no further threshold crossing.

PRIMEPULSE SE, Munich, Germany, did not announce any threshold crossing in 2025. The following notification therefore continues to apply: PRIMEPULSE SE, Munich, Germany, notified CANCOM SE on 10 December 2024 that its share of voting rights in CANCOM SE, held directly or indirectly, exceeded the threshold of 15 percent on 6 December 2024 and amounted to 15.00 percent (corresponding to 4,727,315 voting rights) on that date.

UBS Group AG, Zurich, Switzerland, last notified CANCOM SE on 15 May 2025 that its share of voting rights in CANCOM SE on 12 May 2025, held directly or indirectly, had fallen below the threshold of 3.00 percent of the voting rights and amounted to 2.30 percent (corresponding to a total of 723,965 voting rights) on that date.

BlackRock, Inc., Wilmington, Delaware, United States of America, notified CANCOM SE on 25 June 2025 that its share of voting rights in CANCOM SE, held directly or indirectly, had fallen below the threshold of 3 percent of voting rights on 20 June 2025 and amounted to 2.81 percent (corresponding to 886,570 voting rights) on that date.

E.9. Supplementary report

There were no events of significance to CANCOM SE after the reporting period.

E.10. Proposal for the appropriation of profits

The Executive Board has decided to propose to the Supervisory Board and the Annual General Meeting that the net profit for the 2025 financial year amounting to € 82.29 thousand (previous year: € 109.884.354.84) to be used to distribute a dividend of € 1.00 (previous year: € 1.00) per dividend-bearing share.

E.11. parent company

CANCOM SE, Munich, is the company that prepares the consolidated financial statements. The consolidated financial statements of CANCOM SE can be accessed on its website and viewed in the Federal Gazette or the company register.

Munich, 24 March 2026

The Executive Board of CANCOM SE

Rüdiger Rath Thomas Stark Chief Executive CFO

List of shareholdings

Name of company, Seat of the company Share of capital
(in %)		 Shareholders' Equity
as at 31.12.2025
(in T€)2		 Annual
2025
(in T€)2
Investments
1. CANCOM GmbH, Jettingen-Scheppach 100.00 67,299 -2,064 1
2. VVM AG, Dietlikon/Switzerland 100.00 A) 0 1
3. CANCOM Computersysteme GmbH, Graz/Austria 100.00 A) 3,518 2,500
4. CANCOM a+d IT solutions GmbH, Brunn am Gebirge/Austria 100.00 B) 9,347 2,189
5. CANCOM ICT Service GmbH, Munich 100.00 3,581 -25 1
6. CANCOM Managed Services GmbH, Munich 100.00 23,138 4,031
7. CANCOM Public GmbH, Berlin 100.00 5,511 664
8. CANCOM Public SRL, Brussels/Belgium 100.00 7,383 4,254
9. CANCOM physical infrastructure GmbH, Jettingen-Scheppach 80.00 2,118 958
10. CANCOM VVM II GmbH, Jettingen-Scheppach 100.00 89 -1
11. CANCOM VVM GmbH, Munich 100.00 50 0
12. CANCOM Slovakia s.r.o., Košice/Slovakia 100.00 1,334 665
13. CANCOM Austria Beteiligungs GmbH, Vienna/Austria 100.00 73,676 25,124
14. CANCOM Austria AG, Vienna/Austria 100.00 C) 82,759 28,575
15. CANCOM ROMANIA S.R.L., Bucharest/Romania 100.00 D) 4,304 1,075
16. CANCOM Czech Republic s.r.o, Prague/Czech Republic 100.00 D) 91 3
17. CANCOM Switzerland AG, Zurich/Switzerland 100.00 D) 6,839 -1,703
18. K-Businesscom Inc., Georgia/USA 100.00 D) 25 28
19. CANCOM Converged Services GmbH, Vienna/Austria 100.00 D) 3,090 1,198
20. evolaris next level GmbH, Raaba-Grambach/Austria 100.00 D) 38 21
21. CANCOM Cashpooling and Hedging GmbH, Vienna/Austria 100.00 D) 87 -493
22. CANCOM Banking Services GmbH, Vienna/Austria 96.00 E) 234 -7
23. CANCOM Consumption Services GmbH, Vienna/Austria 100.00 D) 48 -54
24. CANCOM Property Management Ltd., Vienna/Austria 100.00 D) 4,097 -154
25. CANCOM Financial Services GmbH, Schweinfurt 40.00 1,386 100
26. Sensor Network Services GmbH, Vienna/Austria 12.50 D) 248 -282 3
27. CANCOM Rental Services GmbH, Vienna/Austria 49.00 D) 7,094 1,262
28. CALPANA business consulting GmbH, Linz/Austria 40.00 D) 779 1,197
29. Workheld GmbH, Vienna/Austria 39.90 D) -279 231
30. Elmon GmbH, Wiener Neudorf/Austria 25.10 D) 1,780 314 3
31. Duana Grundstücksverwaltungsgesellschaft mbH & Co.
Vermietungs KG, Mainz		 100.00 F) 29 2
32. Human.technology Styria GmbH 8.00 D) 220 0 3

A) Indirect shareholding via CANCOM GmbH

B) Indirect shareholding via CANCOM Computersysteme GmbH

C) Indirect shareholding via CANCOM Austria Beteiligungs GmbH

D) Indirect shareholding via CANCOM Austria AG

E) Indirect shareholding via CANCOM Cashpooling and Hedging GmbH

F) Indirect shareholding via CANCOM GmbH, voting rights 10 %

1) Profit transfer agreement with CANCOM SE.

2) Shareholders' Equity as at 31.12.2025 and the 2025 annual result were determined in accordance with the IFRS individual financial statements included in the consolidated financial statements.

3) No approved annual financial statements for 2025 are available yet. The Shareholders' Equity as at 31.12.2024 and the net income for 2024 were taken from the approved annual financial statements for 2024.

Responsibility statement by the legal representatives

To the best of our knowledge, we certify that the annual financial statements give a true and fair view of the net assets, financial position and Result of operations of the company and that the management report of CANCOM SE, which is combined with the group management report of CANCOM SE, the course of business, including the business results and the situation of the company, are presented in such a way that they give a true and fair view, and the significant opportunities and risks of the company's expected development are described.

Munich, 24 March 2026

The Executive Board of CANCOM SE

Rüdiger Rath Thomas Stark Chief Executive CFO

Digital solutions for the challenges of our time.

Auditor's reports

206 Reports on the audit of the consolidated financial statements
and the consolidated management report

INDEPENDENT AUDITOR'S REPORT

To CANCOM SE

REPORT ON THE AUDIT OF THE CONSOLIDATED FINANCIAL STATEMENTS AND OF THE COMBINED MANAGEMENT REPORT

Audit Opinions

We have audited the consolidated financial statements of CANCOM SE and its subsidiaries (the Group), which comprise the consolidated statement of financial position as at 31 December 2025, and the consolidated statement of comprehensive income, consolidated statement of changes in equity and consolidated statement of cash flows for the financial year from 1 January 2025 to 31 January 2025, and notes to the consolidated financial statements, including important information on the accounting policies. In addition, we have audited the combined management report of CANCOM SE for the financial year from 1 January 2025 to 31 January 2025. In accordance with the German legal requirements, we have not audited the content of the parts of the combined management report listed under "Other Information".

In our opinion, on the basis of the knowledge obtained in the audit,

  • the accompanying consolidated financial statements comply, in all material respects, with the IFRS Accounting Standards issued by the International Accounting Standards Board (IASB) (hereinafter referred to as "IFRS Accounting Standards") as adopted by the EU, and the additional requirements of German commercial law pursuant to § 315e (1) HGB and, in compliance with these requirements, give a true and fair view of the assets, liabilities, and financial position of the Group as at 31 December 2025, and of its financial performance for the financial year from 1 January 2025 to 31 December 2025, and
  • the accompanying combined management report as a whole provides an appropriate view of the Group's position. In all material respects, this combined management report is consistent with the consolidated financial statements, complies with German legal requirements and appropriately presents the opportunities and risks of future development. Our audit opinion on the combined management report does not cover the content of the parts of the combined management report listed under "Other Information".

Pursuant to § 322 (3) sentence 1 HGB, we declare that our audit has not led to any reservations relating to the legal compliance of the consolidated financial statements and of the combined management report.

Basis for the Audit Opinions

We conducted our audit of the consolidated financial statements and of the combined management report in accordance with § 317 HGB and the EU Audit Regulation (No. 537/2014, referred to subsequently as "EU Audit Regulation") and in compliance with German Generally Accepted Standards for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer (Institute of Public Auditors in Germany, IDW). Our responsibilities under those requirements and principles are further described in the "Auditor's Responsibilities for the Audit of the Consolidated Financial Statements and of the Combined Management Report" section of our auditor's report. We are independent of the group entities in accordance with the requirements of European law and German commercial and professional law, and we have fulfilled our other German professional responsibilities in accordance with these requirements. In addition, in accordance with Article 10 (2) point (f) of the EU Audit Regulation, we declare that we have not provided non-audit services prohibited under Article 5 (1) of the EU Audit Regulation. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions on the consolidated financial statements and on the combined management report..

Key Audit Matters in the Audit of the Consolidated Financial Statements

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements for the financial year from 1 January 2025 to 31 December 2025. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our audit opinion thereon, we do not provide a separate audit opinion on these matters.

Impairment of Goodwill

Facts and Problem

In the consolidated financial statements of CANCOM SE, goodwill totalling EUR 270 million is reported under the balance sheet item "Goodwill", representing approximately 19% of total assets. The Company allocates goodwill to the relevant groups of cash-generating units. Goodwill is subject to an impairment test by the Company annually on the balance sheet date or on an ad hoc basis. This involves comparing the calculated values in use with the carrying amounts of the corresponding group of cash-generating units. These valuations are usually based on the present value of future cash flows of the cash-generating unit to which the respective goodwill is allocated. The valuations rely on the budget calculations of the individual cash-generating units, which are derived from financial plans approved by the Supervisory Board. Discounting is carried out using the weighted average cost of capital of the respective cash-generating unit. The result of this valuation is highly dependent on the assessment of future cash inflows by the Company's executive directors and the discount rate applied. Consequently, it is subject to considerable uncertainty and is therefore of particular importance in the context of our audit.

Audit procedure and findings

To address this risk, we critically assessed management's assumptions and estimates and performed, among others, the following audit procedures:

  • We have examined the underlying processes for planning future cash flows, determining fair values, and the controls implemented within the planning process
  • Furthermore, we have analysed the methodological approach to conducting the impairment tests and assessed the determination of the weighted average cost of capital
  • We have satisfied ourselves that the future cash inflows underlying the valuations, together with the discount rates applied, provide an appropriate basis for the impairment tests of the individual cash-generating units

  • In our assessment, we have relied, among other things, on a comparison with general and industry-specific market expectations, comprehensive explanations by management on the main value drivers of the planning, and a comparison of this information with the current budgets from the planning approved by the Supervisory Board

  • Recognising that even small changes in the discount rate can significantly impact the value in use calculated in this way, we have reviewed the parameters used to determine the discount rate, including the weighted average cost of capital, as well as the Company's calculation methodology

  • The methodology applied in the impairment testing of the respective goodwill is appropriate and consistent with the valuation principles. The Company's assumptions and data are reasonable.

Reference to further information

The Company's disclosures on goodwill are set out in of the notes to the consolidated financial statements:

  • Text No. A.3.11.
  • Text No. A.3.12.
  • Text No. B.8.3.

Other Information

The executive directors and the Supervisory Board are responsible for the other information, which includes:

  • The declaration pursuant to § 297 (2) sentence 4 HGB for the consolidated financial statements and pursuant to § 289 (1) sentence 5 HGB and § 315 (1) sentence 5 HGB for the combined management report
  • Declarations on the Corporate Governance Code pursuant to §161 (1) AktG
  • The Combined Statement on Corporate Governance of the Company and the Group, referenced in the combined management report
  • Sections "Group Sustainability Statement" and "Group Internal Control and Risk Management System" included in the combined management report
  • The report of the Supervisory Board
  • All other parts of the published "Annual Report".

The other information does not include the annual financial statements, the consolidated financial statements, the substantively audited information in the combined management report or our associated auditor reports.

Our audit opinions on the consolidated financial statements and on the combined management report do not cover the other information, and consequently we do not issue an audit opinion or any other form of assurance conclusion thereon.

In connection with our audit, we have a responsibility to read the other information and, in so doing, to assess whether it:

  • Is materially inconsistent with the consolidated financial statements, the substantively audited information in the combined management report, or the knowledge obtained during the audit
  • Otherwise appears to be materially misstated.

Responsibilities of the Executive Directors and the Supervisory Board for the Consolidated Financial Statements and the Combined Management Report

The executive directors are responsible for the preparation of the consolidated financial statements that comply, in all material respects, with IFRS Accounting Standards as adopted by the EU and the additional requirements of German commercial law pursuant to § 315e Abs. 1 HGB and that the consolidated financial statements, in compliance with these requirements, give a true and fair view of the assets, liabilities, financial position, and financial performance of the Group. In addition, the executive directors are responsible for such internal control as they have determined necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud (i.e., fraudulent financial reporting and misappropriation of assets) or error.

In preparing the consolidated financial statements, the executive directors are responsible for assessing the Group's ability to continue as a going concern. They also have the responsibility for disclosing, as applicable, matters related to going concern. In addition, they are responsible for financial reporting based on the going concern basis of accounting unless there is an intention to liquidate the Group or to cease operations, or there is no realistic alternative but to do so.

Furthermore, the executive directors are responsible for the preparation of the combined management report that, as a whole, provides an appropriate view of the Group's position and is, in all material respects, consistent with the consolidated financial statements, complies with German legal requirements, and appropriately presents the opportunities and risks of future development. In addition, the executive directors are responsible for such arrangements and measures (systems) as they have considered necessary to enable the preparation of a combined management report that is in accordance with the applicable German legal requirements, and to be able to provide sufficient appropriate evidence for the assertions in the combined management report.

The Supervisory Board is responsible for overseeing the Group's financial reporting process for the preparation of the consolidated financial statements and of the combined management report.

Auditor's Responsibilities for the Audit of the Consolidated Financial Statements and of the Combined Management Report

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and whether the combined management report as a whole provides an appropriate view of the Group's position and, in all material respects, is consistent with the consolidated financial statements and the knowledge obtained in the audit, complies with the German legal requirements and appropriately presents the opportunities and risks of future development, as well as to issue an auditor's report that includes our audit opinions on the consolidated financial statements and on the combined management report.

Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with § 317 HGB and the EU Audit Regulation and in compliance with German Generally Accepted Standards for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer (IDW) will always detect a material misstatement. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements and this combined management report.

We exercise professional judgment and maintain professional skepticism throughout the audit. We also:

  • Identify and assess the risks of material misstatement of the consolidated financial statements and of the combined management report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our audit opinions. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
  • Obtain an understanding of internal control relevant to the audit of the consolidated financial statements and of arrangements and measures relevant to the audit of the combined management report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an audit opinion on the effectiveness of the Group's internal control or on the effectiveness of these arrangements and measures.
  • Evaluate the appropriateness of accounting policies used by the executive directors and the reasonableness of estimates made by the executive directors and related disclosures.

  • Conclude on the appropriateness of the executive directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in the auditor's report to the related disclosures in the consolidated financial statements and in the combined management report or, if such disclosures are inadequate, to modify our respective audit opinions. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Group to cease to be able to continue as a going concern.

  • Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements present the underlying transactions and events in a manner that the consolidated financial statements give a true and fair view of the assets, liabilities, financial position and financial performance of the Group in compliance with the IFRS Accounting Standards as adopted by the EU and the additional requirements of German commercial law pursuant to § 315e Abs. 1 HGB.

  • Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express audit opinions on the consolidated financial statements and on the combined management report. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit opinions.
  • Evaluate the consistency of the combined management report with the consolidated financial statements, its conformity with German law, and the view of the Group's position it provides.
  • Perform audit procedures on the prospective information presented by the executive directors in the combined management report. On the basis of sufficient appropriate audit evidence we evaluate, in particular, the significant assumptions used by the executive directors as a basis for the prospective information, and evaluate the proper derivation of the prospective information from these assumptions. We do not express a separate audit opinion on the prospective information and on the assumptions used as a basis. There is a substantial unavoidable risk that future events will differ materially from the prospective information.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with the relevant independence requirements and communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, the actions taken or safeguards applied to eliminate independence threats.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter.

OTHER LEGAL AND REGULATORY REQUIREMENTS

Report on the audit of the electronic reproductions of the consolidated financial statements and the combined management report prepared for publication purposes in accordance with § 317 (3a) HGB

Audit Opinion

In accordance with § 317 (3a) HGB, we have conducted a reasonable assurance engagement to determine whether the reproductions of the consolidated financial statements and the combined management report (hereinafter also referred to as the "ESEF documents"), contained in the file "CANCOM_SE_2025-12-31_de.zip" as provided and prepared for publication purposes, comply in all material respects with the electronic reporting format ("ESEF format") pursuant to § 328 (1) HGB.

In accordance with German legal requirements, this engagement is limited to the conversion of the information contained in the consolidated financial statements and the combined management report into the ESEF format and does not extend to the information contained in these reproductions or to any other information contained in the above-mentioned file. In accordance with these regulations, our audit also does not extend to the voluntary tagging made by the Company to the individual disclosures in the notes to the consolidated financial statements.

In our opinion, the reproductions of the consolidated financial statements and the combined management report contained in the above-mentioned file as provided and prepared for publication purposes comply in all material respects with the requirements of § 328 (1) HGB for the electronic reporting format. We do not express any audit opinion on the information contained in these reproductions or on any other information contained in the above-mentioned file beyond this audit opinion, and our audit opinions on the accompanying consolidated financial statements

and the accompanying combined management report for the financial year from 1 January 2025 to 31 December 2025, as set out in the preceding "Report on the Audit of the Consolidated Financial Statements and of the Combined Management Report".

Basis for the Audit Opinion

We conducted our audit of the reproductions of the consolidated financial statements and of the combined management report contained in the above-mentioned file, provided in accordance with § 317 (3a) HGB, and in compliance with the IDW Auditing Standard: "Audit of Electronic Reproductions of Financial Statements and Combined Management Report Prepared for Publication Purposes in Accordance with § 317 (3a) HGB" (IDW PS 410 (06.2022)). Our responsibilities under those requirements are further described in the section "Auditor's Responsibilities for the Audit of the ESEF documents". Our audit practice has complied with the requirements of the IDW quality management standard: "Requirements for Quality Management in the Auditing Practice" (IDW QMS 1), which is aligned with International Standard on Quality Management 1 (ISQM1), as issued by the International Auditing and Assurance Standards Board (IAASB).

Responsibilities of the Executive Directors and the Supervisory Board for the ESEF Documents

The executive directors of the Company are responsible for the preparation of the ESEF documents including the electronic reproductions of the consolidated financial statements and the combined management report in accordance with § 328 (1) sentence 4 no. 1 HGB and for the tagging of the consolidated financial statements in accordance with § 328 (1) sentence 4 no. 2 HGB.

Furthermore, the Company's executive directors are responsible for such internal control as they have determined necessary to enable the preparation of ESEF documents that are free from material non-compliance with the requirements of § 328 (1) HGB for the electronic reporting format, whether due to fraud or error.

The Supervisory Board is responsible for overseeing the preparation the ESEF documents as part of the financial reporting process.

Auditor's Responsibilities for the Audit of the ESEF Documents

Our objective is to obtain reasonable assurance about whether the ESEF documents are free from material non-compliance, whether due to fraud or error, with the requirements of § 328 (1) HGB. We exercise professional judgement and maintain professional skepticism throughout the engagement. We also:

  • Identify and assess the risks of material non-compliance with the requirements of § 328 (1) HGB, whether due to fraud or error; design and perform audit procedures responsive to those risks; and obtain sufficient and appropriate audit evidence to provide a basis for our audit opinion
  • Obtain an understanding of internal control relevant to the audit of the ESEF documents in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an audit opinion on the effectiveness of those controls
  • Evaluate the technical validity of the ESEF documents, i.e., whether the ESEF-file provided meets the requirements of the Delegated Regulation (EU) 2019/815 for the technical specification, as applicable on the reporting date
  • Evaluate whether the ESEF documents enable an XHTML reproduction with content equivalent to the audited consolidated financial statements and the audited combined management report
  • Assess whether the tagging of the ESEF documents with inline XBRL technology (iXBRL), in accordance with Articles 4 and 6 of the Delegated Regulation (EU) 2019/815, as applicable at the reporting date, provides an adequate and complete machine-readable XBRL copy of the XHTML reproduction.

Further Information pursuant to Article 10 of the EU Audit Regulation

We were elected as auditor by the annual general meeting in 24 June 2025 and engaged by the Supervisory Board on 30 September 2025. We have acted as auditor of CANCOM SE since the 2024 financial year.

We declare that the audit opinions expressed in this auditor's report are consistent with the additional report to the audit committee pursuant to Article 11 of the EU Audit Regulation (long-form audit report).

OTHER FACTS – USE OF THE AUDIT REPORT

Our audit report should be read in conjunction with the audited consolidated financial statements and the audited combined management report as well as the audited ESEF documents. The consolidated financial statements and combined management report converted into ESEF format – including the versions to be entered in the Business Register – are merely electronic reproductions of the audited consolidated financial statements and the audited combined management report and do not replace them. In particular, the ESEF report and our audit opinion contained therein are to be used solely in conjunction with the audited ESEF documents provided in electronic form.

GERMAN PUBLIC AUDITOR RESPONSIBLE FOR THE ENGAGEMENT

The German Public Auditor responsible for the engagement is Andreas Weissinger.

München, 24 March 2026

Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft

Weissinger Fußstetter Wirtschaftsprüfer Wirtschaftsprüferin

(German Public Auditor) (German Public Auditor)

The limited assurance engagement was performed on the German version if the non-financial group statement an issued an independent assurance report in German language, which is authoritative. The following text is a translation of the original German independent public auditors report.

Assurance report by the independent german public auditor on a limited assurance engagement in relation to the non-financial group statement of CANCOM SE

To CANCOM SE, Munich

Assurance Conclusion

We have conducted a limited assurance engagement on the nonfinancial group statement of CANCOM SE, Munich (hereinafter referred to as the 'Company') for the fiscal year from 1 January 2025 to 31 December 2025, included in the section 'Group Sustainability Statement' of the combined group management report. The non-financial group statement has been prepared to fulfill the requirements of Sections 315b and 315c of the German Commercial Code (HGB) for a non-financial group statement and in accordance with Article 8 of Regulation (EU) 2020/852.

Information marked as unaudited in a footnote was not the subject of our audit. This includes:

  • references in the non-financial group statement to the work of experts regarding information contained in the non-financial group statement. This includes ISO certifications 14001, 45001 and 50001.
  • company-specific and internal guidelines, policies, codes and agreements mentioned in the context of the presentation of the ESRS MDR-P, as far as they go beyond the mandatory data points (Environmental Policy, Occupational Health and Safety Policy, Compliance Reporting Policy, Code of Conduct, Business Partner Code, Diversity and Inclusion Policy, Global Human Rights Policy, overarching company-wide agreements on the compliance management system and procedures for compliance reports).
  • the executive director's commitment to corporate governance and sustainable corporate management.

  • the substantive details regarding the accounting-related internal control and risk management system, as far as these relate to financial reporting. The internal control and risk management system was audited solely with regard to sustainability reporting.

  • the significance of statements in the external sustainability assessment (Ecovadis rating) for customer satisfaction.

  • Previous year's figures on taxonomy-compliant activities (2024).
  • information on the recycling of the AirPlus material used by Storopack (2022–2024).

Based on the procedures performed and the evidence obtained, nothing has come to our attention that causes us to believe that the accompanying non-financial group statement for the fiscal year from 1 January 2025 to 31 December 2025 was not prepared, in all material aspects, in accordance with the requirements of the Sections 315b and 315c of the German Commercial Code (HGB) and with the requirements of Article 8 of Regulation (EU) 2020/2361 as well as with the supplementary criteria presented by the executive directors of the company.

We express no assurance opinion on the disclosures marked as unaudited in a footnote and mentioned above.

Basis for the Assurance Conclusion

We conducted our limited assurance engagement in accordance with the International Standard on Assurance Engagements (ISAE) 3000 (Revised): Assurance Engagements Other Than Audits or Reviews of Historical Financial Information, issued by the International Auditing and Assurance Standards Board (IAASB).

The procedures in a limited assurance engagement vary in nature and timing from, and are less in extent than for, a reasonable assurance engagement. Consequently, the level of assurance obtained is substantially lower than the assurance that would have been obtained had a reasonable assurance engagement been performed.

Our responsibilities under ISAE 3000 (Revised) are further described in the "German Public Auditor's Responsibilities for the Assurance Engagement on the Group Sustainability Statement" section.

We are independent of the Company in accordance with the requirements of European law and German commercial and professional law, and we have fulfilled our other German professional responsibilities in accordance with these requirements. Our audit firm has complied with the quality management system requirements of the IDW Standard on Quality Management: Requirements for Quality Management in the Audit Firm (IDW QMS 1 (09.2022)) issued by the Institut der Wirtschaftsprüfer (Institute of Public Auditors in Germany; IDW). We believe that the evidence we have obtained is sufficient and appropriate to provide a basis for our assurance conclusion.

Emphasis of matter – Principles for preparing the non-financial group sustainability statement

Without qualifying our assurance opinion, we draw attention to the information provided in the non-financial group statement, which describes the principles governing the preparation of the non-financial group statement. Accordingly, the company has applied the European Sustainability Reporting Standards (ESRS) to the extent specified in the section "General Principles for the Preparation of the Sustainability Statement (BP-1)" of the non-financial group statement.

Responsibility of the Executive Directors and the Supervisory Board for the non-financial group statement

The executive directors are responsible for the preparation of the non-financial group statement in accordance with relevant German legal and other European regulations as well as with the supplementary criteria presented by the executive directors of the Company, and for the design, implementation and maintenance of the internal controls that they have considered necessary to enable the preparation of a non-financial group statement in accordance with these regulations that is free from material misstatement, whether due to fraud (i.e., manipulation of the non-financial group statement) or error.

This responsibility of the executive directors includes establishing and maintaining the materiality assessment process, selecting and applying appropriate reporting policies for preparing the non-financial group statement, as well as making assumptions and estimates and ascertaining forward-looking information for individual sustainability-related disclosures.

The supervisory board is responsible for overseeing the process for the preparation of the non-financial group statement.

Inherent Limitations in the Preparation of the non-financial group statement

The relevant German statutory and other European regulations contain wording and terms that are still subject to considerable interpretation uncertainties and for which no authoritative, comprehensive interpretations have yet been published. Therefore, the executive directors have disclosed their interpretations of such wording and terms in section "EU Taxonomy" of the non-financial group statement. The executive directors are responsible for the defensibility of these interpretations. As such wording and terms may be interpreted differently by regulators or courts, the legal conformity of measurements or evaluations of sustainability matters based on these interpretations is uncertain.

As further explained in the section 'Disclosures relating to specific circumstances (BP-2)' of the non-financial group statement, the quantification of non-financial disclosures (Scope 3 emissions, S1: own workforce) are also subject to inherent uncertainties due to assumptions, extrapolations and estimation methods used.

These inherent limitations also affect the assurance engagement on the non-financial group statement.

German Public Auditor's Responsibilities for the Assurance Engagement on the non-financial group statement

Our objective is to express a limited assurance conclusion, based on the assurance engagement we have conducted, on whether any matters have come to our attention that cause us to believe that the non-financial group statement has not been prepared, in all material respects, in accordance with the relevant German legal and other European regulations as well as with the supplementary criteria presented by the executive directors of the Company, and to issue an assurance report that includes our assurance conclusion on the Group Sustainability Statement.

As part of a limited assurance engagement in accordance with ISAE 3000 (Revised), we exercise professional judgment and maintain professional skepticism.

In addition:

  • obtain an understanding of the process to prepare the Group Sustainability Statement, including the materiality assessment process carried out by the Company to identify the information to be included in the non-financial group statement.
  • identify disclosures where a material misstatement due to fraud or error is likely to arise, design and perform procedures to address these disclosures and obtain limited assurance to support the assurance conclusion. The risk of not detecting a material misstatement resulting from fraud is higher than the risk of not detecting a material misstatement resulting from error, as fraud may involve collusion, forgery, intentional omissions, misleading representations, or the override of internal controls. In addition, the risk of not detecting a material misstatement within value chain information from sources not under the control of the company (value chain information) is generally higher than the risk of not detecting a material misstatement of value chain information from sources under the control of the company, as both the executive directors of the Company and we, as assurance practitioners, are ordinarily subject to limitations on direct access to the sources of value chain information.
  • consider the forward-looking information, including the appropriateness of the underlying assumptions. There is a substantial unavoidable risk that future events will differ materially from the forward-looking information.

Summary of the Procedures Performed by the German Public Auditor

A limited assurance engagement involves the performance of procedures to obtain evidence about the sustainability information. The nature, timing and extent of the selected procedures are subject to our professional judgement.

In conducting our limited assurance engagement, we have:

  • gained an understanding of the process, implemented for the first time, for applying the dual materiality approach and for meeting the requirements under the ESRS.
  • assessed the overall suitability of the criteria presented by the legal representatives in the non-financial group statement.
  • inquired the executive representatives and relevant employees involved in the preparation of the non-financial group sustainability statement regarding the preparation process, including the materiality analysis process carried out by the company to identify the information to be included in the non-financial group statement, as well as the internal controls relating to this process.
  • assessed the risk of material misstatement in the non-financial consolidated statement.
  • assesses the methods used by the statutory representatives to prepare the non-financial group statement.

  • assesses the reasonableness of the estimated values provided by the executive directors and the related explanations. Where the executive directors estimate the reportable information on the value chain in accordance with the ESRS in a case where the executive directors are unable to obtain the information from the value chain despite reasonable efforts, our audit is limited to assessing whether the executive directors have made these estimates in accordance with the ESRS, and to assess the reasonableness of these estimates, but not to determine information regarding the value chain that the executive directors were unable to obtain.

  • performed analytical audit procedures and interviews regarding selected information in the non-financial group statement.

  • assessment of forward-looking statements.
  • assessed the presentation of information in the non-financial group statement.
  • assessed the process for identifying taxonomy-eligible and taxonomy-aligned economic activities and the corresponding disclosures in the non-financial group statement.

Restriction of Use

This report is addressed to the supervisory board and is intended solely for its use. We accept no liability in this regard towards third parties. The engagement in the course of which we provided the services mentioned above for the Supervisory Board of CANCOM SE, Munich, was based on the General Terms and Conditions for Auditors and Audit Firms in the version dated 1 January 2024. By taking note of and using the information contained in this report, each recipient confirms that they have taken note of the provisions set out therein and acknowledges their validity in relation to us.

Frankfurt am Main, den 24. März 2026

Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft

Borcherding Engels Wirtschaftsprüfer Wirtschaftsprüferin German Public Auditor German Public Auditor

INDEPENDENT AUDITOR'S REPORT

To CANCOM SE

REPORT ON THE AUDIT OF THE ANNUAL FINANCIAL STATEMENTS AND THE COMBINED MANAGEMENT REPORT

Audit Opinions

We have audited the annual financial statements of CANCOM SE, which comprise the balance sheet as at 31 December 2025, and the statement of profit and loss for the financial year from 1 January 2025 to 31 December 2024, and notes to the financial statements, including the presentation of the recognition and measurement policies. In addition, we have audited the combined management report of CANCOM SE for the financial year from 1 January 2025 to 31 December 2025. In accordance with German legal requirements, we have not audited the content of the parts of the combined management report referred to in the "Other Information".

In our opinion, on the basis of the knowledge obtained in the audit,

  • the accompanying annual financial statements comply, in all material respects, with the requirements of German commercial law applicable to business corporations and give a true and fair view of the assets, liabilities and financial position of the Company as at 31 December 2025 and of its financial performance for the financial year from 1 January 2025 to 31 December 2025 in compliance with German Legally Required Accounting Principles, and
  • the accompanying combined management report as a whole provides an appropriate view of the Company's position. In all material respects, this combined management report is consistent with the annual financial statements, complies with German legal requirements and appropriately presents the opportunities and risks of future development. Our audit opinion on the combined management report does not cover the content of the parts of the combined management report referred to in the "Other Information".

Pursuant to § 322 (3) sentence 1 HGB, we declare that our audit has not led to any reservations relating to the legal compliance of the annual financial statements and of the combined management report.

Basis for the Audit Opinions

We conducted our audit of the annual financial statements and of the combined management report in accordance with § 317 HGB and the EU Audit Regulation (No. 537/2014, referred to subsequently as "EU Audit Regulation") in compliance with German Generally Accepted Standards for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer (Institute of Public Auditors in Germany, IDW). Our responsibilities under those requirements and principles are further described in the "Auditor's Responsibilities for the Audit of the Annual Financial Statements and of the Combined Management Report" section of our auditor's report. We are independent of the Company in accordance with the requirements of European law and German commercial and professional law, and we have fulfilled our other German professional responsibilities in accordance with these requirements. In addition, in accordance with Article 10 (2) point (f) of the EU Audit Regulation, we declare that we have not provided non-audit services prohibited under Article 5 (1) of the EU Audit Regulation. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions on the annual financial statements and on the combined management report.

Key Audit Matters in the Audit of the Annual Financial Statements

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the annual financial statements for the financial year from 1 January 2025 to 31 December 2025. These matters were addressed in the context of our audit of the annual financial statements as a whole, and in forming our audit opinion thereon, we do not provide a separate audit opinion on these matters.

Impairment of shares in Affiliated Companies

Facts and Problem

In the annual financial statements of CANCOM SE, shares in affiliated companies amounting to EUR 480,865,545.36 are reported under the balance sheet item "Financial assets", representing approximately 76,5% of total assets. The shares in affiliated companies are subject to an impairment test by the Company annually on the balance sheet date or on an ad hoc basis. These valuations are usually based on the present value of future cash flows of the respective affiliated company. The valuations rely

on the budget calculations of the individual affiliated companies, which are derived from financial plans approved by the Supervisory Board. Discounting is carried out using the weighted average cost of capital of the respective company. The result of this valuation is highly dependent on the assessment of future cash inflows by the Company's executive directors and on the discount rate applied. Consequently, it is subject to considerable uncertainty and is therefore of particular importance in the context of our audit.

Audit procedure and findings

To address this risk, we critically assessed management's assumptions and estimates and performed, among others, the following procedures:

  • We examined the underlying processes for planning future cash flows, the determining fair values, and the controls implemented within the planning process
  • Furthermore, we have analysed the methodological approach to conducting the impairment tests and assessed the determination of the weighted average cost of capital
  • We have satisfied ourselves that the future cash inflows underlying the valuations, together with the discount rates applied, provide an appropriate basis for the impairment tests of the individual companies
  • In our assessment, we have relied, among other things, on a comparison with general and industry-specific market expectations, comprehensive explanations by management on the main value drivers of the planning, and a comparison of this information with the current budgets from the planning approved by the Supervisory Board
  • Recognising that even small changes in the discount rate can significantly impact the value in use calculated in this way, we have reviewed the parameters used to determine the discount rate, including the weighted average cost of capital, as well as the Company's calculation methodology
  • The methodology applied in the impairment testing of the shares in affiliated companies is appropriate and consistent with the valuation principles. The Company's assumptions and data are reasonable.

Reference to further information

The Company's information on the shares in affiliated companies is set out in:

  • Section "B.3. Financial assets"
  • "Statement of fixed assets for the reporting period"
  • "List of shareholdings".

Other Information

The executive directors and the Supervisory Board are responsible for the other information, which includes:

  • The declaration pursuant to § 264 (2) sentence 3 HGB for the annual financial statements and pursuant to § 289 (1) sentence 5 HGB and § 315 (1) sentence 5 HGB for the combined management report
  • Declarations on the Corporate Governance Code pursuant to § 161 (1) AktG
  • The Combined Corporate Governance Statement of the Company and the Group, referenced in the combined management report
  • Sections "Group Sustainability Statement" and "Group Internal Control and Risk Management System" included in the combined management report
  • The report of the Supervisory Board
  • All other parts of the published "Annual Report".

The other information does not include the annual financial statements, the consolidated financial statements, the substantively audited information in the combined management report, or our associated audit reports.

Our audit opinions on the annual financial statements and the combined management report do not cover the other information, and consequently we do not issue an audit opinion or any other form of assurance conclusion thereon.

In connection with our audit, we have a responsibility to read the other information and assess whether it:

  • Is materially inconsistent with the annual financial statements, the substantively audited information in the combined management report, or the knowledge obtained during the audit
  • Otherwise appears to be materially misstated.

Responsibilities of the Executive Directors and the Supervisory Board for the Annual Financial Statements and the Combined Management Report

The executive directors are responsible for the preparation of the annual financial statements that comply, in all material respects, with the requirements of German commercial law applicable to business corporations, and that the annual financial statements give a true and fair view of the assets, liabilities, financial position and financial performance of the Company in compliance with German Legally Required Accounting Principles. In addition, the executive directors are responsible for such internal control as they, in accordance with German Legally Required Accounting Principles, have determined necessary to enable the preparation of annual financial statements that are free from material misstatement, whether due to fraud (i.e., fraudulent financial reporting and misappropriation of assets) or error.

In preparing the annual financial statements, the executive directors are responsible for assessing the Company's ability to continue as a going concern. They also have the responsibility for disclosing, as applicable, matters related to going concern. In addition, they are responsible for financial reporting based on the going concern basis of accounting, provided no actual or legal circumstances conflict therewith.

Furthermore, the executive directors are responsible for the preparation of the combined management report that, as a whole, provides an appropriate view of the Company's position and is, in all material respects, consistent with the annual financial statements, complies with German legal requirements, and appropriately presents the opportunities and risks of future development. In addition, the executive directors are responsible

for such arrangements and measures (systems) as they have considered necessary to enable the preparation of a combined management report that is in accordance with the applicable German legal requirements, and to be able to provide sufficient appropriate evidence for the assertions in the combined management report.

The Supervisory Board is responsible for overseeing the Company's financial reporting process for the preparation of the annual financial statements and of the combined management report.

Auditor's Responsibilities for the Audit of the Annual Financial Statements and of the Combined Management Report

Our objectives are to obtain reasonable assurance about whether the annual financial statements as a whole are free from material misstatement, whether due to fraud or error, and whether the combined management report as a whole provides an appropriate view of the Company's position and, in all material respects, is consistent with the annual financial statements and the knowledge obtained in the audit, complies with the German legal requirements and appropriately presents the opportunities and risks of future development, as well as to issue an auditor's report that includes our audit opinions on the annual financial statements and on the combined management report.

Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with § 317 HGB and the EU Audit Regulation and in compliance with German Generally Accepted Standards for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer (IDW) will always detect a material misstatement. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these annual financial statements and this combined management report.

We exercise professional judgment and maintain professional skepticism throughout the audit. We also:

  • •dentify and assess the risks of material misstatement of the annual financial statements and of the combined management report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our audit opinions. The risk of not detecting a material misstatement resulting from fraud is higher than the risk of not detecting a material misstatement resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls.
  • Obtain an understanding of internal control relevant to the audit of the annual financial statements and of arrangements and measures relevant to the audit of the combined management report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an audit opinion on the effectiveness of internal control or these arrangements and measures of the Company.
  • •valuate the appropriateness of accounting policies used by the executive directors and the reasonableness of estimates made by the executive directors and related disclosures.

  • Conclude on the appropriateness of the executive directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in the auditor's report to the related disclosures in the annual financial statements and in the combined management report or, if such disclosures are inadequate, to modify our respective audit opinions. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to be able to continue as a going concern.

  • Evaluate the overall presentation, structure and content of the annual financial statements, including the disclosures, and whether the annual financial statements present the underlying transactions and events in a manner that the annual financial statements give a true and fair view of the assets, liabilities, financial position and financial performance of the Company in compliance with German Legally Required Accounting Principles.

  • Evaluate the consistency of the combined management report with the annual financial statements, its conformity with German law, and the view of the Company's position it provides.
  • Perform audit procedures on the prospective information presented by the executive directors in the combined management report. On the basis of sufficient appropriate audit evidence we evaluate, in particular, the significant assumptions used by the executive directors as a basis for the prospective information and evaluate the proper derivation of the prospective information from these assumptions. We do not express a separate audit opinion on the prospective information and on the assumptions used as a basis. There is a substantial unavoidable risk that future events will differ materially from the prospective information.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with the relevant independence requirements and communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, the actions taken or safeguards applied to eliminate independence threats.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the annual financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter.

OTHER LEGAL AND REGULATORY REQUIREMENTS

Report on the Audit of the Electronic Reproductions of the Annual Financial Statements and the Combined Management Report Prepared for Publication Purposes in accordance with § 317 (3a) HGB

Audit Opinions

In accordance with § 317 (3a) HGB, we have conducted a reasonable assurance en-gagement to determine whether the reproductions of the annual financial statements and the combined management report (hereinafter also referred to as the "ESEF

documents"), contained in the file "CANCOM_SE_2025-12-31_ de.zip" as provided and prepared for publication purposes, comply in all material respects with the electron-ic reporting format ("ESEF format") pursuant to § 328 (1) HGB. In accordance with German legal requirements, this engagement is limited to the conversion of the infor-mation contained in the annual financial statements and the combined management re-port into the ESEF format and does not extend to the information contained in these re-productions or to any other information contained in the above-mentioned file.

In our opinion, the reproductions of the annual financial statements and the combined management report contained in the above-mentioned file, as provided and prepared for publication purposes, comply in all material respects with the requirements of § 328 (1) HGB for the electronic reporting format. We do not express any audit opinion on the information contained in these reproductions or on any other information contained in the above-mentioned file beyond this audit opinion, and our audit opinions on the ac-companying annual financial statements and the accompanying combined management report for the financial year from 1 January 2025 to 31 December 2025, as set out in the preceding "Report on the Audit of the Annual Financial Statements and of the Combined Management Report".

Basis for the Audit Opinion

We conducted our engagement in accordance with § 317 (3a) HGB and in compliance with IDW Auditing Standard: "Audit of Electronic Reproductions of Financial Statements and Combined Management Report Prepared for Publication Purposes in accordance with § 317 (3a) HGB" (IDW PS 410 (06.2022)). Our

responsibilities under those requirements are further described in the section "Auditor's Responsibilities for the Audit of the ESEF Documents". Our audit practice has complied with the requirements of the IDW quality management standard: "Requirements for Quality Management in the Auditing Practice" (IDW QMS 1), which is aligned with International Standard on Quality Management 1 (ISQM 1), as issued by the International Auditing and Assurance Standards Board (IAASB).

Responsibilities of the Executive Directors and the Supervisory Board for the ESEF Documents

The executive directors of the Company are responsible for preparing the ESEF documents, including the electronic reproductions of the annual financial statements and the combined management report, in accordance with § 328 (1) sentence 4 no. 1 HGB.

Furthermore, the executive directors are responsible for such internal controls as they consider necessary to enable the preparation of ESEF documents that are free from material non-compliance with the requirements of § 328 (1) HGB for the electronic reporting format, whether due to fraud or error.

The Supervisory Board is responsible for overseeing the preparation of the ESEF documents as part of the financial reporting process.

Auditor's Responsibilities for the Audit of the ESEF Documents

Our objective is to obtain reasonable assurance about whether the ESEF documents are free from material non-compliance, whether due to fraud or error, with the requirements of § 328 (1) HGB. We exercise professional judgement and maintain professional scepticism throughout the engagement. We also:

• Identify and assess the risks of material non-compliance with the requirements of § 328 (1) HGB, whether due to fraud or error; design and perform audit procedures responsive to those risks; and obtain sufficient and appropriate audit evidence to provide a basis for our audit opinion

  • Obtain an understanding of internal control relevant to the audit of the ESEF documents in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an audit opinion on the effectiveness of those controls
  • Evaluate the technical validity of the ESEF documents, i.e. whether the ESEF-file provided meets the requirements of the Delegated Regulation (EU) 2019/815 for the technical specification, as applicable at the reporting date
  • Evaluate whether the ESEF documents enable an XHTML reproduction with content equivalent to the audited annual financial statements and the audited combined management report.

Further Information pursuant to Article 10 of the EU Audit Regulation

We were elected as auditor by the annual general meeting in 24 June 2025 and engaged by the Supervisory Board in 30 September 2025. We have acted as auditor of CANCOM SE since the 2024 financial year.

We declare that the audit opinions expressed in this auditor's report are consistent with the additional report to the audit committee pursuant to Article 11 of the EU Audit Regulation (long-form audit report).

OTHER MATTER – USE OF THE AUDIT REPORT

This auditor's report should be read in conjunction with the audited annual financial statements, the audited combined management report, and the audited ESEF documents. The annual financial statements and the combined management report converted into the ESEF format – including the versions to be filed in the Business Register – are merely electronic reproductions of the audited annual financial statements and the audited combined management report and do not replace them. In particular, the ESEF report and our audit opinion contained therein are to be used solely in conjunction with the audited ESEF documents provided in electronic form.

GERMAN PUBLIC AUDITOR RESPONSIBLE FOR THE ENGAGEMENT

The German Public Auditor responsible for the engagement is Andreas Weissinger.

München, 24 March 2026

Baker Tilly GmbH & Co. KG Wirtschaftsprüfungsgesellschaft

Weissinger Fußstetter Wirtschaftsprüfer Wirtschaftsprüferin (German Public Auditor) (German Public Auditor)

Financial calendar of CANCOM SE

2026
13 May 2026 Quarterly Statement as at 31 March 2026
17 June 2026 Annual General Meeting, Munich
11 August 2026 Interim Report as at 30 June 2026
12 November 2026 Quarterly Statement as at 30 September 2026
23 - 25 November 2026 Analysts' conference as part of the Deutsches Eigenkapitalforum,
Frankfurt/Main

Note:

Subject to change. Art 17 of the European Market Abuse Regulation (MAR) requires issuers to promptly publish any information which will significantly impact share price. This means that we may publish our quarterly or fiscal-year-end results before the dates listed above.

Impressum

Herausgeber

CANCOM SE Erika-Mann-Straße 69 D-80636 München www.cancom.de

Investor Relations

Lars Dannenberg +49 89 54054 5371

[email protected]

Konzeption | Gestaltung CANCOM SE, München [email protected]

Bildnachweise

© CANCOM SE

This is a translation of CANCOM SE's annual report. Only the German version of the report is legally binding. Every effort was made to ensure the accuracy of the translation, however, no warranty is made as to the accuracy of the translation and the company assumes no liability with respect thereto. The company cannot be held responsible for any misunderstandings or misinterpretation arising from this translation.

CANCOM SE

Erika-Mann-Straße 69 80636 München Phone +49 89 54054–0 [email protected] www.cancom.de

More from CANCOM SE

Interim / Quarterly Report 2026
May 15
Earnings Release 2026
May 13
Declaration of Voting Results & Voting Rights Announcements 2026
May 6
AGM Information 2026
May 5
Transaction in Own Shares 2026
Apr 30
Share Issue/Capital Change 2026
Apr 27
Transaction in Own Shares 2026
Apr 20
Major Shareholding Notification 2026
Apr 14
Transaction in Own Shares 2026
Apr 13
Major Shareholding Notification 2026
Apr 9
View all filings →