PGE Polska Grupa Energetyczna S.A.

Earnings Release • Aug 24, 2022

Estimated selected financial and operating data for the second quarterof 2022

The Management Board of PGE Polska Grupa Energetyczna S.A. ("PGE")publishes initial selected consolidated financial and operating data forthe second quarter of 2022 (Q2 2022).

According to the initial estimates net electricity production at PGEGroup generating units in Q2 2022 amounted to approximately 15.0 TWh,distribution volume arrived at 8.8 TWh and sales of electricity to finaloff-takers came out at 8.4 TWh. Heat sales volume amounted to 8.4 PJ.

Consolidated recurring EBITDA for Q2 2022 amounted to approximately PLN1 616m, including:

Conventional Generation segment PLN -44m (loss),

District Heating segment PLN -154m (loss),

Distribution segment PLN 681m,

Supply segment PLN 875m,

Renewables segment PLN 340m,

Circular Economy segment PLN 14m.

In addition, the results for Q2 2022 were influenced by one-off eventsincreasing EBITDA result by approx. PLN 2 161m. The non-cash item ofchanges in reclamation provision, which translated into an increase inEBITDA by PLN 2 160m had the greatest impact on the result of the period.

In effect, consolidated reported EBITDA for Q2 2022 amounted toapproximately PLN 3 777m, including:

Conventional Generation segment PLN 2 092m,

District Heating segment PLN -142m (loss),

Distribution segment PLN 674m,

Supply segment PLN 900m,

Renewables segment PLN 341m,

Circular Economy segment PLN 14m.

Consolidated net profit attributable to equity holders of the parentcompany amounted to approximately PLN 2 266m. CAPEX amounted to PLN949m. Estimated net debt amounted to approximately PLN 2 376m as at June30, 2022, and estimated economic net financial debt (including futurepayment for CO2 rights) amounted to approx. PLN 12.8bn.

Average electricity wholesale price realized in Q2 2022 by:

- Conventional Generation segment amounted to PLN 478.5 per MWh,

- Conventional Generation and District Heating segments amounted to PLN474.7 per MWh.

At the same time, the average cost of CO2 emission rights for bothsegments related to electricity generation amounted to PLN 311.6 per MWh.

Disclaimer: Presented values are estimated and may change. Consolidatedfinancial statements of the PGE Group are still in the preparationprocess. The consolidated report for first half of 2022 is planned to bepublished on September 20, 2022.