Half-yearly financial report As of June 30, 2025

Virbac: NYSE Euronext - compartment A - ISIN code: FR0000031577/SYMBOL: VIRP Financial Affairs department: tel. +33 4 92 08 71 32 - email: [email protected] - website: corporate.virbac.com

Half-yearly management report

KEY EVENTS OF THE FIRST HALF OF 2025

Appointment of the new chief executive officer

On June 18, 2025, Virbac's board of directors appointed Paul Martingell as chief executive officer, effective September 1, 2025. This appointment was the subject of a press release on June 19, available on our corporate website.

Habib Ramdani, who had been appointed interim chief executive officer by the board of directors following the resignation of Sébastien Huron effective September 27, 2024, will resume his previous roles as Group chief financial officer and deputy chief executive officer as of September 1, 2025.

Effects of US customs duties

During the first half of 2025, the US trade policy regarding customs duties has evolved. We anticipate a moderate impact from the possible increase in customs tariffs in the United States. Indeed, approximately two-thirds of our US revenue in 2025 and nearly 80% by the end of 2026 (due to ongoing industrial projects) are expected to be generated by our local production in the United States. Furthermore, purchases by our US subsidiary of components and raw materials from outside the United States represent approximately €8 million over a full year. Given this, the direct impact of the tariffs (i.e., not taking into account any potential price increases that could offset all or part of these impacts), as assessed to date, is around US \$4 million on a full-year basis.

EVENTS SUBSEQUENT TO JUNE 30, 2025

No significant post-closing events occurred during the period.

ANALYSIS OF CONSOLIDATED FINANCIAL STATEMENTS

Performance of revenue

For the first half of the year, our revenue reached €738.3 million compared to €702.9 million in June 2024, representing an overall increase of +5.0%. Excluding exchange rate effects, revenue showed a significant increase of +7.8%. The integration of Sasaeah, a company acquired in Japan in April 2024, contributed +2.2 points of growth. At constant exchange rates and scope, organic growth for the first half reached +5.6%, favorably impacted by a concomitant increase in volumes (estimated at ~2.1 points of growth) and prices (estimated at ~3.5 points of growth). It should be noted that the acquisition of Mopsan contributed 0.6 point of growth and was not restated from the constant scope as it was deemed immaterial.

Performance by segment

	2025.06	Growth by segment at constant exchange rates and perimeter
in € million	revenue at actual rates	> -5%	- 5% to 0%	0% to + 5%	+5% to +10%	+10% to +15%	> 15%
Parasiticides	65.4			2.7%
Immunology	47.0		-0.8%
Antibiotics/dermatology	63.8				6.4%
Specialties	89.9					12.7%
Equine	15.8		-0.6%
Specialized petfood	71.8					13.9%
Others	68.9				6.5%
Sasaeah	8.7
Companion animals	431.3				7.1%
Bovine parasiticides	41.0		-3.3%
Bovine antibiotics	49.2						17.8%
Other ruminants products	110.3				6.7%
Pig/poultry antibiotics	14.3	-5.5%
Other pig/poultry products	29.8				7.0%
Aquaculture	20.6	-5.3%
Sasaeah	27.4
Farm animals	292.5				5.1%
Other businesses	14.5	-19.8%
Revenue	738.3				5.6%

Companion animals

During the first semester, this business line represented 58% of revenue, up 7.1% at constant exchange rates and scope compared with 2024, driven by petfood and speciality products ranges.

Farm animals

During the period, this business line represented 40% of revenue, showing an increase of +5.1% at constant exchange rates and scope, mainly driven by the ruminant sector.

Other business lines

These business lines, which represent 2% of consolidated revenue over half-year 2025, correspond to markets of lesser strategic importance and mainly include the toll manufacturing produced for third parties in the United States and Australia (mainly the sales of Sentinel® Spectrum® to MSD Animal Health).

Performance by geographic areas (at constant rates and perimeter)

in € million

In the first half, Europe recorded a notable growth of +7.1% at constant exchange rates. This performance was supported by all our regions. Western Europe particularly distinguished itself with an increase of +9.4%, thanks notably to the performance of bovine vaccine sales and our dermatology range for companion animals. At the same time, Central and Eastern Europe showed growth of +27.4%, boosted by the petfood segment following the acquisition of Mopsan. France, however, showed relative sales stability, mainly due to a slight decrease in petfood sales over the half-year. North America achieved growth of +5.9% at constant exchange rates and scope, despite a temporary inventory effect observed at our distributors (estimated impact of approximately 5 points of growth). Growth was driven, in particular, by sustained sales momentum for our speciality and dental products for companion animals. Latin America, driven by Mexico, Colombia, and Brazil, in both the companion animal and livestock segments, recorded strong growth of +8.2% at constant exchange rates and scope. This performance was partially offset by a decrease in our aquaculture activities in Chile (-11.2%), mainly linked to the negative dynamic of one of our antiparasitic products facing increased competition. IMEA also showed solid growth of +8.2% at constant exchange rates and scope. This progression was generated by good performance across all areas of the region, particularly in India (+6.8%). Far East Asia experienced growth of +2.8% at constant exchange rates and scope, driven by good growth momentum across all countries in this region, with the exception of Vietnam, which, due to a swine fever epidemic, recorded a decrease in activities of -17.8%. Finally, activity in the Pacific region declined by -7.9% in the first half at constant exchange rates and scope. This decrease is primarily attributable to dynamics in Australia (-11.4% at constant exchange rates and scope, about half of which is explained by inventory effects), offset by sales growth in New Zealand (+7.6% at constant exchange rates and scope). We expect a return to growth in Australia in the second half, favoured by improving market conditions and the normalization of inventory levels at our distributors.

Analysis of the results

Changes in results

in € million	2025.06	%	2024.06	%	Variation
Revenue from ordinary activities	738.3	100.0	702.9	100.0	5.0%
Margin on purchasing costs	497.4	67.4	482.8	68.7	3.0%
Current operating expenses Depreciations and provisions	-334.4 -28.0	45.3 3.8	-309.8 -22.7	44.1 3.2	7.9% 23.7%
Current operating profit before depreciation of intangible assets arising from acquisitions	135.0	18.3	150.4	21.4	-10.2%
Depreciations of intangible assets arising from acquisitions	-2.6	0.4	-1.7	0.2	59.5%
Operating profit from ordinary activities	132.4	17.9	148.7	21.2	-11.0%
Other non-current income and expenses	—		-2.0		0.0%
Operating profit	132.4	17.9	146.7	20.9	-9.7%
Financial income and expenses	-8.5	1.2	-4.8	0.7	76.7%
Profit before tax	123.9	16.8	141.8	20.2	-12.7%
Income tax	-41.8		-47.3		-11.7%
Share from companies' result accounted for by the equity method	0.1		0.3		-67.7%
Result for the period	82.2	11.1	94.9	13.5	-13.3%
Net result attributable to the non-controlling interests	-0.2		0.2		-179.4%
Net result attributable to the owners of the parent company	82.4	11.2	94.7	13.5	-12.9%

For performance of revenue, see previous section.

As of June 30, 2025, the gross margin stands at €497.4 million, compared to €482.8 million as of June 30, 2024. Compared with the first half of 2024, the downward trend in the gross margin to sales ratio is explained by two combined factors: an increase in inventory destruction and an unfavorable comparison base effect (the first half of 2024 had experienced a particularly low level of destruction representing only around 30% of the annual total) as well as a strong negative exchange rate impact over the period, mainly on the following currencies: the Mexican peso, the Brazilian real, the Indian rupee, and the Turkish lira.

The €24.6 million increase in current operating expenses is explained by €11.9 million in scope effects related to Sasaeah and Mopsan. At constant scope, current operating expenses rose by €12.7 million. This change is mainly due to external expenses, in particular R&D costs, IT contracts, subcontracting costs, consulting fees and costs, related to the development of the business as well as the various projects underway within the Group. To a lesser extent, the first half was also impacted by a one-off increase in our legal costs (+€1.2 million) related to some ongoing litigation. Finally, it should be noted that the increase in external expenses is also the result of a calendar phasing effect. The first half of 2025 benefited from a pace of expenditure commitments in line with our half-yearly budget forecasts, while the comparison base for 2024 was particularly low due to a shift in certain expenses and projects to the second half of the year.

Personnel expenses also increased, although their share of revenue increased only more moderately, primarily due to the full-year impact of hiring last year to strengthen our workforce, particularly in industrial and commercial functions, as well as the effects of inflation. R&D staff also increased, albeit relatively, in line with our ambition and the Group's research and development projects.

Finally, other operating income increased by €7.5 million. One-third of this increase is attributable to the increase in tax credits within the Group; €1.1 million to the decrease in royalties paid under intellectual property agreements on marketing authorizations, contracts that have ended or been renegotiated, primarily in France and Australia; and €2.2 million to the increase in other current income, primarily in France (related to investment subsidies) and Brazil (resolution of a dispute).

Current operating profit before depreciation of intangible assets arising from acquisitions stands at €135.0 million, compared to €150.4 million as of June 30, 2024. The deterioration of the ratio of current operating profit before depreciation of intangible assets arising from acquisitions to sales is generated by both the erosion of the gross margin to sales ratio and an increase in net expenses (as explained above), but also more generally by the fluctuation of exchange rates over the period.

Operating profit, stands at €132.4 million, compared to €146.7 million as of June 30, 2024, representing a 9.7% decrease at real exchange rates; at constant rates and scope, this indicator amounts to €133.8 million, compared to €140.6 million, a decrease of 5.1%, for the reasons mentioned above, but entirely in line with the activity expected over the period.

Net financial expense increased to €8.5 million, compared to €4.8 million in the first half of 2024, and consisted of a foreign exchange loss of €5.7 million, supplemented by a financial debt cost of €2.8 million. The foreign exchange loss was due to the appreciation of the euro against unhedged exposures, notably to the Chilean peso (-€4.3 million) and, to a lesser extent, to the Mexican peso (-€1.4 million).

The profit attributable to the owners of the parent company amounts to €82.4 million, compared to €94.7 million for the same period in 2024.

Analysis of the financial situation

Consolidated balance sheet

in € million	2025.06	2024.12
Net assets Operating WCR, including deferred tax assets	958.7 393.1	984.1 315.1
Invested capital	1,351.8	1,299.2
Equity attributable to the owners of the parent company Non-controlling interests and other equity, including provisions and deferred tax liabilities Net debt	1,065.1 85.2 201.4	1,043.1 87.6 168.5
Financing	1,351.8	1,299.2

Fixed assets decreased by €25.4 million compared to December 31, 2024:

goodwill decreased by €24.2 million, including €19.8 million in foreign exchange effects, and -€4.4 million related to the finalization of IFRS 3 treatment for Mopsan during the period;
there was a €13.6 million decrease in net intangible assets, primarily due to exchange rate differences of €15.4 million, partially offset by a net increase of €1.8 million in this item, including +€4.4 million related to the finalization of the accounting for the Mopsan business combination (provisional as of December 31, 2024). See note A2 for further details;
rights of use decreased by €2.6 million, with no material changes noted during the period.

These changes are partially offset by:

a €2.6 million increase in property, plant and equipment. Within this item, there was a €36.6 million increase in gross fixed assets, consistent with the current increase in investments within the Group to finance various transformation projects, offset by depreciation and amortization expenses for the period of -€17.1 million and exchange rate effects of -€16.8 million (see note A4 for further details);
finally, there was an increase in current and non-current financial assets of €12.9 million, linked to changes in hedging instruments over the period.

Working capital items increased by €78 million compared to December 31, 2024:

trade receivables net of discounts increased by €46.2 million. This change is primarily due, as is the case every year, to a seasonal effect;
trade payables decreased by €20.6 million, primarily due to the invoicing of suppliers for fixed assets provisioned at the end of December. Trade payables decreased slightly as a proportion of revenue.

This variation is partially offset by:

an €8.7 million decrease in inventories, mainly due to foreign exchange effects (-€19.5 million); in gross value, the €14.8 million increase was contained and remained below business growth. This positive trend reflects the effectiveness of our inventory management policy and is reflected in a decrease in their weight as a proportion of revenue;
other working capital items mainly include other miscellaneous receivables and creditors, and amount to €1.7 million, compared to -€18.0 million at December 31, 2024: the change is explained by a decrease in other creditors (excluding end-of-year discounts) of €25.2 million, including €11.9 million of decrease in social security debts, consistent with the payment of profit-sharing and other bonuses provisioned at December 31, 2024, and a foreign exchange effect of €5.8 million. Other changes relate to corporate tax payables and receivables, and other tax payables and receivables which are settled over the period (see notes A11 and A17 for further details).

Equity, Group share, increased in relation to the income for the period.

Finally, net debt increased by €32.9 million over the period and is commented on in the section below.

Financing

For the first half of 2025, our net debt stands at €201.4 million, an increase of €32.9 million compared to December 31, 2024. This increase is due to our seasonal working capital requirements, dividend payments (€12.1 million), and sustained capital expenditures in light of ongoing programs aimed at improving and expanding our production capacity.

In April, we repaid the remaining investors in our market-based contract (Schuldschein), thus closing commitments with a 10-year maturity.

During the month of June, with a view to granting comfort letters to secure two new financing arrangements for our subsidiaries, we obtained unanimous approval from our pool of banks to raise the maximum amount of sureties, endorsements, guarantees, or any other personal security, as set out in our syndicated loan agreement.

At the same time, we signed two new local bank financing agreements:

the first one for our subsidiary Sasaeah, in Japan, for 7 billion yen, allowing our subsidiary to partially repay its intra-group loan with the parent company granted during the acquisition of the company to settle its local bank loan;
the second one for our subsidiary Virbac Corporation, in the United States, for US \$30 million, replacing the existing US \$7 million line.

Thus, to ensure our liquidity, the main sources of financing available to us and their characteristics are as follows:

a syndicated loan of €350 million, at variable rate, repayable in fine in October 2028 after being extended by two years, with a so-called "accordion" clause to increase funding by €100 million and which includes commitments in connection with our CSR policy;
financing contracts with Bpifrance, for €8.7 million at fixed rates, depreciable and maturing in July 2027 and June 2032;
uncommitted credit lines in the United States for US \$60 million (i.e. approximately €51.2 million);
an uncommitted credit line in Japan for 7 billion yen (approximately €41.4 million);
factoring contracts with recourse drawable in US\$ and Chilean pesos for US \$29 million (i.e. approximately €24.7 million) in Chile;
a loan for CLP 24.3 billion (i.e. approximately €24.2 million) in Chile too.

As of June 30, 2025, the funding position, which amounts to just over €284 million, is broken down as follows: • the syndicated loan was drawn for €176 million;

the Bpifrance financing amounted to €8.7 million;
7 billion yen on a line of credit in Japan (approximately €41.4 million);
the equivalent of CLP 39.8 billion (i.e. approximately €36.2 million) on the various financing lines in Chile;
US \$26 million (i.e. approximately €22.2 million) in drawdowns on our credit lines in the United States.

Our financing capacity is sufficient to meet our cash flow requirements.

Please note that following the repayment of the market-based contract during the period, we are no longer required to comply with the financial covenant clause at the end of the half-year period.

DESCRIPTION OF KEY RISKS AND UNCERTAINTIES FOR THE REMAINING SIX MONTHS OF THE YEAR

The main risk factors to which Virbac is exposed are detailed in the 2024 annual report, available on the web site corporate.virbac.com.

OPERATIONS WITH RELATED PARTIES

Information on related parties is detailed in note A30 to the condensed half-yearly consolidated financial statements.

OUTLOOK

We confirm our revenue growth outlook at constant exchange rates and scope of between 4% and 6%. The impact of the Sasaeah acquisition is expected to represent an additional 1 point of growth in 2025. The ratio of "current operating income before amortization of acquired assets" (adjusted EBIT) to revenue is expected to consolidate at the 2024 level at constant scope, i.e., around 16%. This forecast takes into account the continued voluntary increase in our R&D investments as a percentage of revenue, which will represent approximately +0.3 percentage points compared to 2024. In terms of operating income, the impact of the Sasaeah acquisition is expected to be broadly neutral in 2025. As for our cash position, it is expected to improve by €80 million in 2025, excluding potential acquisitions.

We anticipate a moderate impact from the possible increase in customs tariffs in the United States. Indeed, approximately two-thirds of our US revenue in 2025 and nearly 80% by the end of 2026 (due to ongoing industrial projects) are expected to be generated by our local production in the United States. Furthermore, purchases by our US subsidiary of components and raw materials from outside the United States represent approximately €8 million over a full year. Given this, the direct impact of the tariffs (i.e., not taking into account any potential price increases that could offset all or part of these impacts), as assessed to date, is around US \$4 million on a full-year basis.

Condensed consolidated accounts

CONSOLIDATED FINANCIAL STATEMENTS

Statement of financial position

in € thousand	Notes	2025.06	2024.12
Goodwill	A1-A3	252,432	276,633
Intangible assets	A2-A3	237,649	251,237
Tangible assets	A4	400,129	397,537
Right of use	A5	34,221	36,861
Other financial assets	A6	20,231	12,993
Share in companies accounted for by the equity method	A7	4,058	4,511
Deferred tax assets	A8	24,521	24,628
Non-current assets		973,242	1,004,401
Inventories and work in progress	A9	395,504	404,166
Trade receivables	A10	223,419	196,081
Other financial assets	A6	9,973	4,312
Other receivables	A11	84,618	89,931
Cash and cash equivalents	A12	128,671	149,631
Current assets		842,185	844,121
Assets classified as held for sale	A13	—	—
Assets		1,815,427	1,848,522
Share capital		10,488	10,488
Reserves attributable to the owners of the parent company		1,054,599	1,032,628
Equity attributable to the owners of the parent company		1,065,087	1,043,117
Non-controlling interests		57	286
Equity		1,065,144	1,043,403
Deferred tax liabilities	A8	54,831	57,233
Provisions for employee benefits		20,588	20,358
Other provisions	A14	8,704	8,899
Lease liability	A15	24,158	26,552
Other financial liabilities	A16	207,854	222,088
Other payables	A17	3,610	5,430
Non-current liabilities		319,744	340,559
Other provisions	A14	1,065	776
Trade payables	A18	153,951	174,574
Lease liability	A15	11,234	11,550
Other financial liabilities	A16	86,860	57,977
Other payables	A17	177,429	219,683
Current liabilities		430,539	464,560
Liabilities related to assets held for sale	A13	—	—
Liabilities		1,815,427	1,848,522

Income statement

in € thousand	Notes	2025.06	2024.06	Variation
Revenue from ordinary activities	A19	738,276	702,933	5.0%
Purchases consumed	A20	-240,856	-220,118
External costs	A21	-131,601	-115,961
Personnel costs		-200,677	-186,589
Taxes and duties		-9,741	-8,473
Depreciations and provisions	A22	-28,037	-22,669
Other operating income and expenses	A23	7,652	1,231
Current operating profit before depreciation of assets arising from acquisitions1		135,016	150,353	-10.2%
Depreciations of intangible assets arising from acquisitions	A22	-2,635	-1,652
Operating profit from ordinary activities		132,381	148,701	-11.0%
Other non-current income and expenses	A24	—	-2,048
Operating result		132,381	146,653	-9.7%
Financial income and expenses	A25	-8,492	-4,805
Profit before tax		123,889	141,848	-12.7%
Income tax	A26	-41,763	-47,317
Share from companies' result accounted for by the equity method	A7	113	350
Result for the period		82,239	94,881	-13.3%
attributable to the owners of the parent company		82,408	94,667	-12.9%
attributable to the non-controlling interests		-169	213	-179.4%
Profit attributable to the owners of the parent company, per share	A27	€9.84	€11.31	-13.0%
Profit attributable to the owners of the parent company, diluted per share	A27	€9.83	€11.29	-12.9%

1 in order to provide a clearer picture of our economic performance, we isolate the impact of the allowance for depreciations of intangible assets resulting from acquisitions. Therefore, our income statement shows a current operating profit before depreciation of assets arising from acquisitions (see note A22)

Comprehensive income statement

in € thousand	2025.06	2024.06	Variation
Result for the period	82,239	94,881	-13.3 %
Conversion gains and losses	-50,238	1,890
Effective portion of gains and losses on hedging instruments	260	-640
Items subsequently reclassifiable to profit and loss	-49,978	1,250	-4097.3 %
Actuarial gains and losses	713	204
Items not subsequently reclassifiable to profit and loss	713	204	249.6 %
Other items of comprehensive income (before tax)	-49,264	1,454	-3487.5 %
Tax on items subsequently reclassifiable to profit and loss	-67	165
Tax on items not subsequently reclassifiable to profit and loss	-255	-51
Comprehensive income	32,653	96,449	-66.1 %
attributable to the owners of the parent company	32,882	96,177	-65.8 %
attributable to the non-controlling interests	-229	272	-184.3 %

Statement of change in equity

in € thousand	Share capital	Share premiums	Reserves	Conversion reserves	Result for the period	Equity attributable to the owners of the parent company	Non controlling interests	Equity
Equity as at 31/12/2023	10,573	6,534	791,269		-29,373 121,298	900,301	9,616	909,917
2023 allocation of net income	—	—	110,245		— -110,245	—	—	—
Distribution of dividends	—	—	—	—	-11,053	-11,053	-4	-11,057
Treasury shares	—	—	744	—	—	744	—	744
Changes in scope	—	—	8,008	—	—	8,008	-9,893	-1,884
Other variations	—	—	74	—	—	74	—	74
Comprehensive income	—	—	-322	1,832	94,667	96,177	272	96,449
Equity as at 06/30/2024	10,573	6,534	910,018	-27,541	94,667	994,251	-9	994,243
Equity as at 12/31/2024	10,488	6,534	909,228		-28,423 145,290	1,043,117	286	1,043,403
2024 allocation of net income	—	—	133,142		— -133,142	—	—	—
Distribution of dividends	—	—	—	—	-12,148	-12,148	—	-12,148
Treasury shares	—	—	551	—	—	551		551
Changes in scope	—	—	-3	—	—	81	—	81
Other variations	—	—	687	—		687	—	687
Comprehensive income	—	—	652	-50,178	82,408	32,798	-229	32,569
Equity as at

The general shareholders' meeting of Virbac, which was held on June 19, 2025, approved the payment of a dividend of €1.45 per share for the 2024 financial year, for a total amount of €12,166,457 (reduced to €12,147,845 given the number of outstanding shares).

The "Other variations" line essentially reflects the impact of hyperinflation in Türkiye.

Cash position statement

in € thousand	2025.06	2024.06

Cash and cash equivalents	149,631	175,906
Bank overdraft	-3,567	-2,517
Accrued interests not yet matured	-27	-31
Opening net cash position	146,037	173,358

Cash and cash equivalents	128,671	156,857
Bank overdraft	-5,318	-3,963
Accrued interests not yet matured	-61	-52
Closing net cash position	123,293	152,842
Impact of currency conversion adjustments	-11,417	-893
Impact of changes in scope1	—	56,748
Net change in cash position	-11,327	-76,371

¹see cash flow statement

Cash flow statement

in € thousand	Notes	2025.06	2024.06
Result for the period		82,239	94,881
Elimination of share from companies' profit accounted for by the equity method	A7	-113	-350
Elimination of depreciations and provisions	A14-A22	31,076	24,217
Elimination of deferred tax change	A8	-130	3,273
Elimination of gains and losses on disposals	A23	96	1,321
Other income and expenses with no cash impact		-15,814	-7,201
Cash flow		97,353	116,140
Net financial interests paid	A25	2,761	2,464
Tax currently payable		41,960	43,879
Cash flow before financial interests and tax currently payable		142,075	162,484

Effect of net change in inventories	A9	-10,531	-25,816
Effect of net change in trade receivables	A10	-36,972	-33,903
Effect of net change in trade payables	A18	289	-6,850
Income tax paid		-41,275	-20,666
Effect of net change in other receivables and payables	A11-A17	-25,939	-38,659
Effect of change in working capital requirements		-114,428	-125,894
Net cash flow generated by operating activities		27,646	36,591
Acquisitions of intangible assets	A2-A18	-4,719	-5,401
Acquisitions of tangible assets	A4-A18	-49,137	-21,801
Disposals of intangible and tangible assets	A23	52	100
Change in financial assets	A6	-600	-1,263
Change in debts relative to acquisitions		—	-3,301
Acquisitions of subsidiaries or activities		—	-335,580
Disposals of subsidiaries or activities		—	—
Dividends received		—	—
Net cash flow allocated to investing activities		-54,404	-367,245
Dividends paid to the owners of the parent company		-12,148	-11,054
Dividends paid to the non-controlling interests		—	-2
Change in treasury shares		—	—
Transactions between the Group and minority interests not changing control2		—	-17,614
Increase/decrease of capital		—	—
Cash investments		—	—
Debt issuance	A16	89,633	321,727
Repayments of debt	A16	-52,703	-30,327
Repayments of lease obligation	A15	-6,591	-5,983
Net financial interests paid	A25	-2,761	-2,464
Net cash flow from financing activities		15,430	254,283
Change in cash position		-11,327	-76,371

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

General information note

Virbac is an independent, global pharmaceutical laboratory exclusively dedicated to animal health which markets a full range of products designed for companion animals and farm animals.

The Virbac share is listed on the Paris stock exchange in section A of the Euronext.

Virbac is a public limited company governed by French law, whose governance evolved in December 2020 from an organization with an executive board and a supervisory board to an organization incorporating a general management (which relies on a Group executive committee) and a board of directors. Its trading name is "Virbac". The company was established in 1968 in Carros.

After the joint ordinary and extraordinary shareholders' meeting held on June 17, 2014, which adopted the resolution on reviewing the by-laws, the company's lifetime was extended to 99 years, i.e. until June 17, 2113.

The head office is located at 1 ère avenue 2065m LID, 06516 Carros. The company is registered in the Grasse Trade and companies register under the number 417350311 RCS Grasse.

Our 2025 condensed consolidated accounts for the first half-year were approved by the board of directors on September 11, 2025.

The explanatory notes below support the presentation and are an integral part of these consolidated accounts.

Key events over the period

Appointment of the new chief executive officer

Effects of US customs duties

During the first half of 2025, the US trade policy regarding customs duties has evolved. We anticipate a moderate impact from the possible increase in customs tariffs in the United States. Approximately two-thirds of our US revenue in 2025 and nearly 80% by the end of 2026 (due to ongoing industrial projects) are expected to be generated by our local production in the United States. Furthermore, purchases by our US subsidiary of components and raw materials from outside the United States represent approximately €8 million over a full year. Given this, the direct impact of the tariffs (i.e., not taking into account any potential price increases that could offset all or part of these impacts), as assessed to date, is around US \$4 million on a full-year basis.

Significant events after the closing date

No significant post-closing events occurred during the period

Accounting principles and methods

Compliance and basis for preparing the consolidated financial statements

The half-year condensed financial statements have been prepared in accordance with standard IAS 34 "Interim financial reporting", standard of the IFRS (International financial reporting standards) as adopted by the European Union. The condensed interim financial statements do not include the whole information required by the IFRS reference system for year-end accounts. They should be analyzed with regards to the consolidated statements of the previous year, as of December 31, 2024.

With the exception of the standards, amendments or interpretations of application which are compulsory starting from January 1, 2025, the accounting principles used in the preparation of Virbac's half-year condensed financial statements are identical to those used in the preparation of consolidated statements as of December 31, 2024. They have been established in compliance with the IFRS as published by the IASB (International accounting standards board), and with the IFRS as adopted by the European Union as of June 30, 2025.

The standards and interpretations of the IFRS as adopted by the European Union are available on the European Commission's website.

New standards and interpretations

Mandatory standards and interpretations as at January 1, 2025

■ Amendments to IAS 21 - Lack of exchangeability

IFRIC decisions applicable over the period

IFRS 9 Financial instruments Guarantees issued on obligations of other entities
IAS 38 Intangible assets Recognition of intangible assets resulting from climate-related expenditure

These new texts have had no material impact on our accounts.

Consolidation rules applied

Consolidation scope and methods

Pursuant to IFRS 10 "Consolidated financial statements", our consolidated financial statements include all of the entities controlled, directly or indirectly, by Virbac, whatever equity stake it may have in these entities. An entity is controlled by Virbac once the following three criteria are cumulatively met:

Virbac has power over the subsidiary whereby it has actual rights that give it the capacity to direct relevant activities;
Virbac is exposed to or has rights to variable returns because of its connections to that entity;
Virbac has the capacity to exercise its power over this entity so as to affect the amount of returns that it receives.

Determining control takes into account potential voting rights if they are substantive, in other words, whether they can be exercised in a timely fashion when decisions about the entity's relevant activities should be taken.

The entities over which Virbac exercises this control are fully consolidated. As applicable, any non-controlling (minority) interests are valued on the date of acquisition in the amount of the fair value of the identified net assets and liabilities.

Pursuant to IFRS 11 "Partnerships", we classify partnerships as joint ventures. Depending on the partnerships, Virbac exercises:

joint control over a partnership when decisions regarding the partnership's relevant activities require unanimous consent from Virbac and the other parties sharing control;
significant influence over an associated company when it has the power to participate in financial and operational decisions, albeit without having the power to control or exercise joint control over these policies.

Joint ventures and associated companies are consolidated using the equity method in accordance with IAS 28 "Investments in associated companies and joint ventures" standard.

The consolidated financial statements as at June 30, 2025 include the financial statements of the companies that Virbac controls indirectly or directly, in law or in fact. The list of consolidated companies is provided in note A31. All transactions between Group companies, as well as inter-company profits, are eliminated from the consolidated accounts.

Foreign exchange conversion methods

■ Conversion of foreign currency operations in the accounts of consolidated companies

Fixed assets and inventories acquired using foreign currency are converted into functional currency using the exchange rates in effect on the date of acquisition. All monetary assets and liabilities denominated in foreign currency are converted using the exchange rates in effect at closing date. The resulting exchange rate gains and losses are recorded in the income statement.

■ Conversion of foreign company accounts

Pursuant to IAS 21 standard "Effects of changes in foreign exchange rates" standard, each of our entities accounts for its operations in its functional currency, the currency that most clearly reflects its business environment.

Our consolidated financial statements are presented in euros. The financial statements of foreign companies for which the functional currency is not the euro are converted according to the following principles:

the balance sheet items are converted at the rate in force at the close of the period. The conversion difference resulting from the application of a different exchange rate for opening equity is shown in the other comprehensive income;
the income statements are converted at the average rate for the period. The conversion difference resulting from the application of an exchange rate different from the balance sheet rate is shown in the other comprehensive income.

Use of estimations and assumptions

The drawing up of consolidated financial statements implies that the Group makes a number of estimates and assumptions that have a material impact on the value of the assets and liabilities recognized into the statement of financial position, the information related to these assets and liabilities, the expenses and revenues recognized into the profit and loss statement, and the commitments related to the period.

The current global context had no impact on the critical judgements exercised by the Group to apply the accounting methods and the main sources of uncertainty relating to estimations. They are described into the consolidated financial statements of the period closed December 31, 2024.

In addition, for the purposes of the half-year financial information, pursuant to IAS 34, the Group tax charge is calculated on the basis of the effective tax rate estimated for the current fiscal year.

The estimated effective tax rate for the financial year is determined on the basis of the tax rates that will be applicable and the pre-tax profit forecasts of the tax jurisdictions in which Virbac operates.

A1. Goodwill

in € thousand	Gross value as at 12/31/2024	Impairment value as at 12/31/2024	Book value as at 12/31/2024	Variation	Sales	Impair ment	Conversion gains and losses	Book value as at 06/30/2025
Japan	93,944	—	93,944	—	—	—	-3,380	90,563
United States	65,824	-3,650	62,174	—	—	—	-6,877	55,297
India	40,879	—	40,879	—	—	—	-4,625	36,254
Chile	22,930	—	22,930	—	—	—	-1,477	21,453
New Zealand	13,726	-154	13,572	—	—	—	-566	13,006
SBC	7,937	—	7,937	—	—	—	-690	7,248
Denmark	4,643	—	4,643	—	—	—	—	4,643
Czech rep.	4,355	—	4,355	—	—	—	77	4,432
Uruguay	4,580	—	4,580	—	—	—	-520	4,060
Peptech	3,268	—	3,268	—	—	—	-214	3,054
Türkiye	8,535	—	8,535	-4,443	—	—	-1,278	2,815
Australia	3,164	-312	2,852	—	—	—	-105	2,748
Other CGUs	8,685	-1,722	6,963	—	—	—	-104	6,860
Goodwill	282,471	-5,838	276,633	-4,443	—	—	-19,758	252,432

Change in goodwill by CGU

In addition to the conversion differences, the change in this item is explained by the finalization of works related to Mopsan purchase price acquisition and consequently to the recognition of the final goodwill.

Business combination

On December 2, 2024, we finalized the acquisition of the Turkish company Mopsan, which specializes in the distribution of petfood and pet healthcare products.

With a population of over 4 million cats, 1.3 million medically treated dogs, and more than 5,000 veterinary clinics serving companion animals, Türkiye is a key European market for Virbac. Virbac has been present in this country for over 20 years through various local distributors and has operated its own subsidiary since 2018.

The acquisition of Mopsan, our pet product distributor, represents a new stage in Virbac's development in Türkiye. Having worked alongside Turkish veterinarians for over 30 years, Mopsan possesses extensive experience in the petfood and pet healthcare product sectors. Virbac will benefit from Mopsan's extensive distribution network, indepth knowledge of the local market, and experienced team. The company is based in Istanbul and employs nearly 50 people.

This transaction meets the criteria for a business combination as defined by IFRS 3 and has been accounted for accordingly. Given the date of the transaction, the work of allocating the acquisition price could not be finalized for the closing of the 2024 annual accounts. The fair value measurement of the assets acquired and liabilities assumed is detailed below, leading to the recognition of a definitive goodwill of €3.6 million.

in € thousand	Évaluation
Tangible assets	543
Intangible assets arising from IFRS 3 (customer relationships)	4,978
Trade receivables and other debtors	3,478
Cash and cash equivalents	979
Inventories	2,494
Other financial assets and deferred tax assets	—
Goodwill	3,570
Total assets acquired	16,042
Accounts payable and other creditors	-5,182
Deferred tax liability resulting from IFRS 3	-1,242
Total liabilities acquired	-6,424
Purchase Price	9,618

The acquisition price includes:

an initial amount adjusted to €8.4 million, of which €7.7 million has already been disbursed, and the remaining €0.8 million will be paid in two installments on the acquisition anniversary dates;
two earn-outs subject to target achievement conditions, expiring after 2027 closing, with a present value of €1.2 million.

A2. Intangible assets

Changes in intangible assets

		Concessions, patents, licenses and brands	Other intangible	Intangible assets	Intangible
in € thousand	Indefinite life	Finite life	assets	in progress	assets
Gross value as at 12/31/2024	147,689	156,876	103,675	15,490	423,730
Acquisitions and other increases Disposals and other decreases Changes in scope and others Transfers Conversion gains and losses	— — — — -8,890	— -3 4,428 206 -9,819	581 — 19 1,667 -1,419	3,634 -4 — -1,795 -1,117	4,214 -6 4,447 79 -21,244
Gross value as at 06/30/2025	138,800	151,688	104,523	16,209	411,220
Depreciation as at 12/31/2024	-3,180	-95,646	-73,453	-214	-172,492
Depreciation expense Impairment losses (net of	— —	-3,504 23	-3,366 —	— —	-6,870 23
reversals) Disposals and other decreases Changes in scope and others Transfers	— — —	3 -5 —	— -17 —	— — —	3 -21 —
Conversion gains and losses	—	4,743	1,032	13	5,788
Depreciation as at 06/30/2025	-3,180	-94,386	-75,803	-202	-173,570
Net value as at 12/31/2024	144,510	61,230	30,222	15,276	251,237
Net value as at 06/30/2025	135,620	57,303	28,720	16,007	237,649

Concessions, patents, licenses and brands

The item "Concessions, patents, licenses and brands" includes:

rights relating to the patents, know-how and market authorizations necessary for the Group's production activities and commercialization procedures;
trademarks;
distribution rights, customer files and other rights to intangible assets.

It consists primarily of intangible assets arising from acquisitions, which are treated in accordance with IAS 38, as well as assets acquired as part of external growth transactions, as defined by IFRS 3.

The line "Changes in scope and other" mainly includes the recognition of intangible assets valued during the work to allocate the acquisition price of Mopsan (see note A1), as well as the impact of hyperinflation in Türkiye to a much lesser extent.

As of June 30, 2025, the item "Concessions, patents, licenses and brands" comprised the following:

in € thousand	Acquisition date	Brands	Patents and know-how	Marketing authorizations and registration rights	Customers lists and others	Total
Sasaeah	2024	57,741	10,382	4	6,950	75,077

Centrovet	2012	14,585	22,034	11	375	37,005
India	2006-2023	8,958	—	—	18,009	26,967
Uruguay: Santa Elena	2013	3,345	8,492	3	—	11,840
SBC	2015	—	2,644	1,998	—	4,642
Multimin	2011-2012	2,805	1,498	—	—	4,303
New Zealand	2012	2,845	373	93	458	3,769
Türkiye	2024	—	—	—	3,646	3,647
Australia: Axon	2013	802	352	—	—	1,154
Australia: Fort Dodge	2010	1,348	401	—	—	1,748
Schering-Plough Europe	2008	1,711	—	—	—	1,711
Colombia: Synthesis	2011	1,285	—	46	—	1,331
United-States: iVet	2021	1,050	—	—	121	1,172
Peptech	2011	863	—	—	—	863
Others		5,882	2,656	7,804	1,352	17,694
Total concessions, patents, licenses and brands		103,220	48,831	9,960	30,911	192,922

As at June 30, 2025

The classification of intangible assets according to useful life results from the analysis of all relevant economic and legal factors, making it possible to conclude whether or not there is a foreseeable limit to the period over which the asset is expected to generate net cash inflows for the entity.

Innovative or differentiated products in general, and vaccines and other assets from biotechnologies in particular, are generally classified as intangible assets with indefinite useful lives, once a detailed analysis has been conducted and experts have given their opinions on their potential. This approach is founded on Virbac's past experience.

Other intangible assets

The other intangible assets relate essentially to IT projects, in several Group subsidiaries. They all have defined useful lives. The increase in the items "Other intangible assets" and "Intangible assets in progress" is primarily due to investments in IT projects carried out by Virbac (parent company).

The "Transfers" line indicates the commissioning of these projects.

A3. Impairment of assets

In accordance to IAS 36, we perform impairment tests of the assets included in each of our cash generating units, once a year, and independently from the existence of indicators of loss of value.

As part of the preparation of the half-yearly consolidated accounts, we analyze quantitative and qualitative criteria in order to identify possible indicators of loss of value, and carries out impairment tests when these indicators are recognized.

As of June 30, 2025, impairment tests have been carried out and do not lead to any risk of impairment over the period.

A4. Tangible assets

Change in tangible assets

in € thousand	Lands	Buildings	Technical facilities, materials and equipment	Other tangible assets	Tangible assets in progress	Tangible assets
Gross value as at 12/31/2024	52,721	321,214	346,242	40,458	94,329	854,965
Acquisitions and other increases Disposals and other decreases Changes in scope and others Transfers Conversion gains and losses	8 — — — -2,286	1,044 -27 — 5,317 -12,234	2,664 -784 203 16,727 -15,755	1,548 -154 1 1,131 -1,925	31,294 -52 — -23,254 -2,183	36,558 -1,017 204 -79 -34,382
Gross value as at 06/30/2025	50,444	315,314	349,298	41,058	100,135	856,248
Depreciation as at 12/31/2024	—	-198,135	-229,284	-29,468	-540	-457,427
Depreciation expense Impairment losses (net of reversals) Disposals and other decreases	— — —	-5,921 — 13	-9,482 122 709	-1,708 — 151	— — —	-17,111 122 873
Changes in scope and others Transfers Conversion gains and losses	— — —	— — 6,408	-133 — 9,635	— — 1,479	— — 35	-134 — 17,558
Depreciation as at 06/30/2025	—	-197,635	-228,433	-29,546	-505	-456,119
Net value as at 12/31/2024 Net value as at 06/30/2025	52,721 50,444	123,078 117,679	116,958 120,864	10,991 11,512	93,789 99,630	397,537 400,129

In 2025, we will continue to invest in our industrial sites in France to improve and expand our production capacity: investments in France accounted for more than 80% of the increase in property, plant and equipment in the first half of the year.

The other acquisitions are primarily located in the United States, which acquired new industrial equipment to support the growth of our flagship dental product line.

The "Transfers" line represents the commissioning of projects, primarily in France.

Conversion gains and losses impact the item "Tangible fixed assets" for a net amount of €-16.8 million.

A5. Right of use

In presenting our financial statements, we have chosen to isolate, on a dedicated statement of financial position line, the right of use resulting from those contracts that fall within the scope of the IFRS 16 standard.

Changes in the right of use during the first half of 2025 are analyzed as follows:
in € thousand	Lands and buildings	Technical facilities, materials and equipment	Transportation equipment	IT equipment hardware and software	Office equipment and others	Right of use
Gross value as at 12/31/2024	46,089	4,184	21,450	3,896	995	76,614
Increases	969	994	2,837	630	206	5,637
Decreases	-698	-690	-2,998	-155	-25	-4,566
Changes in scope	—	—	—	—	—	—
Transfers	-4	—	—	4	—	—
Conversion gains and losses	-2,955	-66	-412	-46	-72	-3,550
Gross value as at 06/30/2025	43,401	4,423	20,878	4,329	1,104	74,135
Depreciation as at 12/31/2024	-23,605	-2,452	-10,798	-2,320	-577	-39,752
Allowances	-2,652	-439	-2,841	-497	-87	-6,516
Termination of contracts	680	681	2,952	27	29	4,369
Changes in scope	—	—	—	—	—	—
Transfers	—	—	—	—	—	—
Conversion gains and losses	1,654	30	229	35	36	1,985
Depreciation as at 06/30/2025	-23,923	-2,179	-10,459	-2,755	-598	-39,914
Net value as at 12/31/2024	22,484	1,733	10,652	1,576	417	36,861
Net value as at 06/30/2025	19,477	2,244	10,418	1,574	506	34,221

The net value of rights of use decreases very slightly over the period (-€2.5 million), the increases being offset by the mechanical action of depreciation for the period and the change effect.

The main increases relate to the renewal of the vehicle fleet across all Group subsidiaries, as well as to real estate contracts, particularly in India, China, and the United States, due to new contracts or revisions to the initial terms of existing contracts (duration or lease amount), as well as to industrial equipment in France and Chile. The decreases primarily concern vehicle leases that have expired.

Allowance for depreciations over the period amounted to €6.5 million.

Analysis of the residual rent liability

The table below shows the rent payments resulting from non-capitalized leases under exemptions set out in the standard:

in € thousand	Residual rental costs
Variable rental costs	-972
Rental costs on short-term contracts	-849
Rental costs on assets of low value	-712
Residual rental costs	-2,532

A6. Other financial assets

Change in other financial assets

in € thousand	2024.12	Increases	Decreases	Change in scope	Transfers	Conversion gains and losses	2025.06

Loans and other financial receivables	11,139	582	-91	—	1,019	-475	12,174
Currency and interest rate derivatives	1,384	6,217	—	—	—	—	7,601
Restricted cash	127	—	—	—	—	-7	120
Other	342	8	—	—	—	-14	336
Other financial assets, non-current	12,993	6,807	-91	—	1,019	-496	20,231
Loans and other financial receivables	37	308	-193	—	—	-11	141
Currency and interest rate derivatives	4,274	5,557	—	—	—	—	9,831
Restricted cash	—	—	—	—	—	—	—
Other	—	—	—	—	—	—	—
Other financial assets, current	4,312	5,865	-193	—	—	-11	9,973
Other financial assets	17,305	12,672	-284	—	1,019	-507	30,203

Other financial assets increased by €13.4 million in the first half of 2025.

This change primarily relates to Virbac SA's foreign exchange and interest rate derivatives, amounting to €11.8 million. More specifically, it is explained by the favorable exchange rate effect on cross-currency swaps in Japanese yen as well as other foreign exchange instruments (notably the US dollar). The appreciation of the euro against other currencies at the end of June led to an increase in financial assets in the first half of 2025.

The line "loans and other financial receivables" consists largely of a hedging asset on pension obligations in Japan, net of the provision. The transfer column corresponds to the offsetting over the period of the provision and the hedging asset.

Other financial assets classified according to their maturity

As at June 30, 2025

in € thousand	less than 1 year	from 1 to 5 years	more than 5 years	Total
Loans and other financial receivables	141	11,385	789	12,315
Currency and interest rate derivatives	9,831	7,601	—	17,432
Restricted cash	—	—	120	120
Other	—	314	21	335
Other financial assets	9,973	19,300	930	30,203

As at December 31, 2024

		Payments
in € thousand	less than 1 year	from 1 to 5 years	more than 5 years	Total
Loans and other financial receivables	37	9,805	1,335	11,177
Currency and interest rate derivatives	4,274	1,384	—	5,658
Restricted cash	—	—	127	127
Other	—	142	201	343
Other financial assets	4,311	11,331	1,663	17,305

A7. Shares in companies accounted for by the equity method

	Company's individual accounts using equity method				Consolidated financial statements
in € thousand	Balance sheet total	Equity	Sales	Result	Share of equity	Share of result
AVF Animal Health Co Ltd	NA	NA	—	—	4,058	113
Share in companies accounted for by the equity method			4,058	113

Information about equity-accounted companies

The impact of equity companies is not considered material to our financial statements, therefore the information required by IFRS 12 is limited to the above items.

Please note that one of the entities comprising the AVF group was liquidated in May 2025. This event did not have a major impact on our consolidated accounts (see note A31).

A8. Deferred taxes

Variation in deferred taxes

in € thousand	2024.12	Variations	Transfers	Change in scope	Conversion gains and losses	2025.06
Deferred tax assets Deferred tax liabilities	51,645 84,250	2,160 2,098	177 331	— 1,105	-1,694 -5,185	52,288 82,598
Deferred tax offset	-32,605	63	-154	-1,105	3,491	-30,310

The variation in deferred taxes presented above includes, for -€67 thousand, deferred tax on the effective share of profits and losses on hedging instruments recorded in the other elements of the comprehensive income.

The deferred tax liability carried forward as changes in scope of consolidation was generated by the finalization of the Mopsan acquisition price allocation (see note A1).

In accordance with the IAS 12 standard, which requires under certain conditions the offsetting of tax liabilities and receivables, the deferred tax assets and liabilities have been offset by tax entity in the statement of financial position, for €27,767 thousand.

A9. Inventories and work in progress

in € thousand	Raw materials and supplies	Work in progress	Finished products and goods for resale	Inventories and work in progress
Gross value as at 12/31/2024	123,655	23,752	285,545	432,952
Variations	6,645	1,578	7	14,743
Changes in scope and others	—	—	244	244
Transfers	477	—	-477	—
Conversion gains and losses	-4,575	-1,056	-15,622	-21,253
Gross value as at 06/30/2025	126,201	24,274	276,211	426,686
Depreciation as at 12/31/2024	-8,132	-376	-20,277	-28,785
Allowances	-4,753	-669	-12,110	-17,532
Reversals	3,942	20	9,358	13,320
Changes in scope and others	—	—	—	—
Transfers	1	—	-1	—
Conversion gains and losses	467	44	1,305	1,815
Depreciation as at 06/30/2025	-8,476	-981	-21,725	-31,181
Net value as at 12/31/2024	115,522	23,376	265,268	404,166
Net value as at 06/30/2025	117,725	23,293	254,486	395,504

Excluding the currency effect, net inventories increased by €10.8 million, further comprising a €14.7 million increase observed primarily at Sasaeah and Virbac SA, the latter producing for the rest of the Group, and in line with the sustained activity during the first half. This increase was also observed to a lesser extent in the United States, the United Kingdom, and Mexico.

Excluding the currency effect and at constant scope, the inventory-to-sales ratio decreased by 1.6 point (-1.4 point at actual exchange rates).

A10. Trade receivables

in € thousand	Trade receivables
Gross value as at 12/31/2024	198,927
Variations Changes in scope Transfers Conversion gains and losses	37,020 — — -9,723
Gross value as at 06/30/2025	226,224
Depreciation as at 12/31/2024	-2,847
Allowances Reversals Changes in scope Transfers Conversion gains and losses	-451 403 — — 90
Depreciation as at 06/30/2025	-2,805
Net value as at 12/31/2024 Net value as at 06/30/2025	196,081 223,419

Excluding the exchange rate effect, net trade receivables increased by €37.0 million. The increase primarily concerns Australia, India, Italy, and the United Kingdom, which account for 73% of the observed rise. The change in this balance sheet item is primarily due to a higher volume of activity generated at the end of the half-year compared to the end of last year.

Note that receivables derecognized due to assignments under factoring contracts amounted to €10.9 million as of June 30, 2025 (compared to €9.0 million as of December 31, 2024), with this change primarily attributable to our Italian subsidiary.

The credit risk of trade and other receivables is presented in note A29.

A11. Other receivables

in € thousand	2024.12	Variations	Change in scope and others	Conversion gains and losses	2025.06
Income tax receivables	13,183	-3,478	—	-371	9,334
Social receivables	381	308	—	-17	672
Other receivables from the State	53,640	-1,351	—	-773	51,516
Advances and prepayments on orders	5,008	667	—	-294	5,381
Depreciation on various other receivables	—	—	—	—	—
Prepaid expenses	12,359	1,079	3	-468	12,974
Other various receivables	5,360	-405	—	-213	4,742
Other receivables	89,931	-3,180	3	-2,135	84,618

The "Other receivables" item decreased overall by -€3.2 million, excluding conversion gains and losses.

Corporate tax receivables decreased by €3.5 million, particularly in India and Australia, due to the settlement of corporate tax for the 2024 fiscal year. Changes in other tax receivables primarily relate to VAT.

This decrease in "Other receivables" is partially offset by the increase in prepaid expenses, amounting to €1.0 million, mainly in the United States.

Variations in other items are not individually material.

in € thousand	2024.12	Variations	Change in scope	Transfers	Conversion gains and losses	2025.06

Available funds	104,945	9,297	—	—	-7,441	106,802
Marketable securities	44,685	-18,839	—	—	-3,976	21,870
Cash and cash equivalents	149,631	-9,542	—	—	-11,417	128,671
Bank overdraft	-3,567	-1,751	—	—	—	-5,318
Accrued interests not yet matured	-27	-33	—	—	—	-61
Overdraft	-3,594	-1,784	—	—	—	-5,378
Net cash position	146,037	-11,326	—	—	-11,417	123,293

A12. Cash and cash equivalents

Net cash amounted to €123,293 thousand as at June 30, 2025, of which €21,870 thousand was marketable securities consisting mainly of term deposits of shorter than two months.

The decrease in marketable securities is mainly due to the repatriation of dividends paid by one of our subsidiaries.

A13. Assets classified as held for sale and liabilities related to assets held for sale

As of the closing date of the 2025 half-year, no assets have been classified as assets held for sale.

A14. Other provisions

in € thousand	2024.12	Allowances	Reversals	Changes in scope	Transfers	Conversion gains and losses	2025.06

Trade disputes and industrial tribunals	2,978	519	-709	—	—	-15	2,774
Fiscal disputes	2,979	581	-424	—	—	-9	3,127
Various risks and charges	2,943	199	-217	—	—	-122	2,803
Other non-current provisions	8,899	1,300	-1,349	—	—	-146	8,704

Trade disputes and industrial tribunals	386	—	—	—	—	-45	341
Fiscal disputes	—	—	—	—	—	—	—
Various risks and charges	391	713	-343	—	—	-37	723
Other current provisions	776	713	-343	—	—	-82	1,065
Other provisions	9,676	2,012	-1,693	—	—	-228	9,768

Provisions for risks and charges remained stable over the period.

Tax-related provisions are intended to deal with the financial consequences of the tax audits in the Group.

Provisions no longer required, whether used pursuant to their initial purpose, or because the risk expired, were reversed over the period.

Contingent liabilities

Virbac and its subsidiaries are sometimes involved in litigation, or other legal proceedings, generally linked to disputes related to intellectual property rights, competition law disputes, and tax matters. Each situation is analyzed in regards to IAS 37 or IFRIC 23, when it involves uncertainties related to tax treatments. No provision is recognized if the company considers that the liability is contingent, and information is given in the notes to the consolidated statements.

A15. Lease liability

Change in lease liability

in € thousand	2024.12	New contracts and renewals	Repayments and cancellations	Changes in scope	Transfers	Conversion gains and losses	2025.06
Lease liability - non-current	26,552	3,981	-2	—	-5,218	-1,154	24,158
Lease liability - current	11,550	1,729	-6,786	—	5,218	-478	11,234
Lease liability	38,102	5,710	-6,788	—	—	-1,631	35,393

Lease liabilities classified according to their maturity

	Payments
in € thousand	less than 1 year	from 1 to 5 years	more than 5 years	Total
Lease liability - non-current Lease liability - current	— 11,234	18,982 —	5,177 —	24,158 11,234
Lease liability	11,234	18,982	5,177	35,393

Information related to financing activities

		Cash flows	Non-cash flows
in € thousand	2024.12	Repayments	Increase	Decrease	Changes in scope	Transfers	Conversion gains and losses	2025.06
Lease liability	38,102	-6,591	5,710	-196	—	—	-1,631	35,393
Lease liability	38,102	-6,591	5,710	-196	—	—	-1,631	35,393

Decreases correspond to early terminations with no cash impact.

The increase in debt liabilities stems essentially from the obligations generated by the new contracts relating to the fleet of vehicles together with real estate contracts as mentioned in note A5. However, rental debt is generally down due to payments made on current contracts.

A16. Other financial liabilities

in € thousand	2024.12	Increase	Decrease	Changes in scope	Transfer	Conversion gains and losses	2025.06
Loans	217,725	11,396	-10,958	—	-955	-13,270	203,938
Employee profit sharing	17	4	-7	—	—	—	14
Currency and interest rate derivatives	—	—	—	—	—	—	—
Other	4,346	—	-298	—		-146	3,902
Other non-current financial liabilities	222,088	11,400	-11,263	—	-955	-13,416	207,854
Loans	47,620	77,917	-40,716	—	955	-5,652	80,124
Bank overdrafts	3,567	1,751	—	—	—	—	5,318
Accrued interests not yet matured	27	33	—	—	—	—	60
Employee profit sharing	929	315	-723	—	—	-15	506
Currency and interest rate derivatives	5,835	—	-4,983	—	—	—	852
Other	—	—			—	—	—
Other current financial liabilities	57,977	80,016	-46,422	—	955	-5,667	86,860
Other financial liabilities	280,065	91,416	-57,685	—	—	-19,083	294,714

Change in other financial liabilities

In addition to the variations observed in derivative instruments over the period (-€5 million), the main movements over the period relate to borrowings.

In April, we repaid the remaining investors in our market-based contract (Schuldschein), thus closing commitments with a 10-year maturity.

During the month of June, with a view to granting comfort letters to secure two new financing arrangements for our subsidiaries, we obtained unanimous approval from our pool of banks to increase the maximum amount of sureties, endorsements, guarantees, or any other personal security, as set out in our syndicated loan agreement.

At the same time, we signed two new local bank financing agreements:

the first for our subsidiary Sasaeah, in Japan, for 7 billion yen, allowing our subsidiary to partially repay its intra-group loan with the parent company granted during the acquisition of the company to settle its local bank loan;
the second for our subsidiary Virbac Corporation, in the United States, for US \$30 million, replacing the existing US \$7 million line.

Thus, to ensure our liquidity, the main sources of financing available to us and their characteristics are as follows:

a syndicated loan of €350 million, at variable rate, repayable in fine in October 2028 after being extended by two years, with a so-called "accordion" clause to increase funding by €100 million and which includes commitments in connection with our CSR policy;
financing contracts with Bpifrance, for €8.7 million at fixed rates, depreciable and maturing in July 2027 and June 2032;
uncommitted credit lines in the United States for US \$60 million (i.e. approximately €51.2 million);
an uncommitted credit line in Japan for 7 billion yen (approximately €41.4 million);
factoring contracts with recourse drawable in US\$ and Chilean pesos for US \$29 million (i.e. approximately €24.7 million) in Chile;
a loan for CLP 24.3 billion (i.e. approximately €24.2 million) in Chile too.

As of June 30, 2025, the funding position, which amounts to just over €284 million, is broken down as follows:

the syndicated loan was drawn for €176 million;
the Bpifrance financing amounted to €8.7 million;
7 billion yen on a line of credit in Japan (approximately €41.4 million);
the equivalent of CLP 39.8 billion (i.e. approximately €36.2 million) on the various financing lines in Chile;
US \$26 million (i.e. approximately €22.2 million) in drawdowns on our credit lines in the United States.

Our financing capacity is sufficient to meet our cash flow requirements.

Please note that following the repayment of the market-based contract during the period, we are no longer required to comply with the financial covenant clause at the end of the half-year period.

Other financial liabilities classified according to their maturity

As at June 30, 2025

	Payments
in € thousand	less than 1 year	from 1 to 5 years	more than 5 years	Total
Loans	80,125	203,094	844	284,062
Bank overdrafts	5,318	—	—	5,318
Accrued interests not yet matured	61	—	—	61
Employee profit sharing	505	14	—	519
Currency and interest rate derivatives	852	—	—	852
Other	—	13	3,890	3,902
Other financial liabilities	86,860	203,121	4,733	294,714

As at December 31, 2024

	Payments
in € thousand	less than 1 year	from 1 to 5 years	more than 5 years	Total
Loans	47,620	216,412	1,313	265,344
Bank overdrafts	3,567	—	—	3,567
Accrued interests not yet matured	27	—	—	27
Employee profit sharing	929	17	—	946
Currency and interest rate derivatives	5,835	—	—	5,835
Other	—	15	4,332	4,346
Other financial liabilities	57,977	216,443	5,644	280,065

Information related to financing activities

			Cash flows	Non-cash flows
in € thousand	2024.12	Issuance	Repayments	Fair value	Change	in scope Transfers	Conversion gains and losses	2025.06
Non-current financial liabilities	217,725	11,396	-10,958 —	—	—	-955	-13,270	203,938
Current financial liabilities	47,620	77,917	-40,716 —	—	—	955	-5,652	80,124
Employee profit sharing	945	319	-730 0	—	—	—	-15	519
Currency and interest rate derivatives	5,835	—		— — -4,983	—	—	—	852
Others	4,346	—	-298	—	—	—	-146	3,902
Other financial
liabilities	276,471	89,632	-52,702	-4,983	—	—	-19,083	289,335

A17.		Other payables
------	--	----------------

in € thousand	2024.12	Variations	Changes in scope	Transfers	Conversion gains and losses	2025.06

Income tax payables	—	—	—	—	—	—
Social payables	—	—	—	—	—	—
Other fiscal payables	—	—	—	—	—	—
Advances and prepayments on orders	—	—	—	—	—	—
Prepaid income	1,229	11	—	—	—	1,240
Various other payables	4,201	92	-1,184	-200	-539	2,370
Other non-current payables	5,430	103	-1,184	-200	-539	3,610
Income tax payables	25,363	-2,859	—	—	-621	21,883
Social payables	73,695	-11,870	—	—	-1,656	60,169
Other fiscal payables	18,074	-3,961	—	—	-302	13,812
Advances and prepayments on orders	853	-485	—	—	-69	299
Prepaid income	1,369	201	—	—	-24	1,547
Various other payables	100,328	-18,211	—	200	-2,597	79,720
Other current payables	219,683	-37,184	—	200	-5,268	177,429
Other payables	225,112	-37,081	-1,184	—	-5,808	181,039

The total "Other payables" item decreased by €38.3 million excluding exchange rate effects, of which -€1.2 million was due to scope changes. The main variations are detailed below.

The "Other miscellaneous debts" line is the main cause of the decrease in the "Other non-current payables" item, and is mainly explained by the recognition of the effects of the discounting of the deferred payment of Mopsan, for -€1.2 million. As explained in note A1, this acquisition, completed in 2024, was the subject of purchase price allocation work finalized in 2025. To a lesser extent, there is also a reclassification of €0.2 million from non-current to current for an earn-out debt relating to the acquisition of our subsidiary in the Czech Republic in 2023.

The "Other current payables" item decreased by €37.0 million (excluding exchange rate effects), mainly related to:

a decrease in other miscellaneous liabilities of -€18.0 million; this item is largely composed of liabilities entered into under contracts with customers (see details below), which explain €16.9 million of the total change observed, linked to the usual payment of these liabilities in the first part of the year;
a decrease in social security liabilities of -€11.9 million. As in previous years, the decrease in this item between December and June is mainly explained by the payment of profit-sharing bonuses and other employee bonuses provisioned within the Group at the end of December 2024;
a decrease in other tax liabilities of -€4.0 million, mainly observed in Japan and Mexico, linked to the shift in payments from December to June;
a decrease in income tax liabilities of €2.9 million. The change mainly concerns the provision for corporate income tax for 2025 in France for €3.2 million.

The table below details the type of contract-related liabilities:

in € thousand	2024.12	Variations	Changes in scope	Transfers	Conversion gains and losses	2025.06

Advances and prepayments on orders	853	-485	—	—	-69	299
Customers - credits to be issued	92,535	-16,859	—	—	-2,047	73,630
Customer liabilities	93,387	-17,343	—	—	-2,115	73,929

Credits and accruals stem primarily from changes in transaction pricing, as the majority of the Group's subsidiaries grant customers year-end rebates, the amount of which is contingent on the achievement of sales objectives. Excluding the impact of foreign exchange rates, the variation of -€16.9 million corresponds exclusively to the payments of year-end rebates made during the first half of the year in France.

A18. Trade payables

in € thousand	2024.12	Variations	Changes in scope	Transfers	Conversion gains and losses	2025.06
Current trade payables	149,371	323	—	—	-7,702	141,992
Trade payables - suppliers of intangible assets	2,454	-505	—	—	-29	1,920
Trade payables - suppliers of tangible assets	22,749	-12,579	—	—	-131	10,039
Trade payables	174,574	-12,761	—	—	-7,862	153,951

This item stands at €154.0 million as of June 30, 2025, compared to €174.6 million at the end of 2024, representing a decrease of -€20.6 million, primarily due to invoicing by suppliers of tangible fixed assets that had been provisioned in December 2024, in connection with investment projects at industrial sites in France. Foreign exchange impacts generated a decrease of -€7.8 million in this item.

A19. Revenue from ordinary activities

in € thousand	2025.06	2024.06	Change
Sales of finished goods and merchandise	860,071	809,036	6.3%
Services	95	771	-87.7%
Additional income from activity	1,243	1,874	-33.7%
Royalties paid	282	158	78.5%
Gross sales	861,692	811,839	6.1 %
Discounts, rebates and refunds on sales	-99,182	-86,405	14.8%
Expenses deducted from sales	-14,366	-14,534	-1.2%
Financial discounts	-10,208	-8,179	24.8%
Provisions for returns	339	211	60.7%
Expenses deducted from sales	-123,416	-108,907	13.3 %
Revenue from ordinary activities	738,276	702,933	5.0%

The expenses presented within the revenue are mainly made up of the following elements:

amounts paid under commercial cooperation contracts (commercial communication actions, supply of statistics, etc.);
cost of business operations (including loyalty programs), the amount of which is directly related to the revenue generated.

Provisions for customer returns are calculated using a statistical method, based on historical returns.

Performance

For the first half of the year, our revenue reached €738.3 million compared to €702.9 million in 2024, representing an overall increase of +5.0%. Excluding exchange rate effects, revenue showed a significant increase of +7.8%. The integration of Sasaeah, a company acquired in Japan in April 2024, contributed +2.2 points of growth. At constant exchange rates and scope, organic growth for the first half reached +5.6%, favourably impacted by a concomitant increase in volumes (estimated at ~2.1 points of growth) and prices (estimated at ~3.5 points of growth). It should be noted that the acquisition of Mopsan contributed 0.6 points of growth and was not restated from the constant scope as it was deemed immaterial.

The revenue growth of ordinary activities by segment and region is detailed in the management report.

A20. Purchases consumed

in € thousand	2025.06	2024.06	Change
Inventoried purchases	-223,907	-222,549	0.6%
Non-inventoried purchases	-21,547	-18,815	14.5%
Supplementary charges on purchases	-6,071	-4,756	27.6%
Discounts, rebates and refunds obtained	137	205	-33.0%
Purchases	-251,387	-245,916	2.2%
Change in gross inventories	14,743	23,362	-36.9%
Allowances for depreciation of inventories	-17,532	-14,145	23.9%
Reversals of depreciation of inventories	13,320	16,580	-19.7%
Net variation in inventories	10,531	25,797	-59.2%
Consumed purchases	-240,856	-220,118	9.4%

The increase in purchases consumed by +9.4% is in line with the growth in activity. At constant scope, excluding Mopsan in Türkiye and Sasaeah in Japan, the increase in purchases consumed is 8.3%.

A21. External costs

In the first half of 2025, external expenses amount to €131.6 million, compared to €116.0 million at the end of June 2024, which represents an increase of €15.6 million, and €11.3 million at constant scope, as the Sasaeah group companies were acquired on April 1, 2024, and Mopsan on December 1, 2024.

The main changes observed relate to:

study and research costs, particularly in France and the United States;
IT maintenance costs for contracts held by the parent company for the Group;
miscellaneous subcontracting costs (for projects, regulatory requirements, etc.), mainly in France;
other external expenses, mainly in Japan (scope effect);
consulting fees and expenses, related to the various projects underway within the Group.

A22. Depreciation, impairment and provisions

in € thousand	2025.06	2024.06	Change
Allowances for depreciation of intangible assets1	-4,236	-3,225	31.4%
Allowances for impairment of intangible assets	—	—	—
Allowances for depreciation of tangible assets	-17,111	-14,889	14.9%
Allowances for impairment of tangible assets	—	—	—
Allowances for depreciation of right of use	-6,516	-6,204	5.0%
Reversals for depreciation of intangible assets	—	—	—%
Reversals for impairment of intangible assets	23	—	—%
Reversals for depreciation of tangible assets	—	—	—
Reversals for impairment of tangible assets	122	499	-75.5%
Depreciation and impairment	-27,718	-23,819	16.4%
Allowances of provisions for risks and charges	-1,609	-738	118.2%
Reversals of provisions for risks and charges	1,290	1,888	-31.7%
Provisions	-319	1,151	-127.8%
Depreciations and provisions	-28,037	-22,669	23.7%

¹excluding allowance for depreciations of intangible assets arising from acquisitions

The increase in depreciation and amortization of fixed assets is mainly due to the scope effect on the Sasaeah group (three months of depreciation recognized in June 2024 compared to six months at the end of June 2025), and to a lesser extent, due to the increase in property, plant and equipment observed in France since last year, in connection with investments made at our industrial sites aimed at developing and improving our production facilities. Depreciation and amortization of intangible assets resulting from acquisitions are presented below.

The variation in provisions and reversals is due to reversals of non-recurring provisions made in 2024 for three specific disputes (provisions that became irrelevant in two out of three cases). Furthermore, there was no significant change in provisions for contingencies and charges during the period.

Allowances for depreciation of intangible assets arising from acquisitions

in € thousand	2025.06	2024.06
Centrovet	-623	-680
Multimin	-211	-220
New Zealand	-155	-164
Australia: Axon	-58	-60
Colombia: Synthesis	-42	-45
SBC	-153	-24
Globion	-775	-459
Sasaeah	-333	—
Mopsan	-285	—
Depreciations of intangible assets arising from acquisitions	-2,635	-1,652

A23. Other operating income and expenses

in € thousand	2025.06	2024.06	Change
Royalties paid	-863	-1,986	-56.5%
Grants received (including research tax credit)	7,646	5,165	48.0%
Allowances for depreciation of receivables	-451	-502	-10.2%
Reversals of depreciation of receivables	403	610	-33.9%
Bad debts	-106	-97	9.3%
Net book value of disposed assets	-97	-935	-89.6%
Income from disposal of assets	52	96	-45.8%
Other operating income and expenses	1,068	-1,119	-195.4%
Other operating income and expenses	7,652	1,231	521.6%

The Other operating income and expenses shows a increase of €6.4 million, which is mainly explained by:

the increase in tax credits recorded as subsidies, amounting to €7.4 million as of June 30, 2025, compared to €5.1 million in the first half of 2024;
the increase in other income and expenses of €2.2 million, mainly in Brazil (resolution of a dispute) and in France to a lesser extent (investment subsidies);
the €1.1 million decrease in royalties paid under intellectual property contracts on marketing authorizations, contracts which have ended or been renegotiated, mainly in France and Australia.

Other variations are individually immaterial.

A24. Other non-current income and expenses

As of June 30, 2025, any non-current net expense has been recorded.

As a reminder, as of June 30, 2024, a non-current net expense of €2.0 million had been recorded, consisting of the following elements:

in € thousand	2024.06
Sasaeah acquisition expenses	-4,735
Sale of production equipment following Sentinel© divestiture in the United States (purchase option taken by the buyer as set for by the contract)	2,486
Unused release provision for restructuring in Chile	201
Non-current income or expenses	-2,048

Sasaeah acquisition expenses mainly comprised service fees and commissions.

A25. Financial income and expenses

in € thousand	2025.06	2024.06	Change
Gross cost of financial debt	-5,002	-5,965	43.7%
Income from cash and cash equivalents	2,241	3,501	-15.1%
Net cost of financial debt	-2,761	-2,464	8745.5%
Foreign exchange gains and losses	-22,205	-10,480	125.0%
Changes in foreign currency derivatives and interest rate	16,510	7,598	38.8%
Other expenses	-646	125	-168.4%
Other income	610	417	52.9%
Other financial income or expenses	-5,731	-2,341	-358.5%
Financial income and expenses	-8,492	-4,806	-647.5%

The cost of financial debt increased by €0.3 million. This increase is due to a rise in interest expenses in the Centrovet accounts by €0.5 million and in Virbac Chile by €0.3 million, and a decrease of €1.1 million in cash and cash equivalents income in India.

Other financial income and expenses amounted to -€5.7 million compared to -€2.3 million as of June 30, 2024, mainly due to the depreciation of the Chilean peso, and to a lesser extend, to the Mexican peso, against the euro.

A26. Income tax

Pursuant to IAS 34, in the financial statements at June 30, 2025, the tax charge was determined by applying to the profit before tax for the period the average tax rate estimated for the year 2025.

Impact of Pilar 2 new regulation

As a reminder, the French Finance Act for 2024 transposed the European directive on global anti-base erosion rules (GLOBE rules) and adopted the OECD Pillar 2 model rules.

The Group, falling within the scope of the new legislation, has assessed its potential exposure to the new legislation for the period ending December 31, 2024.

This assessment is based on the most recent tax returns, the country-by-country report, and the financial statements of the Group's constituent entities.

Based on this assessment, the Group applies the safeguard measures by jurisdiction (i.e., the de minimis test, simplified effective tax rate above 15%, and substance test); the impact of the new legislation is considered zero for the Group for the 2024 fiscal year.

The Group will reassess this impact annually in accordance with legal requirements for the 2025 fiscal year-end. To this end, the Group is supported and assisted by tax experts.

Non-current tax expense

As of June 30, 2025, there is no non-current income tax.

A27. Earnings per share

	2025.06	2024.06
Profit attributable to the owners of the parent company	€82,408,423	€94,667,256
Weighted average number of shares outstanding, before dilution	8,375,671	8,371,335
Impact of dilutive instruments1	4,030	11,340
Weighted average number of shares outstanding, after dilution	8,379,701	8,382,675
Profit attributable to the owners of the parent company, per share	€9.84	€11.31
Profit attributable to the owners of the parent company, diluted per share	€9.83	€11.29

1 the dilutive impact is linked to performance-related stock grant plans, see note below

Information on performance-related stock grant plans

As quoted in our 2024 annual report, with the authorization of the shareholders' meeting, performance-related stock grants were awarded to certain officers and employees of Virbac and its subsidiaries.

The dilutive impact of the performance-related stock grant plans comes from:

performance-related stock grants allocated in previous years and not paid up as of June 30, 2025;
performance-related stock grants newly allocated during the period; and

• movements on treasury shares: Virbac holds its treasury shares primarily intended to feed into the performance-related stock grant plans. The amount of these treasury shares is posted as a reduction in equity. As of June 30, 2025, the number of treasury shares owned by the Group amounts to 12,836 shares (compared to 83,406 as of June 30, 2024 and 16,066 as of December 31, 2024).

A28. Operating segments

In accordance with IFRS 8, we provide information by segment as used internally by the Group executive committee, which is now the Chief operating decision maker (CODM) following the change of governance in December 2020.

Our level of segment information is the geographic sector. The breakdown by geographic area covers six sectors, according to the place of establishment of our assets:

Europe;
Latin America;
North America;
Far East Asia;
Pacific;
India, Africa & Middle East (IMEA).

The Group's operating activities are organized and managed separately, according to the nature of the markets.

The two market segments are companion animals (representing 58% of the sales as at June 30, 2025, that is €431.3 million) and farm animals (representing 40% of the sales as at June 30,2025, that is €292.5 million) but the latter is not considered an industry information level for the reasons listed below:
nature of the products: the majority of the therapeutic segments are common to companion and farm animals (antibiotics, parasiticides, etc.);
manufacturing procedures: the production chains are common to both segments and there is no significant difference in sources of supply;
customer type or category: the distinction is between the ethical (veterinary) and OTC (Over the counter) sectors;
internal organization: our management structures are organized by geographic area. Throughout the Group, there is no management structure based on market segments;
distribution methods: the main distribution channels depend more on the country than the market segment. In certain cases, the sales forces may be the same for both market segments;
nature of the regulatory environment: the regulatory bodies governing market authorizations are identical regardless of the segment.

In the information presented below, the sectors therefore correspond to geographic zones (areas where our assets are located). The results for Europe include the head office expenses and a substantial proportion of our research and development expenses.

As at June 30, 2025

in € thousand	Europe	Latin America	North America	Far East Asia	Pacific	India, Africa & Middle East	Total
Revenue from ordinary activities Current operating profit before depreciation of assets arising from acquisitions1	305,506 54,483	108,665 21,507	100,121 2,846	75,776 7,648	54,592 16,107	93,616 29,790	738,276 132,381
Result attributable to the owners of the parent company Non-controlling interests	33,406 —	11,813 18	448 -136	2,906 -52	10,932 —	22,903 —	82,239 -169
Group consolidated result	33,406	11,831	313	2,854	10,932	22,903	82,239

in € thousand	Europe	Latin America	North America	Far East Asia	Pacific	India, Africa & Middle East	Total
Assets by geographic area	634,580	254,833	219,433	444,626	117,572		144,383 1,815,427
Intangible investment	3,903	60	46	92	103	11	4,214
Tangible investment	30,536	1,484	2,206	1,277	533	521	36,558

No customer reaches more than 10% of revenue.

As at June 30, 2024

in € thousand	Europe	Latin America	North America	Far East Asia	Pacific	India, Africa & Middle East	Total
Revenue from ordinary activities Current operating profit before	285,448	111,588	95,463	57,381	62,497	90,555	702,933
depreciation of assets arising from acquisitions1	60,449	22,278	8,928	7,967	21,976	28,754	150,353
Result attributable to the owners of the parent company	33,810	10,854	8,642	4,204	15,198	21,960	94,667
Non-controlling interests	1	2	-333	77	—	467	213
Group consolidated result	33,811	10,856	8,309	4,280	15,198	22,427	94,881

in € thousand	Europe	Latin America	North America	Far East Asia	Pacific	India, Africa & Middle East	Total
Assets by geographic area restated	535,700	270,726	234,834	449,528	143,788		161,655 1,796,232
Intangible investment Tangible investment	3,221 10,896	27 2,152	62 1,817	20 971	20 1,709	174 204	3,523 17,748

A29. Credit risk management

As of June 30, 2025, the proportion of outstanding receivables compared to the total amount of trade receivables remains stable compared to the previous year-end situation at constant scope and in the context of an increase in trade receivables (see note A10).

We do not anticipate any major recoverability issues for these receivables.

The following statements provide a breakdown of trade receivables by their maturity:

As at June 30, 2025

	Receivables
in € thousand	due	< 3 months	3-6 months	6-12 months > 12 months		Impaired	Total
Europe	83,752	3,480	1,212	181	48	1,532	90,207
Latin America	37,644	3,482	108	—	—	671	41,904
North America	17,173	2,875	—	—	—	126	20,174
Far East Asia	37,727	291	33	52	—	315	38,419
Pacific	22,017	4	—	—	—	5	22,027
India, Africa & Middle East	12,279	1,044	14	—	—	155	13,493
Trade receivables	210,593	11,177	1,368	233	48	2,805	226,224

As at December 31, 2024

	Receivables
in € thousand	due	< 3 months	3-6 months	6-12 months > 12 months		Impaired	Total
Europe	62,565	8,186	620	9	—	1,476	72,856
Latin America	38,664	4,588	266	—	—	689	44,207
North America	20,305	1,780	4	20	—	29	22,138
Far East Asia	40,433	506	40	4	—	339	41,323
Pacific	11,427	208	7	—	—	2	11,644
India, Africa & Middle East	5,624	665	145	10	—	311	6,755
Trade receivables	179,018	15,933	1,082	44	—	2,847	198,923

A30. Information on related parties

Virbac's transactions with related parties mainly consist of:

Compensation and assimilated benefits granted to the members of the administrative and management bodies

Over the first six months of 2025, there are no other significant transactions concluded with a member of the management bodies or a shareholder having a significant influence on the Group.

Over the first half 2025, share-based payment plans voted in 2023 and 2024 were amortized on an on-going basis. The plan voted in 2022 vested during the period.

Transactions with companies on which Virbac exercises a significant influence or a joint control

Transactions between related parties are arm's length operations. During the first half of 2025, there was no significant change in the nature of the transactions made by the Group with its related parties compared to December 31, 2024.

A31. Scope of consolidation

		Country/		2025.06	2024.12
Company name	Locality	region	Control	Consolidation	Control	Consolidation
Europe
Virbac (parent company)	Carros		France 100.00%	Full	100.00%	Full
Interlab	Carros		France 100.00%	Full	100.00%	Full
Virbac France	Carros		France 100.00%	Full	100.00%	Full
Virbac Nutrition	Vauvert		France 100.00%	Full	100.00%	Full
Virbac Diagnostics	La Seyne-sur - Mer		France 100.00%	Full	100.00%	Full
Alfamed	Carros		France 100.00%	Full	100.00%	Full
Virbac Belgium SA	Wavre	Belgium	100.00%	Full	100.00%	Full
Virbac Nederland BV1	Barneveld	Netherlands	100.00%	Full	100.00%	Full
Virbac (Switzerland) AG	Glattbrugg	Switzerland	100.00%	Full	100.00%	Full
Virbac Ltd	Bury St. Edmunds	United Kingdom	100.00%	Full	100.00%	Full
Virbac SRL	Milan	Italy	100.00%	Full	100.00%	Full
Virbac Danmark A/S	Kolding	Denmark	100.00%	Full	100.00%	Full
Virbac Tierarzneimittel GmbH	Bad Oldesloe	Germany	100.00%	Full	100.00%	Full
Virbac SP zoo	Warsaw	Poland	100.00%	Full	100.00%	Full
Virbac Hungary Kft	Budapest	Hungary	100.00%	Full	100.00%	Full
Virbac Hellas SA	Agios Stefanos	Greece	100.00%	Full	100.00%	Full
Virbac Espana SA	Barcelona	Spain	100.00%	Full	100.00%	Full
Virbac Österreich GmbH	Vienna	Austria	100.00%	Full	100.00%	Full
Virbac de Portugal Laboratorios Lda	Almerim	Portugal	100.00%	Full	100.00%	Full
Virbac Hayvan Sagligi Limited §irketi	Istanbul	Türkiye	100.00%	Full	100.00%	Full
Virbac Ireland Ltd	Dublin		Ireland 100.00%	Full	100.00%	Full
Virbac Czech Republic s.r.o	Praha	Czech	Republic 100.00%	Full	100.00%	Full
Mopsan Veteriner Ürünleri A.S	Istanbul	Türkiye	100.00%	Full	100.00%	Full
North America
Virbac Corporation1		Fort Worth United States	100.00%	Full	100.00%	Full
PP Manufacturing Corporation		Framingham United States	100.00%	Full	100.00%	Full
Pharma 8 Llc		Wilmington United States	70.00%	Full	70.00%	Full

¹pre-consolidated levels

Company name	Locality	Country /		2024.06	2023.12
		Region	Control	Consolidation	Control	Consolidation
Latin America
Virbac do Brasil Industria e Comercio Ltda	Sao Paulo	Brazil	100.00%	Full	100.00%	Full
Virbac Mexico SA de CV	Guadalajara	Mexico	100.00%	Full	100.00%	Full
Virbac Colombia Ltda	Bogota	Colombia	100.00%	Full	100.00%	Full
Laboratorios Virbac Costa Rica SA	San Jose	Costa Rica	100.00%	Full	100.00%	Full
Virbac Chile SpA	Santiago	Chile	100.00%	Full	100.00%	Full
Virbac Patagonia Ltda	Santiago	Chile	100.00%	Full	100.00%	Full
Holding Salud Animal SA	Santiago	Chile	100.00%	Full	100.00%	Full
Centro Veterinario y Agricola Limitada	Santiago	Chile	100.00%	Full	100.00%	Full
Centrovet Inc	Allegheny	United States	100.00%	Full	100.00%	Full
Centrovet Argentina	Buenos Aires	Argentina	100.00%	Full	100.00%	Full
Virbac Uruguay SA	Montevideo	Uruguay	99.17%	Full	99.17%	Full
Virbac Latam Spa	Santiago	Chile	100.00%	Full	100.00%	Full
Asia
Virbac Trading (Shanghai) Co. Ltd	Shanghai	China	100.00%	Full	100.00%	Full
Virbac H.K. Trading Limited	Hong Kong	Hong Kong	100.00%	Full	100.00%	Full
Asia Pharma Ltd	Hong Kong	Hong Kong	100.00%	Full	100.00%	Full
Virbac Korea Co. Ltd	Seoul	South Korea	100.00%	Full	100.00%	Full
Virbac (Thailand) Co. Ltd	Bangkok	Thailand	100.00%	Full	100.00%	Full
Virbac Taiwan Co. Ltd	Taipei	Taiwan	100.00%	Full	100.00%	Full
Virbac Philippines Inc.	Taguig City	Philippines	100.00%	Full	100.00%	Full
Virbac Japan Co. Ltd	Osaka	Japan	100.00%	Full	100.00%	Full
Virbac Asia Pacific Co. Ltd	Bangkok	Thailand	100.00%	Full	100.00%	Full
Virbac Vietnam Co. Ltd	Ho Chi Minh Ville	Vietnam	100.00%	Full	100.00%	Full
AVF Animal Health Co Ltd Hong-Kong	Hong Kong	Hong Kong	50.00%	Equity	50.00%	Equity
AVF Chemical Industrial Co Ltd China	Jinan (Shandong)	China	50.00%	Equity	50.00%	Equity
Shandong Weisheng Biotech Co., Ltd	Jinan (Shandong)	China	—%	—	50.00%	Equity
Sasaeah Holdings Co.,Ltd.	Tokyo		Japan 100.00%	Full	100.00%	Full
Sasaeah Pharmaceutical Co.,Ltd.	Tokyo		Japan 100.00%	Full	100.00%	Full
Fujita Pharmaceutical Co., Ltd.	Tokyo		Japan 100.00%	Full	100.00%	Full
Kyoto Biken Laboratories, Inc.	Kyoto		Japan 100.00%	Full	100.00%	Full
Kyoto Biken Hanoi Laboratories, Co Ltd	Hanoï	Vietnam	85.00%	Full	85.00%	Full
Pacific
Virbac (Australia) Pty Ltd1	Milperra	Australia	100.00%	Full	100.00%	Full
Virbac New Zealand Limited	Hamilton	New Zealand	100.00%	Full	100.00%	Full
India, Africa & Middle East
Virbac RSA (Proprietary) Ltd1	Centurion	South Africa	100.00%	Full	100.00%	Full
Virbac Animal Health India Private Limited	Mumbai	India	100.00%	Full	100.00%	Full
Globion India Private Ltd	Hyderabad		India 100.00%	Full	100.00%	Full

¹pre-consolidated levels

Statutory auditors' review report on the half-yearly financial information

For the period from January 1 to June 30, 2025

This is a free translation into English of the statutory auditors' review report on the half-yearly financial information issued in French and is provided solely for the convenience of English-speaking users. This report includes information relating to the specific verification of information given in the Group's half-yearly management report. This report should be read in conjunction with, and construed in accordance with, French law and professional standards applicable in France.

To the shareholders,

in compliance with the assignment entrusted to us by the annual general meeting and in accordance with the requirements of article L451-1-2-III of the French monetary and financial code (Code monétaire et financier), we hereby report to you on:

the review of the accompanying condensed half-yearly consolidated financial statements of Virbac, for the period from January 1 to June 30, 2025;
the verification of the information presented in the half-yearly management report.

These condensed half-year consolidated financial statements were prepared under the responsibility of the board of directors. Our role is to express a conclusion on these financial statements based on our review.

CONCLUSION ON THE FINANCIAL STATEMENTS

We conducted our review in accordance with professional standards applicable in France. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with professional standards applicable in France and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed half-yearly consolidated financial statements are not prepared, in all material respects, in accordance with IAS 34, standard of the IFRS as adopted by the European Union applicable to interim financial information.

SPECIFIC VERIFICATION

We have also verified the information presented in the half-yearly management report on the condensed half-yearly consolidated financial statements subject to our review.

We have no matters to report as to its fair presentation and consistency with the condensed half-yearly condensed consolidated financial statements.

Nice and Marseille, September 11, 2025

The statutory auditors (French original signed by)

Novances-David & Associés Deloitte & Associés

Jean-Pierre Giraud Hugues Desgranges Jérémie Perrochon

Statement of responsibility for the halfyearly financial report

I certify that, to the best of my knowledge, the half-yearly consolidated accounts are prepared in accordance with the applicable accounting standards and give a true and fair view of the assets, financial position and results of the company, as well as of all the entities included in the consolidation, and that the attached half-yearly activity report presents a true and fair view of the significant events that occurred during the first six months of the financial year, their impact on the accounts, the main transactions between related parties and a description of the main risks and uncertainties for the remaining six months of the financial year.

Carros, September 11, 2025

Habib Ramdani, interim chief executive officer, Virbac group

AI Terminal

Virbac

1753_ir_2025-09-12_cea3885a-df93-420f-8c79-a76880173b77.pdf

Half-yearly financial report As of June 30, 2025

Half-yearly management report

KEY EVENTS OF THE FIRST HALF OF 2025

Appointment of the new chief executive officer

Effects of US customs duties

EVENTS SUBSEQUENT TO JUNE 30, 2025

ANALYSIS OF CONSOLIDATED FINANCIAL STATEMENTS

Performance of revenue

Performance by segment

Companion animals

Farm animals

Other business lines

Performance by geographic areas (at constant rates and perimeter)

Analysis of the results

Changes in results

Analysis of the financial situation

Consolidated balance sheet

Financing

DESCRIPTION OF KEY RISKS AND UNCERTAINTIES FOR THE REMAINING SIX MONTHS OF THE YEAR

OPERATIONS WITH RELATED PARTIES

OUTLOOK

Condensed consolidated accounts

CONSOLIDATED FINANCIAL STATEMENTS

Statement of financial position

Income statement

Comprehensive income statement

Statement of change in equity

Cash position statement

Cash flow statement

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

General information note

Key events over the period

Appointment of the new chief executive officer

Effects of US customs duties

Significant events after the closing date

Accounting principles and methods

Compliance and basis for preparing the consolidated financial statements

New standards and interpretations

Mandatory standards and interpretations as at January 1, 2025

IFRIC decisions applicable over the period

Consolidation rules applied

Consolidation scope and methods

Foreign exchange conversion methods

■ Conversion of foreign currency operations in the accounts of consolidated companies

■ Conversion of foreign company accounts

Use of estimations and assumptions

A1. Goodwill

Change in goodwill by CGU

Business combination

A2. Intangible assets

Changes in intangible assets

Concessions, patents, licenses and brands

As at June 30, 2025

Other intangible assets

A3. Impairment of assets

A4. Tangible assets

Change in tangible assets

A5. Right of use

Analysis of the residual rent liability

A6. Other financial assets

Change in other financial assets

Other financial assets classified according to their maturity

As at June 30, 2025

As at December 31, 2024

A7. Shares in companies accounted for by the equity method

Information about equity-accounted companies

A8. Deferred taxes

Variation in deferred taxes

A9. Inventories and work in progress

A10. Trade receivables

A11. Other receivables

A12. Cash and cash equivalents

A13. Assets classified as held for sale and liabilities related to assets held for sale

A14. Other provisions

Contingent liabilities

A15. Lease liability

Change in lease liability