www.arteche.com © Arteche
1st Semester
Financial
Information
Arteche Lantegi Elkartea, S.A. and
subsidiaries
Six-month period ended June 30, 2026
www.arteche.com © ArtecheINDEX Limited review on Consolidated Summary Interim Financial Statements Consolidated Summary Interim Financial Statements oConsolidated Summary Interim Financial Statements oNotes to the Condensed Consolidated Interim Financial Statements for the six-
month period ended June 30, 2026 Consolidated Interim Management Report for the Six-Month Period Ended June 30, 2026 Annex I: Reconciliation of Alternative Performance Measures
Independent Limited Review Report ARTECHE LANTEGI ELKARTEA, S.A.
AND SUBSIDIARIES
Abbreviated Consolidated Interim Financial Statements and Interim Consolidated
Management Report
for the six-month period ended June 30, 2026
Domicilio Social: Calle de Raimundo Fernández Villaverde, 65. 28003 Madrid -Inscrita en el Registro Mercantil de Madrid, tomo 9.364 general, 8.130 de la sección 3adel Libro de Sociedades, folio 68, hoja nº 87.690-1, inscripción 1a. C.I.F. B-78970506.
A member firm of Ernst & Young Global Limited.Ernst & Young, S.L.
Torre Iberdrola
Plaza de Euskadi, 5 48009 BilbaoTel: 944 243 777 Fax: 944 242 745
ey.com
LIMITED REVIEW REPORT ON ABBREVIATED CONSOLIDATED INTERIM FINANCIAL
STATEMENTS
Translation of a report and financial statements originally issued in Spanish. In the event of discrepancy, the Spanish-language version prevails (See Note 29) To the shareholders of ARTECHE LANTEGI ELKARTEA, S.A.:
Report on the abbreviated consolidated interim financial statements
Introduction
We have reviewed the accompanying abbreviated consolidated interim financial statements (interim financial statements) of ARTECHE LANTEGI ELKARTEA, S.A. (the “Parent Company”) and its subsidiaries (the “Group”), which comprise the abbreviated consolidated balance sheet as of June 30, 2026 and the related abbreviated consolidated interim income statement, interim statement of comprehensive income, statement of changes in equity, consolidated cash flow statement and explanatory notes for the six-month period then ended. The directors of the Parent Company are responsible for the preparation of these interim financial statements in accordance with the requirements of International Accounting Standard (IAS) 34, Interim Financial Reporting, as adopted by the European Union, relating to the preparation of abbreviated interim financial information, in compliance with Article 12 of Spanish Royal Regulation 1362/2007. Our responsibility is to express a conclusion on these interim financial statements based on our limited review.
Scope of Review We conducted our limited review in accordance with International Standard on Review Engagements (ISRE) 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity.” A limited review of interim financial statements consists of making inquiries, primarily of responsible persons for financial and accounting matters, and applying analytical and other review procedures. A limited review is substantially less in scope than an audit conducted in accordance with the auditing regulations in force in Spain 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 on the accompanying interim financial statements.
Conclusion
Based on our limited review, which is not to be understood as an audit, nothing has come to our attention that causes us to believe that the accompanying interim financial statements for the six-
month period ended June 30, 2026 have not been prepared, in all material respects, in accordance with the requirements of International Accounting Standard (IAS) 34, Interim Financial Reporting, as adopted by the European Union, relating to the preparation of abbreviated interim financial statements, as provided for in Article 12 of Spanish Royal Regulation 1362/2007.
A member firm of Ernst & Young Global Limited .2 Emphasis of Matter We draw attention to Note 3 to the accompanying explanatory notes, which states that these interim financial statements do not include all the information required for complete consolidated financial statements prepared in accordance with International Financial Reporting Standards as adopted by the European Union. Accordingly, the accompanying interim financial statements should be read in conjunction with the Group’s consolidated annual financial statements for the year ended December 31, 2025. Our conclusion is not modified in respect of this matter.
Report on other legal and regulatory requirements The accompanying interim consolidated management report for the six-month period ended June 30, 2026, contains the explanations that the directors of the Parent Company consider necessary regarding the significant events that occurred during that period and their impact on the interim financial statements presented, of which it does not form part, as well as the information required under Article 15 of Spanish Royal Decree 1362/2007. We have verified that the accounting information contained in the interim consolidated management report is consistent with the interim financial statements for the six-month period ended June 30, 2026. Our work has been limited to verifying the interim consolidated management report within the scope described in this paragraph and does not include the review of any information other than that obtained from the accounting records of ARTECHE LANTEGI ELKARTEA, S.A. and its subsidiaries.
Other Matters
This report has been prepared at the request of Management in connection with the publication of the half-yearly financial report required by Article 100 of Law 6/2023 of March 17, on Securities Markets and Investment Services.
ERNST & YOUNG, S.L.
(Signed on the original in Spanish) July 27, 2026
ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com ARTECHE LANTEGI ELKARTEA, S.A. and Subsidiaries Abreviated Consolidated Interim Financial Statements for the six-month period ended June 30, 2026
Consolidated Summary Interim Financial Statements (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com Table of Contents
CONSOLIDATED SUMMARIZED INTERIM BALANCE SHEET AS OF JUNE 30, 2026 ............................... 3
CONSOLIDATED SUMMARIZED INTERIM BALANCE SHEET AS OF JUNE 30, 2026 ............................... 4
CONSOLIDATED SUMMARIZED INTERIM STATEMENT OF INCOME FOR THE SIX-MONTH PERIOD
ENDED JUNE 30, 2026 .................................................................................................................................. 5
CONSOLIDATED SUMMARIZED INTERIM STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX-
MONTH PERIOD ENDED JUNE 30, 2026 ..................................................................................................... 6
CONSOLIDATED SUMMARIZED INTERIM STATEMENT OF CHANGES IN NET ASSETS FOR THE SIX-
MONTH PERIOD ENDED JUNE 30, 2026 ..................................................................................................... 7
CONSOLIDATED SUMMARY INTERIM STATEMENT OF CASH FLOWS FOR THE SIX-MONTH PERIOD
ENDED JUNE 30, 2026 .................................................................................................................................. 8 1. GROUP ACTIVITIES ......................................................................................................................... 9 2. BUSINESS COMBINATIONS .......................................................................................................... 13 3. BASIS OF PRESENTATION ........................................................................................................... 15
4. RELEVANT ACCOUNTING PRINCIPLES APPLIED ...................................................................... 15
5. SEASONALITY OF TRANSACTIONS DURING THE INTERIM PERIOD ...................................... 16
6. RELEVANT ACCOUNTING JUDGMENTS AND ESTIMATES USED ............................................ 16
7. LIQUIDITY AND LEVERAGE RISK ................................................................................................. 16 8. FINANCIAL INFORMATION BY SEGMENT ................................................................................... 18
9. IMPAIRMENT AND ALLOCATION OF GOODWILL TO BUSINESS UNITS .................................. 20
10. OTHER INTANGIBLE ASSETS ...................................................................................................... 22 11. PROPERTY, PLANT, AND EQUIPMENT ....................................................................................... 25
12. RIGHT-OF-USE ASSETS AND LEASE LIABILITIES ..................................................................... 27
13. BREAKDOWNS OF INFORMATION RELATING TO FINANCIAL ASSETS AND LIABILITIES ..... 30
14. ASSOCIATES AND JOINT VENTURES ......................................................................................... 34 15. INVENTORY .................................................................................................................................... 36
16. TRADE RECEIVABLES AND OTHER RECEIVABLES .................................................................. 37
17. CASH AND OTHER CASH EQUIVALENTS ................................................................................... 37 18. NET EQUITY ........................................................................................................................................... 37 19. EARNINGS PER SHARE ............................................................................................................... 40 20. PROVISIONS .................................................................................................................................. 41
21. TRADE PAYABLES AND OTHER ACCOUNTS PAYABLE ............................................................ 42
22. FINANCIAL LIABILITIES ................................................................................................................. 42 23. TAXES ............................................................................................................................................. 45 24. REVENUE AND EXPENSES .......................................................................................................... 46
25. TRANSACTIONS WITH RELATED PARTIES ............................................................................... 47
26. GUARANTEES AND CONTINGENT LIABILITIES ................................................................................. 49 27. DISCONTINUED OPERATIONS ..................................................................................................... 50 28. SUBSEQUENT EVENTS ................................................................................................................ 50
Consolidated Summary Interim Financial Statements (In thousands of euros) The accompanying notes are an integral part of the Condensed Consolidated Interim Financial Statements as of June 30, 2026 ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 3
CONSOLIDATED SUMMARY INTERIM BALANCE SHEET AS OF JUNE 30, 2026
ASSETS Notes 06/30/2026 12/31/2025
NON-CURRENT ASSETS:
Goodwill 9 66,995 19,507 Other Intangible Assets 10 35,675 34,186 Property, plant, and equipment 11 57,539 48,407 Investment property - 130 Right-of-use assets 12 36,881 31,361 Investments accounted for using the equity method 14 15,517 11,831 Non-current financial assets 13 5,524 1,788 Deferred tax assets 23 38,820 35,894
TOTAL NONCURRENT ASSETS 256,951 183,104
CURRENT ASSETS:
Inventory 15 108,090 84,364 Trade receivables and other accounts receivable 16 121,439 106,518 Accounts receivable from sales and services rendered 88,869 71,460 Other accounts receivable 32,570 35,058 Current financial assets 13 13,075 24,590 Other current assets 1,546 989 Cash and Other Liquid Assets 17 87,279 67,876
TOTAL CURRENT ASSETS 331,429 284,337
TOTAL ASSETS 588,380 467,441
Consolidated Summary Interim Financial Statements (In thousands of euros) The accompanying notes are an integral part of the Condensed Consolidated Interim Financial Statements as of June 30, 2026 ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 4
CONSOLIDATED SUMMARY INTERIM BALANCE SHEET AS OF JUNE 30, 2026
NET EQUITY AND LIABILITIES Notes 06/30/2026 12/31/2025
NET EQUITY:
Equity attributable to the owners of the parent company 157,982 111,876 Equity 173,961 133,018 Share capital 18.1 5,810 5,709 Treasury stock 18.3 (1,219) (694) Share premium 83,412 50,180 Retained earnings 55,400 32,536 Net income for the year attributable to the parent company 30,558 45,287 Currency translation adjustments 18.4 (16,470) (21,855) Value adjustment 491 713 External partners 10,713 8,465
TOTAL NET EQUITY 168,695 120,341
NON-CURRENT LIABILITIES:
Deferred Revenue 3,338 2,760 Non-current provisions 20 7,981 9,462 Non-current financial liabilities 13 123,451 89,339 Debts to financial institutions22.1 and
22.252,694 44,581
Leases 12 32,270 27,137 Other financial liabilities 22.3 38,487 17,621 Deferred tax liabilities 23 10,524 10,125
TOTAL NON-CURRENT LIABILITIES 145,294 111,686
CURRENT LIABILITIES:
Current provisions 20 5,172 656 Current financial liabilities 13 62,425 60,498 Debts to credit institutions, bonds, and other securities22.1 and
22.242,863 39,619
negotiable22.1 and
22.2
Leases 12 5,086 4,369 Other financial liabilities 22.3 14,476 16,510 Trade payables and other accounts payable 21 206,794 174,260 Trade suppliers 86,129 65,471 Other accounts payable 112,901 101,232 Current tax liabilities 7,764 7,557
TOTAL CURRENT LIABILITIES 274,391 235,414
TOTAL EQUITY AND LIABILITIES 588,380 467,441
Consolidated Summary Interim Financial Statements (In thousands of euros) The accompanying notes are an integral part of the Condensed Consolidated Interim Financial Statements as of June 30, 2026 ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 5
CONSOLIDATED SUMMARY INTERIM INCOME STATEMENT FOR THE SIX-MONTH PERIOD
ENDED JUNE 30, 2026
Notes 06/30/2026 06/30/2025
CONTINUING OPERATIONS:
Net Revenue 8 277,887 250,980 Other operating income 3,326 673 Change in inventory of finished goods and work in progress 24.1 10,066 742 Work Performed by the Group for Its Own Use 3,962 2,778 Purchases 24.1 (134,070) (123,461) Personnel expenses 24.2 (68,318) (60,101) Other operating expenses (42,229) (32,417) Depreciation and impairment of fixed assets 10, 11, 12 (8,708) (8,090) Other income/expenses 435 469
OPERATING INCOME 42,351 31,573
Financial Income 757 639 Financial expenses (2,944) (3,332) Finance expenses from leases (900) (890) Revaluation of provisions and net foreign exchange gain or loss 845 1,566 Gain or loss on changes in value or disposal of financial instruments (951) 405 Foreign exchange differences (469) (3,413)
FINANCIAL RESULT 24.3 (3,662) (5,025)
Income from entities accounted for using the equity method 14 (540) 805
INCOME BEFORE TAXES 38,149 27,353
Income Tax 23 (6,013) (4,991)
NET INCOME FROM CONTINUING OPERATIONS (NET OF TAXES) 32,136 22,362
NET INCOME FROM DISCONTINUED OPERATIONS (NET OF TAXES) 27 112 280
CONSOLIDATED NET INCOME FOR THE YEAR 32,248 22,642
Net Income Attributable to the Parent Company 30,558 21,175 Net income attributable to minority interests 1,690 1,467
EARNINGS PER SHARE (in euros) 0.54 0.37
Basic earnings from continuing operations 19 0.54 0.36 Diluted from continuing operations 19 0.54 0.36 Basic/Diluted from discontinued operations 19 0.00 0.01
Consolidated Summary Interim Financial Statements (In thousands of euros) The accompanying notes are an integral part of the Condensed Consolidated Interim Financial Statements as of June 30, 2026 ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 6
CONSOLIDATED SUMMARY INTERIM STATEMENT OF COMPREHENSIVE INCOME FOR
THE SIX-MONTH PERIOD ENDED JUNE 30, 2026
Notes June 30, 2026 06/30/2025
CONSOLIDATED NET INCOME FOR THE PERIOD 32,248 22,642
OTHER COMPREHENSIVE INCOME FOR THE YEAR:
Items that may be reclassified to net income in subsequent periods 6,450 (7,758) Parent Company 5,892 (5,857) Equity instruments with changes in other comprehensive income 37 -
Translation differences 18.4 5,385 (6,318) Cash flow hedges 624 700 Tax effect (154) (239) Minority interests 558 (1,901) Currency translation adjustments 556 (881) Cash flow hedges 22 10 Dividends - (1,010) Other comprehensive income for the period (20) (20) Items that cannot be reclassified to other comprehensive income - -
Items reclassified to net income for the year (728) 623 Equity instruments with changes in other comprehensive income 24.3 (40) -
Cash flow hedges (918) 820 Tax effect 230 (197)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR, NET OF TAXES 37,969 15,507
Attributable to the Parent Company 35,721 15,941 Attributable to Minority Interests 2,248 (434)
Consolidated Summary Interim Financial Statements (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 7
CONSOLIDATED SUMMARY INTERIM STATEMENT OF CHANGES IN NET ASSETS FOR THE SIX-MONTH PERIOD ENDED JUNE 30, 2026
Net equity attributable to the owners of the parent company
Share
capital
(Note 18.1)Treasury
stock
(Note 18.3)Share
premiumRetained
earningsNet income for the year attributable to the parent companyCurrency
translation
adjustments
(Note 18.4)Adjustments for
changes in
valueMinority Interest TOTAL
BALANCE AS OF JANUARY 1, 2025 5,709 (575) 50,180 18,092 23,421 (15,777) (510) 7,832 88,372
Total comprehensive income for the first half of 2025 - - - - 21,175 (6,318) 1,084 (434) 15,507 Dividends (Note 18.2) - - - (9,434) - - - - (9,434) Transactions involving treasury stock (Note 18.3) - (15) - 257 - - - - 242 Allocation of Consolidated Net Income for Fiscal Year 2024 - - - 23,421 (23,421) - - - -
Impact of Hyperinflation in Argentina - - - 314 - - - - 314 Impact of Hyperinflation in Turkey - - - (2,142) - - - - (2,142) Other transactions - - - (192) - - - - (192)
BALANCE AS OF JUNE 30, 2025 5,709 (590) 50,180 30,316 21,175 (22,095) 574 7,398 92,667
BALANCE AS OF JANUARY 1, 2026 5,709 (694) 50,180 32,536 45,287 (21,855) 713 8,465 120,341
Total comprehensive income for the first half of 2026 - - - - 30,558 5,385 (222) 2,248 37,969 Dividends (Note 18.2) - - - (22,644) - - - - (22,644) Capital increase (Note 18.1) 101 - 33,232 (645) - - - - 32,688 Transactions involving treasury stock (Note 18.3) - (525) - 558 - - - - 33 Allocation of Consolidated Net Income for Fiscal Year 2025 - - - 45,287 (45,287) - - - -
Impact of Hyperinflation in Argentina - - - 655 - - - - 655 Impact of Hyperinflation in Turkey - - - (418) - - - - (418) Other transactions - - - 71 - - - - 71
BALANCE AS OF JUNE 30, 2026 5,810 (1,219) 83,412 55,400 30,558 (16,470) 491 10,713 168,695
Consolidated Summary Interim Financial Statements (In thousands of euros) 8
CONSOLIDATED SUMMARY INTERIM CASH FLOW STATEMENT FOR THE SIX-MONTH
PERIOD ENDED JUNE 30, 2026
Notes June 30, 2026 06/30/2025
CASH FLOWS FROM OPERATING ACTIVITIES
Income from continuing operations before taxes 38,149 27,353 Adjustments to net income 13,911 12,795 Depreciation and impairment of fixed assets 10, 11, 12 8,708 8,090 Impairment adjustments (10) (80) Change in provisions 20 3,035 3,790 Financial income and expenses and revaluation of provisions 3,249 3,993 Net monetary gain or loss 24.3 (1,007) (1,976) Other income/expenses (604) (217) Income from investments accounted for using the equity method 540 (805) Changes in working capital (9,459) (4,386) Other cash flows from operating activities (7,110) (12,584) Interest payments (3,108) (4,376) Interest received 757 639 Income tax receipts (payments) (4,759) (8,847)
CASH FLOWS FROM OPERATING ACTIVITIES 35,491 23,178
CASH FLOWS FROM INVESTING ACTIVITIES
Payments for investments (78,740) (30,059) Intangible assets 10 (5,211) (4,083) Property, plant, and equipment 11 (11,474) (2,957) Other financial assets (8,702) (13,780) Acquisition of group companies, associates, and jointly controlled entities 2 (53,353) (9,239)-
Proceeds from divestitures 17,402 7,900 Property, plant, and equipment (87) -
Other financial assets 17,489 7,900
CASH FLOWS FROM INVESTING ACTIVITIES (61,338) (22,159)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds and payments from equity instruments 12,077 (9,252) Acquisition of equity instruments 18.3 (525) (16) Issuance of equity instruments 18.1 32,688 -
Dividends Paid 18.2 (22,644) (9,434) Grants, donations, and bequests received 2,558 198 Receipts and payments related to financial liability instruments 33,173 (5,959)
Issuance
Bonds and other marketable securities 22.2 16,500 15,000 Debts to financial institutions 28,583 26,851 Other liabilities 25,476 8,035 Refunds and amortization of Bonds and other marketable securities 22.2 (15,500) (15,300) Debts to financial institutions (17,225) (19,476) Other liabilities (4,661) (21,069)
CASH FLOWS FROM FINANCING ACTIVITIES 45,250 (15,211)
NET INCREASE / (DECREASE) IN CASH OR CASH EQUIVALENTS 19,403 (14,192)
Cash and cash equivalents at the beginning of the fiscal year 17 67,876 87,984 Cash and cash equivalents at the end of the fiscal year 17 87,279 73,792
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 9
1. GROUP ACTIVITIES
Arteche Lantegi Elkartea, S.A. (hereinafter, the “Company,” the “Parent Company,” or “ARTECHE”), incorporated and having its registered office and tax domicile in Mungia (Bizkaia), Derio Bidea, No. 28, is the parent company of a group of companies that currently operates as a leading manufacturer and supplier of technologically advanced products, installations, and services in the energy sector.
ARTECHE conducts its business both in Spain and abroad, either directly, in whole or in part, or through ownership of shares or equity interests in other companies. The ARTECHE Group operates primarily in ten countries: Spain, Mexico, the United States, Brazil, Argentina, Turkey, China, Australia, Indonesia, and Germany.
The articles of incorporation and other public information are available on the company’s website (www.arteche.com).
Admission to trading on the Spanish Main Market From June 11, 2021, through January 30, 2026, the Parent Company’s shares have been listed on the BME Growth trading segment of BME MTF Equity (multilateral trading facility).
Following a review of the documentation submitted by the Company, the National Securities Market Commission (CNMV) has verified compliance with the requirements necessary for the admission to trading of all shares representing the Company’s share capital on the Madrid, Barcelona, Bilbao, and Valencia Stock Exchanges through the Spanish Stock Exchange Interconnection System (SIBE).
Therefore, as of February 2, 2026, these shares have been admitted to trading on the Spanish stock exchanges through the SIBE, having previously been delisted from BME Growth.
Group Structure
The list of companies comprising the ARTECHE Group, along with the parent company’s total ownership percentages (direct and/or indirect) as of June 30, 2026, as well as the management and activities of each company included in the scope of consolidation, is as follows:
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 10 Arteche Lantegi Elkartea, S.A.’s direct indirect Registered Office Business Fully consolidated subsidiaries:
Electrotécnica Arteche Hermanos, S.L. 0.01% 99.99% Mungia (Bizkaia)Sale and manufacture of electrical equipment.
Electrotécnica Arteche Smart Grid, S.L.U. - 100.00% Mungia (Bizkaia)Sale and manufacture of electrical equipment.
Inversiones Zabalondo, S.L. 99.98% 0.02% Mungia (Bizkaia)Management of the Group’s real estate assets .
Arteche Instrument Transformers, S.L. 99.98% 0.02% Mungia (Bizkaia) Shareholding .
Arteche Smart Grid, S.L.U. 100.00% - Mungia (Bizkaia) Shareholding.
Arteche Turnkey Solutions, S.A. 99.99% 0.01% Mungia (Bizkaia) Shareholding .
Arteche Technology Center, A.I.E. 90.00% 10.00% Mungia (Bizkaia) R&D .
Arteche North America, S.A. de C.V. - 100.00% Tepeji del Río (Mexico)Purchase, sale, and manufacture of electrical appliances.
AIT, S.A. 0.11% 99.89% Córdoba (Argentina)Sale and manufacture of electrical appliances.
Arteche EDC Equipamientos e Sistemas, S.A. - 100.00% Curitiba (Brazil)Sale and manufacture of electrical appliances.
Arteche USA, Inc. - 100.00%Pembroke Pines (United States)Marketing of electrical appliances.
Arteche ACP do Brasil Ltda 0.02% 99.98% Curitiba (Brazil)Purchase, sale, and manufacture of electrical appliances.
Arteche DYH Electric Co., Ltd. - 60.00% Dalian (China)Sale and manufacture of electrical appliances.
Arteche -Inael, S.L. - 56.00% Mungia (Bizkaia) Shareholding .
Smart Digital Optics Pty. - 100.00% Sydney (Australia) Manufacture of electrical appliances.
Arteche & Inael Industrial Elétrica Ltda - 56.00% State of Paraná (Brazil)Sale and manufacture of electrical appliances.
SAC Maker, S.A.U. - 100.00% Las Rozas (Madrid)Sale and manufacture of electrical appliances.
Arteche Ventures, S.L. 99.80% 0.20% Mungia (Bizkaia) Shareholding .
Arteche ACP, S.A. de C.V. 0.01% 99.99% Naucalpan de Juárez (Mexico)Purchase, sale, and manufacture of electrical appliances.
Arteche Chile, S.p.A - 100.00% Santiago, Chile (Chile) Shareholding .
Esitaş Elektrik Sanayi ve Ticaret A. Ş - 100.00% Istanbul (Turkey)Sale and manufacture of electrical equipment.
PT Esita ş Pacific - 100.00% Cikarang, Bekasi (Indonesia)Purchase, sale, and manufacture of electrical appliances.
Arteche Germany GmbH - 100.00% Germany Marketing of electrical appliances.
Arteche UK, Ltd - 100.00% West Sussex (United Kingdom) Sales of electrical appliances.
Arteche Andina, S.A.S. - 100.00% Bogotá (Colombia) Sales of electrical appliances.
Arteche Power Technology (Shanghai) Co., Ltd. - 100.00% Shanghai (China) Sales of electrical equipment.
Arteche Smart Grid India, PL - 100.00% Bangalore (India) Sales of electrical equipment.
Arteche Middle East J.L.T. - 100.00% Dubai (UAE) Sales of electrical appliances.
RTR Energía, S.L. - 100.00% Pinto (Madrid)Purchase, sale, and manufacture of electrical equipment.
Arteche Power Solutions Canada - 100.00% Montreal (Canada) Marketing of electrical equipment.
SEG Electronics GmbH - 100.00% Kempen (Germany) Manufacture of electrical appliances.
SEG Power System Trading L.L.C. S.O.C. - 100.00% Dubai (UAE) Marketing of electrical appliances.
SEG Electronics Inc. - 100.00% Loveland (United States) Sales of electrical appliances.
Consolidated using the equity method:
Arteche Hitachi Energy Instrument Transformers, S.L.- 51.00% Vitoria (Álava)Sale and manufacture of electrical equipment.
Arin Technologies S.L. - 54.00% Mungia (Bizkaia)Sale and manufacture of electrical appliances.
Amets Power Electronics, S.L. - 50.00% Mungia (Bizkaia)Sale and manufacture of electrical equipment.
Teraloop Oy - 10.00% Espoo (Finland) Manufacture of flywheels .
Uptech Sensing, S.L. - 35.00% Aranguren (Navarre) Manufacture of electrical equipment.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 11
Business Performance
Order Intake
Contracts totaled €338.0 million, representing a 15.7% increase compared to the same period last year, with significant growth in the EMEA and NAM regions.
Revenue
Revenue for the half-year totaled 277.9 million euros, representing a 10.7% increase compared to the same period last year, once again outpacing market growth. At constant exchange rates, growth would have been even higher, taking into account the impact of exchange rates for the U.S. dollar, the Mexican peso, and the Turkish lira.
By region:
APAC – Asia: +17.3%, consolidating its position as a key region in the strategic plan.
EMEA – Domestic, Europe, Africa, and the Middle East: +18.8%, maintaining its leadership position with 44.8% of total revenue.
NAM - North America: +5.9%, the second-largest region by revenue.
LATAM - Latin America: -8.6%, due primarily to framework contracts for reclosers.
By business lines:
Metering and Monitoring: +11.2%. To meet demand, capacity is being expanded by 20%. In addition, the new plant in Mungia has opened, and construction has begun on the new factory in China.
T&D Grid Automation: +13.3% in revenue. The acquisition of SEG Electronics was completed during the period, expanding the business unit’s potential market and product portfolio.
Grid Reliability: +3.5%: The company has begun offering customized solutions optimized for green hydrogen projects, and it also expects to increase its portfolio and revenue from reclosers in the second half of the year.
Gross Margin
The gross margin stands at 120.1 million euros, a 30.4% increase compared to the first half of 2025, representing 40.9% of sales (+380 basis points). This improvement is primarily due to internal efficiency gains and, above all, the product mix.
EBITDA
EBITDA reached 51.1 million euros, representing a 29.2% increase compared to the first half of 2025.
The EBITDA-to-revenue ratio stood at 18.4%, exceeding the targets set out in the 24-26 strategic plan.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 12 Net Income Attributable to the Parent Company Net income totaled 30.6 million euros in the first half of 2026, representing a 44.3% increase compared to the first half of 2025. This result is primarily driven by business growth and improved operational efficiency, which boosted operating income by 34% compared to the first half of 2025, as well as by an improvement in financial results.
This translates to earnings per share of €0.54, reflecting the success of the strategy and the strength of the results.
Financial Position: Solvency and Indebtedness The Financial Debt/EBITDA ratio stands at 0.5x EBITDA, compared to 0.3x in December 2025, maintaining a solid financial position well below the target set in the plan, which leaves the Group in an optimal position to continue with the organic and inorganic growth outlined in the Strategic Plan. Capex for the half-year totaled 14.1 million euros, allocated to maintenance, R&D, and capacity expansion, with significant investments in Mexico, China, and the Basque Country.
Free cash flow reached 21.9 million euros, equivalent to a conversion ratio of 43% of EBITDA. Net debt stood at 46.1 million euros, with a diversified structure: 55% bank debt, 34% institutional debt, and 11% in a commercial paper program. Seventy-nine percent of the loans are fixed-rate or hedged, with an average cost of 3.6% and an average maturity of 4.2 years (4.9 years when considering undrawn lines of credit).
This performance confirms the Group’s strength and commitment to creating sustainable value and fulfilling its strategic plan.
Conclusion
In the first half of 2026, the Group posted solid growth in sales, margins, and earnings, along with record new business and a robust financial position. These achievements reinforce confidence that the Group will meet—and even exceed—the targets set out in the strategic plan through 2026.
Changes in the Scope of Consolidation The main changes for fiscal years 2026 and 2025 are as follows:
Six-month period ended June 30, 2026 On March 18, 2026, the ARTECHE Group, through its subsidiary Arteche Smart Grid, S.L.U., acquired a 25% stake in Uptech Sensing, S.L., a Navarre-based company and international leader in distributed optical sensors and smart monitoring systems, for an amount of 2,725 thousand euros as of the acquisition date, paid in full on the date of purchase with no deferred payments. On the same day, Uptech Sensing, S.L. carried out a capital increase of 1,500 thousand euros, in which only Arteche Smart Grid, S.L.U. participated and paid up, increasing its stake to 35%. This company is consolidated using the equity method.
On June 12, 2026, the ARTECHE Group, through its subsidiary Arteche Smart Grid, S.L.U., acquired all of the shares of SEG Electronics GmbH, a German company specializing in medium-voltage protection relays for power grids, for an amount of 50,553 thousand euros as of the acquisition date, paid in full on the date of purchase with no deferred payments. The transaction includes its subsidiaries in the United States (SEG Electronics Inc.) and the United Arab Emirates ( , SEG Power System Trading L.L.C. S.O.C.). The acquisition is described in Note 2, “Business Combinations.” In the first half of 2026, there were no further changes in the scope of consolidation.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 13 Six-month period ended June 30, 2025 On June 17, 2025, the ARTECHE Group, through its subsidiary Arteche Smart Grid, S.L., acquired all of the shares of RTR Energía, S.L. for an amount of 10,597 thousand euros as of the acquisition date, paid in full on the date of purchase with no deferred payments. The acquisition is described in Note 2,
“Business Combinations.”
On June 26, 2025, the Arteche Group incorporated Arin Technologies, S.L. Subsequently, on October 2, 2025, Elewit, S.A. (Redeia Group) acquired an equity interest in that company with the aim of forming a joint venture to develop a multiservice platform for substation virtualization, remote control, and asset management. The Arteche Group holds a 54.15% stake, with the remaining 45.85% held by Elewit, S.A. (Redeia Group), and the company has been consolidated using the equity method since that date.
On June 26, 2025, the Arteche Group (holding 50.0% of the equity), Ikerlan S. Coop. (holding 9.48% of the equity), and Mondragón Inversiones S. Coop. (holding 40.52% of the share capital) established Amets Power Electronics, S.L., a joint venture for the development and marketing of power electronics solutions geared toward applications in power grids, renewable energy, and heavy industry. This company is consolidated using the equity method.
In the first half of 2025, there were no further changes in the scope of consolidation .
2. BUSINESS COMBINATIONS
Six-month period ended June 30, 2026 The business combination to acquire control of the SEG Group, relating to 100% of the corresponding equity interest in SEG Electronics GmbH and its subsidiaries in the United States and the United Arab Emirates (SEG Electronics Inc. and SEG Power System Trading L.L.C. S.O.C., respectively), as well as the details of the assets and liabilities arising from the transaction, are summarized below:
Thousands of euros Note Cost Other intangible assets 10 125 Property, plant, and equipment 11 437 Right-of-use assets 12 1,929 Deferred tax assets 1,052
Inventory 2,572
Trade receivables and other accounts receivable 1,970 Other current assets 24 Cash and other cash equivalents 1,426 Acquired assets 9,535 Non-current financial liabilities (1,504) Non-current provisions 20 (615) Deferred tax liabilities (512) Current provisions 20 (674) Current financial liabilities (309) Trade payables and other accounts payable (2,734) Acquired liabilities (6,348) Net assets acquired 3,187 Purchase price 50,553 Fair value of net assets acquired (3,187) Goodwill 9 47,366 The cash flow from the transaction was as follows:
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 14 Consideration paid 50,553 Cash and cash equivalents in the acquired subsidiary (1,426) Cash outflow / (inflow) from the acquisition 49,127 The goodwill arising from the acquisition has been attributed to the future profitability of the acquired business and the synergies expected to be realized after the acquisition by the Group and once the business has been aligned with the Group’s management model.
As of June 30, 2026, no significant adjustments have been recognized in the fair value measurement of assets and liabilities, as the purchase price allocation process is still in progress. The fair value of the machinery and the remaining operating assets has been assessed based on internal reviews.
The analysis of the business combination, as well as the process of allocating the purchase price to the values of the acquired assets and liabilities, has not been fully completed; as it is currently in the interim accounting phase, it is expected to be completed during the second half of 2026. The main items that could be affected are certain intangibles such as technology, brand, or the customer portfolio.
The net revenue, operating income, and net income after taxes contributed by this business combination as of June 30, 2026, amounted to 1,598 thousand euros, a positive 119 thousand euros, and a positive 46 thousand euros, respectively.
If the acquisition had taken place on January 1, 2026, the net revenue, operating income, and net income after taxes contributed by this business combination as of June 30, 2026, would have amounted to 9,897 thousand euros, a positive 1,082 thousand euros, and a positive 655 thousand euros, respectively. Transaction costs were not material.
Six-month period ended June 30, 2025 The business combination to acquire control of RTR Energía, S.L., relating to 100% of the corresponding equity interest, as well as the breakdown of assets and liabilities arising from the
acquisition:
Thousands of euros Note Cost Fair value Other intangible assets 10 92 2,632 Property, plant, and equipment 11 584 584 Right-of-use assets 12 3,426 3,426 Non-current financial assets 613 613 Deferred tax assets 21 21 Inventory 2,514 2,740 Trade receivables and other accounts receivable 1,945 1,945 Current financial assets 14 14 Other current assets 2 2 Cash and other cash equivalents 1,358 1,358 Acquired assets 10,569 13,335 Non-current financial liabilities (3,960) (3,960) Current financial liabilities (172) (172) Deferred tax liabilities - (471) Trade payables and other accounts payable (1,710) (1,666) Acquired liabilities (5,842) (6,269) Net assets acquired 4,727 7,066 Purchase price 10,597 Fair value of net assets acquired (7,066) Goodwill 9 3,531
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 15 The cash flow from the transaction was as follows:
Consideration paid 10,597 Cash and cash equivalents in the acquired subsidiary (1,358) Cash outflow / (inflow) from the acquisition 9,239 The goodwill arising from the acquisition was attributed to the future profitability of the acquired business and the synergies expected to be realized after the acquisition by the Group and once the business has been adapted to the Group’s management model.
The fair value of the acquired assets and liabilities was assessed in accordance with an independent expert’s report. The fair value of the machinery and other operating assets was assessed based on internal reviews. The fair value of intangible assets (brand, patents, and customer relationships) was determined using discounted cash flow and royalty methods, taking into account the useful lives of the assets. Additionally, an adjustment of 226 thousand euros was recognized in the valuation of inventory at fair value in addition to the year-end 2025 balance.
The net revenue contributed by this business combination in fiscal year 2025 was 6,134 thousand euros, with operating income and net income after taxes being immaterial.
If the acquisition had taken place on January 1, 2025, the net revenue contributed by this business combination in 2025 would have amounted to 10,265 thousand euros, with operating income and net income after taxes being immaterial. Transaction costs were immaterial.
3. BASIS OF PRESENTATION
These Condensed Consolidated Interim Financial Statements were prepared by the Directors of the Parent Company on July 27, 2026, based on the accounting records of Arteche Lantegi Elkartea, S.A.
and the companies included in the Group, and were prepared in accordance with International Financial Reporting Standards, and in particular with IAS 34 “Interim Financial Statements,” as adopted by the European Union (IFRS-EU). In accordance with the provisions of that standard, the interim financial information is prepared solely for the purpose of updating the content of the Group’s most recent consolidated annual financial statements, emphasizing new activities, events, and circumstances that occurred during the half-year and avoiding duplication of information previously disclosed in the consolidated annual financial statements for fiscal year 2025. Therefore, and given that these financial statements do not contain all the information required for the preparation of annual financial statements, they should be read in conjunction with the consolidated annual financial statements for the fiscal year ended December 31, 2025, prepared in accordance with IFRS-EU.
4. RELEVANT ACCOUNTING PRINCIPLES
The accounting policies used in the preparation of these Condensed Consolidated Interim Financial Statements are the same as those applied in the consolidated annual financial statements for the fiscal year ended December 31, 2025, under EU-IFRS, since none of the standards, interpretations, or amendments applicable for the first time in this fiscal year have had an impact on the Group’s accounting policies.
The Group intends to adopt the standards, interpretations, and amendments to standards issued by the IASB—which are not mandatory in the European Union—when they become effective, if they are applicable to the Group.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 16 The Group is analyzing and interpreting the potential effects of applying IFRS 18 on the presentation of its Condensed Consolidated Interim Financial Statements. As of the date of preparation of these statements, it is estimated that the main changes will occur in the structure of the Consolidated Statement of Income, with the inclusion of new subtotals and reclassifications of items in the Consolidated Statement of Income.
5. SEASONALITY OF TRANSACTIONS DURING THE INTERIM PERIOD
The ARTECHE Group’s business is not subject to seasonality; therefore, sales are distributed evenly throughout the fiscal year.
6. RELEVANT ACCOUNTING JUDGMENTS AND ESTIMATES USED
The preparation of the Condensed Consolidated Interim Financial Statements in accordance with IFRS-
EU requires the application of relevant accounting estimates and the exercise of judgment, estimates, and assumptions in the process of applying the Group’s accounting policies.
Although the estimates made by ARTECHE’s management have been calculated based on the best information available as of June 30, 2026, it is possible that future events may require their modification in subsequent fiscal years. The effect of any modifications resulting from adjustments to be made in subsequent fiscal years would be recognized prospectively.
The criteria used to calculate the estimates included in this interim financial report are, where applicable, consistent with those used in the preparation of the ARTECHE Group’s Consolidated Financial Statements for the twelve-month period ended December 31, 2025.
The Group’s business is primarily export-oriented, so changes in international trade regulations could affect the Group’s competitiveness. The current U.S. administration and the reactions of other countries to this development pose a risk of uncertainty in global markets due to potential tariffs that may be imposed on companies in certain markets. In the face of these disruptive events, the Group has demonstrated resilience and the ability to adapt its business strategy over the past few fiscal years; therefore, it does not expect significantly affect its competitive capacity.
7. LIQUIDITY AND DEBT RISK
Liquidity Risk
The management of financial risks—including market, liquidity, credit, and commodity price risks—that affect the Group’s financial position remains consistent with the disclosures in the ARTECHE Group’s Consolidated Financial Statements prepared in accordance with EU-IFRS for the fiscal year ended December 31, 2025.
The Group’s Treasury Department monitors forecasts of the Group’s liquidity needs to ensure that it has sufficient cash to meet operational requirements, while maintaining sufficient access to credit facilities and ensuring compliance with the limits and ratios (“covenants”) established in the Group’s main loans.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 17 The Group’s liquidity policy ensures compliance with its payment obligations without having to resort to raising funds under onerous terms. To this end, various management measures are employed, such as maintaining committed credit facilities with sufficient amounts and flexibility, diversifying the coverage of financing needs through access to different markets and geographic areas, and diversifying the maturities of issued debt. Additionally, depending on liquidity needs, the Group utilizes liquidity management instruments (non-recourse factoring and commercial paper discounting).
The Finance Department periodically monitors forecasts of the Group’s liquidity needs to ensure that it has sufficient cash to meet operational requirements and that it maintains sufficient availability of credit facilities, as well as monitoring net financial debt.
Thousands of euros
06/30/2026 12/31/2025
Gross financial debt (*) 143,832 111,941 Debts to financial institutions (including finance leases and excluding accrued interest) (Note 22.1)80,131 69,783 Syndicated loan 2,438 4,876 Other financial institutions 77,693 64,907 Other financial liabilities (Notes 22.2 and 22.3) 63,701 42,158 Alternative Fixed -Income Market (MARF) 15,500 14,500 European Investment Bank (EIB) 23,267 11,583 Official Credit Institute (ICO) 14,000 4,000 Cofides 10,167 11,383 Others (excluding suppliers of fixed assets) 767 692 Cash and cash equivalents (97,772) (89,186) Cash and other cash equivalents (Note 17) (87,279) (67,876) Other liquid assets (10,493) (21,310) Net financial debt (*) 46,060 22,755 Undrawn EIB and ICO tranches 33,000 58,000 Immediately available long-term funds 33,000 58,000 Credit lines 22,895 23,866 Undrawn bill discounting and import financing 2,250 2,264 Not provided MARF promissory note program 34,500 35,500 Immediately available short-term funds 59,645 61,630 Cash and cash equivalents 92,645 119,630 (*) Annex I includes a reconciliation of the Alternative Performance Measures.
Additionally, as of June 30, 2026, the Group had non-recourse factoring lines authorized by various financial institutions totaling 50,000 thousand euros (50,000 thousand euros in 2025), as well as supplier payment management lines totaling 79,055 thousand euros (75,953 thousand euros as of December 31, 2025). The non-recourse factored balances as of June 30, 2026, amounted to 12,353 thousand euros (12,107 thousand euros as of December 31, 2025).
Reverse factoring or confirming agreements The Group has entered into payment management agreements with various credit institutions for creditors/suppliers, enabling them to settle their invoices with a bank in advance. This is a form of reverse factoring designed to provide financing services by allowing creditors/suppliers to collect payment from a bank prior to the due date for invoices issued to the Group.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 18 Under these agreements, the Group has no economic interest in creditors/suppliers entering into reverse factoring. The Group’s obligations to creditors/suppliers, including amounts due and agreed-
upon payment terms, are not affected by the creditors’/suppliers’ decision to opt for early collection under these agreements.
The reverse factoring agreements entered into by the Group do not provide for additional guarantees granted to financial institutions, changes in interest rates, or modifications to the payment terms of the debts with respect to the agreed-upon conditions. As of June 30, 2026, outstanding reverse factoring agreements amount to 33,846 thousand euros (25,198 thousand euros as of December 31, 2025) in relation to the liability classified under the heading “Trade Payables.”
Debt Risk
The Group’s objectives regarding capital management are to safeguard its ability to continue as a going concern, to generate returns for shareholders, and to maintain an optimal capital structure while reducing the cost of capital.
The Group monitors its capital based on the leverage ratio and the Net Financial Debt/EBITDA ratio.
06/30/2026 12/31/2025
Net financial debt (*) 46,060 22,755 Net equity 168,695 120,341 Leverage ratio 0.27 0.19 Net financial debt 46,060 22,755
TAM EBITDA (*) 92,035 80,476
Net Financial Debt / EBITDA 0.5 0.28 (*) Appendix I includes a reconciliation of the Alternative Performance Measures.
Financial solvency indicators demonstrate the ARTECHE Group’s financial capacity and the stability of its equity position.
The core of the financing structure consists of syndicated financing and various long-term bilateral loans, commercial paper issuances on the MARF, and financing from official institutions such as the EIB, ICO, and Cofides, highlighting an adequate diversification of funding sources.
Certain loans contain specific compliance clauses with commitments linked to certain financial covenants, which are standard in the market. As of the closing date of June 30, 2026, these commitments have been met. The Group’s management monitors the evolution of debt based on
several indicators:
Net Financial Debt / EBITDA Net Financial Debt / Equity EBITDA / Interest Expense
8. FINANCIAL INFORMATION BY SEGMENT
There have been no changes in the basis of segmentation or in the basis for measuring segment profit or loss compared to the Consolidated Financial Statements for fiscal year 2025.
The Group has identified the following segments:
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 19 “Measurement & Monitoring Systems,” which includes the sale of transformers up to 800 kV, digital metering, and sensors “Network Reliability,” which encompasses power quality and reclosers “Transmission & Distribution Grid Automation,” which encompasses the manufacturing and marketing of relays, railway relays, grid automation, and electrical systems The Group manages the operating segments corresponding to continuing operations based primarily on the performance of each segment’s key financial indicators , such as net revenue and operating income, whereas financial income and expenses, as well as income tax expense and the allocation of earnings to minority interests, are analyzed collectively at the Group level, since they are managed centrally.
The following table provides a breakdown of the consolidated results for the six-month periods ended June 30, 2026, and 2025, for each of the business units in which the Group operates:
System
Measurement and
MonitoringTransmission and
Distribution
Network
AutomationGrid
ReliabilityTotal
As of June 30, 2026 Revenue –total 200,620 50,240 28,542 279,402 Revenue –intersegment (*) (301) (1,196) (18) (1,515) Net revenue –external 200,319 49,044 28,524 277,887 Change in inventory 10,692 (332) (294) 10,066 Work performed by the group for its own assets 1,494 2,468 - 3,962 Purchases (99,469) (17,140) (17,461) (134,070) Other operating income 3,092 134 100 3,326 Personnel expenses (48,857) (13,963) (5,498) (68,318) Other operating expenses (31,650) (6,404) (4,175) (42,229) Depreciation and impairment of fixed assets (5,248) (2,629) (831) (8,708) Other income/expenses 288 253 (106) 435 Operating income 30,661 11,431 259 42,351
EBITDA 35,909 14,060 1,089 51,058
System
Measurement and
MonitoringAutomation of
Transmission and
Distribution
NetworksGrid
ReliabilityTotal
As of June 30, 2025 Revenue –Total 180,268 45,071 28,275 253,614 Revenue –intersegment (*) (132) (1,790) (712) (2,634) Net revenue –external 180,136 43,281 27,563 250,980 Change in inventory 1,002 497 (757) 742 Work performed by the group for its own assets 1,202 1,462 114 2,778 Purchases (89,757) (16,879) (16,825) (123,461) Other operating income 641 29 3 673 Personnel expenses (42,605) (13,264) (4,232) (60,101) Other operating expenses (24,026) (5,113) (3,278) (32,417) Depreciation and impairment of fixed assets (5,614) (2,133) (343) (8,090) Other income/expenses 195 236 38 469 Operating income 21,174 8,116 2,283 31,573
EBITDA 27,553 10,554 2,513 40,620
(*) The offsetting account for intersegment transactions is “Purchases.” In this table, purchases are presented as consolidated balances, that is, with intersegment transactions eliminated.
No breakdown of the balance sheet by segment is provided, as it is not regularly presented to the Board of Directors.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 20 The breakdown of the Group’s net revenue from continuing operations by geographic market for the six-month periods ended June 30, 2026, and 2025 is as follows:
Thousands of euros
06/30/2026 06/30/2025
Segmentation by Geographic Markets (*) Domestic – EMEA 42,337 42,334 Rest of Europe, Africa, and the Middle East – EMEA 82,235 62,547 North America – NAM 80,965 76,443 Latin America – LATAM 32,915 36,024 Asia – APAC 39,435 33,632
277,887 250,980
(*) EMEA includes the “Domestic” and “Rest of Europe, Africa, and the Middle East” markets. NAM (Mexico, the U.S., and Canada), APAC (Asia-Pacific and Turkey), LATAM (Central and South America).
9. IMPAIRMENT AND ALLOCATION OF GOODWILL TO BUSINESS UNITS
The Group annually assesses the impairment of its goodwill and periodically analyzes indicators of impairment, such as declines in margins or sales. In this regard, for the purposes of performing the impairment test, the CGUs (cash-generating units) identified by the Group correspond to each of the manufacturing subsidiaries and are directly equivalent to the Group’s manufacturing facilities, with the exception of the substation and distribution automation systems business, which includes operations carried out at three interrelated manufacturing plants (SAC Maker, S.A.U., Arteche ACP, and Arteche EDC). Each CGU corresponds to the smallest identifiable group of assets capable of generating cash inflows that, where applicable, are independent of the cash flows derived from other assets or groups of assets.
For the purpose of impairment testing, goodwill has been allocated to the Group’s cash-generating units (CGUs), as summarized below:
06/30/2026 12/31/2025
CGU Arteche North America, S.A. de C.V. 356 339 UGE Arteche EDC Equipamientos e Sistemas, S.A. 115 105 UGE Arteche DYH Electric Co., Ltd. 109 101 UGE Substation and Distribution Automation Systems 3,690 3,690 UGE Arteche Chile, S.p.A. 43 48 UGE Smart Digital Optics Pty, Limited 8,232 7,751 UGE Esita ş Elektrik Sanayi ve Ticaret Anonim Şirketi 3,222 3,376 UGE PT Esita ş Pacific 331 340 UGE RTR Energía, S.L. 3,531 3,757 UGE SEG Electronics GmbH 47,366 -
66,995 19,507
Impairment tests are performed for all of the Group’s business units, regardless of whether goodwill has been allocated, on an annual basis or more frequently if there are indications of a potential loss in the asset’s value.
The measurements used to quantify the recoverable amount are based on evaluating the value in use of the identified production facilities using predictive business models, which have been updated based on current economic conditions, and in accordance with the discounted future cash flow valuation methodology.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 21 The Group verified that during fiscal year 2025, goodwill had not suffered any impairment loss in accordance with the assumptions used and the various sensitivity scenarios considered in the analysis.
During the half-year, no indications of impairment or material changes in the estimates from the tests performed at the end of fiscal year 2025 were detected; these estimates were reported in Note 5 of the consolidated annual financial statements for that fiscal year and have not been updated. Furthermore, it should be noted that in the case of SEG Electronics, no impairment test was performed, as the acquisition took place in the first half of 2026 and the purchase price allocation is still in progress (Note 2).
Description of the Main Transactions SEG Electronics GmbH Group On June 12, 2026, the ARTECHE Group, through its subsidiary Arteche Smart Grid, S.L.U., acquired all of the shares of SEG Electronics GmbH (including its subsidiaries in the United States and the United Arab Emirates) for an amount of 50,553 thousand euros as of the acquisition date, paid in full on the date of purchase with no deferred payments.
The excess of the transaction price over the adjusted value of the acquired assets and assumed liabilities has been recognized as goodwill in the amount of 47,366 thousand euros (Note 2), as the process of allocating the purchase price to the values of the acquired assets and liabilities has not yet been completed.
RTR Energía, S.L.U.
On June 17, 2025, the ARTECHE Group, through its subsidiary Arteche Smart Grid, S.L.U., acquired all of the shares of the company RTR Energía, S.L. for an amount of 10,597 thousand euros as of the acquisition date, paid in full on the date of purchase with no deferred payments.
Following the allocation of the purchase price to the values of the acquired assets and liabilities, goodwill of 3,531 thousand euros was recognized (Note 2).
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 22
10. OTHER INTANGIBLE ASSETS
Thousands of euros
Opening
balanceAdditions
and
provisionsDisposalsTransfers
and otherCurrency
translation
adjustmentsHyperinflation
effectAdditions and
removals from the
scope of
consolidation
(Note 2)Ending
balance
Six-month period ended June 30, 2026
Cost
Breakdown 60,714 4,036 - (780) 494 - - 64,464 Concessions 554 - - 434 2 - - 990 Licenses 1,732 - - (247) 35 - 117 1,637 Computer Applications 17,957 1,153 (94) 41 178 8 8 19,251 Other Intangible Assets 11,151 22 - 3 28 - - 11,204 92,108 5,211 (94) (549) 737 8 125 97,576
Accumulated amortization
Breakdown (35,951) (2,746) - (375) (217) - - (39,289) Concessions (540) (46) - 375 - - - (211) Licenses (687) (21) - 40 (5) - - (673) Computer Applications (12,837) (538) 94 (40) (149) (5) - (13,475) Other intangible assets (5,996) (306) - - (10) - - (6,312) (56,011) (3,657) 94 - (381) (5) - (59,960) -
Impairment
Development (1,911) - - - - - - (1,911) Net book value 34,186 35,675
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 23 Thousands of euros
Opening
balanceAdditions
and
provisionsDisposalsTransfers
and otherCurrency
translation
adjustmentsHyperinflation
effectAdditions and
removals from the
scope of
consolidation
(Note 2)Ending
balance
Fiscal Year 2025
Cost
Development 53,624 7,761 - (765) (49) 90 53 60,714 Concessions 597 339 (746) 765 (401) - - 554 Licenses 1,736 221 (270) - (157) - 202 1,732 Computer Applications 16,152 2,276 (415) (161) (140) 38 207 17,957 Other intangible assets 8,599 41 - 134 (163) - 2,540 11,151 80,708 10,638 (1,431) (27) (910) 128 3,002 92,108
Accumulated amortization
Development (31,678) (5,290) - 765 342 (90) - (35,951) Concessions (631) - 746 (765) 110 - - (540) Licenses (657) (59) 143 - 66 - (180) (687) Computer Applications (12,181) (898) 352 - 113 (33) (190) (12,837) Other intangible assets (5,557) (422) - - (17) - - (5,996) (50,704) (6,669) 1,241 - 614 (123) (370) (56,011) -
Impairment
Development (750) (1,161) - - - - - (1,911) Net book value 29,254 34,186 The main additions are attributable to development assets, which consist primarily of capitalized personnel expenses totaling 3,938 thousand euros (2,776 and 6,934 thousand euros during the six-month period ended June 30, 2026, and the 2025 fiscal year, respectively); the remainder consists of direct additions. This amount relates to various technology development projects that will lead to improvements in the Group’s product line and from which the Group expects to derive future benefits and positive results.
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 24 During the six-month period ended June 30, 2026, no development projects were written down (618 and 1,161 thousand euros during the six-month period ended June 30, 2025, and the 2025 fiscal year, respectively), as expectations of generating future positive results have been reduced.
As of June 30, 2026, the Group has commitments to invest in intangible assets totaling 683 thousand euros (796 thousand euros and 1,923 thousand euros as of June 30, 2025, and December 31, 2025, respectively).
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 25
11. PROPERTY, PLANT, AND EQUIPMENT
Thousands of euros
Opening balanceHyperinflation
EffectAdditions and
provisionsAdditions and
disposals from
the scope of
consolidation
(Note 2)Disposal
sTransfers
and otherTranslation
differencesEnding balance
Six-month period ended June 30, 2026
Cost
Land and buildings 15,325 - 92 4 - 4,620 826 20,867 Technical facilities and other tangible fixed assets107,840 3,848 1,512 433 (1,299) 4,323 1,835 118,492 Fixed assets in progress and advance payments15,821 - 7,322 - - (8,212) 513 15,444 138,986 3,848 8,926 437 (1,299) 731 3,174 154,803
Accumulated depreciation
Buildings (7,076) - (200) - - 62 (313) (7,527) Technical facilities and other tangible fixed assets(83,466) (3,126) (2,673) - 1,274 (147) (1,459) (89,597) (90,542) (3,126) (2,873) - 1,274 (85) (1,772) (97,124)
Depreciation
Buildings - - - - - - - -
Technical facilities and other tangible fixed assets(37) - (98) - - - (5) (140) (37) - (98) - - - (5) (140) Net book value 48,407 57,539
Notes to the Condensed Consolidated Interim Financial Statements for the six-month period ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 26 Thousands of euros
Opening balanceHyperinflation
effectAdditions and
provisionsAdditions and
removals from
the scope
(Note 2)Disposal
sTransfersTranslation
differencesEnding balance
Fiscal Year 2025
Cost
Land and buildings 15,347 562 1,874 97 (1,496) 105 (1,164) 15,325 Technical facilities and other tangible fixed assets104,200 2,259 4,225 3,923 (4,660) 3,878 (5,985) 107,840 Fixed assets in progress and advance payments10,665 - 8,942 - (14) (3,956) 184 15,821 130,212 2,821 15,041 4,020 (6,170) 27 (6,965) 138,986
Accumulated depreciation
Buildings (7,613) (212) (1,330) (2) 1,496 - 585 (7,076) Technical facilities and other tangible fixed assets(82,733) (1,402) (4,940) (3,434) 4,473 - 4,570 (83,466) (90,346) (1,614) (6,270) (3,436) 5,969 - 5,155 (90,542)
Impairment
Buildings (141) - - - 139 - 2 -
Technical facilities and other tangible fixed assets(42) - - - - - 5 (37) (183) - - - 139 - 7 (37) Net book value 39,683 48,407 Additions for fiscal years 2026 and 2025 were primarily due to the acquisition of technical facilities and machinery related to the replacement and improvement of production processes, as well as the fit-out of the new production plant in Indonesia and the expansion of our production capacity in Mungia and China .
Likewise, during the six-month period ended June 30, 2026, additions resulting from the inclusion of new entities in the scope of consolidation amounted to a net value of 437 thousand euros (584 thousand euros during fiscal year 2025), primarily consisting of technical facilities (Note 2).
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 27 During the six-month period ended June 30, 2026, assets totaling 98 thousand euros were written down (0 thousand euros during the six-month period ended June 30, 2025) due to their removal from the production process before the end of their useful life.
As of June 30, 2026, the Group has investment commitments for technical facilities and other fixed assets totaling 6,166 thousand euros (5,602 and 6,054 thousand euros as of June 30, 2025, and December 31, 2025, respectively).
12. ASSETS UNDER RIGHT-OF-USE AND LEASE LIABILITIES
The Group leases industrial facilities where certain subsidiaries conduct their operations, commercial offices in various cities, various warehouses for storing inventory, transportation equipment, and, on an ad hoc basis, certain machinery.
Furthermore, on December 20, 2012, the Group company Inversiones Zabalondo, S.L. entered into a lease agreement with Orza Gestión y Tenencia de Patrimonio, A.I.E. for the rental of the ARTECHE Group’s land and buildings located in Mungia. The initial term of the agreement is 25 years from the date of signing and may be extended for a maximum of two additional periods of 5 years each.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 28 Assets Held under a Right of Use The breakdown and changes in right-of-use assets during the fiscal years ended June 30, 2026, and 2025 are as follows:
Thousands of euros
Opening
balanceHyperinflation
EffectAdditions and
provisionsDecreasesAdditions and
removals from the
scope
(Note 2)Translation
differencesEnding
balance
Year ended June 30, 2026
Cost
Land and
buildings 38,760 77 5,541 - 1,929 151 46,458
Facilities and
other 1,699 - - - - 96 1,795
Accumulated
Depreciation
Buildings (8,108) - (1,996) - - (111) (10,215)
Facilities and
other (990) - (109) - - (58) (1,157) Net book value 31,361 36,881 Fiscal Year 2025
Cost
Land and
buildings 36,256 61 201 - 3,426 (1,184) 38,760
Facilities and
other 1,577 - 120 - - 2 1,699
Accumulated
Depreciation
Buildings (5,634) - (2,662) - - 188 (8,108)
Facilities and
other (795) - (203) - - 8 (990) Net book value 31,404 31,361
Lease liabilities
The breakdown and changes in lease liabilities for the fiscal years ended June 30, 2026, and 2025 are
as follows:
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 29 Thousands of euros
Opening
balancePaymentsAdditionsDisposals
and
transfersAdditions and
removals from
the scope
(Note 2)Debt
restatementTranslation
and exchange
rate
differencesEnding
balance
Year ended June 30, 2026 Long -term 27,137 - 4,648 (2,073) 1,620 900 38 32,270 Short -term 4,369 (2,695) 930 2,073 309 - 100 5,086 Of which: Credit institutions for finance leases 300 316 Net book value 31,506 37,356 Fiscal Year 2025 Long -term 26,980 - -(4,100) 3,177 1,683 (604) 27,136 Short -term 4,100 (4,615) 321 4,100 248 - 214 4,368 Of which: Credit institutions for finance leases 181 300 Net book value 31,080 31,506 The discount rates used have been estimated for each contract based on the Group’s cost of financing in each market where it operates and the maturity dates of the contracts, and are broken down in Note 8 to the Group’s Consolidated Annual Financial Statements as of December 31, 2025.
The main additions for the six-month period ended June 30, 2026, relate to the renewal of the lease agreement for the Madrid (Las Rozas) facility, as well as new leases for the new facilities in Mexico and Mungia.
Amounts Recognized in the Income Statement Thousands of euros
06/30/2026 06/30/2025
Amortization of right-of-use assets (2,105) (1,394) Interest expense on financial liabilities (900) (890) Foreign exchange differences (*) 31 (197) Expense from short-term or low-value leases (1,165) (814) Net foreign exchange gain (IAS 29) 17 600
(4,122) (2,695)
(*) The lease in Turkey is denominated in U.S. dollars.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 30
13. BREAKDOWN OF INFORMATION RELATING TO FINANCIAL ASSETS AND LIABILITIES
The carrying amount of each category of financial assets is shown below:
Thousands of euros At fair value through profit or
lossAt amortized
costAt fair value
through other
comprehensive
income /
Hedging
derivativesTotal
June 30, 2026 Non-current financial assets 417 4,939 168 5,524 Non-current financial investments 417 4,939 - 5,356 Equity instruments 417 - - 417 Loans to businesses - 1,321 - 1,321 Surety bonds - 454 - 454 Time Deposits - 3,164 - 3,164 Asset hedging derivatives - - 168 168 Trade receivables and other accounts receivable (excluding current tax assets) (Note 16)- 91,326 - 91,326 Current financial assets 275 11,425 1,375 13,075 Current financial investments 275 11,425 19 11,719 Equity instruments 275 - 19 294 Loans to businesses - 1,152 - 1,152 Of which: to related parties - 550 - 550 Performance bonds - 75 - 75 Time deposits - 10,198 - 10,198 Asset-backed derivatives - - 1,356 1,356 Total financial assets 692 107,690 1,543 109,925 Liability hedging derivatives –non-current - - - -
Liability hedging derivatives –current - - 441 441
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 31 Thousands of euros At fair value through profit or
lossAt amortized
costAt fair value
through other
comprehensive
income /
Hedging
derivativesTotal
12/31/2025
Non-current financial assets 417 1,371 - 1,788 Non-current financial investments 417 1,371 - 1,788 Equity instruments 417 - - 417 Loans to businesses - 303 - 303 Surety bonds - 447 - 447 Time Deposits - 621 - 621 Trade receivables and other accounts receivable (excluding current tax assets) (Note 16)- 73,189 - 73,189 Current financial assets 9,348 12,853 2,389 24,590 Current financial investments 9,348 12,853 270 22,471 Equity instruments 9,348 - 270 9,618 Loans to businesses - 1,081 - 1,081 Of which: to related parties - 550 - 550 Performance bonds - 75 - 75 Term Deposits - 11,697 - 11,697 Asset hedging derivatives - - 2,119 2,119 Total financial assets 9,765 87,413 2,389 99,567 Liability hedging derivatives –non-current - - 8 8 Liability hedging derivatives –current - - 204 204
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 32 The breakdown of current and non-current financial liabilities is shown below:
Thousands of euros June 30, 2026 12/31/2025 Non-current financial liabilities Financial liabilities at amortized cost Bank loans 52,694 44,581 Other financial liabilities 38,212 17,613 Other (no cost) 275 -
Leases (Note 12) 32,270 27,137
Hedging derivatives
Derivatives (Note 22) - 8
123,451 89,339
Current financial liabilities Liabilities at amortized cost Bonds and other marketable securities 15,500 14,500 Debts to financial institutions 27,363 25,119 Of which: Accrued interest 242 217 Other financial liabilities 14,035 16,306 Of which: Accrued interest 601 245 Leases (Note 12) 5,086 4,369 Trade payables and other accounts payable (Note 21) (*) 185,474 150,409
Hedging derivatives
Derivatives (Note 22) 441 204
247,899 210,907
Total 371,350 300,246 (*) Excluding government entities and current tax liabilities.
Currency Risk and Cash Flow Hedges The Group’s General Principles for Risk Control and Management described in its Consolidated Annual Financial Statements for the fiscal year ended December 31, 2025, remain in effect as of the date of issuance of these Consolidated Summary Interim Financial Statements.
The breakdown of derivatives is as follows:
Thousands of euros Hedged item Notional Fair value
June 30,
202612/31/2025June 30,
202612/31/2025
Interest Rate Swaps and OptionsVariable- rate loan (*) 28,594 35,538 133 (47) Currency hedges - U.S. dollars Sales 45,620 44,305 750 1,842 Currency hedging – euros Sales 4,614 6,496 (224) 17 Currency hedges - Australian dollars Sales 1,275 1,917 1 (26) Currency hedges – Canadian dollars Sales 8,072 2,616 314 121 Currency hedges - commodities Purchases 3,438 - 109 -
91,613 90,872 1,083 1,907 (*) Between 2022 and 2024, several derivative instruments were entered into to hedge the interest rate risk to which variable-rate financing is exposed (IRS for Cofides, EIB, ICO, and other financial institutions, and a 0% CAP on 50% of the syndicated loan).
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 33 The notional amount of derivative contracts designated as hedges does not represent the risk assumed by the Group, as its net position is derived from the offsetting and/or combination of these instruments.
The fair values of these financial instruments are calculated using the discounted cash flow method, based on interest rate curves and forward exchange rates, all of which are Level 2.
Fair Value Estimation and Hierarchies The breakdown of assets and liabilities measured at fair value according to the hierarchy levels established by IFRS 13 is as follows:
Thousands of euros Level 1 Level 2 Level 3 June 30, 2026 Equity instruments 294 - 417 Derivatives - 1,524 -
Total assets 294 1,524 417 Derivatives - 441 -
Total Liabilities - 441 -
December 31, 2025 Equity instruments 9,618 - 417 Derivatives - 2,119 -
Total assets 9,618 2,119 417 Derivatives - 212 -
Total Liabilities - 212 -
Level 1: Quoted prices in active markets for identical asset and liability instruments.
Level 2: Data other than quoted prices included in Level 1 that are observable for the asset or liability instrument, either directly (i.e., prices) or indirectly (i.e., derived from prices).
Level 3: Data for the asset or liability instrument that is not based on observable market data.
There were no transfers between levels during fiscal years 2026 and 2025. The adjustment for credit risk and offsetting in derivatives is not material. The Group does not have any netting agreements for financial assets and liabilities.
The fair value of the remaining financial instruments does not differ significantly from their carrying amounts.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 34
14. ASSOCIATES AND JOINT VENTURES
The movement in the “Investments accounted for using the equity method” line item was as follows:
Thousands of euros
06/30/2026 12/31/2025
Opening balance 11,831 7,469 Income recognized in the income statement (*) (540) 1,131 Contributions - -
Acquisitions 4,226 3,502 Redemptions and dividends - -
Hedging transactions and other - (271) Ending balance 15,517 11,831 (*) Including the amortization of intangible assets mentioned in this note
Major Changes
Six-month period ended June 30, 2026 On March 18, 2026, the ARTECHE Group acquired a 25% stake in Uptech Sensing, S.L., a Navarre-
based company and international leader in distributed optical sensors and smart monitoring systems, for an amount of 2,726 thousand euros as of the acquisition date, paid in full on the date of purchase with no deferred payments. On the same day, Uptech Sensing, S.L. carried out a capital increase of 1,500 thousand euros, in which only Arteche Smart Grid, S.L.U. participated and paid up, increasing its stake to 35%.
Fiscal Year 2025 On June 26, 2025, the Arteche Group (holder of 50% of the share capital), Ikerlan S. Coop. (holder of 9.48%), and Mondragón Inversiones S. Coop. (holding 40.52% of the share capital) established Amets Power Electronics, S.L., a joint venture for the development and commercialization of power electronics solutions geared toward applications in power grids, renewable energy, and heavy industry. Arteche contributed 527 thousand euros in cash.
On June 26, 2025, the Arteche Group established Arin Technologies, S.L. Subsequently, on October 2, 2025, Elewit, S.A. (Redeia Group) acquired a stake in that company’s share capital, with the aim of forming a joint venture to develop a multiservice platform for substation virtualization, remote control, and asset management. The Arteche Group holds a 54.15% stake, with the remaining 45.85% held by Elewit, S.A. (Redeia Group). Arteche paid 1,815 thousand euros in cash and made a non-cash contribution to Arin Technologies, S.L. consisting of a right to use (license) to prior technical know-how in the Company’s areas of activity, valued at 2,521 thousand euros, which resulted in revenue of 1,159 thousand euros recorded under the heading “Amortization and Impairment of Fixed Assets” in the 2025 consolidated income statement.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 35 Significant Financial Information The financial information for the most significant companies included under this heading is as follows:
Arteche Hitachi Energy
Instrument Transformers
(*)Uptech Sensing (**) Teraloop Oy (***)
June 30,
202612/31/2025June 30,
202612/31/2025June 30,
202612/31/2025
Effective ownership percentage 51% 51% 35% 0% 10% 10% Relevant financial information (***) Non-current assets 6,249 6,516 1,466 -- 4,743 2,845 Current assets 13,091 11,005 2,237 - 1,148 1,349 Non-current liabilities 6 12 632 - 2,000 1,052 Current liabilities 7,638 6,655 454 - 485 306 Net equity 11,696 10,854 2,617 - 3,406 2,836 Net revenue 9,891 19,299 396 - 780 555 Result 841 4,292 (409) - (957) (3,225) Equity attributable to ARTECHE 5,965 5,536 916 -- 341 284 Value of equity interest 6,873 6,522 1,914 -- 2,122 2,172 Share of earnings 429 2,189 143 -- (96) (323) Dividends received - - - -- - -
(*) The equity interest in Arteche Hitachi Energy Instrument Transformers includes, in addition to the amount of equity attributable to the Group based on its ownership stake, an implicit intangible asset related to technology in the amount of 909 thousand euros as of June 30, 2026 (986 thousand euros as of December 31, 2025) that arose in connection with the sale of the 49% stake that the ARTECHE Group held in that company in 2022 and that is amortized over its useful life, as included in that line item.
(**) The investment in Uptech Sensing, S.L. includes, in addition to the amount of equity attributable to the Group based on its ownership interest, an embedded intangible asset related to technology amounting to 998 thousand euros as of June 30, 2026, which arose from the acquisition and is amortized over its useful life. The process of allocating the purchase price to the values of the acquired assets and liabilities has not been fully completed; as it is currently in the provisional accounting phase, it is expected to be completed during the first quarter of 2027.
(***) The investment in Teraloop Oy includes, in addition to the amount of equity attributable to the Group based on its ownership interest, an embedded intangible asset related to technology in the amount of 1,781 thousand euros as of December 31, 2025 (1,888 thousand euros as of December 31, 2025) that arose from the acquisition and is being amortized over its useful life. The process of allocating the purchase price to the fair values of the acquired assets and liabilities has been fully completed.
(***) Excluding consolidation adjustments and eliminations.
There are no significant restrictions on the ability to access these assets. There are no contingent liabilities related to these investments in associates. There are no commitments to make future contributions to any of the investments in joint ventures or associates.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 36
15. INVENTORIES
The breakdown of this line item in the consolidated balance sheet is as follows:
Thousands of euros June 30, 2026 12/31/2025 Commercial 504 320 Raw Materials and Other Supplies 46,654 37,734 Work in progress 24,780 19,111 Finished goods 35,127 26,926 By-products, waste, and recovered materials 324 312 Advances to suppliers 2,167 1,020
109,556 85,423
Impairment charge on raw materials and other supplies (1,233) (749) Impairment charge on finished goods (233) (310)
(1,466) (1,059)
108,090 84,364
Inventory valuation adjustments reflect an estimate of those materials, work-in-process orders, and prototypes that will not be used in the future. The movement is as follows:
Thousands of euros June 30, 2026 12/31/2025 Opening balance 1,059 2,335 Transfers - -
Value adjustments for the fiscal year 87 75 Reversal (78) (1,645) Currency translation differences 398 294 Ending balance 1,466 1,059 The breakdown of valuation adjustments and reversals for the fiscal year is as follows:
Thousands of euros June 30, 2026 12/31/2025 Finished goods and work in progress Valuation adjustments 2 65 Reversals (41) (1,130) Total finished goods and work in progress (Note 24.1) (39) (1,065) Merchandise, raw materials, and other supplies Valuation adjustments 85 10 Reversals (37) (515) Total Merchandise, Raw Materials, and Other Supplies (Note 24.1) 48 (505) Total Valuation Adjustments and Reversals 9 (1,570)
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 37
16. TRADE RECEIVABLES AND OTHER ACCOUNTS RECEIVABLE
The breakdown of assets classified in this category is as follows:
Thousands of euros June 30, 2026 12/31/2025 Accounts receivable from sales and services rendered 94,687 77,063 Of which: contract assets 1,405 1,599 Other Accounts Receivable 32,570 35,058 Miscellaneous accounts receivable 2,169 1,576 Personnel 288 153 Other receivables from government entities 30,113 33,329 Total 127,257 112,121 Value adjustment for impairment losses on accounts receivable (5,818) (5,603)
121,439 106,518
17. CASH AND OTHER LIQUID ASSETS
The breakdown of this item is as follows:
Thousands of euros June 30, 2026 12/31/2025 Cash 63 36 Demand deposit accounts 78,739 67,394 Bank deposits 8,477 446 Total 87,279 67,876 Checking accounts earn the market interest rate applicable to this type of account. Agreements are in place with certain financial institutions to pay interest on the average balance of checking accounts at rates that are in line with the market interest rate. These agreements regarding the interest rate applicable to the average balances held in these accounts are typically renewed and communicated monthly by each financial institution to align with changes in the market interest rate.
Bank deposits consist primarily of interbank deposits with daily liquidity.
There are no restrictions on the availability of these balances.
18. NET EQUITY
The composition and changes in equity are presented in the Consolidated Summary Interim Statement of Changes in Equity for the six-month periods ended June 30, 2026, and 2025.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 38
18.1 Capital
On June 24, 2026, the Board of Directors of the parent company resolved to conduct an accelerated bookbuild offering of the Company’s shares in the amount of 100 million euros. The offering comprised:
(i) a capital increase, pursuant to the authorization granted by the General Shareholders’ Meeting at its meeting on April 28, 2025, funded by cash contributions and excluding preemptive subscription rights, , the issuance of 1,010,101 new common shares with a par value of 0.10 euros each, of the same class and series as the shares outstanding at that time; and (ii) the sale by certain major shareholders of existing shares, subject to the same terms and conditions established for the capital increase. The effective capital increase amounted to 33,333 thousand euros (including a share premium of 33,232 thousand euros), and the expenses related to this transaction were recorded under the heading “Retained Earnings” in the amount of 645 thousand euros.
The parent company’s share capital has not undergone any changes other than those described above, nor are there any obligations regarding its share capital that must be fulfilled in addition to those established by the Capital Companies Act.
The parent company’s share capital, fully subscribed and paid in as of June 30, 2026, was represented by 58,104,114 registered shares with a par value of 0.10 euros each (57,094,013 registered shares with a par value of 0.10 euros as of December 31, 2025).
06/30/2026 12/31/2025
Ziskua Ber, S.L. (*) 49.38% 52.38% Velora Investa, S.L. (formerly Corporación Cunext Industries S.L.) (**) 19.06% 20.21% Basque Institute of Finance (***) 6.03% 6.40% Ms. Carmen Ybarra Careaga (****) 5.32% 5.64% Capital Research and Management Company (*) 3.94% -
BBK Foundation (*****) 3.16% 3.16% (*) Company not controlled by any individual or legal entity.
(**) Interest held through ECN Equipos Eléctricos, S.L., a company controlled by Velora Investa, S.L. (formerly Corporación Cunext Industries S.L.). Velora Investa, S.L. is not controlled by any individual or legal entity.
(***) Stake held through Finkatze Kapitala Finkatuz, S.A., a public company controlled by the Basque Institute of Finance, an agency that in turn reports to the Basque Government.
(****) Interest held through Onchena, S.L., a company controlled by Ms. Carmen Ybarra Careaga.
(*****) A foundation not controlled by any natural or legal person.
All shares, except for treasury shares, carry the same voting and economic rights. Voting rights on treasury shares are suspended. Economic rights, with the exception of the right to the free allocation of new shares, are allocated proportionally to the remaining shares, in accordance with the provisions of Article 148 of the Capital Companies Act. There are no restrictions on the free transferability of these shares.
From June 11, 2021, through January 30, 2026, the Parent Company’s shares were listed on the BME Growth trading segment of BME MTF Equity (multilateral trading facility). As of February 2, 2026, these shares are listed on the Spanish stock exchanges through the SIBE, having previously been delisted from BME Growth.
The market price of the parent company’s stock, Arteche Lantegi Elkartea, S.A., stood at 33.7 euros as of June 30, 2026 (compared to 22.6 euros as of December 31, 2025).
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 39 18.2 Dividends Distributed On May 12, 2026, the parent company distributed a dividend charged to earnings for the 2025 fiscal year in the amount of 22,644 thousand euros, in accordance with the resolution approved by the General Shareholders’ Meeting on April 22, 2026.
On May 14, 2025, the parent company distributed a dividend out of earnings for the 2024 fiscal year in the amount of 9,434 thousand euros, as approved by the General Shareholders’ Meeting held on April 28, 2025.
18.3 Treasury Stock and Equity Interests The 2021 Ordinary General Shareholders’ Meeting authorized the parent company’s Board of Directors to acquire its own shares for holding in treasury. Within the scope of this authorization, the Board of Directors approved the execution of a liquidity agreement, the signing of which was disclosed to the market via a “Other Relevant Information” filing with BME Growth dated March 7, 2022. Furthermore, following the admission to trading of the parent company’s shares on the Spanish Stock Exchanges (SIBE), the liquidity agreement was renewed, and the market was notified via a “Other Relevant Information” filing dated February 2, 2026. To continue the aforementioned contract, a total of 21,551 shares were deposited in the Financial Intermediary’s securities account, while a total of 29,484 shares were retained in treasury stock not linked to said contract. As of June 30, 2026, the number of shares linked to the liquidity contract stood at 22,193, with the remainder remaining unchanged.
In the first half of 2026, there were transactions involving the purchase and sale of treasury shares under the agreement with the Liquidity Provider. The difference between the cost price and the sale price, amounting to 33 thousand euros, has been recorded in “Retained Earnings—Voluntary Reserves” (803 thousand euros in 2025 and 257 thousand euros in the six-month period ended June 30, 2025).
The movement in treasury stock is as follows:
Thousands of euros Number of shares 06/30/2026 12/31/2025 June 30, 2026 12/31/2025 Opening balance (as of January 1) 694 575 55,131 110,272 Purchase of treasury stock 2,773 1,517 84,302 130,869 Sale of treasury stock (2,248) (1,398) (87,756) (186,010) Capital reduction - - - -
Ending balance 1,219 694 51,677 55,131 18.4 Translation Differences The changes recorded in 2026 and 2025 in the “Translation differences” account relate primarily to the translation of year-end balances.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 40 Thousands of euros Opening Balance ChangeEnding
Balance
Six-month period ended June 30, 2026 Mexican peso (3,804) 3,985 181 Argentine peso (5,692) 6 (5,686) Brazilian real (566) 1,419 853 Chinese yuan (1,484) 863 (621) Turkish lira (8,509) (1,723) (10,232) Other currencies (1,800) 835 (965) (21,855) 5,385 (16,470) Fiscal Year 2025 Mexican peso (3,901) 97 (3,804) Argentine peso (4,422) (1,270) (5,692) Brazilian real (692) 126 (566) Chinese yuan 19 (1,503) (1,484) Turkish lira (6,654) (1,855) (8,509) Other currencies (127) (1,673) (1,800) (15,777) (6,078) (21,855)
19. EARNINGS PER SHARE
Basic earnings per share are calculated by dividing the profit attributable to the shareholders of the parent company by the weighted-average number of common shares outstanding during the fiscal year, excluding treasury shares acquired by the parent company:
June 30, 2026 June 30, 2025 Income from continuing operations (thousands of euros) 32,136 22,362 Less: Profit from continuing operations attributable to minority interests (thousands of euros)(1,690) (1,467) Profit from continuing operations attributable to shareholders of the parent
company30,446 20,895
Income from discontinued operations attributable to shareholders of the parent company (thousands of euros)112 280 Net income attributable to the parent company 30,558 21,175 Weighted-average number of common shares outstanding (number of shares—
thousands)57,044 57,012
Basic earnings per share (euros per share) 0.54 0.37 Basic earnings per share from continuing operations (euros per share) 0.54 0.36 Basic earnings per share from discontinued operations (euros per share) 0.00 0.01 Basic earnings per share are equal to diluted earnings per share, as there are no instruments that could be converted into common stock during fiscal years 2026 and 2025.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 41
20. PROVISIONS
The changes in the accounts included in long-term provisions are as follows:
Thousands of euros
Opening
balanceAdditionsUses and
paymentsTransfersAdditions
to the
scope
(Note 2)Translation
differencesEnding
balance
Six-month period ended June 30, 2026 Employee benefit obligations 6,848 324 (102) (3,663) 217 91 3,715 Provision for contingencies and other risks 2,614 1,296 (262) - 398 220 4,266 Total non -current 9,462 1,620 (364) (3,663) 615 311 7,981 Employee benefit obligations 633 821 (655) 3,663 624 12 5,098 Provision for contingencies and other risks 23 - - - 50 1 74 Total current assets 656 821 (655) 3,663 674 13 5,172 Fiscal Year 2025 Employee benefit obligations 3,041 4,105 (16) (285) - 3 6,848 Provision for contingencies and other risks 3,964 335 (1,858) - - 173 2,614 Total non-current 7,005 4,440 (1,874) (285) - 176 9,462 Employee benefit obligations 267 131 - 285 - (50) 633 Provision for contingencies and other risks 158 8 (142) - - (1) 23 Total current items 425 139 (142) 285 - (51) 656 The increase during the six-month period ended June 30, 2026, in the balance of the “Employee Benefit Obligations” line item on the balance sheet, amounting to 1,108 thousand euros, is primarily due to the accrual of the long-term incentive for Senior Management and Directors in the amount of 840 thousand euros, as well as the restatement of seniority bonuses resulting from the renewal of certain collective bargaining agreements and the inclusion of SEG Electronics in the scope of consolidation.
Current provisions did not undergo any other significant changes during the six-month period ended June 30, 2026.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 42
21. TRADE PAYABLES AND OTHER ACCOUNTS PAYABLE
The breakdown of liabilities classified in this category is as follows:
Thousands of euros June 30, 2026 12/31/2025 Suppliers 86,129 65,471 Miscellaneous creditors 36,050 28,931 Unpaid compensation 16,349 14,864 Current tax liabilities 7,764 7,557 Other liabilities to government agencies 13,556 16,294 Advances from customers 46,946 41,143 Of which: Contract liabilities 4,857 2,630 Total 206,794 174,260
22. FINANCIAL LIABILITIES
22.1 Debts to credit institutions The breakdown is as follows:
Thousands of euros June 30, 2026 12/31/2025 Syndicated Loan 2,422 4,828 Other Bank Loans 74,202 62,347 Credit lines 3,128 2,225 Other 305 300
80,057 69,700
The total amount of debt owed to financial institutions in foreign currency amounts to 1,144 thousand euros (2,296 thousand euros as of December 31, 2025), primarily in Turkish lira and Chinese yuan.
Syndicated Loan
The parent company entered into a syndicated loan in fiscal year 2015, which was restructured in December 2017, January 2021, and September 2022. The amount drawn down on the syndicated loan totals 2,438 thousand euros (2,422 thousand euros at amortized cost) as of June 30, 2026 (4,876 thousand euros in 2025, 4,828 thousand euros at amortized cost as of December 31, 2025), all of which is due within the short term. Several Group companies act as guarantors for this loan.
The interest rate applied is the Euribor plus the applicable margin based on the level of compliance with certain financial and sustainability ratios. The Company entered into a CAP at a strike rate of 0% to hedge fluctuations in the Euribor on half of the outstanding principal (Note 13).
The parent company must comply at all times during the term of the loan agreement with a series of financial ratios calculated based on the Group’s consolidated financial statements. Failure to meet these ratios would trigger early maturity of the loan. The financial ratios are met as of the end of the first half of 2026.
.Other Bank Loans In addition, during the 2020–2025 period, additional loans were secured, providing the Group with the financial stability to meet all its obligations.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 43 In the first half of 2026, the Group entered into three bilateral loans with three financial institutions totaling 22,000 thousand euros, with maturities between 2029 and 2031.
All drawn loans, both bank and non-bank, have final maturities between 2026 and 2034 and an average interest rate of 3.59% as of June 30, 2026 (3.54% as of June 30, 2025).
This bank debt, other than the syndicated loan, is not subject to financial covenants tied to compliance with specific ratios.
Most of this bank debt includes ESG objectives tied to meeting certain KPIs aimed at ensuring that electricity consumption comes from renewable sources, as well as the reuse of waste generated in the production process. Meeting these objectives would result in a negligible reduction in the interest rate spread (between 1 and 10 basis points). Failure to meet them would not trigger early termination of the contract.
The breakdown by maturity of debt service (principal and interest) and the nominal values of the items included in “Long-Term Debt to Credit Institutions” as of June 2026 are as follows:
2027 (*) 2028 20292030 and
beyondTotal
Debts to credit institutions 11,660 20,501 13,132 9,894 55,187 11,660 20,501 13,132 9,894 55,187 (*) Corresponds to the second half of 2027, beginning July 1, 2027, and ending December 31, 2027.
22.2 Bonds and Other Marketable Securities The Group’s parent company, Arteche Lantegi Elkartea, S.A., issued on October 29, 2020, a commercial paper program on the Alternative Fixed-Income Market (MARF) called the “Arteche 2020 Commercial Paper Program” with a maximum limit of 50 million euros and a one-year term. This program was renewed in October 2025. The range of interest rates at which the Company issued promissory notes during fiscal year 2026 ranged from 2.47% to 2.84% (between 2.53% and 3.40% in 2025), with maturities ranging from 3 to 6 months (6 months in 2024). The total amount of promissory notes issued in the first half of 2026 amounted to 16,500 thousand euros (29,200 thousand euros in fiscal year 2025), of which, as of June 30, 2026, promissory notes totaling 15,500 thousand euros (14,500 thousand euros as of December 31, 2025), reflected under the heading “Debts to credit institutions, bonds, and other marketable securities.” 22.3 Other Financial Liabilities The breakdown of “other financial liabilities” is as follows:
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 44 Thousands of euros June 30, 2026 12/31/2025
Non-current
Refundable advances 253 396 Loans 37,684 17,217 Other, no cost 275 -
38,212 17,613
Current
Refundable advances 237 295 Loans 9,750 9,750 Fixed Asset Suppliers 3,445 6,016 Other payables 603 245
14,035 16,306
Refundable advances correspond to loans and repayable advances granted by various public agencies to support the development of certain research and development projects undertaken by the ARTECHE Group, either individually or in collaboration with partner companies, and to finance new software.
These advances generally do not accrue interest. These advances are presented net of implicit grants equal to the difference between the nominal value of the advance and its present value, calculated at the effective cost of debt financing as of the date of receipt.
The breakdown of the main loans included under “other financial liabilities” is as follows:
Thousands of euros
06/30/2026 12/31/2025
European Investment Bank (EIB) 23,267 11,583 Cofides (granted to Arteche Lantegi Elkartea, S.A.) 5,250 5,975 Cofides (granted to Arteche North América, S.A. de CV) 4,917 5,408 Official Credit Institute (ICO) 14,000 4,000
47,434 26,966
During the six-month period ended June 30, 2026, funds totaling 15,000 thousand euros were drawn down under the financing agreement signed with the EIB on December 20, 2023, and 10,000 thousand euros under the financing agreement signed with the ICO on October 7, 2025. These loan agreements are intended to finance investment projects in R&D&I, cybersecurity, and improvements to production capacity in Europe during the period from 2024 to 2027. This financing has a two-year availability period and an eight-year repayment period, with up to a two-year grace period on principal payments.
The financing agreements signed with the EIB and the ICO are subject to compliance with certain financial ratios. The financial ratios were met as of June 30, 2026.
The breakdown by debt service (principal and interest) of the nominal value of maturities classified as long-term in this account as of June 30, 2026, is as follows:
Thousands of euros
06/30/2026 12/31/2025
2027 (*) 2,103 6,474 2028 9,098 6,304 2029 7,953 2,804 2030 and beyond 24,731 3,505
43,885 19,087
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 45 (*) Corresponds to the second half of 2027, beginning July 1, 2027, and ending December 31, 2027.
23. TAXES
In accordance with IAS 34: “Interim Financial Reporting,” the amount included under the heading “Income Tax” in the consolidated net income for the six-month periods ended June 30, 2026, and 2025 has been calculated based on the best estimate of the expected tax rate for the corresponding fiscal years. The tax rate that would be applicable to the expected total income for the fiscal year has been used, such that the tax expense for the interim period is the result of applying the estimated average annual effective tax rate to the pre-tax income for the interim period. However, the tax effects arising from occasional events or one-time transactions carried out during the period are taken into account in full during that period.
The consolidated Group’s average tax rate for the six months ended June 30, 2026, was 16% (18% as of June 30, 2025).
The breakdown of the various items comprising deferred tax assets and liabilities is as follows:
Thousands of euros
06/30/2026 12/31/2025
Tax Deductions 15,079 15,079 Tax loss carryforwards 1,354 1,510 Cash flow hedges 79 79 Leases 7,068 7,515 Other – temporary differences 15,240 11,711 Deferred tax assets 38,820 35,894 From business combinations (669) (1,007) Cash flow hedging (276) (384) Leases (7,059) (7,554) Other (2,520) (1,180) Deferred tax liabilities (10,524) (10,125) Deferred tax assets and liabilities did not change significantly during the six-month period ended June 30, 2026, except for the increase in deferred assets and liabilities resulting from the inclusion of the lease from SEG Electronics GmbH in the business combination described in Note 2.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 46
24. REVENUE AND EXPENSES
24.1 Purchases and Changes in Inventories The breakdown of this line item for the six-month periods ended June 30, 2026, and 2025 is as follows:
Thousands of euros June 30, 2026 06/30/2025 Change in inventory 10,027 (46) Impairment of finished goods and work in progress 39 788 Change in inventory of finished goods and work in progress 10,066 742 Purchases (127,325) (114,614) Work Performed by Other Companies (12,623) (11,682) Impairment of merchandise, raw materials, and other supplies (48) (117) Change in inventory 5,926 2,952 Purchases (134,070) (123,461) 24.2 Personnel expenses The breakdown of this item for the six-month periods ended June 30, 2026, and 2025 is as follows:
Thousands of euros
06/30/2026 06/30/2025
Wages, salaries, and similar compensation Wages and salaries 51,565 44,843 Severance pay 1,763 2,093
53,328 46,936
Social security contributions Social Security 11,351 9,327 Other social expenses 3,639 3,838
14,990 13,165
68,318 60,101
The increase in “Wages and Salaries” for the six-month period ended June 30, 2026, compared to the same period in 2025, is due to inflation-adjusted salary increases at the various Group companies, the increase in variable compensation for indirect staff resulting from the Group’s improved results, and the accrual of the long-term incentive plan related to the 2024–2026 Strategic Plan (Note 25.2).
This line item includes 840 thousand euros (1,246 in the same period of 2025 and 2,103 for the full fiscal year 2025) from the long-term incentive plan related to the 2024–2026 Strategic Plan (Note 25.2).
The reduction is due to a positive adjustment in 2025 resulting from a substantial improvement in the economic and financial variables defined in the Strategic Plan.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 47 24.3 Financial Income and Expenses The breakdown of financial income and expenses is as follows:
Thousands of euros June 30, 2026 June 30, 2025 Financial income 757 639 From marketable securities and other financial instruments 757 639 Financial expenses (3,844) (4,222) For debts to third parties (2,944) (3,332) From leases (900) (890) Revaluation of provisions and net foreign exchange gain or loss 845 1,566 Revaluation of provisions (162) (410) Net monetary gain or loss 1,007 1,976 Gain or loss on changes in value or disposal of financial instruments (951) 405 Impairments and losses on financial instruments - -
Gain or loss on disposal of financial instruments 40 5 Change in fair value of financial instruments (991) 400 Foreign exchange differences (469) (3,413) Net financial income (3,662) (5,025)
25. TRANSACTIONS WITH RELATED PARTIES
Until June 24, 2026 (date of the accelerated bookbuild offering – Note 18.1), the Group’s subsidiaries with tax domicile in Bizkaia have been taxed under the consolidated Value-Added Tax (VAT) filing regime with Ziskua Ber, S.L., the parent company of said tax consolidation, in compliance with Article 163 quinquies of Provincial Regulation 7/1994 on Value-Added Tax. Since then, they have not been subject to the consolidated VAT filing regime with Ziskua Ber, S.L.
Transactions with related parties primarily consist of services received, commercial and financial transactions, and the operating leases of certain properties, and are conducted at market prices, which are similar to those applied to unrelated parties.
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 48 25.1 Related Parties The details of the balances with related parties that have not been eliminated in the consolidation process are as follows:
Consolidated balance sheet balances arising from transactions with related parties Thousands of euros June 30, 2026 12/31/2025 Related-party entities – Subsidiaries of Grupo Lur Zabalondo, S.L.
Accounts receivable from sales and services rendered – current 3,355 3,052 Miscellaneous payables – current (1,457) (1,329) Long-term receivables from third parties - -
Total 1,898 1,723 The most significant balances are those recorded with subsidiaries of Lur Zabalondo, S.L., a company in which the Arteche Group’s largest shareholder (Ziskua Ber, S.L.) holds a 61.81% stake. On December 29, 2020, the Arteche Group sold its Turnkey Solutions business segment to Lur Zabalondo, S.L., which included the segment’s operations in Brazil. Since then, certain balances have remained and are being gradually settled as the aforementioned subsidiary in Brazil is wound up.
Guarantees Arising from Transactions with Related Parties Thousands of euros
06/30/2026 12/31/2025
Related parties – Subsidiaries of the Lur Zabalondo, S.L. Group Technical guarantees 3,585 5,311 Indemnity letter (3,585) (5,311) Total - -
As of June 30, 2026, the Arteche Group maintains performance bonds provided to third parties in connection with the activities carried out by subsidiaries of Lur Zabalondo, S.L., in the amount of 3,585 thousand euros (5,311 thousand euros at the end of fiscal year 2025). These guarantees relate primarily to its subsidiary in Brazil and consist of technical guarantees and financial guarantees provided in connection with construction contracts and financing transactions in Brazil.
As of June 30, 2026, Lur Zabalondo, S.L. has provided the Arteche Group, as counter-guarantee for 100% of the aforementioned amounts (both guarantees and balance sheet balances), with a letter of indemnity.
During the six-month period ended June 30, 2026, there were no transactions with subsidiaries of the Group of which Lur Zabalondo, S.L. is the parent company.
During the six-month period ended June 30, 2026, other transactions with related parties totaling 10 thousand euros (76 thousand euros in fiscal year 2025) occurred, corresponding to services provided by the controlling shareholder (Ziskua Ber, S.L.) primarily related to the consolidation of the VAT tax group of which Ziskua Ber, S.L. was the parent company until June 24, 2026.
All transactions with related parties were conducted at market prices.
25.2 Directors and Senior Management The breakdown of compensation earned by the members of the parent company’s Board of Directors and by senior management is as follows:
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 49 Thousands of euros June 30, 2026 June 30, 2025
Directors
Salaries 1,411 445 Per diems 398 433
Senior management
Salaries 2,449 1,914
4,258 2,792
(*) Excluding amounts corresponding to services provided by the controlling shareholder (Ziskua Ber, S.L.) related to the consolidation of the VAT tax group of which Ziskua Ber, S.L. is the parent company (10 and 76 thousand euros for the six-month period ended June 30, 2026, and the 2025 fiscal year, respectively).
As of June 30, 2026, and December 31, 2025, the Arteche Group had no pension or life insurance obligations with respect to former or current members of the parent company’s Board of Directors or senior management, nor had it assumed any obligations on their behalf as guarantees.
During the six-month period ended June 30, 2026, the parent company paid premiums for directors’ and officers’ liability insurance covering damages caused by acts or omissions in the performance of their duties, totaling 19 thousand euros (28 thousand euros in 2025).
As of June 30, 2026, and December 31, 2025, there were no advances or loans granted to members of the Board of Directors or senior management of the parent company.
a) Long-Term Incentive Plan for Senior Management At the recommendation of the Nominating and Compensation Committee, the parent company’s Board of Directors, at its meeting held in February 2024, approved a long-term incentive plan payable in cash for the 2024–2026 Strategic Plan period, for members of senior management and the Chief Executive Officer.
This incentive plan is contingent upon the Group achieving the value generated during the established period, measured based on the economic and financial variables defined in the Strategic Plan. As of June 30, 2026, the accrued amount totaled 4,503 euros (3,663 thousand euros as of December 31, 2025).
b) Extraordinary Compensation Plan for the Listing on the Continuous Market In October 2025, the Board of Directors approved an extraordinary compensation plan for senior management and other employees, linked to the Company’s listing on the Main Market.
The plan was contingent upon the eventual completion of the transaction, although a portion of the compensation is linked solely to the team’s efforts to achieve the objective.
The Company recorded a provision of 726 thousand euros as of December 31, 2025, reported under the heading “Other Accounts Payable—Remuneration Payable” on the liability side of the consolidated balance sheet. As of June 30, 2026, this remuneration had already been paid.
26. GUARANTEES AND CONTINGENT LIABILITIES
As of June 30, 2026, Group companies have provided guarantees for commercial transactions totaling 21,598 thousand euros (21,178 thousand euros as of December 31, 2025); for financial transactions totaling 4,915 thousand euros (9,210 thousand euros as of December 31, 2025); and for leases and other transactions totaling 5,106 thousand euros (4,525 thousand euros as of December 31, 2025).
Notes to the Condensed Consolidated Interim Financial Statements for the Six-Month Period Ended June 30, 2026 (Expressed in thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 50 Furthermore, as of June 30, 2026, the amount of outstanding guarantees issued by insurers and surety companies for commercial transactions is 29,231 thousand euros (29,122 thousand euros as of December 31, 2025).
Finally, the total amount of comfort letters and other letters of financial support stood at 53,917 thousand euros as of June 30, 2026 (51,408 thousand euros as of December 31, 2025).
27. DISCONTINUED OPERATIONS
The breakdown of income from discontinued operations by company is summarized in the following
table:
Thousands of euros 06/30/2026 June 30, 2025 Arteche ACP do Brasil Ltda 112 280
112 280
The line item “Income for the year from discontinued operations (net of taxes)” includes the recognition, reversal, and revaluation of provisions arising from legal contingencies related to the Turnkey Solutions segment, which was divested by the Group in December 2020; based on currently available information, this divestiture is considered probable. The balance sheet counterpart is recorded under the heading “Provisions” in the consolidated balance sheet (Note 20), and there were no impacts on cash flow for fiscal years 2026 and 2025.
28. SUBSEQUENT EVENTS
As of the date of preparation of these Condensed Consolidated Interim Financial Statements, no significant subsequent events have occurred that could have a material impact on the financial statements for the period ended June 30, 2026.
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 68 # MAR Unit Utility Definition and calculation
1 ContractThousan
ds of €A key performance indicator (KPI) used by management to assess the level of commercial performance for the periodDefinition: Arteche defines the “Contracts” indicator as the orders considered firm during the period, as well as changes to accepted orders pending delivery. It is calculated by subtracting the firm order backlog from the previous period from that of the current period, and adding the revenue (orders already invoiced during the period).
Note/Re June 30, 2026 12/31/2025 06/30/2025 + End -of-period firm order backlog 417,163 354,969 336,522 -Firm order backlog at the beginning of the period (354,969) (279,758) (279,758) +/-Change in orders received pending scheduling - (2,131) 6,431 (15,544) + Net sales 8 277,887 508,426 250,980 Contracts 337,950 590,068 292,200 Hiring by geographic distribution and business line:
June 30, 12/31/2025 June 30, 2025
EMEA 154,440 244,762 125,110
NAM 113,510 194,794 92,610
LATAM 25,140 61,713 30,640
APAC 44,860 88,799 43,840
Procurement 337,950 590,068 292,200 System Measurement and Monitoring 260,460 442,528 219,830 Transmission and Distribution Network Automation 48,290 89,947 48,320 Grid Reliability 29,200 57,593 24,050 Procurement 337,950 590,068 292,200
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 69 # MAR Unit Utility Definition and calculation
2Firm Order
BacklogThousan
ds of €MAR used by management to assess future production and revenue levels.Definition: Arteche defines the “Firm Order Backlog” indicator as the volume of firm orders that will be recognized in the future under the heading “Net Revenue” in the consolidated income statement. An order is considered firm only when it creates obligations between the ARTECHE Group and the customer, a moment considered to occur upon the signing of the contract between the parties. The amount is calculated as the price established in the contract with the customer, reduced by the estimated amount of contractual penalties, adjustments, cancellations, and early terminations resulting from factors beyond the Group’s control, such as changes in scope, unjustified delays, breaches of contract, or the insolvency of
counterparties
3 Book-to-Bill X timesMAR, the trend of which provides an indication of the future volume of “Net Revenue”Definition: Arteche defines the Book-to-Bill indicator as the ratio obtained by dividing the “Contracts Awarded” for the fiscal year by the “Net Revenue” reported in the consolidated income statement for the period.
Note/re June 30, 12/31/2025 June 30, New Orders MAR 1 337,950 590,068 292,200 Net revenue 8 277,887 508,426 250,980 Book -to-bill ratio 1.22x 1.16x 1.16x
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 70 # MAR Unit Utility Definition and calculation 4 Gross marginThousan ds of €Operating margin used to evaluate profit generation at selling price without considering expenses that are not directly attributable to the operating segments.Definition: Arteche defines the Direct Margin as the difference between sales revenue and the direct costs attributable to the production and billing of delivered products or rendered services.
Note/ref June 30, 12/31/2025 June 30, Net sales 8 277,887 508,426 250,980 +/- Change in inventory at selling price 15,984 4,923 (2,847) Revenue at selling price (A) 293,871 513,349 248,133 Purchases 24.1 134,070 253,891 123,461 +/-Impairment of Merchandise and Raw Materials 24.1 (48) 385 (117) + Direct personnel expenses 25,437 43,037 20,199 + Other direct operating expenses 14,349 24,744 12,528 Direct costs (B) 173,808 322,057 156,071 Gross profit (A – B) 120,063 191,292 92,062 5 % Gross margin %MAR used by management to evaluate profitability directly related to production in relative terms compared to sales revenue.Definition: Arteche defines the % Direct Margin indicator as the percentage that the Direct Margin represents of revenue at selling price.
Note/ref June 30, 12/31/2025 06/30/2025 Direct Margin (A) MAR 4 120,063 191,292 92,062 Revenue at selling price (B) MAR 4 293,871 513,349 248,133 % Gross Margin (A / B) 40.9% 37.3% 37.1%
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 71 # MAR Unit Utility Definition and calculation
6Non-organic
revenue%A financial metric used by management to assess the contribution of new acquisitions to revenue.Definition: Arteche defines the “Non-Organic Revenue” indicator as the percentage of total revenue for the fiscal year represented by the revenue from the most recent acquisition during that fiscal year.
Note/ref June 30, 12/31/2025 June 30, 2025 Non -organic Revenue (*) (A) 2 1,598 6,134 887 Net revenue (B) 8 277,887 508,426 250,980
EBITDA % (A / B) 0.58% 1.21% 0.35%
(*) Revenue contributed by SEG Electronics Group in 2026 and RTR Energía in 2025
7 EBITDAThousan
ds of €Used by management to assess the operating segments’ ability to generate operating cash flow.Definition: Arteche defines EBITDA as gross operating profit, excluding amortization and depreciation.
Note/ref June 30, 2026 12/31/2025 June 30, 2025 Operating Income Income 42,351 64,392 31,573 + Depreciation and amortization of fixed 10, 11, and 8,774 15,815 7,026 + Impairment of commercial operations (19) 816 595 + Write -down of inventory 24.1 48 (385) 117 + Impairment of work -in-progress and 24.1 (39) (1,185) (788) + Impairment and losses on fixed assets - 1,023 1,033
EBITDA (*) 51,115 80,476 39,556
(*) The comparative information for June 2025 has been revised due to a discrepancy in the EBITDA calculation (1,031
thousand)
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 72 # MAR Unit Utility Definition and calculation 8 EBITDA TAMThousan ds of €Used by management to assess the operating cash flow generation capacity of the operating segments over a 12-month periodDefinition: Arteche defines the EBITDA TAM metric as gross operating profit, excluding amortization and depreciation, for a 12-
month period.
Note/ref June 30, 2026 12/31/2025 June 30, 2025 Operating Income MAR 7 51,115 n/a 39,556 + Depreciation and amortization of fixed MAR 7 80,476 n/a 56,030 + Impairment of commercial operations MAR 7 (39,556) n/a (26,883)
TAM EBITDA 92,035 n/a 68,753
9 % EBITDA %A financial metric used by management to assess operating profitability in relative terms compared to revenue.Definition: Arteche defines the % EBITDA indicator as the percentage that EBITDA represents of net revenue.
Note/ref June 30, 12/31/2025 June 30, 2025
EBITDA (A) MAR 7 51,115 80,476 39,556
Net Revenue (B) 8 277,887 508,426 250,980
EBITDA % (A / B) 18.4% 15.8% 15.8%
10Overhead
expenses%Key performance indicator (KPI) used by management to monitor the business’s fixed costs.Definition: Arteche defines the "Structure Expenses" indicator as the percentage of direct personnel expenses and indirect external service expenses relative to revenue.
Note/ref June 30, 12/31/2025 June 30, 2025 Indirect personnel expenses 41,133 75,548 37,791 + External indirect personnel services 25,226 37,537 18,922 Overhead costs (A) 66,359 113,085 56,713 Net revenue (B) 8 277,887 508,426 250,980 Overhead expenses (A / B) 23.9% 22.2% 22.6%
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 73 # MAR Unit Utility Definition and calculation
11Gross Financial
Debt (GFD)Thousan
ds of €A financial ratio used by management to assess the level of gross debt relative to assets.Definition: Arteche defines the GFD indicator as the sum of all current and non-current financial liabilities to third parties, excluding suppliers of fixed assets.
Note/ref June 30, 12/31/2025 June 30, Current debts to credit institutions (A) 22.1 27,363 25,119 24,278 Non -current debt to financial institutions (B) 22.1 52,694 44,581 46,885 Finance lease liabilities (C) 12 316 300 138 Of which: current (C.A) 104 101 52 Of which: non -current (C.B) 212 199 86 +/- accrued interest and fees (D.1) (242) (217) (179) Total Liabilities to Credit Institutions (A + B + C + 80,131 69,783 71,122 Other current financial liabilities (E) 13 14,035 16,306 12,124 Other non -current financial liabilities (F) 13 38,212 17,613 23,003 Bonds and other marketable securities (G) 22.2 15,500 14,500 14,700 -Fixed Asset Suppliers (H) 22.3 (3,445) (6,016) (1,603) +/- Accrued and deferred interest and fees (D.2) (601) (245) (79) Total Other Financial Liabilities (E + F + G + H + D.2) 63,701 42,158 48,145 Gross Financial Debt (GFD) (Total debt to credit institutions + Total other financial liabilities)143,832 111,941 119,267 Current Gross Financial Debt (A + C.A + D + E + G + H) 52,714 49,548 49,294 Gross Non-Current Financial Debt (B + C.B + F) 91,118 62,393 69,973 Gross Financial Debt (GFD) 143,832 111,941 119,267
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 74 # MAR Unit Utility Definition and calculation 12Net Financial Debt
(NFD)Thousan
ds of €A financial ratio used by management to assess the level of net debt relative to assets.Definition: Arteche defines the NFI indicator as the sum of all current and non-current financial liabilities to third parties (excluding suppliers of fixed assets), less the balance of cash, cash equivalents, and other liquid assets as reported in the consolidated balance sheet as of the specified date.
Note/Ref June 30, 12/31/2025 June 30, Gross Financial Debt (A) MAR 10 143,832 111,941 119,267 -Current financial investments (b.1) 13 (11,719) (22,471) (7,730)
- Loans to businesses and guarantees (b.2) 13 1,226 1,161 550 Other liquid assets (B = b.1 + b.2) (10,493) (21,310) (7,180)
- Cash and other cash equivalents (C) 17 (87,279) (67,876) (73,792) Liquid assets (B + C) (97,772) (89,186) (80,972) Net Financial Debt (NFD) (A + B + C) 46,060 22,755 38,295
13 DFN/EBITDA X timesA financial metric designed to show the Group’s degree of leverage, based on the ability of non-recurring debt (NRD) to be repaid from operating cash flow.Definition: Arteche defines the DFN/EBITDA TAM ratio as the percentage of DFN relative to EBITDA (or EBITDA TAM, if the period is other than annual).
Note/ref June 30, 12/31/2025 June 30, Net Financial Debt (NFD) MAR 11 46,060 22,755 38,295
/ EBITDA MAR 7 92,035 80,476 68,753
DFN / EBITDA 0.5x 0.3x 0.6x
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 75 # MAR Unit Utility Definition and calculation
14 CAPEXThousan
ds of €MAR indicating investments made during the fiscal yearDefinition: Arteche defines the CAPEX indicator as the sum of additions to tangible and intangible fixed assets for the period.
Note/Ref June 30, 202612/31/2025 June 30, 2025Additions, disposals, and transfers of “Other Intangible Assets” (*)10 4,568 9,945 4,083 + Additions, disposals, and transfers of “Property, Plant, and Equipment”11 9,532 15,022 2,957
CAPEX 14,100 24,967 7,040
(*)Excluding disposals of fully depreciated assets totaling 1,174 thousand euros for the six-month period ended June 30, 2026 (6,124 thousand euros in property, plant, and equipment and 765 thousand euros in intangible assets in 2025)
15Weighted Average
Rate%MAR used by management to calculate the average cost of financing.Definition: Arteche defines the Weighted Average Rate as the average interest rate weighted by the outstanding balance of each of the current loans and credits contracted with financial institutions and government agencies.
The calculation does not include promissory notes issued on the MARF, finance leases, or working capital facilities—that is, lines of credit, bill discounting, and import financing.
Note/re 06/30/2026 12/31/2025 June 30, Sum of the financial expenses for each outstanding 4,463 3,223 3,545 Total outstanding balance of all active loans and 124,349 94,374 100,165 Weighted Average Rate 3.6% 3.4% 3.5%
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 76 # MAR Unit Utility Definition and calculation 16 Working Capital €mA financial ratio that measures the Group’s ability to meet its short-
term obligations.Definition: Arteche defines the Working Capital indicator as the difference between current assets and current liabilities.
Note/ref June 30, 2026 12/31/2025 June 30, Operating Current Assets Balance 229,529 190,882 178,508 Inventory Balance 108,090 84,364 78,473 Trade receivables and other accounts Balance 121,439 106,518 100,035 Non -operating current assets Balance 101,900 93,455 84,785 Current financial assets Balance 13,075 24,590 9,569 Other current assets Balance 1,546 989 1,424 Cash and other cash equivalents Balance Sheet87,279 67,876 73,792 Current assets (A) 331,429 284,337 263,293 Current operating liabilities Balance (206,794) (174,260) (157,740) Trade payables and other accounts payable Balance (206,794) (174,260) (157,740) Non -operating current liabilities Balance (67,597) (61,154) (56,935) Current financial liabilities Balance (62,425) (60,498) (56,286) Current provisions Balance (5,172) (656) (649) Current liabilities (B) (274,391) (235,414) (214,675) Working Capital (A+B) 57,038 48,923 48,618
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 77 # MAR Unit Utility Definition and calculation 17 Payout %MAR used by management to assess the level of shareholder returns based on the results obtainedDefinition: Arteche defines the Pay-out ratio as the result of dividing the distributed dividend by the profit attributable to the parent company.
Note/ref June 30, 12/31/2025 June 30, 2025 Proposed Dividend 18.2 - 22,644 -
Net income attributable to the parent company Income Stateme- 45,287 -
Payout 0% 50% 0% (*) Net income attributable to the parent company according to the 2024 consolidated financial statements prepared by the Board of Directors, which were prepared in accordance with generally accepted accounting principles in Spain.
18 Cash FlowThousan ds of €MAR indicating cash generation for the periodDefinition: Arteche defines the Cash Flow indicator as the change in net cash provided by operating activities between the prior period and the current period.
Note/ref June 30, 12/31/2025 June 30, -Net Financial Position at period -end MAR 12 (46,060) (22,755) (38,295) DNF at the end of the previous period MAR 12 22,755 26,175 26,175 Cash Flow (23,305) 3,420 (12,120)
Appendix I – Reconciliation of Alternative Performance Measures (In thousands of euros) ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com 78 # MAR Unit Utility Definition and calculation 19 Free cash flowThousan ds of €MAR indicating cash generation for the period,
excluding shareholder
dividends and inorganic growthDefinition: Arteche defines the Free Cash Flow indicator as the change in net cash flow between the previous and current periods, excluding the effect of dividend payments to shareholders and non-organic transactions.
Note/re June 30, 12/31/2025 June 30, Cash Flow MAR 18 (23,305) 3,420 (12,120) + Dividends paid during the period 18,2 22,644 9,434 9,434 + Acquisitions 2 55,853 12,939 11,127
- Capital increase 18.1 (33,333) - -
Free cash flow 21,859 25,793 8,441
% of EBITDA 43% 32% 21%
20 Leverage Ratio X TimesMAR, which aims to show the Group’s degree of leverage, based on the ability of shareholders’ equity to cover debtDefinition: Arteche defines the Leverage Ratio as the proportion of total debt to total equity.
Note/re June 30, 12/31/2025 June 30, Net Financial Debt (NFD) 46,060 22,755 38,295 Net Equity Balance Sheet168,695 120,341 92,667 Leverage ratio 0.27x 0.19x 0.41x
21Immediately
available resources€mMAR represents the volume of financing available and committed by financial institutions, but not yet drawn down as of the date of analysis. In the short term, undrawn credit lines and undrawn discounting of negotiable instruments. In the long term, undrawn loan tranches.
Preparation of the Consolidated Summary Interim Financial Statements for the 6-
month period ended June 30, 2026 ARTECHE LANTEGI ELKARTEA, S.A.
Derio Bidea 28, 48100 :: Mungia :: Bizkaia :: Spain T. (+34) 94 60 11 200 :: F. (+34) 94 67 40 018 www.arteche.com The Board of Directors of Arteche Lantegi Elkartea, S.A., as of July 27, 2026, hereby issues the Condensed Consolidated Interim Financial Statements and the Consolidated Interim Management Report for the six-month period ended June 30, 2026, which consist of the attached documents preceding this document.
Mr. Lander Arteche Eguia Mr. Alexander Artetxe
Panera
Mr. José María Abril Pérez Mr. Luis Aranaz Zuza Mr. Guillermo Ulacia Arnáiz Mr. Dámaso Quintana Pradera Ms. Aurora Gracia de los Ríos Finkatze Kapitala Finkatuz, represented by Ms. Amaya del Villar Rodrigo Ms. Eladia Pulido Arroyo Ms. Cristina Fabre Chicano Mr. Ignacio Arechabaleta Torrontegui