KGHM Polska Miedz (KGH) investor relations material

Executive summary

• 2025 marked a strong year with group revenues rising 3% year-over-year to PLN 36,366 million, driven by higher metals prices and significant contributions from both domestic and foreign assets.

• Adjusted EBITDA increased 22% year-over-year to PLN 10,276 million, mainly due to improved performance at Sierra Gorda and higher metals prices.

• Achieved excellent results despite macroeconomic volatility and global geopolitical pressures.

• Foreign assets became financially independent, repaying loans to the parent company and contributing to investment capacity.

• Announced upcoming strategy update to be released after Q2 2026, building on 2025 achievements.

Financial highlights

• Group revenue increased by 3% year-over-year to PLN 36,366 million, with all segments contributing positively to EBITDA.

• Adjusted EBITDA from overseas assets reached a record 48% of group total.

• Net profit for the period grew to PLN 3,688 million, up by PLN 818 million, supported by higher joint venture profits and segment EBITDA.

• Sierra Gorda SCM repaid over $1 billion to the group, with $300 million in 2025 alone.

• Cost discipline led to a 3% drop in C1 costs group-wide; excluding tax, C1 fell 17% year-over-year.

Outlook and guidance

• Production and sales expected to remain strong, with focus on optimizing working capital and maintaining high output.

• Guidance for 2026 assumes similar copper and silver content in deposits as 2025.

• Decision on Sierra Gorda's fourth processing line, potentially increasing output by 20%, expected by mid-2026.

• Dividend policy to resume, targeting up to 30% of net profit, with final decision in about a month.

• Continued focus on energy transition, emissions reduction, and expansion of renewable energy sources.