The financial result for the reporting period comprised the following:
| | |
Financial result |
|
|---|
in EUR thousands | 2025 | 2024 |
|---|
Finance expenses | | |
|---|
Interest expenses | | |
Bank borrowings | -17,231 | -23,912 |
Hedging instruments | 984 | 2,626 |
Leases | -954 | -890 |
Expenses for interest accrued on provisions | -71 | -124 |
Expenses for interest accrued on pensions | -233 | -237 |
Foreign exchange losses on financing activities | -2,278 | -1,588 |
Expenses for valuation of derivatives | -1,385 |
|
Other financial cost | -1,882 | -1,840 |
| -23,050 | -25,965 |
|---|
Financial income | | |
|---|
Interest income on short-term bank deposits | 1,043 | 2,077 |
Foreign exchange result on financing activities | 1,643 | 1,333 |
Income from valuation of derivatives | 2,220 |
|
Other financial income | 46 |
|
| 4,952 | 3,410 |
|---|
Financial result | -18,098 | -22,555 |
|---|
The positive development of the financial result was primarily due to lower interest expenses for liabilities to banks and in the area of hedging derivatives. This was due to the lower interest rate level compared with the previous year. Currency effects also had a slightly positive impact. Further positive effects resulted from the scheduled repayment of promissory note loans and the unscheduled repayment of syndicated loans that took place in the 2024 fiscal year. NOTE 5 – FINANCIAL RISK MANAGEMENT
Transaction costs in connection with financing are netted with the bank borrowings. They are amortized over the financing period of the respective debt using the effective interest method, and are included in the interest expense item. The remaining amount to be allocated to the remaining terms of the financing as of December 31, 2025 , amounted to EUR 292 thousand (2024: EUR 449 thousand).
The increase in financial income also had a positive effect on the financial result. This is due to interest rate derivatives that no longer qualify as hedges. From this point onwards, the measurement effects previously recognized in other comprehensive income were reclassified to the Statement of Comprehensive Income.
The items foreign exchange losses and foreign exchange gains on financing activities contain the effects of the translation of external and intragroup foreign currency loans and the effects of foreign currency derivatives used to hedge these loans. The hedging relationship was classified as a hedge of fair value changes, as a result of which
the effects from the measurement of the derivatives and from the measurement or translation of the financial liabilities are reflected in the financial result. The net effect is show within NOTE 14 – NET FOREIGN EXCHANGE GAINS/LOSSES. Furthermore, effects from the translation of bank balances in foreign currencies are included in these items.
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These contents are part of the Non-financial Group Report and were subject to a separate limited assurance examination.