The cash flow statement distinguishes between cash flows from operating activities, investing activities, and financing activities.
Cash flow from operating activities is derived indirectly from the profit or loss for the period. This is adjusted for non-cash depreciation and amortization, for expenses and payments allocated to cash flow from investing or financing activities, and other non-cash expenses and income. The cash outflow from operating activities of EUR 85,960 thousand (H1 2025: cash inflow of EUR 29,285 thousand) shows the changes in current assets, provisions, and liabilities (excluding liabilities related to financing activities).
The Company participates in a reverse factoring program, a factoring program, and an ABS program. The liabilities in the reverse factoring program are reported under trade accounts payable and similar payables. As of June 30, 2026, liabilities of EUR 10,468 thousand (Dec. 31, 2025: EUR 10,112 thousand) from reverse factoring programs are recognized. The cash flows from the reverse factoring, factoring and ABS programs are presented under cash flow from operating activities, as this corresponds to the economic substance of the transactions.
In H1 2026, income tax payments included in cash flows from operating activities amounted to EUR 76,635 thousand (H1 2025: EUR 12,207 thousand) and also included tax effects related to the sale of the discontinued Water Management business. Because the related tax payments cannot be clearly and reliably allocated to the disposal transaction, they are presented as cash flows from operating activities in accordance with IAS 7.
The cash outflow (H1 2025: cash inflow) from operating activities in H1 2026 includes payments for share-based remuneration in the amount of EUR 164 thousand (H1 2025: EUR 916 thousand) resulting from the short-term variable remuneration (short-term incentive, STI) as well as from the ESG-LTI for members of the Management Board of NORMA Group.
The adjustments for proceeds from the valuation of derivatives amounting to EUR -1,069 thousand (H1 2025: expenses amounting to EUR 1,636 thousand), which are included in the cash outflow from operating activities (H1 2025: cash inflow), relate to changes in the fair value of derivatives recognized in profit or loss and allocated to financing activities. The adjusted other non-cash income (-) / expenses (+) include expenses from the currency translation of external financing liabilities and intragroup monetary items amounting to EUR 1,011 thousand (H1 2025: EUR -813 thousand).
Furthermore, non-cash income (-) / expenses (+) in H1 2026 include non-cash interest expense from the application of the effective interest method in the amount of EUR 158 thousand (H1 2025: EUR 77 thousand).
Cash flows resulting from interest paid are disclosed as cash flows from financing activities.
In H1 2026, cash flows from investing activities included a net cash inflow of EUR 821.5 million from the disposal of a discontinued operation (H1 2025: EUR 0.0 million). In addition, cash outflows from the acquisition of financial instruments in the amount of EUR 57.0 million (H1 2025: EUR 0.0 million) are included.
It also includes net cash outflows of EUR 13,097 thousand (H1 2025: EUR 18,675 thousand) from the acquisition and disposal of non-current assets. This amount includes the change in liabilities for the acquisition of intangible assets and property, plant, and equipment of EUR -1,153 thousand (H1 2025: EUR -2,639 thousand).
Cash flows from financing activities include in H1 2026 net repayments of loans of EUR 289,573 thousand (H1 2025: net proceeds from loans of EUR 7,000 thousand), payments for the acquisition of treasury shares amounting to EUR 52,847 thousand (H1 2025: EUR 0 thousand), interest payments (H1 2026: EUR 5,462 thousand; H1 2025: EUR 7,343 thousand), Cash inflows from liabilities from ABS and factoring in the amount of EUR 1,320 thousand (H1 2025: repayments of EUR 418 thousand), and cash inflows from derivatives amounting to EUR 1,361 thousand (H1 2025: cash inflows amounting to EUR 61 thousand).
In addition, lease payments of EUR 5,237 thousand (H1 2025: EUR 6,560 thousand) are reported under cash flow from financing activities.
The changes in the balance sheet items presented in the Statement of Cash Flows cannot be derived directly from the Consolidated Statement of Financial Position as effects from currency translation are non-cash and effects from changes in the scope of consolidation are presented directly in the cash outflow from investing activities.
Cash and cash equivalents as of June 30, 2026, included cash and demand deposits in the amount of EUR 224,172 thousand (December 31, 2025: EUR 90,065 thousand) and cash equivalents in the amount of EUR 188,215 thousand (December 31, 2025: EUR 4,489 thousand).
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These contents are part of the Non-financial Group Report and were subject to a separate limited assurance examination.