Future development of NORMA Group SE

To reduce complexity, starting in 2025, only the financial and non-financial key performance indicators relevant for management will be used and presented for each fiscal year. NORMA Group’s key financial performance indicators include Group sales, adjusted EBIT, respectively the adjusted EBIT margin, and net operating cash flow. CO2 emissions have been considered a key non-financial key performance indicator since the 2024 fiscal year, and since 2020, they have also been a target for determining part of the Management Board’s long-term incentive (ESG-LTI) within the Management Board’s remuneration.

NORMA Value Added (NOVA) has ceased to be a central strategic target since the third quarter of 2025. It is therefore no longer included in NORMA Group’s management system and, accordingly, is not included in the following explanations.

Expected development of NORMA Group in the 2025 fiscal year

Based on the assessments of relevant economic research institutes and industry associations, the Management Board of NORMA Group SE expects that overall economic development will remain challenging for the remainder of the 2025 fiscal year. In particular, the precise consequences of the special tariffs, some of which have been announced, some of which have been implemented, and some of which have been suspended, as well as any further trade policy restrictions, cannot be conclusively assessed at the time of publication of this interim statement, as external decision-making processes and announcements of the measures exhibit considerable volatility. Ongoing geopolitical tensions are also creating uncertainty and exacerbating the uncertainties in the market environment. Negative impulses for global economic development are still expected, particularly from further developments in the Ukraine war and the Middle East, as well as the associated impacts on global value and transport chains. Due to the continued difficult environment, the Management Board of NORMA Group SE continues to view the 2025 fiscal year with the necessary caution.

Impact of the agreement to divest the Water Management business on the forecast

Based on the signing of the agreement on the divestment of the Water Management business on September 23, 2025, the Water Management business unit is classified as a “discontinued operation” effective September 30, 2025. Against this background, on September 23, 2025, the Management Board adjusted the forecast for Group sales and the adjusted EBIT margin for the continuing operations in fiscal year 2025. With regard to the forecast for net operating cash flow and CO2 emissions, no details were provided with the publication of this quarterly statement for the third quarter of 2025, so it can be assumed that these will develop as last communicated in the 2024 Annual Report and confirmed in the interim report for the second quarter of 2025.

The expected development of the key financial control indicators and the CO2 emissions target for the 2025 fiscal year are summarized below. The forecast based on the previous Group structure, including the Water Management business unit, is marked “Forecast previously including Water Management” for comparison purposes.