Luka Koper d d : Report JAN-JUN 2023

2023

NON-AUDITED REPORT OF THE LUKA KOPER GROUP AND LUKA KOPER, D. D., JANUARY - JUNE 2023

Luka Koper Group and Luka Koper, d. d.

1 Introduction

1.1 Introductory note

Compliant with the Market and Financial Instrument Act, Ljubljana Stock Exchange Rules as well as Guidelines and Disclosure for Listed Companies, Luka Koper, d. d., Vojkovo nabrežje 38, 6501 Koper discloses this Non-Audited Report on the performance of Luka Koper Group and Luka Koper, d. d., January - June 2023.

Non-Audited Report on the performance of Luka Koper Group and Luka Koper, d. d., in January - June can be examined at Luka Koper, d. d., Vojkovo nabrežje 38, 6501 Koper and shall be accessible via the company's website www.luka-kp.si,from August 24, 2023 onwards.

The company promptly publishes any pertinent changes to information contained in the prospectus for stock exchange listing on SEOnet, the electronic information system.

This Non-Audited Report on the performance of Luka Koper Group and Luka Koper, d. d., in January - June 2023 was addressed by the company's Supervisory Board at its regular session on August 24, 2023.

2 Performance hiughlights of the Luka Koper in January - June 2023

The first half of 2023 ended with good business results for the Luka Koper Group. All financial indicators exceeded the planned indicators for the period. Net sales in the amount of EUR 158.9 million were ahead on planned by 9 percent or EUR 13.3 million. Compared to the same period of the previous year, net sales increased by 2 percent or EUR 3.8 million, despite the expected decrease of revenue from storage fees. Higher revenue resulted from stuffing and unstuffing of containers. Revenue from storage fees decreased by 20 percent or EUR 8.5 million compared to the same period last year due to the shortening of the container retention time in the warehouses as the result of normalization of the situation on the global logistics market. Earnings before interest and taxes (EBIT) in the first half of 2023 amounted to EUR 37.6 million and was higher than planned by 87 percent or by EUR 17.5 million, and by 21 percent or EUR 10.2 million below the achieved in the first half in the previous year. Despite the achieved higher net sales revenue in the first half of 2023 compared to the first half of 2022, two factors i.e a rise in costs as a result of inflationary pressures and a drop in revenues from storage fees affected a lower earnings before interest and taxes (EBIT). Higher throughput was achieved in both strategic product groups of containers (in TEU) and cars (in units) compared to the plan and compared to the previous year. Total maritime throughput in tons was slightly lower than planned quantities and lower than the achieved throughput in the first half of 2022. A new monthly record was set in maritime throughput of containers in March 2023, and namely 105,744 container units TEU, and a new monthly record in the maritime transshipment of cars in the amount of 87,533 cars.

The Russian -Ukrainian conflict continues even in 2023. The direct exposure of the Luka Koper Group towards Rusia and Ukraine is otherwise relatively small, since the volume of throughput via the Port of Koper, destined to the Russian and Ukrainian markets, is negligible. Notwithstanding, the Management Board regularly monitors the market conditions and responds to ensure the smooth operations of the Luka Koper Group. On the energy markets, however, the uncertainity regarding the supply of energy products and price movements decreased slightly. Following the gas stocks accumulations in Europe and weaker than expected demand in China, energy prices have fallen significantly from their peaks in 2022. Although the outlook for the economic growth in the beginning of 2023 improved, indicators do not indicate a more pronounced recovery of the economic activity in the first half of the year. However, international institutions have foreseen the strenghtening of economic activities in the second half of the year.

The situation in the logistics at the global level is also quite complex. The arrivals of containers ships both on direct connections with Far East and from Mediterranean ports are still unreliable, container freight rates have dropped to pre-Covid level. European ports mainly face a high saturation of of car transhipment terminals.

The Luka Koper Group continues to implement major investments fort he most relevant strategic commodity groups containers and cars.