IBERSOL • 2023 Integrated Management Report

Consolidated Financial Statements 5. Working Capital 5.1. Inventories Accounting policies Inventories are stated at the lower of cost and net sell value. The cost is calculated us- ing the weighted average cost and is equivalent to the acquisition cost less the value of quantity discounts. The costs of feeding staff in stores are reflected in staff costs, as a contra entry to stock regularization. The net realizable value corresponds to the estimated selling price in the normal course of business, less the selling costs. As at 31 December 2023 and 2022, the detail of the group’s inventories was as follows: dec/ 2023 dec/ 2022 Raw, subsidiary and consumable materials 12 683 617 12 672 414 Goods 576 653 486 703 13 260 270 13 159 117 Decreases -74 981 -74 981 Net Inventories 13 185 289 13 084 136 5.1.1. Cost of sales In 2023 the cost of inventories recognized as an expense and included in “cost of sales” totaled 100,190,238 euros (in 2022: 87,767,965 euros), as shown below: 2023 2022 M+MP Initial Inventory 13 159 117 15 792 439 Value of Lurca and Iberking inventories as of 31.12.2021 - -2 579 658 Currency translation -937 786 529 720 Purchases 105 667 770 90 483 705 Inventory adjustment -4 438 593 -3 299 124 Closing inventories M+MP 13 260 270 13 159 117 Cost of goods sold and materials consumed 100 190 238 87 767 965 428