IBERSOL | Integrated Management Report | 2025

CONSOLIDATED FINANCIAL STATEMENTS 8.5. Cash and bank deposits Accounting policies Cash and cash equivalents Cash and cash equivalents include amounts recorded in the statement of financial position with a maturity of less than three months from the balance sheet date, which include cash and available funds at credit institutions. It also includes other short- term, highly liquid investments, with an insignificant risk of change in value and convertible into cash, as well as mandatory demand deposits with the Bank of Portugal in order to satisfy the legal requirements for minimum cash reserves. Statement of cash flows The consolidated statement of cash flows is prepared using the direct method, through which cash receipts and payments from operating, investing and financing activities are disclosed. Operating activities include receipts from customers, payments to suppliers, payments to staff and others related to operating activity, namely income tax. Investment activities include, namely, acquisitions and disposals of investments in affiliated companies, payments and receipts arising from the purchase and sale of assets and receipts of interest and dividends. Financing activities include payments and receipts relating to loans obtained, lease agreements, interest paid and dividend payments. As at 31 December 2025 and 2024, the breakdown of cash and cash equivalents was as follows: dec/ 2025 dec/ 2024 Cash 626 274 693 203 Bank deposits 119 232 774 139 966 081 Cash and bank deposits in the balance sheet 119 859 048 140 659 284 Cash and cash equivalents on the cash flow statement 119 859 048 140 659 284 466