The Consolidated Financial Statements are presented in EUR, which is the Group’s presentation currency. The functional currency of the Company is CHF. Each of the Group’s entities determines its own functional currency based on the primary economic environment in which it operates. Transactions in foreign currencies are accounted for at the exchange rates prevailing on the date of the transaction.
Monetary assets and liabilities of the Group’s entities that are denominated in foreign currencies are translated using year-end exchange rates. Resulting exchange differences are recorded in profit or loss unless they form part of a net investment in a foreign operation. When the settlement of a monetary item receivable from or payable to a foreign operation is neither planned nor likely in the foreseeable future, the related foreign exchange gains and losses are recognized in OCI and presented in the cumulative translation adjustment within equity.
For the translation of a foreign operation into the Group’s presentation currency (EUR), the following rates are applied:
This policy applies to all foreign-currency operations except for those whose functional currency is that of a hyperinflationary economy, for which all amounts - assets, liabilities, income statement items and cash flows - are translated at year-end exchange rates.
Translation differences arising on consolidation are recognized in OCI. Upon disposal of a foreign operation, the related cumulative translation adjustment is reclassified from equity to the income statement as part of the gain or loss on disposal.
The principal exchange rates used were as follows:
Euro per | 2025 Closing rate | 2025 Annual average rate | 2024 Closing rate | 2024 Annual average rate | 2023 Closing rate | 2023 Annual average rate |
1 Australian Dollar | 0.57 | 0.57 | 0.60 | 0.61 | 0.62 | 0.61 |
1 Swiss Franc | 1.07 | 1.07 | 1.06 | 1.05 | 1.08 | 1.03 |
1 GB Pound | 1.15 | 1.17 | 1.21 | 1.18 | 1.15 | 1.15 |
1 US Dollar | 0.85 | 0.89 | 0.97 | 0.92 | 0.90 | 0.93 |
In 2025, 2024 and 2023, the economy of the Argentine Republic continued to be hyperinflationary. The application of inflation accounting requires restatement of the financial statements of the Argentinian subsidiary into current purchasing power, which reflects a price index at the end of the reporting period, before being included in the Consolidated Financial Statements. Therefore, all non-monetary items are presented in units of measure as of December 31, 2025. All items recognized in the Consolidated Income Statement are restated by applying the change in the price index from the dates when the items of income and expenses were initially earned or incurred. For the restatement, the Group uses a conversion coefficient derived from the consumer price index in the Argentine Republic, published by the Federación Argentina de Consejos Profesionales de Ciencias Económicas. The index increased by 2,427.7 basis points from 7,693.7 as at December 31, 2024, to 10,121.4 as at December 31, 2025 (2024: increase by 4,160.5 basis points; 2023: increase by 2,398.6 basis points). The gain or loss on the net monetary position is recognized in finance result in the Consolidated Income Statement.
Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is a legally enforceable right to offset the recognized amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously.
On January 26, 2026, the Group drew additional borrowings under its existing Term Loan B facilities. The drawdowns amounted to EUR 215.0m and USD 35.0m, respectively, under the EUR and USD tranches of the SFA. The funds will be used amongst others to repay existing indebtedness including but not limited to pay back the outstanding CHF 350.0m Bonds for which a public tender was launched and completed during March 2026.
As of March 31, 2026, the Group signed an agreement to acquire 75% of the shares and voting interests in KLM Catering Services Schiphol B.V. (KCS). The closing of the transaction is expected to take place in the next 3-6 months and is subject to customary closing conditions.
As a result of this agreement, the Group will include KLM Catering Services into its global portfolio, entering into a strategic partnership that builds on KLM's established reputation. As a leading in-flight catering provider for KLM at Schiphol Airport, KLM Catering Services brings a wealth of expertise in the preparation, assembly, and seamless delivery of in-flight services. By aligning its strengths with KLM Catering Services’ focused operations, the Group looks forward to enhancing its service offerings and extending its reach across KLM’s extensive long-haul and European networks. Together, the Group and KLM aim to elevate the passenger experience by combining their shared commitment to operational excellence.
KLM Royal Dutch Airlines will remain a 25% non-controlling shareholder of KCS and the parties will enter into an exclusive 20-years catering agreement at Schiphol airport. Since the agreement was signed shortly before the issuance of this report, the Group cannot provide any information on goodwill, identifiable assets acquired and liabilities assumed. The transaction is expected to add a low- to midsingle digit revenue addition to the Group after its closing. The consideration will be fully funded out of available liquidity and/or undrawn credit lines.
As at April 8, 2026, the date of approval of these Consolidated Financial Statements by the Board, there were no other significant subsequent events that require disclosure or recognition.