To,
FINANCIAL SUPERVISORY AUTHORITY
BUCHAREST STOCK EXCHANGE
CURRENT REPORT
according to A.S.F. Regulation no. 5/2018 on issuers of financial instruments and market operations, as subsequently amended and supplemented
Date of report: 18.05.2026
Name of issuer: VRANCART S.A.
Registered office: Vrancea County, Adjud Municipality, 17th Ecaterina Teodoroiu Street
Telephone/fax number: 0237 640 800 / 0237 641 720
Unique registration code: 1454846
Trade Register serial number: J39/239/1991
Subscribed and paid-up share capital: RON 201,011,575.10
Regulated trading market: Bucharest Stock Exchange
Important events to report: Status information Individual and consolidated financial audit report on the individual and consolidated financial statements for the financial year ended 31.12.2025
The company VRANCART S.A. with its registered office in Vrancea County, Adjud Municipality, 17th Ecaterina Teodoroiu Street, registered with the Trade Register Office attached to the Court of Vrancea under the order number J39/239/1991, having the Unique Registration Code 1454846, Fiscal Attribute RO, informs the shareholders and investors that the individual and consolidated financial audit report on the individual and consolidated financial statements related to the financial execution concluded on 31. 12.2025, is at the time of publication of this current Report, in the process of completion, given the following reasons:
(i) the initiation by the Company of an extensive restructuring process carried out in several successive stages, with the aim of optimizing the activity and recovering the economic performance, in the context of the negative financial results recorded starting with 2024 and continued in the first part of 2025, as well as the implementation of the Microsoft Dynamics 365 Business Central system at the beginning of 2025, in conjunction with the trend in the first half of 2025,
(ii) the large volume of accounting adjustments, revaluations and exceptional items that complicated the completion and auditing of the financial statements, restructuring costs, expenses generated by the closure of a business line in the west of the country, the impact related to subsidies for the operating activity on the energy segment, the recording of inventory differences, the valuation of paper stocks in accordance with the requirements of IAS 2 Stocks, as well as negative differences in the revaluation of assets,
(iii) starting with the second part of the third quarter of 2025, an extensive process of restructuring and streamlining the activity has been started and is being implemented, with an impact on operations and financial governance mechanisms; This process mainly aimed at optimising the structure of fixed costs and personnel costs, recalibrating and streamlining the production mix according to market conditions, as well as carrying out in-depth analyses on the strategic investments needed to support medium and long-term development, including identifying and evaluating the most appropriate related financing structures,
(iv) on 31.12.2025 the Company proceeded to the revaluation of the fixed assets of buildings, land and equipment related to the production lines, the last revaluation process being carried out and recorded on 31.12.2022, this approach, having a significant impact on the book value of the assets and on the correct determination of the financial position and
(v) starting with 01.01.2025, a new ERP system – Microsoft Dynamics 365 Business Central was implemented at the Company's level, which involved the migration, reconciliation and validation of significant volumes of financial-accounting and operational data, as well as the adaptation and standardization of internal work processes, along with the testing and validation of new IT flows.
We specify that the measures and activities in points (i) – (v) above required additional time resources, specialized evaluations and analyses, and a considerable additional operational and analytical effort, with a significant impact on the reported data, which led to delays in the collection, processing and transmission of related information to the financial audit firm and, consequently, in the publication of the financial audit report within the legal deadline.
Finally, we specify that the Company will continue to ensure transparent and prompt communication of shareholders and investors and will proceed to publish the individual and consolidated financial audit report on the individual and consolidated financial statements related to the financial exercise concluded on 31.12.2025 immediately after its completion and that the results of the Company's measures and actions mentioned in this report are reflected in the report published by it for the First Quarter of the year 2026.
Additional information can be obtained by phone 0237 640 800 or by e-mail address raluca.chiriac@vrancart.com.
Alexandru-Lucian MINEA,
CHAIRMAN OF THE BOARD OF DIRECTORS OF VRANCART S.A.