CORPORATE ANNOUNCEMENT

SERRES 7/10/2024

Papapanagiotou ABEEA DROMEAS, consistently focused on timely and accurate information for the investing public and all those citizens who have any relationship with it (customers, suppliers, partners), is obliged to make the following clarifications, following related articles (Naftemporiki). (For more detailed information, please refer to the recently published semi-annual financial report 1/1/2024-30/6/2024 (https://www.dromeas.gr/company/investors information/).

(1) The evolution of turnover must be assessed with a more macroscopic approach. Indeed, in the first half of 2024, turnover is slightly decreased by 6.3% compared to the first half of 2023, but it is 20% and 55% higher than the corresponding periods of 2022 and 2021, respectively! Moreover, given DROMEAS’s great success in exclusively covering the needs of entities such as the European Commission and the German Army, it is obvious that fluctuations may occur during the year precisely due to the discontinuous development of projects of such scale.

(2) Beyond the above, DROMEAS records an increase in earnings before interest, taxes, depreciation, and amortization (EBITDA) in the first half of 2024 both in absolute terms and, obviously, relative to turnover: 15.14% versus 11.75% in the corresponding period of 2023.

(3) Regarding the evolution of the company’s actual liabilities, both long-term and short-term, these amount on a consolidated basis to €28 million (and not €35 million), as for their correct evaluation the total of €6,859,584.00 must be deducted, which concerns:

(a) €5,081,099.03 deferred tax liabilities arising from temporary differences between tax books and financial statements according to International Accounting Standards.

(b) €1,778,485.23 relating to received grants for fixed asset investments (which, although non-repayable, for the application of International Accounting Standards appear under long-term liabilities with the annual amortization provided. (See paragraphs 7.13 and 7.15 of the published semi-annual report.)

(4) DROMEAS has reduced its long-term bank debt in recent years from €23.3 million in 2016 to €13 million in June 2024.

(5) Also to be considered is that our company has made investments amounting to €6.75 million in only the last five years.