17 Goodwill

The carrying amount of goodwill came to € 1,406.0 million as of June 30, 2026 (December 31, 2025: € 1,391.7 million). The increase of € 14.3 million is a result of the purchase of an additional 40% stake in QUARTERBACK New Energy Holding GmbH and the associated acquisition of control. The provisional goodwill was allocated to the Other segment. To date, it has not been tested for impairment, as the underlying values are still provisional. In addition, there is an unchanged goodwill amount of € 1,391.7 million in the Value-add segment. An ad hoc impairment test was conducted for the Value-add segment as of June 30, 2026, due to the latest market developments (the market capitalization value was lower than the value of shareholders’ reported equity).

For the purposes of the ad hoc impairment test on goodwill as of June 30, 2026, the five-year plan for the Value-add segment for the fiscal years from 2026 to 2030 was taken as a basis. This also forms part of the five-year plan for the Group as a whole as approved by the Management Board and acknowledged by the Supervisory Board. The plan is based on assessments regarding the development of the operating business areas in terms of future revenue, expenses and margins, and taking current market developments into account.

The value of the goodwill for the Value-add group of cash-generating units (CGUs) was ultimately confirmed by the impairment test. The impairment test is performed by comparing the carrying amount of the Value-add CGU against its value in use. Developments in the Value-add segment are characterized primarily by the extension of existing business areas (craftsmen’s organization, multimedia, management of residential property, smart metering, energy service, etc.).  On the other hand, there is an increase in operating expenses, taking into account the rate of inflation. The development in these values is in line with past experiences of business model development.

The cash flows from the last detailed planning year were derived to calculate the perpetual annuity.

The perpetuity was calculated on the basis of planning year 2030, taking into account the long-term growth rate of 1.5% (December 31, 2025: 1.5%).

The weighted average cost of capital before tax is based on the risk-free interest rate calculated as a three-month average using the Svensson method, a market risk premium and a levered beta. The levered beta and the equity ratios used are determined on the basis of a peer comparison. The main parameters are shown in the following table:

An increase in the cost of capital would result in the following need for impairment:

In the event of a drop in the planned sustainable rate of increase by 0.5 percentage points, there would be no impairment losses in the Value-add segment.

In the previous year, too, a drop in the sustainable rate of increase by 0.5 percentage points would not have triggered any impairment losses in the Value-add segment.