At the end of each reporting period, we determine whether there are any events or indications for impairment of property, plant and equipment and/or financial fixed assets and we investigate whether there are any reasons to fully or partially reverse previously recognised impairments.

Our main cash generating units are the:

• gas transmission network in the Netherlands;
• gas transmission network in Germany;
• BBL Company gas transmission network;
• EnergyStock underground gas storage facility.

There are also various smaller cash generating units; these comprise the other property, plant and equipment and financial fixed assets. The outcomes of our analysis for the most significant cash-generating units are shown below.

Natural gas transmission networks

Changes to the regulatory framework have prompted us to calculate the value in use of both the Dutch and German gas transmission networks as at year-end 2025. These regulatory changes may have consequences for permitted revenues in the future and, consequently, also impact each gas transmission network’s value in use as at 31 December 2025. These consequences may be positive or negative for the company. In both countries, transport tariffs are set by an independent regulatory authority (ACM and BNetzA respectively) and there is a regulatory framework in place that is used as the basis for determining the cash flows.

For both gas transmission networks, we have measured the recoverable amount by conducting a value in use calculation using a discounted cash flow model. No fair value less costs to sell figure was available in either case, but there is no indication that this value would exceed the value in use.

Both for the Dutch and German network, the measurement abides by the provisions of the regulatory framework, such as assumptions regarding permitted revenues, cost reimbursements and capital costs. After the regulatory period, we measured the value of the networks based on the standardised asset value expected at that time (terminal value approach).

The discount rate we used for our value in use calculation equals the capital cost allowance set or expected by the regulatory authority. We determined the future discount rate in the value in use calculation using the same methodology the relevant regulatory authority uses, with the result that the value in use calculation has only limited sensitivity to changes in the discount rate.

The Dutch natural gas transmission network

The value of the Dutch gas transmission network was measured following publication of the final method decision for GTS for the 2027-2031 period by the Netherlands Authority for Consumers and Markets (ACM) on 16 February 2026. This method decision followed a sector-wide agreement between ACM, transmission system operators and several organisations representing network users. The parties to this broadly backed agreement agreed not to appeal the method decision. A key element of the new regulatory framework is the transition from output-based regulation to input-based regulation where costs that were actually incurred and are deemed efficient will basically be reimbursed. ACM verifies the efficiency of costs through cost monitoring and process-based audits. The specifics of these process audits are yet to be determined. In addition, the parties agreed that payables arising from cost reconciliations for the current regulatory period would be spread out over multiple years to avoid excessively high transport tariffs in 2027 and 2028.

The gas transmission network in the Netherlands is considered a single cash-generating unit, with a carrying amount of approximately € 6.3 billion prior to the value in use calculation at year-end 2025. The value in use calculation was conducted using a nominal pre-tax discount rate of 5.4%; The nominal pre-tax discount rate used for the previous value in use calculation (conducted in 2023) was 5.1%.

From this value in use calculation, we determined that the recoverable amount of the gas transmission network is higher than its carrying amount. This does not result in a reversal of the remaining portion of the impairment recognised in 2016, part of which was already reversed in 2020. In assessing this, it was considered that the remaining portion, after taking into account cumulative depreciation, is material and that the effects of the regulatory settlements are temporary in nature.

The German natural gas transmission network

The value of the German gas transmission network was measured following a new regulatory decision by the Bundesnetzagentur (BNetzA) in late 2025, which covers the 2028-2032 regulatory period under the new NEST method (Netze. Effizient.Sicher.Transformiert (Network.Efficient.Safe.Transformed)). Additionally, we have decided to apply both KANU 1.0 and KANU 2.0 from 2026 onwards, which allows for accelerated regulatory depreciation to limit residual value risks, in line with the German target of reaching climate neutrality by 2045. Definitive values were also set for several parameters from the current regulatory period, including the permitted return on equity. Alongside Gasunie Deutschland, the cash-generating unit includes interests in our joint ventures NETRA and DEUDAN, because these also perform regulated network management activities. The combined carrying amount of the German gas transmission network totalled approximately € 1.8 billion, while that of the joint ventures came in at approximately € 0.1 billion, as measured prior to the value-in-use calculation at year-end 2025.

The value in use calculation was conducted using a nominal pre-tax discount rate in the range of 3.6% to 5.3%. We calculated the regulated return on capital for our own purposes, as this figure is not published in Germany during the current regulatory period. The factors we used in this calculation included a return on equity of 5.07% for the current regulatory period and 6.85% before tax thereafter, as well as a 2.02% interest rate on debt for the current regulatory period and 3.44% thereafter. With the implementation of NEST in 2028, BNetzA will start calculating and publishing a return on capital figure. Due to the fact that both the estimated revenue inflows and the discounting are based on the regulatory return on capital, the outcomes of the value in use calculation are hardly sensitive to changes in the discount rate. The nominal pre-tax discount rate used for the previous value in use calculation (conducted in 2022) was 5.8%.

From this value in use calculation, we determined that the recoverable amount of the gas transmission network in Germany is approximately € 140.7 million lower than its carrying amount. This impairment is caused primarily by differences between IFRS and regulatory carrying amounts, the discontinuation of the inflation adjustment on capital cost allowances in revenue under NEST and regulatory settlements that we will be settling with our customers over the coming years. Relating solely to property, plant and equipment in the Gasunie Deutschland operating segment, this impairment has been taken to profit or loss separately.

BBL Company gas transmission network

Our assessment has not revealed any indication of impairment of the BBL Company gas transmission network as at 31 December 2025.

EnergyStock underground gas storage facility

Our assessment has not revealed any indication of impairment of the EnergyStock gas storage facility as at 31 December 2025.

We determined the recoverable amount of the assets of our interest in EemsEnergyTerminal as the fair value minus the costs of disposal. Given that, at year-end 2025, there was no directly comparable fair value we could use to derive the fair value of these assets (based on comparable transactions, for example), we applied a measurement method based as much as possible on market-based observations (the income approach). We applied this method to determine a price that knowledgeable willing market parties would, under normal circumstances, agree on for a transaction on the balance sheet date, taking into account the prevailing market conditions. This is a level three fair value measurement.

The starting point for the test was the business plan drawn up by the management of EemsEnergyTerminal and approved by the shareholders, which runs until mid-2027. For the period beyond mid-2027, we are anticipating an extension of the existing business case by 8.5 years. This is based on the most recent market insights regarding the terminal’s projected volumes, revenue and costs. We used a nominal post-tax discount rate of 7% to 8% for this impairment test (same as in 2024). The discount rate used also incorporates a risk premium to cover the risks involved in extending the business case. The final decision on the extension is expected in the fourth quarter of 2026, following a conditional decision that we expect to be made in the first half of 2026. If a final decision on the extension is ultimately not made, and we do not develop any other/alternative activities either, there is a risk of impairment of our stake in EemsEnergyTerminal. 

Based on our test, we have concluded that the recoverable amount for our interest in EemsEnergyTerminal would be higher than the carrying amount and so, accordingly, no impairment was recognised at year-end 2025.