Information on the creation of an impairment write-down for the value of assets in a subsidiary in the annual consolidated financial statements of the Wirtualna Polska Holding Capital Group for 2025
Current Report No. 2/2026 dated 13 March 2026
Information on the creation of an impairment write-down for the value of assets in a subsidiary in the annual consolidated financial statements of the Wirtualna Polska Holding Capital Group for 2025
Legal basis: Article 17.1 MAR
Content of Report:
The Management Board of Wirtualna Polska Holding S.A. ("Company", "Issuer") announces that, in the process of preparing its consolidated financial statements for 2025, the Company conducted impairment tests on cash-generating units ("CGUs").
The impairment test was conducted in accordance with International Accounting Standards ("IFRS"). The valuation methodology for impairment tests was prepared in accordance with IAS 36 and is based on the income approach (DCF). This methodology assumes the forecasting and discounting of future cash flows generated by a given CGU to estimate its value in use. The resulting value in use is then compared to the net asset value of the CGU. If the value in use is determined to be lower than the net asset value of the CGU, an impairment loss is recognized in accordance with IFRS requirements.
The Company announces that, due to the Szallas Group CGU's performance falling short of previous forecasts, impairment tests conducted have revealed the need to write down the value of the tested assets (goodwill) in the amount of PLN 150 million. The Management Board identified the main factors contributing to the impairment, migration to an underperforming technology platform, the slow transition of the Company's business model in Poland from an advertising-based to a booking-based business, improper hiring decisions, an erroneous decision to centralize selected function, and, additionally, among other factors, historically insufficient spending on brand marketing, rising online user acquisition costs (particularly within the Google ecosystem), and the scaling back of government subsidy programs for domestic travel in Hungary and Romania.
The write-down will reduce the consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) and the consolidated net result of the Wirtualna Polska Holding Capital Group in the fourth quarter of 2025. The write-down will not impact cash flow or adjusted EBITDA.
Szallas Group operates as a travel online agent, focusing primarily on domestic tourism, primarily in the Hungarian, Polish, Czech, and Romanian markets. The Group's portfolio includes brands such as Szallas, Nocowanie, Travelminit, Hotely.cz, Spa.cz, and Litoralul Romanesc.
The amounts presented are estimates and subject to change. The final value of the impairment loss will be presented in the consolidated financial statements for 2025, which will be audited and published on March 24, 2026.
The Company also announces that personnel and business changes have taken place at Szallas Group, including termination of an agreement with VP E-commerce of WP Holding, acting CEO of Szallas Group, effective at the end of November 2025.
These changes include: (i) a limited reduction in headcount of approximately 70 people, representing less than 15% of the total headcount at Szallas Group; (ii) accelerating the development of the technology platform by collaborating with an external supplier; (iii) simplifying the product portfolio by closing non-strategic business lines; and (iv) building a new management structure.
Legal basis: Article 17. 1 of European Parliament and Council Regulation No 596/2014 of 16 April 2014 on market abuse (Market Abuse Regulation) and repealing Directive 2003/6 / EC of the European Parliament and of the Council and Commission Directive 2003/124 / EC, 2003/125 /EC and 2004/72 / EC
Signatures of the individuals representing the Company:
Jacek Świderski – President of the Management Board/Chief Executive Officer
Elżbieta Bujniewicz - Belka – Member of the Management Board/Chief Financial Officer