DESCRIPTION OF BUSINESS AND BASIS OF PREPARATION OF THE CONSOLIDATED FINANCIAL STATEMENTS

Schedule of income statement information

Presented below is the Segment financial information for the years ended December 31, 2024, 2023 and 2022:

◻

Consolidated Income Statement as of December 31, 2024


		ICT Services in Argentina						Other segments


		Currency						Currency
		of the		Inflation		In current		of the		Inflation		In current
		transaction date		restatement		currency		transaction date		restatement		currency		Eliminations		Total
Revenues		3,165,736		1,505,485		4,671,221		266,915		136,412		403,327		(28,088)		5,046,460
Operating costs without depreciation, amortization and impairment of Fixed Assets
Employee benefit expenses and severance payments		(823,975)		(387,863)		(1,211,838)		(24,450)		(12,345)		(36,795)		—		(1,248,633)
Fees for services, maintenance, materials and supplies		(393,042)		(230,507)		(623,549)		(35,839)		(18,360)		(54,199)		6,379		(671,370)
Taxes and fees with the Regulatory Authority		(258,519)		(122,395)		(380,914)		(10,931)		(5,303)		(16,234)		—		(397,148)
Commissions and advertising		(133,932)		(59,776)		(193,708)		(62,477)		(30,903)		(93,380)		3,850		(283,237)
Programming and content costs		(172,422)		(79,865)		(252,287)		(25,570)		(13,662)		(39,232)		—		(291,518)
Other operating costs without depreciation, amortization and impairment of Fixed Assets		(429,466)		(249,015)		(678,481)		(47,831)		(25,347)		(73,178)		17,859		(733,800)
Adjusted EBITDA		954,380		376,064		1,330,444		59,817		30,492		90,309		—		1,420,754

Depreciation, amortization and impairment of Fixed Assets																(1,599,394)
Operating loss																(178,640)
Losses from associates and joint ventures																(13,994)
Financial results from borrowings																1,775,302
Other financial results, net																176,574
Income before income tax																1,759,242
Income tax expense																(499,029)
Net income																1,260,213

Attributable to:
Controlling Company																1,234,786
Non-controlling interest																25,427
																1,260,213

◻

Consolidated Income Statement as of December 31, 2023


		ICT Services in Argentina						Other segments


		Currency						Currency
		of the		Inflation		In current		of the		Inflation		In current
		transaction date		restatement		currency		transaction date		restatement		currency		Eliminations		Total
Revenues		1,053,442		4,054,964		5,108,406		81,877		304,538		386,415		(25,900)		5,468,921
Operating costs without depreciation, amortization and impairment of Fixed Assets
Employee benefit expenses and severance payments		(279,608)		(1,048,459)		(1,328,067)		(8,277)		(30,054)		(38,331)		—		(1,366,399)
Fees for services, maintenance, materials and supplies		(131,861)		(516,072)		(647,933)		(9,292)		(33,968)		(43,260)		4,049		(687,145)
Taxes and fees with the Regulatory Authority		(83,591)		(322,723)		(406,314)		(2,968)		(10,864)		(13,832)		—		(420,146)
Commissions and advertising		(52,319)		(204,474)		(256,793)		(13,346)		(52,200)		(65,546)		2,023		(320,316)
Programming and content costs		(55,317)		(212,429)		(267,746)		(8,532)		(32,272)		(40,804)		—		(308,550)
Other operating costs without depreciation, amortization and impairment of Fixed Assets		(145,951)		(627,424)		(773,375)		(15,714)		(58,243)		(73,957)		19,828		(827,504)
Adjusted EBITDA		304,795		1,123,383		1,428,178		23,748		86,937		110,685		—		1,538,861

Depreciation, amortization and impairment of Fixed Assets																(1,871,032)
Operating loss																(332,171)

Losses from associates and joint ventures																(5,014)
Financial results from borrowings																(1,684,704)
Other financial results, net																460,325
Income before income tax																(1,561,564)
Income tax benefit																898,403
Net loss																(663,161)

Attributable to:
Controlling Company																(684,523)
Non-controlling interest																21,362
																(663,161)

◻

Consolidated Income Statement as of December 31, 2022


		ICT Services in Argentina						Other segments


		Currency						Currency
		of the		Inflation		In current		of the		Inflation		In current
		transaction date		restatement		currency		transaction date		restatement		currency		Eliminations		Total
Revenues		505,735		5,156,705		5,662,440		36,650		371,834		408,484		(39,926)		6,030,998
Operating costs without depreciation, amortization and impairment of Fixed Assets
Employee benefit expenses and severance payments		(135,282)		(1,353,789)		(1,489,071)		(2,551)		(25,827)		(28,378)		6,650		(1,510,799)
Fees for services, maintenance, materials and supplies		(60,618)		(633,353)		(693,971)		(4,365)		(43,458)		(47,823)		10,182		(731,612)
Taxes and fees with the Regulatory Authority		(40,156)		(409,498)		(449,654)		(1,194)		(12,247)		(13,441)		—		(463,095)
Commissions and advertising		(27,422)		(275,424)		(302,846)		(5,868)		(57,338)		(63,206)		761		(365,292)
Programming and content costs		(29,442)		(302,107)		(331,549)		(4,285)		(42,487)		(46,772)		—		(378,320)
Other operating costs without depreciation, amortization and impairment of Fixed Assets		(75,866)		(796,908)		(872,774)		(6,571)		(67,544)		(74,115)		22,333		(924,556)
Adjusted EBITDA		136,949		1,385,626		1,522,575		11,816		122,933		134,749		—		1,657,324

Depreciation, amortization and impairment of Fixed Assets																(4,096,755)
Operating loss																(2,439,431)

Losses from associates and joint ventures																6,773
Financial results from borrowings																246,010
Other financial results, net																266,606
Income before income tax																(1,920,042)
Income tax benefit																219,213
Net loss																(1,700,829)

Attributable to:
Controlling Company																(1,718,966)
Non-controlling interest																18,137
																(1,700,829)

Schedule of national consumer price index according to official statistics (INDEC)


		As of December 31,		As of December 31,		As of December 31,		As of September 30,
		2022		2023		2024		2025

National Consumer Price Index (National CPI) (December 2016=100)		1,134.6		3,533.2		7,694.0		9,384.1

Variation in Prices
Accumulated for the twelve-month period ended		94.8	%	211.4	%	117.8	%	31.8	%
Accumulated for the nine-month period ended		n/a		n/a		n/a		22.0	%

Banco Nación US$/$ exchange rate		177.2		808.4		1,032.0		1,380.0

Variation in the exchange rate
Accumulated for the twelve-month period ended		72.5	%	356.3	%	27.7	%	42.2	%
Accumulated for the nine-month period ended		n/a		n/a		n/a		33.7	%