ÖBB Annual Report 2025

Consolidated Financial Statements 218 Österreichische Bundesbahnen-Holding Aktiengesellschaft Consolidated Financial Statements | Group Management Report 26 Short-term leases and leases based on low-value assets The ÖBB Group has made use of the practical expedient not to recognize right-of-use assets and lease liabilities for leases based on low-value assets (up to EUR 5,000.00), short-term leases and intangible assets. The ÖBB Group recognizes the lease payments associated with these leases as an expense on a straight-line basis over the term of the lease. Lessor The ÖBB Group also acts as lessor and classifies each lease as either a finance lease or an operating lease at the inception of the contract. To classify each lease, the ÖBB Group made an overall assessment of whether the lease substantially transfers all the risks and opportunities incidental to ownership of the underlying asset. If this is the case, the lease is classified as a finance lease; if not, it is an operating lease. As part of this assessment, the ÖBB Group uses certain indicators, such as whether the lease covers the major part of the economic useful life of the asset. If it acts as an intermediate lessor, the ÖBB Group accounts separately for the main lease and the sublease. It classifies the sublease on the basis of its right of use under the main lease and not on the basis of the underlying asset. If the main lease is a short-term lease to which the ÖBB Group applies the exceptions described above, it classifies the sublease as an operating lease. Lease payments from operating leases are recognized by the ÖBB Group as income in revenue on a straight-line basis over the term of the lease. Employee benefit commitments The ÖBB Group has only entered into pension commitments which have been individually agreed upon, including for a former member of the Board of Management. Apart from this obligation, there are only defined contribution plans with respect to pensions. The ÖBB Group pays contributions to publicly or privately administered pension and severance insur- ance plans on a mandatory or contractual basis for these defined contribution plans. Apart from the contribution payments, there are no further payment obligations. The regular contributions are recognized as personnel expenses in the respective period. All other obligations (severance payments for employees whose employment began before January 1, 2003 and anniversary bonuses) result from unfunded defined benefit plans for which adequate provisions are recognized. The ÖBB Group calcu- lates the provision using the projected unit credit method (PUC method) in accordance with IAS 19 “Employee Benefits.” The remeasurement of net defined benefit obligations contains only actuarial gains or losses. The defined benefit obliga- tions are measured in accordance with actuarial principles and are based on an objective estimate of the discounting factor and compensation increases along with turnover. In accordance with this method, the ÖBB Group recognizes actuarial gains and losses from provisions for severance payments in other comprehensive income and those from provisions for anniversary bonuses in personnel expenses. Following a legal amendment, employees hired in Austria after January 1, 2003 are covered by a defined contribution plan with regard to obligations from severance payments. Contributions are paid into a defined contribution plan. See Note26.1 for further details. Provisions for disposal, restoration, and similar liabilities In accordance with IAS 16 “Property, Plant and Equipment,” the acquisition cost of property, plant, and equipment also includes the initial estimate of the cost of dismantling and removing the item and restoring the site on which it is located. Provisions for disposal, restoration, and similar liabilities are measured in accordance with the regulations of IAS 37 (“Pro- visions, Contingent Liabilities and Contingent Assets”). The impacts of changes in the measurement of existing provisions for disposal, restoration and similar liabilities are accounted for in accordance with IFRIC 1 (“Changes in Existing Decom- missioning, Restoration and Similar Liabilities”). The provisions require that any increase of such a liability that reflects the passage of time shall be recognized in profit or loss. Changes in the measurement resulting from changes in the estimated maturity or the amount of the outflow of resources required to fulfill the obligation or from changes in the discount rate must be added to or deducted from the acquisition cost of the relevant asset in the current period. The amount deducted from the acquisition cost of the asset may not exceed its carrying amount.