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Financial Information for the Three Months Ended March 31, 2026 and 2025 of Kenon and OPC and
Reconciliation of Certain non-IFRS Financial Information

Table of Contents

Appendix A: Summary of Kenon’s consolidated financial information

Appendix B: Summary of OPC’s consolidated financial information

Appendix C: Definition of OPC’s Adjusted EBITDA and non-IFRS reconciliation

Appendix A

Summary Kenon consolidated financial information

Kenon Holdings Ltd. and its subsidiaries
Consolidated Statements of Financial Position (Unaudited)

   
March 31,
    
December 31,
  
   
2026
    
2025
  
   
$ millions
  
Current assets
            
Cash and cash equivalents
    
1,772
      
1,478
  
Trade receivables
    
122
      
137
  
Short-term derivative instruments
    
-
      
16
  
Other investments
    
96
      
107
  
Other current assets
    
42
      
65
  
Total current assets
    
2,032
      
1,803
  
Non-current assets
                
Investment in OPC’s associated companies
    
1,348
      
1,626
  
Long-term restricted cash
    
165
      
164
  
Long-term derivative instruments
    
13
      
13
  
Deferred taxes, net
    
11
      
10
  
Property, plant and equipment, net
    
2,391
      
1,372
  
Intangible assets, net
    
84
      
83
  
Long-term prepaid expenses and other non-current assets
    
19
      
108
  
Right-of-use assets, net
    
333
      
201
  
Total non-current assets
    
4,364
      
3, 577
  
Total assets
    
6,396
      
5,380
  
Current liabilities
                
Current maturities of loans from banks and others
    
145
      
117
  
Trade and other payables
    
353
      
245
  
Short-term derivative instruments
    
28
      
-
  
Current maturities of lease liabilities
    
17
      
3
  
Total current liabilities
    
543
      
365
  
Non-current liabilities
                
Long-term loans from banks and others
    
1,661
      
1,142
  
Debentures
    
475
      
510
  
Deferred taxes, net
    
167
      
162
  
Other non-current liabilities
    
64
      
8
  
Long-term derivative instruments
    
9
          
Long-term lease liabilities
    
163
      
8
  
Total non-current liabilities
    
2,539
      
1, 830
  
Total liabilities
    
3,082
      
2,195
  
Equity
                
Share capital
    
50
      
50
  
Translation reserve
    
38
      
36
  
Capital reserve
    
42
      
48
  
Accumulated profit
    
1,371
      
1,455
  
Equity attributable to owners of the Company
    
1,501
      
1,589
  
Non-controlling interests
    
1,813
      
1,596
  
Total equity
    
3,314
      
3,185
  
Total liabilities and equity
    
6,396
      
5,380
  

2
Kenon Holdings Ltd. and its subsidiaries
Consolidated Statements of Profit or Loss (Unaudited)
 
   
For the three months ended
March 31,
  
   
2026
    
2025
  
   
$ millions
  
Revenue
    
317
      
183
  
Cost of sales and services (excluding depreciation and amortization)
    
(245
)
    
(139
)
Depreciation and amortization
    
(25
)
    
(17
)
Gross profit
    
47
      
27
  
Selling, general and administrative expenses
    
(26
)
    
(18
)
Other expenses, net
    
(17
)
    
-
  
Operating profit
    
4
      
9
  
Financing expenses
    
(31
)
    
(23
)
Financing income
    
36
      
12
  
Financing income/(expenses), net
    
5
      
(11
)
Share in profit of OPC’s associated companies, net
    
34
      
38
  
Profit before income taxes
    
43
      
36
  
Income tax expense
    
(9
)
    
(9
)
Profit for the period
    
34
      
27
  
Attributable to:
                
Kenon’s shareholders
    
26
      
12
  
Non-controlling interests
    
8
      
15
  
Profit for the period
    
34
      
27
  
                 
Basic/diluted profit per share attributable to Kenon’s shareholders (in dollars):
                
Basic/diluted profit per share
    
0.49
      
0.22
  
 
3
Kenon Holdings Ltd. and its subsidiaries
Consolidated Statements of Cash Flows (Unaudited)

   
For the three months ended March 31,
  
   
2026
    
2025
  
   
$ millions
  
Cash flows from operating activities
            
Profit for the period
    
34
      
27
  
Adjustments:
                
Depreciation and amortization
    
26
      
19
  
Financing (income)/expenses, net
    
(5
)
    
11
  
Share in profit of associated companies, net
    
(34
)
    
(38
)
Share-based payments
    
5
      
-
  
Other expenses, net
    
22
      
3
  
Income tax expense
    
9
      
9
  
     
57
      
31
  
Change in trade and other receivables
    
26
      
3
  
Change in trade and other payables
    
(50
)
    
12
  
Payment under CPV Group’s profit participation plan
    
(70
)
    
-
  
Cash (used in)/generated from operating activities
    
(37
)
    
46
  
Income taxes paid, net
    
(2
)
    
-
  
Dividends received from associate companies, net
    
21
      
16
  
Net cash (used in)/provided by operating activities
    
(18
)
    
62
  

4
Kenon Holdings Ltd. and its subsidiaries
Consolidated Statements of Cash Flows (Unaudited), continued

   
For the three months ended
March 31,
  
   
2026
    
2025
  
   
$ millions
  
Cash flows from investing activities
            
Short-term deposits and restricted cash, net
    
(1
)
    
-
  
Investment in associated companies, less cash acquired
    
(77
)
    
(77
)
Acquisition of property, plant and equipment
    
(126
)
    
(13
)
Acquisition of non-controlling interest
    
(8
)
    
-
  
Acquisition of subsidiaries, less cash acquired
    
64
      
-
  
Proceeds from other investments
    
12
      
14
  
Proceeds from equity-accounted investee company capital distribution
    
11
      
-
  
Long-term loan repayment from an equity-accounted investee company
    
29
      
-
  
Interest received
    
22
      
11
  
Proceeds from transactions in derivatives not for hedging, net
    
34
      
-
  
Net cash used in investing activities
    
(40
)
    
(65
)
                 
Cash flows from financing activities
                
Repayment of long-term loans, debentures and lease liabilities
    
(58
)
    
(44
)
Investments of holders of non-controlling interests in the capital of a subsidiary
    
309
      
5
  
Proceeds from long-term loans
    
120
      
43
  
Repurchase of own shares
    
-
      
(10
)
Proceeds from short-term loans
    
5
      
-
  
Interest paid
    
(29
)
    
(16
)
Net cash generated from/(used in) financing activities
    
347
      
(22
)
                 
Increase/(decrease) in cash and cash equivalents
    
289
      
(25
)
Cash and cash equivalents at beginning of the year
    
1,478
      
1,016
  
Effect of exchange rate fluctuations on balances of cash and cash equivalents
    
5
      
(4
)
Cash and cash equivalents at end of the period
    
1,772
      
987
  

5
Information regarding reportable segments
 
Information regarding activities of the reportable segments are set forth in the following table.
 
   
For the three months ended March 31, 2026
  
   
OPC Israel
    
CPV Group
    
Other
    
Consolidated Results
  


$ millions
  
Revenue
    
181
      
136
      
-
      
317
  
Cost of sales (excluding depreciation and amortization)
    
(131
)
    
(114
)
    
-
      
(245
)
Depreciation and amortization
    
(18
)
    
(8
)
    
-
      
(26
)
Financing income
    
5
      
6
      
25
      
36
  
Financing expenses
    
(17
)
    
(14
)
    
-
      
(31
)
Share in profit of associated companies
    
-
      
34
      
-
      
34
  
Profit before taxes
    
10
      
9
      
24
      
43
  
Income tax expense          
    
(6
)
    
-
      
(3
)
    
(9
)
Profit for the period
    
4
      
9
      
21
      
34
  

   
For the three months ended March 31, 2025
  
   
OPC Israel
    
CPV Group
    
Other
    
Consolidated Results
  


$ millions
  
Revenue
    
146
      
37
      
-
      
183
  
Cost of sales (excluding depreciation and amortization)
    
(105
)
    
(34
)
    
-
      
(139
)
Depreciation and amortization
    
(19
)
    
-
      
-
      
(19
)
Financing income
    
1
      
2
      
9
      
12
  
Financing expenses
    
(14
)
    
(2
)
    
(7
)
    
(23
)
Share in profit of associated companies
    
-
      
38
      
-
      
38
  
Profit before taxes
    
5
      
28
      
3
      
36
  
Income tax expense
    
(2
)
    
(5
)
    
(2
)
    
(9
)
Profit for the period
    
3
      
23
      
1
      
27
  

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Appendix B
 
Summary of OPC consolidated financial information
 
OPC’s Consolidated Statements of Profit or Loss

   
For the three months ended March 31,
  
   
2026
    
2025
  
   
$ millions
  
Revenue
    
317
      
183
  
Cost of sales (excluding depreciation and amortization)
    
(245
)
    
(139
)
Depreciation and amortization
    
(24
)
    
(17
)
Gross profit
    
48
      
27
  
Selling, general and administrative expenses
    
(25
)
    
(17
)
Other expenses, net
    
(17
)
    
(3
)
Operating profit
    
6
      
7
  
Financing expenses
    
(31
)
    
(16
)
Financing income
    
11
      
3
  
Financing expenses, net
    
(20
)
    
(13
)
Share in profit of associated companies, net
    
34
      
38
  
Profit before income taxes
    
20
      
32
  
Income tax expense
    
(6
)
    
(7
)
Profit for the period
    
14
      
25
  
                 
Attributable to:
                
Equity holders of the company
    
12
      
18
  
Non-controlling interest
    
2
      
7
  
Profit for the period
    
14
      
25
  
 
7
Summary Data from OPC’s Consolidated Statement of Cash Flows
 
   
For the three months ended
March 31,
  
   
2026
    
2025
  
   
$ millions
  
Cash flows (used in)/provided by operating activities
    
(15
)
    
65
  
Cash flows used in investing activities
    
(92
)
    
(87
)
Cash flows provided by/(used in) financing activities
    
347
      
(12
)
Increase/(decrease) in cash and cash equivalents
    
240
      
(34
)
Cash and cash equivalents at beginning of the year
    
913
      
263
  
Effect of exchange rate fluctuations on balances of cash and cash equivalents
    
5
      
(4
)
Cash and cash equivalents at end of the period
    
1,158
      
225
  

Summary Data from OPC’s Consolidated Statement of Financial Position
 
 
  
As at
  
 
  
March 31,
2026
    
December 31,
2025
  
 
  
$ millions
  
Total financial liabilities1
    
2,281
      
1,769
  
Total monetary assets2
    
1,323
      
1,077
  
Investment in associated companies
    
1,348
      
1,626
  
Total equity attributable to the owners
    
2,288
      
2,028
  
Total assets
    
5,691
      
4,698
  
 
1.
Including loans from banks and others and debentures
2.
Including cash and cash equivalents, term deposits and restricted cash
 
8
Appendix C
 
Definition of OPC’s EBITDA and Adjusted EBITDA including proportionate share in associated companies and non-IFRS reconciliation
 
This press release presents OPC’s Adjusted EBITDA including proportionate share in associated companies, which is a non-IFRS financial measure.
 
OPC’s EBITDA is defined for each period as net profit/(loss) before depreciation and amortization, financing expenses, net, and income tax expense. OPC’s Adjusted EBITDA, including proportionate share in associated companies, is defined as EBITDA as further adjusted for expenses not in the ordinary course of business and/or of a non-recurring nature and share of depreciation and amortization, financing expenses and income tax expenses (if any) of associated companies.  EBITDA and Adjusted EBITDA including proportionate share in associated companies are not recognized under IFRS as a measure of financial performance and should not be considered as a substitute for net profit or loss, cash flow from operations or other measures of operating performance determined in accordance with IFRS. EBITDA and Adjusted EBITDA including proportionate share in associated companies are not intended to represent funds available for dividends or other discretionary uses because those funds may be required for debt service, capital expenditures, working capital and other commitments and contingencies. There are limitations that impair the use of EBITDA and Adjusted EBITDA including proportionate share in associated companies as measures of OPC’s profitability since it does not take into consideration certain costs and expenses that result from OPC’s business that could have a significant effect on net profit, such as financial expenses, taxes, and depreciation and amortization.
 
OPC believes that the disclosure of EBITDA and Adjusted EBITDA including proportionate share in associated companies provides useful information to investors and financial analysts in their review of the company’s, its subsidiaries’, and its associated companies’ operating performance and in the comparison of such operating performance to the operating performance of other companies in the same industry or in other industries that have different capital structures, debt levels and/or income tax rates.
 
Set forth below is a reconciliation of OPC’s net profit to EBITDA and Adjusted EBITDA including proportionate share in associated companies for the periods presented. Other companies may calculate EBITDA and Adjusted EBITDA including proportionate share in associated companies differently, and therefore this presentation of EBITDA and Adjusted EBITDA including proportionate share in associated companies may not be comparable to other similarly titled measures used by other companies.

   
For the three months ended
March 31,
  
 
  
2026
    
2025
  
 
  
$ millions
  
Profit for the period
    
14
      
25
  
Depreciation and amortization
    
26
      
19
  
Financing expenses, net
    
20
      
13
  
Income tax expense
    
6
      
7
  
EBITDA
    
66
      
64
  
Share in depreciation and amortization and financing expenses included within share in profit of associated companies, net
    
41
      
46
  
Changes in net expenses, not in the ordinary course of business and/or of a non-recurring nature
    
17
      
3
  
Adjusted EBITDA including proportionate share in associated companies
    
124
      
113
  

9