11. Deferred Taxes

The amounts of deferred tax assets and liabilities are shown below. Apart from changes in the current year, these also include deferred taxes to be recognised in the context of the initial consolidation of acquired companies and tax effects from changes in equity outside profit or loss.

The assessment of the impairment of deferred tax assets depends on the management’s view of how likely it is that the deferred tax assets will be realised. This, in turn, depends on the generation of future taxable profits, in connection with which the tax valuation differences are reversed and unused tax losses can be asserted.

Under current tax provisions, unused domestic tax losses are regarded as unlimited. The restricted use of loss offsetting possibilities (minimum taxation) under German tax law and time limits of foreign tax losses were taken into consideration in the assessment of the impairment of deferred tax assets on unused losses.

If a tax entity has a loss history in the recent past, deferred tax assets from loss carryforwards of this entity will be recognised only if there are sufficient taxable temporary differences or substantial indications of the realisation of such.

For the determination of the amount of deferred tax assets that can be capitalised, material assumptions and estimates of the management are required concerning the expected time of occurrence and amount of income subject to future taxation, as well as the future tax planning strategies. The capitalised deferred taxes on loss carryforwards at various companies that generated a loss in 2024 and/or 2025 and which are not offset by net deferred tax liabilities amount to €0 thousand (previous year: €6 thousand). Based on the planning of the companies and their current earnings performance, we believe that the deferred tax assets will be realised by means of adequate taxable profits.

Unused tax loss carryforwards for which no deferred tax assets were recognised in the balance sheet amounted to €3,036 thousand (previous year: €1,983 thousand) for corporation tax, €3,331 thousand (previous year: €2,432 thousand) for trade tax and €340 thousand (previous year: €283 thousand) for losses from foreign companies.

As of 31 December 2025, deferred tax liabilities of €211 thousand (previous year: €106 thousand) were recognised for taxes on unremitted earnings of Bechtle subsidiaries.

The temporary differences in connection with shares in subsidiaries for which no tax liabilities were recognised amount to a total of €58,855 thousand (previous year: €54,242 thousand).

Of the deferred taxes recognised in the balance sheet, a total of €15,103 thousand increased goodwill and €1,042 thousand reduced equity (previous year: €14,215 thousand increased goodwill and €322 thousand increased equity) without affecting the income statement. For details concerning the deferred taxes accounted for outside profit or loss, refer to chapter IV. Further explanatory Notes on the Balance Sheet, 17. Equity, retained earnings.