Accounting policies

These consolidated financial statements for the financial year from 1 July 2025 to 30 June 2026, including the prior-year information, were prepared in accordance with IFRS® Accounting Standards, as adopted in the European Union and in force at the end of the reporting period, and the supplementary provisions of German commercial law required to be observed in accordance with § 315e HGB. The IFRSs published by the International Accounting Standards Board (IASB), London, comprise the newly issued IFRSs, IAS® standards (IAS) and IFRIC® and SIC® interpretations.

Borussia Dortmund applied the following Standards, Interpretations and amendments to existing Standards, as adopted by the European Union, for the first time in the 2025/2026 financial year:

Accounting standards issued by the IASB, but not yet applied by the Company:

The IASB issued IFRS 18 “Presentation and Disclosure in Financial Statements” on 9 April 2024. The standard was adopted into European law following of its publication in the Official Journal of the EU on 16 February 2026. IFRS 18 is subject to mandatory application for periods beginning on or after 1 January 2027 (with retrospective application for the 2026 comparative period) and introduces a standardised presentation of the income statement, broken down into the operating, investing and financing categories with two new mandatory subtotals. Income taxes and discontinued operations will each continue to form a separate category. The standard does not change the net profit or loss for the period, but requires that the individual items of income and expense be classified in one of the new categories. As things currently stand, the following reclassifications are expected in particular:

• The net income/loss from investments accounted for using the equity method will be classified in the investing category.

• Interest income from cash and cash equivalents will generally be classified in the investing category.

• Interest expenses on finance and lease liabilities and the unwinding of discounted non-current provisions will be classified in the financing category; effects arising from changes in the best estimate of the settlement amount for non-current provisions will remain classified in the operating category.

• Foreign currency translation differences and gains and losses on derivatives will generally be classified in the category in which the underlying or hedged item is classified.

The new requirements include mandatory disclosures on management-defined performance measures (MPMs), as well as expanded requirements regarding the aggregation, disaggregation and description of items, and any structured notes that go beyond the previous scope of reporting. Furthermore, going forward the subtotal for operating profit or loss will be used as the starting point for calculating operating cash flows when applying the indirect method in the statement of cash flows.

The following (primary) impacts are expected on the consolidated financial statements of Borussia Dortmund:

• The introduction of new subtotals within the income statement.

• The standard does not change the net profit or loss for the period, but requires that the individual items of income and expense be classified in one of the new specified “operating”, “investing” or “financing” categories.

• With respect to the expanded guidance on the aggregation and disaggregation of information in the financial statements, no material changes are expected in disaggregation since material items are already disaggregated, in particular in the notes.

• From now on, operating profit or loss will be used as the starting point for calculating operating cash flows. Going forward, interest paid and received will be presented in cash flows from financing activities (as opposed to cash flows from operating activities).

• Borussia Dortmund’s key figures are not expected to be classified as “MPMs” under IFRS 18 going forward, and as such Borussia Dortmund does not anticipate any changes in this regard.

The above information on the expected impacts of the first-time application of IFRS 18 is based on the current state of knowledge. It may still be subject to change as a result of further implementation, the final assessment of individual classification issues – in particular regarding the classification of net gains and losses on foreign currency items and derivatives, and the assessment of individual main business activities – and as a result of ongoing pronouncements by the IFRS Interpretations Committee or interpretation guidance from national standard-setters and the auditing profession.