Press Releases

Budapest, April 19, 2023 15:00

Magyar Telekom (the “Company”) held its Annual General Meeting (“General Meeting”) on April 19, 2023.

At the beginning of the General Meeting, the shareholders were provided with the report of the Board of Directors on the business operation, on the business policy and on the financial position of the Company and the Magyar Telekom Group in 2022. The relevant reports of the Supervisory Board, the Audit Committee and the auditor were also presented.

The General Meeting approved the Company's 2022 Consolidated Financial Statements prepared in accordance with International Financial Reporting Standards (IFRS) with total assets of HUF 1,456,417 million and profit after tax of HUF 67,074 million; and the Company's 2022 Separate Financial Statements prepared in accordance with International Financial Reporting Standards (IFRS) with total assets of HUF 1,347,106 million and profit after tax of HUF 59,529 million.

Following the above, the General Meeting decided on the use of the profit for the year earned in 2022. Pursuant to the decision, the Company will pay a total dividend of HUF 29,459, 309,081 to shareholders from the profit of 2022, and the Company will distribute the dividend on treasury shares among the shareholders who are entitled to dividends. The Company shall disburse the dividend from the profit after tax of HUF 59,528,611,163 based on the Separate Financial Statement figures; and the remaining HUF 30,069,302,082 of the profit after tax shall be allocated to retained earnings, based on the Separate Financial Statements figures. The first date of dividend disbursement shall be May 19, 2023. The record date of the dividend payment shall be May 10, 2023. The Board of Directors will publish a detailed announcement on the order of the dividend disbursement on April 25, 2023, on the websites of the Company and the Budapest Stock Exchange.

The General Meeting were provided with the information of the Board of Directors on the treasury shares acquired after the authorization of April 12, 2022 and authorized the Board of Directors to purchase Magyar Telekom ordinary shares through the stock exchange or OTC trading. The purpose of the authorization is to execute Magyar Telekom's shareholder remuneration through a decrease of the share capital and to operate share-based incentive plans. The authorization shall be valid for a period of 18 months from the decision of the General Meeting.

Subsequently, the General Meeting approved the Corporate Governance and Management Report of the Company for the business year 2022, and - noting that the management activities of the Board of Directors were carried out in an appropriate manner - decided to discharge the members of the Board of Directors from liability with respect to the 2022 business year.

Dr. Robert Hauber, Chairperson of the Board of Directors, resigned from his position being a member of the Board of Directors effective upon the date of the General Meeting of the Company. Pursuant to the shareholders’ decision, the newly elected member of the Board of Directors of the Company is Daniel Daub. His assignment will expire on May 31, 2025, provided that if the 2025 Annual General Meeting is held prior to May 31, 2025, then his mandate expires on the day of the Annual General Meeting.

The General Meeting decided to decrease the share capital of the Company by HUF 3,424,248,500 to HUF 97,155,886,700 for the purpose of withdrawal of equity. To implement this, the Company will reduce the number of 1,005,801,352 registered, dematerialized “A” series ordinary shares each with a nominal value of HUF 100 by 34,242,485 pieces of shares, through cancellation of treasury shares owned by the Company. The share capital decrease shall not affect the shareholders’ shareholdings in the sense that the number of shares owned by the shareholders remain unchanged, while their ownership proportionally increases. There is no compensation to be paid to the shareholders upon cancellation.

In accordance with the submissions, the General Meeting approved the amended Remuneration Policy of the Company and the Remuneration Report for the business year 2022.

After this, the shareholders elected Deloitte Auditing and Consulting Ltd. as the Company's Statutory Auditor to perform the audit duties for the 2023 business year until May 31, 2024, and for the period up to the Annual General Meeting closing the 2023 business year, furthermore, approved the content of the essential elements of the contract to be concluded with the Statutory Auditor.

In accordance with the corporate social responsibility efforts of Magyar Telekom, the catering at the General Meeting was provided by the Hungarian Food Bank Association (Magyar Élelmiszerbank Egyesület), a non-profit organization that helps reducing food waste and deprivation.

The Company is to publish its Sustainability Report for 2022 along with its Annual Reports today, and it will be available at the link below: https://www.telekom.hu/about_us/society_and_environment/sustainability_reports.