Issue link: http://itf.uberflip.com/i/1547012
Business Review A review of the group's business is outlined in the Report of the Chairman of the Finance Committee on pages 3 to 5. Principal Risks and Uncertainties The ITF prepares and reviews its risk register on a biannual basis. The major risks at the time identified in the risk register, reviewed by the Finance and Audit Committees and the Board, included: • The removal or withdrawal of an appointed Davis Cup Finals host could lead to revenue loss and expose the organisation to potential legal action. • The accidental or deliberate disclosure of sensitive information by an ITF staff member may result in reputational and financial risk. • Payment default by a sponsor or broad- casting partner may lead to financial loss and cash flow risk. • Security, safeguarding, or integrity issues arising at ITF events may result in reputational damage and potential financial and legal exposure. • Cyber threats, including unauthorised access or hacking of ITF systems, may result in data breaches, operational disruption, and financial loss. The ITF implements as many reasonable mitigating actions as possible to reduce the inherent risks. Performance During the Financial Year The ITF Trust made a net deficit on ongoing operating activities after taxation of $15.3m (2024: deficit of $7.9m), a planned deficit on strategic project expenditure after taxation of $1.1m (2024: $3.7m) and a net surplus on investment activities of $4.0m (2024: $2.0m) making a total deficit after tax of $12.3m (2024: deficit $9.6m). Position at the End of the Year The overall result in 2025 sees Net Assets decrease by $10.7m to $21.2m. Whilst the group has $20.9m of net current assets (2024: $31.5m including the BJKCL joint venture at $5.6m), the investment portfolio has increased in value to $30.0m (2024: $22.8m) and the cash position has improved to $12.2m (2024: $8.9m). Future Development of the Company In 2025 the company has entered into a three-year deal with the Italian Tennis Federation to host the Davis Cup Final 8. This allows for greater certainty in revenues from the competition and provides a sound platform for improvements to the financial situation in future years. The Board remains confident that this, along with the actions taken with regard to the budget for 2026 and improvements in revenues from 2026 onwards will allow the ITF to continue to meet the challenges ahead. Key Performance Indicators: • Commercial – Sponsorship income: 2025: $25.3m (2024: $31.6m) • Commercial – Media rights and licensing income: 2025: $5.6m (2024: $10.5m) • Commercial – Data sales income: 2025: $37.0m (2024: $31.3m) • Corporate services – Investment portfolio return: 2025: 18.1% (2024: 9.9%) By order of the Board STRATEGIC REPORT David Haggerty David Rawlinson President Chairman of the Finance Committee 16 July 2026 ITF, Bank Lane, Roehampton, London SW15 5XZ, United Kingdom ITF Trust Annual Report and Consolidated Financial Statements 6