Euronext Star Conference

Milan, March 21°, 2024

Frédéric SIPAHI - CEO

Benjamin CADIC - General Manager Air and Cooling

AGENDA

  • FY 2023 Financials
  • Filtration Disposal
  • Sogefi Group Profile post Transaction
  • Market Outlook 2024

2

01

FY 2023 Financials

3

Revenues at €1,627.9m

vs 1,543.4 in 2022

EBITDA at € 221.4m

vs €195.1m in 2022

EBIT

Net Income

FCF1 at € 32.7m

vs €30.5m in 2022

Net debt1 at € 200.7

vs € 224.3m Dec. 2022

Divided Proposal

FY 2023: FINANCIAL HIGHLIGHTS

  • +9.1% at constant exchange (5.5% at current) benefiting of price increase related to pass- though (+2.8%) and volume growth (+6.1%)
  • Contribution margin € 477.7m vs € 423.6m in 2022
  • EBITDA excluding non-recurring: € 235.6 m vs € 193.7m in 2022
  • € 105.2m vs € 70.5m in 2022 with higher growth in value excluding non-recurring (€ 119.4m vs € 76.4m)

Net income of operating activities up at € 64.4m vs € 31.0m in 2022. Net income at € 57.8m including -€ 6.7m of discontinued operations (i.e. Mexico Suspensions disposal in Q4)

Free Cash Flow positive at € 32.7m, without acquisition of ATN and UK pension funds at € 45m, up vs €30.5m in 2022

Net debt end December 2023 of € 200.7m vs € 224.3m end of 2022

Management dividend proposal for 2023 is €0.2 per share (€ 23.7m)

1 FCF and Net debt excluding IFRS 16

4

FY 2023: EBIT PERFORMANCE BREAKDOWN VS 2022

Mainly for inflationary

pressures

7.3 %

6.5 %

of sales

5.2m Exchange

of sales

4.6%

differences and

5.0 %

4.5m one-off

of sales

of sales

Suspension

restructuring

(*) Variances calculated at stable FX

(**) Exchange rate impact net of Argentinian inflation

5

02

Filtration Disposal

6

580.0

530.0

480.0

430.0

380.0

330.0

280.0

230.0

180.0

130.0

80.0

30.0

-20.0

FILTRATION: HISTORICAL FINANCIALS

10Y Result

546.4

573.6

529.7

535.1

537.2

535.7

473.7

467.1

463.4

421.2

73.4

83.0

102.6

52.0

53.6

62.8

59.6

54.6

47.6

47.6

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

SALES

EBITDA

In 2023 Filtration generated the strongest results of the last 10 years

  • Filtration's performance, both in terms of sales and profitability, has reached its historical highs, following the divestiture of certain unprofitable operations and a successful commercial and operational improvement program, in a favorable business environment in aftermarket (the most profitable segment)

Note: Historical data don't include A&C Usa that is part of the filtration perimeter to be sold (2023 A&C Usa data: Sales € 22,7 m and Ebitda € 3,6 m, expected to run off over the next few years)

7

FILTRATION DISPOSAL

  • February 23rd, 2024: Sogefi entered into a put option agreement with the US private equity fund Pacific Avenue Capital Partners committed to acquire the Sogefi Filtration Business Unit.
  • Next steps:
    1. works council consultation process completion (2-3 months as required by French law);
    2. exercise of the put option by Sogefi and Signing of the Sale and Purchase Agreement;
    3. Closing (expected within six months).
  • Enterprise value: Euro 374 million
  • Equity Value: estimated at approximately Euro 330 million to be settled entirely in cash (would be determined at closing taking into account adjustments based on the Working Capital and the Net Financial Position)
  • Capital gain: of approximately Euro 130 million.
  • Strategic rationale:
    1. value Filtration in a phase when the unit has achieved unprecedented results;
    2. reduction powertrain component in the group's business portfolio;
    3. to focus on the Suspension & Air&Cooling.
  • Proceed allocation: a. 50% will be allocated to the reduction of the group's indebtedness; a. 50% the Board of Directors will evaluate to propose its distribution.

8

03

Sogefi Group Profile post Transaction

9

AT A GLANCE

40years of experience in

+ automotive business

2023 >1 Billions

of revenues

listed on the Milan Stock Exchange

since 1986

14

countries

24 productions plants 5

R&D centers

3 300

EMPLOYEES

Air&Cooling 2 Business

Suspensions Lines

10

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Disclaimer

Sogefi S.p.A. published this content on 21 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 March 2024 07:38:14 UTC.