Slides
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1H 2025 Results Milan, 24 July 2025
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2 1H 2025 Key Financial Highlights Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025; As of the closing date of the Interim Financial Report, the purchase price allocation (PPA) process of 2i Rete Gas has not yet been completed; (1) Attributable to the Group; (2) Operating leases ex IFRS 16 and IFRIC 12 €90.5mn at the end of FY 2024 and €114.0mn as of 1H 2025; (3) Delta Net Financial Debt ex IFRS 16 and IFRIC 12 vs. situation as at 31 December 2024 Delta vs. 1H 2024 1H 2025 adjusted Total revenues adjusted 1,126.7 29.2% Adjusted EBITDA 857.5 27.8% Adjusted EBIT 558.0 38.9% Adjusted Net Profit 1 316.6 31.1% Cashflow from operations 739.0 39.6% Investments 495.1 40.0% Net Financial Debt excl. IFRS 16 2 10,859.0 +4,186.73 € mln 2i Rete Gas consolidation from 1st April 2025, contributing for 3 months Ongoing growth in Italian Gas Distribution - updated opex and RAB revaluation factors recover previous gaps and more than offset lower allowed WACC Positive contribution from Greece, Water and ESCo Opex efficiencies continue Operating cash flow improved significantly, also benefitting from Superbonus tax credit utilization Net Debt at €10.86bn, factoring in 2i Rete Gas acquisition impact and capital increase
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3 1H 2025 Key Highlights Operating & Corporate Highlights • Transformational 2i Rete Gas acquisition closed on April 1st, ahead of initial schedule • €1.02bn Capital Increase successfully completed in June • 2i Rete Gas merger by incorporation into Italgas Reti effectively executed on 1st July 2025 • Credit rating confirmed by Moody’s and new BBB+ long term credit rating issued by S&P Regulatory Highlights • Extension of the current regulatory period by 2 years until end-2027 (ARERA resolution 221/2025/R/Gas) – consultation document yet to be published • Antitrust disposal process, expression of interest received. Next step: binding offers must be received by September 5th FY 2025 Guidance confirmed, new strategic plan to be presented on 29 October
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4 Focus on the Integration of 2i Rete Gas New organization structure including new territorial set-up Integration roadmap key milestones Onboarding 100% 2i Rete Gas people: 60,000+ technical training hours provided Full IT system integration successfully executed Launch of former 2i Rete Gas network digitization program New Italgas: 156,000+ km of network (+86%1) 4,330 concessions (+106%1) ~12.9 million clients (+60%1) ~6,500 people (+50%1) >€15bn RAB2 (+50%) New Italgas Reti Setup as of July 1st Italgas Group Associates (+2)5 Areas (+7)21 Hubs (+30)80 T.U.3 25 cross-functional working groups created to foster integration Note: (1) Delta vs. 31 March 2025 data of Italgas Group (including Greece), before the closing of the 2i Rete Gas transaction; (2) RAB as of 31 December 2024 pro-forma vs. Italgas stand-alone; (3) Technical unit;
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5 Focus on the Integration of 2i Rete Gas • Massive data migration, extracted and transformed to align with the processes and systems of the Italgas model • Over 250 cross-functional meetings, with 36 processes and 71 subprocesses analyzed • 140 application modules and 410 interfaces/ETLs managed • Integration of NB-IoT and RF technologies for Smart Meter management, with over 3 million daily IoT data flows integrated • Infrastructure upgrade, enhanced computing capacity, and increased storage and bandwidth, integrating on- premise 2i Rete Gas datacenterswithin Italgas cloud • No service interruptions Focus on Onboarding and Training • 100% of 2i Rete Gas population involved • 60,000+ technical training hours provided (>30 hours/person) • 70 AI-generated tutorials for field operations to align procedures and operating tasks • 20,000+ access to the training platform in only 3 weeks • 300+ access to AI-chatbot to support operators on the field • 140 “on the field” selected and trained “integration support team” people Focus on IT systems integration
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374.8 528.6 6.9 -5.7 1.5 73.4 77.7 0 100 200 300 400 500 600 1H 2024 Gas and fuel consumption Electricity consumption Vehicles 2i Rete Gas Acqua Campania 1H 2025 6 Environmental Performance: Energy Consumption Net energy consumption for gas distribution increased slightly on a like for like basis in 1H 2025, mainly due to the increase of gas injected in the distribution network, also linked to colder winter conditions. Specific consumption of preheating systems dropped by 8%. Note: (1) Civil and industrial consumption; (2) Including thermal energy consumption: TJ 1 1,2 Like for like net energy consumption gas distribution +2.7 TJ or 1.2%
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86.6 119.1 10.0 0.3 0.0 11.4 10.8 0 20 40 60 80 100 120 140 1H 2024 Gas leaks Fossil fuel consumption Electricity consumption 2i Rete Gas Acqua Campania 1H 2025 7 Environmental Performance: GHG Emissions Like for like Scope 1&2 emissions increased mainly due to gas leakages resulting from a higher amount of km of network inspected (27.4%) 1,2 1 ktCO2 eq Like for like Scope 1&2 emissions gas distribution +10.3 ktCO2eq or +15.6% Note: (1) Civil and industrial consumption; (2) Including thermal energy consumption:
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8 All businesses contributed positively to top line, besides positive contribution of 2i Rete Gas transformational acquisition Total Revenues adj. +29.2% vs 1H 2024; +4.2% without 2i Rete Gas Note: (1) 2i Rete Gas consolidated starting from 1st April 2025; (2) Acqua Campania consolidated starting from 30th January 2024; €mn 872.3 1,126.7 217.5 40.3 -25.8 7.7 15.3 -0.6 300 400 500 600 700 800 900 1000 1100 1200 1H 2024 Total revenues and other income adj. 2i Rete Gas Italy & Greece other regulated components Italy WACC Water Energy efficiency Other revenues 1H 2025 Total revenues and other income adj. 1 2 Mainly RAB growth and ARERA resolutions impact
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201.1 269.2 -3.6 5.5 13.3 52.9 0 50 100 150 200 250 300 1H 2024 operating costs adj. Like for like efficiencies Acqua Campania Energy efficiency & others 2i Rete Gas 1H 2025 operating costs adj. 9 Ongoing cost containment effort Operating costs adj. +33.9% vs 1H 2024; +5.7% without 2i Rete Gas -1.8% like for like 2 1 Note: (1) Acqua Campania consolidated starting from 30th January 2024; (2) 2i Rete Gas consolidated starting from 1st April 2025; €mn
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401.8 558.0 186.3 -30.1 0 100 200 300 400 500 600 700 1H 2024 Adj. EBIT Change adj. EBITDA Change D&A 1H 2025 Adj. EBIT. 10 Change in perimeter drives growth Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025; as of the closing date of the Interim Financial Report, the purchase price allocation (PPA) process of 2i Rete Gas has not yet been completed Adj. EBITDA +27.8% vs 1H 2024; +3.2% without 2i Rete Gas €mn Adj. EBIT +38.9% vs 1H 2024; +12.4% without 2i Rete Gas €mn Water & ESCo: 22.6 Enaon (Greece): 70.1 Italy distr. mainly: 764.8 178.8 7.5 671.2 857.5 0.0 100.0 200.0 300.0 400.0 500.0 600.0 700.0 800.0 900.0 1000.0 1H 2024 Adj. EBITDA Distribution & other Water & ESCo 1H 2025 Adj. EBITDA
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241.5 255.1 333.2 316.6 13.6 156.2 -44.2 -1.4 -32.5 -16.6 0 50 100 150 200 250 300 350 400 450 1H 2024 Adj. Net Profit attributable to the Group Minorities 1H 2024 Adj. Net Profit Adj. EBIT Net financial expenses adj. Net income from equity investments Income taxes adj. 1H 2025 Adj. Net Profit Minorities adj. 1H 2025 Adj. Net Profit attributable to the Group 11 Net Profit adj.1 growing double-digit Net profit adj.1 +31.1% vs 1H 2024 Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025; (1) after minorities Including impact of 2i Rete Gas acquisition Including 2i Rete Gas contribution Tax rate 28.0%€mn
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12 1H 2025 Profit and Loss adjusted numbers Total Revenues 872.3 1,126.7 254.4 Operating costs -201.1 -269.2 -68.1 EBITDA 671.2 857.5 186.3 Depreciation & amortisation -269.4 -299.5 -30.1 EBIT 401.8 558.0 156.2 Net financial expenses -55.8 -100.0 -44.2 Net income from equity investm. 6.1 4.7 -1.4 EBT 352.1 462.7 110.6 Income taxes -97.0 -129.5 -32.5 NET PROFIT before minorities 255.1 333.2 78.1 Minorities -13.6 -16.6 -3.0 NET PROFIT after minorities 241.5 316.6 75.1 P&L, € mln Change + 27.8% + 38.9% + 31.1% 1H 2025 adjusted 1H 2024 adjusted Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025
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13 1H 2025 Profit and Loss reported vs. adjusted Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025 Total Revenues 1,181.1 1,126.7 -54.4 Operating costs -284.9 -269.2 15.7 EBITDA 896.2 857.5 -38.7 Depreciation & amortisation -299.5 -299.5 - EBIT 596.7 558.0 -38.7 Net financial expenses -105.6 -100.0 5.6 Net income from equity investm. 4.7 4.7 - EBT 495.8 462.7 -33.1 Income taxes -139.0 -129.5 9.5 NET PROFIT before minorities 356.8 333.2 -23.6 Minorities -18.7 -16.6 2.1 NET PROFIT after minorities 338.1 316.6 -21.5 P&L, € mln Adjustments1H 2025 adjusted 1H 2025 reported Impact of resolutions 87/2025/R/gas 2i Rete Gas transaction costs 2i Rete Gas transaction costs Tax impact of the items above Impact of resolutions 87/2025/R/gas on minorities
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14 Technical Investments • 430km of new network pipes laid, of which 168km in Greece • >€100m of capex invested by 2i Rete Gas in 2Q – mostly in development and repurposing • 2i Rete Gas network upgrade and digitization plan set-up started Note: capex including IFRS 16; (1) includes metering (2) ICT, Real estate and IFRS16 353.7 495.1 1H 2025 1H 2024 Other2: €59.2mn Digitization1: €106.6mn Development & Repurposing: €329.3mn Technical Capex +40.0% vs. 1H 2024; +10.7% without 2i Rete Gas €mn
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356.8 739.0 253.2 -4,210.2 289.3 92.9 -485.8 -5,166.7 703.3 -5300 -4300 -3300 -2300 -1300 -300 700 1H 2025 Net Profit to the Group Depreciation and other items Change in working capital and others Net cash flow from operating activities Net capex Free cash flow before M&A Financial investments and others Shareholders' equity and other movements Change in Net Financial Debt 15 Operating Cash Flow Operating cash flow improved significantly, covering capex and most of dividend cash outflow Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025; (1) Includes 2i Rete Gas acquisition price paid of €2,071.9mn and 2i Rete Gas net financial debt of €3,094.8mn as of 1st April 2025; (2) Includes €1,020mn proceeds of the capital increase completed in June 2025; 2i Rete Gas acquisition impact1 2 €mn Includes impact of the Capital Increase and dividend paid
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– 500 1,000 1,500 2,000 2,500 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Beyond 2034 16 1H 2025 Financial structure Sound financial structure with low exposure to floating rates in 1H Gross debt 30 06 20251 New €1bn dual -tranche bond issued in 1Q Residual bridge loan fully refinanced through the proceeds of the €1.02bn capital increase Credit rating confirmed by Moody’s and new BBB+ long term credit rating issued by S&P Average cost of gross debt ~1.95% in 1H 2025 Net Debt €10.97bn including IFRS 16EIB Bonds Bank lines Variable 14%Fixed 86% Loans 11%Bonds 79% EIB 10% 2,500 2,000 1,500 1,000 500 Note: (1) excluding IFRS16 and IFRIC 12; €mn
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17 Q&A
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18 Guidance 2025 EPS accretive1 deal already in 2025 Total Revenues adj. Adj . EBITDA Adj. EBIT Technical Investments €1.78bn €1.35bn €821mn €887mn ~€2.45bn €1.80-1.85bn €1.12-1.16bn ~€1.2bn Net Financial Debt Excl. IFRS 16 & IFRIC 12 €6.67bn ~€10.8bn FY 2024 Actual FY 2025 Guidance Note: Including 2i Rete Gas contribution from 1st April 2025 i.e. 9 months; the disposal process of ca. 600,000 PDRs in compliance with the requirements of the Italian Competition and Markets Authority (AGCM) is expected to be completed in line with the regulator's requirements. For guidance purposes, the related impacts are expecte d to materialize in early 2026. (1) compared to a scenario of non-consolidation of 2i Rete Gas and after applying IAS33 ;
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19 Quarterly performance Total Revenues 459.3 667.4 Operating costs -114.0 -155.2 EBITDA 345.3 512.2 Depreciation & amortisation -119.9 -179.6 EBIT 225.4 332.6 Net interest income (expenses) -33.5 -66.5 Net income from equity investm. 2.5 2.2 EBT 194.4 268.3 Income taxes -53.3 -76.2 NET PROFIT before minorities 141.1 192.1 Minorities -8.5 -8.1 NET PROFIT after minorities 132.6 184.0 Quarterly P&L, € mln 2Q 2025 adjusted 1Q 2025 adjusted Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025
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20 1H 2025 Revenues breakdown Gas distribution regulated revenues 809.1 1,040.0 230.9 Distribution revenues 767.7 984.3 216.6 Other distribution revenues 41.4 55.7 14.3 Other revenues 63.2 86.7 23.5 TOTAL REVENUES 872.3 1,126.7 254.4 Adjusted REVENUES, € mln Change1H 2025 adjusted 1H 2024 adjusted Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025
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21 1H 2025 Operating costs OPERATING COSTS, € mln Change1H 2025 adjusted 1H 2024 adjusted Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025 Gas distribution fixed costs 122.3 159.8 37.5 Net labour cost 72.6 92.2 19.6 Net external cost 49.7 67.6 17.9 Other activities 39.6 55.4 15.8 Net labour cost 7.1 6.7 -0.4 Net external cost 32.5 48.7 16.2 Other costs 3.0 6.7 3.7 Tee 0.1 -4.2 -4.3 Concessions fees 36.2 51.5 15.3 OPERATING EXPENSES 201.1 269.2 68.1
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22 1H 2025 Balance Sheet Net invested capital 9,556.3 14,782.5 5,226.2 Fixed capital 8,777.1 13,854.9 5,077.8 Property, plant and equipment 383.3 456.6 73.3 Intangible assets 8,305.6 13,409.5 5,103.9 Net payables from investing activities -407.4 -517.6 -110.2 Equity investments 176.1 183.6 7.5 Other fixed capital 319.5 322.8 3.3 Net working capital 835.1 1,012.6 177.5 Provisions for employee benefits -61.3 -85.1 -23.8 Assets held for sale and directly related liabilities 5.4 0.1 -5.3 Net financial debt 6,762.8 10,973.0 4,210.2 Financial debt for operating leases (IFRS 16 and IFRIC 12) 90.5 114.0 23.5 Net financial debt ex operating leases 6,672.3 10,859.0 4,186.7 Shareholders' equity 2,793.5 3,809.5 1,016.0 BALANCE SHEET, € mln Change30/06/202531/12/2024 Note: Acqua Campania fully consolidated starting from 30th January 2024, 2i Rete Gas fully consolidated from 1st April 2025
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23 1H 2025 Main physical data Note: (1) inhabitants served directly and indirectly; (2) of which 4,256 in operation 156,364 km 12.86 mn 4,3302 OPERATING HIGHLIGHTS Network length Active Redelivery Points / Clients Municipalities o/w ITALY including affiliates 147,852 km 12.23 mn 4,185 o/w GREECE 8,512 km 0.63 mn 145 OPERATING HIGHLIGHTS including affiliates GAS DISTRIBUTION SECTOR ~9,000 km 6.3 mn1
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24 Sustainability performance Note: based on most recent published rating, 100 A A 5 A+ 100 AAA Neglegible ESG Risk 91 A B 4.4 B+ 70 AA Low ESG Risk 39 B C 2.9 C+ 54 A High ESG Risk DJSI CDP Climate CDP Water FTSE4Good ISS Moody's ESG score MSCI Sustainalytics Maximum score Italgas Sector Average
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25 Group Structure as of 1 July 2025
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26 To be a leading figure in the world of energy, driving its sustainable evolution and innovating each day to improve people’s quality of life. Pioneers by passion and builders by calling, we bring all our energy to accelerate the ecological transition. We do it for us. We do it for everyone We have guaranteed efficient, safe and excellent energy services to the community for over 180 years. We favour the energy transition, creating the networks of the future and promoting innovative, sustainable solutions. We take care of local communities. We fuel positive, productive relationships with all of our stakeholders: individuals, companies, suppliers and shareholders. We enter new markets where we can apply our distinctive expertise. We promote the growth of individuals and develop talent, creating inclusive, stimulating work environments
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27 Disclaimer Italgas’ Manager, Gianfranco Maria Amoroso, in his position as manager responsible for the preparation of financial reports, certifies pursuant to paragraph 2, article 154-bis of the Legislative Decree n. 58/1998, that data and information disclosures herewith set forth correspond to the company’s evidence and accounting books and entries. This presentation contains forward-looking statements regarding future events and the future results of Italgas that are based on current expectations, estimates, forecasts, and projections about the industries in which Italgas operates and the beliefs and assumptions of the management of Italgas. In particular, among other statements, certain statements with regard to management objectives, trends in results of operations, margins, costs, return on equity, risk management are forward-looking in nature. Words such as ‘expects’, ‘anticipates’, ‘targets’, ‘goals’, ‘projects’, ‘intends’, ‘plans’, ‘believes’, ‘seeks’, ‘estimates’, variations of such words, and similar expressions are intended to identify such forward-looking statements. These forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict because they relate to events and depend on circumstances that will occur in the future. Therefore, Italgas’ actual results may differ materially and adversely from those expressed or implied in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, economic conditions globally, political, economic and regulatory developments in Italy and internationally. Any forward-looking statements made by or on behalf of Italgas speak only as of the date they are made. Italgas does not undertake to update forward looking statements to reflect any changes in Italgas’ expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based. The reader should, however, consult any further disclosures Italgas may make in documents it files with the Italian Securities and Exchange Commission and with the Italian Stock Exchange.
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Investor.relations@italgas.it Anna Maria Scaglia Emanuele Isella