Good afternoon. This is the Chorus Call conference operator. Welcome, and thank you for joining the LU-VE Financial Results as of June 30th, 2026 conference call. As a reminder, all participants are in listen-only mode. After the presentation, there will be an opportunity to ask questions. At this time, I would like to turn the conference over to Mr. Matteo Liberali, President and CEO of LU-VE. Please go ahead, sir. Good afternoon, everybody, and thank you for participating to this call. As you can imagine, we are very satisfied about the results we published last Friday. The first half of year 2026 confirmed a significant strengthening of LU-VE growth trajectory. Revenue increased by 10.3% overall, 10.5% in terms of just product sales, 11% considering fixed exchange rate. The EBITDA grew faster than sales, + 15.1%, and we scored a new record in order backlog with more than EUR 333 million, which represent a 48% increase year-on-year. It is important to remind that this performance is supported by a very diversified demand across different application and geographies, where data center represent an opportunity, an important potential growth driver, but are incremental on the already existing, diversified, and resilient business that LU-VE is historically involved in. The record backlog gives us confidence and visibility for second half, where we expect even better results than in H1. I would like to remind once more that the order backlog includes just confirmed orders. It doesn't include framework agreements with the overall value. So the EUR 333 million represents already confirmed order with precise delivery date confirmed. Having said that, all this scenario with the growing results, the growing marginality, the increasing order backlog, brought us to redefine and upgrade and update the medium and long-term guidance to take into account all the secular trends that are representing tailwinds for our growth, all together with all the news and the new agreement, the new opportunity we're working on. I would like to, during this call, to transfer mainly six messages. First one is that growth is strong, is visible, and is expected to accelerate, as I already said. So we expect H2 to be better than H1 because we expect part of the order backlog to convert into revenues and deliveries, and because we will see also the ramp-up activity of the big order we got with the hyperscaler in U.S. Of course, it's important to recall once more that Q2 was the highest quarterly revenues in LU-VE history and also the highest quarterly results in term of EBITDA, going beyond 16.1% in Q2. Second point is that, as I said, it's important to remind and to stress the fact that we are growing very much in different application. Power generation, which is very much related to overall investments worldwide for the big hunger of electric energy capacity all over the world and in Europe, in U.S., in China, in Africa, wherever it is. Power generation remains, in this moment, the fastest growing business for us, together with heat pumps, which after the recovery in 2025, they already are still continuing to increase the volumes. Industrial cooling in general. Our stable presence in a growing market of commercial refrigeration. And of course, on top of that, data center represents an additional opportunity of growth with the agreement we made, with the investment we made in U.S. and China. We have to consider data center incremental to our traditional business. A great opportunity, of course, but not the only pillar supporting the guidance and our expectation for the future. Point three is that, as I said before, the backlog provides a genuine visibility. As I said, all the orders are already confirmed date and not taking into consideration frame agreements. Fourth point is that we've seen over the last few years a continuous improvement in margins. The margin expansion is becoming structural. Of course, it's not linear. It can be seasonal, taking into consideration the pricing effect, the pass-through mechanism, the mix of products and different business and geographies. But all in all, in the guidance, the improvement we stated reflects the fact that our expectation in the midterm is to continue this growth of margins because it's becoming more structural, because also all the action put in place in the last years in terms of operational efficiency, improvement in the efficiency, not only in the factories but also in the tool we are using, will allow us to get higher margins in the next coming years. The range between 15% and 17% as a guidance for the next coming years, we feel it's challenging, it's ambitious, but it's feasible, taking into consideration all the factor I listed before. Of course, having said that, we have to not forget that the macroeconomic uncertainty overall can affect from period to period. Each quarter could have a different impact, but in the medium long term, we expect to continue to improve our trajectory. Point five is the guidance is ambitious, challenging, but it's credible and, most important thing, it is supported by tangible drivers. We always talk about the long-term drivers supporting all the application we're in, refrigeration, air conditioning, heat pumps, investment in energies, and different application all over the world. This allow us to, even when we see disruption like COVID in the past, or we saw logistic issues in the past, or increasing rising price of raw material, rising cost of energy. In the end, all in all, we've been able to compensate, to take into account different headwinds and tailwinds, and to allow us anyhow to achieve our targets, even when some of the events were very unexpected. The guidance, to summarize, I think you all have seen already, is that we expect a sales organic growth in low double digits. And, as I said, an EBITDA margin between 16% and 17%. We assume that there will be a growth CapEx in the region of EUR 30 million-EUR 35 million for the next year to come, taking into account all the opportunities we are in and also the further improvement we have in some plans to be made. Unfortunately, we also had to increase the tax rate to 22%-23%, taking into account two main factors. One is the fact that the extraordinary tax incentives we had in Poland are reducing progressively, and we expect in the next year to come to start paying taxes in U.S., so with in the region of 25% company tax rate. Last point, all this growth that we expect, all this development that we expect, remains compatible with the cash generation, as it has always been in the traditional part of our business, and with a balance sheet discipline. We take into account, in our scenario, of course, some accelerated CapEx, taking to be ready for the market to anticipate, as it did in the past, new opportunities of growth, like it was the case of heat pumps or smaller size products or bigger size product with adiabatic technology and so on and so on. But all in all, even in this quarter, we have been able to improve further our financial position. So we have a ratio of 0.7 between net financial debt and EBITDA, with an improvement of close to EUR 30 million compared to June last year. Having said that, I leave the space to questions, and I thank you once again for participating to the call. Thank you. This is the Chorus Call conference operator. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. To remove yourself from the question queue, please press star and two. Please pick up the receiver when asking questions. Anyone who has a question may press star and one at this time. The first question comes from Marco Vitale with Mediobanca. Please go ahead. Good afternoon. Thank you for taking the question. Three from my side. The first one is on the medium-term guidance upgrade. I was wondering how much this is driven by the visibility that you have on the hyperscalers frame contract or more in general, the, say, data center business rather than new contracts in the pipe and also other businesses. In other words, do you see a structural acceleration also in other end markets? This is just the data center exposure that is enhancing your growth profile. The second question is on refrigeration. What is driving the acceleration in growth in the second quarter? And the last, on capital allocation priorities. You just mentioned that you are pretty close to reaching breakeven. I was wondering, what are your priorities in terms of M&A and also how happy you are with current capacity that you have in the U.S. market, or how do you see these are priorities for Intelligencia? Thank you. Good afternoon. Thank you for your call. To summarize, point one, today, as I said, we have EUR 333 million order backlog. In this part today, data center represent 12% of the existing order backlog. Which means that the part related to the framework agreement is a smaller part in this order backlog, and is based on the principle, as I already explained several times, that we only include in order backlog, the confirmed order with a fixed delivery date. Point two, refrigeration, of course, as you may recall, we were expecting a slow start as every third year when there is this show in February, the biggest show worldwide concerning the supermarket. We have good sign of recovery, starting from the month of May. If I look in this moment at the order backlog compared to last year, we expect a significant recovery in second part of the year, mainly driven once more by logistics center investments. We expect in the second part of the year also the supermarket part, so the heat exchanger for display cabinets to perform better than in the first part of the year. Third part, capital allocation. If I understand correctly your question, up to now, of course, as usual, we continue to look potential opportunity of M&A. But in this moment, the capital, we expect to reduce further our debt in order to have firepower for next operation and next opportunity to invest. Thank you. You're welcome. The next question comes from Alessandro Cecchini with Equita. Please go ahead. Hello, everybody, and thank you for taking my questions. The first one actually is still on the data center business. We saw Modine, your competitors, Modine or Kaltra that are working strongly on new opportunities with the hyperscalers. You stated in the past that this was just a first framework agreement with such a type of counterpart. Just to understand, what are the steps that you are doing right now to be prepared for something new, in particular, for the air-cooled products that you have a very strong positioning? This is my first. The second one is still on the refrigeration side. Just if you can add a little bit more, if it's this kind of improvement in term of sales, in term of turnover. So it's more driven by logistics centers in the second half or due to the supermarket chain. Just to understand if you are seeing a pickup in the, I would say, supermarkets to reshape the footprint, reshape also due to F-gas Regulation. I will start with this. Thank you for your question. Concerning the center, I am fully aware of the fact that you are waiting for a second agreement or something like that. On our side, we are very focused to make a correct ramp up of the existing agreement, where we are very satisfied about the result. We had a meeting with the customer, visiting our plant last week. We received a scorecard, which is very positive, and everything is in progress according to the time frame. We are very focused on preparing and arranging also the ramp up in the U.S. part. Of course, the fact that now we are an approved supplier give us two opportunities. First one is, with the same hyperscaler, we are starting now to discuss new opportunities for other product ranges, for other kind of products. We have been also awarded the possibility to supply a new range, an additional range compared to the existing one that we already secured. We are now discussing the details of this opportunity. Second part, I already mentioned previous calls, the fact that now we are approved by one hyperscaler, give us the opportunity to be involved in more and more projects in U.S., mainly in U.S., to get other kind of project, not always related to AI investment, also to data center related for other, more, let's say, simplified application like gaming, acting, streaming, and so on. Of course, we continue to pursue other opportunities with other potential hyperscaler, but up to now, we are very focused to make the 100% fulfillment of the project with the existing hyperscaler, where we expect a lot of satisfaction in the next months to come. Second point, refrigeration, as I said before, is a combination of recovery in logistic projects, where there was a bit of slowdown in the second part of the year in terms of new projects. But now we see in the pipeline, a lot of new requests of quotation, new orders we received in the last few weeks, together with a recovery in the supermarket investments, because what you mentioned, the F-gas Regulation remains one of the main drivers for the investment decision of the supermarket operators. Of course, take into consideration that the business model has changed, at least in Europe in the last years, from the hypermarket to the proximity shop. So we see a different mix in what we are receiving in terms of product range, which is very much related also to the growth in the logistics center. One thing to mention, and probably you recall in previous calls, that also the refrigeration transport was suffering a little bit, and we see now the first sign of recovery. We look at the order backlog, we expect at year-end to close the gap. This once more is related to investments, somehow connected to the supermarkets and logistics. Okay, thanks. Just to follow up on this, do you think also that the current, I would say, energy crisis in term of course, spiking in electricity pricing, or energy prices, can prompt or push clients to speed up the use of natural refrigerant or to be more efficient in the supermarket space in order to battle this kind of situation? Lastly, if you can elaborate a little bit more on the ramp-up of your facilities in the U.S. and in China. If you can add some color on your working process on these two plans. Thank you. Right. On the first point, in a perfectly rational world, the rising cost of energy should have, as a consequence, increasing investment to improve the efficiency of the supermarket. Take into account, like in supermarket business, the energy cost is one of the important parts of the P&L. We expect to see, and we are seeing more and more interest in energy efficiency solution compared to the past. This for sure is in combination with F-gas Regulation. I would say they go very much together, the two approaches, because, the adoption of new gas is mandatory by law, according to the F-gas Regulation. The energy efficiency or the improvement of the energy efficiency of the installation is mandatory in brackets because it is becoming more and more an issue for all the supermarket chains. A rational player would accelerate investment, and this is what we expect to see in the next months to come, in addition to the already existing business. Concerning the plans, in these days, some of our management team is in China, is starting to make some additional thinking about exploring the opportunities and checking the state of the art or the state of the activities up there. Also, because there are some potential opportunities to be explored, after putting some seeds on the market in the last few months. In terms of capacity and in terms of capability to produce the units, we are very satisfied with China, and we are in the ramp-up phase in U.S., where we already delivered the first goods, both for refrigeration and also for data center business. We are very happy about that. The main concern always remains the capability to find all the workers at the peak season, at the peak time for in the next years to come. But we are putting in place a lot of different initiatives with local authorities, with school, with agencies, and we expect to be able to solve the issues. Also, big volumes related to the frame agreement with the hyperscaler, with a limited number of part numbers, allow us to invest much more in automation to reduce the need of blue collars in the plant in Texas. Okay. Many thanks. You're welcome. The next question comes from Andrea Randone with Intermonte SIM. Please go ahead. Good afternoon, and thanks for taking my three questions. The first one is about your new margin guidance. You are mentioning in the presentation, focus on automation, process efficiency, and cost reduction. I wonder if you can give us more comments on how you expect to achieve these further margin improvements, also considering the great results you already achieved in the last three years, I would say. The first one is about margins. The second one is about the power generation industry. You are highlighting this is an increasingly attractive segment, because the demand is also partly driven by data centers. More in general, if you can remind us, what is your contribution to this kind of plans, the concentration of the market, and the contribution to your total sales represented by this kind of activity? The third question is, I mean, a curiosity, if you can give us a comment about a very debated topic. The summer has been exceptionally warm, so the temperatures were very high, and how this situation that is not expected to change is affecting the outlook for your industry and for LU-VE in particular. Thank you. You're welcome. Concerning the margin guidance, of course, as already mentioned before, the results already achieved and the guidance for the next year to come is the results of a combination of different factors. So mix in geographies and customers, the scale. Of course, all the investment we made in the last year in automation, in efficiency, but always recall not only efficiency in the plant, because normally when we talk about efficiency, we always think about blue collars, efficiency in manufacturing processes and so on. A big part of the CapEx we are planning in the next months are made dedicated to automation of process, because becoming more and more a company working by projects and not on standard products, all the tooling in designing, configurating the products, and sizing the products with different accessories and so on, is becoming more and more important in order to reduce the time to market, the response to the different kind of projects. You can imagine that on a project for a big logistics center, sometimes it's normal to have at least 5 -1 0 releases of the same offer for changing some parameters and so on, taking into consideration different factors and so on. The fact that we are increasingly going towards automation also on this part of the project and the 3D designing and so on, will allow us to make further saving and to, I used to say, to have our engineers working as real engineers and not making data entries, which is very important. The other part concerning power generation, of course, what we do in power generation, mainly we are selling radiators, which are talking about big units, cooling down engines, cooling down ovens, cooling down plastic moldings. So there are different kind of application. Wherever there is an industrial process that needs to be cooled down, there is a radiator which works with the same principle as the radiator of the car of our engine. The engine of our car, sorry. In this moment, the big demand and the big part of the order backlog that we see related to power generation with visibility also in 2027 and 2028 and in small cases, on small parcels in 2029, specifically for the oil cooler, for the electric grid, for the cooling the transformer, is related partially, as I said before, to the big demand of electric capacity all over the world, and partially part of this demand is related to the data center business, where once it was more only a secondary system, where there were engine to be cooled to provide energy in case there is a blackout in the main electric grid. Nowadays, with the rising size of the big data center, especially those related to AI, the new standard to have a small power plant inside the data center dedicated exclusively to the data center. Which is somehow also a reply to all these protests coming out in different states about data center stealing, in bracket, energy to the grid and to civil usage, which is a concern. It could be a concern, and it was a concern based on the previous scheme. I take the occasion to mention that the other point concerning water usage by data center is becoming less and less true, because it was true in the past when data center cooling was made with cooling towers, consuming a lot of energy and using a lot of water, with additional issues like maintenance, Legionella risk, and so on. The new generation data center, the water usage is extremely low, and this is also in connection with your final question concerning the effect of this extremely hot summer that we experience on our skin. One part is the effect is related to the hot summer, putting evidence where the installation is made improperly. An installation where there are some commercial factor or some technical not reliable data, when there is an issue with a very extreme hot summer, for us, it represent a potential advantage because maybe we lost some projects compared to somebody who was not so reliable in terms of data reliability, in terms of capacity, and when hot summer comes, then the problems appear more evident than in the past. Related also to the hot summer, once more, the issue of water is important because we will see further and further in the next years to come, water scarcity. The adoption of solution, using less energy and using less water are becoming more and more important. The adoption of solution, adiabatic solution, as an alternative to cooling towers, represent a very efficient way to deal with very unexpected high temperature, but with a limited usage of water. All in all, it's sad to say, but the fact that the rising temperature, the very hot summer, for LU-VE will represent a benefit compared to some of our, let's say, less reliable competitors. Very clear. Many thanks. You're welcome. As a reminder, if you wish to register for a question, please press star and one on your telephone. Once again, if you wish to ask a question, please press star and one on your telephone. Mr. Liberali, there are no more questions registered at this time. Okay. Thank you. I would like to thank you once more for joining the call and to summarize once more the main points. We are very happy about the results. We see in front of us an interesting future with a lot of opportunities, and we are working hard to make this opportunity come true and to continue to improve our margins. Therefore, the guidance reflects our, not hopes, but our feeling and our view about the possibility to continue to grow in the next months and years to come. Thank you again for joining us, and have a nice day. Ladies and gentlemen, thank you for joining. The conference is now over. You may disconnect your telephones. Thank you.