Earnings release
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PRESS RELEASE NEWPRINCES APPROVES ITS HALF-YEAR FINANCIAL REPORT AS AT 30 JUNE 2025 EXCEPTIONAL PERFORMANCE IN TERMS OF MARGINS, CASH FLOW AND PROFIT • Strengthened profitability and financial performance: In the first half of 2025, NewPrinces confirmed its solidity, achieving a marked improvement in profitability and financial position, underscoring the resilience of its business model. • Consolidated revenues amounted to €1.31 billion compared to €1.36 billion in the first half of 2024, on a like -for-like basis. Stable sales volumes: the reduction in prices, linked to market normalisation, was offset by lower raw material costs, with positive effects on margins. • Adjusted consolidated EBITDA amounted to €104.6 million, up 16.5% compared to €89.8 million, on a like-for-like basis, with a margin of 8% compared to 6.6% in the first half of 2024. • Consolidated EBIT more than doubled to €52.8 million (+116.5% compared to the first half of 2024), highlighting the Group's operational efficiency. • Consolidated net profit amounted to €22.2 million, a sharp increase of €23.5 million compared to the loss of €1.3 million in the first half of 2024. • Underlying FCF1 at €88.9 million thanks to excellent operating performance and a significant improvement in working capital. • Consolidated ND at 30 June 2025 was €285 million, a significant improvement compared to an ND of €346.2 million at 31 December 2024. Excluding the application of IFRS 16, N D stood at €183.6 million, compared to €246.2 million at the end of 2024. Reggio Emilia, 9 September 2025 – The Board of Directors of NewPrinces S.p.A. (“NewPrinces” or the “Company”), chaired by Angelo Mastrolia, examined and approved the Half -Year Financial Report as at 30 June 2025. 1 FCF: Operating cash flow – interest – CAPEX
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Half-Year Financial Report In the first half of 2025, NewPrinces achieved an extraordinary improvement in margins and solid cash generation. Consolidated revenues reached €1.31 billion at constant volumes, compared to €1.36 billion in the first half of 2024. This trend reflects the adjustment of sales prices in a deflationary market environment, which was largely offset by a significant improvement in the cost of sales, driven by a 6% reduction in raw material costs and a consequent 8.6% improvement in gross profit. Adjusted consolidated EBITDA amounted to €104.6 million, up 16.5% compared to €89.8 million in the first half of 2024, on a like-for-like basis. In terms of adj. EBITDA margin, the margin was 8%, compared to 6.6% in the same period of the previous year. Consolidated operating profit (EBIT) amounted to €52.8 million, up 116.5% compared to €24.4 million in the first half of 2024, on a like-for-like basis. Consolidated net profit amounted to €22.3 million, an extraordinary increase of over €23.5 million compared to the loss of €1.3 million recorded at 30 June 2024, on a like-for-like basis. * * * Chairman Angelo Mastrolia commented: “We are very pleased with the results achieved in the first half of 2025: the marked increase in margins confirms the solidity of our industrial model, while the growth in cash generation and the improvement in working capital demonstrate the effectiveness of the strategic choices made. One year on from the acquisition of Princes, the progress achieved is clear: integration is delivering the expected benefits, making a significant contribution to the strengthening of both our operational and financial performance. In recent months, we have also announced three major acquisitions – Diageo Operations Italy, Plasmon and Carrefour Italia – all of which will be completed shortly. These transactions will further strengthen our positioning and inject new momentum into NewPrinces’ growth path, both in Italy and internationally. We look to the future with confidence: our history and our ability to innovate drive us to build an ever stronger, more sustainable Group, increasingly close to consumers.” * * * Analysis of consolidated revenues In the first half of 2025, NewPrinces generated consolidated revenues of €1,314,206 thousand, broken down by business line as follows:
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Revenues by Business Unit (In thousands of Euro and as a percentage) Half-year ended 30 June Changes 2025 % 2024 (combined) % 2025 vs 2024 % Dairy 163,315 12.4 157,993 11.6 5,322 3% Foods 366,662 27.9 393,438 28.9 (26,776) -7% Drinks 186,601 14.2 178,263 13.1% 8,339 5% Fish 217,863 16.6 232,375 17.1 (14,511) -6% Italian Products 211,173 16.1 216,317 15.9 (5,143) -2% Oils 161,354 12.3 174,607 12.8 (13,253) -8% Other Products 7,239 0.6 7,076 0.5% 163 2% Revenue from contracts with customers 1,314,206 100.0 1,360,068 100.0 (45,860) (3.4%) Dairy Products: The segment recorded revenue growth compared to the first half of 2024, thanks to both an increase in sales volumes in the milk sector and a rise in the average price. The Foods segment reported a decline in revenues, mainly due to lower volumes in food service as a result of the termination of certain contracts with negative margins, particularly in the baked beans category. Revenues in the Drinks segment increased, supported by higher volumes linked to new contracts signed in 2025. The Fish segment showed a decline, due to lower sales volumes and a lower average price compared to the same period last year. The Italian Products segment recorded a slight decrease in revenues, mainly due to the contraction in volumes in the tomato category following the termination of low-margin contracts, partially offset by the expansion of volumes in olive oil. The Pasta and Bakery Products cat egories were affected by a lower average price, while volumes grew in the Special Products category. Revenues from the Oils segment reflect the decrease in the average selling price of olive oil. Revenues from other products increased slightly compared to the first half of 2024.
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Revenues by distribution channel (In thousands of Euro and as a percentage) Half-year ended 30 June Changes 2025 % 2024 (combined) % 2025 vs 2024 % Large-scale retail 1,049,962 79.9 1,092,792 80.3 (42,830) -4% B2B partners 140,510 10.7 128,497 9.4% 12,013 9% Normal trade 40,655 3.1 41,105 3.0 (450) -1% Food services 83,079 6.3 97,673 7.2 (14,594) -15% Total revenue from contracts with customers 1,314,206 100.0 1,360,067 100 (45,861) (3.4%) Revenues from large-scale retail channels decreased due to lower turnover in the Foods and Fish segments. Revenues from the B2B partners channel increased due to a number of new contracts acquired in 2025 in the Drinks segment. Revenues from the normal trade channel were in line with the same period of the previous year, with a recovery in the second quarter. Revenues from the food services channel decreased due to lower sales volumes with low margins in the Foods sector and a lower average sales price in the Oils and Italian Products sector compared to the same period of the previous year. Revenues by geographical area (In thousands of Euro and as a percentage) Half-year ended 30 June Changes 2025 % 2024 (combined) % 2025 vs 2024 % Italy 206,763 15.7 211,726 15.6 (4,963) -2% Germany 85,026 6.5 91,934 6.8 (6,908) -8% United Kingdom 823,002 62.6% 853,949 62.8 (30,947) -4% Other countries 199,415 15.2 202,457 14.9 (3,042) -2% Total revenue from contracts with customers 1,314,206 100 1,360,067 100.0 (45,860) (3.4%) Revenues in Italy decreased slightly, mainly due to a decrease in the average selling price of pasta and baked goods, partially offset by an increase in sales volumes in the long-life milk category. Revenues in Germany show an increase in volumes in branded pasta (Delverde +18% YoY), while, following the voluntary decision to terminate several low -margin contracts in the tomato and tinned pulses segment, an overall decrease in revenues was recorded.
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Revenues in the United Kingdom decreased due to lower average selling prices , partially offset by an increase in volumes in the Drinks sector. Revenues in Other Countries decreased mainly due to a decrease in the average selling price in the segments in which the Group operates, with the exception of the Oils category. * * * Analysis of Net Financial Position Net financial debt at 30 June 2025 amounted to €285,095 thousand , a significant improvement compared to €346,216 thousand at 31 December 2024, on a like-for-like basis, thanks to the NewPrinces Group's ability to generate cash flows from operating activities and the improvement in net working capital. Net of the accounting effects of IFRS 16 leasing, the net financial position amounted to €183,610 thousand compared to €246,228 thousand at 31 December 2024, on a like-for-like basis. The Net Debt/EBITDA ratio improved significantly to 1.38 compared to 1. 95 at the end of December 2024. The gearing ratio was 0.7 compared to 1.04 at the end of 2024. * * * OWN SHARES Pursuant to the authorisation to purchase and dispose of own shares, approved by the Company's Shareholders' Meeting on 28 April 2025, NewPrinces held 446,341 own shares as at 30 June 2025. * * * SIGNIFICANT EVENTS OCCURRED AFTER THE END OF THE FIRST HALF OF 2025 On 24 June 2025, a definitive purchase agreement was signed for the acquisition of 100% of the share capital of Diageo Operations Italy S.p.A., which includes the Italian production plant in Santa Vittoria d'Alba (CN). On 9 July 2025, a binding agreement was signed with Heinz Italia S.p.A. for the acquisition of 100% of the share capital of a newly established company. This company will receive the business relating to the production, packaging, marketing, sale and distr ibution of baby food and foods for special medical purposes and specialist nutrition, marketed under the Plasmon, Nipiol, BiAglut, Aproten and Dieterba brands. On 24 July 2025 , a binding agreement was signed with Carrefour Nederland B.V. and Carrefour S.A. for the acquisition of 100% of the share capital of Carrefour Italia S.p.A. , for an Enterprise Value of approximately €1 billion.
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* * * BUSINESS OUTLOOK The acquisition of Carrefour Italia Group will allow NewPrinces to achieve greater economies of scale and commercial and logistical synergies, while consolidating the strong results delivered in the first half of 2025 despite a challenging international environment. Importantly, the transaction is expected to have a neutral impact on the Group’s consolidated net financial position at year-end 2025, supported by a significant anticipated cash contribution. On a consolidated basis, including the IFRS effect, the acquisition will generate a substantial liquidity benefit. In addition, cost synergies and enhanced economies of scale from the integration are expected, further reinforcing NewPrinces’ value creation capacity and growth trajectory. Based on current indicators, the Group expects full-year turnover to remain broadly stable on a like- for-like basis. NewPrinces are excited by the opportunities provided by its recent transactions and will provide an update to its financial guidance once the acquisitions of Carrefour Italia, Plasmon and Diageo Italia have completed. The Group will continue to prioritise cost discipline and prudent financial management to maximise free cash flow generation, to be allocated both to organic and external growth opportunities as well as to shareholder remuneration, particularly in light of recent acquisitions. * * * CONFERENCE CALL ON THE NEWPRINCES GROUP'S RESULTS FOR THE FIRST HALF OF 2025 The NewPrinces Group's results for the first six months of 2025 will be presented in English during a conference call to be held today at 10:00 a.m. (CEST). To participate in the conference call, please register by entering your details and email address at the following link. The presentation will be available on the Company's website ( www.newprinces.it) and in the storage system (www.emarketstorage.com) approximately half an hour before the start of the conference call. The MP4 recording will also be available on the Company's website from 10 September 2024. * * *
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STATEMENT OF THE MANAGER RESPONSIBLE FOR PREPARING THE COMPANY'S FINANCIAL REPORTS The executive responsible for preparing the company's financial reports, Rocco Sergi, declares, pursuant to and for the purposes of Article 154-bis, paragraph 2, of Legislative Decree No. 58 of 1998, that the information contained in this press release corresponds to the document results, books and accounting records. * * * This press release is available on the Company's website at www.newprinces.it and on the authorised storage mechanism eMarket Storage at www.emarketstorage.com. * * The document "Half-Yearly Financial Report as at 30 June 2025" is available on the Company's website at www.newprinces.it, as well as on the authorised storage mechanism eMarket Storage at www.emarketstorage.com. * * * FOR MORE INFORMATION: NewPrinces Benedetta Mastrolia NewPrinces Investor Relations Director Mob. +39 3319559164 investors@newlat.com Alice Brambilla Barabino & Partners Tel. +39 0272023535 Mob. +39 3282668196 a.brambilla@barabino.it Virginia Bertè Barabino & Partners Tel. +39 0272023535 Mob. +39 3429787585 v.berte@barabino.it
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* * * The NewPrinces Group The NewPrinces Group is a leading multinational, multi-brand, multi-product and multi-channel player in the Italian and European food industry, with a portfolio of more than 30 historic and internationally recognised brands. The Group is a leader in several categories, including pasta and bakery products, dairy products, fish and canned food, edible oils, ready meals and specialty products such as infant nutrition and wellness foods. With an established presence in 4 key markets and exports to more than 60 countries, NewPrinces Group serves more than 30,000 of Europe's leading retailers. In 2024, the Group generated revenues of € 2.8 billion, thanks to a workforce of more than 8,000 em ployees and 31 plants spread across Italy, the UK, Germany, France, Poland and Mauritius. NewPrinces, with its strong production and distribution network, is one of the leading players in the European food industry, with a clear focus on innovation and quality. For more information, please visit: www.newprinces.it and www.princesgroup.com. .
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ANNEX – NET FINANCIAL DEBT (In thousands of Euro) As at 30 June At 31 December Net financial debt 2025 2024 A. Cash and cash equivalents 561,320 95,079 B. Cash equivalents 100,000 360,056 C. Other current financial assets 139,956 265,351 D Cash and cash equivalents (A)+(B)+('C) 801,277 720,486 E. Current financial liabilities (292,952) (361,009) F. Current portion of non-current financial debt (61,642) (44,708) G. Current financial debt (E)+(F) (354,594) (405,717) H. Net current financial debt (G)+(D) 446,683 314,770 I. Non-current financial debt (188,840) (461,756) J. Debt instruments (547,401) (199,231) K. Trade payables and other non-current payables (175,374) (206,100) L. Non-current financial debt (I)+(J)+(K) (911,615) (867,087) M. Net financial debt (H)+(L) (464,932) (552,316) Shareholders Loan 175,374 206,100 Share Buy Back 4,463 N. Net financial debt adjusted (285,095) (346,216) ANNEX – NET FINANCIAL DEBT EXCLUDING LEASE DEBT (IFRS 16) (In thousands of Euro) At 30 June At 31 December 2025 2024 Net financial debt (285,095) (346,216) Current lease liabilities 28,512 20,230 Non-current lease liabilities 72,973 79,758 Net financial position (183,610) (246,228)
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ANNEX - CONSOLIDATED FINANCIAL STATEMENTS Consolidated Balance Sheet (in thousands of Euro) At 30 June At 31 December 2025 2024 Non-current assets Property, plant and equipment 537,353 560,456 Assets for right of use 85,559 93,050 of which related parties 10,181 11,488 Intangible assets 139,126 141,307 Investments in associates 9,354 10,090 Non-current financial assets measured at fair value through profit or loss 1,999 2,038 Financial assets measured at amortised cost 803 803 of which related parties 735 735 Deferred tax assets 14,866 22,266 Total non-current assets 789,059 830,010 Current assets Inventories 469,490 486,942 Trade receivables 303,599 258,544 of which from related parties 17,857 6,191 Current tax assets 2,598 6,930 Other receivables and current assets 55,009 53,591 Current financial assets measured at fair value through profit or loss 48,794 1,576 Financial receivables measured at amortised cost 91,162 263,775 of which related parties 91,161 263,775 Cash and cash equivalents 661,320 455,135 of which related parties - - Total current assets 1,631,973 1,526,493 TOTAL ASSETS 2,421,032 2,356,504 Net equity Share capital 44,052 43,935 Reserves 287,750 126,006 Translation reserve (4,608) 2,537 Net profit 20,927 160,633 Total equity attributable to the Group 348,122 333,111 Minority interests 66,852 65,530 Total consolidated equity 414,975 398,641 Non-current liabilities Provisions relating to personnel 12,929 13,056 Provisions for risks and charges 3,653 3,723 Deferred tax liabilities 41,626 48,578 Non-current financial liabilities 663,268 581,229 Non-current lease liabilities 72,973 79,758 of which to related parties 7,877 8,692 Shareholder loans 175,374 206,100 of which to related parties 175,374 206,100 Other non-current liabilities 0 0 Total non-current liabilities 969,823 932,446
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Current liabilities Trade payables 605,503 559,229 of which to related parties 1,414 3,782 Current financial liabilities 326,082 385,486 of which to related parties 7 Current lease liabilities 28,512 20,230 of which to related parties 2,605 2,554 Current tax liabilities 5,610 4,946 Other current liabilities 70,528 55,526 of which to related parties 8,784 Total current liabilities 1,036,235 1,025,418 TOTAL LIABILITIES AND NET EQUITY 2,421,032 2,356,505 Consolidated income statement (In thousands of Euro) Half-year ended 30 June 2025 2024 Revenue from contracts with customers 1,314,206 370,129 of which from related parties Cost of goods sold (1,053,296) (293,789) of which to related parties (2,366) (1,885) Gross operating profit 260,910 76,340 Sales and distribution expenses (87,393) (44,952) Administrative expenses (117,282) (11,711) of which to related parties (84) (84) Net write-downs of financial assets (669) (311) Other revenues and income 1,074 4,537 Other operating costs (3,843) (3,242) Operating profit 52,797 20,661 Financial income 14,180 6,334 of which from related parties 11,645 3,046 Financial expenses (35,800) (11,375) of which to related parties (5,592) (268) Profit before tax 31,177 15,619 Income tax (8,928) (5,577) Net profit 22,249 10,042 Net profit attributable to non-controlling interests 1,322 1,652 Group net profit 20,927 8,391 Basic earnings per share 0.48 0.19 Diluted net earnings per share 0.48 0.19
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Consolidated Statement of Comprehensive Income (In thousands of Euro) Half-year ended 30 June 2025 2024 Net profit (A) 22,249 10,042 b) Other comprehensive income components that will not be subsequently reclassified to profit or loss: Actuarial gains/(losses) - - Total other comprehensive income components that will not be subsequently reclassified to profit or loss: - - c) components of comprehensive income that will not be subsequently reclassified to profit or loss: Hedging instruments net of tax effects 1,667 (110) Translation reserve (3,119) 1,614 Total other comprehensive income components that will not be subsequently reclassified to profit or loss (1,452) 1,504 d) Total other comprehensive income, net of tax effect (B+C) (1,452) 1,504 Total comprehensive income (A)+(D) 20,797 11,545 Net profit attributable to non-controlling interests 1,322 2,916 Group net profit 19,475 8,630 Consolidated statement of changes in equity (In thousands of Euro) Share capital Reserves Net profit Total equity attributable to the Group Non- controlling interests Total As at 31 December 2023 43,935 100,375 14,325 158,635 16,022 174,657 Allocation of net profit for the previous financial year 14,325 (14,325) - - Treasury shares 652 652 652 Total treasury shares 652 652 652 Net profit 8,391 8,391 1,652 10,042 Hedging instruments net of tax effects 3,396 3,396 3,396 Translation reserve 1,614 1,614 1,614 Actuarial gains/(losses), net of related tax effect Total comprehensive income for the year 5,010 8,391 13,401 1,652 15,052 As at 30 June 2024 43,935 120,362 8,391 172,688 17,674 190,362 Treasury shares 10,743 10,743 10,743 Total treasury shares 10,743 10,743 10,743 Other movements 44,430 44,430 44,430 Net result 152,242 152,242 656 152,899 Hedging instruments net of tax effects (3,869) (3,869) 1,575 (2,294) Translation reserve 1,198 1,198 913 2,111 Actuarial gains/(losses), net of related tax effect 109 109 282 391
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Total comprehensive income for the year (2,562) 152,242 149,680 3,426 153,107 As at 31 December 2024 43,935 172,973 160,633 333,111 65,530 398,641 Allocation of net profit for the previous financial year 160,633 (160,633) - - Treasury shares (4,463) (4,463) (4,463) Total treasury shares (4,463) (4,463) (4,463) Net profit 20,927 20,927 1,322 22,249 Hedging instruments net of tax effects 1,667 1,667 1,667 Translation reserve (3,119) (3,119) (3,119) Actuarial gains/(losses), net of related tax effect Total comprehensive income for the year (1,452) 20,927 19,475 1,322 20,797 As at 30 June 2025 43,935 327,691 20,927 348,121 66,852 414,975 Consolidated cash flow statement (In thousands of Euro) As at 30 June 2025 2024 Profit before tax 31,177 15,619 - Adjustments for: Depreciation, amortisation and impairment losses 48,971 18,622 Capital losses/(gains) on disposals - Other non-monetary changes from business combinations - Financial expenses / (income) 21,620 5,041 of which related parties 6,053 2,778 Cash flow generated/(absorbed) by operating activities before changes in net working capital 101,768 39,282 Change in inventories 17,452 (5,721 Change in trade receivables (45,723) (5,943) Change in trade payables 59,099 15,651 Change in other assets and liabilities 13,584 6,740 Use of provisions for risks and charges and provisions for personnel (198) (500) Taxes paid (3,443) (1,489) Net cash flow generated/(absorbed) by operating activities 142,538 48,019 Investments in property, plant and equipment (16,535) (9,388) Investments in intangible assets (688) (700) Divestments of financial assets 127,837 954 Net cash flow generated/(absorbed) by investing activities 110,614 (9,134 New financial debt 644,889 77,000 Repayment of financial debt (659,089) (24,324) Repayment of lease liabilities (12,745) (5,396) of which to related parties (4,470) (2,980) Net interest paid (15,560) (5,041) Dividends paid
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Purchase of minority interests - - Sale (purchase) of treasury shares (4,463) 652 Net cash flow generated/(absorbed) by financial activities (46,968) 42,891 Total change in cash and cash equivalents 206,185 81,777 Cash and cash equivalents at the beginning of the year 455,135 312,459 of which from related parties 0 93,586 Compensation of cash and cash equivalents - - Total change in cash and cash equivalents 206,185 81,777 Cash and cash equivalents at end of year 661,320 394,236 of which related parties 0 89,872