Slides
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H1 2025– Results presentation August 6, 2025
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Highlights 2 € millions, unless otherwise stated • H1 consolidated revenues are at €153,7 +1,9% vs PY – Heating & Ventilation accounts €106,7 with a 3,1% increase vs PY – Metering at €43,8 is -4,3% vs PY , with Gas metering at -9,2% and Water metering performing +6,4% vs PY • Gas Metering Q2 sales improves vs Q1 as expected, with Order/Invoicing ratio normalizing in H2 • H1 EBITDA adjusted of €20,6 at 13,4% of revenues (+78,9% vs PY) confirms beneficial impact of Heating & Ventilation volumes and consolidation of cost efficiencies • H1 accounts a positive EBIT adjusted for €7,5 underpinning turnaround in operating performance • Net debt at €150,8 vs €160,9 of PY Adjustments are for one-off items H1 25 Adj H1 24 Adj diff% Revenues 153,7 150,9 1,9% Purchasing 74,1 77,3 (4,2%) Services 23,0 22,8 0,6% Personnel 34,5 38,7 (11,0%) Deprec.& Ammort. 13,2 13,7 (3,7%) Provvisions 0,4 0,2 - Other charges 1,1 0,4 - EBIT Adj 7,5 -2,2 443% Financial charges, net -2,8 -3,3 (15,4%) Forex, net 0,3 -0,1 - EBT Adj 5,1 -5,6 191% Income taxes -2,9 0,8 (442%) Net income Adj 2,2 -4,7 146% EBITDA Adj 20,6 11,5 78,9% EBITDA Adj margin 13,4% 7,6%
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Key financial results 3 €M, unless otherwise stated H1 25 % H1 24 % Chg. YoY Revenues 153,7 100,0% 150,9 100,0% 1,9% EBITDA 16,9 11,0% 13,5 9,0% 24,4% D&A, impairment of assets 13,1 13,7 EBIT 3,8 2,5% (0,1) -0,1% 3130,1% Net financial (charges)/income (2,8) (7,2) Net forex (charges)/income 0,3 (0,1) EBT 1,3 0,9% (7,4) -4,9% 118,1% Taxes (2,0) 1,3 Net income (0,7) -0,5% (6,1) -4,1% 88,6% Cash flow from operations 1,3 (2,1) NTWC 77,3 83,6 Net financial debt 150,8 160,9 • H1 consolidated revenues account 1,9% increase • Divisional trends: – Heating & Ventilation: +3,1%, 4,0% at same forex – Metering: -4,3% • H1 25 Reported financials reflect ongoing reorganization activities which account one-off costs for €3,7M • H1 24 net financial charges include €4,0M bank negotiation cost as per IFRS9 • H1 25 vs H1 24 Tax accruals reflect change in deferred tax accounting in line with FY24 closing • Cash flow from operations is positive for €1,3M accounting significant improvement vs PY • NTWC of €77,3 (24,9% of revenues) vs €83,6 of PY (27,5%) • Net financial debt stands at €150,8 vs €160,9 of PY • H1 25 EBITDA adj and EBIT adj highlights operating performance turnaround EBITDA adj 20,6 13,4% 11,5 7,6% 78,9% EBIT adj 7,5 4,9% (2,2) -1,4% 443,1% Net financial (charges)/income adj (2,8) (1,8%) (3,3) (2,2%) 15,4% Net income adj 2,2 1,4% (4,7) (3,1%) 145,8%
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Consolidated revenues – H1 4 Breakdown by Division Breakdown by geography Consolidated revenue bridge (€M) 2,9 0,9 H1 2024 Vol/Mix Prices -0,9 Forex H1 2025 150,9 153,7 €M, unless otherwise stated H1 25 % H1 24 % Chg. YoY Heating & Ventilation 106,7 69,4% 103,5 68,6% 3,1% Metering 43,8 28,5% 45,8 30,4% (4,3%) Total business sales 150,5 97,9% 149,3 98,9% 0,8% Other revenues 3,2 2,1% 1,6 1,1% 98,4% Total revenues 153,7 100,0% 150,9 100,0% 1,9% €M, unless otherwise stated H1 25 % H1 24 % Chg. YoY Italy 50,9 33,1% 51,0 33,8% (0,2%) Europe (excuding Italy) 60,9 39,6% 62,3 41,3% (2,3%) America 29,1 18,9% 22,4 14,9% 29,6% Asia/Pacific 12,8 8,3% 15,1 10,0% (15,2%) Total revenues 153,7 100,0% 150,9 100,0% 1,9%
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Consolidated revenues – Q2 5 Breakdown by Division Breakdown by geography Consolidated revenue bridge (€M) 2,0 0,8 Q2 2024 Vol/Mix Prices Forex Q2 2025 81,8 83,6-1,1 €M, unless otherwise stated Q2 25 % Q2 24 % Chg. YoY Heating & Ventilation 56,6 67,7% 55,6 67,9% 1,8% Metering 25,4 30,4% 25,2 30,7% 1,0% Total business sales 82,0 98,0% 80,8 98,7% 1,5% Other revenues 1,7 2,0% 1,1 1,3% 51,9% Total revenues 83,6 100,0% 81,8 100,0% 2,2% €M, unless otherwise stated Q2 25 % Q2 24 % Chg. YoY Italy 28,9 34,6% 27,7 33,9% 4,4% Europe (excuding Italy) 32,3 38,6% 32,4 39,6% (0,5%) America 15,1 18,1% 12,2 14,9% 23,8% Asia/Pacific 7,3 8,7% 9,5 11,6% (22,8%) Total revenues 83,6 100,0% 81,8 100,0% 2,2%
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Heating & Ventilation sales 6 Q2 sales by geography H1 sales by geography €M, unless otherwise stated Q2 25 % Q2 24 % Chg. YoY Italy 11,1 19,7% 10,0 17,9% 11,5% Europe (excuding Italy) 23,4 41,3% 24,4 43,9% (4,3%) America 14,0 24,7% 11,0 19,7% 27,6% Asia/Pacific 8,1 14,3% 10,2 18,4% (21,1%) Total business sales 56,6 100,0% 55,6 100,0% 1,8% €M, unless otherwise stated H1 25 % H1 24 % Chg. YoY Italy 21,8 20,4% 19,2 18,5% 13,5% Europe (excuding Italy) 44,6 41,8% 47,3 45,7% (5,8%) America 26,9 25,2% 20,8 20,1% 29,4% Asia/Pacific 13,5 12,7% 16,2 15,7% (16,8%) Total business sales 106,7 100,0% 103,5 100,0% 3,1% Divisional sales: – Q2 up 1,8%, (3,7% at same forex) – YTD up 3,1%, (4,0% at same forex) • Italy accounts Q2 11,5% increase bringing YTD to + 13,5% confirming positive trend of the last quarters. All product families involved, especially ventilation for Direct Heating applications • Europe is down mid single digit both quarterly and YTD. Performance is impacted by specific customers and Central Heating applications, with Turkey decrease above average. Central Europe markets and UK account high single digit growth thanks to electronics and flues • America. Q2 sales are up €3,0M, (+27,6%. +35,1% at same forex) due to both Central Heating and Direct Heating application. YTD is +29,4%, 32,9% at same forex) • Asia/Pacific is down vs PY mainly due to China that is confirming weak market also in Q2, only partially offset by other geographies
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Metering sales 7 Q2 Smart Gas Metering H1 Smart Gas Metering €M, unless otherwise stated Q2 25 % Q2 24 % Chg. YoY Residential 14,7 85,2% 12,0 66,5% 22,3% Commercial & Industrial 2,5 14,3% 3,5 19,2% (28,6%) Other 0,1 0,4% 2,6 14,4% (97,3%) Total business sales 17,3 100,0% 18,1 100,0% (4,7%) €M, unless otherwise stated H1 25 % H1 24 % Chg. YoY Residential 24,8 86,7% 23,0 73,1% 7,7% Commercial & Industrial 3,6 12,7% 5,8 18,5% (37,6%) Other 0,2 0,5% 2,6 8,4% (94,1%) Total business sales 28,6 100,0% 31,5 100,0% (9,2%) €M, unless otherwise stated H1 25 % H1 24 % Chg. YoY Water meters, finished 7,7 50,5% 5,5 38,1% 41,2% Water meter parts 6,7 44,2% 8,0 56,1% (16,1%) Other 0,8 5,3% 0,8 5,9% (4,4%) Total business sales 15,2 100,0% 14,3 100,0% 6,4% €M, unless otherwise stated Q2 25 % Q2 24 % Chg. YoY Water meters, finished 4,3 52,3% 2,6 37,2% 62,4% Water meter parts 3,4 42,4% 4,0 56,8% (13,8%) Other 0,4 5,3% 0,4 6,0% 1,3% Total business sales 8,1 100,0% 7,0 100,0% 15,4% H1 Water Metering Q2 Water Metering
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Net trade working capital 8 €M, unless otherwise stated 2025.06 2024.12 YTD change 2024.06 2023.12 YTD change YoY change Inventory 79,8 72,3 7,5 91,8 83,3 8,5 (12,1) Accounts receivables 67,8 60,3 7,5 72,0 63,5 8,5 (4,1) Accounts payables (70,3) (66,9) (3,4) (80,2) (66,9) (13,3) 9,9 Net Trade Working Capital 77,3 65,6 11,6 83,6 79,9 3,7 (6,3) NTWC/Revenues 24,9% 21,9% 3,0% 27,6% 24,5% 3,1% -2,7% Non recourse factoring 3,9 3,9 (0,0) 2,4 4,7 (2,3) 1,5 Accounts receivables adjusted 71,7 64,2 7,5 74,3 68,1 6,2 (2,6) AR adjusted/Revenues 23,1% 21,4% 1,7% 24,6% 20,9% 3,7% -1,4% Capex account payables (0,9) (3,2) 2,4 (3,5) (6,6) 3,1 2,7 Accounts payables adjusted (69,5) (63,7) (5,8) (76,7) (60,3) (16,4) 7,3 AP adjusted/Revenues 22,4% 21,3% 1,1% 25,4% 18,5% 6,9% -2,9% Net Trade Working Capital adjusted 82,0 72,7 9,2 89,4 91,1 -1,7 (7,5) NTWC adjusted/Revenues 26,5% 24,3% 2,2% 29,6% 27,9% 1,6% -3,1% YTD reported H1 25 NTWC: +€11,6 • Seasonality pattern in Heating & Ventilation is normalizing • Metering order book and sales forecast is consistent • Account Receivables and Account payables are in line with volume effect YOY change in NTWC: (€6,3) • Inventory management efficiencies and normalization of trade conditions
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9 Cash flow and Net debt Change in net debt Net financial position • Current cash flow improves significantly from €10,0M to €17,3 • YTD change in NTWC due to seasonality • Other working capital is mainly VAT credit due to increase in volumes • Capex for €3,6M vs €9,4M of PY • Net Debt/EBITDA Adj LTM: 4,1x vs 5,3x vs 6,2x of previous year €M, unless otherwise stated H1 25 H1 24 Current cash flow 17,3 10,0 Change in NTWC (10,3) (4,1) Inventory (7,7) (9,0) Accounts Receivables (7,7) (8,6) Accounts Payables 5,1 13,6 Other working capital (2,1) 1,4 Capex, net (3,6) (9,4) Cash flow from operations 1,3 (2,1) Financial charges (3,4) (4,4) IFRS 16 - Leases (0,6) (0,4) Other (2,3) (0,3) Change in net debt (5,0) (7,2) Net debt - BoP 145,9 153,7 Net debt - EoP 150,8 160,9 €M, unless otherwise stated 30/06/2025 31/12/2024 30/06/2024 (Cash & cash equivalents) (8,9) (14,0) (7,2) Current debt, net 35,0 23,8 28,6 Non current debt 112,2 121,8 127,1 MTM derivatives & M&A debt 1,9 2,6 0,0 IFRS 16 - Leases 10,5 11,7 12,3 Net debt - EoP 150,8 145,9 160,9
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Final comments and FY outlook 10 FY outlook is confirmed as already provided in previous reporting sessions H2 top-line: • Heating & Ventilation is expected to return to its historical seasonality pattern. This rebalancing assumes a normalization of demand and delivery dynamics in the sector • Metering performance is forecasted to strongly improve. Gas Metering is expected to recover Order/Invoicing ratio supported by a solid order book and operating continuity. As seen in past cycles Water Metering H2 is expected to show a performance between 15%-20% Margins: • Adjusted EBITDA is expected to remain solidly positive in double digits despite less favourable revenue and currency mix Net debt: • Projected EoY net financial position is confirmed in improvement around €140M Tariffs: • Recent USA/UE agreements of 15% is foreseen not to have material impact • Tariffs on exports from Mexican plant to USA - under USMCA (ex NAFTA) regulation - do not apply
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Regulatory statement The manager responsible for the preparation of the company's accounts, Paul Fogolin, hereby declares, as per article 154- bis, paragraph 2, of the "Testo Unico della Finanza", that all information related to the company's accounts contained in this presentation are fairly representing the accounts and the books of the company. Paul Fogolin Chief Financial Officer paul.fogolin@sitgroup.it Investor Relations Mara Di Giorgio +39 335 773 7417 investorrelations@sitgroup.it
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Disclaimer This presentation has been prepared by SIT S.p.A. only for information purposes and for the presentation of the Group’s results and strategies. For further details on the SIT Group, reference should be made to publicly available information. Since at the moment there is no existing reliable market research which provide the required level of detail, nor any official data, the statements of key information, the assessments concerning the positioning of SIT Group and the assessments regarding the market and the market segments of the reference market are based exclusively on assessments carried out by SIT’s management, in accordance to its own knowledge of the market and its analysis of the data gathered. For such reason, these statements and assessments may not be updated and/or may also be quite approximate. Due to the lack of reliable and standardized data and of market data provided by third parties, these assessments are necessarily subjective and are provided, unless otherwise specified, by SIT on the basis of the analysis of the data it, as a company, has gathered. These evaluations and the performance of the industries in which SIT operates could prove to be different from those assumed due to the known and unknown risks, the uncertainties and other causes. Statements contained in this presentation, particularly those regarding any SIT Group possible or assumed future performance, are or may be forward looking statements and in this respect they involve some risks and uncertainties. Any reference to past performance of the SIT Group shall not be taken as an indication of future performance. This document does not constitute an offer or invitation to purchase or subscribe for any shares and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. By attending or reading this presentation you agree to be bound by the foregoing terms.