De'Longhi

Investor Presentation • Jul 28, 2022

DēLonghi Group

KENWOOD

BRAUN nutribullet. -Ariete

This presentation might contain certain forward-looking statements that reflect the company's current views with respect to future events and financial and operational performance of the company and its subsidiaries.

Forward looking statements are based on De' Longhi's current expectations and projections about future events. The forward looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward looking statements. Potential risks and uncertainties include such factors as general economic conditions, foreign exchange fluctuations, competitive product and pricing pressures and regulatory developments, many of which are beyond the ability of De' Longhi to control or estimate. Consequently, De' Longhi S.p.A. cannot be held liable for potential material variance in any looking forward in this document.

Any forward-looking statement contained in this presentation speaks only as of the date of the document. Any reference to past performance or trends or activities of De' Longhi S.p.A. shall not be taken as a representation or indication that such performance, trends or activities will continue in the future. De' Longhi S.p.A. disclaims any obligation to provide any additional or updated information, whether as a result of a new information, future events or results or otherwise.

This presentation does not constitute a public offer under any applicable legislation or an offer to sell or solicitation of an offer to purchase or subscribe for securities or financial instruments or any advice or recommendation with respect to such securities or other financial instruments.

The manager responsible for preparing the company's financial reports declares, pursuant to paragraph 2 of Article 154-bis of Legislative Decree no. 58 of February 24 1988, that the accounting information contained in this presentation corresponds to the results documented in the books, accounting and other records of the company.

It should be noted that limited auditing activities are still underway on the consolidated half-year financial statements by the independent auditing firm, which has not yet issued its report. The report of the independent auditors will be made public with the same procedure as the half-year financial statements and as soon as available, within the terms provided for by the current regulations

In this presentation:

• "Adjusted" stands for before non recurring items and notional cost of the stock option plans
• "At constant exchange rates" means excluding the effects of exchange rates' variations and of hedging derivatives
• "ForEx" or "FX" stand for Foreign Exchange Rates;
• "M" stands for million and "bn" stands for billion;
• Q2 stands for second quarter (April 1st June 30th);
• H1 stands for first half (January 1 st – June 30th);
• "Reported" stands for official data including the consolidation of Eversys since April 1st , 2021 (following the acquisition finalized last year);
• the comparative data as of June 30, 2021 have been restated in accordance with IFRS 3, as a result of the definitive accounting of the business combination relating to Capital Brands and Eversys.

$• •$

$CTT$

THE 6 MONTHS HIGHLIGHTS

• H1-2022 revenues grew by 0.9%, including a positive currency effect of 3.8%;
• the expansion of extra-European geographies, such as Asia-Pacific and North America - both up double digit in the 6 months – helped to offset the slowdown of European markets;
• revenues suffered from weakening demand in the Food Preparation business, while the Coffee segment showed more resilience despite a softening sales' trend.

EUR million	H1 - 2022	var. %	var. % at FX constant	Q2 - 2022	var. %	var. % at FX constant
South-West Europe	534 2	-5 3%	-5 9%	249 7	-14 0%	-14 7%
North-East Europe	312 1	-14 0%	-15 4%	142 2	-21 0%	-23 9%
EUROPE	846	-8	-9	391	-16	-18
	3	7%	6%	9	7%	2%
America	289	19	13	156	10	6
	2	4%	9%	3	2%	1%
MEIA	105	1	-6	46	-10	-19
	8	9%	2%	4	1%	0%
Asia-Pacific	203	28	12	114	28	3%
	5	1%	8%	7	3%	7
TOTAL REVENUES	1 444 8 ,	0 9%	-2 9%	709 3	-5 8%	-10 7%

• South-West Europe recorded a 14% decline in sales in Q2, bringing the H1 trend in negative territory; in particular, some of the core markets, such as Germany, France, Austria and Switzerland, were down, while the Iberian region continued to grow;
• the negative trend continued in North-East Europe, due mainly to the direct and indirect effects of the Russian-Ukrainian conflict, with the exception of Poland, which grew double digit in the quarter;
• MEIA region resulted overall in negative territory in Q2, only partially mitigated by the appreciation of the US dollar;
• the America region delivered a sustained growth in H1, maintaining a positive trend in Q2, thanks to an expansion in the coffee and comfort categories;
• Asia Pacific maintained a strong pace of growth, as highlighted in the first part of the year, led by almost all the main countries in the region (Australia and New Zealand, Greater China and South Korea) and a significant contribution of the currencies.

Q2 - H1 2022 RESULTS REVENUES BY MARKET

Main Ups & Downs (at constant FX)

Q2 - H1 2022 RESULTS REVENUES BY PRODUCT LINE

Main Ups & Downs (at constant FX)

	H1	H1	Q2	Q2
	2022	2021	2022	2021
	-	-	-	-
ind	696	721	320	366
. margin	2	4	6	3
net
of	48	50	45	48
%	2%	4%	2%	6%
revenues
adjusted Ebitda	149 1	251 4	49 0	122 7
%	10	17	6	16
of	3%	6%	9%	3%
revenues
Ebitda	150	241	57	119
	5	0	1	4
of	10	16	8	15
%	4%	8%	0%	9%
revenues
Ebit	100	197	31	96
	3	1	2	6
%	6	13	4	12
of	9%	8%	4%	8%
revenues
Net Income (pertaining to the Group)	71 7	171 9	21 0	96 5
%	5	12	3	12
of	0%	0%	0%	8%
revenues

• net industrial margin stood at 48.2% of revenues compared to 50.4% last year, due to the increase of cost inflation not totally offset by the price-mix component and the lack of production efficiencies;
• adjusted Ebitda amounted to 149.1M€, equal to 10.3% of revenues (compared to 17.6% in 2021 and 12.5% in 2020), down vs last year due to higher investments in A&P (+34 M€ in the 6 months) and higher other operating costs.

EUR million	30 6 2022	31 12 2021	change (6 months)	30 6 2021	change (12 months)
operating NWC	414 6	199 7	215 0	229 4	185 3
Net Equity	1 591 5 ,	6 1 570 ,	20 9	1 383 3 ,	208 1
Financial Position Net	55 4	425 1	-369 7	214 8	-159 3
/ NWC op. revenues	12 8%	6 2%	6 6%	9% 7	4 9%

• o Net financial position as at 30.6.2022 stood at 55.4 M€, decreasing from 2021 year end, due to higher investments and increased inventory level;
• o the Free Cash Flow before dividends and acquisitions was -35 M€ in the 12 months and -245 M€ over the 6 months, mainly due to the higher level of inventories reached (+172.3 M€ in the 6 months).;
• o capex in the 6 months amounted to € 94.1 million (+33.5 M€ vs LY), including the 21 M€ acquisition of a new plant in Romania;

Q2 - H1 2022 RESULTS KEY TAKEAWAYS

The top-line was still facing a challenging comparison vs last year, that recorded an extraordinary expansion (up 46%) H1-21 and 36% Q2-21 on a like-for-like basis).
The increasing level of stock , required a slowdown in production and higher logistics and warehousing costs, influencing the profile of margins in the quarter.
In Q2 the European demand was heavily affected by the dramatic geopolitical framework that has been worsening the consumer confidence and by the adverse inflationary pressures which have been eroding the consumers' purchasing power.
The Group's communication strategy has been still supporting the coffee brand and business across the world even in this complex macroeconomic environment, with the aim to strengthen the global leadership and become an authority in coffee.

DēLonghi Group

3

4

KENWOOD BRAUN nutribullet. -Ariete

nent, with the

Q2 - H1 2022 RESULTS FY 2022 GUIDANCE

In the words of Massimo Garavaglia, CEO:

"We are experiencing a historical moment of great uncertainty that tests the structure of our economic system. The positive signs highlighted in the first months of the year gradually diluted in coincidence with the evolution of the Russian-Ukrainian conflict and the consequent impacts on consumer sentiment, already undermined by recent inflationary pressures in consumer goods of primary necessity.

Despite the unsatisfactory performance of the last quarter, we believe that the strategy underlying the actions implemented by the Group in recent months is still correct in a medium-long term perspective. We therefore intend to continue to defend prices and push investments in innovation and communication, as the main levers that can guarantee sustainable development.

In this 2022, we expect a persistent weakness of the markets and demand also in the second half of the year and we therefore estimate that we will be able to close the year with revenues down mid-single-digit and an adjusted Ebitda in the range of 320-340 million Euros".

Over the last years De'Longhi has constantly strengthened its efforts on sustainability, implementing targets and KPIs to undertake the ESG journey.

Following the first steps last years, a turning point in the journey is represented by the inclusion of Sustainability in the MTP 2021- 2023 as key enabler of our sustainable success.

De'Longhi wants to be a facilitator of conscious choices and an enabler of responsible behaviour among consumers.

ESG TARGETS

CONTROL AND RISKS, CORPORATE GOVERNANCE AND SUSTAINABILITY COMMITTEE

Preliminary, propositional and consultative functions on the subject of Sustainability

SUSTAINABILITY STEERING COMMITTEE

GROUP SUSTAINABILITY MANAGER

3 Focus Groups: PRODUCTS PROCESSES PEOPLE

Supervises the evolution of Group Sustainability

Manages the Group Sustainability

Supervision and implementation of projects included in the Sustainability Plan

DēLonghi Group

KENWOOD BRAUN nutribullet. -Ariete

ESG TARGETS: PILLAR #1, PRODUCTS

PRODUCTS

CIRCULAR ECONOMY Focus on recycled materials	$\triangleright$ Incorporate recycled material in all new products 30% of recycled plastic over the total plastic used in new products $\blacktriangleright$	2025 2027
SUSTAINABLE PRODUCTS Eco-Design Guidelines and LCA implementation	$\triangleright$ Adoption of Eco-Design Guidelines One product per main category covered by LCA $\blacktriangleright$	2023 2024
SUSTAINABLE PACKAGING Increase the circularity and sustainability of packaging	Improve the environmental performance of our packaging $\blacktriangleright$ 70% of products with EPS free packaging $\blacktriangleright$ 50% of products with digitalized user's manuals $\blacktriangleright$	2024 2024 2025
FIGHT AGAINST CLIMATE CHANGE Focus on product energy efficiency projects	Develop Eco features for increased consumer usage $\blacktriangleright$ Continue to develop products with a focus on energy efficiency ➤	2025

ESG TARGETS: PILLAR #2, PROCESSES

PROCESSES

FIGHT AGAINST CLIMATE CHANGE Energy efficiency interventions aimed	$\triangleright$ Complete the enlargement of the GHG inventory to Scope 3 100% of electricity used at Group's plants by renewables ≻	2023 2025
to reducing the energy consumption and GHG emissions of the	GHG emissions reduction (Scope 1&2) of 42% $\blacktriangleright$ (aligned with SBT methodology)	2030
plants/offices	$\triangleright$ Reduce the energy intensity per unit produced	2024

SAFE ENVIRONMENT
Foster environment protection at plant level; assure the highest standards in terms of H&S	$\geq 100\%$ Group's plants certified ISO 14001 $\triangleright$ 100% Group's plants certified ISO 45001	2022 2027
RESPONSIBLE SUPPLY CHAIN	$\triangleright$ Adoption of Supplier Code of Conduct and of Responsible Sourcing	2022
Drafting the Supplier Code of	Guidelines
Conduct and the Responsible sourcing guidelines	$\triangleright$ Monitoring of suppliers' social, environmental and Health&Safety performance	2023

ESG TARGETS: PILLAR #3, PEOPLE

SAFE ENVIRONMENT Reinforce and enhance a shared health and safety culture across the Group		$\triangleright$ Drive individual behaviours through training, communication and health and safety initiatives	2023
WELLBEING AND INCLUSION Take care of the development of our People, design a new Diversity, Equity and Inclusion approach and a new volunteering and donations approach	$\blacktriangleright$ $\blacktriangleright$ $\blacktriangleright$	$\triangleright$ Adoption of a Policy on diversity and inclusion Increase the % of women in all managerial positions Increase the level of work life balance measured through a specific survey, year by year Adoption of Charity Guidelines Increase the average training hours per employee every year	2023 2025 2024 2023 2023
FIGHT AGAINST CLIMATE CHANGE Deliver activities/training, promoting healthier behaviours and a zero waste approach inside and outside the company		$\triangleright$ Engage and raise awareness of our people and the local communities regarding good habits for the environment $\triangleright$ Reducing the environmental impact of our travel policy by analysing the cost of employees travelling between offices or sites $\geq 100\%$ of electric and/or hybrid vehicles in company car fleet	2023 2024 2027

Contacts:

Investor Relations:

Fabrizio Micheli, Samuele Chiodetto $T: +3904224131$ e-mail: investor.relations@delonghigroup.com

Media relations:

Mattia Rosati $T: +3904224131$ e-mail: media.relations@delonghigroup.com

On the web: www.delonghigroup.com