Landi Renzo

Investor Presentation • Mar 15, 2023

FY 2022 Financial Results

Cavriago, 15th March 2023

Disclaimer

This document has been prepared by Landi Renzo S.p.A for use during meetings with investors and financial analysts and is solely for information purposes. The information set out herein has not been verified by an independent audit company. Neither the Company nor any of its subsidiaries, affiliates, branches, representative offices (the "Group"), as well as any of their directors, officers, employees, advisers or agents (the "Group Representatives") accepts any responsibility for/or makes any representation or warranty, express or implied, as to the accuracy, timeliness or completeness of the information set out herein or any other related information regarding the Group, whether written, oral or in visual or electronic form, transmitted or made available. This presentation contains forward looking statements regarding future events and future results of Landi Renzo S.p.A. (the "Company") that are based on the current expectations, estimates, forecasts and projections about the industries in which the Company operates, and on the beliefs and assumptions of the management of the Company. In particular, among other statements, certain statements with regard to management objectives, trends in results of operations, margins, costs, return on equity, risk management, competition, changes in business strategy and the acquisition and disposition of assets are forward looking in nature. Words such as 'expects', 'anticipates', 'scenario', 'outlook', 'targets', ' goals', 'projects', 'intends', 'plans', 'believes', 'seeks', 'estimates', as well as any variation of such words and similar expressions, are intended to identify such forward looking statements. Those forward looking statements are only assumptions and are subject to risks, uncertainties and assumptions that a re difficult to predict because they relate to events and depend upon circumstances that will occur in the future. Any forward-looking statements made by or on behalf of the Company speak only as of the date they are made. Except as required by applicable laws and regulations, the Company assumes no obligation to provide updates of any of the aforesaid forward looking statements. Under no circumstances shall the Group and/or any of the Group Representatives be held liable (for negligence or otherwise) for any loss or damage howsoever arising from any use of this document or its contents or otherwise in connection with the document or the aforesaid forward-looking statements. This document does not constitute an offer to sell or a solicitation to buy or subscribe to Company shares and neither this entire document or a portion of it may constitute a recommendation to effect any transaction or to conclude any legal act of any kind whatsoever. This document may not be reproduced or distributed, in whole or in part, by any person other than the Company. By viewing and/or accepting a copy of this document, you agree to be bound by the foregoing limitations

Landi Renzo Group's mission is to contribute to the world's energy transition, promoting decarbonization through an approach based on technological neutrality

Climate change centrality in world agenda and LRG positioning

• As highlighted by daily debate worldwide, emission reduction is an essential target for the all societies in the world
• All viable solution must be taken into consideration with a scientific approach, based on technological neutrality, and the optimal utilization of existing know-how/ capabilities

LRG's 2022 results have been impacted by several exogenous factors, with Q4 results suggesting a recovery path

Russian-Ukrainian war • Persistence of the conflict has caused the surge of natural gas cost worldwide • Geo-political tension has directly impacted group's performances in the ex-CIS region Raw material cost increase Chinese market slowdown Cyber attack to LRG's IT system Green Transportation recovery in Q4 • Cost of raw material has been rising throughout 2022 for all components purchased (e.g., metals, electronics) • Pricelist adjustments have not fully reflected increased cost, leading to LRG's gross margin erosion • Chinese economy slowdown and pandemic restrictions have caused a remarkable drop of M&HD¹ vehicle production • Despite overall volume reduction, natural gas and hydrogen products have maintained expected penetration rates • In October 2022, a severe cyber attack has damaged LRG IT systems, causing a 3-weeks delay in operations • Restoring measures and extraordinary activities to recover production lost have generated extra cost in Q4 • In Q4 Green Transportation BU has shown improving EBITDA, despite cyber attack costs • Recovery has been led by pricelist increases/ extra cost recognition from main OEM customers

Strong momentum of Infrastructure

• Despite marginality erosion due to delayed execution of older projects, Infrastructure BU has recorded double-digit growth and is expected to accelerate further, driven by biomethane and hydrogen demand

2022 exogenous dynamics have impacted both divisions, but Hydrogen plus RNG¹ growth and organization reinforcement are expected to lead improvements in 2023

Green Transportation (Automotive)	• In After Market, drop of CNG2 has been partly offset by LPG3 increase (mainly in EU) • OEM Passenger Car demand has strongly increased, driven by LPG penetration in Europe and CNG in India M&HD sales and delayed investments, with LRG MS4 • Natural gas crisis has frozen and revenues in line with 2021
Clean Tech Solutions (Infrastructure)	• Operational efficiencies have partly offset marginality erosion, with strong cash generation in North America The order book has remained solid along the whole year, with increasing demand driven by RNG1 • and hydrogen • Advancements in hydrogen solution development has favored international market expansions
Hydrogen (Group)	• Growing demand for hydrogen components in LCV and M&HD Automotive segments is fueling current sales (mainly in China) and leading to several R&D projects, with returns expected in late 2024-2025 • In the Infrastructure division, worldwide incentives are favoring a steep acceleration of the market, leading to strategic partnership and commercial agreements in different areas of the value chain (e.g., power generation, transmission infrastructure, energy storage, etc.)
Operational improvement (Group)	• The Group has completed the Management Team reinforcement, with relevant impact on business development and operational improvement expected in 2023 • Main projects are focused on detailing hydrogen and RNG go-to-market strategy, improving purchasing efficiency and optimizing working capital requirements • Integration of Metatron and Idro Meccanica is expected to be completed in 2023, leading to cost savings

Landi Renzo Group's pro-forma¹ revenues account for ~336 M€, with Clean Tech Solutions representing more than 30% of total revenues

• Group revenues account for ~336 M€, with ~10 M€ related to Group's hydrogen solutions, also thanks to Idro Meccanica
• Group's ~40 M€ revenue growth vs. 2021 has been mainly driven by Clean Tech Solutions, Indian Automotive performance and European OEM – PC channel
• Clean Tech Solutions growth driven by new revenues in Hydrogen, and RNG application in both Europe and North America
• Automotive investment mainly driven by new Hydrogen and M&HD product development
• SAFE&CEC investment include the acquisition of Idro Meccanica completed in January 2022

Full year pro-forma figures

(1) Including non-consolidated KLR (2) Consolidated pro-forma results net of intercompany transactions (3) Net of IFRS 16, derivatives fair value effect and debt for share capital acquisition

FY results show a revenue increase, driven also by a different perimeter

	Green Transportation	Clean Tech Solutions	LRG1
M€; %	FY 2022	FY 2022	FY 2022	FY 2021	delta	delta %
Revenues	201,7	104,6	306,3	242,0	+64,3	+26,6%
Adj. EBITDA	9,3	6,0	15,3	14,6	+0,6	+4,4%
% on rev.	4,6%	5,7%	5,0%	6,0%
EBITDA	5,6	5,5	11,0	12,6	-1,6	-12,5%
% on rev.	2,8%	5,2%	3,6%	5,2%
EBIT	-8,6	2,6	-6,0	-3,0	-3,0	-101,0%
% on rev.	-4,3%	2,5%	-2,0%	-1,2%
EBT			-13,9	1,7	-15,6	n.a.
% on rev.			-4,5%	0,7%
Net Result			-14,3	0,5	-14,8	n.a.

• Revenues +64 M€ (+26,6%) increase due also to a different consolidation perimeter. On a comparable basis, Group's turnover increased by 10,1% YoY
• Adj. EBITDA reflects the reduced marginality due to inflation (raw materials, energy, transportation) on all business lines and time gap on price increases in Clean Tech Solution
• EBT in 2021 was positively affected by the consolidation profit (8,8M€) connected to the fair value evaluation of SAFE&CEC

Green Transportation shows an improvement in both revenues and Adj. EBITDA

	M€ ; %	FY 2022	FY 2021	delta	delta %
	Revenues	201,7	172,9	28,8	+16,7%
	Adj. EBITDA	9,3	7,2	2,1	+28,7%
Green	% on rev.	4,6%	4,2%
Transportation (Automotive)	EBIT	-8,6	-8,3	-0,3	n.a.
	% on rev.	-4,3%	-4,8%
	NWC	45,6	44,3	1,3
	NFP (1)	68,5	91,1	-22,6

• On a comparable basis (including Metatron 2021 on a full year basis), Green Transportation revenues growth by 8,5%
• Adj. EBITDA, even if growing compared to 2021, still under expectation. Growth driven by volume effect, with significant Q4 positive impact on 2022 performance
• Ebit impacted by extraordinary cost mostly related to 2022 strategic consultancy, depreciation and cyber attack
• NWC increase mainly linked to specific sourcing needs, requiring stocking in advance (electronic components)
• NFP improved due to Capital increase, partly offset by payments for Metatron acquisition
• The Indian JV (KLR) consolidated with the equity method, is not included in the above results

	M€ ; %	FY 2022	FY 2021	delta	delta %
	Revenues	104,6	69,1	35,5	+51%
	Adj. EBITDA	6,0	7,4	-1,4	-19%
	% on rev.	5,7%	10,7%
Clean Tech Solutions	EBIT	2,6	5,4	-2,8	-52%
	% on rev.	2,5%	7,8%
	NWC	9,1	9,6	-0,5
	NFP (1)	8,7	4,0	4,7

• On a comparable basis (2021 SAFE&CEC full year consolidation) revenue increased 13,3% YoY, mainly thanks to the growth of H² and RNG applications
• Adj. EBITDA impacted by raw material cost increase orders not recharged to customers on "old backlog". The company has put in place action to review price list configuration and new contract to pass through cost increase
• NWC decrease due to higher advanced payment from customers
• NFP entails the acquisition of Idro Meccanica (6,4M€)

The Indian JV KLR, not consolidated, is achieving significant results with an outlook of further growth

• KLR revenues maintain a steep growing trend (+15,9 M€, 81% YoY), with KLR being the leading component supplier to different OEM players
• In India CNG-powered cars accounted for ~ 10% of total sales in 2022, thanks to a larger model offering and the increase of CNG refilling stations
• New programs with different customers expected to go SOP during 2023 for both Passenger cars and M&HD
• Hydrogen is gaining momentum in India sustained by Government strategy to support H² , as India energy carrier for the future

Landi Renzo Group closes 2022 with 63 M€ in cash and a reduced NFP

• NPF positive contribution due to the capital increase of 58,6 M€ (net of expenses), partially offset by the payments for the acquisitions of Metatron (25,4 M€) and Idro Meccanica (6,4 M€)
• Both in December 2021 and December 2022, due to IFRS applicable rules, part of long-term debt has been reclassified in shortterm debt
• In March 2023, Landi Renzo Group has received the waiver from financing banks, allowing to reclassify, in Q1 2023, 73 M€ of short term-debt as long-term debt
• Debt for share capital acquisitions in 2021 refers to Metatron acquisition

2023 Outlook

Green Transportation	AM1 • expects market consolidation and stable marginality, driven by local market dynamics and pricelist increases • OEM – PC with stable volumes (phase-out slowdown), with potential growth in India • OEM – M&HD market still affected by natural gas crisis in the first half of the year, with potential upsides in the last quarter and growing outlook for H 2
Clean Tech Solutions (SAEFE&CEC)	• Strong revenue growth expected in 2023, backed by significant backlog (50%+ of sales target), RNG and H demand 2 • Margin recovery vs. 2022, led by termination of "old" orders and set-up of dedicated procedures to monitor project cost evolution and evaluate extra cost • Relevant business development activities already ongoing, coupled with targeted R&D investments on technological developments (e.g., 1MW compressor, CO compressor) 2
Group operations	• Main optimization focused on purchasing and working capital management • Prosecution of organization structure reinforcement, in line with group strategic plan

2023	• Expected improvement vs. 2022, with growing EBITDA and cash from operations
performance outlook	• Sales mix, gradual deployment of operational efficiencies and Infrastructure division business dynamics imply stronger performance in H2 '23 vs. H1 '23

Landi Renzo S.p.A. Headquarter Via Nobel 2 - 42025 Corte Tegge Cavriago (RE), Italy

www.landirenzogroup.com www.landirenzo.com

13

Landi Renzo - Company profile

BOARD OF DIRECTORS

Stefano Landi – Chairman Sergio Iasi – Deputy Chairman Cristiano Musi – CEO Andrea Landi – Director Silvia Landi – Director Massimo Lucchini – Director Anna Maria Artoni – Independent Director Sara Fornasiero – Independent Director Pamela Morassi – Independent Director

SHARE INFORMATION

Euronext STAR Milan segment of Borsa Italiana

N. of shares outstanding: 220.281.064

Price as of 13/03/2023: €0,560

TOP MANAGERS INVESTOR RELATIONS

Investor Relations Contacts:

Vittorio Tavanti Tel: +39 0522 9433 E-mail: ir@landi.it www.landirenzogroup.com

CONSOLIDATED P&L

(thousands of Euro)
CONSOLIDATED INCOME STATEMENT	31/12/2022	31/12/2021 Restated
from services Revenues sales and	306,297	241,994
Other revenues and income	1,249	2,610
Cost of raw materials, consumables and goods and change in inventories	-188,979	-150,272
Costs for use of services and third-party assets	-54,780	-43,075
Personnel costs	-47,218	-34,920
Allocations, w rite dow ns and other operating expenses	-5,525	-3,722
Gross Operating Profit	11,044	12,615
Amortization, depreciation and impairment	-17,077	-15,617
Net Operating Profit	-6,033	-3,002
Financial income	1,129	217
Financial expenses	-7,630	-4,344
Exchange gains (losses)	-1,670	-362
Income (expenses) from equity investments	-275	8,581
Income (expenses) from joint measured using the equity method venture	597	620
Profit (Loss) before tax	-13,882	1,710
Taxes	-385	-1,208
Net profit (loss) for the Group and minority interests, including:	-14,267	502
Minority interests	14	1,522
Net profit (loss) for the Group	-14,281	-1,020
Basic earnings (loss) per share (calculated on 112,500,000 shares)	-0.0635	-0.0091
Diluted earnings (loss) per share	-0.0635	-0.0091

CONSOLIDATED BALANCE SHEET (1/2)

(thousands of Euro)
ASSETS	31/12/2022	31/12/2021 Restated
Non-current assets
Land , plant , machinery and other equipment , property	14 015 ,	14 977 ,
Development expenditure	11 141 ,	12 222 ,
Goodw ill	80 132 ,	73 256 ,
Other intangible w ith finite useful lives assets	17 263 ,	19 543 ,
Right-of-use assets	13 618 ,	11 991 ,
Equity investments measured using the equity method	2 496 ,	2 028 ,
Other financial non-current assets	847	882
Other non-current assets	1 710 ,	2 556 ,
Deferred tax assets	14 109 ,	12 694 ,
Non-current for derivative financial instruments assets	103	0
Total non-current assets	155 434 ,	150 149 ,
Current assets
Trade receivables	73 559 ,	66 048 ,
Inventories	76 680 ,	68 896 ,
Contract w ork in progress	20 429 ,	15 653 ,
Other receivables and current assets	17 148 ,	14 443 ,
Current for derivative financial instruments assets	412	0
Cash and cash equivalents	62 968 ,	28 039 ,
Total current assets	251 196 ,	193 079 ,
ASSETS TOTAL	406 630 ,	343 228 ,

CONSOLIDATED BALANCE SHEET (2/2)

31/12/2022 22,500 91,698 -14,281 99,917 5,967 105,884 8,169 24,456	31/12/2021 Restated 11,250 44,615 -1,020 54,845 5,738 60,583 10,174 9,320
11,314	10,197
5,484	4,535
3,413	3,977
2,910	1,452
0	99
55,746	39,754
103,629	103,408
3,956	274
3,196	2,624
98,033	82,886
3,697	3,758
32,489	49,941
	242,891
245,000