IRCE

Investor Presentation • Oct 3, 2022

1st Half 2022 Financial Results Presentation

IRCE Group –Contents

Company Profile

• •Highlights •The Businesses
• •Production Plants

Financial Results

• •CopperandAluminiumPrice Trend
• •ProfitandLoss Statement
• •BalanceSheet
• •BusinessPerformance
• •Market Performance

CompanyProfile–Highlights

IRCE is a leading European Group operating in the industriesof magnet wires and cables

U.m.	1°H 2022	1°H 2021	FY 2021
Nr	715	724	714
Eur M	261.0	228.0	457.1
Eur M Eur M	8.5 8.9	17.0 15.7	23.2 23.0
Eur M Eur M	4.8 5.2	11.5 10.2	14.4 14.2 9.4
	Eur M	4.2	6.7

	H is to ry
1 9 4 7	I R C E be i iv i in Im la ( I ly ) i h he du ion f m ire ts t ty ta t t t t w g an ac o p ro c o ag ne s w
1 9 6 1	T he ta te d t he du t ion f P V C ins la te d low l tag b les co m p an y s r p ro c o u vo e c a
1 9 9 6	T he Gr l is te d t he I ta l ian S toc k Ex ha ou p wa s on c ng e
1 9 9 8	Ac is i ion f Sm i Dr d N i j B V ( T he Ne he lan ds ) t t t q u o aa me g en r
2 0 0 1	Ac is i ion f F D S im L d ( U K ) t t q u o s
2 0 0 1	Gr S Se T he l is te d t he ta Ma ke t t ou p wa s on r r g me n
2 0 0 7	Co f tru t ion Br i l P lan t ns c o az
2 0 0 7	Ac is i t ion f S ta b le Ma t W ire P. L t d ( In d ia ) q u o g ne
2 0 1 0	Ac is i t ion f I S O D R A Gm b H ( Ge ) q u o rm an y
2 0 1 5	Ne les f f ice in Po lan d sa o w
2 0 1 8	Es b l is he d he Co in C h ina ta t m p an y
2 0 2 1	Co Cz Es ta b l is he d t he in h Re b l ic m p an y ec p u
2 0 2 2	Ju 3 0, l d he br h o f he fo he du ion f p b les loc d in M ira do lo Te I ly t t t t te ta ne so an c co m p an r p ro c o ow er ca a rm e y

Company Profile– The Businesses

IRCE Group works in two business areas:

• •Magnet wires 79% of sales
• •Energy cables 21% of sales

Company Profile– The Businesses

Magnet Wires

Magnet wires, also known as winding wires or enamelled wires, have multiple applications such as electric motors, generators, transformers, compressors, inductors, relays, solenoid valves, etc. The wire is insulated through the application of many layers of enamels by means of highly sophisticated processes and machines, which demand high levels of investments and large scale of productions.

Energy Cables

Cables produced by the Group encompass the complete range of Low Voltage and Medium Voltage for building and industrial sector. Cables can be insulated with PVC, rubber, polyethylene, etc.. They are used for the construction of electricity plants in residential and industrial buildings and for the wiring and cabling of electrical appliances. The principal final industry sectors are the construction industry, housing and industrial applications, and consumer durables industries (domestic appliances and other electrical appliances).

Company Profile – The Businesses >MagnetWires

>Market share

In the Magnet Wire business IRCE manufactures and sales the complete range of products, and is mainly engaged in the segments of the fine and medium wires. It mainly operates in Europe, where it is one of the top three producers by size.

Company Profile– The Businesses

>Magnet Wires

> Major customers by sectors

WhiteGoods

Embraco (Nidec Group) BSH Secop Ceme A.R.S. Elettromeccanica Cebi Group Domel D.O.O.

Automotive

Denso Manufacturing Robert Bosch Mahle Group G. Cartier Technologies Hanon Systems Buehler motor GmbH Spal Automotive Srl Bontaz

Electromechanical/ElectronicsSiemens Schneider Electric SGB-SMIT Group General Electric EBM-Papst Mulfingen Panasonic Finder TE Connectivity Wuerth

Company Profile – The Businesses >Energy Cables

The group produces the full range of low and medium voltage cable.

Cable customers are divided into two main sectors:

Distributorsofelectricalmaterial

E.B. Elettrofornitura Borghini SpA Com-Cavi Spa Comoli Ferrari & C. SpA StranoSpA

Industrialsector

Whirlpool Group Unionalpha Spa (Indesit Group supplier) Batav Srl (Indesit Group supplier) Selectra Srl Bitron SpA RFI (Rete Ferroviaria Italiana)

CompanyProfile–ProductionPlants

1. Im la P la t o n	3. U b t i d P la t G 2. l io i P la t m e r e n u g ne s n	4. T he Ne t he la d P la t r n s n
5. U i t d K in d P la t n e g o m n	6. Br i l P la t az n S b le M W ire P. 7. t t L a a g ne	d. t 8. G P la t e rm a ny n
1. I R C E Sp A He dq te a ua r rs – Im la I ta ly o –	Co d A lum in ium Ro d Ma t W ire p p er an un g ne Ca d L V En b les an er g y	Co d Ar 4 6, 0 0 0 Sq ve re ea : m Em loy 2 3 7 p ee s:
C Sp 2. I R E A Gu l ion i I ly ta g es -	/ Ca L V M V En b les er g y	Co Sq d Ar 2 4, 0 0 0 ve re ea m : Em loy 8 3 p ee s:
3. I R C E Sp A Um be t i de I ta ly r -	Co d A lum in ium Ro d Ma W ire t p p er an un g ne	Co d Ar 1 9, 4 0 0 Sq ve re ea : m Em loy 4 5 p ee s:
Sm 4. i t Dr d N i j B V aa me g en N i j T he Ne he lan ds t me g en r –	Co Re ta lar Ma t W ire p p er c ng u g ne Co inu ly Tr d Ca b le ( C T C ) t n ou s an sp os e	Co Sq d Ar 9, 8 0 0 ve re ea : m Em loy 8 1 p ee s:
5. F D S im L t d s B lac k bu U K rn –	Co d A lum in ium Ro d d Re ta lar Ma t W ire p p er an un an c ng u g ne	Co d Ar 7, 0 0 0 Sq ve re ea : m Em loy 3 3 p ee s:
6. I R C E L t da Jo inv i l le Br i l az -	Co d A lum in ium Ro d d Re ta lar Ma t W ire p p er an un an c ng u g ne Co inu ly Tr d Ca b le ( C T C ) t n ou s an sp os e	Co d Ar 2 1, 5 0 0 Sq ve re ea : m Em loy 1 2 3 p ee s:
S b le Ma W ire P. L d. 7. ta t t g ne Co h in In d ia c –	Co Ro d Ma W ire t p p er un g ne	Em loy 2 8 p ee s:
8. I S O D R A Gm b H -G K ier sp e er ma ny	Co Ro d Ma t W ire p p er un g ne	Em loy 1 3 p ee s:

IRCE Group –Contents

Company Profile

•Highlights •The Businesses •ProductionPlants

Financial Results

• •CopperandAluminiumPrice Trend

• •ProfitandLoss Statement

• •BalanceSheet

• •BusinessPerformance
• •Market Performance

IRCE Group –Copper and Aluminiumprice trend

Financial Results–Profit and Loss Statement

Euro million			18 H 2022 % Tum. 13 H 2021 % Turn. change %			2021 % Turn.		FY 2020 % Turn.		FY 2019 % Turn.
Hollow tumover wires	37.9		34.6		9.5%	67.8		51.8		56.4
Hollow tumover cables	14.0		12.2		14.6%	24.6		16.5		14.0
Total hollow turnover	51.9		46.8		10.8%	92.4		68.3		70.4
TURNOVER (copper included)	261.0	100.0%		228.0 100.0%	14.5%	457.1	100.0%	295.3	100.0%	311.9	100.0%
Other income	1.6	0.6%	0.4	0.2%	300.0%	0.6	0.1%	0.8	0.3%	1.0	0.3%
TO TAL REVENUES	262.6	100.6%		228.4 100.2%	15.0%	457.7	10 0 . 1%	296.1	100.3%	312.9	100.3%
Cost of material including change in stock	(212.5)	-81.4%	(179.1)	-78.6%	18.6%	(366.2)	-80.1%	(231.8)	-78.5%	(246.1)	-78.9%
Personnel costs	(15.9)	-6.1%	(15.8)	-6.9%	0.6%	(30.5)	-6.7%	(28.5)	-9.7%	(30.2)	-9.7%
Other costs and services	(25.7)	-9.8%	(16.5)	-7.2%	55.8%	(37.8)	-8.3%	(25.0)	-8.5%	(28.8)	-9.2%
EBITDA	8.5	3.3%	17.0	7.5%	-50.0%	23.2	5.1%	10.8	3.7%	7.8	2.5%
Depreciations and provisions	(3.7)	- 1.4%	(5.5)	-2.4%	-32.7%	(8.8)	- 1.9%	(7.6)	-2.6%	(7.4)	-2.4%
EBIT	4.8	1.8%	11.5	5.0%	-58.3%	14.4	3.2%	3.2	1.1%	0.4	0.1%
Copper and energy derivatives	0.4	0.2%	(1.3)	-0.6%	-131.7%	(0.2)	0.0%	1.4	0.5%	1.8	0.6%
Net financial charges	(0.7)	-0.3%	(0.1)	0.0%	600.0%	0.0	0.0%	(0.3)	- 0. 1%	0.5	0.2%
RESULT BEFORE TAXES (EBT)	4.5	1.7%	10.1	4 . 4 %	-55.6%	14.2	3.1%	4.3	1.5%	2.7	0.9%
Taxes	(0.3)	-0.1%	(3.4)	- 1.5%	- 91.2%	(4.8)	- 1. 1%	(1.6)	-0.5%	(0.7)	-0.2%
RESULT non-controlling interests	4.2	1.6%	6.7	3.0%	-37.7%	9.4	2.1%	2.7	0.9%	2.0	0.6%
Minorities	0.0	0.0%	(0.0)	0.0%	- 166.7%	0.0	0.0%	0.0	0.0%	(0. 1)	0.0%
RESULTI OFFICE PERIOD	4.2	1.6%	6.7	2.9%	-37.1%	9.4	2.1%	2.7	0.9%	1.9	0.6%

EBITDA	8.5	3.3%	17.0	7.5%	-50.0%	23.2	5.1% -	10.8	3.7%	7.8	2.5%
Copper and energy derivatives	0.4	0.2%	(1.3)	-0.6%		(0.2)	0.0%	1.4	0.5%	18	0.6%
EBI TDA A djusted (*)	8.9	3.4%	15.7	6.9%	-43.5%	23.0	5.0%	12.2	4.1%	9.6	3.1%
Depreciation and provisions	(3.7)	- 1.4%	(5.5)	-2.4%	60.0%	(8.8)	- 1.9%	(7.6)	-2.6%	(7.4)	-2.4%
EBIT Adjusted (*)	5.2	2.0%	10.2	4.5%	-49.2%	14.2	3.1%	4.6	1.6%	22	0.7%

Financial Results–Balance sheet

Eu i l l io ro m n	3 0 Ju 2 0 2 2 ne	%	3 1 De be 2 0 2 1 ce m r	%	3 1 De be 2 0 2 0 ce m r	%	3 1 De be 2 0 1 9 ce m r	%
Ne ork ing ita l t w ca p	19 1.6	84 .5%	166 .5	84 .8%	128 .9	79 .4%	130 .2	75 .0%
Fix ed As ts se	47 .3	20 .9%	44 .4	22 .6%	43 .5	26 .8%	51 .9	29 .9%
Ot he d l iab ilit ies ts r a sse an	-12 .2	-5. 4%	-14 .6	-7.4 %	-10 .1	-6. 2%	-8. 6	-5. 0%
N E T C A P I T A L E M P L O Y E D	2 2 6. 7	100 .0%	1 9 6. 3	100 .0%	1 6 2. 3	100 .0%	1 7 3. 5	100 .0%
Sh ho lde rs' Eq uit are y	14 1.4	62 .4%	132 .0	67 .2%	122 .6	75 .5%	13 1.5	75 .8%
Ne t F ina ial De bt nc	85 .3	37 .6%	64 .3	32 .8%	39 .7	24 .5%	42 .0	24 .2%
F I N A N C I N G A N D E Q U I T Y	2 2 6. 7	100 .0%	1 9 6. 3	100 .0%	1 6 2. 3	100 .0%	1 3. 7 5	100 .0%

C A P E X	5. 1	7. 7	2. 2	6. 1

The data includes Miradolo italian plant sold on June 30, 2022

173.5

0.0

50.0

100.0

150.0

Euro million

200.0

250.0

42.0

Net Capi tal Employed

2019

IRCE Group –Business Performance

NET CAPITAL EMPLOYED and NET FINANCIAL DEBT

TURNOVER and HOLLOW TURNOVER

9.6 12.2 23.0 8.9 2.2 4.6 14.2 5.2 0.0 5.0 10.0 15.0 20.0 25.0 2019 2020 2021 1°H 2022 Euro million EBITDA Adj EBIT Adj

EBITDA Adjusted and EBIT Adjusted

NET WORKING CAPITAL

Irce Spa Via Lasie, 12/A - 40026 Imola BO – Italy www.irce.it

2020

162.3

39.7

196.3

2021

Net Fi nancial Debt

64.3

226.7

30/06/2022

85.3

IRCE Group –Market Performance