Aquafil

Investor Presentation • Mar 13, 2020

Aquafil Group

Financial Results Full Year and IV Quarter 2019

13th March 2020

Index

	Item
1.	Highlights	4
2.	Income Statement KPI Full Year and IV Quarter 2019	7
3.	Balance Sheet and Financial KPI – Full Year 2019	9
4.	Focus on Turnover	11
5.	Aquafil Group at Glance	14
6.	Full Year and IV Quarter 2019 Consolidated Financial Statement	20

1. Highlights

Highlights

CORONAVIRUS AND GROUP'S ACTIVITIES

LIMITED IMPACTS IN CHINA

CONTAINMENT ACTIONS TAKEN IN THE REST OF THE WORLD

TO DATE NO SIGNIFICANT IMPACTS ON THE BUSINESS

NORTH AMERICA

2019 RESULTS ABOVE EXPECTATIONS

COMPLETED INCREASE OF BCF FIBER PRODUCTION CAPACITY TO SUPPLY MARKET INCREASE ELIMINATION OF YARN IMPORTED FROM EMEA

EXPECTED SAVINGS IN 2020 OF ABOUT €2.5 MILLION

ASIA PACIFIC

MARKET EXPERIENCED A PERIOD SLOW DOWN IN CHINA AUTOMOTIVE AND OCEANIA RESIDENTIAL SECTORS

INTEGRATION OF INVISTA BUSINESS COMPLETED

EXPECTED SAVINGS IN 2020 OF ABOUT €1.0 MILLION

EMEA

DIFFICULT YEAR FOR MARKET BUT ESSENTIALLY STABLE IN H2

MARKET SHARE INCREASED DUE TO COMPETITOR MARKET WITHDRAWAL

REORGANISATION OF MANUFACTURING ACTIVITIES

EXPECTED SAVINGS IN 2020 OF ABOUT €4.0 MILLION

ECONYL® REGENERATION PROCESS

INCREASED PRODUCTION CAPACITY IN SLOVENIA

ONGOING IMPROVEMENT IN ACTIVITIES OF CARPET RECOVERY (ACR#s)

EXPECTED SAVINGS IN 2020 OF ABOUT €2.5 MILLION IN 2020

	REVENUES (€/mil)			EBITDA (€/mil)
	FY19	Q4
Act192	549,0	129,4
Act18	555,2	124,4
% Var 19 to 18	-1,1%	4,0%	% Var

EBITDA (€/mil)
	FY19	Q4
Act193	69,4	14,5
Act18	77,9	17,0
% Var 19 to 18	-10,9%	-14,8%

NET PROFIT ADJUSTED1 (€/mil)
	FY19	Q4
Act19	17,2	0,4
Act18	35,3	5,7
% Var 19 to 18	-51,2%	-92,8%

NET PROFIT ADJUSTED -51,2% in FY and -92,8% in Q4

mainly due to

• EBITDA Decrease

• Higher D&A 11,4 €/mil due to new investments IFRS16 and O'Mara Contribution;

• Higher exchange losses +2,2 €/mil

• Lower Income Adjusted Tax - -4,4 €/mil

N.F.P. (€/mil)
Dec19	249,6
Sep19	273,2

NET FINANCIAL POSITION ADJUSTED⁶ without O'Mara acquisition and IFRS16 effect 189,2 €/mil at Dec 19 207,3 €/mil at Sep 19 157,1 €/mil ad Dec 18

Main effects Dec 19 vs 18 +55,2 €/mil from Operating Activities before NWC changes

-55,9 €/mil from Investing Activities

-5,1 from NWC changes

-12,3 from Dividends Payment

-9,0 from Interest and Tax expenses

REVENUES

Area EMEA -7,3% in FY and -0,1% in Q4 due to Economic trends

Area Asia Pacific⁴ -3,7% in FY and -3,7% in Q4 due to world trade slowdown and tariffs war

Area USA +23,3% in FY and +12,9% in Q4 on a like for like basis⁵ +7,5% in FY and -10,8 in Q4 due to GM Strike October 19

ECONYL® Branded Products + 3,2 in FY and + 3,6% in Q4 37,5% of Fiber FY Revenues

EBITDA - 10,9% in FY and -14,8% in Q4 on a like for like basis⁵ and without IFRS16 effect -22,8% in FY and -28,4 in Q4 mainly due to

Lower Sales and Additional Cost of:

• 6,0 €/mil from shut down of ECONYL plant to increase capacity and ACRs Start-Up
• 5,0 €/mil from lower utilization rates of European plants
• 2,5 €/mil from logistic and tariff costs to support North America market increase

6 (1) Equal to Net Profit plus no recurring items less related tax effects - (2) Including Aquafil O'Mara revenues of 17,5 €/mil (FY) and 6,9 €/mil (Q4) – (3) including Aquafil O'Mara EBITDA of 2,4 €/mil (FY) and 0,6 €/mil (Q4) and IFRS16 effect of 6,8 €/mil (FY) and 1,7 €/mil (Q4) – (4) Without considering Aquafil Engineering GmbH revenues variation – (5) Without considering O'Mara contribution - (6) Without considering IFRS16 of 24,3 €/mil and O'Mara acquisition of 36,1 €/mil

2. Income Statement KPI Full Year and IV Quarter 2019

The Income Statement Key Performance Indicators related to FY and Q4 2019 compared with same period of 2018 are:

	Income Statement KPI (€/mil)
	Q319 YTD	Q318 YTD	Q3YTD Δ%		Q3 2019	Q3 2018	Q3 Δ%
REVENUES	549,0	555,2	-1,1%		129,4	124,4	4.0%
EBITDA	69,4	77,9	-10,9%		14,5	17,0	-14,8%
Margin %	12,6%	14,0%			11,2%	13,7%
EBIT Adjusted	31,1	51,2	-39,3%		2,4	10,7	-77,7%
Margin %	5,7%	9,2%			1,8%	8,6%
EBIT	17,4	41,2	-57,8%		0,4	6,8	-93,8%
Margin %	3,2%	7,4%			0,3%	5,5%
EBT	10,5	37,1	-71,6%		-2,7	6,5	-141,7%
Margin %	1,9%	6,7%			-2,1%	5,2%
Net Result	9,0	30,1	-70,1%		-0,5	5,7	-109,2%
Margin %	1,6%	5,4%			-0,4%	4,6%
Net Result Adj	17,2	35,3	-51,2%		0,4	5,7	-92,8%

• a) Revenues: decrease as effect of (i) reduction of all Product Lines revenues in EMEA due to market slowdown related with economic trends; (ii) lower revenues in Asia Pacific of BCF fiber as consequence of general economic trends and tariffs war and lower revenues of the engineering services company Aquafil Engineering GmbH and, (iii) increase in North America of BCF fiber revenues, due to market growth in automotive sector, partially impacted in Q4 by the strike that affected General Motor and NTF fiber revenues (17,5 €/mil YTD and 6,9 in Q4) of O'Mara acquisition;
• b) EBITDA: decreases notwithstanding positive effects of (a) IFRS16 for 6,8 €/mil (FY) and 1,7 €/mil (Q4), (b) O'Mara EBITDA for 2,4 €/mil (FY) and 0,6 €/mil (Q4). Without considering these effects EBITDA would have been of 60,1 €/mil in FY and 12,2 €/mil in Q4. EBITDA reduction is attributable not only to lower sales but also to additional costs related to: (a) ca 6,0 €/mil higher ECONYL® caprolactam production costs deriving from ARC#1 startup and the shut down of ECONYL® plant in Slovenia to increase capacity (b) ca 5,0 €/mil as impact of low utilization rates of European plants due to market situation; and (c) ca 2,5 €/mil logistic and tariff costs related EU production to support North American market increase;
• c) EBIT Adjusted: decrease as a result of EBITDA reduction and higher D&A of period due to new Investments, IFRS16 and O'Mara Contribution.
• d) EBIT: decrease as a result of EBIT Adjusted reduction and higher non recurring costs mainly related to cost provision for closing Aqualeuna GmbH plant in Germany;
• e) EBT: decrease as a result of EBIT reduction and increase of exchange losses of period;
• f) Net Result: decrease as a result of EBT reduction partially mitigated by a lower income taxes also related to certain non recurring effects on deferred taxes.
• 8 g) Net Result Adjusted: is determined as Net Profit plus no recurring items corrected by related tax effect.

3. Balance Sheet and Financial KPI – Full Year 2019

The Balance Sheet and Financial Key Performance Indicators related to Full Year 2019 compared with Full Year 2018 are: :

a) CAPEX of FY is equal to of 55,9 €/mil without considering effects of O'Mara Incorporated acquisition and of IFRS16 first time adoption. Is mainly related to (i) increase of ECONYL® caprolactam production capacity in Slovenia and construction of two Carpet Recycling plants located in Phoenix and Woodland, (ii) expansion of BCF fiber production capacity in United States and China, (iii) industrial and logistic projects of efficiency improvement.

b) NET WORKING CAPITAL CHANGE of FY is equal to 5,1 €/mil without considering the effect of O'Mara Incorporated acquisition. Change of net working capital is mainly due to increase or revenues in North America operations and a reduction of trade receivable due to lower quantity and value of raw material purchased.

c) ADJUSTED NET FINANCIAL POSITION at 31 Dec 19 is equal

to 189,2 €/mil, calculated as Net Financial Position less O'Mara Incorporated acquisition and IFRS16 first adoption effect. It was equal to 207,3 €/mil at 30 September 2019 and 157,1 €/mil at 31 Dec 2018. Variation to 31 Dec 2018 is mainly related with:

• i. +55,2 €/mil cash flow from operating activities;
• ii. -55,9 €/mil CAPEX;
• iii. -5,1 €/mil NWC change;
• iv. -12,3 €/mil dividend payment;
• 10 v. -9,0 €/mil payment of financial cost and taxes.

CHANGE OF NET WORKING CAPITAL (5,1)

NET FINANCIAL POSITION	(249,6)
O'Mara Incorporated Acquisition	36,1
IFRS 16 effect	24,3
ADJUSTED NET FINANCIAL POSITION	(189,2)

4. Focus on Turnover

Focus on turnover

The Group's revenues of ECONYL® branded products grow of 3,2% and 3,6% in Full Year and Q4 compared to 2018.

The Group's revenues of ECONYL® branded products in Full Year 2019 are equal to the 37,5% of total fiber revenues.

			BCF (fiber for carpet)					NTF (fiber for fabrics)				Polymers				TOTAL	% on TOTAL
	FY19	FY18	Δ	Δ%	FY19	FY18	Δ	Δ%	FY19	FY18	Δ	Δ%	FY19	FY18	Δ	Δ%	FY19	FY18
EMEA	203,9	216,1	(12,2)	(5,7)%	87,9	92,9	(5,0)	(5,4)%	35,5	43,8	(8,3)	(19,1)%	327,2	352,8	(25,6)	(7,3)%	59,6%	63,5%
North America	106,1	95,3	10,8	11,4 %	16,4	0,1	16,3	N.A.	5,4	8,4	(3,0)	(36,0)%	127,9	103,7	24,2	23,3 %	23,3%	18,7%
Asia e Oceania	89,8	96,6	(6,8)	(7,1)%	1,9	1,5	0,4	30,0 %	0,5	0,2	0,3	N.A.	92,2	98,3	(6,1)	(6,2)%	16,8%	17,7%
RoW	0,2	0,1	0,1	67,0 %	1,5	0,3	1,2	N.A.	0,0	0,0	0,0	N.A.	1,7	0,4	1,3	N.A.	0,3%	0,1%
TOTAL	400,0	408,1	(8,1)	(2,0)%	107,7	94,7	13,0	13,7 %	41,3	52,4	(11,1)	(21,2)%	549,0	555,2	(6,3)	(1,1)%	100,0%	100,0%
% on Total	72,9%	73,5%			19,6%	17,1%			7,5%	9,4%			100,0%	100,0%

Revenues broken down by Line of Product and Geographical Area on FY and Q4 2019 to same period of 2018 are:

• (a) EMEA revenues decrease of 7,3% and 0,1% in FY and Q4. Variation is related to (a) BCF revenues that decrease of 5,7% in FY 2019 but increase of 8,5% in Q4, (b) NTF revenues that decrease of 5,4% and 13,8% in FY and Q4 due to economic trends and (c) Polymers revenues that decrease of 19,1% and 8,4% in FY and Q4 due to in-house use of polymer and also lower sales as result of a minor market demand;
• (b) USA revenues increase of 23,3% and 12,9% in FY and Q4. On a like for like consolidation scope (without considering O'Mara) revenues would have increased by 7,5% in FY and declined by 10,8% in Q4. Variation is related to (a) BCF revenues increase of 11,4% in FY and decrease of 10,4% in Q4 due to, on yearly basis consolidation of the market share in automotive market and on quarterly basis (October) to general strike of General Motors (b) Polymers revenues decrease of 36% and 24,4% in FY and Q4 due to lower market demand;
• (c) Asia Pacific revenues decrease of 6,2% in FY but increase of 5,3% in Q4. Variation is related to (a) BCF fiber revenues that decrease of 4,5% and 2,4% in FY and Q4 where the decline is attributable to a slowdown in the end market already reported in previous quarters, due to the economic trends and tariff war and (b) revenues of the engineering services company Aquafil Engineering GmbH that reported a reduction of 31,2% (2,9 €/mil) in FY but an increase of 164% (1,8 €/mil) in Q4.

	BCF (fiber for carpet)				NTF (fiber for fabrics)			Polymers				TOTAL		% on TOTAL
	Q419	Q418	Δ	Δ%	Q419	Q418	Δ	Δ%	Q419	Q418	Δ	Δ%	Q419	Q418	Δ	Δ%	FY19	FY18
EMEA	48,6	44,8	3,8	8,5 %	19,6	22,7	(3,1)	(13,8)%	8,3	9,0	(0,8)	(8,4)%	76,4	76,5	(0,1)	(0,1)%	59,0%	61,6%
North America	23,6	26,3	(2,7)	(10,4)%	6,4	(0,0)	6,4	N.A.	0,6	0,8	(0,2)	(24,4)%	30,6	27,1	3,5	12,9 %	23,6%	21,8%
Asia e Oceania	21,3	20,0	1,4	6,9 %	0,3	0,7	(0,4)	(61,0)%	0,1	0,0	0,1	N.A.	21,8	20,7	1,1	5,3 %	16,8%	16,6%
RoW	0,1	0,0	0,1	N.A.	0,6	0,0	0,6	N.A.	0,0	0,0	0,0	N.A.	0,6	0,0	0,6	N.A.	0,5%	0,0%
TOTAL	93,6	91,0	2,5	2,8 %	26,8	23,4	3,4	14,6 %	9,0	9,8	(0,8)	(8,2)%	129,4	124,3	5,1	4,1 %	100,0%	100,0%
% on Total	72,3%	73,2%			20,7%	18,8%			7,0%	7,9%			100,0%	100,0%

5. Aquafil Group at Glance

• Pioneers of circularity with ECONYL®:

• An unique Regeneration System to produce sustainable fiber and polymers from nylon 6 waste;
• High barriers to entry for technology and reverse supply chain;
• Turnover of product branded ECONYL® equal to 37,5% of fiber turnover
• Market Leader in Nylon (PA):
• Fiber for Carpet flooring (BCF Product);
• Fiber for Fabrics (NTF Product);
• Polymers for engineering plastics;

• A successful business model based on

• Proprietary technology with continuous innovation;
• R&D focus for a uniquely diversified commercial offer;
• Manufacturing and operational excellence;
• Focus on high-end segments for a premium positioning;
• A Global footprint with proximity to Clients
• 16 plants in 3 continents and 7 countries
• almost 3.000 employees at December 2019;
• €549,0m of Revenues in FY2019
• €69,4m EBITDA in FY2019

Aquafil Group at Glance

AQUAFIL WORLDWIDE

USA

Cartersville (Georgia) Aquafil USA 1 & 2

Phoenix (Arizona) Aquafil Carpet Recycling ACR#1

Sacramento (California) Aquafil Carpet Recycling ACR#2

Rutherford College (North Carolina) Aquafil O'Mara

UK Kilbirnie Aquafil UK

ITALY

Arco (TN) Aquafil (Headquarter)

Cares (TN) Rovereto (TN) Tessilquattro

CROATIA Oroslavje

Aquafil CRO

SLOVENIA

Ljubljana AquafilSLO

Senožeče AquafilSLO Senožeče

Štore AquafilSLO Štore

Ajdovščina AquafilSLO Ajdovščina

CHINA

Jiaxing Aquafil Jiaxing

THAILAND

Rayong Aquafil Asia Pacific

Aquafil Group at Glance

• 100% regenerated & regenerable nylon
• Unique proprietary technology
• 37,5 % of Aquafil Fiber Turnover 2018

WWW.ECONYL.COM

6. Full Year and IV Quarter 2019 Financial Statement

RECONCILIATION FROM NET PROFIT TO EBITDA	December	December	Forth Quarter	Forth Quarter
€/000	2019	2018	2019	2018
Net Profit (Including Portion Attr. to Minority )	9.005	30.097	(529)	5.742
Income Taxes	1.519	6.986	(2.195)	784
Amortisation & Depreciation	37.765	26.361	11.793	7.438
Write-downs & Write-backs of intangible and tangible assets	555	285	318	(1.148)
Financial items (*)	10.108	7.793	3.916	1.187
No recurring items (**)	10.457	6.373	1.192	3.004
EBITDA	69.408	77.896	14.497	17.008
Revenue	548.955	555.220	129.418	124.288
EBITDA Margin	12,6%	14,0%	11,2%	13,7%

RECONCILIATION FROM EBITDA TO EBIT ADJUSTED €/000	December 2019	December 2018	Forth Quarter 2019	Forth Quarter 2018
EBITDA	69.408	77.896	14.497	17.008
Amortisation & Depreciation	37.765	26.361	11.793	7.438
Write-downs & Write-backs of intangible and tangible assets	555	285	318	(1.148)
EBIT Adjusted	31.088	51.250	2.385	10.718
Revenue	548.955	555.220	129.418	124.288
EBIT Adjusted Margin	5,7%	9,2%	1,8%	8,6%

(*) The financial items include: (i) non-recurring financial income of Euro 1.1 million in the period ending December 31, 2019 (ii) financial charges of Euro 7.5 million and Euro 5.8 million respectively in the periods ending December 31, 2019 and December 31, 2018, (iii) cash discounts of Euro 3.2 million end Euro 3.7 million respectively in the periods ending December 31, 2019 and December 31, 2018, and (iv) exchange loss of Euro 0.5 million and exchange gains of Euro 1.7 million respectively in the periods ending December 31, 2019 and December 31, 2018.

(**) This includes (i) non-recurring charges related to the expansion of the Aquafil Group and other corporate transactions for Euro 4.5 million and 3.0 million respectively in the periods ending December 31, 2019 and December 31, 2018, (ii) non-recurring industrial charghes of Euro 1.0 million for the period ending December 31, 2019, (iii) costs for restructuring for Euro 4.3 million and Euro 2.8 million respectively in the periods ending December 31, 2019 and December 31, 2018 and (iv) other non-recurring charges of Euro 0.6 million and Euro 0.6 million respectively in the periods ending December 31, 2019 and December 31, 2018.

CONSOLIDATED INCOME STATEMENT	December	of wich	December	of wich	Forth Quarter	of wich	Forth Quarter	of wich
€/000	2019	non-current	2018	non-current	2019	non-current	2018	non-current
Revenue	548.955		555.220		129.418		124.288	-
of which related parties	58		218		29		13	-
Other Revenue	2.555	229	2.591	856	963	117	2.172	437
Total and Other Revenue Revenue	551.509	229	557.811	856	130.380	117	126.461	437
Raw Material	(282.841)	(124)	(282.266)	(118)	(65.634)	(8)	(58.136)	93
Services	(100.412)	(3.584)	(100.935)	(2.918)	(24.825)	(201)	(27.296)	(637)
of which related parties	(491)		(3.586)		(148)		(901)
Personel	(113.281)	(5.849)	(106.410)	(3.983)	(28.540)	(703)	(29.174)	(2.800)
Other Operating Costs	(4.194)	(1.129)	(2.438)	(211)	(1.491)	(396)	(720)	(97)
of which related parties	(70)		(70)		(32)		(18)
Depreciation and Amorti zation	(37.765)		(26.361)		(11.793)		(7.438)
Doubtful debt prevision	(325)		(93)		(196)		701
Provisions for risks and charges	(230)		(192)		(123)		449
Capitalization of Internal Construction Costs	4.927		2.071		2.643		1.948
EBIT	17.389	(10.457)	41.187	(6.373)	422	(1.192)	6.794	(3.005)
Other Financial Income	1.195	1.082	45		75		14
Interest Expenses	(7.573)		(5.816)		(1.337)		(1.547)
of which related parties	(252)				(120)		-
FX Gains and Losses	(488)		1.668		(1.884)		1.267
Profit Before Taxes	10.524	(9.375)	37.084	(6.373)	(2.723)	(1.192)	6.528	(3.005)
Income Taxes	(1.519)	750	(6.986)		2.195	750	(785)
Net Profit (Including Portion Attr. to Minority )	9.005	(8.625)	30.097	(6.373)	(528)	(442)	5.743	(3.005)
Net Profit Attributable to Minority Interest	0		-		0		-
Net Profit Attributable to the Group	9.005		30.097		2.958		9.787
Basic earnings per share	0,18		0,59		(0,01)		0,11
Diluted earnings per share	0,18		0,59		(0,01)		0,11

Consolidated Balance Sheet

CONSOLIDATED BALANCE SHEET	At December 31,	At December 31,
€/000	2019	2018
Intangible Assets	21.101	15.992
Goodwill	13.029	-
Tangible Assets	251.492	189.661
Financial Assets	765	404
of which related parties	313	79
Other Assets	2.189	2.189
Deferred Tax Assets	13.636	7.841
Total Non-Current Assets	302.212	216.087
Inventories	184.931	189.678
Trade Receivable	24.960	34.046
of which related parties	69	66
Financial Current Assets	1.637	2.878
Current Tax Receivables	1.639	451
Other Current Assets	12.126	14.297
of which related parties	2.231	1.859
Cash and Cash Equivalents	90.400	103.277
Asset held for sales	428
Total Current Assets	316.120	344.627
Total Current Assets	618.332	560.714
Share Capital	49.722	49.722
Reserves	81.813	62.969
Group Net Profit for the year	10.799	31.119
Group Shareholders Equity	142.335	143.810
Net Equity attributable to minority interest	1	1
Net Profit for the year attributable to minority interest	-	0
Total Sharholders Equity	142.336	143.811
Employee Benefits	5.721	5.702
Non-Current Financial Liabilities	286.970	224.345
of which related parties	9.624	-
Provisions for Risks and Charges	1.508	1.169
Deferred Tax Liabilities	10.915	3.582
Other Payables	15.383	11.833
Total Non-Current Liabilities	320.497	246.631
Current Financial Liabilities	54.733	39.090
of which related parties	3.572	-
Current Tax Payables	1.127	2.270
Trade Payables	76.089	106.895
of which related parties	127	762
Other Liabilities	23.551	22.017
of which related parties	236	230
Total Current Liabilities	155.499	170.272
Total Equity and Liabilities	618.332	560.714

CASH FLOW STATEMENT	At December 31,	At December 31,
€/000	2019	2018
Operation Activities
Net Profit (Including Portion Attr. to Minority )	9.005	30.097
of which related parties	(755)	(3.438)
Income Taxes	1.519	6.986
Other Financial Income	(1.195)	(45)
Interest Expenses	7.573	5.816
of which related parties	(252)	-
FX (Gains) and Losses	488	(1.668)
(Gain)/Loss on non - current asset Disposals	(476)	(303)
Provisions & write-downs	556	285
Amortisation, depreciation & write-downs	37.770	26.361
Cash Flow from Operating Activities Before Changes in NWC	55.238	67.531
Change in Inventories	10.177	(36.179)
Change in Trade and Other Receivables	(32.905)	12.418
of which related parties	(635)	46
Change in Trade and Other Payables	12.975	633
of which related parties	(3)	50
Change in Other Assets/Liabilities	5.440	3.617
of which related parties	(366)	(398)
Net Interest Expenses paid	(6.377)	(5.025)
Income Taxes paid	(2.548)	(6.335)
Change in Provisions for Risks and Charges	(830)	(1.271)
Cash Flow from Operating Activities (A)	41.169	35.389
Investing activities
Investment in Tangible Assets	(48.196)	(60.881)
Disposal of Tangible Assets	1.017	2.708
Investment in Intangible Assets	(7.876)	(10.834)
Disposal of Intangible Assets	2	13
Investment in Right of Use	(5.794)	-
Disposal in Right of Use	4.893	-
Business Purchases Aquafil O'Mara		-
of which Asset	(36.076) (18.687)	-
of which Goodwill	(13.029)	-
of which cash	116	-
of which other assets and liabilities	(4.476)	-
Cash Flow used in Investing Activities (B)	-92.031	-68.994
Financing Activities Increase in no current Loan and borrowing	103.000	120.000
Decrease in no current Loan and borrowing	(45.425)	(67.833)
Net variation in current fiancial Assets and Liability	(7.317)	(1.516)
of which related parties	1.275	-
Dividends Distribution	(12.273)	(12.241)
of which related parties	(7.316)	(7.369)
Increase (decrease) Share Capital	-	(600)
Merger contribution	-	50
Cash Flow from Financing Activities ( C)	37.985	37.860
Net Cash Flow of the Year (A)+(B)+(C)	-12.877	4.255

NET FINANCIAL DEBT	At December 31, At December 31,
€/000	2019	2018
A. Cash	90.400	103.277
B. Other cash equivalents	-	-
C. Securities held-for-trading	-	-
D. Liquidity ( A + B + C)	90.400	103.277
Current financial E receivables	1.637	2.878
F. Current bank loans and borrowing	(129)	(96)
G. Current portion of non-current loans and borrowing	(46.056)	(35.496)
H. Other current loans and borrowing	(8.547)	(3.498)
I Current financial debt ( F G H ) + +	(54.733)	(39.090)
J. Net current financial debt (I + E+ D)	37.304	67.066
K. Non-current bank loans and borrowing	(169.796)	(159.492)
L. Bonds issued	(90.458)	(53.578)
M. Other non-current loans and borrowing	(26.619)	(11.274)
N. Non-current financial debt ( K + L + M )	(286.874)	(224.344)
O. Net financial debt (J+N)	(249.570)	(157.279)

Investors Contact:

Karim Tonelli Investor Relations & Performance Management Director karim.tonelli@aquafil.com Mob: +39 348 60 22 950