Corticeira Amorim

Earnings Release • Feb 20, 2025

Corticeira Amorim

Sales fall by 4.7%, impacted by unfavourable global context

Highlights

• EBITDA reaches €158 million
• Net Profit of €70 million
• Net Debt down 19% to €196 million
• Proposed payment of a total gross dividend of €0.32 per share (single payment)

Message from António Rios de Amorim

Chairman and CEO

"In an unfavourable market climate of increased uncertainty and volatility, Corticeira Amorim's resilience and continuous efforts to improve operational efficiency, as well as optimise the mix, proved decisive in 2024. The year was also marked by the acquisition of Intercap S.r.l., a company specialized in the production of surbouchage capsules for sparkling and still wines, thereby strengthening our skills and the scope of our offer in the sparkling wine segment. It should be noted the reorganisation of the "non-stoppers" business into a single business unit, Amorim Cork Solutions, which enhances synergies at every level, and the adoption of a new distribution model for final flooring that favours an international network of distributors over own distribution companies,thatled to the disposal of our stake in Timberman Denmark A/S.

In terms of sustainability, the year was marked by key decisions and structural actions. We conducted a double materiality analysis, which included consulting our stakeholders, a crucial step in defining the new ESG strategy and ambition for 2030. In anticipation of the implementation of the CSRD, we decided to adopt, starting in 2024, the ESRS standards for the reporting of the year. Multiple projects were also developed, including FSC® certification for Herdade de Rio Frio, the internalisation of carbon footprint calculation and the expansion of external certifications for our Social Responsibility Management systems.

We view 2025 with optimism, but also as equally challenging. We believe we are in a privileged position to turn challenges into opportunities, differentiating ourselves from our competitors and responding with responsibility and quality to the confidence our customers place in us. After two consecutive years of high inflation forcork raw material, the outcome of the 2024 harvest was more favourable. The "stoppers" business is likely to continue being conditioned by the evolution of global consumption, but improvements in the product mix, initiatives to enhance the cost structure and operational efficiency gains should translate into an increase in profitability. The new organisational model of Amorim Cork Solutions should strengthen the "nonstoppers" business, guaranteeing greater operational flexibility, optimising existing assets and enhancing the value of cork as a reference raw material."

Corticeira Amorim, SGPS, S.A.

Edifício Amorim I Rua Comendador Américo Ferreira Amorim, 380 4535-186 Mozelos, Portugal IRO: Ana Negrais de Matos, CFA T: + 351227475423 F: + 351 227475407

Maria da Feira – Portugal Registration and Corporate Tax ID No. PT500077797 instagram: amorimcork

Listed Company

Share Capital: € 133 000 000,00 A company incorporated in Santa

www.corticeiraamorim.com

ti i i

ana.matos@amorim.com

Performance and Consolidated Results

Corticeira Amorim's consolidated sales totalled €939.1 million in 2024, a decrease of 4.7% compared with the previous year. The adverse market context, which significantly affected volume, had a marked impact on the overall evolution of sales.

All Business Units recorded a contraction in sales, with the exception of Amorim Cork Composites, whose sales grew by 2.7%. Amorim Cork's sales totalled €732.3 million, representing 76% of Corticeira Amorim's consolidated sales.

Consolidated EBITDA totalled €157.6 million. The EBITDA margin stood at 16.8% (FY2023: 18.0%), penalised mainly by the impact of lower activity levels, an increase in the consumption prices of raw material cork and the quality of the cork from some processed batches. The positive contribution to profitability resulting from greater industrial efficiencies, improvements in the mix and lower non-cork raw material costs were particularly noteworthy.

After results attributable to non-controlling interests, Corticeira Amorim closed 2024 with a net profit of €69.7 million, a reduction of 21.6% compared with the same period of the previous year, which were further penalised by an increase in financial charges resulting from higher average debt. Non-recurring earnings totalled to €1.4 million.

At the end of December, net interest-bearing debt totalled €195.7 million, a reduction of €45.2 million compared with the end of December 2023 (€240.8 million), having been positively impacted by a reduction in working capital needs (€16.4 million) and the sale of Timberman (€18.9 million).

Dividend Proposal

The Board of Directors decided to propose to the General Meeting of Shareholders, to be held on April 28, the distribution of a total gross dividend of €0.32 per share, to be paid in full in May.

Main Consolidated Indicators

		2023	2024	yoy	4Q23	4Q24	qoq
Sales		985,467	939,061	-4.7%	222,248	212,813	-4.2%
Gross Margin – Value		507,633	496,262	-2.2%	115,073	113,072	-1.7%
Gross Margin / Sales		51.5%	52.8%	+ 1.3 p.p.	51.8%	53.1%	+ 1.4 p.p.
Operating Costs - current		382,563	396,332	3.6%	91,729	98,359	7.2%
EBITDA - current		176,985	157,566	-11.0%	37,200	29,917	-19.6%
EBITDA/Sales		18.0%	16.8%	-1.2 p.p.	16.7%	14.1%	-2.7 p.p.
EBIT - current		125,070	99,930	-20.1%	23,345	14,714	-37.0%
Net Income	1)	88,897	69,699	-21.6%	21,886	21,866	-0.1%
Earnings per share		0.668	0.524	-21.6%	0.165	0.164	-0.1%
Net Bank Debt		240,839	195,687	45,152	-	-	-
Net Bank Debt/EBITDA (x)	2)	1.36	1.24	-0.12 x	-	-	-
EBITDA/Net Interest (x)	3)	52.6	45.0	-7.64 x	39.9	8.5	-31.35 x

1) Includes non-recurring results, mainly arising from Amorim Cork Flooring.

2) Current EBITDA of the last four quarters.

3) Net interest includes interest from loans deducted of interest from deposits (excludes stamp tax and commissions).

Mozelos, February20, 2025