Envipco Holding N.V.

Investor Presentation • Mar 20, 2025

Results

Disclaimer

THIS PRESENTATION may contain forward looking statements. These statements are based on current expectations, estimates and projections of Envipco's management and information currently available to the company. Envipco cautions that such statements contain elements of risk and uncertainties that are difficult to predict and that could cause actual performance and position to differ materially from these statements. Envipco disclaims any obligation to update or revise any statements made in this presentation to reflect subsequent events or circumstances, except as required by law. Certain figures in this presentation, including financial data, have been rounded. Accordingly, figures shown for the same category presented in different tables may vary slightly and figures shown as totals in certain tables may not be an exact arithmetic aggregation of the figures which precede them.

Financial Highlights Q4 24

• Group revenues EUR 36.4m (+3% y/y)
  • 2024 revenues EUR 117.8m (+35% y/y)
• Gross margin 38.4%
  • Gross profit EUR 14.0m
• EBITDA EUR 5.4m, 14.9% margin
• Cash balance EUR 30.7m

Revenue development EUR million, unaudited

Gross profit Gross margin

Operational highlights Q4 24

Continued growth in existing markets, solid operational execution, investing for the future

• Continue to execute on European strategy
  • Romania, Hungary, Greece and Ireland
• Developing brownfield growth strategy
  • Successful Quantum installations in the Netherlands
• Investing in team, markets, products and systems
  • 455 team members
• Uplisted to Euronext Oslo Børs
  • Building a strong profile in int'l financial markets

A global recycling technology company set for further growth

Unprecedented global market opportunity

Captured leading position in European markets

TER

Investing in highly competitive delivery platform, products and services

Executed by a seasoned team

Driving revenue growth and profitability

Financial review

Executing on growth in existing markets

in EUR millions, unaudited	Q4 24	Q4 23	2024	2023
Revenues	36.4	35.5	117.8	87.6
- Europe	27.3	28.0	82.9	55.6
- North America & RoW	9.0	7.4	35.0	32.1
Gross Profit	14.0	12.2	43.1	30.3
Gross profit %	38.4%	34.5%	36.6%	34.5%
Operating Expenses	11.3	8.9	38.8	28.5
EBIT	2.8	3.8	4.5	2.3
Net profit/(loss) after taxes and minorities	0.3	3.3	(0.7)	0.6
EBITDA adj	6.0	5.4	14.4	8.3
EBITDA	5.4	5.4	12.8	8.3

Q4 24

• Group revenues EUR 36.4m (+3% y/y)
• Gross margin 38.4%, up from 34.5% in Q4 23 ○ Gross earnings EUR 14.0m, +14% y/y
• Operating expenses EUR 11.3m (8.9m)
• EBITDA EUR 5.4m, EBITDA adj EUR 6.0m ○ EBITDA margin 14.9%, adj margin 16.4%

2024

• Group revenues +35% y/y to EUR 117.8m
• Gross margin 36.6% (34.5%)
• EBITDA EUR 12.8m for a margin of 10.9% ○ Adj EBITDA EUR 14.4m (12.2%)

Europe

Q4 24

• Revenues EUR 27.3m, -2% y/y
• RVM sales EUR 24.8m with Romania, Hungary and Greece key sales drivers
• Program services EUR 2.5m.

2024

• Revenues EUR 82.8m, +49% y/y
  • RVM sales +43%
  • Program services +272%

Quarterly revenues

(EUR million, unaudited)

LTM revenues

North America

Q4 24

• Revenues of EUR 9.0m (+22% y/y)
• Program services revenues up 12% y/y to EUR 7.9m
• RVM sales of EUR 1.2m, +183% y/y

2024

• Revenues EUR 35.0m (+9% y/y)
  • Program services +7%
  • RVM sales +25%

Quarterly revenues

(EUR million, unaudited)

Building a resilient organization for the next DRS wave

Q4 24

• Operating costs up 26% y/y to EUR 11.3m
  • New hires, Sensibin amortization
  • Long-term incentive plan (LTIP) accruals
• Non-recurring costs EUR 0.5m in Q4 24
  • OSE uplisting, Sensibin acquisition
  • Opex adj EUR 10.7m
• 455 employees at end Q4 24

2024

• Opex +36% y/y to 38.8m
  • +31% y/y adj for EUR 1.7m non-recurring items

Operating costs

• Total opex EUR 11.3m in Q4 24
  • EUR 10.7m adj for non-recurring items
• Sequential increase in opex driven by:
  • Increase in D&A on Sensibin intangible amortization
  • Long-term incentive program (LTIP)
  • New hires, other opex

Operating costs

Financial position

Q4 24

• Non-current assets EUR 39.9m (37.0)
  • Primarily PPE EUR 20.2m and intangible assets EUR 14.9m from activated development expenses and EUR 6.1m identified intangibles from Sensibin acquisition
• Current assets EUR 89.5m (88.3)
  • Inventories EUR 28.6m (32.9), AR EUR 30.1m (26.7)
  • Cash balance EUR 30.7m (28.7)
• Equity EUR 67.6m (52%) vs EUR 65.4m in Q3 24
• Non-current liabilities EUR 16.4m (15.8)
  • Other liabilities EUR 5.3m from Sensibin projected payments in addition to borrowings EUR 5.8m (6.8m)
• Current liabilities EUR 45.4m (44.1)
  • Trade creditors EUR 16.8m (17.0) and borrowings EUR 13.5m (13.1), with accrued expenses EUR 8.9m (8.8)

* Unaudited figures. Balance sheet figures in parenthesis reflect Q3 24 financials.

Balance sheet

Cash flow Q4 24

Q4 24

• Cash from operating activities EUR +5.7m
  • EBITDA EUR 5.4m
  • Working capital release of EUR 2.1m on lower inventories offset by interest/tax payment of EUR 0.9m.
• Cash flow from investing activities EUR –1.7m
  • Capital expenditures EUR 1.1m and capitalized R&D EUR 0.6m
• Cash flow from financing activities EUR -2.0m
  • Reduction in borrowings and lease liabilities
• Net change cash in Q4 24 EUR +2.0m
  • Ending cash balance EUR 30.7m

* Unaudited figures.

Cash flow

Cash flow 2024

Cash flow

(EUR million, unaudited)

2024

• Cash from operating activities EUR +1.2m
  • Working capital build of EUR 4.2m on higher receivables and lower payables offset by lower inventory
  • Interest/tax payment of EUR 2.5m
• Cash flow from investing activities EUR –8.0m
  • Capital expenditures EUR 5.0m and capitalized R&D EUR 1.5m. Total capex at 6% of revenue.
  • Sensibin acquisition EUR 1.5m
• Cash flow from financing activities EUR 25.0m
  • EUR 24.8m proceeds from private placement
• Net change cash EUR 18.3m
  • Ending cash balance EUR 30.7m

* Unaudited figures.

Outlook

Delivering on our European growth strategy

1) Gross sales.

Regulatory progress driving DRS across Europe

UK DRS EU Packaging and Packaging Waste Regulation (PPWR)

90%

Collection rate for plastic bottles and cans using DRS by 1 January 2029*

25%

Minimum recycled content in PET bottles by 2025

30%

Minimum recycled content in PET bottles by 2030

Interoperable national

Deposit Management Organization (DMO) appointed

By Spring 2025

DMOs set up and employed with secured funding and key policies

By Spring 2026

Roll-out of infrastructure, systems, logistics and RVM procurement/installation

Spring 2026 through Q3 2027

Well positioned for DRS second wave

Poland, Portugal, Singapore, Spain, Turkey, UK. Anticipated DRS launch towards 2030: Belgium, Bulgaria, Cyprus, France, Italy, Luxembourg, Slovenia.

Markets prioritized from DRS second wave

Anticipated next wave of DRS legislation in European markets Legislative considerations and planning

Note:

1. Key milestones taken from the Regulation (EU) 2025/40 of the European Parliament and the Council on packaging and packaging waste, amending Regulation (EU) 2019/1020 and Directive (EU) 2019/904, and repealing Directive 94/62/EC.

2. Belgium, Bulgaria, Cyprus, Italy, Luxembourg and Slovenia are also anticipated to evaluate DRS implementation to meet requirements under EU PPWR.

Preparations

Implementation and execution

Brownfield market strategy

Penetrating selected new markets with Quantum bulk feed

Netherlands

• First Quantum installed in the Netherlands in March 2024
  • Strong reception and high collection volumes
• Several Quantums installed in the Netherlands in 2024 and installed base continues to grow in 2025

USA

● Secured first Quantum orders to be installed in H1 25

Capitalizing on an unprecedented market opportunity

38.4 56.4 87.6 117.8 35% 33% 35% 37% 2021 2022 2023 2024 Revenue (EURm) Gross margin

Delivered significant growth at improving margins

Proven ability to capitalize on rapidly growing market

+200,000 New RVM unit market opportunity EUR 18-25k Average RVM price	Demonstrated ability to capture above targeted 30% market share across new markets
40% Gross margin target Operational leverage From market penetration, scale and efficiencies	On track to achieve 40% gross margin, set to realise further operational leverage from scale in Europe

Next event:

14 May 2025 – Q1 25 results

Contact: investors@envipco.com

For further information: www.envipco.com/investors

Consolidated Statement of Comprehensive Income

in EUR thousands	Q4 24	Q4 23	FY 24	FY 23
Revenues	36,396	35,451	117,847	87,610
Cost of sales	(22,410)	(23,220)	(74,749)	(57,342)
Gross Profit	13,986	12,231	43,098	30,268
Selling and distribution expenses	(1,237)	(973)	(4,443)	(2,763)
General and administrative expenses	(9,294)	(7,156)	(31,917)	(23,745)
Research and development expenses	(741)	(799)	(2,484)	(1,967)
Other income	50	490	296	492
Operating Results	2,765	3,793	4,550	2,285
Financial expense	(1,551)	(329)	(3,036)	(1,481)
Financial income	18	40	75	353
Net finance (cost) and or income	(1,533)	(1,044)	(2,961)	(1,128)
Results before tax	1,232	3,504	1,589	1,157
Income taxes	(943)	(227)	(2,240)	(556)
Net Results	289	3,277	(651)	601
Exchange differences on translating foreign operations	1,140	(1,127)	1,488	(1,081)
Total other comprehensive income	1,140	(1,127)	1,488	(1,081)
Total comprehensive income	1,430	2,150	837	(480)
Profit attributable to:
Owners of the parent	296	3,279	(643)	603
Non-controlling interests	(7)	(2)	(7)	(2)
Total Profit/(loss) for the period	289	3,277	(651)	601
Total comprehensive income attributable to:
Owners of the parent	1,437	2,152	845	(478)
Non-controlling interests	(7)	(2)	(7)	(2)
	1,430	2,150	837	(480)
Number of weighted average (exclude treasury shares) shares used for calculations of EPS	57,690	51,690	56,526	51,211
Earnings/(loss) per share for profit attributable to the ordinary equity holders of the parent
during the period - Basic (euro)	0.01	0.06	(0.01)	0.01

Consolidated Balance Sheet

in EUR thousands	FY 24	9M 24	FY 23
Assets
Non-current assets
Development costs Etc	13,203	13,831	7,725
Intangible assets	14,925	15,102	9,170
Property, plant and equipment	20,172	17,662	16,985
Financial assets	2,888	2,557	1,499
Deferred tax assets	1,916	1,690	2,153
Restricted cash	-		-
Total non-current assets	39,902	37,012	29,807
Current assets
Inventory	28,626	32,913	32,244
Trade and other receivables	30,125	26,704	23,890
Cash and cash equivalents	30,748	28,683	12,458
Restricted cash		-
Total current assets	89,499	88,300	68,592
Total assets	129,401	125,312	98,399

in EUR thousands	FY 24	9M 24	FY 23
Equity
Share capital	2,885	2,885	2,585
Share premium	96,131	89,371	71,021
Translation reserves	5,995	4,163	4,510
Legal reserves	7,071	13,831	7,725
Retained earnings	(44,552)	(44,847)	(43,908)
Equity attributable to owners of the parent	67,530	65,403	41,933
Non-controlling interests	33	36	41
Total equity	67,563	65,439	41,974
Liabilities
Non-current liabilities
Borrowings	5,824	6,761	9,312
Lease liabilities	3,477	2,199	2,222
Other liabilities	6,477	6,161	375
Provisions	565	590	549
Deferred tax liability	48	63	50
Total non-current liabilities	16,391	15,774	12,508
Current liabilities
Borrowings	13,539	13,095	7,363
Trade creditors	16,806	16,969	18,520
Share lending liability	-	-	-
Accrued expenses	8,892	8,821	11,171
Provisions	1,213	1,223	1,429
Lease liabilities	1,735	941	830
Tax and social security	3,262	3,049	4,604
Total current liabilities	45,446	44,098	43,917
Total liabilities	61,837	59,872	56,425
Total equity and liabilities	129,400	125,312	98,399

Consolidated Cash Flow Statement

in EUR thousands	FY 24	9M 24	FY 23
Cashflow from operating activities
Operating results	4,550	1,785	2,285
Adjustment for:
Depreciation & Amortization	8,219	5,548	6,036
PPP loan forgiveness	-	-	-
Deferred revenue	(4,546)	(3,669)	4,160
Changes in:
Changes in trade and other receivables	(6,933)	(3,862)	(12,955)
Changes in inventories	4,512	(97)	(8,788)
Changes in provisions	(235)	(157)	1,309
Changes in trade and other payables	(1,810)	(2,345)	11,718
Cash generated from operations	3,757	(2,797)	3,764
Interest received and paid	(1,030)	(948)	(613)
Income taxes paid	(1,508)	(759)	(372)
Net cash flow from operating activities	1,219	(4,504)	2,779
Investing activities
Development expenditure, patents	(1,547)	(931)	(2,045)
Investments in property, plant & equipment	(4,984)	(3,865)	(5,706)
Acquisitions, net of cash acquired	(1,466)	(1,466)
Restricted cash (non-current)	-	-	340
Net cash flow used in investing activities	(7,997)	(6,262)	(7,411)
Financial activities
Proceeds of share issue	24,756	24,739	(486)
Changes in borrowings – proceeds	5,035	5,629	9,000
Changes in borrowings – repayments	(2,818)	(2,351)	(4,802)
Changes in shareholder loan	-		(1,638)
Changes in lease liabilities	(1,942)	(997)	(1,088)
Net cash flow from financing activities	25,031	27,020	986
Net increase/(decrease) in cash and cash equivalents	18,252	16,254	(3,646)
Opening position	12,458	12,458	16,121
Foreign currency differences on cash and cash equivalents	38	(29)	(17)
Closing position	30,748	28,683	12,458
The closing position consists of:
Cash and cash equivalents	30,748	28,683	12,458
Total closing balance in cash and cash equivalents	30,748	28,683	12,458