Ariston Holding N.V.

Investor Presentation • May 7, 2025

2025 FIRST QUARTER RESULTS

7 TH MAY 2025

Highlights

Financials

Outlook

Appendix: Company Profile

Appendix: Deep Dive into Q1 2025 Financials

Net	648 €M	Progress towards stabilization of Europe heating market after '24 downturn
revenues	+2.4% YoY organic1	Resilient water heating
Adj.	35 €M	Enhanced margin (+100bps YoY1
EBIT	5.4% margin	) thanks to efficiency plan execution
Free Cash Flow	-17 €M vs. -51 €M in Q1 2024	Improved Net Working Capital performance, halved absorption compared to 2024, mainly thanks to ongoing inventory streamlining efforts
Guidance	2025 guidance confirmed: o Tariffs update: no direct impact in the Americas; minimal exposure from the EU and China. Maintaining a prudent stance in light of prevailing macroeconomic uncertainties o Russian subsidiary back under Ariston management since March 26th, gradual contribution expected. Figures kept detached from Q2 2025 onwards for clearer reporting Mid-term outlook remains intact

PRODUCTS: ARISTON BRAND NEW LAUNCHES IN Q1 2025

HEAT PUMP WATER HEATER WITH LOW EMISSIONS REFRIGERANT 1

• •Nuos with range size: 150, 200, 270L
• •New gas refrigerant R513A, compliant with new European FGAS requirements (GWP <750)
• •High efficiency in the split category in Europe

• Premium efficiency with COP² 1 up to 4.87 ST ARISTON PRODUCT MANUFACTURED IN EGYPT

• •Rubis: new electric storage water heater mainstream model
• •Developed in line with Middle East and North Africa customer needs

ST ARISTON BRANDED PRODUCT IN AUSTRALIA

• Primos: heat pump water heater with 205-280L range
• Ecofriendly refrigerant (R290), COP¹ up to 4.3, recyclable packaging (expanded polystyrene free)

EXTRA SIZE HEAT PUMP WATER HEATER

• •Nuos with new range size: heat pump 15kW + tanks from 600 to 1,500L
• •Centralized hot water production for collective and commercial buildings

NEW SMART HOT WATER MANAGEMENT SYSTEM

• •Alteas & Clas One Cozy wall hung boiler
• "Zero Cold Water" system with 3 customizable comfort levels (30 mins, programming, self-learning)
• •Instant warmth improving overall comfort and eliminating any prolonged waiting times

Highlights

Financials

Outlook

Appendix: Company Profile

Appendix: Deep Dive into Q1 2025 Financials

BALANCED EXPOSURE TO BOTH CLIMATE COMFORT AND WATER HEATING MARKETS

FY 2024

Tariffs

USA, Canada, Mexico	No impact from current tariffs in place, our products are USMCA-compliant goods
EU, China	Limited flow of raw materials and finished goods to USA
Steel and aluminum	Derisked thanks to our local-for-local procurement strategy
Business overall	Managing tariffs via pricing. Current macroeconomic context requires a cautious approach. Situation monitored closely on a daily basis

Ariston Russia

Operations update	Local team in place, filling gaps. Manufacturing plant operational, progressive production ramp-up, focus on people, safety, and continuity
Expectations for 2025	Assess business status, demand and production. Expected limited contribution
Financial impact	Re-consolidation will be based on the subsidiary's balance sheet as of the end of March 2025, with the corresponding write-up reflected in the income statement

ENCOURAGING SIGNALS FROM 2025 GERMAN INCENTIVES APPROVALS

'000 PCS

400 600 800 1,000 1,200 1,400 200 2013 2016 2019 2022 2023 2024 2025E +4% +34% -46% Gas & Oil, solid fuel Heat Pump

1.Germany represented circa 20% of 2024 Group revenues.

1. Source: BDH and Company estimates.

3.New governmental portal to process the incentive requests active since February 2024; incentives paid from October 2024 onwards. 4. Source: BEG website (German Government, Federal Ministry for Economics and Climate Protection). Figures include air-to-air.

Germany¹ example: heating generators market (volume)²

Comments

• •Historically (2013-22): +4% volume growth, replacement market, shift to higher efficiency solutions
• 2023: exceptional peak driven by Heat Pumps incentives and 2022 orders backlog; fears of gas boiler ban in 2024 (not materialized); anticipation of 2024 demand
• 2024: after 2023 peak, demand normalization, coupled with destocking and regulatory uncertainties³
• 2025: incentive approvals for heat pumps averaging around 20k per month. Fossil systems demand still weak

Number of heating heat pumps incentive approvals⁴

ORGANIC GROWTH DRIVEN BY IMPROVED DEMAND AND OUR PRODUCT DIVERSIFICATION

NET REVENUES, €M, LFL 1

Comments

• Heating gradually recovering
  • o Europe: improving trend, still negative overall; heat pumps return to growth
  • o Asia Pacific & MEA, Americas: positive growth
• Water Heating segment remained resilient
  • o Europe: flat dynamics
  • o Asia Pacific & MEA, Americas: growing
• Services and Parts continued growth

ALL GEOGRAPHIES BACK TO GROWTH IN Q1

NET REVENUES¹ , €M

Q1 Q1

Comments:

Top 3 countries (Germany, Italy, France) still down, while positive developments in other countries

450 459

+2.1%

2024 2025

Q1

Positive heat pumps demand

Service and parts continued growth

Double digit growth in key countries FX headwinds, mainly in Egypt

2024 2025

Business growing organically, mainly in North America Significant FX headwind in Mexico

2024 2025

MARGIN UPLIFT DRIVEN BY EFFICIENCY PLAN DELIVERY

€M, % OF NET REVENUES

Adj. EBIT¹

0

5

10

15

20

25

30

35

40

Comments

• Margin improved by 100bps YoY, driven by efficiency initiatives and moderate operating leverage
• Trajectory as per historical H1-H2 seasonality
• Main adjustment on EBIT reported: PPA amortization 5 €M

FCF POSITIVELY IMPACTED BY HIGHER EBITDA AND WORKING CAPITAL MANAGEMENT

€M

NET DEBT: FCF PERFORMANCE OFFSET TYPICAL SEASONAL INCREASE, STABLE LEVERAGE

€M

SOLID NET FINANCIAL POSITION: ONGOING GROSS DEBT OPTIMIZATION

€M

Q1 comments

• Non-current bank debt duration at c.4 years:
  • ‒ c.90% of maturities in 2027-2031
• Low sensitivity to inflation: ~70% of long-term debt at fixed-rate or hedged
  • o Reimbursed portion of M/L term debt at variable rate (~50 €M)
• Additional 0.9 €BN committed unused credit lines to fuel organic & inorganic growth

Highlights

Financials

Outlook

Appendix: Company Profile

Appendix: Deep Dive into Q1 2025 Financials

2025: reversing the trend, drive internal efficiencies

2025 guidance

Top line

• FY: organic revenues between 0% and +3% YoY like-for-like¹

Profitability

• Adj. EBIT margin improvement to 7+%, thanks to cost efficiencies (Fit-2-Win program and direct cost savings) and operating leverage

Cash Flow

• Generation concentrated in Q4
• Investing more for future development: CapEx 5-6% on revenues

M&A

• Continuous assessment of bolt-on options and strategic M&A

The guidance does not incorporate the potential demand-side implications of ongoing tariff discussions or prospective adjustments across our key markets

• Mid-single-digit organic growth (assuming neutral FX)
• Adj. EBIT margin > 10%

Plus M&A

Highlights

Financials

Outlook

Appendix: Company Profile

Appendix: Deep Dive into Q1 2025 Financials

Champion of Thermal Comfort, with solid growth

• ➢ Balanced presence in Water Heating and Climate Comfort¹
• ➢ Leading market position in 40+ countries worldwide
• ➢ Focused on residential market demand driven by replacement in Europe/Americas and penetration in Asia Pacific & MEA
• ➢ Key strengths to win competition: 95 years of heritage, high quality, innovation and strong relationship with installers
• ➢ Historical annual growth rate of 8% recorded from 2001 to 2024

Driving profitability and cash flow

• ➢ Solid profitability levels average of ~9% adj. EBIT margin² , with peaks up to 10+%
• ➢ Reliable cash conversion average of ~80% FCF/Adjusted Net Profit ratio²

Well-balanced capital allocation

• ➢ CapEx: significant investment on development to drive future growth
• ➢ Key player in M&A
• ➢ Dividend policy designed to fairly distribute returns to shareholders

OUR GLOBAL PRESENCE

STORY OF SOLID AND CONTINUOUS GROWTH, ORGANIC AND INORGANIC

Net revenues

€M

Note: figures adjusted for non-recurring events or transactions, restructuring or employment termination agreements, other events not representative of normal business operations. financial figures from 2001 to 2017 are reported according to Italian GAAP and therefore not fully comparable with figures since 2018. Figures are accounted under the IFRS9, IFRS5 and IFRS16. 2020 adj. EBITDA net of €5M Covid-19 cost, that are recasted to recurring operations. EBITDA 2001 not adjusted.

STEPPING UP EFFORTS ON EFFICIENCY INITIATIVES

70-80 €M efficiency initiatives in FY 2024		2025-2027 "Fit-2-Win" program
OpEx Immediate impact: • Labor costs: org. optimization, hiring freeze • Indirect costs: travel, rental, services • Technology: developments re-prioritization without affecting future growth		Goal	Simplify operating model to drive cost efficiency, lean and effective processes
CapEx	• Optimized timing • Synergies leveraging global footprint		Organization	Future proof operating model, developing COEs1 , optimizing legal entities setup
			G&A	Reduce internal demand and simplify processes, upgrade systems & tools and enhance capabilities
Executed As announced in H1 2024 results presentation		Key areas & actions	Sales & Service	Increase frontline productivity leveraging data analytics and efficient back-office functions
			R&D	Platform and modularity initiatives, synergies between 70-80 €M impact in 2024 Ariston and Wolf portfolios
			Procurement	Boost data-driven practices such as Should Cost and review policies for non-business critical expenses
			IT	Act as a backbone of the Fit-2-Win transformation, upgrade critical systems, digital transformation, AI

3 years savings target: ~50 €M

STRATEGIC GLOBAL BRANDS

The global expert in heating and water heating, offering a wide range of renewable and high efficiency solutions to provide easy and sustainable comfort to every home

The European high end heating solutions provider that covers the most advanced consumer needs and offers first class service throughout the entire products and systems life cycle

The German indoor climate expert which offers high quality heating, residential ventilationand air handling solutions in close partnership with our professionals.

DISTRIBUTION CHANNELS: MAINLY B2B2C

OUR RELENTLESS COMMITTMENT TO SUSTAINABILITY

ENCRYPTED IN OUR DNA…

.1967

"There is no value in the economic success of any industrial initiative, unless it is accompanied by a commitment to social progress".

Discloses the first social report in italy, published by Battelle Centre de

ARISTIDE MERLONI, FOUNDER

-

.2018

.1979

Recherche de Geneve.

Starts reporting non-financial performances and establishes a sustainability governance framework.

.2021

After listing on euronext milan, defines the new esg vision and embarks on the new esg journey towards 2030.

.2023

Releases Road to 100, its ESG roadmap to 2030;

5 ENGAGEMENTS: Solutions, Operations, People & Communities, Customers, Governance;

…SHAPING OUR FUTURE

9 material topics & 10 Clear-cut ESG objectives.

KEY DECARBONIZATION TARGETS TO 2030

Ultimate objective of 100 million tons of CO2 emissions avoided by

2030 thanks to the renewable and high efficiency products we sell in the regions we operate in.

SCOPE 4, WRI

42% Reduction by 2030 in emissions generated by the way we operate vs. 2021. SCOPE 1 AND SCOPE 2, GHG PROTOCOL

>50% Reduction by 2030 in GHG emissions from sold products per €mln value added vs. 2021.

SCOPE 3, GHG PROTOCOL

	2023	2024
	Medal1 Bronze Score: 57/100	Silver Medal1 Score: 68/100
Ratings improvement	Global CSA Score2 27/100 Household Durable CSA Score avg.: 19/100	Global CSA Score2 39/100 Building Products CSA Score avg.: 30/100
	3 B (Household Durable sector)	BBB3 (Building Products sector)
Emission targets approval		Science Based Targets initiative validated the "Road to 100" decarbonization 2030 targets (Scope 1, Scope 2, Scope 3 emission reduction targets)

1.The EcoVadis assessment evaluates a company on 21 sustainability criteria in four core areas: Environment, Labor & Human Rights, Ethics and Sustainable Procurement.

2.The S&P Global ESG Score measures a company's performance on and management of material ESG risks, opportunities, and impacts informed by a combination of company disclosures, media and stakeholder analysis, modeling approaches, and in-depth company engagement via the S&P Global Corporate Sustainability Assessment (CSA). The Corporate Sustainability Assessment includes 62 industry-specific questionaries.

3.As of 2024, Ariston Group received an MSCI ESG Rating of BBB. MSCI ESG Research provides MSCI ESG Ratings on global public and a few private companies on a scale of AAA (leader) to CCC (laggard), according to exposure to industryspecific ESG risks and the ability to manage those risks relative to peers.

SHAREHOLDERS AND VOTING RIGHTS

AS OF 31 DECEMBER 2024¹

* Including 517,053 ordinary shares held directly by Mr. Paolo Merloni.

1. Between June and September 2024 Merloni Holding acquired c.1.6m of ordinary listed shares.

Highlights

Financials

Outlook

Appendix: Company Profile

Appendix: Deep Dive into Q1 2025 Financials

NET REVENUES BY DIVISION

Progress towards stabilization of Europe heating market after 2024 downturn

Water heating more resilient, with renewable products back to growth

Service continuously growing

Domestic and professional segments drove high single digit growth

Some delays from industrial projects negatively affected Q1 results

HISTORICAL QUARTERLY GROWTH BY REGION

NET REVENUES, YOY

	2021		2022				20232				20241				2025
	Q4	FY	Q1	Q2	Q3	Q4	FY	Q1	Q2	Q3	Q4	FY	Q1	Q2	Q3	Q4	FY	Q1
Europe	+6.6%	+18.1%	+17.5%	+18.2%	+15.3%	+14.1%	+16.2%	+59.6%	+50.8%	+46.7%	+38.5%	+48.5%	-18.2%	-20.3%	-17.1%	-10.1%	-16.4%	+2.1%
Asia Pacific & MEA	+5.6%	+20.3%	+54.0%	+52.3%	+48.5%	+18.0%	+40.6%	-1.4%	+3.6%	-1.7%	-4.4%	-1.1%	-4.5%	-11.8%	-7.4%	3.9%	-4.9%	+3.4%
Americas	+16.1%	+24.9%	+15.5%	+17.7%	-5.1%	+5.1%	+7.4%	-4.9%	-22.2%	-4.5%	-3.9%	-8.6%	+4.1%	+5.0%	-7.6%	-6.3%	-1.8%	+0.2%
Total Group	+7.6%	+19.4%	+23.8%	+24.3%	+18.7%	+13.6%	+19.7%	+37.6%	+31.5%	+28.9%	+23.1%	+30.0%	-14.0%	-17.0%	-14.4%	-7.3%	-13.1%	+2.1%
o/w organic	+5.9%	+19.9%	+14.5%	+13.0%	+6.4%	+4.2%	+9.1%	+7.0%	+3.5%	-1.4%	-3.2%	+2.5%	-13.6%	-16.9%	-13.7%	-6.8%	-12.7%	+2.4%

1. Like-for-Like: Ariston Thermo Rus LLC deconsolidated from end-April in 2024 and 2023 (unaudited) figures. Excluded from 2025 figures.

€M

	Q1 2025	Q1 2024	% change
Net revenue	648.2	634.7	2.1%
EBITDA	62.5	54.3	15.0%
% margin	9.6%	8.6%
Adjusted EBITDA	64.1	55.8	14.8%
% margin	9.9%	8.8%
EBIT	28.3	20.4	38.8%
% margin	4.4%	3.2%
Adjusted EBIT	35.1	27.8	26.3%
% margin	5.4%	4.4%

4

Q1 INCOME STATEMENT – REPORTED

€M

	Q1 20251	Q1 2024	% change
Net revenue	648.2	653.2	(0.8%)
EBITDA	62.5	56.8	9.9%
% margin	9.6%	8.7%
Adjusted EBITDA	64.1	58.3	9.9%
% margin	9.9%	8.9%
EBIT	28.3	22.6	25.2%
% margin	4.4%	3.5%
Adjusted EBIT	35.1	30.0	17.0%
% margin	5.4%	4.6%
Net financial charges	(8.4)	(10.9)
Income/(losses) from associates	0.2	0.1
Profit before tax	20.1	11.9

4

Comments

• Reported figures: Ariston Thermo Rus LLC deconsolidated from end-April in 2024; still in the perimeter in Q1 2024 figures
• Efficiency initiatives delivered
• Trajectory as per historical H1-H2 seasonality
• Main adjustments on EBIT:
  • ‒ PPA amortization: 5 €M

RECLASSIFIED Q1 CASH FLOW STATEMENT

€M

	Q1 20251	Q1 2024	Change
EBITDA	62.5	56.8	5.7
Tax paid	(15.3)	(13.5)	(1.8)
Provisions and other changes from operating activities	(3.6)	(1.8)	(1.8)
Change in working capital2	(36.1)	(72.2)	36.1
Operating Cash Flow	7.4	(30.6)	38.1
CapEx	(15.3)	(11.5)	(3.8)
IFRS16 lease payments	(9.4)	(8.7)	(0.7)
Other changes3	0.3	0.3	0.0
Free Cash Flow	(17.0)	(50.5)	33.5

Comments

• Cash absorption from Net Working Capital halved vs Q1 2024
• EBITDA improvement by 6 €M driven by cost efficiencies and moderate operating leverage
• Higher CapEx vs Q1 2024, in line with our 2025 guidance

35 1.Ariston Thermo Rus LLC excluded. 2.Change in working capital does not include FX and acquisition perimeter variation effects.

3.Excludes MtM derivatives impact.

€M

	31/03/20251	31/12/20241	31/03/2024
Liquidity	263.7	357.1	357.8
minus: Current financial indebtedness	(130.8)	(148.2)	(103.3)
minus: Non-current financial indebtedness	(759.9)	(811.7)	(934.2)
Financial Indebtedness1 Net (ESMA guidelines)	(627.0)	(602.7)	(679.6)
Adjustments: Put & call options, escrow accounts and positive MtM	26.6	23.6	33.8
Adjusted Net Financial Indebtedness2 (previous calculation method)	(600.4)	(579.1)	(645.9)

4

Comments

• Non-current bank debt duration at c.4 years:
  • ‒ c.90% of maturities in 2027-2031
• Low sensitivity to inflation: ~70% of longterm debt at fixed-rate or hedged
  • o Reimbursed portion of M/L term debt at variable rate (~50 €M)
• Additional 0.9 €BN committed unused credit lines to fuel organic & inorganic growth

DISCLAIMER

This document contains forward-looking statements that relate to future events and future operating, economic and financial results of Ariston Group. By their nature, forward-looking statements involve risk and uncertainty because they depend on the occurrence of future events and circumstances. Actual results may differ materially from those reflected in forward-looking statements due to a variety of factors, most of which are outside of the Group's control, including the direct and indirect consequences resulting from the ongoing developments in Ukraine and Russia.

THANK YOU

Investor Relations contacts Claudia Introvigne, Martino Bartolucci +39 02 8567 2317 investor.relations@ariston.com

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