Aquafil

Investor Presentation • Jan 29, 2024

Investor Presentation [ECNL:IM] - [ECNLF: OTCQX] The MicroCap Conference Atlantic City (NJ) Jan 30 - Feb 1, 2024

Aquafil is Market Leader in manufacturing Nylon

Market Leader Worldwide

Company Strengths

A successful Business Model. Proprietary technology with continuous R&D innovation. Manufacturing and operational excellence focused on high end segments.

Pioneer of Circularity with the ECONYL® Regeneration System, producing sustainable fibers and polymers from nylon 6 waste.

Around 50% of fiber revenues.

Glocal. A Global Company with local productions.

ECONYL® regenerated nylon is 100% recycled yarn made of plastic waste such as fishing nets, fabric scraps and old carpets.

Infinitely Recyclable, Endless Possibilities

100% regenerated & regenerable nylon.

Unique proprietary technology.

Same quality and performance as standard nylon without using new resources.

Global warming potential reduced up to 90% if compared with traditional oil-based raw material.

WASTE IN

ECONYL® nylon is made from waste otherwise destined for the landfill

NO WASTE OUT

Leading the Circular Economy Revolution

- Source: Ellen MacArthur Foundation

Our Main Milestones Towards Circularity from 1990 onwards:

• Investments to "close the loop" through cutting edge technologies
• Adoption of a "Life Cycle" approach
• ECONYL® Regeneration System
• Healthy Seas Foundation
• USA Aquafil Carpet Recycling establishment
• USA Aquafil Carpet Collection acquisition

Eco-Design is our next crucial step. Imagine innovative products, created to be fully recyclable at the end of its life.

2025 target

60% of revenues

generated by fibers from

ECONYL® Branded Products

From Family Business To Global Sustainability Champion

19 Plants, 8 Countries on 3 Continents

Ca. 2,800 Employees

More than 88 million pounds (40 thousand tons) of waste per year recycled

1 st ranked company in the "Textiles" subindustry according to Morningstar Sustainalytics ESG Risk Rating

Our Main ESG Targets

60% Of Revenues Generated By Fibers From ECONYL® Branded Products

35,000 Tons Of Post consumer Waste Collected Annually

D&I policy to assure gender equality in recruiting and career development

Monitor Group's key suppliers through audits and/or due diligence (in line with the European Supply Chain Act)

Join the SBTi initiative and set GHG reduction target

Our Top ESG Achievements

• 16% reduction in Scope 1 + Scope 2 emissions vs 2021
• 100% of electricity coming from renewable resources
• 23% reduction in water consumption vs 2021
• 90% of waste recovered (through recycling and energy recovery)
• 1st plant-based nylon demo plant

• 18.5% increase in the number of female managers vs 2021
• 2.2x increase in hours of environmental training delivered vs 2021
• 2x welfare budget vs 2021
• Approval of Global Parental Leave Policy
• Drafting of Human Rights Policy

• Adhesion to UN Global Compact
• New remuneration policy for the Top Management
• Creation of the ESG Committee by the Board of Director

Financial Results

FY 2023 – Key Messages

Key messages

• Volumes: Expected FY 2023 range (3)% (4)% vs FY 2022
• Strong stock impact related to high unit value of the 2022 inventories compared to the yearly market value of raw materials 23 - 25 €/mln FY 2023

FY23 expected results

• EBITDA target: 45 50 €/mln
• EBITDA excl. inventory valuation impact: 68 70 €/mln
• Net Financial Position: 250 260 €/mln

FY 2023 – Key Messages

Ongoing actions

• Production costs management to maintain the efficiency of variable costs;
• Reduction in personnel;
• Rationalization of working capital;
• High manufacture capital quality and saturation level lead to lower investments;
• R&D continuous effort (ca. 2% on 2022 revenues).

Expected volumes by business lines

	BCF - Carpet yarn	NTF - Textile yarn	Polymers
'24E vs '23E	From +3% to +6%	From +13% to +16%	From +6% to +9%
'25E vs '24E	From +4% to +7%	From +8% to +11%	From +14% to +17%

2024 – 2025 Expected

Our view for the future

• EBITDA

2024 target: 76 – 82 €/mln 2025 target: 84 – 92 €/mln

• NFP

2024 target: 225 – 235 €/mln 2025 target: 190 – 200 €/mln

www.aquafil.com www.econyl.com www.dryarn.com