Emak — Investor Presentation 2025

Mar 25, 2025

Euronext Star Conference 2025

Agenda

• Emak at a glance
• FY 2024 results
• Appendix

Agenda

• Emak at a glance
• FY 2024 reults
• Appendix

Our strategy

Innovation

• Product innovation (emissions reduction, materials, lower resources usage)
• Process innovation (virtual reality, 3D printing)
• Digital transformation
• New technologies and applications

Efficiency

• Lean approach
• Supply chain optimization
• Value creation from acquisitions (synergies)
• Optimization of invested capital

Distribution

• Expand and strengthen distribution network in market with high growth potential
• Strengthen OEM relationship
• Omni-channel approach

Acquisitions

• Access new technologies
• Complete product range
• Enter new markets

Our History – Further expansion Successfull M&A track record 2012 Emak do Brasil (Brazil) Valley Industries (USA) 2013 2015 2017 2018 2019 2020 2021 2022 2023 Master Fluid (Italy) S.I.Agro Mexico (Mexico) Speed South America (Chile) Lemasa (Brazil) Lavorwash Group (Italy) Spraycom (Brazil) Agres (30%) (Brazil) Agres (increase to 91%) (Brazil) Markusson (Sweden) Poli (Italy) Trebol (Spain) Raw Power (24%) (Italy) Bestway Business (USA) 2024 PNR (Italy)

A diversified and interconnected Group

And a Global Group

% of Group sales

Multi channel approach

% of Group sales

OUTDOOR POWER EQUIPMENT

PUMPS & WATER JETTING

COMPONENTS & ACCESSORIES

• Emak at a glance
• FY 2024 results
• Appendix

SALES 601.9€m vs 566.3€m (+6.3%)

• Organic performance +3.5%, acquisition contribution 3.3%, forex -0.5%
• Strong performance in Q4
• Positive trend in Gardening and Cleaning markets
• Agriculture and Industrial markets still underperforming

EBITDA MARGIN Adj 10.3% vs 12%

• Positive contribution of acquisitions
• Higher labour, transports and commercial costs
• Negative impact from one-off events

NET PROFIT ADJ 10.9€m (reported 6.5€m) vs 19.9€m

• Goodwill impairment (4.4€m)
• Higher financial charges
• Negative forex

DIVIDEND PROPOSAL

• € 0.025 per share
• payout of approximately 38% of net profit adjusted.

NET FINANCIAL POSITION -210€m vs -191.5€m on 31/12/2023

• Net working capital influenced by sales trend
• Higher capex
• Acquisition impact of 15.6€m

FY 2024 – Sales performance

Outdoor Power Equipment segment recorded a stronger performance than the market.

Pumps & Water Jetting segment closed in line with the previous year mainly due to the growth of cleaning machines and the full consolidation of Bestway business.

Components & Accessories segment recorded an extremely positive performances in both the gardening and cleaning sectors.

GROUP

• Gardening products sales increased for both machines and components and accessories.
• Cleaning products showed a positive trend both organically and due to changes in the consolidation area.
• Agricultural products recorded a decline, concentrated in the more traditional range in line with the general market trend, partially offset by growth related to the commercialization of new products in North America.
• Industrial products were affected by the general decline in demand in the North American and Far East markets.

FY 2024 – EBITDA

Outdoor Power Equipment

• i. positive leverage effect
• ii. increase in sales costs to meet customer needs

Pumps & Water Jetting

• i. the internalization of processes has caused temporary inefficiencies and consequently a greater use of temporary workers.
• ii. Negative sales mix

Components & Accessories

• i. Favorable area and product mix effect (gardening).
• ii. Towards the end of the year, some impact from raw materials (brass) for cleaning

GROUP

• Acquisitions contributed for € 3.7m
• Negative segment sales' mix
• Higher costs, especially:
• ✓ Personnel: (i) salary dynamics, (ii) higher temporary workers to cope with production volumes in OPE and C&A, (iii) inefficiencies due to reorganization in PWJ
• ✓ Transport: tensions in the Red Sea area and the consequences on freight costs in terms of rates and transportation modes (air and train) to ensure adequate service;
• ✓ Commercial: reached appropriate level for the Group's business

Consolidated balance sheet

€m	31.12.2024	31.12.2023
Net non-current assets	230.0	223.6
Net working capital	260.3	251.6
Total net capital employed	490.3	475.2
Net financial position	(210.0)	(191.5)
IFRS16 effect	44.2	43.9
Net financial position (no IFRS16)	(165.8)	(147.6)
Total equity	280.3	283.7

• Capex:
  • ➢ 24.7€m vs 22.9€m in 2023 (+8%)
• Net working capital:
  • ➢ Acquisition impact of 5.9€m
  • ➢ Q4 increase due to sales trend
  • ➢ Increase in inventories due order entry for Q1 2025.
• Net financial position
  • ➢ Working capital dynamics in Q4
  • ➢ Acquisition impact of 15.6€m

Net Financial Position

Debt composition

Capex

24.7€m capex in 2024 (4.1% on sales)

Agenda

• Emak at a glance
• FY 2024 results
• Appendix

Consolidated income statement

€/000	Year 2024	of which to related parties	Year 2023	of which to related parties
Revenues from sales	601,914	970	566,317	969
Other operating incomes	5,089		5,493
Change in inventories	14,134		755
Raw materials, consumables and goods	(323,486)	(2,450)	(298,310)	(1,754)
Personnel expenses	(120,549)		(105,036)
Other operating costs and provisions	(116,221)	(769)	(102,915)	(643)
Amortization, depreciation and impairment losses	(36,470)	(1,874)	(29,080)	(1,859)
Operating result	24,411		37,224
Financial income	4,843		5,621
Financial expenses	(18,119)	(355)	(17,830)	(384)
Exchange gains and losses	(654)		418
Income from/(expenses on) equity investment	4		2
Profit befor taxes	10,485		25,435
Income taxes	(3,985)		(5,513)
Net profit (A)	6,500		19,922
(Profit)/loss attributable to non controlling interests	(745)		(847)
Net profit attributable to the Group	5,755		19,075
Basic earnings per share	0.035		0.117
Diluted earnings per share	0.035		0.117

Consolidated balance sheet - Assets

€/000	31.12.2024	of which to related parties	31.12.2023	of which to related parties
Non-current assets
Property, plant and equipment	93,248		86,021
Intangible assets	32,474		29,228
Rights of use	41,670	11,194	41,907	13,014
Goodwill	67,176	9,914	72,554	9,914
Equity investments in other companies	8		8
Equity investments in associates	806		802
Deferred tax assets	13,517		11,531
Other financial assets	1,182	37	1,267	74
Other assets	97		96
Total non-current assets	250,178		243,414
Current assets
Inventories	251,684		234,656
Trade and other receivables	133,620	1,963	121,936	2,132
Current tax receivables	10,450		11,249
Other financial assets	38	37	59	37
Derivative financial instruments	370		1,028
Cash and cash equivalents	69,174		75,661
Total current assets	465,336		444,589
TOTAL ASSETS	715,514		688,003

Consolidated balance sheet - Liabilities

€/000	31.12.2024	of which to related parties	31.12.2023	of which to related parties
Shareholders' Equity
Shareholders' Equity of the Group	275,947		279,352
Non-controlling interests	4,367		4,315
Total Shareholders' Equity	280,314		283,667
Non-current liabilities
Loans and borrowings due to banks and other lenders	161,261		138,547
Liabilities for leasing	35,552	10,040	36,433	11,867
Deferred tax liabilities	9,006		7,968
Employee benefits	6,535		6,066
Provisions for risks and charges	2,735		2,885
Other liabilities	730		1,653
Total non-current liabilities	215,819		193,552
Current liabilities
Trade and other payables	128,142	1,676	109,772	1,606
Current tax liabilities	4,876		4,691
Loans and borrowings due to banks and other lenders	74,300		86,424
Liabilities for leasing	8,632	1,874	7,503	1,819
Derivative financial instruments	978		603
Provisions for risks and charges	2,453		1,791
Total current liabilities	219,381		210,784
TOTAL SHAREHOLDERS' EQUITY AND LIABILITIES	715,514		688,003

Results by business segment – FY 2024

	OUTDOOR POWER EQUIPMENT		PUMPS AND WATER JETTING		COMPONENTS AND ACCESSORIES		Other not allocated / Netting		Consolidated
€/000	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023
Sales to third parties	180,180	166,994	244,646	244,252	177,088	155,071			601,914	566,317
Intersegment sales	421	393	1,873	3,045	9,957	8,129	(12,251)	(11,567)
Revenues from sales	180,601	167,387	246,519	247,297	187,045	163,200	(12,251)	(11,567)	601,914	566,317
Ebitda (*)	10,702	11,694	23,305	31,290	29,510	25,517	(2,636)	(2,197)	60,881	66,304
Ebitda/Total Revenues %	5.9%	7.0%	9.5%	12.7%	15.8%	15.6%			10.1%	11.7%
Ebitda before non ordinary expenses (*)	11,755	11,984	23,261	31,928	29,780	26,163	(2,636)	(2,197)	62,160	67,878
Ebitda before non ordinary expenses/Total Revenues %	6.5%	7.2%	9.4%	12.9%	15.9%	16.0%			10.3%	12.0%
Operating result	2,933	3,834	6,814	20,263	17,300	15,324	(2,636)	(2,197)	24,411	37,224
Operating result/Total Revenues %	1.6%	2.3%	2.8%	8.2%	9.2%	9.4%			4.1%	6.6%
Net financial expenses (1)									(13,926)	(11,789)
Profit befor taxes									10,485	25,435
Income taxes									(3,985)	(5,513)
Net profit									6,500	19,922
Net profit/Total Revenues%									1.1%	3.5%

(1) Net financial expenses includes the amount of Financial income and expenses, Exchange gains and losses and the amount of the Income from equity investment

STATEMENT OF FINANCIAL POSITION	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023
Net debt (*)	17,558	11,174	135,438	134,618	56,963	45,703	0	0	209,959	191,495
Shareholders' Equity	185,667	185,337	90,158	99,670	82,934	76,978	(78,445)	(78,318)	280,314	283,667
Total Shareholders' Equity and Net debt	203,225	196,511	225,596	234,288	139,897	122,681	(78,445)	(78,318)	490,273	475,162
Net non-current assets (2) (*)	123,570	122,370	109,658	116,156	71,936	60,261	(75,174)	(75,212)	229,990	223,575
Net working capital (*)	79,655	74,141	115,938	118,132	67,961	62,420	(3,271)	(3,106)	260,283	251,587
Total net capital employed (*)	203,225	196,511	225,596	234,288	139,897	122,681	(78,445)	(78,318)	490,273	475,162

(2) The net non-current assets of the Outdoor Power Equipment area includes the amount of Equity investments for 76,074 thousand Euro

OTHER STATISTICS	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023
Number of employees at period end	727	725	980	959	811	669	9	9	2,527	2,362
OTHER INFORMATIONS	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023	31.12.2024	31.12.2023
Amortization, depreciation and impairment losses	7,769	7,860	16,491	11,027	12,210	10,193			36,470	29,080

Euronext Star Conference Milan - 2025 27

• Applications in Group's similar sectors, such as high-pressure washing and agriculture, and in diversified sectors, such as metal, paper, chemical, pharmaceutical and food.
• Acquisition of specific know-how which will allow the further expansion of the product range for industrial cleaning and access to new synergistic sectors with the current business areas of the Components and Accessories segment
• FY 2023 preliminary figures: turnover of 15 €m; EBITDA margin 22%; net debt 0.6 €m.
• Total consideration for the acquisition was equal to 15 €m.

PNR Group

Shareholders and Governance

Emak has been listed on the Italian Stock Exchange since 1998 and since 2001 on STAR segment (dedicated to mid-size companies that adhere to strict requirements appreciated by global investors in terms of governance, liquidity, transparency).

Yama is an industrial holding whose shareholders are the families that founded the Group in late 60's.

Seven families hold 97% of Yama's share capital, with shareholdings from 6% to 23%.

Board of Directors
Livatino Massimo	Chairman
Bartoli Luigi	Vice Chairman & CEO
Becchi Cristian	CFO
Baldi Francesca	Director
Bartoli Ariello	Director
Becchi Paola	Director
Ferrari Giuliano	Director
Salsapariglia Marzia	Director
Spaggiari Vilmo	Director
Zambelli Paolo	Director
Iotti Elena	Independent Director
Lanza Alessandra	Independent Director
Grappi Silvia	Independent Director
Board of Statutory Auditors

Montanari Stefano Chairman Labanti Roberta Pasquetti Livio

Independent Auditors

Deloitte & Touche S.p.A.

Synthesis of results

									NO IFRS 16
€m	2012	2013	2014	2015	2016	2017	2017 PF	2018	2019	2020	2021	2022	2023	2024
Sales	354.8	355.0	354.8	381.6	391.9	422.2	461.8	452.8	434.0	469.8	588.3	605.7	566.3	601.9
EBITDA adj	31.7	34.2	33.1	37.5	40.5	45.6	52.5	50.8	40.9	50.0	70.8	69.0	58.5	51.7
margin	8.9%	9.6%	9.3%	9.8%	10.3%	10.8%	11.4%	11.2%	9.4%	10.6%	12.0%	11.4%	10.3%	8.6%
EBIT	16.6	22.4	20.0	23.3	21.9	30.0	35.8	34.0	21.5	32.2	52.3	46.0	36.1	23.1
margin	4.7%	6.3%	5.6%	6.1%	5.6%	7.1%	7.8%	7.5%	5.0%	6.9%	8.9%	7.6%	6.4%	3.8%
Net profit	8.6	10.5	10.2	9.0	17.7	16.4	20.6	25.6	13.1	19.6	33.1	31.2	19.9	6.5
margin	2.4%	3.0%	2.9%	2.4%	4.5%	3.9%	4.5%	5.7%	3.0%	4.2%	5.6%	5.1%	3.5%	1.1%
FCF from operations*	20.8	22.4	21.7	21.5	35.3	30.4	34.9	41.1	31.8	36.7	51.4	53.7	40.8	33.8
Net Equity	145.0	150.8	160.1	168.5	181.7	187.5	187.5	205.8	212.2	223.2	257.1	278.4	285.4	282.4
Net fin. debt	99.9	76.4	79.0	99.4	80.1	125.3	125.3	117.4	116.6	97.7	105.3	139.3	147.6	165.8
Debt/EBITDA adj	3.1	2.2	2.4	2.7	2.0	2.7	2.4	2.3	2.8	2.0	1.5	2.0	2.5	3.2

* Calculated by adding the items "Net profit" + "Amortization, depreciation and impairment losses" – IFRS 16 effect (starting from 2019)

2014: Acquisition of Speed Industrie Sarl (Marocco), S.I.Agro Mexico, Geoline Electronic (Italy), Master Fluid (Italy), Speed South America (Chile) 2015: Acquisition of Lemasa (Brazil) 2016: Acquisition of 30% of Cifarelli S.p.A. 2017: Acquisition of Lavorwash Group 2018: Sale of Raico; acquisition of Spraycom (Brazil) 2019: acquisition of 30% of Agres (Brazil) 2020: acquisition of 51% of Markusson (Sweden); increase in Agres to 91% 2021: Acquisition of 80% of Poli (Italy) 2022: Acquisition of 83.33% of Trebol (Spain) 2023: Acquisition of Bestway AG (USA), 24% of Raw Power (Italy); 2024: Acquisition of PNR Group

Roberto Bertuzzi, manager responsible for the preparation of the corporate accounting documents, declares and certifies in accordance with article 154 bis, paragraph 2, of the Consolidated Finance Act, that the financial statements contained in this presentation correspond to the underlying accounting documents, records and accounting entries.

Speakers

Mr. Luigi Bartoli– CEO Mr. Cristian Becchi – CFO Mr. Andrea La Fata – Investor Relator andrea.lafata@emak.it - 0039-0522.956.332