Gvs — Investor Presentation 2024

May 14, 2024

• Q1 2024 RESULTS PRESENTATION

• May 14th, 2024

Q1 2024 Sales growing +1.9% excluding FX at €103.9m, signaling a gradual volume recovery

€24.3m adjusted EBITDA, +7.7% vs. previous year, with 23.4% margin vs. 21.7% in Q1 2023

Adjusted Net Income excl. FX gains/losses(1) growing +7.7% YoY, reaching 9.5% margin at €9.9m

€254.2m Adjusted NFP(2) as of March 2024, on track with de-leverage targets, with Leverage Ratio(3) at 2.63x

(1) Excluding FX impact on financial charges and related tax effects

(2) Adjusted NFP calculated considering the €75.0m subordinated shareholder loan and related interests as equity (not financial liability)

(3) Leverage ratio calculated as Adjusted NFP /L12M Adjusted EBITDA

Q1 2024 Results At-a-Glance

Organic growth led by Safety division, profitability recovery on track

• Q1 2024 sales growing +1.9% excluding FX, with strong performance by Health & Safety division
• Adj. EBITDA growing +7.7% YoY to €24.3m, with 170 bps of margin accretion thanks to profitability recovery actions
• Stable Adjusted NFP, on track with de-leverage targets, with leverage ratio at 2.63x

(1) Adjusted NFP calculated considering the €75.0m subordinated shareholder loan and related interests as equity (not financial liability)

(2) Leverage ratio calculated as Adjusted NFP /L12M Adjusted EBITDA

€m

SALES – Q1 2023 TO Q1 2024 BRIDGE

• +1.9% organic growth (excl. FX) vs. Q1 2023, supported by a gradual volume recovery from de-stocking and pricing

Sales – Q1 2024 Performance by Division

Safety division strong order momentum leading the organic growth

• Stable Healthcare sales (+0.3% organic excluding FX, -1.9% reported), with solid growth by Air & Gas (+5.1% and +6.2% organic), +1.4% organic growth for Liquid (-1.1% reported), and weak performance of Labs (-12.6%, -11.1% organic)
• Safety division organic sales up +14.0% YoY (+12.4% reported), on the back of strong order momentum
• Mobility division (-4.1%, -3.2% organic) gradually recovering from client de-stocking

Adj. EBITDA Margin – Q-on-Q Evolution Q-on-Q profitability recovery continues

ADJ. EBITDA MARGIN – Q3 2022 – Q1 2024 QUARTERLY EVOLUTION

• Continuous Q-on-Q EBITDA % recovery from Q3 2022 lows
• Margin accretion driven by pricing and industrial efficiencies
• Recovery trend set to continue in FY2024

Adj. EBITDA – Q1 2024 vs. Q1 2023 +9.7% YoY organic growth excl. FX

Adj. Net Income – Q1 2024 vs. Q1 2023

+7.7% YoY growth excl. FX impact

• Adjusted Net Income is impacted by FX gains and losses, mostly non-cash items related to the mark-to-market of USD denominated intercompany loans
  • Q1 2023 Adjusted Net Income includes €4.0m of FX losses
  • Q1 2024 Adjusted Net Income includes €4.1m of FX gains(1)
• Net Profitability, excl. FX impact on financial charges and related tax effects, growing in line with Adj. EBITDA

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Adj. Net Financial Position – Q1 2024 vs. FY 2023

Limited NWC absorption despite seasonality

€m

ADJUSTED NET FINANCIAL POSITION – FY 2023 TO Q1 2024 BRIDGE

2024 Outlook and Guidance

Volume recovery to accelerate in Q32024, FY 2024 guidance confirmed

FY 2024 GUIDANCE	SALES	Low-to-mid single digit growth vs. FY 2023
	Adj. EBITDA %	100-200 bps of margin accretion vs. FY 2023
	Adj. Leverage Ratio (x)	In the region of 2.0x

Appendix – Support Material

Q1 2024 Results – Financial Statements

Q1 2023 and Q1 2024 P&L – Statutory Adjusted View

€ m	Q1 2023	of which non-recurring	Q1 2023 Adjusted	%	Q1 2024	of which non-recurring	Q1 2024 Adjusted	%
Revenues from sales and services	104.0	-	104.0	100.0%	103.9	-	103.9	100.0%
Other revenues and proceeds	1.0	0.3	0.7	0.64%	1.5	0.3	1.3	1.21%
Total revenues	104.9	0.3	104.6	100.6%	105.4	0.3	105.1	101.2%
Cost of raw materials, purchases and variations in inventories	(32.2)		(32.2)	-31.0%	(31.8)	-	(31.8)	-30.6%
Cost of labour	(33.9)	(0.3)	(33.7)	-32.4%	(33.5)	(0.0)	(33.5)	-32.3%
Services	(14.7)		(14.7)	-14.1%	(14.2)	-	(14.2)	-13.7%
Other operating costs	(1.5)	-	(1.5)	-1.4%	(1.6)	(0.3)	(1.3)	-1.3%
EBITDA	22.6	0.1	22.6	21.7%	24.3	(0.0)	24.3	23.4%
Provisions and writedowns	(0.3)	-	(0.3)	-0.3%	(0.2)	-	(0.2)	-0.2%
Amortisation and depreciation	(10.2)	(4.0)	(6.2)	-5.9%	(11.0)	(4.0)	(7.0)	-6.7%
EBIT	12.1	(4.0)	16.1	15.4%	13.1	(4.0)	17.2	16.5%
Financial proceeds	0.3	-	0.3	0.3%	5.1	(2) -	(2) 5.1	4.9%
Financial charges	(8.9)	(1) (0.9)	(1) (8.0)	-7.7%	(5.7)	(0.8)	(4.9)	-4.8%
Pre-tax results	3.5	(4.9)	8.3	8.0%	12.5	(4.8)	17.3	16.7%
Income tax	(0.9)	1.3	(2.2)	-2.2%	(3.1)	1.3	(4.3)	-4.1%
Net profit	2.5	(3.5)	6.1	5.9%	9.4	(3.6)	13.0	12.5%

(1) Q1 2023 financial charges include €4.0m of FX losses

(2) Q1 2024 financial proceeds include €4.1m of FX gains

Q1 2024 Results – Financial Statements

Reclassified Balance Sheet - FY 2023 – Q1 2024

€m	FY 2023	Q1 2024
fixed Net intangible assets	471.7	473.9
usage rights Net	20.2	23.3
tangible fixed Net assets	122.9	127.2
Financial fixed assets	3.5	3.6
Other fixed assets	10.7	10.9
Fixed capital (A)	629.0	639.0
trade receivables Net	54.1	62.4
Inventories	84.8	85.8
Payables suppliers to	(38 .5)	(44 .4)
commercial working capital (B) Net	100.5	103.8
Other current assets	21.2	25.0
Other liabilities current	(40 .5)	(41 .5)
assets/liabilities Total (C) current	(19.3)	(16.5)
(D)= (B) + (C) working capital Net	81.2	87.3
Other liabilities (E) non-current	(35 .4)	(36 .6)
Employee indemnity and end of indemnity (F) termination service	(3 .1)	(3 .2)
(G) Provisions for risks and charges	(8 .5)	(8 .0)
invested capital (H) = (A+D+E+F+G) Net	663.2	678.4
Shareholders' equity	(334 .5)	(347 .1)
Consolidated shareholders' equity (I)	(334.5)	(347.1)
indebtedness)/Liquidity Short-term financial	60.5	40.0
(Net medium/long financial indebtedness) term	(389 .2)	(371 .2)
financial indebtedness (L) Net	(328.7)	(331.3)
funds financial (M) = (I+L) Own and indebtedness net	(663.2)	(678.4)

Q1 2024 Results – Financial Statements

Cash Flow Statement - Q1 2023 – Q1 2024

€m	Q1 2023	Q1 2024
result Pre-tax	3.5	12.5
Amortisation, depreciation and writedowns	10.2	11.0
/ Capital losses (capital gains) from sale of assets	0.0	(0 .0)
/ Financial charges (proceeds)	8.6	0.6
Other variations non-monetary	0.5	1.1
Cash flow generated operations before delta NWC	22.9	25.2
Variation in inventories	(8 .8)	(0 .1)
trade receivables Variation in	0.1	(8 .4)
trade payables Variation in	(12 .3)	4.9
other and liabilities Variation in assets	0.1	(1 .1)
Risk and Employees funds utilisation	(0 .3)	(0 .1)
paid Taxes	(1 .8)	(4 .2)
cash flow by Net operations	(0.2)	16.1
tangible Investments in assets	(6 .1)	(7 .5)
intangible Investments in assets	(1 .6)	(1 .9)
of Disposal tangible assets	0.1	0.0
Investment in financial assets	(75 .0)	(75 .7)
Disinvestment in financial assets	2.3	-
for purchase of businesses of cash on hand acquired Payment , net	(0 .0)	0.0
cash flow by investment Net	(80.3)	(85.1)
Opening of long-term financial payables	75.0	0.0
Repaymentof long-term financial payables	(21 .8)	(23 .1)
of leasing liabilities Repayment	(1 .7)	(2 .2)
Financial charges paid	(3 .2)	(2 .5)
Financial proceeds collected	0.1	1.0
shares Treasury	-	-
cash flow by financial Net assets	48.4	(26.8)
Total cash on hand variation in	(32.0)	(95.8)
Cash on hand the of the at start year	135.2	191.5
Total cash on hand and differences variation in conversion	(33 .0)	(95 .2)
Cash on hand the end of the at year	102.1	96.3

Intercompany Loans Q1 2024 FX gains – detailed calculation

Main USD denominated financial receivables from subsidiaries	FY 2023 EUR m	FY 2023 USD m
GVS NA Holding Inc	136.2	150.5
GVS Technology (Suzhou) Co. Ltd.	36.7	40.5
GVS Filter technology de Mexico	19.7	21.7
Total	192.6	212.7
EUR/USD exchange rate as of 31/12/2023	1.1045
EUR/USD exchange rate as of 31/03/2024	1.0811
Delta (%)	-2.1%
	Q1 2024 EUR m	Q1 2024 USD m
Q1 2024 FX Gains	4.1	4.5

Disclaimer

Pursuant to art. 154-bis, paragraph 2, of the Italian Unified Financial Act of February 24, 1998, the executive in charge of preparing the corporate accounting documents at GVS S.p.A., Emanuele Stanco, declares that the accounting information contained herein correspond to document results, books and accounting records.

This presentation contains certain forward-looking statements that reflect the Company's management's current views with respect to future events and financial and operational performance of the Company and its subsidiaries. These forward-looking statements are based on GVS S.p.A.'s current expectations and projections about future events. Because these forward-looking statements are subject to risks and uncertainties, actual future results or performance may differ materially from those expressed in or implied by these statements due to any number of different factors, many of which are beyond the ability of GVS S.p.A. to control or estimate precisely, including changes in the regulatory environment, future market developments, fluctuations in the price, and other risks. You are cautioned not to place undue reliance on the forward-looking statements contained herein, which are made only as of the date of this presentation. GVS S.p.A. does not undertake any obligation to publicly release any updates or revisions to any forward-looking statements to reflect events or circumstances after the date of this presentation.

This presentation does not constitute a recommendation regarding the securities of the Company. This presentation does not contain an offer to sell or a solicitation of any offer to buy any securities issued by GVS S.p.A. or any of its subsidiaries, in Italy pursuant to Section 1, let t) letter (t) of Legislative Decree no. 58 of February 24, 1998, or in any other country or state.

The information contained in this presentation does not purport to be comprehensive and has not been independently verified by any independent third party. The reader should consult any further disclosures GVS may make in documents it files with the Italian Securities and Exchange Commission and with the Italian Stock Exchange.