SBE-Varvit — Earnings Release 2025

Mar 27, 2026

SBE VARVIT

INFO BOARD OF DIRECTORS

PRESS RELEASE

THE BOARD OF DIRECTORS APPROVED THE CONSOLIDATED RESULTS FOR 2025

PROPOSED DIVIDEND OF €0.297 PER SHARE

CALLING OF THE GENERAL SHAREHOLDERS' MEETING TO BE HELD ON 30 APRIL 2026

Chairman Vescovini: "Solidity and growth despite a complex context: the Group strengthens its positions and looks to the future."

2025 Highlights:

• Revenues: €340.4 million, +1.5% compared to €335.5 million in 2024;
• Reported¹ EBITDA: €84.7 million, +2.8% compared to €82.3 million in 2024;
• Reported EBITDA margin at 24.9% (24.6% in 2024);
• Net profit: €35.3 million, +0.6% compared to €35.0 million in 2024;
• Net Financial Position: positive (net cash) at €85.8 million, +43.6% compared to €59.7 million at 30 June 2025;
• Investments at €35.0 million compared to €40.3 million in 2024;
• Proposed dividend: €25.3 million (€0.297 per share).

Reggio Emilia, 27 March 2026 – The Board of Directors of SBE-V.AR.VIT. S.p.A. [Ticker: VARV] approved the consolidated operating and financial results at 31 December 2025.

The Chairman of the Board of Directors, Alessandro Vescovini, stated:

"The 2025 market context was particularly challenging for our industry, with trends impacting demand, and consequently, financial results. Within this scenario, SBE-Varvit confirmed its operational solidity and its ability to adapt, with an overall improvement in its financial indicators, including margins, attesting to the solidity of our business model.

In a context that continues to require operational flexibility, prompt decision-making and strategic foresight, the Group forges ahead with its development path, tackling complexities with an approach geared to seizing new growth opportunities. The Group is confident about its future prospects, supported by the strength of its business and its solid industrial expertise.

In view of future challenges, strengthening production capacity remains the top strategic priority, with investments aimed at upgrading plants and introducing innovative technologies.

We have planned important activities for 2026, with the objective of expanding our market footprint, diversifying our customer portfolio and seizing new development opportunities, thus consolidating our competitiveness at global level."

P&L results at 31 December 2025

Revenues

Revenues for the year ended 31 December 2025 amounted to €340.4 million, up 1.5% compared to the previous year. This performance was mostly attributable to the volume increase and, to a minor extent, to a lower price effect following the renegotiation of contracts with customers to reflect the commodity cost reduction.

¹ In 2025, no adjustments were deemed necessary to normalise non-recurring charges/income. "Adjusted" means gross of non-recurring charges/income.

---

SBE VARVIT

Reported/Adjusted EBITDA

In 2025, no adjustments were required due to non-recurring charges or income.

Reported EBITDA amounted to €84.7 million in 2025, up 2.8% compared to Reported EBITDA for 2024.

Reported EBITDA margin stood at 24.9% in 2025, increasing compared to a 24.6% Reported EBITDA Margin for 2024.

These solid margins reflect the SBE Varvit Group's operational efficiency and technological progress achieved in recent years, as well as its particularly lean cost structure.

Net financial result

Net financial result, net of foreign exchange gains and losses, was positive for €0.8 million in 2025 compared to +€0.9 million for the previous year. Financial charges included €0.5 million foreign exchange losses and €1.1 million interest expense on loans.

Income taxes

Income taxes amounted to €12.9 million in 2025 compared to a tax burden of €10.7 million for the previous year. The change reflects the €48.2 million increase in income before taxes.

Given that most of the "hyper-depreciation" benefit ceased in 2025, as of 2025 the tax rate is aligned with the statutory tax rates (IRES and IRAP).

Net result

Net profit amounted to €35.3 million in 2025 compared to €35.0 million for the previous year. The increase was attributable to the operating performance, partially offset by a higher tax rate, as most of the "hyper-depreciation" benefits ceased in 2025. This result is however positive and testified to the Company's ability to generate profit, even in a complex market context.

Consolidated capital and financial highlights at 31 December 2025

Investments and acquisitions

Cash outflows for investments in property, plant, equipment and intangible assets amounted to €35.0 million in 2025 compared to €40.3 million in the previous year. Investments focused on activities aimed at stepping up industrial efficiency and improving the existing plants in technological terms.

Change in net working capital

Net working capital decreased to €147.2 million compared to €151.8 million for 2024. This result was mainly driven by the decline in other current assets from €13.2 million to €6.8 million, following the decrease in VAT assets and in tax benefit for investments in operating assets.

Net Financial Position

The Group's net financial position was positive at €85.8 million at the end of 2025 compared to €59.7 million at 30 June 2025 and €69.7 million at the end of 2024. This result is even more significant when considering that in 2025 the Company distributed €17.6 million to its Shareholders.

Calling of the Ordinary Shareholders' Meeting

The draft Financial Statements at 31 December 2025 will be submitted to the Shareholders' Meeting of the Company to be held, as already announced, on 30 April 2026, in single call.

Proposed allocation of the result for the year

The Board of Directors, in accordance with the Cornerstone Agreement, resolved to propose to the Shareholders' Meeting of SBE-Varvit S.p.A. the payment of the consolidated dividends amounting to €25,304,400, equal to €0.297 for all share classes.

The proposal envisages 18 May 2026 as ex-date, 19 May 2026 as record date and 20 May 2026 as payment date.

---

SBE VARVIT

The remaining part of net profit for the year will be allocated to the Extraordinary reserve.

Significant events after 31 December 2025

There were no significant events after 31 December 2025.

Outlook

In 2025, the industry faced challenging market conditions that negatively impacted demand. Despite this context, the Group confirmed its resilience and operational flexibility, improving its financial indicators, including margins, as a further proof of the solidity of its business model.

In a scenario requiring adaptability, rapid decision-making and strategic focus, the Group is forging ahead with its development path, addressing complexities with an approach aimed at seizing emerging opportunities.

Enhancing production capacity remains one of the key strategic priorities, pursued through an investment plan focused on stepping up plant efficiency and adopting advanced technologies. Several initiatives have been planned for 2026 aimed to strengthen market footprint and extend and diversify additional growth opportunities with the objective of consolidating the Group's competitive positioning at global level.

In 2026, revenues are expected to grow between 8% and 10%, barring any impact from ongoing conflicts, with an increase in operating margins in the range of 24%-26%.

---

This press release contains forward-looking statements. These statements are based on the SBE-V.AR.VIT Group's current expectations and projections regarding future events and are, by their very nature, subject to a number of risks and uncertainties. These statements refer to events and depend on circumstances that may or may not occur or take place in the future, and, as such, undue reliance should not be made on them. Actual performance could differ significantly from the contents of such statements due to a variety of factors, including constant volatility and a further deterioration of capital and financial markets, changes in macroeconomic conditions and economic growth and other changes in business conditions, changes in the law and institutional context (in Italy and internationally), and many other factors, most of which are beyond the Group's control.

---

SBE-Varvit is active in the production, distribution and commercialisation of a wide and diversified range of fastening components including screws, bolts, nuts, cold and hot formed products, fasteners and highly engineered mechanical components. The Company is characterised by its integrated and vertical offer, through which it can constantly monitor each stage of the production process and disintermediate the market. The Issuer's business model is indeed centred on the disintermediation of every stage of the production and distribution process, with the main objective of shortening the distance between producer and end customer as much as possible, reducing the distributors' role to a minimum. The Issuer's products are intended to be marketed in various markets including agricultural machinery, construction machinery, industrial machinery, commercial vehicles, personal mobility, wind power and infrastructure, totalling more than 5,000 customers. SBE-Varvit operates through seven production units located in Italy (in Monfalcone, Grugliasco, Tolmezzo, San Giuliano Milanese, Montirone and Acerra) and one located in Serbia (in Sabac) and through five highly automated warehouses in Italy, Serbia and the United States.

For further information: www.sbe.it

---

SBE VARVIT

CONTACTS

Investor Relator
Michele Riva – investor@varvit.com +39 0522 5088

Euronext Growth Advisor
Equita SIM S.p.A.
sbe-varvit@equita.eu

---

SBE VARVIT

CONSOLIDATED STATEMENT OF PROFIT OR LOSS

(Values in €'000)	2025	2024
Revenues	340.417	335.448
Other income	5.984	6.842
Total Revenues	346.401	342.290
Raw materials and consumables	(141.023)	(145.842)
Changes in finished goods and semi-finished products	9.259	13.982
Services	(72.726)	(72.712)
Employee benefits	(54.888)	(53.170)
Other costs	(2.341)	(2.156)
Impairment losses on trade receivables	(10)	(59)
EBITDA	84.672	82.333
Amortisation and depreciation	(37.272)	(37.473)
EBIT	47.400	44.860
Financial Income excluding FX gains	1.835	2.147
Financial expense excluding FX losses	(1.065)	(1.283)
EBT	48.170	45.724
Income taxes	(12.912)	(10.689)
Profit for the period (Loss)	35.258	35.035
Attributable to:
To non-controlling interests	2.456	2.368
The owners of the parent	32.802	32.667

---

S E V A R V I T

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

(Values in €'000)	2025	2024
Assets	573.564	535.990
Non-current assets	221.175	218.358
Property, plant and equipment	190.421	190.326
Intangible assets	1.185	1.429
Goodwill	14.481	12.110
Right-of-use assets	11.353	10.373
Non-current financial assets	381	266
Other non-current assets	1.156	1.452
Equity investments	29	15
Deferred tax assets	2.169	2.387
Current assets	352.389	317.632
Trade receivables	69.907	67.046
Inventories	154.310	149.377
Other current assets	6.771	13.233
Current tax assets	188	485
Current financial assets	38.484	28.916
Cash and cash equivalents	82.729	58.575
Equity and liabilities	573.564	535.990
Equity	434.524	418.010
Share capital	3.096	3.096
Legal reserve	622	622
Other reserves	383.807	369.813
Profit (Loss) for the year	32.802	32.667
Total equity	420.327	406.198
Equity attributable to non-controlling interests	14.197	11.812
Total non-current liabilities	47.072	33.056
Non-current financial liabilities	20.545	5.028
Non-current lease liabilities	6.848	6.161
Employee benefits	5.231	5.215
Provisions	446	2.041
Deferred tax liabilities	6.904	6.776
Other non-current liabilities	7.098	7.835
Current liabilities	91.968	84.924
Current financial liabilities	5.664	4.316
Current lease liabilities	2.375	2.312
Trade payables	65.965	60.315
Other current liabilities	8.068	8.583

---

SBE VARVIT

CONSOLIDATED STATEMENT OF CASH FLOWS

(Values in €'000)
	2025	2024
Profit for the year	35.258	35.035
Adjustments for:
- Depreciation of property, plant and equipment	34.387	34.497
- Amortisation of intangible assets	653	591
- Depreciation of right-of-use assets	2.231	2.385
- Accruals for provisions and employee benefits	2.444	2.547
- Net financial expense	(776)	(864)
- Gain on sale of property, plant and equipment	(45)	(14)
- Valuation of associated companies using ghe equity method	6
- Income taxes	12.912	10.689
Cash flows from operating activities	87.070	84.866
Changes in:
- Inventories	(4.933)	(9.423)
- Trade receivables	(2.861)	16.897
- Other current assets and liabilities	(6.635)	2.883
- Trade payables	4.601	(15.658)
- Utilisation of provisions and employee benefits	(1.919)	(1.864)
Cash generated from operating activities	75.323	77.701
Interest paid	(882)	(1.197)
Income taxes paid	(1.581)	(644)
Net cash flows generated by operating activities (A)	72.860	75.860
Cash flows from investing activities
Interest received	811	1.489
Proceeds from sale of property, plant and equipment	239	926
Proceeds from sale of financial assets	2.125	14.893
Acquisition of property, plant and equipment	(34.614)	(39.261)
Acquisition of intangible assets	(409)	(1.056)
Acquisition of other financial assets	(10.648)	(25.187)
Net cash flows used in investing activities (B)	(42.496)	(48.196)
Cash flows from financing activities
Acquisition of subsidiary, net of cash acquired	(3.001)	(1.822)
Proceeds from financial liabilities	22.624	7.236
Repayments of financial liabilities	(5.762)	(20.486)
Payment of lease liabilities	(2.520)	(2.553)
Dividends paid	(17.551)	(21.060)
Net cash flows used in financing activities (C)	(6.210)	(38.685)
Net decrease (increase) in cash and cash equivalents (A)+(B)+(C)	24.154	(11.021)
Opening cash and cash equivalents as of 1st January	58.575	69.596
Closing cash and cash equivalents as of the end of the period	82.729	58.575

---

S E V A R V I T

RECLASSIFIED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

(Values in €'000)	2025	2024
Intangible assets	1.185	1.429
Property, plant and equipment	190.421	190.326
Goodwill	14.481	12.110
Right-of-use assets	11.353	10.373
Non-current financial assets	381	266
Deferred tax assets	2.169	2.387
Other non-current assets	1.156	1.452
Equity investments	29	15
Provisions	(446)	(2.041)
Employee benefits	(5.231)	(5.215)
Other non-current liabilities	(7.098)	(7.835)
Non-current tax liabilities	(6.904)	(6.776)
Net fixed assets	201.496	196.491
Trade receivables	69.907	67.046
Inventories	154.310	149.377
Current tax assets	188	485
Other current assets	6.771	13.233
Trade payables	(65.965)	(60.315)
Employee benefits	(9.896)	(9.398)
Other current liabilities	(8.068)	(8.583)
Net working capital	147.247	151.845
Uses of funds	348.743	348.336
Equity	434.524	418.010
Net financial position (cash positive)	(85.781)	(69.674)
Sources of funds	348.743	348.336