Technogym — Investor Presentation 2024

Aug 2, 2024

H1 2024 Financial Results

Investor Presentation

Strictly private & confidential 1 Cesena, August, 2nd 2024

Speakers

Nerio Alessandri Founder, Chairman and CEO

William Marabini Chief Financial Officer

Michele Bertacco Investor Relations Director

Disclaimer

This presentation is being furnished to you solely for your information and may not be reproduced or redistributed to any other person.

This presentation might contain 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 Technogym 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 Technogym S.p.A. to control or estimate. 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. Technogym 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.

Any reference to past performance or trends or activities of the Technogym Group shall not be taken as a representation or indication that such performance, trends or activities will continue in the future.

This presentation does not constitute an offer to sell or the solicitation of an offer to buy Technogym's securities, nor shall the document form the basis of or be relied on in connection with any contract or investment decision relating thereto, or constitute a recommendation regarding the securities of Technogym.

Technogym's securities referred to in this document have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

William Marabini, the Manager in charge of preparing the corporate accounting documents, declares that, pursuant to art. 154-bis, paragraph 2, of the Legislative Decree no. 58 of February 24, 1998, the accounting information contained herein correspond to document results ,books and accounting records.

Some figures related to previous periods were reclassified for a better representation of balance sheet and the profit and loss statements.

Nerio Alessandri (Founder & CEO)

"As the Official and Exclusive Supplier for the 2024 Paris Olympic and Paralympic Games, we are proud to support the training of 15,000 athletes. Our commitment to the athletes aligns with our ESG initiative, "Let's Move for Paris".

We have been spending years honing our skills and investing time and resources to enhance our performance, generating sustainable and profitable growth in the long term.

Our "wellness-on-the-go" strategy, centered around a unique digital ecosystem and artificial intelligence, is proving successful in offering consumers and industry professionals products and services that align with global trends in health, healthy longevity, and personalization.

Globally, 70 million people train daily with Technogym across 100,000 wellness centers and 500,000 private homes. This marks a new beginning in our long-term journey to ensure growth and value while delivering wellness for all ".

Nerio Alessandri

40 Years of Wellness Innovation

From a garage… …to the Olympic Games for the 9 th time

Alessandri's family garage

Champions train with Technogym

9 Olympic games

29 Technogym Centres

15,000 Olympic and Paralympic Athletes

Innovation and Development

Strictly private & confidential 10

Connected Training Experience

TechnogymEcosystem

TechnogymCheckup

Enriched Content

Functional Training Universe

Medical New RevLine

Healthy Planet

Technogym ESG 2025 Commitment

Technogym promoted to A by MSCI in Q1 2024

In Q1 2024 Technogym was promoted to A (from BBB) by MSCI ESG Research.

MSCI provides ESG Ratings on global public and a few private companies on a scale of AAA to CCC, according to exposure to industry-specific ESG risks and the ability to manage those risks relative to peers.

Technogym's Excite Line finalist at Plastic Recycling Award

60% to 70% recycled material, leading to an average 50% reduction in CO2.

Packaging: 100% of the wood and up to 70% of the cardboard come from sustainable and traceable resources

Graphics printed with water-based ink.

-15% use of energy than the previous model.

Financials

2024 H1 All Key Performance Indicators improving

€ millions

Revenue growth at constant F/X +9.2%

Strong growth in Distributors and Retail

* includes E-Commerce and Teleselling channels

Statutory Profit & Loss H1 2024

€ millions	H1 2024	% on sales	H1 2023	% on sales	Var.	Var. %
Total Revenue	402.1		370.0		32.1	8.7%
Cost of raw, ancillary and consumable materials and goods for resale	(129.7)	(32.3%)	(121.3)	(32.8%)	(8.4)	6.9%
of which (cost) non recurrent	0.0		(0.0)		0.0
Service, Rentals and leases	(111.3)	(27.7%)	(105.0)	(28.4%)	(6.2)	5.9%
of which (cost) non recurrent	(0.6)		(0.7)		0.1
Personnel cost	(92.4)	(23.0%)	(81.9)	(22.1%)	(10.5)	12.8%
of which (cost) non recurrent	(0.4)		(0.5)		0.2
Depreciations, amortisations and write-downs	(25.0)	(6.2%)	(22.5)	(6.1%)	(2.5)	10.9%
of which (cost) non recurrent	(0.0)		(0.0)		0.0
Provision for risk and charges	(1.8)	(0.5%)	(3.7)	(1.0%)	1.9	(51.0%)
of which (cost) non recurrent	(0.3)		(1.9)		1.7
Other operations cost	(3.2)	(0.8%)	(3.6)	(1.0%)	0.4	(11.1%)
of which (cost) non recurrent	(0.1)		(0.1)		0.0
Share of result joint venture and impairment	0.1	0.0%	4.4	1.2%	(4.4)	(98.4%)
of which (cost) non recurrent	0.0		4.5		(4.5)
Net operating income	38.9	9.7%	36.4	9.8%	2.5	6.9%
Financial income and (expenses) and from investments	2.4	0.6%	1.5	0.4%	0.9	62.6%
Profit (loss) before tax	41.2	10.3%	37.8	10.2%	3.4	9.0%
Taxes	(10.9)	(2.7%)	(8.2)	(2.2%)	(2.7)	32.5%
of which (cost) non recurrent	0.0		(1.0)		1.0
Profit (loss)	30.4	7.6%	29.6	8.0%	0.7	2.5%
Profit (loss) for the year of minority interests	0.8	0.2%	(1.2)	(0.3%)	1.9	h.v.
Profit (loss) attributable to owners of the parent	31.1	7.7%	28.5	7.7%	2.7	9.4%
Adjusted EBIT	40.2	10.0%	35.1	9.5%	5.1	14.6%
Adjusted EBITDA	-1.1 66.7	16.6%	3.2 59.4	16.1%	7.3	12.4%
Profit (loss) adjusted	32.5	8.1%	28.1	7.6%	4.3	15.4%

Comments

• Revenue grew +8.7% to 402.1 m€ (+9.2% at constant F/X), mainly driven by volumes growth;
• Cost reduction on raw materials, components and international freight costs more than offsetting F/X impact;
• Rental costs growth driven by new offices and boutiques;
• Personnel costs growth aimed at investing in salesforce, operations, and new skills connected to our digital ecosystem;
• Amortization increase driven by continuing investments in digital transformation;
• JV result impacted previous year by TG Emirates investment evaluation;
• EBITDA adjusted at 16.6%, growing from 16.1% previous year (+12.4%).

Trade working capital

75.5	68.0	75.6
114.8	103.6	122.6	INVENTORIES
113.4	119.8	113.0	TR. RECEIVABLES
-152.7	-155.4	-160.0	TR. PAYABLES
2023 H1	2023 FY	2024 H1
9.9%	8.4%	9.0%	% on Sales rolling LTM
4.5x	5.1x	4.6x	Inventory Turnover
39	43	36	IFRS Balance DSO
108	106	105	IFRS Balance DPO

Free cash flow shown remarkable result

Net Financial Position improving YoY

Net Financial Position at € 93.9 m

Strictly private & confidential 33 * Payment rental IFRS16 -4.9 m€; Lease DLL -1.7 m€; net financial income +2.2 m€; impact of converting liquidity in currency and other +0.8 m€

Balance Sheet June 2024

EMARKET SDIR
CERTIFIED

€ millions		June 2024	% on sales	Dec. 2023	% on sales	Var. %
Inventories		122.6	14.6%	103.6	12.8%	18.4%
Trade receivables		113.0	13.5%	119.8	14.8%	(5.7%)
Trade payables		(160.0)	(19.0%)	(155.4)	(19.2%)	3.0%
Trade Working Capital		75.6	9.0%	68.0	8.4%	11.3%
Other current assets/(liabilities)		(81.7)	(9.7%)	(78.0)	(9.7%)	4.7%
Current tax liabilities		(15.0)	(1.8%)	(9.2)	(1.1%)	62.7%
Provisions		(19.9)	(2.4%)	(19.5)	(2.4%)	2.0%
Net Working Capital		(40.8)	-4.9%	(38.7)	-4.8%	5.4%
Property, plant and equipment		174.3	43.4%	171.6	21.2%	1.6%
Intangible assets		52.0	12.9%	55.7	6.9%	(6.6%)
Goodwill		1.0	0.2%	1.0	0.1%	(0.0%)
Investments in joint ventures		1.2	0.3%	1.2	0.1%	6.1%
Employee benefit obligations		(2.7)	(0.7%)	(2.6)	(0.3%)	2.1%
Other non current asset and (liabilities)		51.5	12.8%	48.7	6.0%	5.8%
Net Fixed Capital		277.5	33.0%	275.5	34.1%	0.7%
Net Invested Capital		236.6	28.2%	236.8	29.3%	-0.1%
Shareholders' Equity		330.6	82.2%	363.7	45.0%	(9.1%)
Net financial position adj for Trade pay due > 12m *		(93.9)	(11.2%)	(126.9)	(15.7%)	(26.0%)
Total Source of Funding		236.6	28.2%	236.8	29.3%	-0.1%
	NFP (Cash) IFRS16	(141.8 m€) excluding		NFP (Cash) (170.6 m€) excluding IFRS16

Strictly private & confidential 34 * Balance sheet net financial position adj for Trade pay due > 12m excludes all the trade payables that will be due after 12 months from the date of reporting, according to ESMA guidelines on 4th March 2021

Thank you

Strictly private & confidential 35