Slide 1: Q2 & H1 2024 results
Q2 & H1 2024 results Turin, Italy – 24th July 2024
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT Statements other than statements of historical fact contained in these slides, including competitive strengths; business strategy; future financial position or operating results; budgets; projections with respect to revenue, income, earnings (or loss) per share, capital expendit
Slide 3: CEO Executive Summary
CEO EXECUTIVE SUMMARY • Solid profitability, despite slightly declining top line, thanks to continuous positive price realisation and cost containment actions • Q2 2024 Consolidated Net Revenues at €3.9bn, 5% down compared to Q2 2023 recast, with Consolidated Adjusted EBIT margin stable at 7.5% Adju
Slide 4: Q2 2024 Iveco Group's Main Achievements
Q2 2024 IVECO GROUP’S MAIN ACHIEVEMENTS • 4th June 2024 • 11th June 2024 • May – July 2024 Memorandum of Understanding signed with Term loan facility for €150mn signed On the road with Metallica with our low- Foton, a leading CV manufacturer in China, with Cassa Depositi e Prestiti to support emissi
Slide 5: Q2 2024 Main Achievements by Industrial Business Unit
Q2 2024 MAIN ACHIEVEMENTS BY INDUSTRIAL BUSINESS UNIT TRUCK BUS • 16th April 2024 • 27th May 2024 IVECO to deliver 100 new HVO*- IVECO BUS increased its presence powered S-Way Fuel Hero trucks to in Brazil: the urban transport Smet Group, Italian transport and operator Rápido Sumaré received logisti
Slide 6: Q2 2024 Main Achievements by Industrial Business Unit
Q2 2024 MAIN ACHIEVEMENTS BY INDUSTRIAL BUSINESS UNIT DEFENCE POWERTRAIN • 28th June 2024 • 29th April 2024 The IVECO – Oto Melara consortium signed the contract for the FPT Industrial and LONGEN POWER, a professional manufacturer supply of 28 Centauro II vehicles, completing the Italian Army’s of g
Slide 7: Q2 2024 Industry Volumes
Q2 2024 INDUSTRY VOLUMES Units (% change vs Q2 2023) Europe(1) South America(2) Rest of the World(3) Worldwide Light Commercial Vehicles +22% (14)% +5% +17% (3.5-7.49t) Medium & Heavy trucks +8% +26% (2)% +5% (≥ 7.5t) Buses +11% (7)% (7)% (2)% (1) The 27 European countries where Commercial Vehicles
Slide 8: Trucks Channel Inventory by Quarter
TRUCKS CHANNEL INVENTORY BY QUARTER Units LCV M&H (3.5-7.49t) (≥ 7.5t) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2019 2020 2021 2022 2023 2024 2019 2020 2021 2022 2023 2024 Iveco Group's inventory (without unfi
Slide 9: Order Intake, Deliveries and Book-to-Bill
ORDER INTAKE, DELIVERIES AND BOOK-TO-BILL Thousands of units, unless otherwise stated LCV M&H Buses (3.5-7.49t) (≥ 7.5t) 35 0.74* 30 0.64 25 20 0.69 0.61 15 10 0.98 0.82* 5 0 Orders Deliveries Orders Deliveries Orders Deliveries Orders Deliveries Orders Deliveries Orders Deliveries Q2 2023 Q2 2024 Q
Slide 10: Focus on Electric Products Deliveries
FOCUS ON ELECTRIC PRODUCTS DELIVERIES Units eLCV eAxles eBuses(1) (3.5-7.49t) ~ 1,900 > 850 > 170 Presented at the end of 2022, first delivery in 2023 H1 2022 H1 2023 H1 2024 H1 2022 H1 2023 H1 2024 H1 2022 H1 2023 H1 2024 Scaling up our heavy-duty Zero-Emission Vehicle (ZEV) range (1) Intercity mod
Slide 11: Market Share in Europe by Quarter
MARKET SHARE IN EUROPE BY QUARTER Preliminary registration units (excluding United Kingdom and Ireland(1)) LCV M&H City and Intercity buses (3.5-7.49t) (≥ 7.5t) 63.6% 53.0% 43.6% 32.5% 10.2% 14.8% 13.3% 8.9% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3
Slide 12: Q2 2024 financials
Q2 2024 financials 2024 financial data shown in this presentation refer to Continuing Operations only, unless otherwise stated. In accordance with applicable accounting standards, the figures in the Income Statement and Statement of Cash Flows for 2023 comparative periods have been recast consistent
Slide 13: Q2 2024 Financial Summary
Q2 2024 FINANCIAL SUMMARY Change vs Q2 2023 recast for Profit & Loss and Cash Flow items, vs 31 st December 2023 for Balance Sheet items Consolidated Industrial Activities €3.9bn Net Revenues €3.8bn €0.63 Adjusted diluted EPS(1) (5.0)% (5.8)% +€0.02 €295mn Adjusted EBIT(1) €264mn €(98)mn Free Cash F
Slide 14: Q2 2024 Net Revenues of Industrial Activities
Q2 2024 NET REVENUES OF INDUSTRIAL ACTIVITIES Split by region and business unit – €mn, unless otherwise stated 13% Change YoY 2% 11% Europe (8)% By region South America (1)% 4,052 3,819 74% North America (21)% INDUST. NET INDUST. NET Rest of the World +7% REVENUES VOLUME AND MIX GROSS PRICING FX REV
Slide 15: Q2 2024 Adjusted EBIT of Industrial Activities
Q2 2024 ADJUSTED EBIT OF INDUSTRIAL ACTIVITIES Walk by driver – €mn, unless otherwise stated 6.8% 6.9% of which Europe +€39mn 276 (98) 165 2 (7) (20) (55) 264 INDUSTRIAL INDUSTRIAL FX | OTHER AND ADJUSTED EBIT VOLUME AND MIX NET PRICING PRODUCTION COST SG&A R&D ADJUSTED EBIT ELIMINATIONS Q2 2023 Q2
Slide 16: Q2 2024 Adjusted EBIT Margin by Industrial Business Unit
Q2 2024 ADJUSTED EBIT MARGIN BY INDUSTRIAL BUSINESS UNIT TRUCK DEFENCE • Adj. EBIT at €190mn, €(35)mn YoY, mainly due to lower volumes, negative • Adj. EBIT at €28mn, +€8mn YoY, driven by higher volumes and a better mix. mix and an adverse foreign exchange rate impact, partially offset by a • Adj. E
Slide 17: Financial Services
FINANCIAL SERVICES Q2 2024, H1 2024 and 30th June 2024 Adjusted EBIT Equity and Return on Assets(1) (2) 2.5% 2.3% 2.1% 2.1% 2.3% 2.3% 2.1% 2.0% 2.0% Q2 2024 €31mn 1.7% 1.7% 1.9% 1.8% 1.9% Q2 2023 €35mn 844 842 836 867 789 768 778 811 724 725 743 740 723 752 H1 2024 €63mn Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q
Slide 18: Q2 2024 Net Cash, Working Capital and FCF of Industrial Activities
Q2 2024 NET CASH, WORKING CAPITAL AND FCF OF INDUSTRIAL ACTIVITIES Walk – 30th June and Q2 2024, €mn Industrial Free Cash Flow: (98) €28mn of BOPREAL subscription 1,282 479 (74) (238) (64) (210) 9 (62) (22) 1,100 CASH OUT FOR CAPITAL INCREASES, NET CASH Δ IN WORKING Δ IN PROVISIONS PP&E CAPEX(2) AND
Slide 19: Debt Maturity Profile and Available Liquidity
DEBT MATURITY PROFILE AND AVAILABLE LIQUIDITY 30th June 2024, €mn Available Liquidity 4,177 Undrawn medium-term committed unsecured credit lines Bank debt Capital market (1) Cash & marketable securities €mn 30th June 2024 31st December 2023 1,900 Cash and cash equivalents 2,252 2,698 Undrawn committ
Slide 20: CEO closing remarks
CEO closing remarks Contains confidential proprietary and trade secrets information of Iveco Group. Any use of this work without express written consent is strictly prohibited.
Slide 21: 2024E Industry Volume Outlook
2024E INDUSTRY VOLUME OUTLOOK Units (% change vs 2023) Europe(1) South America(2) Rest of the World(3) Worldwide Light Commercial Vehicles ~ +5% FLAT FLAT FLAT / +5% (3.5-7.49t) Medium & Heavy trucks (15)% FLAT (5)% / FLAT (10)% (≥ 7.5t) Buses FLAT FLAT (5)% FLAT (1) The 27 European countries where
Slide 22: 2024E Financial Guidance Confirmed Once Again
2024E FINANCIAL GUIDANCE CONFIRMED ONCE AGAIN 2024E Guidance • Such confirmed guidance is based on the solid start of the year and the Group (excluding Fire Fighting business) evolving order backlog, and includes a still prudent view on H2 2024, particularly on pricing dynamics in Q4 Adjusted EBIT(1
Slide 23: CEO's Observations from First 30 Days
CEO’S OBSERVATIONS FROM FIRST 30 DAYS Very good alignment and commitment in top management team and across business 1 units to reach our medium and long-term targets 2 Solid and well-defined product strategy in line with our long-term investment strategy Implementation plans defined and under defini
Slide 24: H1 2024 financials
H1 2024 financials 2024 financial data shown in this presentation refer to Continuing Operations only, unless otherwise stated. In accordance with applicable accounting standards, the figures in the Income Statement and Statement of Cash Flows for 2023 comparative periods have been recast consistent
Slide 25: H1 2024 Industry Volume
H1 2024 INDUSTRY VOLUME Units (% change vs H1 2023) Europe(1) South America(2) Rest of the World(3) Worldwide Light Commercial Vehicles +19% (15)% +15% +17% (3.5-7.49t) Medium & Heavy trucks +2% +8% (2)% +1% (≥ 7.5t) Buses +17% (13)% (6)% (2)% (1) The 27 European countries where Commercial Vehicles
Slide 26: H1 2024 Net Revenues of Industrial Activities
H1 2024 NET REVENUES OF INDUSTRIAL ACTIVITIES Split by region and business unit – €mn, unless otherwise stated 13% Change YoY 2% 10% Europe (2)% By region South America (15)% 7,342 7,102 North America (14)% 75% INDUST. NET INDUST. NET Rest of the World +5% REVENUES VOLUME AND MIX GROSS PRICING FX RE
Slide 27: H1 2024 Adjusted EBIT of Industrial Activities
H1 2024 ADJUSTED EBIT OF INDUSTRIAL ACTIVITIES Walk by driver – €mn, unless otherwise stated 5.7% 6.5% 422 (136) 259 146 (39) (43) (145) 465 INDUSTRIAL INDUSTRIAL FX | OTHER AND ADJUSTED EBIT VOLUME AND MIX NET PRICING PRODUCTION COST SG&A R&D ADJUSTED EBIT ELIMINATIONS H1 2023 H1 2024 Numbers may n
Slide 28: H1 2024 Adjusted EBIT Margin by Industrial Business Unit
H1 2024 ADJUSTED EBIT MARGIN BY INDUSTRIAL BUSINESS UNIT TRUCK DEFENCE • Adj. EBIT at €342mn, €(3)mn YoY • Adj. EBIT at €50mn, +€24mn YoY • Adj. EBIT margin at 7.0%, 30bps up YoY • Adj. EBIT margin at 10.0%, 310bps up YoY H1 2024 7.0% H1 2024 10.0% H1 2023 6.7% H1 2023 6.9% Q2 2024 LTM 5.9% Q2 2024
Slide 29: H1 2024 Net Cash, Working Capital and FCF of Industrial Activities
H1 2024 NET CASH, WORKING CAPITAL AND FCF OF INDUSTRIAL ACTIVITIES Walk – 30th June and H1 2024, €mn €116mn of BOPREAL subscription Industrial Free Cash Flow: (534) 1,886 892 (111) (826) (146) (335) (8) (93) (159) 1,100 CASH OUT FOR CAPITAL INCREASES, NET CASH Δ IN WORKING Δ IN PROVISIONS PP&E CAPEX
Slide 30: Appendix
APPENDIX
Slide 31: Non-EU-IFRS Financial Measures
NON-EU-IFRS FINANCIAL MEASURES Iveco Group monitors its operations through the use of several non-EU-IFRS financial measures. Iveco Group’s management believes that these non-EU-IFRS financial measures provide useful and relevant information regarding its operating results and enhance the readers’ a
Slide 32: Geographic Information
GEOGRAPHIC INFORMATION Financials - The composition of our regions is as follow: • Europe: member countries of the European Union, European Free Trade Association, the United Kingdom, Ukraine and Balkans. • South America: Central and South America, and the Caribbean Islands. • North America: United
Slide 33: Summary Table
SUMMARY TABLE €mn, otherwise stated Q2 2023 H1 2023 Q2 2024 % change H1 2024 % change recast recast Truck 2,565 2,849 (10.0)% 4,904 5,136 (4.5)% Bus 612 500 +22.4% 1,026 907 +13.1% Defence 285 220 +29.5% 498 379 +31.4% Net Revenues Powertrain 980 1,135 (13.7)% 1,949 2,248 (13.3)% Eliminations and ot
Slide 34: Reconciliation Table (1/6)
RECONCILIATION TABLE (1/6) EBIT to Adjusted EBIT by business unit in Q2 2024 & Q2 2023 recast, and Powertrain Adjusted EBIT walk by driver – €mn Unallocated items, Industrial Financial Truck Bus Defence Powertrain Eliminations Consolidated Q2 2024 eliminations & other Activities Services EBIT 186 32
Slide 35: Reconciliation Table (2/6)
RECONCILIATION TABLE (2/6) EBIT to Adjusted EBIT by business unit in H1 2024 & H1 2023 recast, and Powertrain Adjusted EBIT walk by driver – €mn Unallocated items, Industrial Financial Truck Bus Defence Powertrain Eliminations Consolidated H1 2024 eliminations & other Activities Services EBIT 336 53
Slide 36: Reconciliation Table (3/6)
RECONCILIATION TABLE (3/6) €mn, unless otherwise stated Q2 2024 Q2 2023 H1 2024 H1 2023 Reported Net profit (loss) from Continuing Operations 172 161 194 184 (a) Adjustments impacting Profit (Loss) before income tax (expense) benefit from Continuing Operations 11 7 148 61 (b) Adjustments impacting i
Slide 37: Reconciliation Table (4/6)
RECONCILIATION TABLE (4/6) €mn Q2 2024 Q2 2023 H1 2024 H1 2023 Negative impact from the agreement to transfer the Fire Fighting business - - 115 - Costs related to certain claims arising from the EU Commission’s 2016 Antitrust settlement decision 1 5 18 12 Restructuring costs 5 6 10 8 Spin-off costs
Slide 38: Reconciliation Table (5/6)
RECONCILIATION TABLE (5/6) Total (Debt) to Net Cash (Debt) Consolidated Industrial Activities Financial Services €mn 30th June 2024 31st December 2023(6) 30th June 2024 31st December 2023(6) 30th June 2024 31st December 2023 Third party (debt) (5,281) (5,768) (903) (1,191) (4,378) (4,577) Intersegme
Slide 39: Reconciliation Table (6/6)
RECONCILIATION TABLE (6/6) Industrial Free Cash Flow €mn Q2 2024 Q2 2023 H1 2024 H1 2023 Net cash provided by (used in) Operating Activities from Continuing Operations 179 404 (137) (56) - Cash flows from Operating Activities of Financial Services net of eliminations (76) (32) (54) 14 = Operating ca
Slide 40: Q2 2024 Book-to-Bill
Q2 2024 BOOK-TO-BILL Excluding Specialty Vehicles (Defence and Fire Fighting). Book-to-Bill (x) Order intake (#units) Deliveries (#units) Q2 2024 Q2 2023 YoY % Q2 2024 Q2 2023 YoY % Q2 2024 Q2 2023 YoY % Trucks 0.60 0.68 (12)% 17,126 24,720 (31)% 28,437 36,240 (22)% LCV 0.62 0.75 (16)% 13,372 19,443
Slide 41: H1 2024 Book-to-Bill
H1 2024 BOOK-TO-BILL Excluding Specialty Vehicles (Defence and Fire Fighting). Book-to-Bill (x) Order intake (#units) Deliveries (#units) H1 2024 H1 2023 YoY % H1 2024 H1 2023 YoY % H1 2024 H1 2023 YoY % Trucks 0.63 0.86 (26)% 35,199 51,171 (31)% 55,502 59,734 (7)% LCV 0.64 0.93 (31)% 27,438 38,988
Slide 42: IR contacts
IR contacts Federico Donati, Head of Investor Relations Luis Cordova, Investor Relations Claudia Zolin, Investor Relations Specialist Enza Marsala, Investor Relations Assistant E-mail: investor.relations@ivecogroup.com Website: www.ivecogroup.com/investors/contacts Contains confidential proprietary
Slide 43: Thank You
THANK YOU IVECO*GROUP WE GO BEYOND