Nemak SAB de CV · BMV:NEMAK/A

Nemak SAB de CV — Q2 2025 Earnings Presentation

28 slides from Nemak SAB de CV's earnings presentation, July 2025

  1. Slide 1: 2Q25 Results

    2Q25 Results July 2025 ©Nemak | Public

  2. Slide 2: 2Q25 Results

    2Q25 Results July 2025 ©Nemak | Public

  3. Slide 3: Agenda

    Agenda • 2Q25 Highlights • Financial Overview • Q&A Armando Tamez Alberto Sada Denise Reyes CEO CFO IRO ©Nemak | Public

  4. Slide 4: Forward-Looking Statement

    FORWARD-LOOKING STATEMENT This presentation contains forward-looking information based on numerous variables and assumptions that are inherently uncertain. They involve judgments with respect to, among other things, future economic, competitive and financial market conditions and future business dec

  5. Slide 5: 2Q25 positive results

    2Q25 positive results EBITDA growth 12% y-o-y • Stable top line and sustained margin performance • Effectiveness of corporate strategy ©Nemak | Public

  6. Slide 6: Cost reduction initiatives

    Cost reduction initiatives • Disciplined SG&A expenses management • Manufacturing costs optimization • Labor efficiency improvement ©Nemak | Public

  7. Slide 7: North America's trade environment

    North America’s trade environment • Neither Nemak nor its customers have incurred in tariffs for our components • Ability to comply with current USMCA requirements ©Nemak | Public

  8. Slide 8: Stable operations, aligned with anticipated volumes

    Stable operations, aligned with anticipated volumes Close communication with customers, monitoring any potential volume shifts ©Nemak | Public

  9. Slide 9: Successful production ramp-up at new facility in the Czech Republic

    Successful production ramp-up at new facility in the Czech Republic • Production of EV components • Adaptation to evolving customer needs • Advanced manufacturing capabilities ©Nemak | Public

  10. Slide 10: Rest of World performance

    Rest of World performance • Strong execution & technical expertise • Steady EBITDA growth • Resilience across dynamic market environment ©Nemak | Public

  11. Slide 11: Strengthening operational performance through innovation

    Strengthening operational performance through innovation • Expansion of efficiency projects in HPDC • Proven strong results in initial locations • Aim to boost productivity and reduce costs ©Nemak | Public

  12. Slide 12: Cost optimization and product enhancement

    Cost optimization and product enhancement • Development of innovative joining solutions • Key role of Frankfurt Engineering Center • Strengthening operational performance through innovation ©Nemak | Public

  13. Slide 13: Collaborating for sustainable innovation

    Collaborating for sustainable innovation • Joint R&D capabilities & expertise on aluminum alloys • Committed to reducing emissions through innovation • Partnership with Hydro ©Nemak | Public

  14. Slide 14: Nemak earned an "A" score in Supplier Engagement Rating by CDP

    Nemak earned an “A” score in Supplier Engagement Rating by CDP ©Nemak | Public

  15. Slide 15: Top Employer Recognition

    Top Employer Recognition Highlights positive culture and strong sense of purpose ©Nemak | Public

  16. Slide 16: Financial Results

    Financial Results ©Nemak | Public

  17. Slide 17: Solid performance in 2Q25 EBITDA growth 12% y-o-y

    Solid performance in 2Q25 EBITDA growth 12% y-o-y • FCF improvement due to EBITDA increase, lower capex & streamlined working capital • On track to meet 2025 Guidance ©Nemak | Public

  18. Slide 18: Industry performance by region

    Industry performance by region Vehicle SAAR (M Units) Vehicle Production (M Units) 30.0 10.0 28.2 9.5 26.7 27.1 25.2 9.0 24.7 25.0 China 8.0 7.2 6.6 7.2 6.9 7.0 20.0 16.5 16.5 16.5 6.0 16.2 15.6 USA 15.0 16.2 16.1 5.0 15.7 15.3 15.9 4.1 3.9 4.0 3.9 3.8 4.0 4.1 3.9 10.0 3.6 3.8 Europe 3.0 3.4 2.0 5.0

  19. Slide 19: Volume was 9.8 M Eq. units

    Volume was 9.8 M Eq. units 4% lower y-o-y • Lower light-vehicle production in Europe • OEMs Inventory correction strategies ©Nemak | Public

  20. Slide 20: Revenue was US$1.27 B

    Revenue was US$1.27 B 1% higher y-o-y Favorable pricing, FX, and product mix offset lower volume ©Nemak | Public

  21. Slide 21: EBITDA was US$182 M

    EBITDA was US$182 M 12% higher y-o-y • Improved product mix and pricing • Higher profitability and cost discipline Unitary EBITDA was US$18.5, +16% y-o-y ©Nemak | Public

  22. Slide 22: Operating income was US$77 M

    Operating income was US$77 M 35% higher y-o-y • Operating efficiencies • Asset impairments in 2Q24 Net result was -US$24 M ©Nemak | Public

  23. Slide 23: Net Debt was US$1.61 B

    Net Debt was US$1.61 B 8% lower, y-o-y • Net-debt-to-EBITDA ratio was 2.5x by the end of the quarter, vs 2.9x in 2Q24 • Interest coverage ratio was 4.9x versus 4.7x in 2Q24 ©Nemak | Public

  24. Slide 24: Capex was US$73 M

    Capex was US$73 M 8% lower y-o-y • Investment optimization leveraging existing assets • Selective approach on new business ©Nemak | Public

  25. Slide 25: Summary of Regional Results

    Summary of Regional Results Revenues 2Q25 2Q24 % Var. North America 687 668 2.7 Europe 411 438 (6.0) Rest of World 171 156 9.3 Total 1,269 1,262 0.6 EBITDA 2Q25 2Q24 % Var. North America 89 71 25.1 Europe 68 67 0.6 Rest of World 25 24 3.4 Total 182 163 11.7 ©Nemak | Public

  26. Slide 26: Focus on operating efficiency, margin expansion, and robust FCF generation

    Focus on operating efficiency, margin expansion, and robust FCF generation Well-positioned to create long-term value for all our stakeholders, backed by strong liquidity and a resilient strategy ©Nemak | Public

  27. Slide 27: Q&A

    Q&A ©Nemak | Public

  28. Slide 28: For more information contact us

    For more information contact us at: investors.nemak.com investor@nemak.com ©Nemak | Public

Nemak — Q2 2025 Earnings Presentation on 6ix