Erredue S.p.a. · MIL:RDUE
Erredue — ISMO Lugano (November 2024)
27 slides from Erredue's conference presentation, Nov 19, 2024
Slide 1: ISMO-Lugano
ISMO-LUGANO November 19th, 2024 WWW.ERREDUEGAS.IT 1
Slide 2: Speakers
SPEAKERS ENRICO D’ANGELO FRANCESCA BARONTINI FOUNDER CHIEF EXECUTIVE OFFICER ELIANA BOLLINO COMMUNICATION & ESG DEPT. 2
Slide 3: Executive Summary
EXECUTIVE SUMMARY TOTAL BACKLOG €22 M with 35% related to the current year, comprising approx. €5 M from generator sales, approx. €2 M from spare parts and maintenance, and €1 M from leases. The remaining 65% is related to the coming year, A high-tech industrial company in the gas confirming the sig
Slide 4: Hydrogen and Other Gases
HYDROGEN OTHER GASES 1. Industrial Applications 1. Agriculture and Fertilizers 2. Transportation 2. Food and Beverage Industry 3. Power Generation and Storage 3. Pharmaceuticals and Healthcare 4. Residential and Commercial Heating 4. Electronics, Manufacturing, Laser cutting 5. Renewable Energy Inte
Slide 5: Key Success Factors
KEY SUCCESS FACTORS CUSTOMIZATION RELIABILITY FULL SYSTEM OFFERING W H I T E S PA CE I N PI L O T CU S T O M I Z E D F O R P R O JE CT S F O R H 2 DIVERSIFIED P L A N T T O A CH I E V E N E T END-MARKET ZERO EMISSION A P PL I CA T I O N S VERTICALLY SCALABILITY INTEGRATED BUSINESS MODEL EVERY ON-SIT
Slide 6: An Incomparable Track Record, Technology Leader
AN INCOMPARABLE TECHNOLOGY LEADER TRACK RECORD AWE AND PEM EXTENSIVE EXPERIENCE TECH,RELIABLE AND COVERING DECADES, PROVEN PERFORMANCE OVER 20 YEARS OF GUARANTEES EXPERIENCE REVOLUTIONARY NEXT-GENERATION SOLUTIONSLEADERSHIP IN COST AND SCALE COMMITMENT TO INDUSTRY LEADER SUSTAINABILITY SOLUTIONS ALI
Slide 7: Nitrogen
TECNOLOGIA SATURN • LASER • CUTTING • HEAT TREATMENTS • WELDING • ENOLOGYS • SINTERING • PACKAGING • NAVY • JEWELLERY NITROGEN
Slide 8: Main Competitors vs Saturn - ErreDue
MAIN COMPETITORS VS SATURN - ERREDUE 5 ppm < 5 ppm -35°C -75°C 5 bar 7,0-10,0 BAR INLET AIR QUALITY POWER CONSUPTION ≈ 1,2 kW/m3 VS ≈ 0,50kW/m3 MAXIMUM BRILLIANCE WITH ONLY ONE PROCESSING 8
Slide 9: Vertically Integrated Business Model
VERTICALLY INTEGRATED BUSINESS MODEL All design and production know how is internal. ErreDue’s production department is capable of producing in a short time, gas generators of different sizes and related accessories. 01 02 Electrolytic cell Metal shell The heart of the machine, it Component without
Slide 10: Market Overview
The surging global demand for low-emission hydrogen opens up significant growth MARKET OVERVIEW opportunities >300 Mt H2 Government funding for hydrogen in Low-emission hydrogen $308 bn 2023, +46% vs 2022 from electrolysis +3.000x >50 Mt H2 <0,1 Mt H2 Formalized 2030 targets of 119 GW countries’ net
Slide 11: Pipeline H2 Projects - Italy
PIPELINE H2 PROJECTS- ITALY 27MW 11
Slide 12: Pipeline H2 Projects - ROW
PIPELINE H2 PROJECTS- ROW 34MW 12
Slide 13: H2 Revenues
H2 REVENUES The hydrogen segment has seen significant growth, driven by the ecological transition and promising developments in the energy sector. Along with the sharp increase in sales in the first half of the year, there has been a substantial rise in orders for plants to be delivered by 2024, wit
Slide 14: Revenues Breakdown 1H2024
REVENUES BREAKDOWN 1H2024 OTHER PRODUCTS RENTALS OF -73.6% VS 1H23 0.3M GENERATORS +8.5% VS 1H23 HYROGEN 2.6M +40.1% VS 1.2M €7.7M 1H23 OTHER GASES 4.8M -21.7% VS 1H23 1.7M €7.7M SERVICE E SPARE PARTS 4.8M +10.8% VS 1H23 SALES OF REVENUES BREAKDOWN OF GENERATORS BREAKDOWN BY REVENUES BY TYPE -8.3% V
Slide 15: Recurring Revenues
RECURRING REVENUES Long Term Rental After Market • Highly specialised Technical Department takes care of clients • The rental of the plant breaks down the wall of diffidence along all the journey, from plant design to installation, and keeps regarding new technology and its introduction in a product
Slide 16: EBITDA Value and EBITDA Margin
(€M) EBITDA VALUE 5.888 KEY DRIVERS OF THIS TEMPORARY MARGIN 4.353 3.955 IMPACT INCLUDE: 2.824 1.976 1.DELIVERY SHIFTS: Deferred revenues of €1 million affected profitability, reducing margins by approximately €500,000. 2021A 2022A 2023A 2023-1H 2024-1H 2.PRODUCT MIX CHANGES: Focus on larger generat
Slide 17: Capex, Net Financial Position, Working Capital, ROIC
(€M) CAPEX (€M) NET FINANCIAL POSITION (CASH) Tangible Assets Intangible Assets Cash & cash equivalents S-T Financial Credit ML-T Financial Debt S-T Financial Debt 0,08 1,7 0,5 0,8 0,5 2,2 3,4 1,7 0,9 (4,7) (3,2) (7,4) 4,73 (19,0) (14,3) (18,0) 0,00 1,31 1,33 0,01 0,81 2021A 2022A 2023A 1H 2024 (4.0
Slide 18: Strategic Growing
STRATEGIC GROWING NEW PRODUCTION FOREIGN EXPANSION SITE • ErreDue will be able to produce up to 60 • It’s scouting opportunity in Europe and discussing plants per year in a single shift; production partnership agreement with company in Spain, will be doubled in the case of two shifts Portugal and 18
Slide 19: Strategic Positioning
STRATEGIC POSITIONING Leadership in the Strategic Vision of the Opportunities in Large- Proven Technological Hydrogen Market: Quality and Reliability: Small to Medium-Scale Scale Projects: Electrolyzer Niche: ErreDue sees the With over 30 years of By focusing on the 1 to hydrogen market as a ErreDue
Slide 20: New Production Site
NEW PRODUCTION SITE 60 4 plants per year production lines on one shift 17,000 sqm new area increasing to 27,000 sqm total area 20
Slide 21: Foreign Expansion
FOREIGN EXPANSION Industrial Laboratory To improve it presence +20 Countries +50 Countries in the global hydrogen market, ErreDue is considering the opening of new branches abroad or the participation in joint-ventures +40% of revenues abroad 1H 2024 % 1H 2023 % Italy 4,537 59.1% 5,135 65.4% UE 926
Slide 22: ESG Agenda 2030
ESG AGENDA 2030 ErreDue pays a lot of attention to ESG policy and has therefore started a path towards obtaining the major certifications in this area Environment Social Governance The intrinsic nature of ErreDue 's success is ErreDue is actively ErreDue's business is thanks to the engaged in centre
Slide 23: Appendix
APPENDIX 23
Slide 24: About Us / Business Proposition
ABOUT US E rre D u e is a v e rt ica lly in t e g ra t e d co m p a n y , a b le t o d e s ig n a n d b u ild t h e co m p o n e n t s o f it s g e n e ra t o rs t o t a lly in -h o u s e . It s t e ch n o lo g y a n d k n o w h o w , h a v e p e rm it t e d E rre D u e t o o p e n -u p n e w p ro f
Slide 25: The Pioneering Years, The Growing Years, The Years to Come
THE PIONEERING THE GROWING THE YEARS YEARS YEARS TO COME 1986 2000 2016 2000 2016 2023 ErreDue was founded in 2000 Erredue has grown organically The new production site will by Enrico D'Angelo. over the past 20 years and is have an area designated for The company was able to play a one of the compan
Slide 26: Management and Board
CFO COO Francesca Barontini Emiliano Giacomelli BOARD CTO MAINTANCE MANAGER of Mauro Marrucci Alessandro Cremonini DIRECTION CETO R&D Luca Giacomelli Claudio D’Angelo
Slide 27: Thank you
Thank you www.erreduegas.it 27