Slide 1: 2025 Half Year Results
2025 Half Year Results Six months ended 30 June 2025 Nimesh Patel Group Chief Executive Officer Louisa Burdett Group Chief Financial Officer
Slide 2: Overview
Overview 2 Trading in line with expectations; reiterating full year guidance • Group organic growth in sales of 3% and profit of 7% in line with expectations • Group margin of 19.3%, 70bps higher organically • Focused on delivering against operational priorities in a challenging macroeconomic enviro
Slide 3: Demand drivers: global industrial production
Demand drivers: global industrial production 3 IP forecasts revised downwards, consistent with our expectations IP weak in key markets in H1 % 2024 Sales H1 25 IP H2 25 IP USA 28% 1.1% 0.8% Germany 9% (1.4)% 1.8% France 8% (0.7)% (0.4)% Italy 5% (1.1)% 1.3% UK 7% (0.1)% 0.9% Global (excl. China) 1.7
Slide 4: Demand drivers: STS China and Korea
Demand drivers: STS China and Korea 4 STS sales up 3% excluding large projects in China and Korea STS sales in line organically year-on-year China and Korea: ~20% STS sales £413m (FX adjusted) £414m Korea Large projects • H1 impacted by political instability ~60% China & • Post elections, trading im
Slide 5: Demand drivers: Biopharm
Demand drivers: Biopharm 5 Demand recovery continuing with over 10% growth in the first half Biopharm: ~50% WMFTS sales • Double-digit demand growth in 2024 • Over 10% demand growth in H1 • Orders exceed sales for first time since 2021 peak • Strong order growth from end-users • OEM demand also now
Slide 6: Financial review
Financial review Louisa Burdett Group Chief Financial Officer
Slide 7: Financial summary
Financial summary 7 Trading in line with expectations 6 months to 30 June (£m) 2025 2024 Reported Organic* Revenue 822.2 827.0 (1)% 3% Adjusted operating profit 158.8 160.3 (1)% 7% Adjusted operating profit margin 19.3% 19.4% (10)bps 70bps Net finance expense (18.6) (21.9) Adjusted pre-tax profit 13
Slide 8: Sales bridge
Sales bridge 8 Organic growth ahead of IP H1 2025 H1 2024 Year-on-year organic growth £m £m H1 2025 H1 2024 STS 414.2 430.8 - (1)% ETS 212.3 197.7 10% 5% WMFTS 195.7 198.5 2% 3% Group 822.2 827.0 3% 1%
Slide 9: Adjusted operating profit bridge
Adjusted operating profit bridge 9 Margin ahead organically Trading Profit (£m) Year-on-year organic growth Trading Margin Organic Change H1 2025 H1 2024 H1 2025 H1 2024 H1 2025 H1 2024 YoY STS 97.0 101.2 3% (2)% 23.4% 23.5% 60 bps ETS 31.8 29.1 12% 12% 15.0% 14.7% 30 bps WMFTS 50.6 48.8 12% 2% 25.9
Slide 10: Adjusted cash flow
Adjusted cash flow 10 Strong cash conversion from working capital management and lower capex Cash flow (£m) 30 June 2025 30 June 2024 • Cash conversion significantly ahead Adjusted operating profit 158.8 160.3 Capital expenditure (net) (34.3) (39.7) • Capex discipline Working capital changes (48.6)
Slide 11: Drivers of H2 growth
Drivers of H2 growth 11 Shipments from strong order books and continued execution of operational priorities Sales Group Margin • Delivery of Commercial Excellence initiatives • Order book shipments • China weakness moderating Sales drop-through • Korea improving • Continuing strong demand environmen
Slide 12: Reiterating full year outlook
Reiterating full year outlook 12 Organic growth in sales, profit and margin Revenue Profit Restructuring • Organic revenue growth • Adjusted margin ahead of FX • One-off restructuring costs, consistent with 2024 adjusted 19.4% in 2024 ~£35m (cash) plus ~£5m (non-cash) • Growth well ahead of IP • Mid
Slide 13: Executing our strategy
Executing our strategy Nimesh Patel Group Chief Executive Officer
Slide 14: Together for Growth
Together for Growth 14 Three engines of growth with a Capturing opportunity For long term, common business model through our strategy compounding growth Commercial Excellence Growth > 2x IP Operational Excellence 2,150 direct sales engineers Margins > 23% 60% sales to defensive sectors £17bn Organis
Slide 15: Operational priorities
Operational priorities 15 Focused actions to enhance our effectiveness, efficiency and support investment in growth Commercial Excellence Operational Excellence Organisational Fitness How we drive growth How we improve margins How we become more effective Focus on MRO and solution-sales Procurem
Slide 16: Commercial Excellence
Commercial Excellence 16 Driving growth in a challenging macroeconomic environment WMFTS US distribution engagement with UK water players STS USA – partnering with ETS – winning in new end WMFTS – leveraging industry distributors markets expertise • Redefined distributor strategy to drive • Partnere
Slide 17: Investing in our future
Investing in our future 17 How we enhance long term compounding growth Digital and Services Customer relationship Direct sales capability • Added 400+ customer sites • ‘MiM’ LLM deployed to 100+ users Our products • Machine-learning-enabled pumps • Sensors and monitoring • Diagnostic kits and optimi
Slide 18: Decarbonisation opportunity
Decarbonisation opportunity 18 Leveraging our unique expertise and building capability within our teams Integrated Thermal Energy Optimisation TargetZero PoweringZero Energy Assessment STS and ETS SteamVolt Expanded Value Proposition Integrating steam and electric Building on strong heritage of ener
Slide 19: Summary
Summary 19 Delivering demand First half in line Focused on controllables growth through our with expectations and operational priorities Business Model Operational Targeted investments Organic sales improvements support long term, and profit growth supporting growth compounding growth outperforming
Slide 20: Appendix
Appendix
Slide 21: Appendix I: Impact of 2025 FX headwinds on 2024 financial performance
Appendix I 21 Impact on 2024 reported financial performance from 2025 FX headwinds Margin 20.1% Margin 19.6%
Slide 22: Appendix II: Exchange rate exposure and impacts
Appendix II 22 Exchange rate exposure and impacts Proportion of Group results* Average exchange rates Sales Profit Average H125 Average H124 Change Euro 30% 35% 1.19 1.17 (2)% US dollar 25% 25% 1.30 1.26 (3)% Renminbi 10% 20% 9.41 9.11 (3)% Won 4% 5% 1,857.9 1,708.3 (9)% Real 3% 4% 7.50 6.47 (16)% A
Slide 23: Appendix III: Reconciliation of operating profit to adjusted operating profit
Appendix III 23 Reconciliation of operating profit to adjusted operating profit The Group uses adjusted figures as key performance measures in addition to those reported under IFRS. The Group’s management believes these measures provide valuable additional information for users of the financial stat
Slide 24: Appendix IV: Additional guidance
Appendix IV 24 Additional guidance (for modelling purposes) 2024 Actual 2025 Guidance Revenue: 5% adverse Revenue: 3% adverse Exchange rate impact Adjusted Operating Profit: 8% adverse Adjusted Operating Profit: 6% adverse Corporate costs £34m £40m Cash costs: ~£35m Exceptional restructuring costs -
Slide 25: Appendix V: Environmental and social progress
Appendix V 25 Environmental and social progress Key strategic targets: • On track to achieve net zero scopes 1 and 2 GHG emissions by 2030, having exceeded a 50% reduction (vs. 2019 baseline), ahead of target • On track to achieve a 20% reduction (vs. 2019 baseline) in Group energy usage from plant,