Interpump Group S.p.a. · MIL:IP
Interpump — ESG Presentation (January 2025)
51 slides from Interpump's sustainability presentation, January 2025
Slide 1: Interpump Group 2023-25 ESG Journey – 2024 Activities Overview
INTERPUMP GROUP 2023-25 ESG JOURNEY – 2024 ACTIVITIES OVERVIEW January 2025
Slide 2: 2023-25 ESG Journey Index
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE ▪ 2024 ESG HIGHLIGHTS ▪ ENVIROMENTAL ▪ SOCIAL ▪ GOVERNANCE ▪ ANNEX 1
Slide 3: Interpump Group at Glance
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE 2
Slide 4: Interpump Group at Glance – A Delivering Group
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – A DELIVERING GROUP ▪ € 2.240m of turnover and € 536m of EBITDA (24% on net sales) in 2023 divided between two divisions − Hydraulics and Water Jetting ▪ Hydraulics: around 75% of Group sales, EBITDA margin around 22% − Wide range of components for mobi
Slide 5: Track Record of Excellence
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – TRACK RECORD OF EXCELLENCE ▪ Since IPO in 1996 a track record of excellence and GROUP 1996-2023 SALES EVOLUTION (€ million) resilience ▪ Sales: only 4 years of decrease driven by strategic 2020: COVID crisis Sales: -5.4% activities review (1) or extrao
Slide 6: Track Record of Excellence – FCF and Cash Conversion
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – TRACK RECORD OF EXCELLENCE ▪ FCF: growing generation and consistent GROUP 1996-2023 FCF EVOLUTION (€ million) exploitation in worsening environment – EBITDA excellence and resilience 250.0 – TWC proactive management 200.0 • Customer quality 150.0 • Tac
Slide 7: Sales Diversification
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – SALES DIVERSIFICATION GROUP 2023 sales: € 2.240m PACIFIC AREA: 11% OTHERS: 1% EARTH MOVING MACHINE: 8% GENERIC DEALERS: 16% CONSTRUCTION: 8% REST of THE WORLD: 9% CLEANING: 5% AGRICOLTURE: 10% GENERIC CONTRACTORS: 3% EUROPE: 52% OTHER INDUSTRIAL SECTOR
Slide 8: Market Diversification
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – MARKET DIVERSIFICATION WATER JETTING HYDRAULICS HIGH PRESSURE PUMPS DEVICES FLOW HANDLING COMPONENTS & SYSTEMS • Power take-offs, cylinders, hydraulic motors & gear • Piston pumps 1-2,000hP used in • Stainless steel agitators, mixers, pumps, valves hig
Slide 9: Brand & Product Diversification
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – BRAND&PRODUCT DIVERSIFICATION WATER JETTING HYDRAULICS HIGH PRESSURE PUMPS FLOW HANDLING COMPONENTS DEVICES & SYSTEMS INTERPUMP BERTOLI INTERPUMP HYDRAULICS PRATISSOLI Homogenizers WALVOIL – WHITE - EUROFLUID MUNCIE POWER Directional control valves, AL
Slide 10: Brand & Product Diversification – Applications
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – BRAND&PRODUCT DIVERSIFICATION HYDRAULICS WATER JETTING TRUCK OUTFITTERS FOOD, COSMETICS (1) AUTOMOTIVE EARTH MOVING Tipping trucks High-pressure homogenizers Rail engine heads deburring Excavators Trash collection Water-jet food cutting, Bodywork cutti
Slide 11: Strategy Milestones
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – STRATEGY MILESTONES FLEXIBILITY • Vertically integrated manufacturing DIVERSIFICATION (wherever possible) Product mix and sales strategy • Across the widest possible range • Use of general-purpose programmable of applications, products, can adapt fast
Slide 12: Strategy Milestones
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – STRATEGY MILESTONES Volatility reduction through multiple cycles exposure Effective reaction to unexpected swings FLEXIBILITY • Vertically integrated manufacturing DIVERSIFICATION (wherever possible) Product mix and sales strategy • Across the widest p
Slide 13: 2023-25 Commitments
2023-25 ESG JOURNEY INTERPUMP GROUP AT GLANCE – 2023-25 COMMITMENTS ▪ 2023-25 commitments, 1 target with 2 guidelines (1) 2022-25 GROUP EXPECTED SALES EVOLUTION (1) 3,500 2022-2025 sales growth: +25% ▪ One target: sales 3,000 – around 25% of total growth(2) 2,500 2,000 ▪ Two guidelines: profitabilit
Slide 14: 2024 ESG Highlights
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE ▪ 2024 ESG HIGHLIGHTS 13
Slide 15: Highlights
2023-25 ESG JOURNEY HIGHLIGHTS ▪ All 2024 ESG Plan actions delivered(1) – Building Group ESG foundation ▪ Multi annual actions delivery on track – S.4 action of 2025 - Global Mobility Program – anticipated to 2024 ▪ Each action drove Group enhancement – CPPA(1): for the first time a coordinated and
Slide 16: Highlights – Concreteness
2023-25 ESG JOURNEY HIGHLIGHTS – CONCRETENESS “A falling tree makes more noise than a growing forest” Lao Tzu 15
Slide 17: Three Priorities for Three Pillars
2023-25 ESG JOURNEY HIGHLIGHTS – THREE PRIORITIES FOR THREE PILLARS SUPPORTED GRI 2023-2025 KEY TARGETS and SDG ▪ Definition of Group “Carbon neutrality” strategy 2023 E ▪ Reduction of Group “Carbon intensity” 2025 ▪ Increase of renewed electricity consumption 2025 305-1 and 2 302-1 ▪ Injury rate im
Slide 18: A Delivering Group
2023-25 ESG JOURNEY HIGHLIGHTS – A DELIVERING GROUP ANALYSIS AND MEASUREMENT BUILDING GROUP LEADING TO ESG FOUNDATIONS 2030 AND 2050 DECARBONISATION TARGETS 2022 2023 2024 2025 2027 ▪ E.1 - Carbon neutrality strategy ▪ E.2 - Carbon intensity reduction ▪ E.4 - Circular economy (phase 1) ▪ E.3 - Incre
Slide 19: Environmental
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE ▪ 2024 ESG HIGHLIGHTS ▪ ENVIROMENTAL For additional information, see please presentations “Corporate Power Purchase Agreement presentation - 21 November 2024” and “Eco-Design Guidelines for Group products – 20 December 2024” on Group web site 18
Slide 20: Environmental – Climate Change
2023-25 ESG JOURNEY ENVIROMENTAL – LEADING TO 2030-50 TARGETS ▪ 3 main streams – Climate change – Product life cycle – Water efficiency ACTION ID DESCRIPTION GRI and SDG KPI TIMING Carbon neutrality strategy definition ▪ To be applied to the entire Group perimeter and to all Base year: 2022 E.1 carb
Slide 21: Environmental – Product Life Cycle
2023-25 ESG JOURNEY ENVIROMENTAL – LEADING TO 2030-50 TARGETS ACTION ID DESCRIPTION GRI and SDG KPI TIMING Circular economy – Phase 1 Base year: 2022 ▪ Waste assessment and potential by-products analysis E.4 N.A. Target year: ▪ Network with partner entities at regional level 2023 ▪ Pilot project in
Slide 22: Corporate Power Purchase Agreement
2023-25 ESG JOURNEY ACTIONS E.2 & E.3 – CORPORATE POWER PURCHASE AGREEMENT POWER PURCHASE POWER AGREEMENT MAIN FEATURES Plant technology Photovoltaic – New plant Plant location Italy PPA typology Physical sleeved (1) Consumption volumes 20GWh Contract length 10 years, starting from 1° January 2025 P
Slide 23: Product Eco-Design Guidelines
2023-25 ESG JOURNEY ACTIONS E.7 – PRODUCT ECO-DESIGN GUIDELINES ▪ Eco-Design guidelines are crucial to define fundamental parameters and objectives which will drive actions and decisions of the entire Group network – Each subsidiaries will define operational procedures to implement guidelines in the
Slide 24: Eco-Design Guidelines – Aspiration
2023-25 ESG JOURNEY ACTIONS E.7 – PRODUCT ECO-DESIGN GUIDELINES – ASPIRATION REUSE AVOID WASTE CREATION RECYCLE REPAIR 23
Slide 25: Eco-Design Guidelines – Principles
2023-25 ESG JOURNEY ACTIONS E.7 – PRODUCT ECO-DESIGN GUIDELINES – PRINCIPLES CORE PRINCIPLES GOALS ▪ Increased use of renewable energy sources Efficient material ▪ Seeking design solutions to reduce materials used while preserving performance levels management ▪ Adopt cross-product logics to optimis
Slide 26: Social
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE ▪ 2024 ESG HIGHLIGHTS ▪ ENVIROMENTAL ▪ SOCIAL For additional information, see please presentation “Responsible Supply Chain – January 2025” on Group web site 25
Slide 27: Social – Expanding the Silent Growing Forest
2023-25 ESG JOURNEY SOCIAL – EXPANDING THE SILENT GROWING FOREST ▪ 4 main streams – Health & safety – People development – Responsible supply chain – Diversity & inclusion ACTION ID DESCRIPTION GRI and SDG KPI TIMING DEVELOPMENT Global mobility program Base year: 2022 PEOPLE ▪ Define and implement a
Slide 28: Global Mobility Program
2023-25 ESG JOURNEY ACTION S.4 – GLOBAL MOBILITY PROGRAM (1) GLOBAL MOBILITY PROGRAM 4 GOALS Group strategy Group 2023-25 ESG Journey Professional growth Value creation implementation alignment fast track Mobility is key tool for driving Mobility is a key lever Mobility promotes Mobility accelerates
Slide 29: Responsible Supply Chain
2023-25 ESG JOURNEY ACTION S.6 – RESPONSABLE SUPPLY CHAIN ▪ Approach: leverage on existing best practices at subsidiaries level ▪ Methodology: internally performed activities – Harmonise business model variety between and inside divisions – Overcome decentralised organisation at operational level –
Slide 30: Responsible Supply Chain – Scope
2023-25 ESG JOURNEY ACTION S.6 – RESPONSABLE SUPPLY CHAIN ▪ Focus: “Cost of sales”, the most important cost item of P&L – 4 most important cost items • Purchase of raw materials, semi-finished products, finished products • External manufacturing costs • Consumable tools • Consumables ▪ Sample: all I
Slide 31: Responsible Supply Chain – Evaluation Model
2023-25 ESG JOURNEY ACTION S.6 – RESPONSABLE SUPPLY CHAIN 2023 – S.5: ESG supply chain evaluation model definition 2024 – S.6: ESG supply chain evaluation model extension ▪ Walvoil evaluation model finetuned by ESG corporate function – Inclusion of Hydraulics other business model features – Adaptati
Slide 32: Responsible Supply Chain – Next Steps
2023-25 ESG JOURNEY ACTION S.6 – RESPONSABLE SUPPLY CHAIN 2023 – S.5: ESG supply chain evaluation model definition 2024 – S.6: ESG supply chain evaluation model extension Next steps ▪ Possible next steps – Based on 2024 data collection • Evaluation model finetuning – Based on 2025 and 2026 data coll
Slide 33: Governance
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE ▪ 2024 ESG HIGHLIGHTS ▪ ENVIROMENTAL ▪ SOCIAL ▪ GOVERNANCE For additional information, see please presentation “Tax Compliance Consolidation – 14 November 2024” on Group web site 32
Slide 34: Governance – Building ESG Foundations
2023-25 ESG JOURNEY GOVERNANCE – BUILDING ESG FOUNDATIONS ▪ 3 main streams – ESG as governance cornerstone – Spread of ESG principles, actions and results inside and outside the Group – Tax compliance consolidation in line with best practices ACTION ID DESCRIPTION GRI and SDG KPI TIMING Tax complian
Slide 35: Tax Compliance Consolidation
2023-25 ESG JOURNEY ACTION G.4 – TAX COMPLIANCE CONSOLIDATION EXTERNAL REGULATORY FRAMEWORK GROUP CODE of ETHICS 2013 & 2016 OCSE Guidelines (1) - D. Lgs. 128/2015 (2) TAX CONTROL FRAMEWORK TAX STRATEGY Goals – Principles – Guidelines - Application TAX COMPLIANCE MODEL (1) 2013: Cooperative Complian
Slide 36: Tax Compliance Consolidation – TCF
2023-25 ESG JOURNEY ACTION G.4 – TAX COMPLIANCE CONSOLIDATION – TCF TAX CONTROL FRAMEWORK Detect, measure, manage and control the tax risk 4 GOALS Tax regulations application Sustainable development Tax and reputational risk Tax culture spread consistency and reliability and Group asset integrity mi
Slide 37: Tax Compliance Consolidation – Next Steps
2023-25 ESG JOURNEY ACTION G.4 – TAX COMPLIANCE CONSOLIDATION – NEXT STEPS 2025 2026-27 ▪ Interpump Group S.p.A TCF model and controls testing ▪ Interpump Group S.p.A. TCF model finetuning – “Test of design” and “test of effectiveness” – Annual ongoing activity ▪ Evaluation of possible extension to
Slide 38: Tax Compliance Consolidation – Next Steps
2023-25 ESG JOURNEY ACTION G.4 – TAX COMPLIANCE CONSOLIDATION – NEXT STEPS 2028 ▪ Interpump Group S.p.A. TCF model finetuning – Annual ongoing activity ▪ Other Group Italian entities TCF model finetuning – Annual ongoing activity Pending release of implementation guidelines by Italian Tax Authoritie
Slide 39: Annex
2023-25 ESG JOURNEY INDEX ▪ INTERPUMP GROUP AT GLANCE ▪ 2024 ESG HIGHLIGHTS ▪ ENVIROMENTAL ▪ SOCIAL ▪ GOVERNANCE ▪ ANNEX For additional information on Group 2023-2025 ESG plan, see please on Group web site the presentation “2023-2025 ESG Journey – 5th October 2022” 38
Slide 40: Annex – Disclaimer
2023-25 ESG JOURNEY ANNEX – DISCLAIMER This document has been prepared by Interpump Group S.p.A for Company shares and neither this entire document or a portion of it use during meetings with investors and financial analysts and is may constitute a recommendation to affect any transaction or to sole
Slide 41: Annex – Disclaimer
2023-25 ESG JOURNEY ANNEX – DISCLAIMER The Group uses several alternative measures that are not identified as accounting parameters in the framework of IFRS standards, to allow better evaluation of the trend of economic operations and the Group's financial position. Such indicators are also tools th
Slide 42: Abstract from 2023-2025 ESG Journey
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY ▪ Group “2023-2025 ESG journey” − The first project at Group level ▪ Concrete and precise actions: 20 targets to be delivered − 12 to be delivered in the next two years to built Group ESG foundations − 8 to be executed before 2025(1) to
Slide 43: Abstract – E: Climate Change
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY E ▪ 3 main streams • Climate change • Product life cycle • Water efficiency ▪ Formalisation of Group “E” strategy and policies is the cornerstone ACTION ID DESCRIPTION GRI and SDG KPI TIMING Carbon neutrality strategy definition CLIMATE
Slide 44: Abstract – E: Climate Change and Product Life Cycle
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY E ACTION ID DESCRIPTION GRI and SDG KPI TIMING K.P.I. Carbon intensity reduction tCO2eq/€ (1) ▪ Focus on Scope 1 and 2 Base year: 2021 E.2 ▪ Main leverages: photovoltaic plants installation Target: -30% Target year: 2025 and renewable p
Slide 45: Abstract – E: Water Efficiency
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY E ACTION ID DESCRIPTION GRI and SDG KPI TIMING WATER EFFICIENCY Water monitoring system ▪ Phase 1: mapping of the installed water Base year: 2022 E.6 monitoring systems across the Group N.A. Target year: 2025 ▪ Phase 2: implementation o
Slide 46: Abstract – S: Health & Safety
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY S ▪ 4 main streams • Health & safety • People development • Responsible supply chain • Diversity & inclusion ▪ “Pilot projects” will be crucial to capitalise on already existing best practices at subsidiaries level • Walvoil for “ESG su
Slide 47: Abstract – S: People Development
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY S ACTION ID DESCRIPTION GRI and SDG KPI TIMING HEALTH & SAFETY K.P.I. % Group turnover ISO 45001 extension Base year: 2021 S.2 ▪ Focus on subsidiaries with manufacturing sites Target year: 2027 Base: 22% Target: 45% K.P.I. Increase of n
Slide 48: Abstract – S: Responsible Supply Chain
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY S ACTION ID DESCRIPTION GRI and SDG KPI TIMING RESPONSABLE SUPPLY CHAIN ESG supply chain evaluation model extension ▪ First focus on Italy (100% of manufacturing Base year: 2023 S.6 N.A. subsidiaries) Target year: 2024 ▪ Feasibility stu
Slide 49: Abstract – G: ESG Cornerstone
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY (1) G ▪ 3 main streams • ESG as governance cornerstone • Spread of ESG principles, actions and results inside and outside the Group • Tax compliance consolidation in line with best practices ▪ “G” actions will follow the natural path of
Slide 50: Abstract – G: ESG Principles-Actions-Results
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY G ACTION ID DESCRIPTION GRI and SDG KPI TIMING ESG PRINCIPLES-ACTIONS-RESULTS Base year: 2022 Code of Ethics revision G.2 N.A. Target year: ▪ To reflect ESG principles in Code of Ethics 1H2023 SPREAD Succession plan formalization Base y
Slide 51: Abstract – G: ESG Principles-Actions-Results
2023-25 ESG JOURNEY ANNEX – ABSTRACT FROM 2023-2025 ESG JOURNEY G ACTION ID DESCRIPTION GRI and SDG KPI TIMING ESG PRINCIPLES-ACTIONS- RESULTS SPREAD Base year: 2022 Updating on ESG journey G.6 N.A. Target year: ▪ Periodic updating on actions implementation annual 50