Rai Way Spa · MIL:RWAY
Rai Way Spa — FY 2024 Earnings Presentation
26 slides from Rai Way Spa's earnings presentation, Mar 19, 2025
Slide 1: FY 2024 Results Presentation
FY 2024 Results Presentation 19th March 2025
Slide 2: Disclaimer
Disclaimer Forward-looking statements This presentation contains forward-looking statements regarding future events and the future results of Rai Way that are based on current expectations, estimates, forecasts, and projections about the industries in which Rai Way operates, as well as the beliefs a
Slide 3: Speakers
Speakers Roberto Cecatto, Chief Executive Officer Adalberto Pellegrino, Chief Financial Officer Giancarlo Benucci, Chief Corporate Development Officer /3/
Slide 4: Net income almost tripled in ten years
Net income almost tripled in ten years Adj. EBITDA, pre and after leases1 (€m) Adjusted EBITDA margin, pre and after leases1 185,6 Pre-leases +12,6pps 180,3 +66,3% 66,3% 67,2% Pre-leases 62,2% 61,5% 151,0 59,3% 60,6% 142,9 131,2 136,1 53,4% 62,3% 63,3% After leases 169,4 174,8 After leases 50,7% 51,
Slide 5: Key messages on 2024: focus on execution
Key messages on 2024: focus on execution Financial Results – 2024 slightly above initial expectations thanks to stronger performance of traditional business: • Core Revenues up 1,5% vs 2023, with an acceleration in the 4Q (+2,7%; Third Parties up 9,1%) supported by first contribution from diversific
Slide 6: FOCUS ON: RAI DAB coverage extension contract
FOCUS ON: RAI DAB coverage extension contract CURRENT 62 ~56% • Roll-out period: 2025-26 COVERAGE sites population converage • Estimated development investment: ~ € 15m • Project IRR in line with Industrial Plan target + 70%+ of the development AFTER ~270 ~85% investment for RAI assumed in the EXTEN
Slide 7: FOCUS ON: Edge DC commercialization
FOCUS ON: Edge DC commercialization Potential revenue backlog from offers submitted as of today(1): ~€5,8m Value ~€500k o/w already contractualized proposition: Partnership ecosystem • Proximity with 25 system integrators • Quality ~30 >200 in 2025, so far • Carrier- neutrality • Interconnection Dir
Slide 8: FY 2024 Financial highlights
FY 2024 Financial highlights Core revenues (€m) Adjusted EBITDA (€m) Net Income (€m) Adjusted EBITDA margin +1,5% +2,9% +3,7% 271,9 276,1 180,3 185,6 86,7 89,9 66,3% 67,2% 2023FY 2024FY 2023FY 2024FY 2023FY 2024FY Capex1 (€m) Net Debt (Cash) (€m) Cash Conversion2 Net Debt/Adjusted EBITDA 62,2 127,6
Slide 9: Core revenues
Core revenues New breakdown +1,5% Underlying(1) growth at +3,9% (+5,8% in the 271,9 276,1 3Q alone) • Media Distribution up 1,4% (+2,4% in 4Q) driven by: − Digital Infrastructure 31,0 31,7 +2,4% o CPI (+0,7% for main contract) o DTT coverage improvement 244,4 o Existing DAB network reconfiguration (
Slide 10: Opex (excluding non-recurring)
Opex (excluding non-recurring) • Personnel cost up approx. 3% YoY when excluding higher level of capitalization compared to 2023 and other non-recurring items -0,2% 92,6 92,4 • Other Operating costs broadly stable YoY as a result of: o Energy bill up 14,0% (or € +1,8m) mostly due to higher prices fo
Slide 11: P&L
P&L Eur Mln, % 4Q2023 4Q2024 % YoY 2023FY 2024FY % YoY • 2024 Net Income up by 3,7% at € 89,9m: Core Revenues 67,8 69,6 2,7% 271,9 276,1 1,5% o Higher Adj. EBITDA (+2,9% or +5,3m) and profitability 1) Other Revenues & income 0,5 0,2 0,9 1,9 o Traditional business still on a healthy growth trajectory
Slide 12: Net Debt bridge
Net Debt bridge IFRS-16 Debt 33,6m Gross Debt 107,5m Cash&Eq(5) -13,5m IFRS-16 Debt 37,8m Gross Debt 101,5m Cash&Eq(5) -34,4m 127,6 Mainly related to 104,9 capex payment 86,5 Including € 39,6m of development 0,69x 0,58x capex 8,1 16,4 (185,3) 6,6 35,4 54,9 Net Debt 2023YE EBITDA Capex(1) Taxes(2) Fi
Slide 13: 2024 Recurring cash generation and dividend proposal
2024 Recurring cash generation and dividend proposal 90 ● Dividend proposal of 33,40 €cent/share (pay-out ratio of 99,8% of Net Income), with a dividend yield(4) of 5,7% 175 (6) ● Approx. € 672m distributed to Shareholders since listing (36) (83,7% of IPO market cap), when including the proposed div
Slide 14: Sustainability Plan 2024-2027: targets achieved
Sustainability Plan 2024-2027: targets achieved Sustainability Plan 2024-27 2024 - Accomplishments ESG Ratings • Completion of construction of first 5 edge data Feb. 2025 Strategic Guidelines 6 centers in line with sustainability requirements Score: A- Previously A- Leadership • - 27.4% of EE consum
Slide 15: 2025 Outlook
2025 Outlook Further healthy Adjusted EBITDA growth of traditional business, substantially offset by: Adjusted • lower benefit from non-core items vs 2024 EBITDA • higher energy prices(1) • higher absorption from diversification (in line with Industrial Plan assumptions) • Maintenance capex above re
Slide 16: Q&A Session
Q&A Session
Slide 17: Contacts
Contacts Andrea Moretti, Head of Investor Relations +39 335 530 1205 +39 06 331 70391 andreadanilo.moretti@raiway.it andreadanilo.moretti@raiway.it investor.relations@raiway.it investor.relations@raiway.it www.raiway.it / Investors www.raiway.it /17/
Slide 18: Appendix
Appendix
Slide 19: Detailed summary of FY2024 Income Statement
Detailed summary of FY2024 Income Statement (€m; %) 4Q23 4Q24 FY23 FY24 Core revenues 67,8 69,6 271,9 276,1 1 Other rev enues and income 0,5 0,2 2,1 1,9 Purchase of consumables (0,4) (0,4) (1,3) (1,3) Cost of serv ices (13,4) (12,1) (43,8) (42,0) Personnel costs (13,8) (13,0) (51,4) (46,5) Other cos
Slide 20: Summary of Balance Sheet as at 31 December 2024
Summary of Balance Sheet as at 31 December 2024 (€m) 2023FY 2024FY (€m) 2023FY 2024FY Non current assets Shareholders' Equity Tangible assets 297,4 306,0 Share capital 70,2 70,2 Rights of use for leasing 33,0 33,6 Legal reserves 14,0 14,0 Intangible assets 24,7 27,0 Other reserves 37,7 37,2 Financia
Slide 21: Balance Sheet as at 31 December 2024
Balance Sheet as at 31 December 2024 (22,0) (25,3) 320,0 Including rights of use 127,6 for leasing under IFRS- 16 (€ 33,6 m) 367,3 192,5 Net Fixed Assets(1) Net Net Funds(2) Net Invested Net Debt Equity Book Value Working Capital Capital 1) Including long-term financial items and the rights of use f
Slide 22: Summary of FY2024 Cash Flow Statement
Summary of FY2024 Cash Flow Statement (€m) 4Q2023 4Q2024 FY2023 FY2024 Profit before income taxes 23,9 26,5 121,5 125,4 Depreciation, amortization and write-downs 13,0 13,0 47,3 51,1 Prov isions and (releases of) personnel and other funds 5,9 4,2 7,0 5,3 Net financial (income)/expenses 1,5 1,5 4,3 6
Slide 23: 2024-27 Industrial Plan Pillars
Enhance Rai Way positioning as media 2024-27 Industrial Plan Pillars distribution services and digital infra provider Media Digital 1) Strengthening traditional businesses/assets, by: Other assets Distribution Infrastructure 1.a) Taking advantage of selected growth • Network provider • Tower hosting
Slide 24: 2024–2027 Capital allocation
2024–2027 Capital allocation 2027 Target • Revenues growth doubling CPI contribution Traditional ~€ 98 Mln 6,5% • Adj. EBITDA +€24m vs ‘23 (+13%, CAGR +3,2%), with ca. Businesses / Development recurring maintenance assets Capex capex on sales level 150bps margin improvement • Rec. FCFE generation a
Slide 25: Industrial Plan pillars
New Industrial Plan addresses key levers to unlock Rai Way’s full pontential, while preserving its distinctive features… Pillars of Rai Way’s equity story 2024-27 Industrial Plan: addressed value levers Revenue Protection Best-in-class Cash generation predictability from macro profitability Strength
Slide 26: New Core revenues breakdown
Traditional ABC business/assets New Core revenues breakdown ABC Diversification areas Media Distribution Digital Infrastructure Other • RAI Service contract (fixed • Tower Hosting • Land valorization (solar energy consideration & new services) • Connectivity production, leases, …) • Broadcasting (re