F.i.l.a. - Fabbrica Italiana Lapis Ed Affini S.p.a.MIL: FILA

.I.L.A. S.p.A. Y 2024 Results Presentation

· Issued by F.i.l.a. - Fabbrica Italiana Lapis Ed Affini S.p.a.

FY 2024 Results Presentation

21 marzo 2025

Agenda

  1. Highlights
  2. Business Review
  3. Financial Review
  4. DOMS Industries

Appendices:

  1. Details on Revenues and EBITDA
  2. Exchange rates

FY 2024 Highlights

FY 2024 RESULTS

FILA 2024 results confirmed the positive trends in profitability, the strong growth in net profit and marked an acceleration in deleverage, also thanks to the sale of the 4.57% stake in DOMS

Core Business Sales at €612.6m, -5.0% vs FY 2023 (-2.8% on a comparable FX basis), reflecting one-off SAP EWM disruption at Dixon USA in Q1, as well as the adverse currency effects in C&SA

Adjusted EBITDA at €118.2m, +7.2% vs FY 2023 (+7.3% ex IFRS 16), with margin improvement to 19.3% (vs 17.1% in FY 2023) thanks to a favourable product mix coupled with ongoing efficiency actions

Group Reported Net Profit at €81.8m in FY 2024 (€170.6m in FY 2023) which includes DOMS placement and significant decline in financial expenses. Adjusted Group Net profit at €40.9m, +32.3% vs FY 2023

Free Cash Flow to Equity at €67.7m vs €60.3m in FY 2023, with positive working capital contribution, lower capex and interest expenses, exceeding 2024 guidance (upper end of €40-50m range)

Net Financial Position at -€181.1m in FY 2024, with €122.3m net reduction vs FY 2023 despite €36.5m of dividends in 2024 thanks to strong cash flow generation and disposal of the stake in DOMS for €80.7m (Net Bank Debt -€124.5m in FY 2024 vs -€229.5m in FY 2023)

Dividend proposed €40.8m, higher than guidance, thanks to higher than anticipated Free Cash Flow to Equity and successful placement of DOMS participation

Outlook: guidance 2025 confirmed, with low-to-mid single digit revenue growth, mid-single digit growth

in Adjusted EBITDA, assuming constant currency & tariffs, and FCFE between €40m and €50m, dividend

pay-out ratio 20-40%, in the ordinary course

3

Snapshot of FY 2024 results (excluding DOMS Industries)

Core Business Sales (€m)

Reported: -5.0%

Organic: -2.8%

644.9

612.6

FY 2023

FY 2024

Adjusted Group Net Profit (€m)

170.6

81.8

Group Reported Net Profit

39.7

Adj. Net Profit + PPA

50.2

+32.3%

30.9

40.9

FY 2023

FY 2024

Adjusted EBITDA (€m)

17.1%

Margin +2.2%

19.3%

+7.2%

110.2

118.2

14.1

15.1

96.1

103.1

IFRS 16

effect

FY 2023

FY 2024

Net Financial Position (€m)

60.3

FCFE

67.7

69.1

Cash-in from DOMS

80.7

-€122.3m after €36.5m

2024 dividends

303.4

IFRS16

74.0

181.1

& Other

229.5

56.6

124.5

FY 2023

FY 2024

Note: data on Sales and EBITDA with impact of DOMS and IFRS 16 included in the Appendices

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Consistent Long Term Growth (excluding DOMS Industries)

Core Business Sales (€m)

Adjusted EBITDA (€m)

Free Cash Flow to Equity (€m)

+1.9% CAGR

656

645

613

600

569

+3.2% CAGR

>€240m Cumulative Free

Cash Flow to Equity

119

109

110

118

104

14

15

14

14

12

105

95

96

103

92

FY 2020 FY 2021 FY 2022 FY 2023 FY 2024

FY 2020 FY 2021 FY 2022 FY 2023 FY 2024

IFRS 16 effect

7268

60

3030

FY 2020 FY 2021 FY 2022 FY 2023 FY 2024

Note: data on Sales and EBITDA with impact of DOMS and IFRS 16 included in the Appendices

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Agenda

  1. Highlights
  2. Business Review
  3. Financial Review
  4. DOMS Industries

Appendices:

  1. Details on Revenues and EBITDA
  2. Exchange rates

FY 2024 Core Business Sales (excluding DOMS Industries)

FY 2023

FY 2024

delta (€)

Comparable

Q4 2023

Q4 2024

delta (€)

Comparable

FX (€)

FX (€)

Total Fila

644.9

612.6

-32.3m

-18.0m

129.6

119.2

-10.4m

-7.9m

Group

-5.0%

-2.8%

-8.1%

-6.1%

Key Highlights

Sales FY 2024 results at €612.6m,

-2.8% on a comparable FX basis (-6.1% Q4 2024). Negative currency impact mainly regarding C&SA

North

America

Europe

C&SA

Asia

RoW

321.6

(49.9%)

214.2

(33.2%)

91.2

(14.1%)

14.4

(2.2%)

3.5

(0.5%)

298.9 -22.6m

(48.8%) -7.0%

215.9 +1.7m

(35.2%) +0.8%

81.0 -10.2m

(13.2%) -11.2%

12.9-1.5m

(2.1%) -10.6%

3.9+0.3m

(0.6%)+9.1%

-22.2m

-6.9%

+1.9m

+0.9%

+3.3m

+3.6%

-1.4m -9.4%

+0.3m

+9.4%

54.7

(42.2%)

45.3

(34.9%)

25.3

(19.5%)

3.4

(2.6%)

0.9

(0.7%)

52.0 -2.7m -3.2m

(43.6%) -4.8% -5.9%

44.5

-0.8m

-1.3m

(37.3%)

-1.7%

-2.9%

18.5-6.8m -3.1m

(15.5%)

-26.9%

-12.2%

3.0-0.4m -0.5m

(2.5%)

-11.6%

-13.2%

1.1

+0.2m

+0.2m

(0.9%)

+20.5%

+17.9%

North America FY 2024 results at €298.9m, -6.9% on a comparable FX basis, reflecting one-off disruption of logistics in Q1 due to introduction of SAP EWM module. Q4 2024 decline of -5.9% due to macroeconomic

uncertainties and to the continuous

focus on higher margin products

Europe FY 2024 at €215.9m with +0.9% on a comparable FX basis (Q4 -2.9% mainly due to weak performance in UK)

C&SA confirmed positive trends in FY

2024 although affected by currency

devaluations (Argentina and Mexico), and slowdown in Q4 due to macroeconomic uncertainties

Note: data on Sales and EBITDA FY 2022-23 with impact of DOMS and IFRS 16 included in the Appendices (slide 19-20-21)

7

FY 2024 Adjusted EBITDA (excluding DOMS Industries)

FY 2023

FY 2024

delta

2023

2024

Q4 2023

Q4 2024

delta

2023

2024

Margin

Margin

Margin

Margin

Total Fila

110.2

118.2

+7.2%

17.1%

19.3%

10.4

14.7

+41.5%

8.0%

12.3%

Group

North

59.3

60.9

+2.7%

18.4%

20.4%

5.6

4.1

-26.9%

10.2%

7.9%

America

Europe

30.9

34.7

+12.2%

14.5%

16.1%

2.2

4.4

+99.9%

4.9%

10.0%

14.8

18.8

+26.9%

16.3%

23.2%

2.3

5.8

+156.8%

8.9%

31.3%

C&SA

5.0

3.6

-29.3%

35.0%

27.7%

0.1

0.4

+237.1%

3.6%

13.6%

Asia

RoW

0.2

0.2

+39.5%

4.5%

5.7%

0.2

-0.1

n.m.

20.1%

-5.5%

Key Highlights

Adjusted EBITDA in FY 2024 increased to €118.2m (+7.2%) despite the contraction in Sales, Q4

2024 at +41.5%

EBITDA margin improvement in FY 2024, reaching 19.3% at the end of 2024 vs 17.1% in the prior year, thanks to the efficiency gains and mix effect, as well as a more

selective commercial approach

North America EBITDA increased to €60.9 m (+2.7%) with margin further improved to 20.4% versus 18.4% in the prior year, despite lower Sales

Europe in FY 2024 reached €34.7 m

(+12.2%) with 16.1% margin vs 14.5% in FY 2023

CS&A EBITDA increased to €18.8m (+26.9%) in FY 2024, despite losses in Dominican Republic and Argentina

Note: data on EBITDA FY 2023-24 without IFRS 16 included in the Appendices (slide 18)

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Note: data on Sales and EBITDA FY 2022-23 with impact of DOMS and IFRS 16 included in the Appendices (slide 19-20-21)

Agenda

  1. Highlights
  2. Business Review
  3. Financial Review
  4. DOMS Industries

Appendices:

  1. Details on Revenues and EBITDA
  2. Exchange rates

Adjusted Income Statement

(€ million)

FY 2023

FY 2023

FY 2024

w/DOMS

o/w DOMS

Core Business Sales

779.2

134.3

612.6

Other revenues

8.7

0.7

9.4

Total Revenues

787.9

135.1

621.9

Cost for Raw Materials and Supplies and net

-366.8

-89.4

-267.4

increase (decrease) in Inventory

Costs for Services and Use of Third-Party Assets

-119.8

-14.0

-97.9

Personnel Costs

-155.1

-20.0

-132.3

Other Operating Costs

-10.1

0.0

-6.1

Net IC Revenue/

-

14.1

-

Cost DOMS on EBITDA

Adjusted EBITDA

136.1

25.8

118.2

Depreciation & Amortisation

-41.9

-5.9

-34.9

Write-Downs

-0.5

0.0

0.0

EBIT

93.6

19.9

83.4

Financial income/expenses

-37.5

-1.3

-25.9

Income/expenses from associates at equity

0.8

0.9

3.1

method

PBT

56.9

19.6

60.5

Taxes

-18.0

-4.8

-20.4

Adjusted Net Profit (Loss)

38.9

14.8

40.1

Adjusted Group Net Profit (Loss)

30.9

7.6

40.9

Base EPS*

0.61

0.81

Adj. for Non-Recurring Items to EBITDA

-13.7

-9.2

Adj. for Non-Recurring Items to Group Net Profit

139.7

40.7

Key Highlights

Adjusted Group Net Profit surged +32.3% to €40.9m in FY 2024 from €30.9m in FY 2023 (note that the 2024 results includes DOMS'

contribution for 2024)

D&A stood at €34.9m in FY 2024 and €41.9m in FY 2023

PPA amortization was equal to € 9.8 m in FY 2024

Significant decline in Financial Expenses due

to lower indebtedness, improved margin ratchets, and repayment of Mexican Peso denominated facilities

Income from associates at €3.1m (€5.1m gross of €2 m of PPA) relates to FILA's 26.01% stake in DOMS

Adjustments for Non-RecurringItems related to reorganization costs mainly in North America and Europe, the performance shares incentive plan and fair value evaluation of tangible and intangible assets

(*)Earnings per Share (Adjusted Group Net Profit/Total Number of Shares)

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