NewPrinces S p A : Q1 2025 results Interim Management Report

Published May 19, 2025 at 10:00 p.m. UTC

Source: MarketScreener

INTERIM REPORT AT 31 March 2025

DIRECTORS' REPORT ON OPERATING PERFORMANCE AT 31 March 2025 Contents

Performance as at 31 March 2025 5

COMPANY BODIES 6 Group Structure 10 INTERIM MANAGEMENT REPORT 13 Financial statements and explanatory notes 29 Consolidated statement of financial position 30 Consolidated income statement 31 Consolidated statement of other comprehensive income 31 Consolidated statement of changes in equity 32 Consolidated cash flow statement 33 Explanatory notes 34 Explanatory notes as at 31 March 2025 35 Scope of consolidation and goodwill 36 Consolidation criteria and methodology 36 Shareholders' equity 42 Current liabilities 44 Income statement 45 Earnings per share 45 Related party transactions 45 Disputes and potential liabilities 48

This report is available online at: https://corporate.newlat.it/relazione-con-gli-investitori/bilanci-e-relazioni/

NewPrinces S.p.A.

Registered Office in Reggio Emilia, Via J.F. Kennedy, 16, Paid-in share capital: Euro 43,935,050.00

Tax and VAT ID 00183410653 / no. 277595 on the Economic and Administrative Index (REA) of Reggio Emilia

Company subject to management and coordination by Newlat Group S.A. pursuant to Articles 2497 et seq. of the Italian Civil Code.

‌Performance as at 31 March 2025

In a market that remains highly volatile and characterised by a strong decrease in inflation, the Group closed the first quarter of 2025 with an increase in its margins (+34.5% compared to the same period of the previous year) to Euro 54.8 million with an EBITDA margin of 8.2% (6.01% as at 31 March 2024).

The integration of the Princes Group continued in the first quarter of 2025, delivering clear benefits in terms of supply chain improvements and net working capital optimisation, which led to a significant increase in margin and above all cash generation that enabled us to improve the net financial position.

The slowdown in inflation impacted revenue performance in the first quarter, which recorded a slight decline compared to the same period of the previous financial year (-3.9%), driven by a general decrease in the average selling price.

The figures for the Group's business lines were up compared to 31 March 2024 despite a sharp reduction in average sales prices due to falling inflation, driven mainly by management's ability to re-negotiate key purchasing conditions. The initial cost optimisation synergies were immediately evident, producing outstanding results in terms of margin growth.

These figures augur well for the end of the financial year and provide a solid basis for development and to embark on external growth.

Lastly, financial data once again point to a business that is able to constantly generate cash, with the net financial position improving by Euro 44 million and a cash conversion rate of 84%.

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