Slides
Page 1
www .sabafgroup.com www .sabafgroup.com FINANCIAL PRESENTATION Sabaf | 05th - 06th October 2026
Page 2
I. COMPANY PROFILE II. LATEST STRATEGIC MOVES III. FINANCIAL PERFORMANCE IV. SUSTAINABILITY Table of contents 2
Page 3
COMPANY PROFILE 3
Page 4
Sabaf Group: product range evolution in 3 Business Units 4 GAS • Standard Burners • Special Burners • Professional Burners • Oven and Grill Burners • Gas Valves • Gas Oven Thermostats • Microswitches & Accessories HINGES • Ovens • Dishwashers • Washing machines • Refrigerators • Special applications • Small compartments • Catering appliances ELECTRONICS COMPONENTS • Cooker Hoods • Ovens • Cookers and hobs • Vitroceramic hobs control cards • Refrigerators/freezers • Other products • Induction cooking components (since 2022) SINCE 1950 SINCE 2018 SINCE 2000, further expansion since 2019
Page 5
TECHNOLOGICAL SMART DIVERSIFIED GLOBAL SUSTAINABLE 5 Sabaf Group: evolution 1950 1998 THE FOUNDATION THE LISTING 2000 FARINGOSI-HINGES ACQUISITION Hinges 2001 SABAF BRAZIL GREENFIELD Gas components 2012 SABAF TURKEY GREENFIELD Gas components 2015 SABAF CHINA GREENFIELD Gas components 2016 A.R.C. ACQUISITION Professional burners 2018 OKIDA ACQUISITION Electronics 2019 C.M.I. ACQUISITION Hinges 2022 SABAF INDIA GREENFIELD Gas components SABAF MEXICO GREENFIELD Burners and Hinges PGA ACQUISITION Electronics 2023 2023 MANSFIELD ACQUISITION Hinges SABAF DRIVERS 5 acquisitions in the last 9 years 3 greenfield plants in the last 4 years SABAF TURKEY/OKIDA GREENFIELD New plant for hinges and electronics
Page 6
Sabaf Group: leading producer of components for household appliances and company evolution in 3 Business Units 6 GAS HINGES ELECTRONICS DIVERSIFICATION Widening product range Diversification of profitability SALES by division 2018 2019 2020 2021 2022 2023 2024 2025 2026 H1 3% 6% 7% 9% 11% 11% 9% 8% 7,8% 7% 15% 22% 22% 27% 29% 31% 32% 32,1% 90% 79% 71% 69% 62% 60% 59% 59% 60,1% Player n. 1 Worldwide Strong growth potential
Page 7
SABAF TURKEY (2 PLANTS) (329 employees) Burners, valves, hinges and Electronics SABAF APPLIANCE COMPONENTS (KUNSHAN) (11 employees) Wok burners SABAF BRAZIL (132 employees) Standard burners Special burners OKIDA ELEKTRONIK (190 employees) Electronics for household appliances CMI POLAND (68 employees) Dishwasher hinges SABAF INDIA (64 employees) Valves and burners ▪ 2018: 7 production plants ▪ 2026: 15 production plants (6 in Italy and 9 abroad) ▪ 1,814 employees at 30 June 2026 7 Sabaf Group: industrial footprint SABAF S.P.A. (516 employees) Valves and thermostats Standard burners Special burners ARC S.R.L. (21 employees) Professional burners FARINGOSI-HINGES S.R.L. (46 employees) Oven hinges Dishwasher hinges CMI ITALY (2 PLANTS) (130 employees) Oven hinges Dishwasher hinges PGA (37 employees) Electronics for household appliances SABAF MEXICO (96 employees) Burners MANSFIELD (174 employees) Oven hinges Washing machines hinges Refrigerators hinges
Page 8
Why investing in Sabaf Strategy for value creation 8 STRATEGIC PILLARS INNOVATION & PRODUCT DIVERSIFICATION 3 Business Units Each with its own R&D center 4 Cooking technologies Gas, Induction, Radiant, Hydrogen (pilot) GEOGRAPHICAL DIVERSIFICATION Global industrial footprint Strategic presence across allkey home appliance manufacturing hubs ORGANIC GROWTH Driven by commercial expansion, market penetration and customer development M&A Acquisitions as a complementary growth lever to broaden technology portfolio, product offering and geographical reach OUTCOMES 1 Shareholder value creation • Sales growth • Profitability growth • Risk diversification 2 Sustainability: ESG strategies integrated in the business model 3 Financial Strength
Page 9
Market % OF SHARE CAPITAL % OF VOTING RIGHTS 39.68 % 17.91 % 18.18 % 7.08 % 4.50 % 2.92% Cinzia Saleri S.a.p.A. Quaestio SGR Paloma Rheem Investments Fintel S.r.l. Treasury Shares 23.50 % 5.25 % Cinzia Saleri S.a.p.A. Quaestio SGR Fintel Paloma Rheem Investments 21.07 % Market 28.51 % Sabaf Group Main shareholders 9 10.01 % Montinvest S.r.l. Montinvest S.r.l.12.76 % 8.91%
Page 10
Sabaf Group Governance 10 Gianluca Beschi | Chief Executive Officer Andrea Bonfadelli | Chief Operating Officer Appointed CEO in February 2026. At Sabaf since 1997, he has worked as Chief Financial Officer, contributing to shape and execute the Group’s strategy. He also serves as Investor Relations Officer. Appointed COO in March 2026. At Sabaf since 2007, previously Technical Director of the Gas Division and Supply Chain Director, has contributed to the implementation of the industrial plan, with particular focus on the integration of the new business units. «Alongside the other managers of the Group, we form a cohesive team, built over years of working together, with a deep understanding of the organization and the business. We share not only a common strategic vision, but also the values that guide the way we operate»
Page 11
LATEST STRATEGIC MOVES 11
Page 12
Latest strategic moves 12 SABAF INDIA SABAF MEXICO MEC ACQUISITION INDUCTION
Page 13
Sabaf India 13 Sales start 2Q 2023 Investment € 6.4 mln Division Gas: production of valves and burners for the domestic market Production capacity € 10 mln (scalable) Turnover evolution in €/million Market characterized by: • strong growth • customization • competitive price requests Sabaf India is working with leading players in the local market for both burners and gas valves, with solid growth visibility
Page 14
Sabaf India 14 STRATEGY 1 PRODUCT → Listening and addressing customer needs → Customization identification of customized solutions through local technical team with a stronger alignment with end customers 2 PROCESS → Valves The full vertical integration of the valve production process has now been completed, enabling the company to deliver products at competitive prices → Burners Optimization of the forging process, to provide shape customization according to customer requirements
Page 15
Sabaf Mexico 15 Sales start 1H 2024 Investment € 14 mln Division Gas: production of burners for NA market Production capacity € 13 mln (scalable) Turnover evolution in USD/million 1. Market whitespace Addressing a market with no established, high-quality burner manufacturer 2. Market share gains Progressively gaining share among leading Mexican and U.S. manufacturers. Growth driven by customers’ outsourcing and replacement of weaker local suppliers
Page 16
MEC 16 Acquisition July 2023 Share acquired 51% of share capital Division Hinges based in Mansfield (Ohio) MEC is a leading North American manufacturer of hinges for household appliances (mainly ovens, washing machines and refrigerators), designed and manufactured to meet the high-quality levels and demanding standards required by the US market MEC is delivering strong results with growing profitability Despite market weakness, profitability is steadily improving and strategic opportunities are emerging, supported by the US manufacturing footprint • Smooth transition from previous ownership to the management • Visible synergies, for which implementation is ongoing, even thanks to very positive relationships with local management • Ongoing automation in order to improve productivity Turnover evolution in USD / million
Page 17
1 ENHANCE THE EXISTING PRODUCT → Two distinctive technologies Established proprietary technologies that should be communicated more clearly to the market → Trust and reputation Building credibility experiences and demonstrable results → Key competitive advantage Flexibility and tailored experimentation, helping clients differentiate themselves from other players in their market Sabaf Induction Priority objectives A dual-track path: maximizing existing strengths while reshaping the organization for sustainable growth Project start: 2021 Sabaf has developed its own project know- how (proprietary patents, software and hardware).The main development phase has been completed, enabling product certification and market lunch of a wide range. Ongoing engineering of other innovative features Sales Since 2024, a major multinational has been producing induction cooktops for the European market using our licensed technology, generating a royalty on every unit sold Direct product sales to specialized manufacturers with advanced customization requirements. Investment About € 7.9 mln in R&D in the period 2021 – 2026 2 STRATEGIC REALLIGNMENT → Selective project focus Concentrating energy and resources on a limited number of high-impact initiatives → Cost optimization Resizing the organization to ensure long- term sustainability and operational efficiency 17
Page 18
FINANCIAL PERFORMANCE 18
Page 19
19 2026 | Market trends Challenging macroeconomic environment, marked by persistent geopolitical instability impacting market dynamics. In particular: Turkey – impacted by financial difficulties affecting certain local customers and their broader supply chains, as well as continued weakness in domestic demand Africa & Middle East – exposure to ongoing geopolitical tensions North America – soft demand and increasing inflationary pressures Evolving market mix, with increasing polarization of demand between: Mass market – characterized by high price sensitivity Premium / high-end segment – growing, although still representing a relatively small share of the overall market Traditional mid-market segment – experiencing a progressive contraction This trend increasingly favors cost-competitive manufacturers and companies with a strong positioning in the premium / high-end segment
Page 20
2026 | Sabaf positioning 20 SABAF GROUP PERFORMANCE REVENUES Stable revenue in H1 2026 Acceleration in Q2, with sales growth MARGINS Limited impact from higher raw material and energy costs, supported by hedging measures. Progressive improvement driven by volumes, diversification, efficiency and cost containment. Europe and South America: continued growth North America: growth at constant FX, supported by higher volumes from the Mexican plant Sabaf Mexico India and China: confirming tangible signs of growth, with progressively stronger results and improved visibility Sabaf India • Valve order backlog currently covers the available production capacity Turkey: ongoing market share gain, supporting high-capacity utilization and improved margins Electronics • Production capacity fully utilized • Further sales acceleration and margin improvement since July, driven by the ramp-up of new projects • Further growth expected: additional capacity expansion planned, with the installation of a 5th press in early 2027 • Continued product portfolio diversification, targeting additional industries • Geographic diversification – first sales recorded in the United States
Page 21
21 Annual adjusted1 revenues and EBITDA 1Adjusted income statement: results exclude the impact of the application of IAS 29 (Financial Reporting in Hyperinflationary Economies) This representation allows a better understanding of the Group's performance and of its comparison with previous periods. Mln €
Page 22
€ x 000 Δ % H1 26 - H1 25 Revenue 143,616 100% 145,738 100% -1.5% Other income 6,059 4.2% 5,506 3.8% Total operating revenue and income 149,675 151,244 Materials (66,884) -46.6% (66,101) (45.4%) Personnel costs (37,140) -25.9% (37,608) (25.8%) Other operating costs (25,441) -17.7% (26,208) (18.0%) EBITDA 20,210 14.1% 21,327 14.6% -5.2% Depreciation (10,190) (7.1%) (10,166) (7.0%) Gain/losses on fixed assets (5) (0.0%) 13 0.0% Write-downs/write-backs of non-current assets - 0.0% (109) (0.1%) EBIT 10,015 7.0% 11,065 7.6% -9.5% Non financial expense (4,934) (3.4%) (4,388) (3.0%) Exchange rate gains and losses 1,513 1.1% 1,622 1.1% EBT 6,594 4.6% 8,299 5.7% -20.5% Income taxes (2,205) (1.5%) (732) (0.5%) NET PROFIT FOR THE PERIOD 4,389 3.1% 7,567 5.2% -42.0% Minority interests 909 0.6% 869 0.6% PROFIT ATTRIBUTABLE TO THE GROUP 3,480 2.4% 6,698 4.6% -48.0% H1 2026 H1 2025 22 Adjusted income statement1 – H1 2026 1Adjusted income statement: results exclude the impact of the application of IAS 29 (Financial Reporting in Hyperinflationary Economies) This representation allows a better understanding of the Group's performance and of its comparison with previous periods. +0,4% at constant exchange rates
Page 23
23 Adjusted sales by market and division SALES BY GEOGRAPHY € x 000 SALES BY PRODUCT €000 MARKET H1 2026 H1 2025 YoYWEIGHT Europe (excl. Turkey) 44,810 42,446 +5.6%31.2% Turkey 32,450 36,229 -10.4%22.6% North America 31,766 33,187 -4.3%22.1% South America 19,600 18,350 +6.8%13.6% Africa & Middle East 5,466 6,686 -18.2%3.8% Asia & Oceania 9,524 8,840 +7.7%6.6% TOTAL 143,616 145,738 -1.5%100% PRODUCT H1 2026 H1 2025 YoYWEIGHT Gas parts 86,353 86,300 +0.1%60.1% Hinges 46,061 46,930 -1.9%32.1% Electronic components 11,202 12,508 -10.4%7.8% TOTAL 143,616 145,738 -1.5%100%
Page 24
24 Balance Sheet - Reported At 30 June 2026, the impact of the net working capital on revenue was 29% compared to 28.7% at the end of 2025 and 26.3% at 30 June 2025 Net financial debt at 30 June was €85.2 mln (€75.2 mln at 31 December 2025) and includes • €19.1 mln related to the recognition of the put option granted to MEC minorities • and the financial liabilities of €6 mln recognised in accordance with IFRS 16 Inventories The increase in inventories compared with 31 December is mainly attributable to the rise in raw materials, which was intended to ensure the continuity of supplies € x 000 30/06/2026 30/06/2025 Fixed assets 168,350 163,809 168,764 Inventories 70,824 61,791 65,336 Trade receivables 73,939 63,524 69,631 Tax receivables 14,183 14,023 11,438 Other current receivables 5,563 3,293 3,596 Trade payables (52,539) (39,585) (51,212) Tax payables (7,724) (5,295) (4,296) Other payables (20,407) (17,969) (19,150) Net working capital 83,839 79,782 75,343 Provisions for risks and severance indemnity (11,338) (8,593) (8,558) Capital Employed 240,851 234,998 235,549 Equity 155,695 159,788 156,132 Net debt 85,156 75,210 79,417 Sources of finance 240,851 234,998 235,549 31/12/2025
Page 25
25 Change in consolidated net financial position YoY
Page 26
26 Outlook Sabaf The current order backlog points to moderate sales growth for the current financial year, supported by the steady progress of organic growth initiatives in the second half of the year. In order to maintain operational profitability in the face of the expected higher costs of key raw materials and energy, the Group has adjusted its price lists and has also launched further initiatives aimed at improving operational efficiency. The ramp-up of recently launched projects, combined with those coming on stream, is expected to make a significant contribution to growth in 2027.
Page 27
SUSTAINABILITY 27
Page 28
Area KPI Eco-efficiency and Emissions into the atmosphere CO2 emissions/Revenue Development of resources and skills Hours of training per capita Health and safety Injuries indicator Sabaf's strategy and governance model are aimed towards ensuring long-term sustainable growth. For Sabaf, sustainability is primarily based on sharing values with its stakeholders; compliance with common values increasesmutual trust and encourages knowledge development “ “ SABAF GROUP VISION We believe in a world in which all people’s basic needs, such as home, food and reliable energy, are fulfilled in an environmentally sustainable way. We promote a company that improves the quality of the environment and the communities where we live and work SDGs Sabaf: a sustainable business Sustainability in the Business plan 2024 - 2026 28 1 2 3
Page 29
29 ESG Performance - Corporate Governance Remuneration policy LONG - TERM INCENTIVE PLAN 2024 - 2026 Linked to the economic-financial and sustainability objectives set out in the 2024-2026 Business plan Definition of SUSTAINABILITY TARGETS: ▪ With reference to the issues highlighted in the materiality analysis ▪ Fully in line with best practices and Corporate Governance Code 29 MATERIAL TOPIC KPI % ON LTI TARGET 2024-2026 2024 2025 6M 2026 Emissions into the atmosphere Implementation of the ESG investment plan (1,500 t CO2 reduction) 10% Elimination, at full operation, of 1,500 tCO2eq per year from the Ospitaletto site 15.074 tCO2eq 13.155 tCO2eq 6.234 tCO2eq Development of resources and skills Hours of training per capita 5% 60 (cumulative value) 25 27 9 Health and safety of personnel Indicator of injuries 5% 175 (average value) 185.80 88.14 195.04 Impact of on LTI plan 20%
Page 30
In the 2025 Sustainability Report, the Transition Plan for climate change mitigation is described, approved by the Board of Directors on December 18, 2025. The Plan targets an overall reduction in Scope 1 and Scope 2 emissions of 58.8% by 2034 compared to the 2024 baseline year, in line with the goal of limiting global warming to 1.5°C under the Paris Agreement. Sabaf Energy Transition Plan 30 Decarbonization drivers Initiatives already in budget These include the replacement of air compressors, the introduction of a new physic-chemical system for foundry wastewater treatment, the optimization of dosing furnaces for aluminium die casting, the installation of a photovoltaic system, and the purchase of new ladles GO & RECs - Progressive introduction of Guarantees of Origin for electricity starting from 2026 at the Sabaf S.p.A. plant, with subsequent extension to Italian sites - Purchase of RECs for the Mexico and Turkey sites Biomethane Purchase of Guarantees of Origin linked to biomethane production and/or replacement of natural gas with biomethane at the Sabaf S.p.A. plant starting from 2031 Drivers contribution at 2034 26928.725 -1820.058 -19073.647 -6098.334 11094.635 10531.411 Baseline 2024 BAU 2034 (CAGR) Budget Initiatives GO & RECs Biometano SBTi Target Scenario - 5000.0 10000.0 15000.0 20000.0 25000.0 30000.0 35000.0 40000.0 Biomethane tCO2e
Page 31
• Total CapEx: €2.4 mln • Production of electricity using solar photovoltaic technology, significantly contributing to the goal of climate change mitigation • Allows self-production of an amount equal to 10-15% of the site's current energy consumption • Emissions reduction: ~ 10-15% (Scope 2 emissions from purchased and consumed electricity) • Saving: ~ € 0.5 mln / year • The solar power plant was completed in June 2025 Solar power plant 31
Page 32
• Aware of the value of complete and transparent disclosure, in 2026, for the seventh consecutive year, Sabaf joined the Climate Change and Water programmes of CDP , an international non-profit organization that offers companies, local authorities and governments a system for measuring, detecting, managing and sharing information on the environment at a global level. • In particular, companies are required to participate in an annual survey on the impact of their activities on the environment, on the management of their environmental risks and on the results achieved. The goal is to make environmental performance central to business and investment decisions, leveraging information transparency. In 2025 Sabaf obtained a score of B in the Climate Change section and B- in the Water Security section, on a scale ranging from a minimum of D- to a maximum of A. CDP (Carbon disclosure programme) 32
Page 33
ATTACHMENTS 33
Page 34
34 Income statement reconciliation reported – adjusted1 | 1H 2026 and 1H 2025 Reported results Adjusted results 1Adjusted income statement: results exclude the impact of the application of IAS 29 (Financial Reporting in Hyperinflationary Economies) This representation allows a better understanding of the Group's performance and of its comparison with previous periods.
Page 35
DISCLAIMER Certain information included in this document is forward looking and is subject to important risks and uncertainties that could cause actual results to differ materially. The Company’s business is in the domestic appliance industry and its outlook is predominantly based on its interpretation of what it considers to be the key economic factors affecting this business. Forward-looking statements with regard to the Group’s business involve a number of important factors that are subject to change, including: the many interrelated factors that affect consumer confidence and worldwide demand for durable goods; general economic conditions in the Group’s markets; actions of competitors; commodity prices; interest rates and currency exchange rates; political and civil unrest; and other risks and uncertainties. Pursuant to Article 154/2, paragraph 2 of the Italian Consolidated Finance Act (Testo Unico della Finanza), the company’s Financial Reporting Officer Gianluca Beschi declares that the financial disclosure contained in this financial presentation corresponds to the company's records, books and accounting entries. For further information, please contact Gianluca Beschi gianluca.beschi@sabaf.it Elena Gironi elena.gironi@sabaf.it 35