Interim report
Page 1
1 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results Management Discussion & Analysis of the consolidated Financial Statements of Ferreycorp S.A.A. and its Subsidiaries Second Quarter 2025 Lima, July 22 of 2025.- Ferreycorp S.A.A., leading corporation in the capital goods and complementary services sector, based in Peru and with presence in other Latin American countries, with more than one hundred years of operations, announces its consolidated results for the second quarter of 2025. The financial statements of this report are reported on a consolidated basis in accordance with the International Financial Reporting Standards and are expressed in soles. As of June 30, of the current year, the exchange rate closed below the one presented at the end of the first semester of the previous year (S/ 3.549 vs. S/ 3.837). Furthermore, the average exchange rate for the second quarter of 2025 was S/ 3.677, lower th an the average of S/ 3.760 for the same period of the previous year, and the average exchange rate for the first semester 2025 was S/ 3.689 lower than the average of S/ 3.765 for 2024. The appreciation of the sol in the last three months of the year genera ted an exchange gain, which has led to distortions in some items of the second quarter financial statements, especially in the exchange difference line, and therefore in the gross, operating and net income. In this sense, it is important to take into account the adjusted figures for the quarter which are explained throughout this document. SALES In the second quarter of 2025, Ferreycorp and its companies registered sales of US$ 501 million, equivalent to S/ 1, 840 million, which represented a growth of 0.5% in dollars and a reduction of 1.7% in soles compared to the same period of the previous year (US$ 4 98 million and S/ 1, 872 million, respectively), with the increase in the sales of allied equipment lines being especially noteworthy. During the first semester of 2025, sales reached US$ 1,034 million, an increase of 5.1% compared to the high levels of the same period of 2024 (US$ 983 million). In soles, growth in the first semester of this year reached 3.0%, registering S/ 3,814 million. (In millions) 2025 2024 Var% 2025 2024 Var% Net sales $ 501 498 0% 1,034 983 5.1% Net sales S/ 1,840 1,872 -2% 3,814 3,702 3% Second Quarter As of June 30
Page 2
2 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results GROSS PROFIT In the second quarter of 2025, the gross profit (S/ 454 million) was 11.7% lower than in the same period of 2024. At the same time, in the first semester of 2025, it amounted to S/ 955 million, 4.7% lower than the one achieved in the same period of 2024. The gross margin in the second quarter of 2025 was 24.7%, lower than the 27.5% achieved in the same period of the previous year. Excluding the effect of the exchange rate, the adjusted gross margin was 25.6%, compared to 27.2% in the second quarter of 2024 . It should be noted that the adjusted gross margin for the second quarter of 2024 was atypical, due to one-off sales with above -average margins, while the adjusted gross margin for the last four quarters was 25.7%. We consider it relevant to present below the details of adjusted margins for the last few years, in which it can be seen that the second quarter of the previous year, which serves as a comparison between the respective quarters, had above average results: In the first semester of 2025, the gross margin (25.0%) was lower compared to that recorded in 2024 (27.1%). The adjusted gross margin, which eliminates the exchange rate distortion, was 26.0% in the first semester of 2025, compared to 26.9% in the same pe riod of 2024, showing a slight reduction. This variation is partly explained by the comparison with the second quarter of 2024 in which the atypical margin mentioned above was present, as well as the effect of the exchange rate reduction in this semester in the services line, since prices are fixed in dollars, while its cost structure is mainly composed in soles. 2025 2024 Var% 2025 2024 Var% Gross Profit (S/ millions) 454 514 -12% 955 1,002 -5% Adjusted Gross Profit (S/ millions) 471 510 -8% 991 996 -1% Gross Margin 24.7% 27.5% 25.0% 27.1% Adjusted Gross Margin 25.6% 27.2% 26.0% 26.9% As of June 30Second Quarter
Page 3
3 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results OPERATING PROFIT Operating expenses The operating expenses for the second quarter of 2025 (S/ 309.7 million) were 6.2% higher than those recorded in the second quarter of 2024 (S/ 291.5 million). The higher expenses are mainly explained by commercial concessions to clients, personnel expense s, and workers' participation expenses (due to the higher accounting profit before taxes). Expenses as a percentage of sales represented 16.8% of sales, higher than the 15.6% recorded in the same quarter of 2024. The higher percentage is explained, in addition to the above, because in spite of having slightly higher sales in dollars, sales in soles for the quarter were lower by 1.7%. The accumulated expense as of June 30, 2025, amounted to S/ 612.3 million, higher by 7.3% compared to the same period of 2024 (S/ 570.8 million). Operating Margin The operating margin for the second quarter of 2025 was 8.1%, lower than that presented in the same quarter of 2024, of 11.9%. If these results are adjusted excluding the effect of the exchange rate difference, an operating margin of 9.0% is obtained, lower to the 11.6% of the second quarter of 2024. The operating margin for the first quarter of 2025 was 9.1%, lower than the same period of 2024, which was 11.7%. Excluding the effects of the exchange rate, the adjusted margin was 10.0%, lower than the 11.5% reported for the same period of the previous year. NET FINANCIAL EXPENSES The financial expenses for the second quarter of 2025 were higher than those registered in the same period of the previous year (S/ 2 3.4 million vs. S/ 2 1.2 million, respectively). It should be mentioned that this increase is due to the higher indebtedness registered in this second quarter of the year, since the average debt increased from US$ 530 million in the second quarter of 2024 to US$ 6 37 million in the same period of the current year , due to the increase in inventory purchases and the higher investment in Capex, despite the fact that the average interest rate 2025 2024 Var% 2025 2024 Var% Operating Profit (S/ millions) 149 223 -33% 347 432 -20% Adjusted Operating Profit (S/ millions) 166 219 -24% 383 426 -10% Operating Expenses /sales 16.8% 15.6% 16.1% 15.4% 4% Operating Margin 8.1% 11.9% 9.1% 11.7% Adjusted Operating Margin 9.0% 11.7% 10.0% 11.5% Second Quarter As of June 30
Page 4
4 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results decreased in the second quarter of 2025 to 4.74% compared to 5.1 5% registered in the same period of the previous year. The accumulated net financial expense was S/ 46.4 million as of June 30, 2025, and was 6.1% higher than the same period in 2024 (S/ 43.7 million), due to the 16.6% increase in the average debt. Additionally, when analyzing the evolution of interest rates, it can be seen that the short-term rate went from 6.36% in the second quarter of 2 024 to 4.64% in the same period of 2025, reflecting the decrease in the reference rate of the U.S. Federal Reserve (FED) in the last months of 2024. On the other hand, taking advantage of this generalized decrease in rates, in 2024 a portion of the debt of most of the subsidiaries was reprofiled, which led to an increase in the average rate of medium-term debt, which is at 4.84% compared to 3.96% in the same period of 2024. Regarding debt, it is important to mention that the company has traditionally maintained a balanced debt structure between current and non -current debt, since it finances both working capital and Capex investments. At the end of this period the percentage of current debt is 62%, awaiting the appropriate moment to reprofile a portion of debt in the second half of the year. FOREX GAIN OR LOSS As has been reported on other occasions, the corporation has an operational currency match: its sales, invoicing, collection, and financing are mostly carried out in dollars. The effect of the exchange difference is temporary, given that the company records its inventories at the exchange rate at the time of their acquisition, while the debt, which is mostly taken in dollars, is adjusted month by month to the new exchange rates, producing a lag that is reversed when the sale is made. In this way, the monthly adjustments of the debt due to the variation in the exchange rate will then be compensated through the gross margin. During the second quarter of 2025, an exchange gain of S/ 52.6 million was recorded, as a result of the currency appreciation of the sol produced in Peru of 3.48%, going from an exchange rate of S/ 3.677 at the close of the first quarter of 2025 to S/ 3.549 as of June 30 of the current year. Meanwhile, in the second quarter of 2024, an exchange loss of S/ 38.3 million was recorded, originating from the currency devaluation of the peruvian sol. (S/ millions) 2025 2024 Var% 2025 2024 Var% Net Financials Expenses 23 21 10% 46 44 6% Average liabilities S/ 2,306 2,002 15% 2,262 2,001 13% Average liabilities $. 637 530 20% 618 531 16.6% Second Quarter As of June 30
Page 5
5 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results The decreasing trend of the exchange rate that was seen in the first quarter has continued during the second quarter of the year. This has led to a negative inventory reserve of S/ 80 million as of June 30 of 2025. On the other hand, the negative impact on gross profit in the second quarter was S/ 17 million, as a result of sales made at an average exchange rate lower than the average exchange rate of the inventory sold. NET PROFIT The net profit for the second quarter of 2025 was 10.3% higher than in the same period of the previous year (S/ 122.3 million vs. S/ 110.9 million, respectively). Isolating the effect of the exchange rate difference, the adjusted net profit amounted to S/ 98.2 million, lower than the S/ 134.0 million registered in the second quarter of 2024 . The graphs show the adjusted net profit, which is calculated excluding the effect of the exchange rate on gross profit, as well as the gain or loss due to the exchange rate difference in the income statement. It is worth highlighting that the accumulated net income for the first semester (S/ 266 million) is 17.6% higher than that recorded for the same period of the previous year (S/ 226 million), but excluding the exchange rate effect, it shows a decrease of 11.0%. Var% (S/ millions) 2025 2024 2025 2024 FX Gain / Loss 53 -38 -237% 88 -56 Second Quarter As of June 30
Page 6
6 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results RETURN ON EQUITY The Return on Equity (ROE) in the second quarter of 2025 was 18.4%, higher than that recorded in the same period of the previous year (16.3%). Excluding the effect of the exchange rate difference, the adjusted ROE is 17.0%, lower than the 18.0% recorded in the same period of 2024. EBITDA In the second quarter of 2025, EBITDA reached S/ 225 million, a decrease of 22% compared to the same period of 2024, and S/ 242 million when isolating the effect of the exchange rate on gross profit, with a reduction of 15% (adjusted EBITDA). Likewise, in the first semester of 2025, the EBITDA showed a 13% reduction compared to the same period of the previous year, reaching S/ 494 million, and a 5% reduction when considering adjusted figures without the exchange rate effect (adjusted EBITDA of S/ 530 million). Net Profit 1st Quarter 2nd Quarter Total 2025 143,441 122,335 265,776 2024 115,146 110,899 226,045 Var abs 28,295 11,436 39,731 Var % 24.57% 10.31% 17.58% Net Profit 1st Quarter 2nd Quarter Total 2025 132,598 98,208 230,788 2024 125,515 133,963 259,441 Var abs 7,083 -35,755 -28,652 Var % 5.64% -26.69% -11.04% (S/ millions) 2025 2024 Var% 2025 2024 Var% Net Profit 122 111 10% 266 226 18% FX Gain / Loss 53 -38 88 -56 FX Recovery through GM -17 4 -36 6 Net Effect 36 -34 52 -49 Net Effect After Tax -24 23 -35 33 Adjusted Net Profit 98 134 -27% 231 259 -11% Second Quarter As of June 30
Page 7
7 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results The EBITDA margin was 12.2%, compared to 15.4% reported in the second quarter of 2024. Excluding the effect of the exchange rate on gross profit, the adjusted EBITDA margin for the second quarter of 2025 was 13.2%, lower than the 15.2% adjusted EBITDA margin of the second quarter of the previous year. In addition, in the first semester of the year, the EBITDA margin reached 13.3%, compared to 15.2% in the same period of 2024. Isolating the exchange rate variation, the adjusted EBITDA margin amounted to 13.9%, compared to 15.1% for the same period of 2024. EBITDA 1st Quarter 2nd Quarter Total 2025 268,492 225,062 493,554 2024 275,010 289,146 564,156 Var abs -6,518 -64,084 -70,602 Var % -2.37% -22.16% -12.51% EBITDA 1st Quarter 2nd Quarter Total 2025 287,684 241,998 529,681 2024 272,836 285,212 558,048 Var abs 14,848 -43,214 -28,366 Var % 5.44% -15.15% -5.08% 2025 2024 Var% 2025 2024 Var% EBITDA (S/ millions) 225 289 -22% 494 564 -13% Adjusted EBITDA (S/ millions) 242 285 -15% 530 558 -5% EBITDA Margin 12.2% 15.4% 13.3% 15.2% Adjusted EBITDA Margin 13.2% 15.2% 13.9% 15.1% Second Quarter As of June 30
Page 8
8 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results SUMMARY OF MAIN FIGURES AND INDICATORS (In millions except for per share indicators) 2Q 2025 1Q 2025 4Q 2024 3Q 2024 2Q 2024 1Q 2024 1Q 25/ 2Q 25 2Q 25 / 2Q 24 Net sales $501 $533 $524 $507 $498 $485 -6.2% 0.5% Net sales S/. 1,840 S/. 1,974 S/. 1,975 S/. 1,912 S/. 1,872 S/. 1,830 -6.8% -1.7% Gross profit S/. 454 S/. 501 S/. 493 S/. 501 S/. 514 S/. 488 -9.3% -11.7% Operating expenses S/. 310 S/. 303 S/. 297 S/. 290 S/. 292 S/. 279 2.3% 6.2% Operating profit S/. 149 S/. 198 S/. 206 S/. 217 S/. 223 S/. 209 -24.7% -33.3% Net financial expenses S/. -23 S/. -23 S/. -24 S/. -20 S/. -21 S/. -22 1.9% 10.2% FX Gain / Loss S/. 53 S/. 35 S/. -27 S/. 39 S/. -38 S/. -17 49.5% -237.2% Net profit S/. 122 S/. 143 S/. 100 S/. 163 S/. 111 S/. 115 -14.7% 10.3% EBITDA S/. 225 S/. 268 S/. 283 S/. 283 S/. 289 S/. 275 -16.2% -22.2% Profit per share 0.129 0.152 0.106 0.173 0.118 0.123 -14.7% 9.2% EBITDA per share 0.238 0.284 0.301 0.302 0.309 0.294 -16.2% -23.0% Free cash flow S/. 74 S/. 96 S/. -108 S/. -138 S/. 195 S/. 363 -22.9% -62.1% Gross margin 24.7% 25.4% 24.9% 26.2% 27.5% 26.7% Adj. Gross margin 25.6% 26.3% 24.8% 26.2% 27.2% 26.6% SG&A / Sales 16.8% 15.3% 15.0% 15.2% 15.6% 15.3% Operating margin 8.1% 10.0% 10.5% 11.3% 11.9% 11.4% Adj. Operating margin 9.0% 11.0% 10.3% 11.3% 11.7% 11.3% Net margin 6.6% 7.3% 5.1% 8.5% 5.9% 6.3% Adj. Net margin 5.3% 6.7% 5.8% 7.1% 7.2% 6.9% EBITDA margin 12.2% 13.6% 14.3% 14.8% 15.4% 15.0% Adj. EBITDA margin 13.2% 14.6% 14.2% 14.8% 15.2% 14.9% Debt ratio 0.71 0.69 0.73 0.71 0.66 0.67 Net debt / EBITDA 1.99 1.77 1.90 1.78 1.68 1.78 Var. %Quarters
Page 9
9 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results ANALYSIS ACCORDING TO BUSINESS GROUP STATEMENT OF FINANCIAL SITUATION As of June 30, 2025, total assets amounted to S/ 6,648 million, 3.6% higher than the S/ 6,418 million in assets as of June 30, 2024. When comparing both periods, there was an increase of S/ 229 million, mainly explained by the increase of S/ 63 million in inventories -in the spare parts, machinery and engine lines- and by the increase of S/ 328 million in fixed assets. As of December 2024, assets already amounted to S/. 6,868 million, due to the purchase of units for the rental fleet, workshop and infrastru cture equipment and the increase in the inventory account in the second half of last year. As of June 30, 2025, assets show similar levels to those at the end of the previous year. Total liabilities amounted to S/ 3,660 million as of June 30, 2025, slightly above the S/ 3,656 million at the end of the same period of the previous year. 2025 2024 2025 2024 2025 2024 Sales 1,503,237 1,567,106 165,645 152,123 171,362 153,092 Gross profit 378,673 440,202 39,879 36,402 35,503 37,474 Adjusted gross profit 398,095 438,367 39,879 36,402 33,017 35,375 Gross margin 25.2% 28.1% 24.1% 23.9% 20.7% 24.5% Adjusted gross margin 26.5% 28.0% 24.1% 23.9% 19.3% 23.1% Operating expenses 239,477 223,721 25,827 24,506 37,618 38,866 Operating profit 144,812 222,054 14,506 12,114 -2,687 -2,596 Adjusted operating profit 164,234 220,219 14,506 12,114 -5,173 -4,695 Operating margin 9.6% 14.2% 8.8% 8.0% -1.6% -1.7% Adjusted operating margin 10.9% 14.1% 8.8% 8.0% -3.0% -3.1% Depreciation & Armotization 52,184 39,497 7,830 7,025 7,218 8,799 EBITDA 202,092 266,717 23,282 19,768 6,319 9,406 Adjusted EBITDA 221,514 264,882 23,282 19,768 3,833 7,307 EBITDA margin 13.4% 17.0% 14.1% 13.0% 3.7% 6.1% Adjusted EBITDA margin 14.7% 16.9% 14.1% 13.0% 2.2% 4.8% Net profit 124,408 118,350 8,298 5,403 -4,928 -7,242 Adjusted net profit 102,711 142,257 8,179 5,403 -8,901 -6,407 Net margin 8.3% 7.6% 5.0% 3.6% -2.9% -4.7% Adjusted net margin 6.8% 9.1% 4.9% 3.6% -5.2% -4.2% (S/ thousands) Dealers CAT in Peru Dealers CAT abroad & other businesses Other Businesses (S/ millions) Accumulated as of June25 % Accumulated as of March25 % Accumulated as of December25 % Accumulated as of June 24 % VAR% Jun25/Jun24 VAR% June25/Dec24 VAR% June25/Mar25 Cash and equivalents 177 3 350 5 248 4 186 3 -5 -29 -49 Accounts receivables - Trade 1,112 17 1,179 18 1,186 17 1,223 19 -9 -6 -6 Inventory 2,377 36 2,359 35 2,520 37 2,314 36 3 -6 1 Fix assets 2,187 33 2,104 32 2,079 30 1,860 29 18 5 4 Intangibles & Goodwill 322 5 330 5 337 5 352 5 -9 -5 -2 Other assets 473 7 498 7 497 7 484 8 -2 -5 -5 TOTAL ASSETS 6,648 100 6,821 103 6,868 100 6,418 100 4 -3 -3 Financial debt 2,232 61 2,281 62 2,334 59 1,966 54 14 -4 -2 Accounts payable - Trade 624 17 608 17 671 17 742 20 -16 -7 3 Lease liabilities 54 1 54 1 65 2 37 1 45 -18 -1 Other liabilities 750 20 1,001 27 865 22 910 25 -18 -13 -25 TOTAL LIABILITIES 3,660 100 3,944 108 3,935 100 3,656 100 0 -7 -7
Page 10
10 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results The corporation's financial debt increased to S/ 2,232 million as of June 30, 2025, higher than the S/ 1,966 million recorded in the same period of 2024. However, this level is comparable to the previous year-end (S/ 2,334 million). An analysis of debt in dollars shows a 20% increase in the second quarter of 2025, reaching US$ 637 million compared to US$ 530 million in the second quarter of 2024. INVESTMENTS IN FIX ASSETS (CAPEX) AND INTANGIBLES In the second quarter of 2025 fixed assets and intangible assets amounted to S/ 1 33 million, corresponding mainly to: i) S/ 9 million for investment in infrastructure; ii) S/ 140 million for the purchase of machinery and equipment for the rental fleet (net of transfers to inventory amounting to - S/ 53 million); and iii) S/ 1 5 million for the purchase of machinery and equipment for workshops. At the end of June 2025, the recognition of fixed assets for right of use (rented premises, rental fleet, fleet of vans, among the most important) is shown under fixed assets, as indicated in IFRS 16 Leases. FINANCIAL RATIOS At June 30, 2025, asset turnover was 1.18, while the cash cycle was 150 days, higher than the same period of 2024 (142 days). We note that inventory days went from 143 days in the second quarter of 2024 to 147 days in the same period of 2025, that collecti on days went from 49 to 46, while payment days went from 50 to 43 in the same period. The diversity of supply sources, both manufacturers, geographic locations and lead times, creates a constraint that may impact inventory days. Indicators Jun-25 Mar-25 Dec-24 Sep-24 Jun-24 Current ratio 1.47 1.46 1.52 1.42 1.38 Financial Debt ratio 0.71 0.69 0.73 0.71 0.66 Indeptedness ratio 1.22 1.37 1.34 1.33 1.32 Net debt / EBITDA 1.99 1.77 1.90 1.78 1.68 Adjusted debt / EBITDA 1.20 1.22 1.18 1.01 0.98 Financial expenses coverage ratio 7.92 8.74 8.92 9.25 9.19 Asset turnover 1.18 1.17 1.13 1.19 1.22 Inventiry turnover 2.45 2.50 2.34 2.38 2.52 Inventory days 147 144 154 151 143 Collection days 46 46 52 48 49 Payable days 43 41 47 48 50 Cash cycle 150 149 158 151 142 ROE 18.4% 18.8% 17.5% 19.5% 16.3% ROA 8.3% 9.0% 9.0% 9.5% 9.4% ROIC 11.3% 12.9% 12.3% 13.2% 13.4%
Page 11
11 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results MAIN HIGHLIGHTS Dividend Distribution In accordance with a resolution of the General Shareholders' Meeting held on March 24, 2025, it was approved to distribute cash dividends for S/ 293,281,719.20, corresponding to the maximum ceiling of the Dividend Policy. On August 27, 2024, an advance pay ment of dividends of S/ 100,000,000.00 was made against profits for fiscal year 2024, therefore, the remaining amount to be distributed was S/ 193,281,719.20. This amount is equivalent to a cash dividend of S/ 0.204301045877 per share, which was paid on April 29, 2025. Ferreyros in the Top 10 Best Companies to Work For: Merco Talento For twelve consecutive years, Ferreyros, the corporation's flagship company, was ranked among the ten best companies for attracting and retaining talent in Peru, according to the Merco Talento 2025 ranking, which had a historical participation of 37,000 re spondents. The company rose to seventh position on the list and reaffirmed its leadership in the industry, ratifying its commitment to excellent human resources management. Merco Talento analyzes the impact in three relevant dimensions: labor quality, employer brand and internal reputation, by collecting the perceptions of a wide range of stakeholders surveyed in Peru, and at the same time evaluating objective indicators of p eople management and attractiveness in the digital sphere.
Page 12
12 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results COMMERCIAL MANAGEMENT 1. SALES COMPOSITION BY GROUP OF COMPANIES VAR % 2Q 2025 % 1Q 2025 % 2Q 2024 % 1Q 2024 % 1Q25 / 1Q24 Ferreyros 1,228,180 66.7% 1,378,498 69.8% 1,350,085 72.1% 1,302,804 71.2% -9.0% Unimaq 221,120 12.0% 178,113 9.0% 171,709 9.2% 149,192 8.2% 28.8% Orvisa 53,894 2.9% 44,365 2.2% 45,312 2.4% 59,171 3.2% 18.9% Total CAT dealers in Peru 1,503,194 81.7% 1,600,976 81.1% 1,567,106 83.7% 1,511,167 82.6% -4.1% Total CAT dealers in Peru and other foreign businesses 165,645 9.0% 197,356 10.0% 152,123 8.1% 173,255 9.5% 8.9% Soltrak 73,674 4.0% 73,929 3.7% 70,813 3.8% 65,588 3.6% 4.0% Trex 50,145 2.7% 50,872 2.6% 46,822 2.5% 38,658 2.1% 7.1% Fargoline 33,707 1.8% 35,773 1.8% 21,853 1.2% 22,053 1.2% 54.2% Forbis 10,395 0.6% 11,233 0.6% 9,871 0.5% 9,840 0.5% 5.3% Otras 3,484 0.2% 3,657 0.2% 3,733 0.2% 9,114 0.5% -6.7% Total other subsidiaries 171,405 9.3% 175,464 8.9% 153,092 8.2% 145,253 7.9% 12.0% TOTAL 1,840,244 100.0% 1,973,796 100.0% 1,872,321 100.0% 1,829,675 100.0% -1.7% Quarters
Page 13
13 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results As can be seen in the tables above, Ferreycorp divides its businesses into three main groups: Group I - Subsidiary companies responsible for representing Caterpillar and allied brands in Peru (Ferreyros, Unimaq and Orvisa). In the second quarter of 2025, the sales of Caterpillar distributors in Peru registered a 4.0% lower than in the same period of 2024. Among the lines that showed growth were sales of allied equipment by 54.4% and rentals and used equipment, with a growth of 19.4%. In this quarter, the participation of this group of companies in the total sales composition of the corporation reached 81.7%. Group II - Companies dedicated to the representation of Caterpillar and other businesses in Central America (Gentrac, Cogesa and Motored). The sales of this second group of companies, with presence in Central America, reported an increase of 8.4% compared to the second quarter of 2024. Among the lines that showed growth, sales of Caterpillar machines and engines for sectors other than large mining, up 8.5%, and sales of allied equipment, up 100.6%, stand out. This group of companies generated 9.0% of the corporation's total sales. Group III - Companies that complement the offering of goods and services to Caterpillar's business in Peru and South America for various productive sectors (Soltrak, Trex, Fargoline, Forbis Logistics and Vixora) The sales of the third group of companies, which complement the supply of goods and services through the commercialization of equipment, consumables and logistics solutions, among other lines, showed an increase of 12.1% compared to the 2024 quarter. This group of companies generated 9.3% of the corporation's total sales. 2. SALES BREAKDOWN BY BUSINESS LINE Compared to the same quarter of the previous year, the lines that showed the greatest increase in the second quarter of 2025 were allied equipment and rental and used equipment. (S/ millons) 2Q 2025 % 1Q 2025 % 4Q 2024 % 3Q 2024 % 2Q 2024 % 1Q 2024 % % Var 2Q 25/ 2Q 24 Accumulated to June25 % Accumulated to June 24 % % Var 2025 / 2024 CAT Mining Trucks and Machines 37 2 158 8 218 11 75 4 84 5 115 6 -56.8 195 5 200 5 -2.6 CAT Machines & Engines for other sectors 370 20 371 19 344 17 369 19 373 20 322 18 -1.0 741 19 696 19 6.5 Allied Equipment 155 8 109 6 117 6 164 9 106 6 83 5 47.0 264 7 189 5 39.9 Rental and used 133 7 132 7 110 6 114 6 117 6 122 7 14.1 265 7 238 6 11.1 Spare parts and services 1,016 55 1,071 54 1,050 53 1,051 55 1,075 57 1,072 59 -5.4 2,087 55 2,146 58 -2.7 Other lines 129 7 134 7 136 7 139 7 118 6 116 6 10.1 263 7 234 6 12.6 TOTAL 1,840 100 1,974 100 1,975 100 1,912 100 1,872 100 1,830 100 -1.7 3,814 100 3,702 100 3.0
Page 14
14 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results The corporation's strategy is to increase the productivity of its customers in the use of the equipment delivered and in the management of their projects; therefore, great efforts are made to provide after-sales support with high quality standards and in locations close to the customers, which differentiates it from the competition. These aspects have allowed the spare parts and services business line, both Caterpillar and allied brands, to maintain an important participation in the total composition of Fer reycorp's sales (55.2%), reaching sales of S/. 1,016 million in the second quarter of 2025, lower than those of the same period of the previous year (S/. 1,075 million). Likewise, dollar sales were US$ 278 million, lower than in the second quarter of 2024 (US$ 286 million).
Page 15
15 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results As of June 30, 2025, sales of the Caterpillar brand, represented by the corporation through exclusive distributors in Peru, Guatemala, El Salvador and Belize, show a 76.0% share of total revenues. They include the sale and rental of machines and engines, as well as the provision of spare parts and services of this brand. 3. SALES BREAKDOWN BY ECONOMIC SECTOR As shown in the table, in the second quarter, the sector with the largest share of sales is mining. 2Q 2025 1Q 2025 4Q 2024 3Q 2024 2Q 2024 1Q 2024 Open Pit Mining 44.7% 50.8% 50.5% 43.9% 47.9% 51.3% Construction 24.9% 22.1% 19.4% 23.8% 24.0% 21.9% Underground Mining 9.0% 7.8% 10.6% 10.9% 7.6% 9.4% Industry, Commerce & Services 8.9% 8.9% 10.2% 10.5% 7.3% 8.4% Agriculture & Forestry 3.0% 2.7% 2.3% 2.7% 3.2% 2.0% Transport 2.1% 2.2% 1.6% 1.7% 2.3% 1.0% Fish & Marine 2.2% 1.4% 1.5% 2.7% 1.7% 1.3% Government 2.7% 3.2% 2.5% 2.2% 4.7% 3.6% Hydrocarbons & Energy 1.3% 0.5% 1.1% 1.1% 0.6% 0.6% Others 1.2% 0.4% 0.4% 0.5% 0.6% 0.5% Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
Page 16
16 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results FERREYCORP S.A.A. & SUBSIDIARIES APPENDIX 1 Income Statement (NOTES) (S/ thousands) Net Sales 1,840,244 100.0 1,872,321 100.0 -1.7 3,814,040 100.0 3,701,996 100.0 3.0 Sales Cost -1,386,189 -75.3 -1,358,243 -72.5 2.1 -2,859,147 -75.0 -2,699,622 -72.9 5.9 Sales Profit 454,055 24.7 514,078 27.5 -11.7 954,893 25.0 1,002,374 27.1 -4.7 Operating Expenses -309,658 -16.8 -291,548 -15.6 6.2 -612,254 -16.1 -570,816 -15.4 7.3 Net Other Income (Expenses) 4,467 0.2 782 0.0 471.2 3,921 0.1 776 0.0 405.3 Operating Profit 148,864 8.1 223,312 11.9 -33.3 346,560 9.1 432,334 11.7 -19.8 Net Financial Expenses -23,418 1.7 -21,241 1.6 10.2 -46,397 1.6 -43,720 1.6 6.1 FX Gain / Loss 52,557 2.9 -38,310 -2.0 -237.2 87,721 2.3 -55,531 -1.5 -258.0 Participation in the Results of Associates 1,922 0.1 274 0.0 601.5 2,445 0.1 527 0.0 363.9 Income Before Income Tax 179,925 9.8 164,035 8.8 9.7 390,329 10.5 333,610 9.0 17.0 Income Tax -58,058 -3.2 -53,972 -2.9 7.6 -125,630 -3.3 -107,943 -2.9 16.4 Net Income Cont. Oper. 121,867 6.6 110,063 5.9 10.7 264,699 6.9 225,667 6.1 17.3 Net Income Cont. Oper. 468 0.0 835 0.0 -44.0 1,077 0.0 378 0.0 184.9 Net Profit 122,335 6.6 110,898 5.9 10.3 265,776 7.2 226,045 6.1 17.6 EBITDA 225,061 12.2 289,146 15.4 -22.2 493,554 13.3 564,156 15.2 -12.5 Adjusted EBITDA 241,997 13.2 285,212 15.2 -15.2 529,681 14.3 558,048 15.1 -5.1 Var %2Q 2025 2Q 2024 Accum as jun25 Accum as jun24% NOTE: Some figures have been reclassified in this document to include the allocation of gross profit from purchase orders, such as sales and cost of sales. In the Income Statement that is presented to the SMV, only the gross profit obtained in said operations is shown under the heading of other operating income. % % % Var %
Page 17
17 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results FERREYCORP S.A.A. Y SUBSIDIARIES APPENDIX 2 Statement of Financial Position (S/ thousands) Cash and Equivalents 176,817 186,007 -4.9 Short Term Debt 1,385,508 1,311,380 5.7 Accounts Receivables - Trade 1,082,608 1,187,115 -8.8 Liabilities Derived from Leases (IFRS 16) 17,597 20,501 -14.2 Inventory 2,376,636 2,313,819 2.7 Other Current Liabilities 1,235,553 1,513,919 -18.4 Other Account Receivables 193,418 195,123 -0.9 Current Liabilities 2,638,658 2,845,800 -7.3 Assets is Available for Sale 2,665 2,762 -3.5 Long Term Debt 846,354 654,877 29.2 Prepaid Expenses 39,646 30,233 31.1 Other Payables 3,245 2,650 22.5 Current Assets 3,871,790 3,915,059 -1.1 Liabilities Derived from Leases (IFRS 16) 36,106 16,561 118.0 Deferred Tax Income 135,275 135,761 -0.4 Long Term Account Receivable - Trade 29,282 35,578 -17.7 Other Long Term Account Receivable 7,007 40,492 -82.7 Total Liabilities 3,659,638 3,655,649 0.1 Property 1,320,323 1,262,087 4.6 Rental Fleet 1,080,119 859,235 25.7 Equity 2,987,879 2,762,852 8.1 Machinery & Equipment 598,863 580,582 3.1 Other fIxed Assets 163,591 139,524 17.2 Total Liabilities & Equity 6,647,517 6,418,501 3.6 3,162,896 2,841,428 11.3 Accumulates Dpereciation -975,634 -981,911 -0.6 Net Property, Plant & Equipment 2,187,262 1,859,517 17.6 Investments 36,784 28,161 30.6 Other Financial Information Net Intagible Assets & Goodwill 321,585 352,060 -8.7 Dpereciation 115,693 98,937 16.9 Deferred Income Tax 193,807 187,631 3.3 Armotization 15,404 15,228 1.2 Non Current Assets 2,775,727 2,503,439 10.9 Total Assets 6,647,517 6,418,498 3.6 As of June 2025 As of June 2024 Var %As of June 2025 As of June 2024 Var % FERREYCORP S.A.A. Y SUBSIDIARIES APPENDIX 3 Total Liabilities as of June 2025 (USD thousands) (A) Total Current Financial Liabilities Liabilities Short term Long term Liabilities Local Banks (Short term) 241,781 241,781 - - 241,781 Foreign Banks (Short term) 38,692 38,692 - - 38,692 Local Banks (Long term) 249,515 - 72,493 177,022 249,515 Foreign Banks (Long term) 22,995 - 5,856 17,139 22,995 Local & Foreign Banks (F in Leasing) 1,797 - 418 1,379 1,797 Suppliers - - - Accounts Payable to Caterpillar 79,708 79,708 - - - Others 90,094 90,094 - - - Corporate Bonds 52,062 - 17,428 34,635 52,062 Caterpillar Financial 137 137 - 137 Liabilities derived from Leases (IFRS 16) 14,605 4,786 9,819 - Other Liabilities 203,892 166,220 - 37,672 - Total (US$) 995,278 616,495 101,117 277,667 606,979 Total (S/.) 3,659,638 2,266,851 371,807 1,020,980 2,231,862 Long term liabilities
Page 18
18 Informe de Gerencia 2T 2 Informe de Gerencia 1T 2025 Análisis de Resultados Consolidados Press Release 2Q 2025 Analysis of Consolidated Results FERREYCORP S.A.A. Y SUBSIDIARIES APPENDIX 4 Cashflow Statement (S/ thousands) Cashflow from operating activities Collections from customers & third parties 3,673,802 4,094,801 Payment to suppliers -2,616,321 -2,713,696 Payment to employees and others -472,374 -422,419 Payment of taxes and income tax -132,475 -145,922 Net cash provide by operating activities 452,632 812,764 Cashflow from investing activities Acquisitions of property, plant & equip. -314,503 -194,017 Acquisitions of intengibles -2,759 -3,541 Sale of property, plant & equip. 511 3,282 Net cash provide by investing activities -316,751 -194,276 Cashflow from financing activities Financial liabilities 2,203,608 1,660,604 Payment of financial expenses -2,167,422 -2,079,905 Payment of lease activities -15,281 -16,076 Interest payments -46,499 -52,660 Dividend payment -193,216 -160,051 Share buybacks - 17,986 Net cash from financing activities -218,809 -630,102 Net cash increase -82,928 -15,930 Cash at the beginning of the year 248,259 219,097 Cash due to exchange variation 11,487 -17,160 Cash as the end of the year 176,818 186,007 As of June 2025 As of June 2024