Sogefi (SGF) investor relations material

Executive summary

• Revenue for H1 2026 was €492.5m, down 0.5% year-over-year but up 0.4% at constant FX, with growth in Europe and India offsetting declines in China and South America.

• Adjusted EBIT rose 5.8% to €36.8m, with net income stable at €18.7m and free cash flow (FCF) at €13.2m, up from €10.9m in H1 2025.

• EBITDA reached €69.5m, up from €67.8m in H1 2025; adjusted EBITDA (excluding non-recurring items) was €73.8m, up from €70.9m.

• A binding agreement was signed for the sale of the non-core Precision Springs unit for a net enterprise value of €21m, expected to close by July 2026.

Financial highlights

• Contribution margin improved to 30.2% from 29.5% year-over-year.

• Adjusted EBITDA margin increased to 15.0% from 14.3% in H1 2025.

• Net debt (including IFRS16) reduced to €51.2m at June 2026, down from €56.3m at 2025 year-end.

• Free cash flow before IFRS16 was €13.2m; after IFRS16, €7.5m, down from €16.4m due to a major rental contract renewal.

• Total financial expenses fell to €4.6m from €5.7m.

Outlook and guidance

• Management expects a low single-digit revenue decline for 2026, with adjusted EBIT margin in line with 2025.

• Market visibility is limited due to geopolitical uncertainties, especially in the Middle East, impacting inflation, trade, and supply chains.

• S&P Global forecasts a 2.1% decline in global auto production for 2026, with Europe down 1.7%, NAFTA down 1.3%, China down 4.6%, India up 8.6%, and South America up 2.4%.