Sphera Franchise Group (SFG) investor relations material

Executive summary

• H1 2025 sales rose 0.7% year-over-year to 745.2 million RON, with Romania contributing 85.7%, Italy 12.5%, and Moldova 1.8%, amid political and economic uncertainty.

• Net profit for H1 2025 dropped 69% year-over-year to 12.6 million RON, mainly due to higher operating costs and margin compression.

• Normalized EBITDA for H1 2025 fell 33% year-over-year to 52.8 million RON, impacted by cost inflation and one-off items.

• 177 restaurants operated across three countries as of June 30, 2025, with 8 new units opened since H2 2024.

• Q2 2025 sales increased 2.3% year-over-year to 382.6 million RON, but normalized net profit dropped 48.7% to 9.8 million RON.

Financial highlights

• Consolidated H1 2025 sales were 745.2 million RON (+0.7% YoY); Q2 sales were 382.6 million RON (+2.3% YoY).

• Restaurant expenses rose 5.9% year-over-year to 691.9 million RON, outpacing sales growth, with food and material costs up 2%.

• Normalized EBITDA margin for H1 2025 decreased by 3.6 percentage points year-over-year due to cost inflation.

• Net profit for H1 2025 was 12.6 million RON (-69% YoY); normalized net profit was 17.7 million RON (-56.5% YoY).

• Free cash flow guidance for 2025 is 62–72 million RON.

Outlook and guidance

• 2025 sales guidance revised to 1.6–1.65 billion RON, 5–8% below the initial budget, due to VAT hikes and cost inflation.

• Normalized EBITDA guidance for 2025 is 140–150 million RON, 23–28% below the original budget.

• Normalized net profit expected between 63–70 million RON, 34–40% below the initial target.

• Management expects continued margin pressure and cautious consumer demand in H2 2025, prioritizing cost management and selective investment.