Innovatec (INC) Investor presentation summary

Business and strategic positioning

• Integrated services span environmental management and circular economy, energy efficiency and renewables, including waste collection, treatment, recovery, recycling, PV and green energy.

• Vertically integrated environmental operations combine 8 sorting and treatment plants, 3 landfills, 7 biogas and PV plants, and 60 COBAT collection hubs.

• Environmental services operate directly across Northern Italy, with national reach supported by a network of 50 partners.

• Customer base includes 8,000 clients, with a reported 95% loyalty rate.

FY2022 financial performance

• Revenue reached €289M, up 21% vs 2021; net result was €10.6M, up 71% vs 2021.

• EBITDA was €32.4M, with an 11.2% margin, broadly in line with PF21; EBIT was €18.7M, with a 6.5% margin vs 4.5% in PF21.

• Environmental and circular economy revenue growth benefited from price increases despite lower volumes; energy efficiency activity slowed in H2 amid regulatory uncertainty.

• Operating cash flow was €9.4M after a €20.4M working-capital increase; net debt reached €49.7M and net debt/EBITDA was 1.5x.

Growth plans and market opportunities

• 2022 investment totaled €41.4M, including €20M hard capex and €21.4M M&A.

• Pipelines included €130M in building renovation and 300MWp in PV and AgriPV; the Ecobonus pipeline was subject to adequate bank facilities under negotiation.

• 2023/24 priorities include expanding recycling and treatment capacity, improving WEEE treatment, growing textile consortia and developing lithium treatment facilities.

• Planned landfill capacity includes 1.2M cubic meters, with a potential additional 2.2M cubic meters.

• Addressable programs include at least €1T of EU sustainable investment, €60B for Italy’s green transition and €600M for advanced waste-treatment projects.