Piippo (PIIPPO) AGM 2025 presentation summary

Review of financial year 2024

• Revenue declined below the previous year, with operating loss narrowing due to improved unit margins and lower costs.

• Decision to end wire production and shift to subcontracting impacted revenue.

• Major cost adjustments and working capital reductions were implemented.

• Export accounted for 75% of revenue, with main segments being baling nets, cable wires, and consumer products.

• Subsidiary Manilla operations were consolidated and some activities outsourced.

Key events and strategic actions

• Strategic review led to the closure of wire production at Outokumpu and outsourcing of wire products.

• Initiated liquidation of subsidiary PiippoRUS after ending its sales process.

• Signed a letter of intent in February 2025 to potentially sell baling net and wire machinery and IP to Cotesi S.A.

• Launched change negotiations regarding the impact of the planned sale.

• Board considers the sale terms and price favorable and in the best interest of shareholders.

Financial position and capital structure

• Balance sheet total decreased to €11.3 million, with equity at €3.3 million as of September 2024.

• Financial covenants were breached, but new financing arrangements were agreed for 2025.

• Unused credit limits at year-end were €2.4 million.

• Market capitalization at period-end was €2.13 million, with 503 registered shareholders.