Exor Nv Ord

Welcome, and thank you for joining Exor's half-year 2026 results conference call. Please note that the presentation materials and the related press release are available for download on Exor's website, www.exor.com, under the Investors and Media Financial Results section, and any forward-looking statements made during this call are covered by the safe harbour statement included in the presentation material. As a reminder, all participants are in a listen-only mode. Later, there will be a brief question-and-answer session. Please note that this conference is being recorded. At this time, I would like to turn the conference over to EXOR's Chief Financial Officer, Guido de Boer. Sir, you may begin.

Thank you for opening this call, and welcome all to the half-year 2026 results for EXOR. two main highlights that we would like to present to you today. We announced last year that we would progress with simplifying our portfolio, and we've progressed at speed by doing that. The most sizable one, Iveco, you'll follow closely, where earlier in the half year they filled the defense business with Leonardo and also a few weeks ago Tata formally launched its tender offer for Iveco with closing in two months. Also during the period we completed the divestment of JD Lightnet and Nuo and I'm pleased to tell you that I'll be fine and agreement the cell are a well-packed we own company who a different cycle mending to a.m. from that it you very well way and with the fight which it will be potentially in line with what we put in our fair value she which we're in the morning call you going for time and we expect that to close That leaves us in an extremely strong position in turbulent times and leaves us in a good position to benefit from those turbulent times with a balance sheet that is extremely solid with 4 billion of deployable cash But to give you the bridge of that we start at the year of 1.4 billion of cash The proceeds from these divestments and from other divestments like reinsurance vehicles and distributions from venture arms deliver around 2.7 billion of proceeds. And then with some net cash inflows from dividends and some capital calls we make for Ligota, we'll end up with approximately 4 billion of cash, of which we'll use half a billion and in in by back-to-back you it won't and will be good for up the moving on to the he figures during that period are not like I 1.2 billion will go into the people forces in while our loan-to-value strengthened quite a bit, obviously, with the increase in cash position. Nav per share fundamentally moved in line with our NAV, as we did not find that in the period. And our total shareholder return was below that because of the widening of this period. Composition of our portfolio changed on a few important items. Ferrari strengthened a bit from 32 to 34. An important mover was E&H as well with a very strong performance in the period moved from 8% to 10%. And obviously also cash up to 6% during the period. If we then move to the breakdown of the change in Gauss, there's a lot of numbers on this slide. The key one that explains the performance in this period is the change in value for this. We'll break down all the other buckets in detail. we want to be extremely transparent and show you all the levers of performance so we'll dive into that a bit further but all of them led in the period an increase from cash in cash from 1.4 billion to 2.2 and as mentioned from 300 million of of investment largely granted commitment so one half a billion of disposals the dividend we did and in other changes 676 is the dividend inflow that we have left left expenses so we then move to the core bucket of investments that we have our list of companies there you see the key driver of our performance was a strong decline in the share price The other three big companies all performed well, with a notable mention for CNH. Iveco seems like a weak performer here. I would like to note that they distributed the $427 million of special dividends following the divestment of Leonardo. And so for TSR, they showed a strong green performance. Inventive and Paravate for a week during the period via transportation which recently IPOs and they showed similar trends of many US tech companies that IPOs and weakened and have been now since rebounded and it is underlying performance from results So we then move on to unlisted companies we dispose in the period JD and NUO and after the period we also sold Lifenet and Weltex as I just mentioned so in total around 900 million of production of these unlisted companies and shifting more to unlisted portfolios The change in value, you see in the interior, we'll speak later also about the barrier opening in the interior, because the change in value of the interior is largely due to the change of the lift of the interior. Then moving to Lingotto and others, the intersection fund declined by 370 million approximately. might recall that last year they went up 1.2 billion and so this is a logical volatility that lies in the market and very confident even that they've never had it down yet before and they want to apply to a positive position in these months Ningo Pro Horizon was a good positive surprise where they had one investment in their portfolio which saw a unicorn round and because we were one of the early investors which was a very nice uplift value depth portfolio and the others moved steadily The investments we did were existing commitments for Horizon Innovation in Wall Street and we invested in a very promising new hedge fund talent that started a new hedge fund with capital of 200 million that we found in this bidder. Then we have the bucket of other assets, which before at the start of the period amounted to $2.3 billion. We've been disposing quite a bit of assets in that category as well, and that's an ongoing process we plan to do. Key proceeds in the funds managed by third parties were $55 million of reinsurance vehicles, so that's over from the Department of Redisposal. and 38 million of distributions from Aura Global to XR Ventures. Other assets were loans extended to JD and as part of the sale of JDB for Oslo. the changes in value also on the venture capital arm they've made investments in some of the early AI and companies both in AI business themselves as well as in infrastructure and these all look to be unicorn investment that's driving a strong upward revision of valuation of Aura Global. Listed companies down by 237, 118 there and that is related to DMR and also Fovia on the back of the weakness in automotive. Stellantis was down 50, which is the grand majority of the change. So that's for Tour d'Orvison of the performance of our portfolio. As I mentioned, the change in cash and cash equivalents, the breakdown I showed you at a high level before, 861 million of dividends. We received a bit more dividends if we chose K of the didn't in it in here but it will won't be here you can press with me which we didn't didn't he and both here that investment in that hell with you people evident in this period given our title exposition a.m. the also be paid for private based on just make your way the and investment be in perfect terms mission is possible and you boring her in Ohio interest rate and my that position but that money they get and then you can put it On the debt side, not much to report, as I like it, being prudent on our debt position. So we have a debt position of 3.7 billion in line with what we had last year. Maybe see a bit of movement in other financial liabilities, 140 million. That's just the timing of an FX transaction we did. It started at the end of the period and completed on the first day of July. The counting entry, the bottom line number is 3.7. We have no redemptions anymore in 2026 nor in 2027. So in these turbulent times fully funded on that side and first redemption to follow in 2028 with a very well spread out maturity protocol for the coming next 12 years. the debt debt on the debt side let me now turn to the capital allocation that we took in the board yesterday during a 500 on market buyback and we'll execute it in the next six months so you'll see also in the announcement that we very explicit that both because the shares trade at a substantial discount or not and don't reflect our assessment of the intrinsic value portfolio we made this decision. We also said before we do this because it's at a substantial discount as or not because we feel that it is a good day education investing at our portfolio which we like and half the cost is an investment that makes a lot of sense. We also chose to make the statement a bit stronger because I think we're actually in a triple whammy situation of the discount is at a very high level and 56% is a long time that we reached that our company are at the press level and we have a a exposition it well you know he told it is part of our cool book but also part of our on-going cool thing if we evaluate it's not an opportunity transaction we'll chose not to do this as a fellow mark go then we have started a and it will continue until we understand it's important for us because we are committed to driving never share book as we've already done outperforming both an absolute relative basis and as I mentioned by bags are and will remain our typical part of our case

So with those closing remarks, I would love to hand it over to the Q&A.