Sanlorenzo Spa

Welcome to everybody. Thank you to be here. It is proud for us to have you in Casa San Lorenzo. We meet during the year to the various capital days and we We tell you about Casa San Lorenzo, but something is to show you a picture, something else is to show you the place. And I hope that you enjoy it. Now, let's start. I... Okay, okay. I'd like to stop for one minute to the team. I started, as you know, working in the yacht industry when I was 23, 43 years ago, and I learned that this industry is a delicate, difficult industry because we work without 6000 engineers like Mercedes to a product that has to be technically very sophisticated from the artisan point of view perfect and our customers are the best men in the world because they became very rich therefore the team working on this business has to be special. And I think that the team we put together in these years is special. Most of them you know. I would concentrate on Gian Guido Girotti, which is in the middle, because he's the last one coming to join us. He will present himself. I have to thank a lot Tommaso, which is with us since 18 years. And I believe that doing such a difficult job, it is important to be in the business for many years and be expert of this business. Tommaso is with us since 18 years. but Gian Guido will be with us in a few weeks but he's in the business for more than 20 years. Pierre is the chief corporate official, he's a very young guy with a lot of energy and I would say ideas being young is bringing a lot of energy and new ideas in the company. The CFO is a guarantee because he's working with me since 20 years and he's a guy of the number, but he knows very well the number of the yachting, which is very important as well. I missed one picture here, which is Carla, which is there. In a few months she will step out of the CEO position of Blue Game but she will remain with us, she will remain in the board of directors, she will remain as advisor to the chairman. We have been working together for more than 40 years and I'm very pleased that you will still support me. It will be a long meeting so please relax because we want to tell you exactly what will be the future and the world of San Lorenzo, Swan and Blue Game. I will start with the track records and highlights and then the people you saw in the picture will present the plan. I promise I won't make any more mistakes. A story of innovation rooted in tradition. 20 years of shared vision, shaped by many hands. From a corner of Italy,

To the world's attention Where craftsmanship became culture and yachts became legends This is San Lorenzo Like the sea itself. Never changing yet ever changing. The present will soon be past. But tomorrow's icons are timeless.

Don't be shy, eh? Today you have to applause a lot. So, let's start. Consistently achieved all targets across market conditions. Two very important messages. As you see, in the last six years since the IPO, we've been very conservative, we've been very prudent in giving our numbers. And we achieved every year all the promise we gave you. And this is the base of the planning of the next three years as well. We like to remember and we think that the San Lorenzo of today is a much stronger company than six years ago with better management, with better range of product, with a wider market, with more experience and also for you a company which is keeping the promise. As you see, the financial performance has been remarkable. We have a revenue which grew 9% in the last three years. The EBITDA grew 11.7% and the net profit 13.1%. The EBITDA margin for 2025 is 18.8%, which is a little It's lower than last year, but the organic growth is 19.5. We have, unfortunately, the consolidation of Swan. Swan is a company with great potential, but it's not that easy to get to the San Lorenzo margin in a quick time. What is very important for us is that the first consolidation is a company that has a net profit and is producing cash, which he never did in the last 20 years. The EBIT is 14.6% and we have a net cash position. The last, but I think very important, we like to remark that the ROIC is more than 20%. and this is a very important number as all of you know. We did 164 million of dividend and we will keep the same policy between 30 and 40% of the net profit for the next three years as well. The cap is around 50 million and we will keep that cap for the next three year plan as well. So we think we have a leadership in profitability, We have asset light business model and I would say we will show you there is some strong barriers to the entry in our business which is again a good important point. Quickly through what we did, the direct distribution has been boosted a lot with the new San Lorenzo Med Americas, San Lorenzo of Americas, we have a new office in Pier 66 and we have new sales organization, we have new dealer in Mexico and in Brazil and Hapac is now very consistent. We saw the numbers of our direct competitors and today San Lorenzo, thanks to the investment Simpson Marine is in the first position in sales for Asia Pacific. Now considering the situation of Russia and Middle East, we really think that we will enjoy our leadership in Asia Pacific. In the middle you have the competence of the companies being increased thanks to the acquisition of some of our suppliers. and then, last but not least, we are pioneering the technology for the emission and for the sustainability. I just remember the tender for the Americans Cup, which is 11 meters with foil and hydrogen propulsion, more than 50 knots for 180 miles. It was a success for American Magic and the French Syndicate. The first 50 meters with the methanol reformer fuel cell. You see the equipment produced and supplied by Siemens. And I would consider Naoto Zhuang as the last point of a film rouge which is closing the sustainable investment of the company. Juan is building sailboat, is the top brand in the world and our goal for the future will be building maxi going 16 knots with the wind and when there is no wind to have a propulsion which will not be a thermic engine but a new sustainable power. that will be the ideal product for the next 5 to 10 years. The new model. This model has been launched in 2025 and I hope you already saw our numbers and you see that we have quite a strong order intake, approximately 25% more than the first quarter of 25. Consider that we had a very strong general in February, probably some of you remember our meetings, we said Düsseldorf was very good, Miami was very good, but then the third month was almost stopped due to the Iran war. We have strong order intakes and the reason why is here. The new model has been a success, has been supporting very much our order intake. So nothing is coming from the sky, everything comes back. When you do a right investment, you do a right design, you do innovation, you have the right team to do it, at the end the result is coming back. This is, I think, the most important picture of the day because it's showing you that we are increasing the order intake consistently in the last seven quarters. Now, seven quarters is not one or two or three. We sell an 80-meter or 70-meter and we adjust the number. No. Seven quarters is from, as you see, age 24 through 25, which is not being announced here, as always known, until the first quarter of 26. One of our business models plus is the segment. Remember, I started when I was 23. I worked for more than 20 years in a very important company in the business and I learned that yachting, boating is not always very good in terms of profitability. Che è successo? So we like to show you these slides because the sweet spot in this business is between 30 and 40 meters. It's the segment of the business of the market which is more profitable, less competition and San Lorenzo is leading as you can see. We are monobrand, so you see that 141 yachts are built under the same name, San Lorenzo. Meanwhile, our competitors, sometimes they use more brand, but still do not have more boats in construction than San Lorenzo. This is very important, and this probably is one of the main reasons of our EBITDA margin, which is the highest EBITDA margin of the market. So we are price leader here. We have a model which is changing the product every 10 or plus years. If you see, let's compare with the car industry, which is easier for everybody. With a car like Renault, Peugeot, Ford, Fiat, they change the cars every... 3, 4, 5 years because they need to make the evolution of the cars in order to have more orders, in order to get the order intake. If you take as example Mercedes or even more, Bentley or Rolls-Royce, the changing of the product is every 20 years because the market is more solid, there is a leadership Well, San Lorenzo has an average of 10 years for each model, which is a sign of top brand positioning, the connoisseur of the club of customers of San Lorenzo. This is one of our special business model points. Then, of course, the scarcity, the desirability, and many other points that we already discussed together. Now, let's... I would like to go to this one and then I come back. The new number. This is the last six years, the guidance for 2026 is expecting a 4% increase between 980 and 1 billion and 20. We have an EBITDA which goes from 180 to 192. with an average increase of 3%. The EBITDA margin is between 18.5% and 18.8%. Here we have to consider the slow growing of SWAN. EBIT 140, 147, the EBIT margin between 14.2 and 14.4, the group net profit between 108 and 114, and the CAPEX around 5.3% of the revenue. It is not a fantastic guidance, but you have to consider the geopolitical situation of today. And you have to consider mainly our prudent, conservative approach. We like to maintain our promise. So in today's environment, these numbers we consider very solid, very resilient, Considering that we cannot sell boat in Russia, we cannot sell boat in the Middle East. In Dubai, people are leaving. Fortunately, they are using the boat in the Med, but they are leaving. and so they are not thinking to change the yacht in this month. So in this difficult environment we think that the guidance for 2028 will be a growth of 6% or more, the EBITDA margin will be 19% or more and the EBITDA margin will be 14.5% or more. and we keep 5 to 5.5% of the CAPEX. Please consider this a strong, resilient plan, conservative, because if things go better, we have the possibility to have quite an interesting upside. The day that there will be no war, There will be more business. Now it's five years of war between Ukraine and Russia. We have many, many customers calling us saying, as soon as the boat will finish, we will knock your door. Remember, we used to sell 3-4% of our revenue to Russia, and after five years that means 15%. And the people still have the money, they just need to be free to buy it. The same is for the Middle East. Our Middle East market is 7.5%. So if that war will stop, we will add to the three-year plan 7.5% of market to be back. So the geopolitics stabilization will be a key point of the upside. Refit, we are working for the acquisition of a new plant. We like to have the right plant to the right money. You know, we are very conservative, we don't want to spend too much money if it's not needed. The moment we will have a new plant, and there are some good alternatives existing, there will be a boost in our numbers that are not inside of the plant. and the Untaped Geography. This is also an important point. As you remember, in the last quarter of 25 we had Brazil and Mexico, two big countries. We have Australia and Japan on the other side. And there are still, we will see later, there are still good important markets to cover. So we have still quite a nice space to grow. Now, the program of the day are the pillar of the San Lorenzo group medium term strategy. We will have Tommaso and Ivan and Attilio and Gian Guido to talk and to explain to you. In the summary, we will speak about pioneering technology, innovation, Grazie.