Verallia,Courbevoie

Ladies and gentlemen, welcome to the Viralia 2026 Q3 results analyst call. The call will be structured in two parts. First, a presentation by the Viralia group management team, represented by Patrice Luca, CEO, and Cristina Riesgo, CFO. Afterwards, there will be a Q&A session. During this session, you may ask question in two ways, by submitting a written question in the box below the player or by joining the conference call and dial pound key 5 on your telephone keypad to enter the queue. I will now hand over to the management team. Please go ahead.

Good morning everyone and thank you for joining us. and welcome to our call for Q3 2026 financial results. As usual, we'll go through our presentation and then we'll have and we'll take time for the Q&A session. After a quick introduction, we'll go directly to our numbers with Cristina and then I will come back on our outlook for 2026. So as an introduction, just to remind you that Veralia is the global leader in glass packaging. We are the number one in Europe, number two in Latin America and number three worldwide. On this chart you have our ID card, you have on the left the 2025 split of our sales by segment and as you know one of our strong assets is our customer base and the diversified and balanced end markets in which we operate. We operate in 12 countries with 34 glass plants and 63 furnaces. We do serve about 11,000 customers and produce around 18 billion bottles and jars per year. Please note also that we are running 19 collet recycling centers allowing us to control about 50% of our needs for external collets. Before moving To our numbers, I would like to share with you the strategic partnership we signed with Mouette NC a few weeks ago. This partnership is focused on innovation for next-generation glass packaging. It is about customer intimacy, innovation, and decarbonization. It's customer intimacy with a long-term R&D partnership with one of our most iconic premium customers, combining Customer Expertise and Industrial Know-how. It's innovation with the objective to develop new glass generation glass packaging targeting a 30 to 50% weight reduction while maintaining strength and performance. And finally, it is about decarbonisation because reducing weight is one of the levers to pursue industry CO2 emission reduction. So this is the beginning of a journey of innovation to prepare the future of glass. Now about our financial numbers. Our profitability is in line with H1 despite the lower activity during the summer and despite the pressure on our costs with the current inflationary situation. Q3 revenue is down by minus 2.1% year over year to 829 million euros with an organic growth at minus 3.1% year-over-year, which is giving a nine-month revenue down by minus 1.6% year-over-year to 2,527,000,000 euros, with an organic growth of minus 1.7% year-over-year. About the adjusted EBD, Q3 is 172,000,000 euros, minus 4.8% versus Q3 last year, with a margin of 20.8% minus 59 bps versus Q2 last year which is giving a 9-month adjusted EBITDA at 523 million euros minus 1.5% versus last year with a margin of 20.7% similar to last year just plus 3 bps. And about the net debt, we are pursuing our leverage trajectory reduction. At the end of September, we are now at 2.5 compared to 2.6 in June and 2.7 in December. So now I let the floor to Cristina for more details.

Thank you, Patrice. Let me start with the third quarter revenue bridge. As a reminder, we present these breaches excluding Argentina, given the hyperinflation and currency distortions that we see. So you will see Argentina as a separate pillar in all the pages.