Friedrich Vorwerk : 05.2024 Earmings Call Q1 2024

Earnings Call Q1 2024

H

May 15, 2024

Driving the clean energy transition.

Today's presenting team

Torben Kleinfeldt	Tim Hameister
CEO	CFO

Group Strategy & Development	Finance & Controlling
VORWERKer since 2001	VORWERKer since 2019
20+ years industry experience	8+ years industry experience
Diplomas in Engineering and Business	M.Sc. Financial Management & Accounting

1

H

Market update

5

A recent study estimates the investment for a successful energy transition at 1.2 trillion € - thereof >600 billion € directly addressable by Vorwerk

1.2 trillion €

Investment volume required to achieve the energy transition targets

by 2030 and 2035 in Germany

Thereof		by 2035

> 250 bn €	> 220 bn €	> 70 bn €
Transmission grid	Distribution grid	District heat

Fortschrittsmonitor 2024

Energiewende

> 45 bn €	~ 20 bn €
Green gases	H2 core grid

6

Until 2045 investments in the electricity transmission grid will even exceed >320 billion €

Bundesagentur confirms Electricity Network Development Plan 2023-2037/2045 for climate-neutral transmission network

"

This is the first network development plan that presents the electricity network we need to complete the energy transition. We have carefully assessed all the projects that were proposed.

We need to build a significant number of additional lines by 2045 to achieve a climate-neutral electricity system,""

Klaus Müller

President, Federal Network Agency (Bundesnetzagentur)

+4,800 km

New electricity lines*

+2,500 km

reinforced electricity lines*

+5

new HVDC transmission lines each with a capacity of 2 gigawatts*

320 bn €

Investments in the German electricity transmission network by 2045

7

• As compared to the current Federal Requirements Plan ("Bundesbedarfsplanung")

By approving 24 hydrogen projects, the EU paves the way for the German hydrogen economy

Commission approves up to €6.9 bn of State aid by 7 Member States for the third Important Project of Common European Interest in the hydrogen value chain

	IPCEI Hy2Infra		"
	H2 Projects Germany
	Important Project of Common
	European Interest	33	4.6bn €	+ 3.4bn €	24
6.9bn €
Total public funding		projects	Public funding	Private Funding	projects
by the member states	across member states	by the Government	by companies	in Germany
3.2GW 2,700km 370GWh	Projects in Lower Saxony and Hamburg
Electrolysers	Pipelines		Storage facilities	HyPerLink	Lingen Green	GetH2
					Hydrogen
Jointly prepared by 7 Member States
FR IT	PT NL	PL SK GER	Clean Hydrogen	HH Win	AquaDuctus
Coastline

8

The IPCEI approval is an important step towards the German Hydrogen Core Grid ("Kernnetz")

German Hydrogen Core Grid (Kernnetz)

• Act on hydrogen grid planning and core grid financing passed

Federal Minister Habeck: "The foundation stone for the future of hydrogen

has been laid. The development of the hydrogen network is picking up	"
speed in Germany.
9,700 km
Total grid length
40%	vs.	60%
New pipelines		Converted pipelines

19.8 billion €

Total envisaged investment volume

2024-2032

Planned time for realizing the core grid with the first hydrogen flowing as early as 2025

Converted Pipeline
New Pipeline	9

H

Financial performance Q1 2024

10

Revenue increased slightly in the first quarter despite challenging weather conditions

Revenue

in €m

				109.5
+5%	92.6			98.2
73.1	76.7					Typical seasonal
						revenue
						development
Q1 23	Q1 24	Q2 23	Q2 24	Q3 23 Q3 24	Q3 22	Q4 24

+5%

Revenue development y-o-yin Q1 2024

11

Profitability was also improved significantly compared to the previous year

EBITDA

in €m, blue bubbles show EBITDA margin

7.6%	8.8%
	+21%
	6.8
5.6
Q1/23	Q1/24

EBIT (adj.)

in €m, blue bubbles show EBIT margin

1.7%2.5%

	+55 %
	1.9
1.2
Q1/23	Q1/24

8.8 %

EBITDA margin

in Q1 2024

2.5%

EBIT margin

in Q1 2024

12