The Board of Pirelli & C. S.P.A. Has Approved Results to 31 December 2023

2023 results above targets: revenues 6.65 billion euro, adjusted ebit 1 billion euro with a margin of 15.1%, cash flow before dividends +508.9 million euro

Net profit +13.8% to 495.9 million euro

Proposes dividend of 0.198 euro per share, total dividend payout 198 million

Confirmed leader in key sustainability indexes and achieved decarbonization targets two years ahead of schedule

 Full year 2023

- Revenues: at 6,650.1 million euro (2023 targets ~6.6 billion euro), +0.5% compared with 2022, organic variation +6.8% excluding forex impact of -6.3%

- Price/Mix: +8.6% thanks to price increases and mix improvement (target ~+8%)

- Adjusted Ebit: 1,001.8 million euro (figure implicit to profitability target ~985 million euro), +2.5% compared with 977.8 million euro in 2022. Improvement of price/mix and efficiencies more than offset the negative impact raw materials and inflation.

- Adjusted Ebit Margin 15.1% (target ~15%)

- Net profit: +13.8% to 495.9 million euro (435.9 million euro in 2022) thanks to the operating performance and benefit deriving from the Patent Box

- Net cash flow before dividends: +508.9 million euro (+515.5 million euro in 2022) above the “between ~450 and ~470 million euro” target

- Net Financial Position: -2,261.7 million euro (-2,552.6 million euro on 31 December 2022) better than target of ~-2.33 billion euro. Nfp/Adjusted ebitda ratio ~1.56x (better than target of between ~1.60 /~1.65 times)

- Research & Development Spend: 288.5 million euro in 2023 (4.3% of total revenues), of which 269.4 million euro earmarked for High Value activities (5.4% of High value revenues)

- In 2023 further improvement of sustainability performance

The Board of Directors of Pirelli & C. Spa, met today and approved results to 31 December 2023 which were above the targets indicated in November 2023 which had been revised upwards during the year. These results confirm the effectiveness of the business model and implementation of strategic plans in line with the Industrial Plan.

In 2023 revenues were 6,650.1 million euro (target ~6.6 billion euro), with growth of 0.5% compared with 2022 thanks to the great improvement of price/mix. Organic revenue growth was +6.8% (impact of forex and hyperinflation in Argentina and Turkey -6.3%). High Value accounted for 75% of total sales (71% in 2022).