Cambiano, May 13, 2024 – The Board of Directors of Pininfarina S.p.A. met today and approved the Group’s interim financial report on March 31, 2024.

Key Financial Figures PININFARINA GROUP

* Variations in the statement of financial position figures relate to the corresponding figures on December 31, 2023.
The gross operating profit or loss is the operating profit or loss (EBITDA) gross of amortisation, depreciation, provisions, impairment losses, reversals of impairment losses and utilisation of provisions.

PARENT

* Variations in the statement of financial position figures relate to the corresponding figures on December 31, 2023.
The gross operating profit or loss is the operating profit or loss (EBITDA) gross of amortisation, depreciation, provisions, impairment losses, reversals of impairment losses and utilisation of provisions.

Comment on results

The first three months of the current year showed, for the segments in which the Group operates, a better market performance than in the corresponding period of 2023, recognising an increase in total revenue of about 29% as opposed to an operating loss for €0.3 million albeit in improvement over the negative figure of €1.9 million of the same period of the previous year.

Regarding the different group companies and operating margins, Pininfarina S.p.A. increased total revenue by approximately 22.8% compared to the first quarter of 2023, while maintaining a negative operating result of €0.7 million (negative for €0.6 million in Q1 2023).

Pininfarina of America recognised total revenue of €2.1 million (€2.0 million in the corresponding period of 2023) and an operating profit of €0.4 million compared to €0.7 million of the corresponding period of the previous year.

Pininfarina Shanghai showed total revenue of €1.5 million (€0.6 million for the same period of 2023) and an operating profit of €0.1 million compared to the operating loss of €0.7 million of the previous year.

Pininfarina Deutschland recognised total revenue of €3.7 million (€3.5 million in Q1 2023) and an operating loss of €0.2 million, which represents an improvement however compared to the €1.3 million recognised in the same period of 2023.

Pininfarina Engineering S.r.l. in liquidation, which has been inactive since the last quarter of 2020 and without employees, is awaiting completion of the winding up procedure.

The Pininfarina Group was not particularly affected by the Russia-Ukraine conflict or the crisis in Palestine, which dominated the current geopolitical scene, but closely monitors the widening of tensions in the Middle East and the potential negative impacts on target markets due to the high instability generated by these circumstances.

The Group was not adversely impacted by the significant rise in prices of energy and commodities compared to the same period of 2023.

The Group's cash and cash equivalents of €28.3 million increased by €1.4 million compared to December 31, 2023, as a result of the parent’s collection of advances for a project commenced in the third quarter 2023 and working capital trends.

The non-current bank loans and borrowings decreased by €225 thousands, as a result of the parent's unrealised interest expense arising from amortised-cost accounting. The Group's current financial liabilities include bank advances of €1.9 million relating to the German subsidiary's factoring agreements.

The parent has continued to meet its obligations, without undue distress, including those under the debt rescheduling agreement (2016-2025) with certain banks. Such agreement, which came into force on May 30, 2016, provides for just one financial covenant (consolidated equity at a minimum of €30 million), compliance with which is assessed on March 31 each year up until repayment of the loan. On March 31, 2024, the covenant had been complied with. Should the minimum equity threshold not be complied with, the agreement would not be automatically terminated, as it provides for specific remedies and the lending banks can also waive their right to take action. The Mahindra Group has provided a surety that is enforceable if the parent fails to meet its obligations under the rescheduling agreement. Reference should be made to the financial risk management section of the notes for more information on the parent's financial debt and debt rescheduling agreement.

Neither the parent, Pininfarina S.p.A., nor its subsidiary Pininfarina Engineering S.r.l. in liquidation availed themselves of the loans provided for by the measures approved by the Italian government to support companies or granted by banks. No measures in favour of other group companies were reported.