Adhoc: naturenergie holding AG: Financial year 2024: naturenergie holding AG achieves higher EBIT and increases investments

naturenergie holding AG / Key word(s): Annual ResultFiscal year 2024: naturenergie holding AG achieves higher EBIT and increases investments 26-Feb-2025 / 17:46 CET/CESTPublication of an ad hoc announcement pursuant to Art. 53 KRThe issuer is solely responsible for the content of this announcement.

Ad hoc communication - according to Art. 53 KR of Swiss stock market SIX (CH) -

Financial year 2024: naturenergie holding AG achieves higher EBIT and increases investments

• EBIT reaches EUR 224 million; Adjusted EBIT increases significantly to EUR 210 million
• Gross investments increase to around 145 million euros
• Annual Report 2024 and Non-Financial Report 2024 published today

Laufenburg, February 26, 2025. naturenergie holding AG achieved an EBIT, i.e. earnings before interest and taxes, of EUR 224 million in the 2024 financial year. The figure is thus around EUR 117 million higher than the previous year's figure and significantly higher than the expectation for the first half of 2024, which was EUR 180 million.

The adjusted EBIT, which reflects the development of operating results, reached around EUR 210 million, thus exceeding the previous year's figure of around EUR 124 million. The increase in the adjusted EBIT was mainly due to a significantly improved electricity production from the run-of-river power plants. The decisive factor here was the very good water supply on the Upper Rhine and in the Valais. In conjunction with a significantly higher level of secured marketing compared to previous years, the operating result was significantly increased.

The group's annual profit in 2024 was EUR 180 million, an increase of around EUR 73 million over the previous year. The financial result fell by EUR 11 million compared to the previous year. This is mainly due to foreign currency effects, including the elimination of last year's one-off effect from the disposal of the goodwill of a subsidiary offset against equity. Because less external funding had to be used to secure liquidity during the year, interest expenses to banks have decreased.

The group continues to demonstrate respectable financial stability. This is reflected in the equity ratio of almost 62 percent (previous year: 57 percent). Free cash flow in the 2024 financial year was EUR 115 million (previous year: EUR -27 million). Due to falling prices in the procurement and sales business, receivables have decreased. With the good financial basis in conjunction with the cash flow from operating activities, the further increased net investments of EUR 125 million (previous year: EUR 110 million) could still be financed from own resources.

Valuation effects from employee benefits and a one-off release of provisions had a positive impact on EBIT of around EUR 14 million. In the previous year, EBIT was negatively impacted by valuation effects from employee benefits and the recycling of goodwill amounting to around EUR 16 million.

Development of the business in the three growth pillars

Customer-oriented energy solutions Despite the difficult market environment, growth was achieved in the various sales areas. In a competitive market environment, the margins in electricity and gas sales are under competitive pressure. The photovoltaics business had to hold its own in a difficult market environment. Improvements were again made this year in the heat and energy solutions area, including district development.

System-relevant infrastructure In 2024, the new regulatory period enabled us to achieve an increased result, which further strengthens our position as a reliable electricity distribution network operator. This is offset by the reduction in the capital cost mark-up. In addition, operating personnel and maintenance costs have increased.

Renewable generation infrastructure Higher production in Valais and on the Upper Rhine compared to the 10-year average due to good water supply, combined with a significantly higher level of marketing of energy generated from hydroelectric power plants, leads to a significant increase in operating profit. The consequences of the floods in Valais have had a negative impact.

Investments Gross investments before grants and divestments amounted to around EUR 145 million in 2024, significantly higher than the previous year (around EUR 118 million).

This increase reflects the investments in the energy and heat transition, which affect all three strategic pillars (customer-oriented energy solutions, renewable generation infrastructure and system-relevant infrastructure). In addition, the group is renovating key site buildings with a view to climate protection and sustainability .

With around 60 percent of gross investments and an increase of 29 million euros compared to 2023, massive investments of 87 million euros (previous year: 58 million euros) were made in the system-relevant infrastructure segment and thus in the energy transition in the distribution network . Around 82 million euros (previous year: around 52 million euros) were spent on southern Baden and around 5 million euros (previous year: around 7 million euros) on Valais.

In the customer-oriented energy solutions segment, the company invested around EUR 27 million in the 2024 financial year (previous year: EUR 15 million), mainly in various property solutions and the expansion of heating networks in the heating and energy solutions sector in Valais and southern Baden. Around EUR 9 million (previous year: EUR 6 million) was invested in southern Baden. Around EUR 11 million was invested in Valais, a large part of which went into the Saas-Fee heating network.

The Renewable Generation Infrastructure segment contributed EUR 19 million (previous year: EUR 18 million) to gross investments. Of this, EUR 9 million (previous year: EUR 9 million) was attributable to Switzerland and EUR 10 million (previous year: EUR 9 million) to Germany (including the Hochrhein power plants).

Investments in the renewable generation infrastructure segment amounted to around EUR 18 million. Of this, around EUR 9 million went to the Upper Rhine and another EUR 9 million to the Valais. The increase compared to the previous year was around EUR 4 million and shows that the group is also investing continuously and sustainably in the existing hydroelectric power plants.

Around 13 million euros (previous year: 9 million euros) were invested in the renovation of site buildings, mainly the conversion of the Laufenburg (Switzerland) site and land purchases for site development in Rheinfelden. A further 1 million euros (previous year: 3 million euros) was invested in various overarching projects.

The Board of Directors proposes to the Annual General Meeting a stable dividend of 0.90 Swiss francs per share.

Outlook Energy companies in Switzerland and Germany face major challenges and opportunities in 2025. The expansion of renewable energies and technological innovations such as smart grids and digitalization are key. Regulatory frameworks and strong customer orientation remain crucial for competitiveness and the successful energy transition.

The investments for the energy transition are significant: in Germany, over 700 billion euros are expected by 2030, while in Switzerland the costs are estimated at around 387 billion francs. Private investors are essential for financing these projects.

The naturenergie Group plans gross investments of over 150 million euros in 2025. The actual development of investments depends on official approvals and the availability of skilled workers, service providers and suppliers. EBIT is influenced by market prices, customer competition, regulatory conditions and exchange rates.

In summary, the energy transition remains a complex challenge with high investment costs that must be mastered through technological innovations and attractive framework conditions for investors.

For the 2025 financial year, the Group expects an EBIT of around 160 million euros due to lower generation from hydroelectric power plants compared to 2024.

Fiscal year 2024: Energy sales in million kilowatt hours

	2024	2023	change
sales of naturenergie Hochrhein	2,223	2,249	-1.1%
of which private and commercial customers	600	639	-6.0%
of which business customers	1,544	1,462	5.6%
of which redistributors	79	147	-46.3%
Sales Systemstrom Hochrhein	1,195	1,452	-17.7%
of which business customers	983	1,224	-19.7%
of which redistributors	213	228	-6.9%
sales of naturenergie Wallis	115	123	-6.7%
of which redistributors	115	123	-6.7%
Sales Systemstrom Valais	472	468	0.8%
of which business customers	334	288	16.1%
of which redistributors	105	147	-28.2%
of which proportionately consolidated companies	32	33	-3.2%
Remaining electricity sales	4,529	4,628	-2.1%
total electricity sales	8,534	8,921	-4.3%
total gas sales	169	198	-14.9%
total energy sales	8,703	9,119	-4.6%
Numbers are rounded commercially

Key figures for the 2024 financial year

		2024	2023	change
balance sheet total	in million €	1,918.3	1,817.4	5.6%
Net revenues from goods and services	in million €	1,708.4	1,966.0	-13.1%
EBIT	in million €	224.0	107.4	108.6%
Adjusted EBIT	in million €	210.5	123.5	70.4%
Adjusted EBITCustomer-oriented energy solutions	in million €	2.9	-0.2
Adjusted EBITSystem-relevant infrastructure	in million €	30.1	25.1	20.3%
Adjusted EBITRenewable Generation Infrastructure	in million €	185.1	103.8	78.2%
Adjusted EBITOther	in million €	-7.7	-5.2	-48.7%
annual profit	in million €	180.3	107.7	67.5%
equity of the shareholders of naturenergie holding AG	in million €	1,182.5	1,035.8	14.2%
equity ratio	in %	61.6	57.0	8.2%
net financial assets	in million €	124.4	47.1	164.1%
gross investment	in million €	145.2	117.8	23.3%
net investments	in million €	124.5	109.5	13.7%
free cash flow	in million €	115.3	-26.8
ROCE	in percent	21.5	13.9	54.4%
Employees Full-time positions / Number		1,304 / 1,464	1,180 / 1,337	10.5% /9.5%
Lost Time Injury Frequency	Number	5.1	8.4	-39.4%

Annual report and non-financial report published today naturenergie holding AG is publishing its annual report for the 2024 financial year today (February 26, 2025). The 2024 annual report including the 2024 non-financial report can be downloaded from www.naturenergie-holding.ch/investoren .

Disclaimer All statements in this report that do not relate to historical facts are forward-looking statements that provide no guarantee of future performance. They involve risks and uncertainties including, but not limited to, future global economic conditions, foreign exchange rates, legal regulations, market conditions, activities of competitors and other factors that are beyond the control of the company.

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Language: German / Issuer: naturenergie holding AG, Baslerstrasse 44,CH-5080 Laufenburg, Telephone: +41.62.869 22 22, Fax: +41.62.869 25 81,

[email protected], www.naturenergie-holding.ch, ISIN: CH 001 573 870 8

Company information naturenergie holding AG is a German-Swiss company that, as a regional partner, enables people, municipalities and companies to live and do business sustainably in southern Baden and Switzerland.

The naturenergie Group offers holistic energy solutions and generates and sells renewable energy from hydropower and solar power. The product and service portfolio includes the areas of photovoltaics, heat, construction and housing, as well as electromobility. The subsidiary naturenergie netze GmbH is responsible for the operation and further development of the electricity distribution networks.

The group also includes naturenergie hochrhein AG, enalpin AG and tritec AG. With around 1,340 employees, the group generated sales of 1.97 billion euros in 2023. It is a holding company of EnBW Energie Baden-Württemberg AG. www.naturenergie-holding.ch

end of the ad hoc announcement