Equity Case

Monbat represents a prominent value creation, driven by strong operational performance, enabled by a complete vertical integration that supports natural hedging to sustain growth and invest in new sources of marginal revenue and significant increase of the EV in the last twelve months as of Q2 2024.

Source of Wealth TTM Q2 2024

Source of wealth

EV Multiplier – 8.36 times(12.3)%Y-t-Y

Enterprise value

EV – 178 478 (EUR ‘000)(8.2)%Y-t-Y

Shareholders earnings

EPS – 0.04 EUR(25.2)%Y-t-Y

Operational performance

Adjusted EBITDA from continuing operations- 21 354 (EUR ‘000)4.7%Y-t-Y

Valuation

M/B – 0.66 times(12.5)%Y-t-Y

The difficult economic situation in recent years because of global military conflicts. The first of these was between Russia and Ukraine, because of which the European Union imposed numerous economic sanctions on Russia, and this led to a drastic increase in the prices of both energy carriers and basic raw materials. Albeit with a lesser effect on the Group, the military escalation between Israel and Palestine has been reflected with a drop in demand for rechargeable batteries in the region, as well as an increase in insurance premiums for cargoes that are located near the conflict points.

To minimize the negative effects caused by the complicated macroeconomic environment, Monbat has oriented its business strategy mainly towards the optimization of technological costs and new investments in energy- and resource-saving production facilities. As a result of these two means, the Group is realizing growth and sustainable operating results in the last twelve months as of Q2 2024.

EBITDA increased by 4.7% year-on-year, compared to the previous year (EUR 20,402 million in 2023).

The conflict between Russia and Ukraine in early 2022, led to a decline in demand and sales of rechargeable batteries in some of the Group’s core markets. As a result, the last two years have been led by the Company both consolidating its market position and entering new markets, which has led to the realization of growth in rechargeable battery sales and a recovery to pre-war conflict levels. The timely strategic actions taken by the management in 2023 are the basis for the Group’s sustainable performance. Management’s future goals and expectations are for the Company to grow its market share among international players, which will be a prerequisite for both sales growth and higher operating profit margins.