BEWI – Results for the third quarter of 2023

Delivering solid results with a strong operational cash flow in challenging markets

BEWI, a leading provider of packaging, components, and insulation solutions, today reports its results for the third quarter of 2023. The company recorded net sales of 267 million euro for the quarter, in line with the 268 million euro for the same quarter of 2022. The company had an adjusted EBITDA of 24 million euro, compared to 34 million euro last year.

• Solid results for the insulation and packaging segments in challenging markets
• Lower group EBITDA for Q3 Y-o-Y mainly due to lower GAP for RAW

• Strong operational cash flow for Q3, cash position to be strengthened following real estate divestment

• Revised EBITDA outlook for the full year 2023 to approximately 115 million euro
• Long-term strategic and financial targets remain unchanged

“We have implemented comprehensive measures to adjust capacity and costs to the lower activity in the building and construction industry, resulting in improved profitability for the insulation segment despite the significantly lower volumes,” says Christian Bekken, CEO of BEWI ASA.

Acquired entities contributed positively to the EBITDA, while the contribution from existing business was lower, of which a lower GAP for segment RAW explained approximately 80 per cent of the decline. The GAP, which is affected by volatile raw material prices, strengthened towards the end of the quarter and into the fourth quarter. For October, the EBITDA for RAW was in line with the EBITDA for the full third quarter.

Throughout the quarter, BEWI remained committed to its key priorities for building a robust platform for growth, while at the same time adapting to the current markets. The integration of acquired companies are progressing well, including cross selling of new solutions, extraction of synergies, and optimisation of the production footprint. This will continue to yield positive results going forward.

BEWI’s organic growth initiatives are selected to support the company’s strategic priorities within each segment. The company recently commenced operations at its new packaging facility at the island Hitra in Norway and will start production of its new extruder in Etten-Leur in the Netherlands in December. Both investments are expected to contribute to organic growth in 2024.

The company is also strengthening its financial position, through divestment of real estate for 55 million euro, and by reducing its CAPEX and working capital. Further, the company is evaluating strategic opportunities for growth, also aiming at improving the financial position and delivering on the long-term targets.

Please find attached the full report for the third quarter of 2023, the presentation of the results and the financials spreadsheet.

CEO Christian Bekken and CFO Marie Danielsson will present the results from 10:00 through a live webcast. The link to the webcast is available from BEWI’s homepage www.bewi.com, and a recording of the webcast will be made available.

For further information, please contact:

Charlotte Knudsen, Director of IR and Communications BEWi ASA, tel: +47 9756 1959

Marie Danielsson, CFO BEWI ASA, tel: +46 70 661 0047

About BEWI ASA

BEWI is an international provider of packaging, components, and insulation solutions. The company's commitment to sustainability is integrated throughout the value chain, from production of raw materials and end goods, to recycling of used products. With a vision to protect people and goods for a better every day, BEWI is leading the change towards a circular economy.

BEWI ASA is listed at the Oslo Børs under ticker BEWI.

The information is such that BEWI ASA is required to disclose in accordance with the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 07:00 CET on 7 November 2023