Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR | PRESS RELEASE RELEASE EUROTECH: BOARD OF DIRECTORS APPROVES THE CONSOLIDATED HALF-YEAR FINANCIAL REPORT AS OF JUNE 30, 2026 REVENUES UP 17.1% TO EURO 25.2 MILLION, EBITDA IMPROVES BY EURO 3.6 MILLION WITH SECOND QUARTER AT BREAK-EVEN. NET FINANCIAL DEBT REDUCED BY EURO 9.6 MILLION Main consolidated financial results as of June 30, 2026: • Revenues: Euro 25.2 million (+17.1%) compared with Euro 21.5 million as of June 30, 2025; +23.3% at constant exchange rates. • Gross profit: Euro 12.0 million, equal to 47.8% of revenues, +1.5 million Euro compared with Euro 10.6 million, or 49.3% of revenues. • EBITDA: Euro -1.7 million, +3.6 million Euro compared with Euro -5.3 million as of June 30, 2025, with the second quarter reaching break-even. • EBIT: Euro -4.1 million compared with Euro -7.7 million as of June 30, 2025 (+3.6 million Euro). • Group net result: Euro -4.3 million compared with Euro -7.6 million as of June 30, 2025 (+3.2 million Euro). • Net financial debt: amounting to Euro 7.2 million compared with Euro 16.8 million as of December 31, 2025. Amaro (Udine – Italy), September 11, 2026 – The Board of Directors of Eurotech S.p.A., a multinational company designing, developing and supplying Edge Computing and Internet of Things (IoT) solutions by integrating software, hardware, cybersecurity and services, listed on Euronext STAR Milan, today reviewed and approved the Consolidated Half-Year Financial Report as of June 30, 2026. Massimo Milan, Chief Executive Officer of Eurotech, commented: “The first half of 2026 represents a significant step forward in the Group’s process toward restoring profitability compared to the first semester of last year: revenues delivered double-digit growth, EBITDA
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR | improved by Euro 3.6 million and the second quarter reached break-even, while the Group’s capital and financial structure was significantly strengthened. The results reflect volume growth and the impact of the structural measures implemented to improve costs and operating efficiency. We remain focused on order backlog conversion, maintaining execution discipline and progressing the strategic initiatives set out in the Eurotech neXt Industrial Plan. Despite a still challenging market environment characterized by limited visibility, we confirm our objective of continuing to strengthen competitiveness, execution capabilities and financial solidity.” Performance for the Period Consolidated revenues for the first half of 2026 amounted to Euro 25.2 million, compared with Euro 21.5 million in the first half of 2025 (+17.1%). At constant exchange rates, growth amounted to 23.3%. The performance reflects the increase in order intake recorded in the second half of 2025 and the contribution of a significant order acquired in the US market. Growth was mainly supported by the Japanese market, while the European market is showing signs of improvement but continues to be affected by geopolitical uncertainty and weakness in the industrial and automotive sectors, particularly in Germany. With regard to the breakdown of revenues by geographical area, based on the customer’s location, the following was recorded in the first half of 2026: • European Union: 50.7% of revenues, compared with 49.0% in the first half of 2025. The region remains the Group’s main market, with growth of 21.1%, and accounts for the largest share of Edge AIoT revenues; • United States: 9.9% of revenues, compared with 6.1% in the first half of 2025, with growth of 91.0%, also supported by the contribution of a significant order; • Japan: 34.2% of revenues, compared with 36.7% in the first half of 2025. Revenues increased by 9.1%, mainly driven by higher order intake from certain long-standing customers, providing good visibility on year-end revenues; • Other areas: 5.3% of revenues, compared with 8.2% in the first half of 2025, with a decline of 25.2%, corresponding to Euro 0.5 million in absolute terms. By type, product revenues increased by 22.8%, while service revenues decreased by 8.6% compared with the first half of 2025 (-5.1% at constant exchange rates). The decrease was attributable to lower recurring software revenues and lower professional services related to the initial stages of new IoT projects, partially offset by increased customization and engineering activities for embedded projects, particularly in Japan. In the first quarter of 2026, revenues amounted to Euro 10.7 million; in the second quarter, they amounted to Euro 14.5 million, representing an increase of 9.4% compared with the second quarter of 2025 (+14.9% at constant exchange rates).
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR | Gross margin amounted to 47.8% of revenues, compared with 49.3% in the first half of 2025. The percentage reduction was mainly attributable to the increase in the cost of certain components, particularly memory components, due to a market environment characterized by limited availability and the resulting increase in prices. These higher costs are passed on to customers resulting, however, in a lower margin than that expected on finished products, thereby resulting in a dilutive effect on overall margin. Excluding this effect, the percentage margin would have remained substantially in line with the levels recorded in recent quarters, with an overall stable product mix. Adjusted EBITDA as of June 30 2026 amounted to Euro -1.4 million, compared with Euro -4.0 million in the same period of 2025, representing an improvement of Euro 2.6 million. The improvement in Adjusted EBITDA reflects both volume growth and the effects of efficiency initiatives and cost containment measures. Including non-recurring costs, EBITDA for the first half of 2026 amounted to Euro -1.7 million, compared with Euro -5.3 million in the first half of 2025, representing an improvement of 67.4%. In the second quarter of 2026, Adjusted EBITDA was positive and EBITDA reached break-even, a step consistent with the Group’s path towards a sustainable recovery in profitability. EBIT, reflecting depreciation and impairment charges recognized in the income statement in the first half of 2026 for a total of Euro 2.4 million, amounted to Euro -4.1 million, compared with Euro -7.7 million in the first half of 2025. Net result for the period, amounting to Euro -4.3 million, reduced the loss for the first semester by 42.9% compared with Euro -7.6 million in the same period of 2025. Financial Position and Net Debt As of June 30, 2026, the Group reported net financial debt of Euro 7.2 million, compared with Euro 16.8 million as of December 31, 2025, representing an improvement of Euro 9.6 million. The reduction in net financial debt was mainly attributable to the impact of the capital increase completed in February 2026 and to a disciplined financial management, both in terms of debt and technology investments. The strengthening of the Group’s capital structure completed in the first half of 2026 enabled the Group to strengthen its financial position and support the execution of the Industrial Plan. Net working capital as of June 30, 2026 amounted to Euro 8.2 million, compared with Euro 9.7 million as of December 31, 2025, representing a reduction of approximately Euro 1.5 million. The change was mainly attributable to trade receivables collection dynamics, which are typical of the business performance, partially offset by higher inventory levels held to ensure the availability of critical components, particularly memory components, in anticipation of expected cost increases.
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR | Shareholders’ equity amounted to Euro 59.2 million, compared with Euro 52.7 million as of December 31, 2025. Significant Events After June 30, 2026 No significant events occurred after the end of the first half of 2026 and up to September 11, 2026. Business Outlook The solid level of the order backlog recorded at the end of the first half of 2026, together with the commercial opportunities already defined with customers, enables the Group to expect an acceleration in revenue growth in the second half of the financial year, with a lower contribution in the third quarter and a greater revenue concentration expected in the final quarter of the year compared with the first part of 2026. This trend is expected to be supported both by the legacy business and by Edge AIoT solutions, in line with the development guidelines outlined in the 2026-2030 Industrial Plan. However, the market environment continues to be characterized by limited medium- to long-term visibility. Based on the information currently available, the Group confirms its objective of achieving positive EBITDA in FY2026. External factors continue to require close monitoring. In particular, the increase in the prices and the lengthening of the lead-time of certain electronic components related to memory products remains significant, especially for memory and storage systems, a trend that could persist into the later part of 2027. This dynamic, which is underway, necessarily requires the transfer of these increases to final selling prices with a dilutive effect on the Group's first margin. The Group also continues to closely monitor developments in the international geopolitical environment, the ongoing conflicts in Ukraine and the Middle East, and the evolution of US tariff policies, with a focus on their potential effects on the countries in which the Group and its customers operate. These factors could affect supply chains, the availability and cost of components, as well as the timing of the execution of commercial opportunities. From an organizational standpoint, after approximately 18 months during which management’s efforts were primarily focused on adjusting the operating cost structure to revenue trends and improving efficiency, the Group is entering a new phase. In line with the investments and objectives set out in the Business Plan, the definition of a progressive strengthening of technological and commercial skills is underway, aimed at providing Eurotech with the necessary resources to support the development path planned for the coming years.
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR | The Group will continue to execute the strategic directions outlined in the 2026–2030 Industrial Plan, maintaining its focus on the vertical markets already identified and concentrating resources on sectors characterized by greater scale and growth potential, as well as on applications operating in complex, mission-critical environments requiring high reliability standards. In these areas, Eurotech’s expertise in rugged solutions and in the integration of Information Technology and Operational Technology represents a distinctive capability. The strategy will continue to assess organic growth opportunities, as well as opportunities for growth through external initiatives where reasonably possible, capitalizing on the key structural trends shaping the Group’s reference markets: the adoption of Edge AI and the progressive shift of computing capabilities from the cloud to the edge, the evolution of energy infrastructures towards smarter and more distributed models, and the increasing automation of industrial processes. Conference Call for the Presentation of Consolidated Results as of June 30, 2026 On September 14, 2026, at 2:30 p.m. CEST, Eurotech’s management will hold a conference call to present the consolidated results for the period to the financial community and the media. The conference call can be accessed at the following link: https://teams.microsoft.com/meet/318276124932794?p=30KYcFyMYkJCJL85AI
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR | *** This press release was published today on the Company’s website at www.eurotech.com (Investors / News section), as well as through the authorized storage mechanism “1Info”, available at www.1info.it. *** The Manager in charge of drawing up the corporate accounting documents, Sandro Barazza, hereby certifies, pursuant to paragraph 2 of Article 154-bis of the Consolidated Law on Finance, that the accounting information contained in this press release corresponds to the documented results, books and accounting records of the company. Eurotech Eurotech is a multinational company that designs and develops edge computing platforms and systems integrating hardware, software, AI, cybersecurity and services. Eurotech solutions enable intelligent data processing close to operational infrastructures, supporting applications in industrial, transportation and energy sectors, as well as other high-reliability environments. Eurotech works with leading technology partners worldwide, developing a global ecosystem for the delivery of integrated Edge AI and Internet of Things (IoT) projects and solutions. www.eurotech.com CONTACTS: Eurotech My Twin Communication Corporate Communication IR Advisor Federica Maion Mara Di Giorgio || Federico Bagatella d: +39 0433 485411 +39 335 7737417 || + 39 331 8007258 e: federica.maion@eurotech.com eurotech@mytwincommunication.com
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR |
ANNEXES – ACCOUNTING SCHEDULES CONSOLIDATED INCOME STATEMENT
(€ '000)amount% Sales revenue 25,161100.0%21,483100.0%3,67817.1% Cost of material (13,123)-52.2%(10,895)-50.7%2,22820.4% Gross profit 12,03847.8%10,58849.3%1,45013.7% Services costs (4,939)(69) -19.6%(6,020)(569) -28.0%(1,081)-18.0% Lease & hire costs (316)-1.3%(351)-1.6%(35)-10.0% Payroll costs (9,153)(298) -36.4%(10,899)(568) -50.7%(1,746)-16.0% Other provisions and costs (378)-1.5%(422)(99) -2.0%(44)-10.4% Other revenues 1,0284.1%1,8218.5%(793)-43.5% EBITDA (1,720)(367) -6.8%(5,283)(1,236) -24.6%3,56367.4% Depreciation & Amortization (2,253)-9.0%(2,435)-11.3%(182)-7.5% Asset impairment (100)-0.4%00.0%100n/a EBIT (4,073)(367) -16.2%(7,718)(1,236) -35.9%3,64547.2% Finance expense (582)-2.3%(955)-4.4%(373)-39.1% Finance income 5022.0%4542.1%4810.6% Profit before tax (4,153)(367) -16.5%(8,219)(1,236) -38.3%4,06649.5% Income tax (169)-0.7%6553.0%824-125.8% Net profit (loss) of continuing operations before minority interest (4,322)(367) -17.2%(7,564)(1,236) -35.2%3,24242.9% Minority interest - 0.0%- 0.0%- n/a Group net profit (loss) for period (4,322)(367) -17.2%(7,564)(1,236) -35.2%3,24242.9% Base earnings per share (0.081)(0.214) Diluted earnings per share (0.081)(0.214)of which non recurrentH1 2026 (b)%H1 2025 (a)%change (b-a)of which non recurrent
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(€'000) ASSETS Intangible assets 54,897 55,938 ( 1,041) Property, Plant and equipment 6,322 6,897 ( 575) Investments in affiliate companies 4 4 - Investments in other companies 141 137 4 Deferred tax assets 1,906 1,973 ( 67) Other non-current assets 412 416 ( 4) Total non-current assets 63,682 65,365 ( 1,683) Inventories 15,369 11,918 3,451 Trade receivables 9,156 13,929 ( 4,773) Income tax receivables 510 568 ( 58) Other current assets 1,701 1,361 340 Other current financial assets 17 17 - Derivative instruments 1 4 ( 3) Cash & cash equivalents 10,957 6,455 4,502 Total current assets 37,711 34,252 3,459 Total assets 101,393 99,617 1,776 LIABILITIES AND EQUITY Share capital 14,906 9,657 5,249 Share premium reserve 150,363 138,122 12,241 Other reserves ( 106,076)( 95,064)( 11,012) Group shareholders' equity 59,193 52,715 6,478 Equity attributable to minority interest - - - Total shareholders' equity 59,193 52,715 6,478 Medium-/long-term borrowing 10,437 11,574 ( 1,137) Employee benefit obligations 1,811 1,938 ( 127) Deferred tax liabilities 2,777 2,865 ( 88) Other non-current liabilities 846 775 71 Total non-current liabilities 15,871 17,152 ( 1,281) Trade payables 10,970 9,384 1,586 Trade payables from affiliates companies 157 209 ( 52) Short-term borrowing 7,784 11,601 ( 3,817) Income tax liabilities 329 879 ( 550) Other current liabilities 7,089 7,576 ( 487) Business combination liabilities - 101 ( 101) Total current liabilities 26,329 29,750 ( 3,421) Total liabilities 42,200 46,902 ( 4,702) Total liabilities and equity 101,393 99,617 1,776 at June 30, 2026at December 31, 2025change
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR |
STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY
NET FINANCIAL POSITION
(€'000) Share capital Legal reserve Share premium reserve Conversion reserve Other reserves Cash flow hedge reserve Actuarial gains/(losses) on defined benefit plans reserve Exchange rate differences reserve Treasury shares Profit (loss) for period Group shareholders' equity Equity attributable to Minority interest Total shareholders' equity Balance as at December 31, 2025 9,657 1,776 138,122 ( 5,250) ( 83,250) 4 ( 333) 1,829 ( 568) ( 9,272) 52,715 - 52,715 2025 Result allocation - - - - ( 9,272)- - - - 9,272 - - - Profit (loss) as at March 31, 2026 - - - - - - - - - ( 4,322)( 4,322)- ( 4,322) Comprehensive other profit (loss): - Hedge transactions - - - - - ( 3)- - - - ( 3)- ( 3) - Foreign balance sheets conversion difference - - - ( 834)- - - - ( 834)- ( 834) - Exchange differences on equity investments in foreign companies - - - - - - 664 - - 664 - 664 Total Comprehensive result - - - ( 834)- ( 3)- 664 - ( 4,322)( 4,495)- ( 4,495) Performance Share Plan - - - - ( 139)- - - 264 - 125 - 125 Increase of capital 5,249 12,241 - ( 8,642)- 8,848 8,848 Future capital increase payment - 2,000 - - 2,000 2,000 Balance as at June 30, 2026 14,906 1,776 150,363 ( 6,084) ( 99,303) 1 ( 333) 2,493 ( 304) ( 4,322) 59,193 - 59,193 (€'000)at June 30, 2026at December 31, 2025at June 30, 2025 Cash A10,957 6,455 6,414 Cash equivalentsB- - - Other current financial assetsC18 21 23 Cash equivalentD=A+B+C10,975 6,476 6,437 Current financial debtE2,162 3,934 4,023 Current portion of non-current financial debtF5,622 7,667 4,717 Other current financial liabilitiesG- 101 115 Short-term financial positionH=E+F+G7,784 11,702 8,855 Short-term net financial positionI=H-D( 3,191)5,226 2,418 Non current financial debtJ10,437 11,574 16,278 Debt instrumentK- - - Medium-/long-term net financial positionM=J+K+L10,437 11,574 16,278 (NET FINANCIAL POSITION) NET DEBT ESMAN=I+M7,246 16,800 18,696
Eurotech S.p.A. Via Fratelli Solari 3/a, 33020 Amaro (UD) - ITALY VAT n° IT01791330309 | TAX code 01791330309 | Company register UDINE | Economic Administrative Index REA 196115 | Share capital 14.906.386,25 EUR |
NET WORKING CAPITAL
REVENUES BREAKDOWN BY END-CUSTOMER LOCATION
at June 30, 2026at December 31, 2025at June 30, 2025Changes(€'000)(b)(a)(b-a)Inventories15,36911,91816,5153,451Trade receivables9,15613,9299,501(4,773)Income tax receivables510568693(58)Other current assets1,7011,3611,789340Current assets26,73627,77628,498(1,040)Trade payables(10,970)(9,384)(10,297)(1,586)Trade payables from affiliates companies(157)(209)(349)52Income tax liabilities(329)(879)(733)550Other current liabilities(7,089)(7,576)(7,603)487Current liabilities(18,545)(18,048)(18,982)(497)Net working capital8,1919,7289,516(1,537) (€' 000)H1 2026 % H1 2025 % % change BREAKDOWN BY GEOGRAPHIC AREAEuropean Union12,74850.7%10,52649.0%21.1%United States2,4919.9%1,3046.1%91.0%Japan8,59734.2%7,88236.7%9.1%Other1,3255.3%1,7718.2%-25.2%TOTAL SALES AND SERVICE REVENUES25,161 100.0%21,483 100.0%17.1%