Financial Performance - The company reported a net revenue increase of approximately €611.0 million for new yachts, representing a 7.7% growth compared to the same period in 2023[16]. - Adjusted EBITDA reached approximately €96.7 million, up 15.9% from €83.4 million in the same period last year, with an EBITDA margin of 15.8%, an increase of 110 basis points[16]. - Net profit for the first half of 2024 was approximately €44.0 million, reflecting a 7.6% increase from €40.9 million in the previous year[16]. - The group recorded a net revenue of €646.4 million, an increase of 11.3% compared to €580.8 million for the six months ended June 30, 2023[24]. - The net revenue for the six months ended June 30, 2024, increased by approximately 11.3% to €646.4 million from €580.8 million for the same period in 2023[33]. - The company’s total comprehensive income for the period was €44,747 thousand, compared to €38,922 thousand in 2023, an increase of 14.3%[86]. - Basic and diluted earnings per share increased to €0.13 from €0.12 year-over-year[84]. Revenue Breakdown - Revenue from composite material yachts increased by 9.9% to approximately €265.5 million, while custom yachts revenue rose by 2.9% to €232.7 million[17]. - Revenue from superyachts surged by 27.3% to approximately €82.5 million[17]. - Other business segments generated net revenue of approximately €30.4 million, down 12.6% year-over-year[18]. - Revenue from the sale of composite yachts rose by approximately 9.9% to €265.5 million from €241.6 million in the same period last year[35]. - Revenue from the sale of custom yachts increased by approximately 2.9% to €232.7 million from €226.2 million in the previous year[35]. - Revenue from the sale of superyachts surged by approximately 27.3% to €82.5 million from €64.8 million in the same period last year[36]. Assets and Liabilities - Total assets as of June 30, 2024, were €1,644.2 million, a 2.6% increase from €1,602.2 million at the end of 2023[13]. - Total liabilities increased by 3.9% to €792.6 million from €762.6 million[13]. - Inventory increased by €57.2 million or 16.9% to €394.9 million, primarily due to increased yacht production to meet ongoing demand[47]. - Trade and other receivables decreased by €7.3 million or 10.4% to €63.0 million, mainly due to an increase in trade receivables and a decrease in other receivables[48]. - Cash and cash equivalents totaled €273,657,000 as of June 30, 2024, down from €314,109,000 as of December 31, 2023, a decrease of 12.9%[160]. Orders and Backlog - The company anticipates continued growth in the second half of 2024, supported by a backlog of orders totaling approximately €1.5 billion[16]. - As of June 30, 2024, the accumulated orders reached €1,495.8 million, an increase of approximately 6.0% compared to €1,410.5 million as of June 30, 2023[27]. - The accumulated orders for composite yachts amounted to €350.1 million, representing 23.4% of total accumulated orders, down from €365.1 million (25.9%) in the previous year[29]. - The accumulated orders for custom yachts reached €568.0 million, accounting for 38.0% of total accumulated orders, up from €546.2 million (38.7%) in the previous year[30]. - The accumulated orders for superyachts increased by 18.0% to €521.9 million, which is 34.9% of total accumulated orders, compared to €442.3 million (31.4%) in the previous year[31]. Operational Developments - The group aims to expand its product offerings in composite and custom yachts, focusing on segments with the highest growth and profit potential[21]. - The group plans to enhance its yacht brokerage, leasing, and management services, as well as after-sales and refit services, to further extend brand reach and licensing activities[21]. - The group has launched the first fully electric Riva yacht, El-Iseo, and aims to expand its range of "green" products across all major brands[19]. - The group is committed to achieving ISO 14001:2015 environmental certification for all shipyards to reduce energy consumption and emissions[20]. - The company announced the acquisition of an additional 30,000 square meters of land for €14 million, increasing the production area in Ravenna to approximately 100,000 square meters, enhancing production capacity by 10%[26]. Employee and Cost Management - Personnel costs increased by €9.3 million or approximately 14.3% to €74.4 million for the six months ended June 30, 2024, primarily due to an increase in average employee numbers to support business growth[40]. - Other operating expenses rose from approximately €3.0 million to about €5.9 million, mainly due to increased settlement agreements and re-invoicing costs[40]. - Provisions and impairments decreased by approximately €12.1 million to €12.8 million, attributed to sufficient provisions related to warranty vessels and business risks[41]. - Income tax expenses increased to €19.8 million from €14.7 million, mainly due to a significant increase in pre-tax profits and the absence of deferred tax assets from prior tax losses[41]. Sustainability and Innovation - The group emphasizes R&D investments to maintain its market leadership in luxury yacht manufacturing and to meet evolving customer preferences[25]. - The group recognizes hydrogen as a promising energy source for the maritime industry and is collaborating with Weichai Group to develop hydrogen engines for yachts[19]. - Continued investment in innovation, technology, and sustainable materials is planned to reduce environmental impact and provide responsible sailing experiences[63]. - The company is committed to communicating environmental, social, and governance factors to stakeholders, highlighting its focus on sustainable development[99]. Corporate Governance - The board is committed to high corporate governance standards and has adopted measures to strengthen internal control systems and ongoing professional training for directors[66]. - A strategy committee was established to support long-term value creation for shareholders while considering the interests of other stakeholders[70]. - The company has complied with the Hong Kong Listing Rules and has established an audit committee to review financial statements and ensure compliance with applicable accounting standards[68]. Financial Risk Management - The company’s credit risk is considered low due to its sales policy requiring payment of contract balances upon delivery of vessels[122]. - The company has a liquidity risk due to potential difficulties in meeting financial and trade obligations, monitored through weekly cash flow planning[113]. - The company continues to manage its financial risks through detailed analysis and monitoring of trade payables and borrowings[198].

Financial Performance - The group's net revenue for the six months ended June 30, 2024, was approximately €646.4 million, an increase of about 11.3% compared to €580.8 million in the same period of 2023[2] - The group's profit for the same period was approximately €44.0 million, reflecting an increase of about 7.6% from €40.9 million in the prior year[2] - Adjusted EBITDA for the six months ended June 30, 2024, was approximately €96.7 million, up about 15.9% from €83.4 million in the same period of 2023[2] - The total comprehensive income for the period was €44.7 million, compared to €38.9 million in the same period of 2023[6] - The company reported a pre-tax profit of €63,835 thousand for the six months ended June 30, 2024, compared to €55,512 thousand for the same period in 2023, reflecting an increase of 15%[9] - The adjusted earnings per share for the six months ended June 30, 2024, was €0.13, compared to €0.12 for the same period in 2023[43] - The net income increased by approximately 11.3% to €646.4 million for the six months ended June 30, 2024, compared to €580.8 million for the same period in 2023[56] Assets and Liabilities - As of June 30, 2024, total assets amounted to €1,644.2 million, an increase from €1,602.2 million as of December 31, 2023[8] - The company's equity attributable to shareholders was €850.6 million as of June 30, 2024, compared to €838.8 million at the end of 2023[8] - Trade receivables as of June 30, 2024, amounted to €25,424 thousand, up 13.4% from €22,427 thousand as of December 31, 2023[29] - Trade and other payables totaled €462,901 thousand as of June 30, 2024, an increase of 4.1% from €444,521 thousand at the end of 2023[37] - The allowance for doubtful accounts increased to €4,064 thousand as of June 30, 2024, from €3,496 thousand at the end of 2023, reflecting a rise in expected credit losses[30] Cash Flow and Investments - Operating cash flow for the six months ended June 30, 2024, was €58,615 thousand, a decrease from €62,076 thousand in the same period of 2023, representing a decline of 7.4%[9] - Total cash and cash equivalents at the end of June 30, 2024, were €273,657 thousand, down from €309,660 thousand at the end of June 30, 2023, indicating a decrease of 11.6%[10] - The company incurred a net cash outflow from investing activities of €58,651 thousand for the six months ended June 30, 2024, compared to €36,629 thousand in the same period of 2023, representing an increase of 60.2%[10] - The company’s financing activities resulted in a net cash outflow of €40,499 thousand for the six months ended June 30, 2024, compared to €31,533 thousand in the same period of 2023, reflecting an increase of 28.4%[10] Costs and Expenses - Personnel costs totaled €74,377,000 for the six months ended June 30, 2024, up from €65,088,000 in 2023, indicating an increase of 14.1%[24] - Other service costs reached €59,293,000 for the six months ended June 30, 2024, slightly up from €58,856,000 in 2023, showing a marginal increase of 0.7%[22] - The total amount of other operating expenses for the six months ended June 30, 2024, was €5,862,000, significantly higher than €2,953,000 in 2023, indicating a rise of 98.5%[25] - The contractor costs increased by approximately 28.1% to €131.7 million due to increased production activities to meet order growth[62] Strategic Developments - The company announced the launch of the second model of the INFYNITO yacht series, the INFYNITO 80, in the first quarter of 2024[2] - An agreement was signed to acquire an additional 30,000 square meters of land adjacent to the San Vito shipyard, increasing the total production area in Ravenna to approximately 100,000 square meters, enhancing production capacity by 10%[3] - The company participated in major yacht exhibitions worldwide, including the Düsseldorf Boat Show and the Miami International Boat Show in early 2024[3] - The company plans to establish a formal process to identify and assess climate-related risks and opportunities, aligning with the priorities recognized by the European Securities and Markets Authority[17] - The company aims to invest in innovation and sustainable materials to reduce environmental impact and enhance the sailing experience[49] Shareholder Returns - A dividend of €0.097 per share, totaling €32,832,817.44, was paid to shareholders on June 26, 2024[3] - The company did not issue any new shares during the six months ended June 30, 2024, and paid dividends amounting to €32,833 thousand, compared to €19,903 thousand in the same period of 2023, an increase of 64.9%[10] Market Position and Future Outlook - The company reported a significant increase in commission advances to €7,641 thousand as of June 30, 2024, compared to €5,177 thousand at the end of 2023[34] - The accumulated orders reached €1,495.8 million, an increase of approximately 6.0% from €1,410.5 million as of June 30, 2023[50] - The sales revenue from composite yachts increased by approximately 9.9% to €265.5 million for the six months ended June 30, 2024, compared to €241.6 million for the same period in 2023[58] - The sales revenue from superyachts surged by approximately 27.3% to €82.5 million for the six months ended June 30, 2024, compared to €64.8 million for the same period in 2023[59] - The company is focused on innovation in new product development and technology, aiming to strengthen its competitive position in the market[92]

Financial Performance - Total revenue for the year ended December 31, 2023, was €1,123,483 thousand, an increase of 16.1% compared to €967,753 thousand in 2022[11]. - Net income for 2023 was €86,355 thousand, representing a 64.8% increase from €52,395 thousand in 2022[12]. - The company's total assets increased to €1,791,099 thousand in 2023, up from €1,565,404 thousand in 2022, reflecting a growth of 14.4%[14]. - The company's financial income increased to €21,120 thousand in 2023, up from €11,268 thousand in 2022, a growth of 87.5%[11]. - Operating cash flow for 2023 was €66,621 thousand, a decrease of 62.3% compared to €176,533 thousand in 2022[15]. - The company reported a pre-tax profit of €105,262 thousand for 2023, up 84.3% from €57,146 thousand in 2022[15]. - The company’s net income for 2023 was €86,355 thousand, compared to €52,395 thousand in 2022, reflecting a 64.8% increase[17]. - The company’s total equity increased to €898,774 thousand by the end of 2023, up from €832,347 thousand at the end of 2022[17]. Revenue Recognition - The company recognizes revenue from contracts only when specific criteria are met, including customer approval and identifiable payment terms[22]. - Revenue from construction contracts is recognized based on the percentage of completion method, reflecting the proportion of costs incurred to total estimated costs[23]. - The company confirms revenue from the sale of goods and services at the point of transfer of control to the customer, aligning with the timing of ownership transfer[23]. - Government grants are recognized at fair value when it is reasonably assured that the grant will be received and all conditions will be met[24]. - Interest income is recognized using the effective interest method, based on the estimated future cash flows discounted to the net carrying amount of financial assets[25]. Assets and Liabilities - The company's total liabilities increased to €892,325 thousand in 2023, compared to €733,057 thousand in 2022, reflecting a growth of 21.7%[14]. - The company reported a significant increase in contract assets, which rose to €189,493 thousand in 2023 from €136,660 thousand in 2022, an increase of 38.5%[13]. - Total financial liabilities reached €442,802 million in 2023, up from €387,683 million in 2022, indicating an increase of approximately 14.2%[63]. - Lease liabilities rose to €17,667 million in 2023 compared to €17,102 million in 2022, marking an increase of about 3.3%[63]. - The company’s total current assets with related parties amounted to €46,571 million as of December 31, 2023[194]. Audit and Compliance - The financial statements were audited in accordance with International Auditing Standards, ensuring a true and fair view of the company's financial position as of December 31, 2023[3]. - The audit identified key audit matters, including the complexity of estimating costs related to shipbuilding projects, which involves significant judgment[6]. - The management's assessment of the recoverable amount of cash-generating units related to intangible assets was deemed a critical audit matter due to the complexity of assumptions involved[7]. - The company is responsible for ensuring that the financial statements are free from material misstatement due to fraud or error, and for evaluating the appropriateness of the going concern assumption[8]. Inventory and Costs - Inventory levels rose significantly to €301,927 thousand in 2023, compared to €176,590 thousand in 2022, marking an increase of 70.9%[13]. - The total personnel costs for the year ended December 31, 2023, amounted to €109,559,000, a decrease from €112,902,000 in 2022, reflecting a reduction of approximately 3.1%[99]. - The company reported a total of €95,484,000 in other service costs for 2023, slightly increasing from €93,225,000 in 2022, indicating a growth of about 2.4%[95]. - The total rental and leasing expenses for 2023 were €11,754,000, up from €9,662,000 in 2022, representing an increase of approximately 21.6%[98]. Investments and Capital Expenditures - The company made capital expenditures of €115,714,000 during the year, contributing to the increase in asset values[136]. - The company has a commitment of €385,000 for undrawn revolving credit facilities as of December 31, 2023[132]. - The company is focusing on expanding its market presence and enhancing product offerings through strategic investments and partnerships[135]. Taxation and Deferred Tax - Income tax expense for the year ended December 31, 2023, was €18,907,000, significantly higher than €4,752,000 in 2022, indicating a rise of 297.5%[110]. - The company anticipates future taxable profits to recover previously unrecognized deferred tax assets based on improved earnings forecasts[155]. - The deferred tax assets decreased to €7,396,000 in 2023 from €17,299,000 in 2022, indicating a reduction of approximately 57.3%[154]. Employee Benefits and Provisions - The company has provisions for employee benefits and severance payments, with employee benefit provisions at €5,620 as of December 31, 2023[173]. - The company’s product warranty provisions rose to €33,831,000 as of December 31, 2023, up from €26,201,000 in 2022, representing an increase of approximately 29.2%[163]. - The actuarial loss recognized in 2023 was €39,000, which is a significant change from the actuarial gain of €218,000 in 2022[177]. Financial Risks and Management - The company faces various financial risks related to financial instruments, which are managed according to established policies[59]. - The company continues to monitor cash flow on a monthly basis, considering seasonal factors in its business operations[69]. - The company is actively managing its legal and tax liabilities, with a focus on potential settlements to mitigate financial impact[165].

Financial Performance - The company achieved a net revenue of €1,134.5 million in 2023, representing a growth of approximately 10.1% compared to 2022[22]. - Adjusted EBITDA reached €169.2 million, an increase of about 20.9% from €140.0 million in 2022, with an EBITDA margin of 15.2%, up 110 basis points[22]. - The net profit for the year was €83.5 million, a rise of approximately 38% from €60.5 million in the previous year[22]. - The total new order volume for the period reached €1,120.4 million, consistent with the new order volume for the year ended December 31, 2022[31]. - The company's net revenue increased by approximately 10.1% to €1,134.5 million in 2023, up from €1,030.1 million in 2022[46]. - The company's other income rose to €22,200 thousand, an increase of €6,200 thousand or 38.8% from €16,000 thousand in the previous year[54]. - The company's net profit for the year increased by €23,000 thousand or approximately 38% to €83,500 thousand, with a net profit margin rising from 5.9% to 7.4%[64]. Order and Backlog - The total order backlog as of December 31, 2023, was approximately €1.5 billion, an increase of about 15.1% from the previous year[22]. - Cumulative orders as of December 31, 2023, reached €1,491.1 million, a 15.1% increase from €1,295.6 million as of December 31, 2022[38]. - The composite yacht segment saw new order volume of €527.2 million, accounting for 47.1% of total new orders in 2023, up from 39.8% in 2022[34]. - The custom yacht segment's new order volume decreased by 14.6% to €423.0 million, representing 37.8% of total new orders in 2023[34]. - The superyacht segment experienced a decline of 26.9% in new order volume to €149.5 million, making up 13.3% of total new orders[34]. Product Segments - The net revenue from composite material yachts reached €491.8 million, a year-on-year increase of 19.3%, accounting for approximately 44.3% of the total net revenue from new yachts during the reporting period[24]. - The net revenue from custom-built yachts increased by 1.7% to €440.3 million, with new orders amounting to €423.0 million during the reporting period[24]. - The net revenue from superyachts rose by 23.3% to €117.6 million, with new orders totaling €149.5 million, driven by strong performance in flagship semi-series models[24]. - The other business segment generated net revenue of approximately €61.3 million, reflecting a year-on-year growth of about 10.3%, primarily from the Wally sailing division[25]. Research and Development - The company emphasized its commitment to R&D to maintain its market leadership in the luxury yacht industry[23]. - The company aims to invest in innovation and sustainable materials to reduce environmental impact and enhance the sailing experience[42]. - The company is committed to investing in high-value activities to support future growth and product portfolio expansion[29]. Sustainability and Environmental Initiatives - The company has initiated steps to achieve ISO 14001:2015 environmental certification for all shipyards, aiming to reduce energy consumption and emissions[28]. - The company is committed to aligning its sustainability policies with international best practices and market positioning[171]. - The Sustainability Committee is tasked with monitoring the implementation of sustainability policies and reporting to the board[171]. Corporate Governance - The company has established a sustainability committee to assist the board in drafting environmental, social, and governance strategies and policies[93]. - The board consists of 7 to 11 members, including a chairman and one or more vice-chairmen, ensuring compliance with independence requirements[114]. - The company has adopted a shareholder communication policy as per the corporate governance code[93]. - The board is responsible for approving significant transactions that may impact the company's strategy or financial condition[111]. Financial Position and Assets - Current assets increased to €930.2 million in 2023 from €818.7 million in 2022[20]. - Total assets rose to €1,602.2 million in 2023, compared to €1,407.6 million in 2022[20]. - The company's net working capital as of December 31, 2023, was negative €29.7 million, indicating an increase compared to the previous year, which supports upcoming deliveries in Europe and the Middle East[73]. Employment and Workforce - As of December 31, 2023, the company employed 1,971 staff, an increase from 1,835 staff as of December 31, 2022[87]. - The gender ratio among the company's 1,971 employees is 85% male and 15% female, reflecting the company's commitment to gender diversity[125]. Committees and Board Structure - The board has established various committees, including a monitoring, risk, and related party committee, a remuneration committee, and a nomination committee, to oversee specific governance issues[162]. - The board consists of nine directors, including three independent directors, who meet the independence requirements as per the Corporate Governance Code and Listing Rules[154]. - The board has established a strategy committee as of February 19, 2024, to support long-term value creation for shareholders and stakeholders[175]. Risk Management and Internal Controls - The company has implemented an internal control and risk management system (IARMS) to identify, measure, manage, and monitor key risks, aligning with strategic objectives[194]. - The internal control system aims to ensure the reliability, accuracy, and timeliness of financial data during preparation and publication[196]. - The company actively evaluates the appropriateness and effectiveness of its internal control and risk management systems[195].

Financial Performance - The group's net revenue for the year ended December 31, 2023, was approximately €1,134.5 million, an increase of about 10.1% compared to €1,030.1 million in the same period of 2022[2]. - The group's profit for the year ended December 31, 2023, was approximately €83.5 million, representing a 38.0% increase from €60.5 million in 2022[2]. - Adjusted EBITDA for the year ended December 31, 2023, was approximately €169.2 million, up 20.9% from €140.0 million in 2022[2]. - The profit attributable to shareholders for the year ended December 31, 2023, was approximately €83.0 million, an increase of 37.8% from €60.3 million in 2022[2]. - The group reported a total comprehensive income of €81.2 million for the year ended December 31, 2023, compared to €64.9 million in 2022[5]. - The company reported a net profit for the reporting period increased by €23.0 million or approximately 38% to €83.5 million, with a net profit margin rising from 5.9% to 7.4%[78]. Dividends and Shareholder Returns - The board proposed a final dividend of approximately €32,833,000 for the year ended December 31, 2023, equivalent to €0.097 per share, subject to shareholder approval[2]. - The board proposed a final dividend of €32,833,000, which translates to €0.097 per share, compared to €0.0588 per share in 2022, pending shareholder approval[92]. Assets and Liabilities - Total assets as of December 31, 2023, amounted to €1,602.2 million, compared to €1,407.6 million as of December 31, 2022[7]. - The group’s total liabilities as of December 31, 2023, were €762.6 million, an increase from €629.2 million as of December 31, 2022[7]. - Cash and cash equivalents as of December 31, 2023, were €314.1 million, slightly down from €317.8 million as of December 31, 2022[6]. - The company reported a net impairment loss of €881,000 for trade receivables in 2023, compared to €558,000 in 2022[34]. Revenue Breakdown - New yacht net revenue reached €1,110,949 thousand, up 11.5% from €996,119 thousand in 2022[18]. - Composite material yacht revenue increased to €491,751 thousand, a rise of 19.3% from €412,119 thousand in 2022[16]. - Revenue from the Middle East and Africa region surged to €212,316 thousand, a significant increase of 143.5% from €87,248 thousand in 2022[18]. - The company reported a decrease in second-hand yacht revenue to €23,535 thousand, down 30.7% from €33,980 thousand in 2022[18]. Operational Costs and Expenses - The company’s operational costs for transportation and customs clearance rose to €27,776 thousand, an increase of 16.7% from €23,793 thousand in 2022[25]. - Total personnel costs for 2023 were €130,727,000, an increase from €128,810,000 in 2022, with wages and salaries slightly decreasing to €93,983,000 from €94,426,000[28]. - Total rental and lease expenses increased to €9,755,000 in 2023 from €8,931,000 in 2022, with short-term rentals decreasing to €2,930,000 from €4,510,000[28]. - The total income tax expense for 2023 was €20,519,000, significantly higher than €8,839,000 in 2022, driven by increased taxable income[30]. Market Presence and Expansion - The company has subsidiaries in multiple countries, including Italy, the USA, and China, indicating a broad market presence[10]. - The company plans to complete the assessment of the impact of the Italian Pillar Two regulation in the first half of 2024[31]. - The company plans to improve and expand its product offerings to solidify market leadership, with composite and custom yacht segments growing from 14.9% to 15.8% of total revenue[58]. Environmental and Governance Commitments - The company is committed to identifying and assessing climate change-related risks and opportunities, which may impact financial disclosures and reporting[15]. - The group plans to communicate information regarding environmental, social, and governance factors to stakeholders, emphasizing sustainable business practices[15]. - The company is committed to corporate governance as per the applicable codes[104]. Employee and Management Information - As of December 31, 2023, the group had 1,971 employees, an increase from 1,835 employees as of December 31, 2022, reflecting a growth in workforce[90]. - The management incentive plan was approved on December 21, 2021, for senior management and other employees[105]. Financial Reporting and Compliance - The group’s financial statements are prepared in accordance with International Financial Reporting Standards, ensuring compliance with EU regulations[14]. - The audit committee reviewed the annual performance for the year ending December 31, 2023, ensuring compliance with relevant accounting standards[99]. - The company is subject to international accounting standards and financial reporting standards[104].

Financial Performance - Net revenue for the first half of 2023 reached €580.8 million, an increase of 8.6% compared to €534.9 million in the same period of 2022[5]. - Adjusted EBITDA for the same period was approximately €83.4 million, up 20.9% from €69.0 million year-over-year, with an EBITDA margin of 14.7%, an increase of 120 basis points[6]. - Net profit for the first half of 2023 was approximately €40.9 million, reflecting a 36.8% increase from the previous year[6]. - Total revenue for the six months ended June 30, 2023, was €580.84 million, a 8.6% increase from €534.95 million for the same period in 2022[22]. - Basic and diluted earnings per share increased to €0.12 from €0.10 year-over-year[86]. - The total comprehensive income for the period was €38,922 thousand, compared to €33,601 thousand in the same period last year[87]. - The company reported a pre-tax profit of €55,512 thousand for the first half of 2023, up 90% from €29,151 thousand in the same period of 2022[90]. - The total financial income for the first half of 2023 was €4,277,000, significantly up from €5,000 in the same period of 2022[156]. - The total financial expenses decreased to €1,957,000 in the first half of 2023 from €2,356,000 in the same period of 2022, representing a reduction of 16.9%[157]. Assets and Liabilities - Total assets as of June 30, 2023, amounted to €1.48 billion, a 5.5% increase from €1.41 billion at the end of 2022[5]. - Total liabilities increased by 9.3% to €687.5 million from €629.2 million at the end of 2022[5]. - Inventory increased by €64.6 million or 32.6% to €262.8 million, primarily due to increased yacht production to meet growing demand[45]. - The company's net cash position as of June 30, 2023, was €320 million, down from €365 million at the end of 2022[51]. - The debt-to-equity ratio improved to approximately 4.5% from 5.1% as of December 31, 2022, reflecting a strong financial position[52]. - The total amount of trade receivables was €21,041, with overdue amounts categorized as follows: €1,907 overdue by 30 days, €2,584 overdue by 30 to 60 days, and €1,080 overdue by 60 to 90 days[129]. Revenue Breakdown - Sales of composite material yachts generated net revenue of approximately €260 million, an increase of 11.2% from €234 million in the same period last year[7]. - Sales of custom yachts increased by 3.3% to approximately €208 million from €201 million year-over-year[8]. - Sales of superyachts saw a significant increase of 32.5%, reaching approximately €65 million compared to €49 million in the previous year[8]. - Revenue from composite material yachts increased by approximately 11.2% to €259.79 million for the six months ended June 30, 2023, compared to €233.71 million for the same period in 2022[23]. - Revenue from custom yachts rose by approximately 3.3% to €207.98 million for the six months ended June 30, 2023, compared to €201.29 million for the same period in 2022[24]. - Revenue from superyachts surged by approximately 32.5% to €64.85 million for the six months ended June 30, 2023, compared to €48.93 million for the same period in 2022, driven by the launch of alloy-hulled superyacht models[25]. Market Outlook - The company anticipates continued growth in the second half of 2023, supported by a backlog of orders totaling approximately €1.4 billion[6]. - The global yacht market was valued at approximately €24 billion in 2022 and is projected to reach about €29.3 billion by 2025, with a compound annual growth rate (CAGR) of 6.8% from 2022 to 2025[12]. - The number of ultra-high and high-net-worth individuals is expected to grow at CAGRs of 7.7% and 7.8% respectively between 2022 and 2025, indicating strong demand for luxury yachts[12]. - The company anticipates a net revenue growth of 10% CAGR and an EBITDA margin exceeding 18.5%, with a cash conversion rate estimated to be above 85%[13]. Corporate Governance and Compliance - The company adopted new corporate governance policies to comply with Italian laws and regulations, effective from June 27, 2023[62]. - The audit committee has reviewed the unaudited interim condensed consolidated financial statements and confirmed compliance with applicable accounting standards and regulations[61]. - The board is committed to creating value for shareholders while adhering to local and international governance standards[58]. - The company has implemented measures to enhance its internal control systems and maintain high standards of corporate governance[58]. Strategic Initiatives - The company has invested significantly in R&D since 2014, focusing on environmentally friendly innovations and expanding its product portfolio to meet rapidly changing customer expectations[10]. - The company aims to become a leader in environmental, social, and governance (ESG) practices within the yacht industry, having published its first sustainability report in 2019 and established an ESG committee in 2021[11]. - The group operates seven shipyards and has begun internalizing the production of certain fiberglass and carbon fiber hulls to enhance supply chain control[17]. - The group has established a sales network covering over 70 countries, enhancing its reach to high-net-worth individuals[16]. - The company plans to focus on enhancing its product offerings and expanding its custom yacht range to meet the needs of a broader customer base while maintaining uniqueness[13]. Shareholder Information - The company’s major shareholder, Shandong State-owned Assets Supervision and Administration Commission, holds a 37.61% stake in the company[75]. - Piero Ferrari holds 15,441,768 shares, representing 4.56% of the company[70]. - Shandong Heavy Industry Group owns 127,314,411 shares, accounting for 37.61% of the total shares[72]. - Weichai Group also holds 127,314,411 shares, equivalent to 37.61% of the total shares[72]. - Valea Foundation has a stake of 33,872,900 shares, which is 10.01% of the total shares[72]. - Danilo Lervolino owns 17,862,066 shares, representing 5.27% of the total shares[72]. Investment and Capital Expenditure - The company invested €83,609 thousand in property, plant, and equipment, and intangible assets during the first half of 2023, compared to €36,710 thousand in the same period of 2022[90]. - The company invested approximately €40 million in acquiring a production facility in Italy, which is expected to increase production capacity by about 20% once fully operational[182]. - The company has allocated HKD 428.5 million to strengthen its leadership position in the luxury yacht industry, with HKD 398.2 million already utilized[79]. Risk Management - The group regularly assesses risks associated with its operations, including competition, regulatory changes, and market developments[55]. - The company continuously monitors cash flow and financial resources monthly to manage liquidity risk, considering seasonal business issues[115]. - The company faces a currency risk related to the USD due to sales conducted by its subsidiary, Ferretti Group of America Llc, with no cash flow hedging performed as of June 30, 2023[120].

Financial Performance - The group's net revenue for the six months ended June 30, 2023, was approximately €580.8 million, an increase of about 8.6% compared to €534.9 million in the same period of 2022[2]. - The group's profit for the period was approximately €40.9 million, representing an increase of about 36.8% from €29.9 million in the same period last year[2]. - Adjusted EBITDA for the six months ended June 30, 2023, was approximately €83.4 million, up about 20.9% from approximately €69.0 million in 2022[2]. - Basic and diluted earnings per share for shareholders were €0.12, compared to €0.10 in the previous year[3]. - Total comprehensive income for the period was €38.9 million, compared to €33.6 million in the same period of 2022[5]. - The company reported a pre-tax profit of €55,512 thousand for the first half of 2023, compared to €29,151 thousand in the same period of 2022, indicating an increase of 90.5%[8]. - The company's net profit attributable to shareholders increased to €40,448 thousand for the six months ended June 30, 2023, compared to €29,608 thousand for the same period in 2022, representing a growth of 36.7%[44]. - Earnings per share (EPS) for the company attributable to shareholders was €0.12 for the six months ended June 30, 2023, compared to €0.10 in the same period of 2022, reflecting a 20% increase[44]. - Net profit increased by approximately 36.8% to about €40.9 million, driven by scale and improved profit margins[68]. Assets and Liabilities - The total assets as of June 30, 2023, amounted to €1,484.9 million, an increase from €1,407.6 million as of December 31, 2022[7]. - The total liabilities as of June 30, 2023, were €687.5 million, compared to €629.2 million at the end of 2022[7]. - Shareholders' equity attributable to the company was €796.6 million as of June 30, 2023, an increase from €778.0 million at the end of 2022[7]. - The company's cash and cash equivalents were €309.7 million as of June 30, 2023, down from €317.8 million at the end of 2022[6]. - The ending cash and cash equivalents as of June 30, 2023, were €309,660 thousand, down from €441,434 thousand at the end of June 2022, a decrease of 29.8%[9]. - The net cash position as of June 30, 2023, was €320 million, compared to €365 million as of December 31, 2022[73]. - The debt-to-equity ratio decreased to approximately 4.5% from 5.1% as of December 31, 2022, indicating a strong financial position[74]. Cash Flow and Investments - Operating cash flow for the six months ended June 30, 2023, was €62,076 thousand, a decrease from €144,215 thousand in the same period of 2022, representing a decline of 56.9%[8]. - Cash flow used in investing activities was €(36,629) thousand for the first half of 2023, an improvement from €(78,983) thousand in the same period of 2022[9]. - The company did not issue new shares in the first half of 2023, contrasting with €223,320 thousand raised from share issuance in the same period of 2022[9]. Operational Highlights - The group successfully completed its dual listing on the Milan Stock Exchange and the Hong Kong Stock Exchange on June 27, 2023[2]. - The company operates a single reporting segment focused on the design, construction, and marketing of yachts and leisure boats[19]. - The company operates seven shipyards and two indoor accessory and custom furniture production facilities, ensuring high-quality production and technical performance[46]. - The company has established a sales network covering over 70 countries/regions, targeting high-net-worth individuals and enhancing brand positioning through exclusive promotional activities[46]. Cost and Expenses - Total personnel costs for the six months ended June 30, 2023, were €65,088 million, a decrease of 6% from €69,301 million in the same period last year[25]. - The company incurred €58,856 million in total other service costs, down from €61,053 million in the previous year, indicating a reduction of approximately 4%[23]. - The cost of raw materials and consumables increased by approximately 21.2% from about €260.8 million to approximately €316.1 million due to increased production activities[60]. - Contractor costs rose by approximately 33.0% from about €77.3 million to approximately €102.8 million, driven by increased production activities to meet order growth[61]. - The total operating expenses decreased significantly to €2,953 million from €5,626 million, representing a reduction of 47.5% year-over-year[28]. Market Position and Orders - The company holds a 15% market share in the global luxury yacht market as of June 30, 2022, positioning it as a leading player in the sector[45]. - Cumulative orders increased by 15.8% compared to the six months ended June 30, 2022, driven by an expanded product portfolio and redesigned models[48]. - Revenue from composite yachts rose by approximately 11.2% from about €234 million to approximately €260 million due to increased cumulative orders[51]. - Revenue from custom yachts increased by approximately 3.3% from about €201 million to approximately €208 million, also attributed to higher cumulative orders[52]. - Revenue from superyachts surged by approximately 32.5% from about €49 million to approximately €65 million, primarily due to the launch of new alloy-hulled superyacht models[53]. Governance and Compliance - The company has complied with the corporate governance code as per the Hong Kong listing rules and the Italian corporate governance code since its listing[85]. - The audit committee has reviewed the unaudited interim consolidated financial statements and confirmed that the accounting treatment is in accordance with applicable accounting standards[87]. - The company appointed EY S.p.A. as its independent auditor for a term of nine financial years, starting from the fiscal year ending December 31, 2023[89]. - The board of directors includes both executive and non-executive members, ensuring diverse governance[99]. Future Outlook - The company anticipates no significant impact from the newly issued accounting standards on its financial statements[18]. - The company plans to adopt new accounting standards upon their effective date, expecting no major impact on its financial statements[18].

Financial Performance - Total revenue for the year ended December 31, 2022, was €967.753 million, an increase of 15% from €841.503 million in 2021[15]. - Net income for 2022 was €52.395 million, compared to €23.533 million in 2021, representing a growth of 123%[16]. - Cash and cash equivalents increased significantly to €293.322 million in 2022 from €114.223 million in 2021, showing a growth of 157%[17]. - Total assets rose to €1,565.404 million in 2022, up from €1,194.706 million in 2021, reflecting a growth of 31%[18]. - The company reported a gross profit margin improvement, with net revenue of €931.698 million after costs, compared to €817.732 million in the previous year[15]. - The company’s total liabilities increased to €733.057 million in 2022 from €631.919 million in 2021, indicating a rise of 16%[18]. - The company reported a net profit of €52,395 thousand for the year 2022, up from €23,533 thousand in 2021, marking a growth of 122.5%[21]. - The company’s total reserves increased to €493,864 thousand in 2022 from €312,052 thousand in 2021, a rise of 58.2%[21]. Audit and Compliance - The financial statements were prepared in accordance with EU-adopted International Financial Reporting Standards, reflecting a true and fair view of the company's financial position as of December 31, 2022[3]. - The audit identified key audit matters, including revenue recognition for shipbuilding and impairment testing of intangible assets, which involved complex estimates and judgments[5][7]. - The audit was conducted in accordance with International Auditing Standards, providing reasonable assurance that the financial statements are free from material misstatement[4]. - The independent auditor's report confirms that the financial statements of Ferretti S.p.A. fairly reflect the company's financial position as of December 31, 2022, in accordance with EU-adopted International Financial Reporting Standards[12]. - The auditor assessed the risks of material misstatement due to fraud or error and designed audit procedures to address these risks, emphasizing that the risk of fraud is higher than that of error[13]. - The audit procedures included evaluating management's methods for estimating costs and assessing the reasonableness of long-term growth rates and discount rates used in impairment testing[7]. - The company is responsible for assessing its ability to continue as a going concern and ensuring that the financial statements are free from material misstatement due to fraud or error[8]. Assets and Liabilities - The company reported intangible assets amounting to €231.6 million, primarily consisting of trademarks with indefinite useful lives valued at €221.7 million[7]. - Total financial assets amounted to €347,976 million, an increase from €257,913 million in 2021, representing a growth of approximately 35%[59]. - Trade receivables were reported at €189,319 million for 2022, slightly down from €196,195 million in 2021, indicating a decrease of about 3.5%[59]. - The company has a total lease liability of €17,102,000, with future cash flows of €19,825,000 over various time frames[70]. - The total amount of trade and other payables reached €484,497 million as of December 31, 2022, compared to €389,492 million in 2021, indicating a rise of 24.4%[165]. Revenue Recognition and Contracts - Revenue from construction contracts is recognized based on the percentage of completion method, reflecting the ratio of costs incurred to estimated total contract costs[25]. - The total amount of existing contracts not yet fulfilled as of December 31, 2022, was €748,413,000, up from €509,338,000 in 2021, indicating strong future revenue potential[90]. - Revenue recognized from contract liabilities increased significantly to €116,623,000 in 2022 from €34,023,000 in 2021[89]. - The company anticipates recognizing revenue from remaining performance obligations within one year for a significant portion of its contracts[90]. Cash Flow and Financing Activities - Total cash flow from operating activities decreased to €176,533 thousand in 2022 from €212,393 thousand in 2021, a decline of 16.9%[19]. - Financing activities generated €139,913 thousand in cash flow in 2022, compared to a net outflow of €58,050 thousand in 2021[20]. - The company issued shares worth €234,753 thousand in 2022, while no shares were issued in 2021[20]. - The company’s cash flow from financing activities showed a reduction in bank and other borrowings from €130,198,000 at the end of 2021 to €58,730,000 by December 31, 2022[189]. Employee Benefits and Compensation - The total number of employees remained stable at 4 for both years, with the highest-paid non-director employees earning between 3,500,001 HKD and 15,500,000 HKD[103]. - Total wages and salaries for 2022 amounted to $8,916 million, up from $3,985 million in 2021, reflecting a 123% increase[200]. - The total employee benefits provision included a demographic assumption of a 3% annual probability of employment termination for employees aged 65 and below[178]. - The company’s interest cost for employee benefits was €37,000 for the year ended December 31, 2022[179]. Investments and Acquisitions - The company made a cash payment of €100,000 to acquire 60% of Fratelli Canalicchio S.p.A. on September 19, 2022[136]. - The company provided a loan of €6,375,000 to Zago S.p.A. for acquiring 85% of Il Massello Srl on September 28, 2022[148]. - Investments in subsidiaries amounted to €17,575,000 as of December 31, 2022, an increase from €13,619,000 in 2021, with notable investments in Sea Lion Srl and Ram S.p.A.[135]. Provisions and Impairments - Provisions and impairments totaled 35,524,000 HKD for the year ended December 31, 2022, significantly higher than 15,292,000 HKD in 2021, indicating a rise of approximately 132.5%[106]. - The total product warranty provision increased from €18,767 million on December 31, 2021, to €26,201 million on December 31, 2022, reflecting a growth of 39.5%[161]. - The provision for legal proceedings and tax and employment law litigation increased from €5,819 million in 2021 to €8,663 million in 2022, a growth of 48.5%[162]. Related Party Transactions - The total amount of related party transactions as of December 31, 2022, included 184,645,000 euros in other receivables and 100,983,000 euros in other payables[193]. - The total revenue from related parties for the year ended December 31, 2022, was €157.459 million, with other income of €2.319 million[197]. - The total payables to Ferretti Group of America LLC were €59.129 million, reflecting significant transactions within the group[196]. Taxation - The total tax expense for the year ended December 31, 2022, was 4,752,000 EUR, compared to 1,185,000 EUR in 2021, indicating a significant increase due to higher taxable income[112]. - The company recognized a tax credit of €1,365,000 related to the Italian incentive legislation "Industria 4.0" as of December 31, 2022[125].

Financial Performance - The company's net revenue for 2022 reached €1,030.1 million, representing a 14.7% increase compared to 2021[5] - Adjusted EBITDA for 2022 was €140.0 million, up 36.5% from €102.6 million in 2021, with an EBITDA margin of 14.1%[8] - Net profit increased by 62.0% year-over-year to approximately €60.5 million[8] - The yacht manufacturing business accounted for approximately 91.3% of net revenue[8] - The yacht manufacturing business achieved a record performance with the delivery of 207 new vessels, an increase of 13 vessels compared to 2021[9] - The company reported a net revenue of €1,030.1 million for the period, an increase of 14.7% from €898.4 million for the year ended December 31, 2021[20] - The net profit increased by 62.0% to €60.5 million, up from €37.4 million for the year ended December 31, 2021[19] - The company received new orders amounting to €1,162 million during the reporting period, compared to €971.5 million in new orders for the year ended December 31, 2021[20] - The cumulative order book as of December 31, 2022, reached €1,296 million, up from €1,015.8 million as of December 31, 2021[16] Market and Product Development - The global yacht market size was approximately €24 billion in 2022, projected to reach about €29.3 billion by 2025, reflecting a compound annual growth rate (CAGR) of 6.8% from 2022 to 2025[12] - The number of potential end customers (ultra-high and extremely high net worth individuals) is expected to grow at a CAGR of 7.7% and 7.8% from 2022 to 2025, indicating significant growth potential[13] - The company aims to enhance its product offerings and maintain market leadership in composite and custom segments, focusing on areas with the highest growth potential and profit margins[13] - The company launched 24 new yacht models from 2020 to 2022, which now represent about 50% of the current product lineup[8] - Six superyachts were delivered from 2020 to 2022, reflecting an increase in demand and attracting new customers[8] Revenue Breakdown - Composite yachts generated net revenue of €439.3 million, a year-on-year decrease of 5.4%, accounting for approximately 42.6% of the group's net revenue, with total new orders reaching €484.9 million[9] - Custom yachts recorded net revenue of €405.8 million, a year-on-year increase of 62.5%, representing about 39.4% of the group's net revenue, with total new orders amounting to €473.0 million[9] - Super yachts achieved net revenue of €95.4 million, a year-on-year increase of 12.9%, accounting for approximately 9.3% of the group's net revenue, with total new orders reaching €204.6 million[9] - The auxiliary business generated net revenue of €89.5 million, a year-on-year decline of 10.3%, primarily due to a decrease in revenue from second-hand yachts[10] Assets and Liabilities - Current assets for 2022 were €818.7 million, up from €505.2 million in 2021[6] - The company's total assets reached €1,407.6 million in 2022, compared to €1,046.1 million in 2021[6] - As of December 31, 2022, the company's current assets amounted to €818.7 million, while current liabilities were €583.4 million, resulting in a net current asset value of €235.3 million, an increase of €203.5 million from €31.8 million in 2021[35] Cost and Expenses - The cost of raw materials and consumables rose by €90.2 million or 21.3% to €514.5 million, driven by increased production activities due to new orders[29] - Personnel costs increased by €16.4 million or 14.6% to €128.8 million, primarily due to management incentive payments and an increase in average employee numbers[30] Corporate Governance - The board of directors consists of eight members, including one executive director and three independent non-executive directors, ensuring a diverse range of expertise and experience[60] - The company has complied with all applicable corporate governance code provisions since its listing, except for one specific provision regarding meetings with independent non-executive directors[58] - The board is responsible for leading and monitoring the group, focusing on overall strategy, approving development plans, and overseeing financial performance[62] - The company has established a performance-based discretionary bonus system for eligible employees, linked to operational performance[57] Sustainability and ESG Initiatives - The company is committed to sustainability, investing in innovative solutions and partnerships, including the development of hydrogen engines for yachts in collaboration with Weichai Group[11] - The company has committed to sustainable development, focusing on environmental management, innovation, and the health and safety of employees and customers[133] - The company aims to enhance energy efficiency and reduce greenhouse gas emissions, which are critical to mitigating financial and reputational risks[143] - The company has established dedicated HSE departments in each factory to improve pollution, waste, and water management[142] Employee and Community Engagement - As of December 31, 2022, the company had 1,835 full-time employees, an increase from 1,617 employees as of December 31, 2021, reflecting a growth of approximately 13.5%[57] - The company provided a total of 19,635 hours of training in 2022, a 19% increase compared to the previous year[170] - The company has committed to supporting local children's protection initiatives in El Salvador through a special project launched in September 2022, in collaboration with the 7 Fund[176] Risk Management - The company has implemented a 231 model update to enhance the effectiveness of its risk management and internal control systems, covering all significant controls including financial, operational, and compliance controls[82] - The company prioritizes risk management by evaluating the likelihood and potential impact of adverse events, categorizing risks based on their significance[84] - The company faces risks related to anti-corruption and anti-money laundering laws in various jurisdictions, which could impact its reputation and lead to significant penalties[87] Shareholder Information - The company paid a final dividend of €6.7 million for the fiscal year ending December 31, 2021, and proposed a final dividend of €19,902,780.06 for the reporting period, equating to €0.0588 per share, compared to €0.0198 per share in 2021[98] - The company has adopted a regular annual dividend policy to distribute no less than 30% of the annual profit attributable to shareholders, after deducting a mandatory legal reserve of 5%[99] Environmental Impact - The company reported a total water intake of 107,284 cubic meters in 2022, with 48% sourced from third parties[155] - The total amount of non-hazardous waste generated by the company rose significantly from 1,048.9 tons in 2021 to 1,636.7 tons in 2022, an increase of about 56%[200] - The company successfully reduced greenhouse gas emissions by 15% year-over-year, aligning with its sustainability goals[190]

Financial Performance - Net revenue for the first half of 2022 reached approximately €534.9 million, a 17.0% increase from €457.2 million in the same period of 2021[6]. - New orders surged to approximately €642 million, marking a 30% increase from about €494 million in the prior year[8]. - Adjusted EBITDA for the first half of 2022 was approximately €69 million, up 30% from €53 million in the same period of 2021, with an EBITDA margin of 13.5%[8]. - Net profit for the first half of 2022 increased by 26.4% to approximately €29.6 million, compared to €23.4 million in the same period of 2021[6]. - Total assets rose to €1.36 billion, reflecting a 30.4% increase from €1.05 billion at the end of 2021[6]. - The group's overall net revenue increased by approximately 17.0% from about €457.2 million for the six months ended June 30, 2021, to about €534.9 million for the corresponding period[19]. - Net profit for the period increased by approximately 27.6% to €29.9 million, up from €23.4 million for the six months ended June 30, 2021[28]. - The company reported a revenue of €555,641 thousand for the six months ended June 30, 2022, representing a 17.2% increase from €474,035 thousand in the same period of 2021[55]. - The company reported a total of €688,594 in contract liabilities as of June 30, 2022, compared to €433,093 in the previous year, indicating a significant increase in future revenue recognition[93]. Sales and Market Growth - The company reported a significant increase in customized yacht sales, with net revenue rising 58.7% to approximately €201 million in the first half of 2022[9]. - Revenue from the sale of superyachts increased by 25.2% to approximately €49 million in the first half of 2022[9]. - Revenue from specialized custom yachts increased by approximately 58.7% from about €127 million to about €201 million, driven by a rise in new orders from €167 million to €247 million[22]. - Revenue from superyachts rose by approximately 25.2% from about €39 million to about €49 million, primarily due to an increase in new orders amounting to €105 million[23]. - The company anticipates continued growth in the second half of 2022, supported by a backlog of approximately €1.2 billion in orders[8]. - Ferretti Group's market size in 2021 was €20.8 billion, projected to reach €26.8 billion by 2025, indicating a significant growth opportunity[13]. - The Asia-Pacific market is expected to grow at a compound annual growth rate (CAGR) of 10.8% for ultra-high-net-worth individuals and 11.6% for extremely high-net-worth individuals from 2020 to 2025[13]. Research and Development - The company maintains a strong focus on R&D to innovate and expand its product offerings, enhancing its market leadership in the luxury yacht sector[9]. - The company is investing in R&D for hybrid propulsion systems and all-electric propulsion systems for small yachts[12]. - Ferretti Group has launched a collaboration with Rolls-Royce Power Systems to develop hybrid solutions for yachts[12]. - The group plans to expand its composite materials and specialized custom product offerings, focusing on yachts over 80 feet in length[18]. Financial Position and Strategy - Cash and cash equivalents as of June 30, 2022, were approximately €441 million, up from €173 million as of December 31, 2021[33]. - Total bank borrowings as of June 30, 2022, were approximately €74.1 million, down from €88.5 million as of December 31, 2021[34]. - The capital-to-debt ratio decreased to approximately 9.9% as of June 30, 2022, from 17.8% as of December 31, 2021, indicating a strong financial position[35]. - The company has sufficient financial resources to continue operations in the foreseeable future, as indicated by its current financial status and available financing[40]. - The company has not taken on new bank loans in 2022, contrasting with €56,456 thousand in new loans taken in 2021, indicating a shift in financing strategy[62]. - The company’s financial strategy includes maintaining a net debt to EBITDA ratio of 1.5 or higher, with regular assessments every six months[148]. Corporate Governance - The board of directors is committed to high standards of corporate governance and has adhered to the corporate governance code since the listing date until June 30, 2022[41]. - The audit committee was established on December 21, 2021, and has reviewed the unaudited financial statements for the interim period, confirming compliance with applicable accounting standards[43]. - The company operates under the governance code as stipulated in the listing rules, ensuring compliance with corporate governance standards[188]. Shareholder Information - The company did not recommend any interim dividend for the reporting period[39]. - The company declared a dividend of €6,707,160 for the fiscal year ending December 31, 2021, translating to €0.0198 per ordinary share[172]. - The net profit attributable to shareholders for the six months ended June 30, 2022, was €29,608,000, up from €23,419,000 for the same period in 2021, representing a growth of 26.9%[174]. - Basic and diluted earnings per share stood at €0.09, consistent with the previous year[55]. Risks and Liabilities - The group’s costs for raw materials and consumables increased by approximately 23.1% from about €211.9 million to about €260.8 million, mainly due to increased production activities driven by new orders[25]. - The group’s contractor costs rose by approximately 23.9% from about €62.3 million to about €77.3 million, also due to increased production activities[25]. - The company faces currency risk primarily related to fluctuations in the Euro and USD exchange rates, particularly due to sales conducted by its subsidiary in the US[78]. - The total provision for product warranty increased to €24,655 million from €18,867 million as of December 31, 2021, reflecting a growth of 30.0%[150]. Employee and Director Compensation - The total remuneration for directors of Ferretti S.p.A. for the six months ended June 30, 2022, was €2,830,000, an increase of 129% compared to €1,235,000 for the same period in 2021[31][184]. - Alberto Galassi, the CEO, received a remuneration of €2,673,000 for the six months ended June 30, 2022, compared to €1,073,000 for the same period in 2021, reflecting a growth of 149%[31][184]. - The total social security contributions for directors in the first half of 2022 were €16,000, down from €36,000 in the same period of 2021, indicating a decrease of 56%[31][184].