Masterplast : Updated forecast of 2022 results

MASTERPLAST Nyrt.

MASTERPLAST Nyilvánosan Működő Részvénytársaság (seat: 8143 Sárszentmihály, Árpád u. 1/A., hereinafter referred to as the "Company", "MASTERPLAST Nyrt.") informs the honourable investors that based on the preliminary summary data and trends for the fourth quarter of 2022 and for the financial year 2022, the Company's management amends its earnings forecast for the year 2022 published in its investor conference presentation on 20 September 2022 (slide 40) and in the registration document of the Simplified Prospectus approved by the Magyar Nemzeti Bank (Hungarian National Bank) on 26 September 2022, point 6.2 (page 60).

The Company's fourth quarter of 2022 was unfavourable due to high raw material prices, declining sales volumes and foreign exchange rate movements. High production cost levels, combined with a tightening market, resulted in lower margins and therefore an after-tax loss on a quarterly basis.

Negative market trends mainly affected products related to new housing construction, while sales of thermal insulation materials remained appropriate. The Company has a significant stock of raw materials, which gives it production certainty, but could still mean high average raw material prices in the first half of 2023.

Based on the above, the Company's consolidated figures for the year 2022 forecast sales of EUR 202 million compared to the forecast of EUR 225 million, EBITDA of approximately EUR 20 million compared to the forecast of EUR 26.7 million, and a net profit after tax of approximately EUR 15.5 million compared to the forecast of EUR 18.1 million.

In view of the building industry environment, the Company expects a decline in the first and second quarters of 2023 compared to the high base in the same periods of 2022, offset by the output of two EPS producers and one XPS producer new production plant already operational in the second half of 2023, as well as the availability of European-level refurbishment programs and subsidies that we expect to start.

Based on the assessment of economic developments, the Company plans to update its 3-year profit forecast, including its 2023 profit forecast, in the second quarter of 2023 and to present it in an investor conference with simultaneous announcement.

MASTERPLAST Nyrt.

MASTERPLAST Nyrt. • H-8143 Sárszentmihály, Árpád u. 1/A • Tel.:[phone]• Fax: [phone]

Cny: Székesfehérvári Törvényszék Cégbírósága • Cégjegyzékszám: 07-10-001342• www.masterplastgroup.com