Press releases

2025-04-02 Thanks to an agreement recently renewed for an additional two years, Hera is supporting the company managing the Fiumicino and Ciampino airports to develop circular initiatives aimed at reducing non-recoverable waste, improving recycling rates and making water consumption more efficient. centrata Aeroporti di Roma (ADR) and Gruppo Hera have joined forces to make Rome's Fiumicino and Ciampino airports increasingly sustainable, further developing the circular approach to resource management that has led Rome's airports to send all waste produced by passengers for recovery and to save over 1.4 million cubic metres of drinking water by 2024, using treated water for reuse for all uses where potable water is not strictly necessary. A protocol for the circular management of Rome’s airports The agreement between ADR and the Hera Group, renewed for another two years after an initial protocol launched in 2022, aims to continue along the path of continuous improvement in waste and water cycle management at the Leonardo da Vinci (Fiumicino) and Giovan Battista Pastine (Ciampino) airports. This project is part of ADR’s sustainability plan, that sets sustainable process management at the heart of the company’s strategy. “As Hera Group, we are the driving force for the circular economy in Italian industry, able to provide services to large companies for a sustainable management of waste, reducing it and valorising it with material and energy recovery. This is why we are proud to put our expertise and long-standing expertise in the process of circular waste management and resource regeneration at the service of Aeroporti di Roma, one of the most important operators in the European airport management sector. Bolstered by our experience, we accompany ADR in their green transition, to achieve their ESG targets and increasingly ambitious goals in terms of recycling, efficiency and reduced environmental impact. Working together to make waste and water management processes more sustainable makes a solid contribution to a new development model, in which the recovery and regeneration of resources create economic, environmental and social value. We believe that the challenge of sustainability can only be won together, building partnerships that transform circularity projects such as those involved in the agreement with ADR into concrete results that combine sustainability with competitiveness” - Orazio Iacono, CEO of the Hera Group. “Sustainability and innovation are at the heart of Aeroporti di Roma’s strategy. We have set ourselves the ambitious goal of zero emissions at our airports by 2030, twenty years ahead of European targets for the sector. We recently inaugurated the largest self-consumption photovoltaic system in a European airport, but our commitment to the green transition extends beyond decarbonisation. For us, the responsible use of resources is essential, and we have therefore launched numerous initiatives and projects with a focus on reducing environmental externalities and circular resource management. Sustainable waste management is one of our priorities. Thanks to targeted measures, such as the reconfiguration of collection points and cooperation with sub-concessionaires, we have increased sorted waste collection in our terminals, ensuring that all waste produced by passengers is sent to recovery facilities. Optimising water management is also one of our strategic goal. We have implemented a dual water network that uses treated water from recycling or catchment, reducing drinking water consumption per passenger by 65% compared to 2012. We are proud to continue our collaboration with the Hera Group, whose know-how in this sector will help us continue along the path of an increasingly conscious use of resources” - Marco Troncone, CEO of ADR. Waste: more recycled, less discarded In 2023, thanks to the collaboration with the Hera Group, it was possible to map with extreme accuracy what the final destination of waste produced at Fiumicino and Ciampino airports, to know, for example, how much of it was recovered as materials and how much went to energy recovery. The Hera Group’s know-how in this area has been particularly valuable, given that since 2012 it has developed a certified report (“Tracking down waste”) that certifies the actual percentage of waste collected in the areas in which the Group manages municipal waste collection. In 2024, Fiumicino and Ciampino airports produced over 13,000 tonnes of waste. All the waste produced by passengers was sent for recovery, a result achieved thanks to the effective door-to-door separate waste collection system. Moreover, based on this methodology developed with Hera, it is expected, already by 2025, to further improve the recovery of different types of waste, with a focus on packaging and other significant sectors, to promote prevention, reuse and recycling. Concrete actions will thus be put in place for each type of waste, to reduce waste production and maximise the most virtuous forms of recovery. This will also be achieved by raising awareness and proactively involving the sales points and activities present within the airport, as well as passengers, by providing precise instructions to encourage waste reduction, the use of more easily recyclable materials and the separation of waste following usage. Water: more efficient management and recovery of the resource Sustainable use of the water resource is a priority strategy for ADR. At Fiumicino Airport, potable water is used for less than 30% of the airport's uses. Thanks to the presence of a dual network, ADR only uses potable water for those uses for which it is actually essential; in other cases it uses “treated” water from recycling or capture. Through advanced monitoring systems based on IoT technologies, the Hera Group and ADR are working to minimise the risk of any leaks or anomalies in the water network of the two Rome airports, thus further reducing the risk of waste. In particular, a project was introduced to develop a district-based drinking water network to allow for a real-time measurement of flows and pressures and thus promptly detect any faults. Based on an analysis of previous data, a network monitoring system was launched to contribute to a more efficient management of water as a resource. Furthermore, thanks to our collaboration with Heratech, the Hera Group’s engineering and laboratory analysis company, water quality monitoring initiatives with continuous analysis can be developed. Moreover, during the next year and a half, the Hera Group will share with ADR its twenty years of experience in drinking water management, and a modernisation of the centralised disinfection system in the Fiumicino network will be evaluated. Process optimisations at the airport’s industrial water treatment plant will also be implemented, to reduce wastewater consumption and increase reuse in view of the circular economy. Wastewater management, an increasingly circular approach Fiumicino Airport, like a medium-sized city, is equipped with two wastewater treatment plants that are directly managed by ADR. Wastewater treatment is an important element of the airport management process, and is another key aspect of the collaboration between ADR and the Hera Group. For several years now, ADR has been using a dual water network, separating the use of drinking water from that of treated water for reuse, and the water resulting from the purification process is reused for airport uses (toilets, heating systems, watering and fire-fighting systems). Thanks to the support of Herambiente Servizi Industriali (HASI), the Hera Group subsidiary specialising in industrial waste treatment and recovery, it has been possible to further develop a sustainable approach to wastewater management by implementing and upgrading water purification systems; the sludge resulting from this process is sent to composting plants for reuse in agriculture. HASI has helped improve the efficiency of wastewater treatment plants at both Fiumicino and Ciampino, identifying interventions to decrease energy consumption, chemicals used in pollutant abatement processes and sludge production, with a consequent reduction of CO2 emissions and transport and treatment costs. 20250402 PR Hera Group and ACR work together to further develop a circular approach .pdf 11:15:00 Download Press Release sede Hera 110x150.jpg

2025-04-01 The Hera Group subsidiary, among Europe’s leaders in plastic regenerating, has integrated Gurit Italia’s Carmignano di Brenta plant dedicated to PET recycling, an investment that looks towards the growth of an increasingly important market centrata Incremental production capacity of 15,000 tonnes Aliplast, among Europe’s leaders in plastic regeneration, grows again in recycled PET. Controlled by Herambiente, part of the Hera Group, this company has now acquired the Gurit Italia business unit dedicated to PET recycling, operating in the Carmignano di Brenta (Padua) plant, with an incremental production capacity of roughly 15,000 tonnes of recycled PET per year. An evolving regulatory framework will expand demand for recycled PET This acquisition is part of Aliplast’s broader strategy aimed at responding to the growing demand for recycled PET, which is also a consequence of the evolution of the European and Italian regulatory framework. In particular, legislative decree 196/21, which applies in Italy the so-called Directive 2019/904 SUP (Single Use Plastics), includes among its various requirements as of 1 January the obligation for plastic containers of liquid foodstuffs to contain at least 25% of recycled raw material. An increased use of recycled plastics is also required by the new European PPWR packaging regulation. The production and logistics platform integrated in Aliplast The Carmignano di Brenta plant processes incoming post-consumer PET coming from the recovery chains of the Corepla and Coripet consortia. Thanks to this investment, Aliplast will integrate a new PET grinding, washing and extrusion line, suitable both for food contact (e.g. bottles or food trays) and for use in fibres destined for consumer products such as clothing or automobile accessories. In addition to increasing production capacity, this acquisition will also optimise Aliplast’s logistics chain, which will be able to integrate Gurit’s large storage yards into its flow of goods. Petrone, Aliplast CEO: “continuing along a path of qualitative and quantitative growth” “This acquisition is, first and foremost, in line with our Business plan, which includes the regeneration of resources as one of its qualifying points,” explains Michele Petrone, Aliplast CEO. “It also continues along a path of growth characterised not only by an expansion of production capacity, but also by an increasing focus on quality and traceability, to guarantee customers the highest standards in terms of supply chain transparency and product safety. This is a vision that looks towards the long term and which in 2024 rewarded us with an expansion of our customer base by more than 9% compared to the previous year.” 20250401_Aliplast acquires Gurit Italia business unit.pdf 13:13:00 Download Press Release sede Hera 110x150.jpg

2025-03-31 The tests in the province of Modena were made possible by the protocol, unique in Italy, recently signed by Inrete Distribuzione Energia (Hera Group), the Ministry for the Environment and Energy Security and the Italian Gas Committee. The progressive enabling of the existing assets to use hydrogen will make a concrete contribution to decarbonisation. The next step involves 10% blending centrata In the Modena area, Inrete Distribuzione Energia (a Hera Group company) has launched Italy’s first injection of a mixture of natural gas and 5% hydrogen into a gas distribution network serving a residential area. These trials are possible thanks to the protocol, unique in Italy, recently signed by Inrete, the Ministry for the Environment and Energy Security (MASE) and the Italian Gas Committee (CIG), which allows for testing, in compliance with the most demanding safety requirements, methane gas mixtures with blending of up to 10% hydrogen in distribution networks. The goal is to create favourable conditions for the progressive enabling of mixtures with increasing percentages of gas with a low fossil carbon content to be used in networks, thus making a concrete contribution to the energy transition. The initiative was presented today in Castelfranco Emilia (Modena) near the construction site of the residential area chosen for the trial, in an event attended by the President of the Emilia-Romagna region, Michele de Pascale; the mayor of Castelfranco Emilia, Giovanni Gargano; the CEO of the Hera Group, Orazio Iacono; the CEO of Inrete Distribuzione Energia, Federico Bronzini and representatives of the CIG. The trials, carried out in agreement with the municipal administration of Castelfranco Emilia and in collaboration with numerous partners, will end on 3 April. More specifically, they involve the introduction of a mixture with 5% hydrogen into an isolated section of the network serving about 40 households in this town, all of which have been appropriately informed. This energy vector with a low environmental impact will contribute to the decarbonisation needs of local areas, while making it possible to use the existing gas infrastructure in Italy which is unique in Europe in terms of length and reach, without modifying the existing thermal plants. The project, supervised by internationally recognised bodies, involves the operators of the entire gas supply chain, from transport to equipment manufacturers, producers of boilers and gas burners. The final tests will also be extended downstream of the meters, thanks to the collaboration of the citizens involved, with checks on the operations of domestic gas appliances. “We are making an important step towards the energy transition,” comments Michele de Pascale, President of the Emilia-Romagna Region. “The launch, in Castelfranco Emilia, of Italy’s first 5% hydrogen blend in a natural gas distribution network serving residential users, represents a concrete and innovative step towards decarbonisation. This project makes it possible to experiment with the use of green gas in existing infrastructures, without modifying household systems and in full compliance with the strictest safety regulations. We are particularly proud that this initiative reflects the work done by the Hera Group, which was born out of the desire of many municipalities in Emilia-Romagna to join forces and bring together sustainability and competitiveness. Emilia-Romagna, thanks to its advanced industrial and technological ecosystem, has once again confirmed itself as a national laboratory for innovation with a view to sustainability. These trials are fundamental in enabling, in the future, a progressive injection of up to 10% hydrogen, valorising existing networks and making a concrete contribution to reducing dependence on fossil fuels.” “Hydrogen is a strategic vector for the future of the European energy system, and the Hera Group is already a leading national operator in this sector, at the forefront in enabling networks to transport green molecules as well,” comments Hera Group CEO Orazio Iacono. “Our business model integrates industrial growth with concrete sustainability, supported by strategic investments, which aim to develop businesses and at the same time make the areas in which we operate more competitive, liveable and resilient to global challenges. As a multi-utility, our role has changed over the years, and from distributors of commodities we have become enablers of the energy transition through our infrastructures. This is why our 2024-2028 strategic plan includes 2.5 billion euro of investments, out of a total of 5.1 billion euro, that will go towards an increasingly efficient, digitised and resilient network, while maintaining outstanding service quality. This path is unconceivable without the lever of innovation, which allows us to constantly trace new paths, to support the evolution of our business alongside the sustainable growth of the areas served through to the long term.” Trials, now in the third phase, to conclude with the last step at the end of the year Since 2021, Inrete has been at the head of a project that has already successfully experimented, twice, with injecting a mixture of natural gas and 2% hydrogen into the gas networks serving the same residential area that is now the focus of the new initiative. Having received full confirmation of the necessary measures, both in terms of technology and safety, the Hera Group company, after signing the protocol with the MASE and the CIG, has launched the third phase of the trials with the aim of exploring the various operational aspects that enable the infrastructure to receive, in its current layout, mixtures of natural gas and 5% hydrogen. The project will come to a conclusion towards the end of the year when, based on the results obtained, the feasibility of testing mixtures with an even higher quantity of hydrogen, up to 10%, will be evaluated. For a correct gas measurement, this trial requires the adoption of NexMeter by all users involved in the project. NexMeter is the G4 gas meter developed by the Hera Group, already enabled to measure mixtures of methane and hydrogen. This device, which has opened up new perspectives in the sector in terms of both advanced technology and safety functions, is already found in almost 300,000 Italian homes connected to the gas distribution networks managed by the Hera Group’s distribution companies. The following collaborate in this project: The supply chain partners participating in the project include BAXI, Bosch, Electrolux Group, Emerson, Ferroli, Immergas, Innovhub SSI, Pietro Fiorentini, Snam, TdZ, Valpres (a Bonomi Group company), Alfa Engineering and Idrotherm 2000; RINA is the certifying partner. 20250331 PR Hera Group Blending idrogen Castelfranco.pdf 13:43:00 Download Press Release: sede Hera 110x150.jpg

2025-03-28 centrata Kindly note that the following documentation, pertaining to the Shareholders Meeting convened for 30 April 2025, is available to the public at the Company headquarters, on the authorised storage website 1INFO (www.1Info.it) and on Hera Group’s website (https://eng.gruppohera.it/group_eng/corporate-governance/shareholders-meetings): Hera S.p.A. Board of Directors’ Explanatory Report regarding item 1 on the agenda - Extraordinary Session Hera S.p.A. Board of Directors’ Explanatory Report regarding item 2 on the agenda - Ordinary Session Hera S.p.A. Board of Directors’ Explanatory Report regarding item 3 on the agenda - Ordinary Session Hera S.p.A. Board of Directors’ Explanatory Report regarding item 4 on the agenda - Ordinary Session Hera S.p.A. Board of Directors’ Explanatory Report regarding item 5 on the agenda - Ordinary Session Hera S.p.A. Board of Directors’ Explanatory Report regarding item 6 on the agenda - Ordinary Session 09:39:00 sede Hera 110x150.jpg

2025-03-26 The year closed with growth in the main operating and financial indicators and in investments. The value created for all stakeholders and the Group’s financial solidity once again prove the validity of its multi-business model and ability to combine corporate growth with sustainable development. The proposed dividend was raised to 15 cents per share. centrata Financial highlights Revenues at 12,889.7 million euro Ebitda* a 1,587.6 million euro (+6.2%) Net profit* for shareholders at 494.5 million euro (+31.8%) Gross operating investments at 860.3 million euro (+5.5%) Net financial debt settles at 3,963.7 million euro, with net debt/Ebitda* at 2.50x Return on invested capital increases, with ROI rising to 10.4% Proposed dividend rises to 15 euro cents per share (+7.1%) Operating and sustainability highlights Growth in operating results supported by all business areas Energy customers rise to 4.6 million (+20%), while over 7.5 million citizens have at least one service provided by the Group Innovative initiatives continue to help the communities served pursue the ecological transition and strengthen the resilience of assets under management, in line with the industrial strategy to 2028 and the Net Zero by 2050 target Shared-value Ebitda rises to 856.6 million euro (+10%) and shared-value investments amount to 655.1 million euro (76% of total investments) Economic value distributed in the areas served over 2.1 billion euro   Today, the Board of Directors of the Hera Group, chaired by Executive Chairman Cristian Fabbri, unanimously approved the consolidated financial results at 31 December 2024, along with the Sustainability reporting, which as of this year is an integral part of the annual report, as foreseen by Directive 2022/2464/EU (CSRD), and the Report on remuneration policy and compensation paid. In 2024, the Hera Group continued along its path of growth in both free-market and regulated businesses; the 5.5% increase in gross operating investments demonstrates the Group’s ongoing focus on developing, enhancing and strengthening the resilience of the assets managed, whose solidity was confirmed even during the extreme weather and climate phenomena that hit Emilia-Romagna last autumn. In particular, the commitment to combine corporate growth and sustainable development with concrete initiatives capable of helping the country move towards the green transition was confirmed, fully consistent with the Group’s 2024-2028 Business plan and its Climate Transition Plan with a Net Zero by 2050 target. The operating and financial results thus highlight the ability to create value that orients the Group’s growth. Cristian Fabbri, Executive Chairman of the Hera Group: “The results achieved confirm the Hera Group’s ability to continue along its path of creating sustainable value. The increase in the main economic-financial indicators and continuous improvement in return on invested capital, with ROI rising to 10.4% and Total shareholders return exceeding 35%, are clear signs of the solidity of our industrial model. We obtained significant growth in both our free market and regulated businesses, with Ebitda reaching close to 1.6 billion euro in 2024, while gross operating investments stood at 860.3 million euro, 35% higher than the average of the previous five years, 76% of which was aimed at pursuing decarbonisation, resilience and the circular economy. The growth in shared-value Ebitda as well, in absolute and percentage terms, testifies to our constant focus on creating not only economic, but also social and environmental value. Evidence of this lies in the economic value distributed in the local areas in which we operate, which in 2024 reached 2.1 billion euro. In addition to our infrastructural growth, we have also achieved commercial growth in all free market businesses and, in particular, in energy supplies, where we have reached 4.6 million customers, up 20%. Thanks to this further development, more than 13% of Italy’s population now receives at least one service from the Hera Group. In light of the results achieved and the Group’s financial solidity, we will propose to the Shareholders Meeting the payment of a dividend set at 15 euro cents per share, up 7.1% compared to the last dividend paid. The effects of this increase will extend to our entire dividend policy for the upcoming years. The results for 2024 therefore confirm once again the validity of our Group’s strategic vision and constitute the first building block of our Business plan.” Orazio Iacono, CEO of the Hera Group: “In 2024, the Hera Group confirmed its solidity and capacity for growth, recording an increase of over 30% in net profit for Shareholders, which rose to almost 500 million euro. All business areas contributed to this result, which proves the Hera Group’s ability to continue growing in a complex macroeconomic context. The positive operating performances were supported by effective financial operations, since 2024 benefited from the liability management and debt rationalisation initiatives undertaken since the beginning of the energy market crisis, which have helped maintain a net debt to Ebitda ratio of 2.5x, ensuring that the Group has significant financial solidity and flexibility among the lowest reached in last two decades. This operating-financial solidity allows us to continue along our path of external growth, fully consistent with the perspectives defined in the Business plan. Moreover, we continued to accelerate our commitment to the green transition, with a focus on decarbonisation, circular economy and resource protection, also thanks to the contribution coming from of the EIB financing line. In 2024, gross operating investments reached 860.3 million euro, continuing the trend in infrastructure development that has lasted for years, aimed at improving the quality of services and the efficiency of assets, thus making the local areas served increasingly liveable, competitive and resilient. The Hera Group has therefore once again demonstrated its ability to combine economic development and sustainability, making a significant contribution to the creation of value in the areas it serves and to the achievement of its sustainability objectives, using the lever of innovation to ensure efficiency and new opportunities for growth. Lastly, we must mention that this year we have drafted a Sustainability reporting that covers all the core standards defined by the ESRS (European Sustainability Reporting Standards).” The Group’s path of growth continues at the same rate as the creation of value for stakeholders In line with the results achieved in 2023, 2024 was also a year that saw significant development for the Group, which continued to consolidate its role as a leading player in the sector, pursuing a strategy geared towards creating value for all stakeholders. In addition to significant internal growth, the company also continued to expand through external lines, with the aim of offering increasingly complete, innovative and competitive solutions to its customers. In addition, it leveraged its financial solidity and flexibility to acquire new strategic assets, expand the corporate scope and successfully participate in the tender for the Gradual protection electricity service. In a year characterised by ongoing international instability, persistent volatility in commodity prices due mainly to geopolitical tensions, as well as the extreme weather phenomena, the Hera Group was committed to guaranteeing the continuity and quality of its services with positive repercussions for the served communities fully concentrated in the Northeast part of the domestic market. This concrete and transparent value was also quantified by Ebitda and shared value investments. The Group’s ability to combine corporate growth and sustainable development was also proven by its increased investments for the circular economy, decarbonisation and energy efficiency, along with innovation and resilience of the assets managed, with concrete projects that are consistent with major national and international policies. Particularly significant is the path taken towards carbon neutrality, outlined in the Climate Transition Plan approved on 31 July 2024, with the ambitious target of reaching Net Zero by 2050. This goal will be pursued through an overall 90% reduction in emissions compared to 2019, in addition to offsetting residual emissions. This commitment reflects a long-term strategic vision, consistent with the objectives of the Paris Agreement and the 2030 decarbonisation outlook previously defined. In 2024, the Hera Group’s overall emissions for the defined scope of operation have already decreased by 14% (compared to 2019). Among the main events of 2024, mention must surely go to the tender awarded in February for the Gradual protection electricity service for household customers in 37 Italian provinces, which led the company to acquire approximately one million new customers, consolidating its role as the third largest operator in the sector. Once again in the energy area, in December the Group’s shareholding in EstEnergy increased to 100%, following the acquisition of 25% of the share capital from Ascopiave. Furthermore, in May the Group was awarded the tender called by the company Soelia, 100% owned by the Municipality of Argenta (Ferrara), for the corporate branch concerning plants, natural gas distribution networks and related management services, effective from 1 July. In the waste management sector, also in July, the Hera Group launched a partnership with Fincantieri that led to the establishment of the newco CircularYard, to optimise the management of the waste cycle in shipyards in line with the principles of the circular economy. The Group also continued to grow through strategic acquisitions, including the one involving 70% of TRS Ecology, thus consolidating its leadership in industrial waste treatment and recovery. In the area of public lighting, 30% of Triveneta Luce (Vicenza) was acquired, aiming to increasingly improve the energy efficiency and management of facilities in the municipalities served with advanced technologies. Revenues at approximately 13 billion euro The Hera Group’s 2024 revenues amounted to 12,889.7 million euro, down from 15,331.1 million euro in 2023 (-15.9%), mainly due to lower energy commodity prices and the loss of activities linked to the super-ecobonus. This drop was offset by higher volumes of electricity sold, thanks to significant commercial development. Ebitda* increases to almost 1.6 billion euro (+6.2%) Ebitda* for 2024 rose to 1,587.6 million euro, up 6.2% from 1,494.7 million euro at 31 December 2023. This growth was mainly organic and structural, and is due to the overall contribution coming from the energy area with 50.2 million euro, the water cycle with 25.7 million euro, and the good performance of the waste management area with 13.6 million euro. This result fully offsets the lack of margins related to the super-ecobonus and once again confirmed the solidity of the Group’s multi-business portfolio. Ebit* rises to 829.9 million euro (+12%) Ebit* increased to 829.9 million euro (+12%) from 741 million euro at 31 December 2023, twice the percentage growth seen in Ebitda thanks to normalised provisions to bad debts benefitting the drop from energy commodity prices. Net result* increases to 535.9 million euro (+28.5%) Financial operations in 2024 amounted to 153.8 million euro, with a clear improvement of 61 million euro compared to the previous year, mainly due to the optimisation of the financial structure and lower costs related to super-ecobonus activities. Even taking into account the 29.1% tax rate, higher than the 27.3% seen in 2023 (with a change due to the reduction of some benefits the Group received in the past and some write-downs made during the year that were not tax-relevant), the net result* at 31 December 2024 reached 535.9 million euro, up 28.5% from 417.0 million euro in the previous year. These figures also include the contribution of some positive non-recurring items mainly related to the acquisition of minority interests in EstEnergy. Net of these special items, the 2024 net profit* amounted to 488.1 million, as against a 2023 amount of 390.1 million euro, showing a 25.1% increase in Group profit. Profit for Shareholders* up by more than 30% At 31 December 2024, profit for shareholders* rose to 494.5 million euro, up 31.8% from 375.2 million euro in the previous year. Net of contributions from special items, profit for shareholders in 2024 amounted to 446.7 million euro, compared to 348.3 million euro in 2023, up 98.4 million euro. Growth in investments and improved net debt/Ebitda ratio* In 2024, the Hera Group’s operating investments, including capital grants, reached 860.3 million euro, up 5.5% from 815.8 million euro in 2023. Investments on the Group’s regulated infrastructures led to an increase in RAB, which rose to 3.6 billion euro, 250 million euro more than in 2023. The Group’s financial solidity was fully confirmed by a net debt/Ebitda* ratio at 2.50x, an improvement over both the third quarter of 2024 and the figure at 31 December 2023. Net financial debt amounted to 3,963.7 million euro, compared to 3,827.7 million euro at 31 December 2023, mainly as a result of increased capital expenditure and M&A, including the acquisition of 70% of TRS Ecology. The creation of value in 2024 is clear from the upward trend in return on equity (ROE), at 12.2% and up from 10.4% in the previous year. An improvement also occurred in return on invested capital (ROI), standing at 10.4%, compared to 9.8% in 2023. Shared-value Ebitda and investments increase to 856.6 million euro (+10%) and 655.1 million euro (76% of total investments) respectively As confirmation of the Group’s commitment to sustainability and creating value in the areas it serves, 2024 shared-value Ebitda, referring to business activities that also meet the goals on the Global Agenda, rose to 856.6 million euro, up 10% from 776.0 million euro in 2023 and corresponding to 54% of Group Ebitda. This result confirms the significant evolution of the CSV Ebitda foreseen by the Business plan, projected at more than 1,100 million euro in 2028, or 66% of total Ebitda. Shared-value investments also rose, up from 558.4 million euro in 2023 to 655.1 million euro in 2024 and accounting for approximately 76% of total gross operating investments. Moreover, around 90% of the investments eligible for the Taxonomy are already aligned with the criteria of the European Regulation and are thus able to contribute to environmental objectives including climate change mitigation, circular economy, water resource protection and pollution prevention. All this data testifies to the growing weight of initiatives that not only generate margins for the company, but also bring concrete benefits for the areas and communities served, in line with the goals on the UN Agenda. Over 2.1 billion distributed in the areas in which the Group operates In 2024, the Group distributed over 2.1 billion euro to suppliers, employees and public administrations in the areas it serves. Sustainability reporting in compliance with the CSRD and ESRS reporting standards The 2024 annual financial report includes, for the first time, the Hera Group’s Sustainability reporting prepared in accordance with legislative decree 125/2024 implementing the Corporate Sustainability Reporting Directive (CSRD) 2022/2464/EU and the European Sustainability Reporting Standards (ESRS). As required by legislation, this reporting is an integral part of the report on operations and contains all information necessary to understand the company’s impact on sustainability matters and how they affect its performance and results. More specifically, the Hera Group’s Sustainability reporting is structured according to the requirements of ESRS 1, which call for the document to be divided into four parts: general information, environmental (including disclosures pursuant to Article 8 of EU Regulation 2020/852, also known as the “Taxonomy”), social, and governance. The scope of the reported sustainability data and information includes all companies fully consolidated in the Group’s consolidated financial statements. Proposed dividend increases to 15 euro cents per share As announced in January during the presentation of the new Business plan to 2028, and in consideration of the significant results achieved, the Board of Directors decided to propose to the Shareholders Meeting held on 30 April the payment of a dividend coming to 15 euro cents per share, up 7.1% compared to the last dividend paid. This increase will be extended to the entire dividend policy in the upcoming years, reaching 17 euro cents per share in 2028, with net earnings per share rising by an average of 6% per year. The ex-dividend date has been set for 23 June 2025, with payment as of 25 June 2025. The dividend will be paid to the shares recorded on 24 June 2025. Report on remuneration policy and compensation paid approved The Board of Directors also approved the Report on remuneration policy and compensation paid, in line with international best practices. Gas Ebitda* for the gas area, which includes natural gas distribution and sales, district heating and energy services, rose to 571.4 million euro at 31 December 2024, up 10.5% from 516.9 million euro in 2023. The upward trend compared to the previous year was due to a return of variability on energy markets to the levels seen prior to the crisis, which offset the disappearance of non-recurring business opportunities that characterised 2023, such as energy efficiency activities supported by tax incentives (110% ecobonus), and lower customer consumption due to the increase in average temperatures and energy-saving behaviour. The reduction of modulation costs, in particular, consolidated sales margins and significantly improved the sector’s performance during the year. The contribution coming from gas distribution was also positive, benefiting from increased investments and positive changes in tariffs due to inflation recovery and WACC. The number of gas customers totalled approximately 2 million. Gross investments in 2024 amounted to 180.5 million euro, as against 191.8 million euro in the previous year, and went towards work on gas distribution and district heating networks and plants, the acquisition of new customers, and energy services. In particular, the Esco Hera Servizi Energia continued to provide condominiums, public administrations and industrial customers with its decarbonisation and energy saving services, including the construction of an NZEB (Nearly Zero Energy Building) structure and the seismic and energy requalification of a number of schools. During 2024, investments continued for the replacement of gas meters, while non-recurring maintenance work on networks and plants was carried out. Extraordinary items also included the corporate acquisition of Soelia, concerning gas distribution in the municipality of Argenta (Ferrara). The partnership with Panasonic Industry Europe, an operating company of the Japanese multinational and world leader in the production of electronic products and components, was also strengthened to increase distribution of the innovative NexMeter gas meter in the Italian and European markets. In addition, the construction of the two Hydrogen Valleys under construction in Modena and Trieste continued, which have obtained PNRR funding and will produce approximately 800 tonnes of green hydrogen per year, contributing to the decarbonisation of the companies and local areas involved, as well as redeveloping disused areas, with significant and positive environmental, social and economic consequences. The Group’s green gas strategy also includes experimenting with the first plant in Italy, located in Castelfranco Emilia (Modena), to use a mixture of gas and hydrogen in a municipal distribution network, which will be resumed in the coming weeks following the recent protocol signed with the Ministry for the Environment and Energy Security and the Italian Gas Committee. The gas area accounted for 36% of Group Ebitda. Electricity In the electricity area, which includes electricity generation, distribution and sales services as well as public lighting, Ebitda stood at 322 million euro at 31 December 2024, compared to 326.3 million euro in 2023. This result was mainly due to decreased volumes supplied in the safeguarded service and a slowdown in energy efficiency activities following changes in tax incentives, only partially offset by higher margins related to growth in the energy customer market. Electricity distribution made a larger contribution thanks to the application of the ROSS regulatory criterion, investments in development, inflation recovery and the increased WACC. The number of customers in the electricity area reached 2.6 million, up 50.4% compared to the same period of 2023, mainly due to the positive outcome of the previously mentioned tender for the Gradual protection service for household customers, but also thanks to the contribution coming from activities to strengthen commercial action on the free market, focusing on value-added services involving the decarbonisation of consumption. In particular, due to a partnership with the Rimini-based company F.lli Franchini, of which Hera Comm acquired 60% in 2023, the range of energy efficiency solutions has been expanded, with a focus on the corporate segment, strengthening its presence in the market for sustainable solutions, including the construction of thermal and mechanical systems capable of significantly reducing energy consumption and CO2 emissions. This consolidation further strengthens the Hera Group’s position in the sector, while promoting sustainable solutions for businesses as well. In the context of the energy transition, the corporate market has in fact seen significant growth, partially thanks to the valorisation of new services integrated with the supply of this commodity, such as plants for self-consumption integrated with storage systems, and energy consumption monitoring and management, which makes it possible to optimise supply costs, improve overall energy efficiency and reduce the carbon footprint. With regard to public lighting, in 2024 the Hera Group acquired approximately 44.5 thousand lighting points in 24 new municipalities, mainly located in Tuscany, Emilia-Romagna, Lombardy, Umbria, Liguria and Sardinia. The percentage of lighting points managed that use LED bulbs also rose, confirming the Group’s constant focus on an increasingly efficient and sustainable management of public lighting. Overall, in the electricity area, gross investments in 2024 amounted to 127.2 million euro, in line with the previous year. In distribution, instead, investments increased by 14.6%, for interventions mainly concerning upgrading on plants and networks, including the construction of new primary substations to increase hosting capacity, as well as the ongoing 2G meter installation activities and work to improve network resilience. These actions respond to the goal of anticipating the future incremental demand for electricity linked to the increasing electrification of consumption, and to enable the growing development of distributed generation. They also include the Smart Grid project developed by subsidiary AcegasApsAmga: planning has been completed and construction sites are underway for the main works that will strengthen the Trieste electricity grid and create new plants to power the port terminals in Trieste, responding to the city’s evolving needs, which will see the overall power demand double over the next 10 years. Lastly, in December, the Hera Group obtained 9.4 million euro from the PNRR to develop two advanced agrivoltaic systems in Emilia-Romagna, with an expected production of almost 30 GWh per year. The electricity area accounted for 20.3% of Group Ebitda. Water cycle Ebitda for the integrated water cycle area, which includes aqueduct, purification, and sewerage services, amounted to 297.1 million euro, up 9.5% compared to 271.4 million euro in the previous year, thanks to investments in development, increased regulatory WACC as of 2024 and inflation recoveries. The result for 2024 did not benefit from the two-year bonuses recognised by ARERA for the high-quality standards achieved by Hera in managing the integrated water service as it will be accounted for next year. More specifically, last year the Group was awarded first and third place in the general ranking of Italian operators (2020-21 two-year period) for its significant investments, state-of-the-art plants and use of the best technologies for an efficient management of the water cycle in the areas served, in line with the Group’s sustainability and circular economy strategies. Including capital grants, investments amounted to 261.1 million euro (+14.4%). The main interventions on the aqueduct, across the various areas served, include installing smart meters and districtisation activities (particularly in the Padua and Trieste areas and in the municipalities of the Marche region served by Marche Multiservizi) aimed at reducing network leakage, ongoing reclamation activities on networks and connections, and specific projects such as the development of the new supply system in Castelbolognese and the renewal of the adduction networks in Calderara di Reno and San Pietro in Casale, near Bologna. In the sewerage sector, interventions concerned constructing first rainwater basin in Cattolica, upgrading the sewerage network in various areas served, drain upgrading works, and works required by the extension of the Forlì and Modena bypasses. Moreover, in order to optimise management of the purifiers in Padua, AcegasApsAmga continued works for the construction of 7 new bio-dryers, fully financed by PNRR funds, which at present provide the best sustainable choice for drying sludge from the city sewage plants, destined for recovery. In addition to the Rimini seawater protection plan (PSBO), other interventions in purification include upgrading and expanding the Ravenna and Lugo purification plants, a new purification plant in Budrio (Bologna), and the construction of the new power-to-gas technology plant at the IDAR purification plant in Bologna, partially financed by the PNRR, which will make it possible to use purified water to produce first renewable hydrogen and then biomethane, using the waste oxygen for purification processes. Lastly, thanks to the two interventions launched for the construction of a new sewage system for wastewater in the municipalities of Petriano and Vallefoglia, including 4 new lifting stations, and the completion of the San Costanzo sewerage system, which will be concluded in 2025, the Pesaro-Urbino area will be released from the EU infringement procedure on purification. The integrated water cycle area accounted for 18.7% of Group Ebitda. Waste Ebitda for the waste management area, which includes waste collection, treatment and disposal services, stood at 367 million euro, up 4% from 353.4 million euro in 2023. More specifically, Ebitda for waste treatment and recovery services reached 305.8 million, while Ebitda for environmental services involving waste collection and street sweeping rose to approximately 61.2 million, mainly due to the efficiency gains in the operations of new concessions. In particular, an increase occurred in special waste, mainly due to an 8% increase in waste from third parties, thanks to the consolidation of existing business relations, the development of the customer portfolio, particularly in the industrial market, and expansion in complementary industry market segments. Despite the complex macroeconomic context with repercussions in the markets in which it is present, the Group thus continues along its path of growth in this business area, thanks to the diversification of its offer, the breadth of its customer portfolio and its ability to respond with innovative and integrated services. Hera has thus consolidated its role as a leading Italian and European operator in this sector, in particular in the industrial market following the acquisition of 70% of TRS Ecology, with a portfolio of over 2,700 customers. The renovations begun on the TRS platform in Caorso (Piacenza) are expected to strengthen the growth prospects of a well-established local company, and to develop future technical and commercial synergies with the Group’s other plant solutions and companies in an attractive geographical area of the domestic industry market. A key partner supporting companies in reducing and recycling waste, regenerating resources and achieving their ESG targets, Hera continues to play a strategic role in the environmental transition of the Italian industrial sector. One example of this is the aforementioned agreement with Fincantieri to manage almost 100,000 tonnes per year of industrial waste produced in shipyards in Italy and, in the future, also abroad. The goal is to create a new integrated waste management system through concrete initiatives, from reducing the waste produced to increasing the solid waste sent for recycling, valorising residues, recovering water and reducing CO₂ emissions. In addition, the numerous initiatives in the area of the circular economy and decarbonisation continued to implement the value creation and environmental sustainability objectives of local areas. This includes the CO₂ capture project at the Ferrara WTE plant, the first industrial-scale example of CCS (Carbon Capture and Storage) applied to a plant of this type in Italy, selected to receive almost 24 million euro in funding from the EU Innovation Fund. Protecting environmental resources was a priority objective in 2024 as well, as was maximising their reuse. This is demonstrated by the special attention dedicated to increasing sorted waste collection which, thanks to the numerous projects the Group has put in place in all areas served, rose by 2.1 percentage points, going to 74.3% as against 72.2% in 2023. Mention must also go to the commitment to increase the sustainability of company fleets by using electrically powered vehicles and the increasing consumption of HVO fuel produced from depleted vegetable oil, which helps reduce CO2 by almost 90%. Gross investments for the waste management sector amounted to 162.3 million euro (+7.6% compared to 2023), mainly for maintenance and upgrading on the set of plants. This includes, for example, work on line 4 of the Padua WTE plant, non-recurring maintenance on the Modena, Forlì and Rimini plants, the work carried out by the companies HEA and Vallortigara to expand the Torrebelvicino plant, and the start of construction in Modena of Aliplast’s innovative rigid plastics regeneration plant, partially thanks to PNRR contributions. The authorisation process for expanding PE production and regeneration capacity at Aliplast’s Borgolavezzaro (Novara) plant was also launched, which will allow the company to increase its production capacity by approximately 20,000 tonnes per year. At the end of the year, work began on the first of the two lines of the new FIB3R plant in Imola, the only one of its kind in Europe. When fully operational, it will produce 160 tonnes of recycled carbon fibre per year, with a 75% energy saving compared to virgin fibre. Lastly, note that in December the tender called by Confservizi Cispel Toscana was awarded for the management of the Montale (Pistoia) WTE plant, capable of handling 50 thousand tonnes per year of municipal and special waste. The waste management area accounted for 23.1% of Group Ebitda.       Hera Group approves FY2024 results (1).pdf 13:50:00 Download Press Release sede Hera 110x150.jpg

2025-03-07 The Ministry of the Environment and Energy Security, the Italian Gas Committee and Hera’s subsidiary Inrete Distribuzione Energia have signed an operating protocol to test the introduction of a mixture of natural gas and up to 10% hydrogen into household networks. The project involves a residential area in the province of Modena, and internationally recognized bodies have been tasked with supervising safety aspects. centrata The Ministry for the Environment and Energy Security (MASE), the Italian Gas Committee (CIG) and Inrete Distribuzione Energia (a company part of the Hera Group) have signed a protocol to carry out studies and field tests on mixtures of natural gas and hydrogen to be injected into distribution networks. This is the first project to fall under the framework agreement signed by MASE and CIG aimed at creating favourable conditions for developing trials with mixtures of hydrogen and natural gas, to gradually introduce increasing percentages of low-carbon gas into gas networks. The “pilot” operating protocol, for the first time in Italy, calls for mixtures containing up to 10% hydrogen to be gradually used to supply an isolated segment of the network. While complying with the most demanding safety requirements, this is aimed at testing solutions that use green gasses in the civil and residential sectors as well. These energy vectors with a low environmental impact, in fact, could contribute to the decarbonisation of local areas with significant environmental benefits, making it possible to make the most of Italy’s existing gas infrastructure, which is unique in Europe in terms of extensiveness, without modifying the current heating systems. The first step of the trial involves feeding a mixture with 5% hydrogen into the network, which will contribute to ongoing studies before increasing the percentage, helping meet the country’s need to diversify its energy sources. In line with its agreement with MASE and CIG, Inrete will therefore start testing in the upcoming months, cooperating with numerous partners and being supervised by internationally recognised bodies. The tests will involve operators from the entire gas supply chain, from transport to manufacturers of technological equipment, up to manufacturers of boilers and gas burners. The partial replacement of natural gas with hydrogen - whose combustion does not produce carbon dioxide (CO2), mainly responsible for global warming - is indeed a solution pursued by the Ministry of the Environment and Energy Security, in collaboration with specialists in the field and with the aim of facilitating the energy transition. Trials within a project that started in 2022 in Castelfranco Emilia (Modena) As of 2022, Inrete is at the head of an initiative that has already successfully tested, with temporary two-step trials, the introduction of a mixture of natural gas and 2% hydrogen into municipal gas networks. The study involved around forty families living in a residential area of Castelfranco Emilia (Modena), all of whom were adequately informed. Having acquired the necessary know-how, in terms of both technology and safety, the Hera Group company, thanks to the protocol signed with the MASE and the CIG, and in agreement with the same residential area’s municipal administration, will launch the third phase of experimentation. It will thus be possible to explore the different operational aspects that enable the infrastructure to receive, in its current configuration, mixtures of natural gas and 5% hydrogen. This time, too, cooperation coming from citizens will be crucial, at no cost to the families residing in the area chosen for the tests. Indeed, the latter will also be carried out downstream of the meter, with checks on the operations of domestic gas appliances in households, including boilers and burners, to obtain a precise evaluation of the results. “The pilot agreement we have just signed with the Ministry of the Environment and Energy Security and the Italian Gas Committee,” comments Hera Group CEO Orazio Iacono, “comes as important recognition of our ability to innovate in enabling infrastructures to support transitions, first and foremost the energy transition. The need to diversify our country’s energy sources, which is now urgent, cannot disregard the use of green gases such as hydrogen, and in this context our assets are ready to increase the percentage of the blend in networks, as foreseen by the protocol, reaching 10% and confirming their alignment with the European taxonomy. These trials represent an additional driver for developing strategic and innovative activities aimed at reducing the carbon footprint, by accompanying customers in the energy transition and ensuring the resilience of the areas served.” “We are proud to have signed this operational protocol with MASE and CIG for tests involving green gas,” adds Federico Bronzini, CEO of Inrete Distribuzione Energia. “We have thus confirmed our commitment to pursuing advanced solutions aimed at reducing energy dependence on traditional fossil fuels. Thanks to significant investments and our experience in the sector, we are ready to concretely promote, once again, the path towards decarbonisation in the civil and residential sector as well.” NexMeter, the advanced meter developed by the Hera Group For a correct gas measurement, this trial calls for the use of NexMeters by all users in Castelfranco Emilia involved in the project. NexMeter is the G4 gas meter developed by the Hera Group, already able to measure mixtures of methane and hydrogen; this device, which has opened up new possibilities in the sector thanks to both the advanced technologies it uses and its safety functions, is already found in almost 300,000 Italian homes connected to the gas distribution networks managed by the Hera Group’s distribution companies. The project’s collaborators: BAXI; Bosch; Electrolux; Emerson; Ferroli, Immergas; Innovhub SSI; Pietro Fiorentini; RINA; Snam; TdZ, Valpres, a Bonomi Group company, Alfa Engineering and Idrotherm 2000. PR_Inrete_Mase_Cig.pdf sede Hera 110x150.jpg

2025-01-24 centrata In accordance with art. 2.6.2 (Required Reporting) of the “Rules of the markets organised and managed by Borsa Italiana S.p.A.", please find below our annual calendar of corporate events: 1. 26 March 2025 – Meeting of the Board of Directors to approve the previous year’s preliminary financial statements. 2. 30 April 2025 – Shareholders’ Meeting to approve the previous year’s financial statements. 3. 14 May 2025 – Meeting of the Board of Directors to approve additional financial information for the period ending on 31 March 2025. 4. 30 July 2025 – Meeting of the Board of Directors to approve the half-year financial report as at 30 June 2025. 5. 12 November 2025 – Meeting of the Board of Directors to approve additional financial information for the period ending on 30 September 2025. The Board of Directors, as communicated for the previous financial year and in line with the past, in order to guarantee regularity in the information provided to the financial market and investors, has decided to continue preparing and publishing this information quarterly, on a voluntary basis and in line with current regulations. (*) barring changes 14:48:00 sede Hera 110x150.jpg

2025-01-23 Development, resilience and creating value shared with all stakeholders confirmed as the strategic pillars of the new business plan, which allocates more than 5 billion euro in investments to accelerate the achievement of ecological transition targets and further increase the resilience of networks and plants. The preliminary results for 2024, rising once again while maintaining financial leverage stable, indicate solid organic growth centrata BUSINESS PLAN TO 2028, OPERATING AND FINANCIAL HIGHLIGHTS Five-year gross investments at 5.1 billion euro Return on net invested capital at 9.5% Structural growth in Ebitda reaching 1.7 billion euro EPS to rise by approximately 6% CAGR Dividends up 21% (rising to 17 cents per share) and average annual yield at roughly 5% Average annual total shareholder return (TSR) at 11%. Net debt/Ebitda stably below 3x over the period covered by the plan and projected at 2.8x in 2028 BUSINESS AND SUSTAINABILITY HIGHLIGHTS A portfolio balanced between regulated and free-market activities maintained, generating resilient results and capable of grasping emerging opportunities 2.6 billion euro in investments aligned with the European Taxonomy for Sustainable Investments (96% of eligible investments) Shared-value investments amounting to 77% over the entire five-year Plan 45% increase in shared-value (CSV) Ebitda over the period covered by the Plan, reaching 66% of total Ebitda in 2028 Commitment to reduce total CO2 emissions by 37% within 2030 and Net Zero by 2050 confirmed 25% of total investments will contribute to digitisation and innovation, 47% to increasing the resilience of infrastructures to climate change and 60% to the ecological transition 10.8 billion euro in economic value distributed over the 2024-2028 five-year period to stakeholders in the areas in which the Group operates 2024 PRELIMINARY RESULTS, HIGHLIGHTS Ebitda exceeds 1.55 billion euro (+4% vs 2023) Net debt/Ebitda ratio below 2.6x (stable compared to 2023) Dividends forecast at 15 eurocents (+7.1% vs 2023), higher than expected in the previous Plan The Hera Group’s Board of Directors, chaired by Executive Chairman Cristian Fabbri, reviewed the preliminary results for 2024 results and approved the Business Plan to 2028. Cristian Fabbri, Executive Chairman of Hera Group: "A 5.1-billion-euro investment plan, rising by 46% compared to the previous five-year period and supporting sustainable industrial development that increases the resilience of our infrastructures, will allow us to target a 2028 Ebitda coming to 1.7 billion euro, supported by visible growth, both internal and external. This growth fully meets the objective of creating shared value for all stakeholders: profits will indeed increase by 30% (from 2023 to 2028), as will the contribution coming from sustainable activities to Group Ebitda, reaching 66%. The improvement in the objectives of the new Business Plan, along with the positive forecasted for 2024, allow us to revise our dividend policy upwards, proposing a 7% increase, compared to 2024, as early as 2025, reaching 21% by 2028. The economic value distributed over the 5 years covered by the Plan to stakeholders in the areas in which we operate also grows, to almost 11 billion euro." Orazio Iacono, CEO of the Hera Group: “For 2024, we expect to close with Ebitda over 1.55 billion euro, a result supported by all businesses in our portfolio, especially structural activities. This is even more significant when compared to the already outstanding 2023, which was affected by several non-recurring revenue opportunities, above all in the energy sector. This performance allowed us to fund an increase in investments and to further improve our financial solidity, with a net debt/Ebitda ratio below 2.6x, stable compared to the previous year. These good results are perfectly consistent with the new Business Plan, which forecasts 5.1 billion euro in gross investments, of which roughly 3 billion euro will be dedicated to the green transition in the areas served. The significant financial commitment required to support the investment plan, benefitting industrial development, will in any case be financed by a strong cash generation, which will also make it possible to keep financial leverage below the prudential level of 3x through to 2028, confirming our financial solidity and creating further flexibility to seize future opportunities.” 2024 PRELIMINARY RESULTS The year that just ended saw a positive performance of the industrial margins of all businesses in the portfolio, with Ebitda expected to exceed 1,550 million euro, as against 1,495 million euro in 2023. The “structural” growth observed in the preliminary results, mainly supported by factors involved in organic growth, is even more significant when compared to 2023 Ebitda adjusted for non-recurring contributions, totalling roughly 100 million euro, at 1,395 million euro. A robust cash generation, also supported by efficient working capital management, allowed the net debt/Ebitda ratio to remain below 2.6x, in line with the 2023 result. Considering these figures, the dividend policy was revised upwards: the Board of Directors is expected to propose a dividend payment of 15 eurocents per share, up 7.1% with respect to the 2023 coupon paid in 2024, to be compared with the 3.5% growth forecast in the previous Business Plan (14.5 eurocents). BUSINESS PLAN TO 2028 The new Plan’s strategic framework confirms creating sustainable value benefiting all stakeholders thanks to a balanced business portfolio as the Hera Group’s goal, developing resilient industrial assets even in a scenario marked by continuous volatility and an increasing frequency of extreme weather events linked to climate change. Creating value: a target of 1.7 billion euro for 2028 Ebitda, with a 30% rise in profits The Group’s strategy focuses on creating value through four main growth levers: an efficient allocation of capital to investment projects with the best sustainability-risk-return profiles, expansion of market shares, an enlarged scope of operations thanks to M&A transactions and efficiency gains in both operating and financial costs. The plan aims to generate value benefiting all stakeholders, through financial, environmental and social sustainability objectives. The plan envisages a structural growth of Ebitda by 475 million Euro to 2028 with a CAGR of +7% exactly reflecting the targets set out in the previous Business Plan. This structural growth will more than compensates the eventual shortfall during the period covered by the Plan of some temporary business opportunities of the amount of 170 million euro and drive in any case Group Ebitda to 1,700 million euro in 2028, up from the previous target of the Plan to 2027. Organic growth, accounting for 375 million euro of the Ebitda generated over the period covered by the Plan, is the main lever and will be fuelled by the investment plan for development, expansion in volumes and customers in liberalised markets, and the efficiencies and tariff adjustments set by the Authority on all regulated activities. The Plan also foresees a contribution from M&A transactions for about 100 million euro of Ebitda, in line with the Group’s track record in the consolidation activity on the Italian highly fragmented markets, that has underpinned the Group expansion in core business exploiting significant synergies creating value. The framework agreement signed with Modena-based AIMAG, in which Hera has been a shareholder since 2009, with a 25% stake, strengthens the industrial partnership between the two parties and provides, as early as today, high visibility on M&A targets of the business plan to 2028. Indeed, the Business Plan drawn up by AIMAG expects to improve Ebitda to 77 million euro by 2028, without considering the synergies with Hera (for more details, see the recently published dedicated press release). The business plan highlights the strategy to further strengthen all three of the Group’s core businesses, maintaining their balance, applying the management policies that have guaranteed so far a strong resilience in results and uninterrupted growth within all scenarios experienced over the past two decades. This structure will see regulated activities remaining at over 60% of the invested capital in 2028 and liberalised activities accounting for the remaining 40% of the portfolio. The growth targets defined lead to a return on invested capital (ROI) of 9.5% to 2028, in line with the previous Business Plan. Earnings per share are expected to rise by an average of about 6% per year, thus supporting the increase in dividends, set to reach 17 eurocents by 2028 (+21% compared to the last dividend paid). At current Hera share prices, the dividend policy guarantees an average yield of approximately 5% and offers full visibility on the prospective dividends in each year of the Plan. The total shareholders return, which takes into account both the trend in expected profits and the dividend yield, is therefore confirmed at an average annual rate of about 11%. Focus on the sustainable development of the entire regional ecosystem, with steady growth in shared-value Ebitda, at over 1.1 billion euro in 2028 (66% of total Ebitda) The Hera Group has included initiatives in its Plan that have adequate profitability and are consistent with operating-financial balance, which at the same time guarantee that sustainable value creation is enhanced. By maintaining a focus on decarbonisation, circular economy, resilience and innovation, “shared-value Ebitda” is expected to increase significantly, exceeding 1,100 million euro in 2028, as against 776 million euro in 2023, reaching 66% of the Group’s total Ebitda and respecting the target of 70% in 2030. In the 2024-2028 five-year period, shared-value Ebitda will increase by 45%, reflecting the growing weight of initiatives that not only generate margins for the company, but are also in line with the goals on the UN Agenda. On the path towards a “just transition”, with a large number of initiatives aimed at the prosperity of its reference communities and a strong focus on social equity, Hera will continue to generate positive effects for all stakeholders, with an estimated economic value distributed over the five years covered by the Plan coming to 10.8 billion euro and investments dedicated to the green transition amounting to roughly 3 billion euro. Ongoing interventions are aimed, on the one hand, at making the Group’s assets and processes more resilient to increasingly frequent and intense exogenous phenomena and, on the other, at contributing to carbon neutrality and the energy transition. With regard to the Hera Group’s commitment to work towards decarbonisation, in line with the 37% emission reduction targets by 2030 (compared to 2019) validated by the prestigious international network Science Based Targets initiative (SBTi), in its Climate Transition Plan the Group has set itself the goal of achieving Net Zero emissions by 2050. As regards the regeneration of resources, the Hera Group confirms its adoption of circular business models, with the goals of increasing recoverable wastewater (up to 14.4% of total wastewater in 2028), reducing internal water consumption (-24% in 2028) and increasing recycled plastics by 165% in 2028 (compared to 2017, thus exceeding the previous target 2030 of +150%). Sorted waste collection is expected to increase in both quality and quantity, going from 72.2% in 2023 to 77.7% in 2028. Lastly, the application of technologies and innovations to the Group’s industrial activities also plays an essential role in the new strategic document: creating new business models and introducing pioneering solutions will, in fact, enable the Group to gain a competitive advantage and promote continuous improvement in efficiency and quality in its target sectors. Gross investments at over 5 billion euro, with financial leverage remaining below 3x Over the 2024-2028 period, the Business Plan calls for total investments amounting to 5.1 billion euro. This financial commitment is 6% higher than the one included in the previous strategic document and 46% higher than the investments made over the last five years. Indeed, in addition to the 4.6 billion euro of investments directly financed by the Hera Group, almost 500 million in resources will come from the PNRR and other institutions. Of these investments, 61% will be earmarked for regulated businesses, while the remaining 39% will go towards fuelling the growth of free-market businesses. More than half of the investments (2.5 billion euro, or 54%) will be dedicated to networks. Furthermore, approximately 8% of the resources will be used to seize external growth opportunities. In line with the content of the European framework, the Group estimates that operating investments coming to 2.6 billion euro (or 96% of eligible investments) will be aligned with the European Taxonomy for sustainable projects, thus fully accessing subsidised sustainable finance instruments, with benefits also in terms of financial costs. 77% of the investment plan (or 4 billion euro) will go towards initiatives capable of creating “shared-value Ebitda”. These investments will be allocated as follows: 2 billion euro, or 39% of the planned investments, will help reduce the consumption of natural resources through the development and adoption of circular economy solutions and models; 1.1 billion, or 22% of the resources allocated in the Plan, will reduce or contain climate-changing emissions mainly through the development of renewable plants, energy efficiency initiatives and projects supporting the transition of our stakeholders; 2.4 billion euro, or 47% of total investments, will be dedicated to increasing the resilience of the assets under management and activities intended to face increasingly frequent and intense exogenous phenomena; 1.3 billion, or 25% of the investments, will go towards applying and developing pioneering technologies and introducing innovative solutions to achieve a competitive advantage in all industrial sectors covered, helping to seize market opportunities and ensure financial sustainability, efficiency and quality. The major financial commitment required to support the investment plan, benefiting industrial development and expanding the scope of operations with external growth transactions, will in any case be fully financed by a significant cashflow, which will also allow financial leverage to be kept below the prudential level of 3x, with a target of 2.8x by 2028, confirming the Group’s financial solidity and creating further flexibility that can be used to seize additional growth opportunities on the Italian attractive reference markets. Energy: a partner for the energy transition of our customers; target of 4.5 million customers by 2028 Ebitda for the energy area is expected to increase from 549 million euro in 2023 (calculated net of a non-recurring contribution amounting to 100 million euro, mainly due to the “super-ecobonus”) to 576 million euro in 2028. This target is based on structural growth coming to 177 million euro, which is able to more than offset the hypothesis of decreased margins for “last resort markets” clients, envisage a further growth in Ebitda results even compared to the extraordinary values of 2023. This result will be achieved thanks to the normalization of the “shaping costs” incurred in 2023, the expansion of the customer base, and an increase in renewable energy production, which confirms the Hera Group’s role as a partner in the energy transition of the communities served. To support the strategy in the energy sector, 1 billion euro in overall investments has been earmarked for the 2024-2028 five-year period, equivalent to 21% of the total investments included in the Plan. The Group, which is now Italy’s third largest operator by number of customers, intends to continue developing its customer base, starting from 3.8 million in 2023 and reaching 4.5 million by 2028, with a substantial growth in electricity customers, which will reach 2.4 million, surpassing the number of gas customers, partially thanks to the significant contribution coming from the 7 lots awarded in the Gradual protection service tender in 2024. In a market scenario that sees customers increasingly attentive to environmental sustainability and containing their energy costs, a more consistent demand for decarbonisation solutions has emerged for both retail customers and companies and public administrations, increasing development opportunities for the Group’s ESCOs through integration and differentiation of the offer by segment, from energy requalification and efficiency interventions to services for sustainable mobility, public lighting and smart cities for public administrations, as well as integrated services for industrial customers and condominiums. In order to achieve its ambitious decarbonisation targets, in the area of photovoltaic power generation, the Hera Group has confirmed its goal of installing over 300 MW by 2028, with preference going to plant solutions at consumption centres that do not involve further land consumption, such as agrivoltaic plants and the numerous projects being implemented on landfills or plants in the Group’s water cycle, as well as installations at customers’ premises, including Renewable Energy Communities. The construction of the two Hydrogen Valleys in Modena and Trieste continues, aimed at producing about 800 tonnes per year of green hydrogen, contributing to the decarbonisation of companies and, more generally, the local areas in question, and at the same time redeveloping disused areas. Waste management: leadership strengthened by expanding market share through commercial development, infrastructure development and M&As Ebitda for the waste management area is expected to rise from 353 million euro in 2023 to 470 million euro in 2028, thanks to development fuelled by both organic and external growth. The increase in profits will be driven by an expanded market share, supported by the development and diversification of the asset platform, partially thanks to an investment plan allocating approximately 1.1 billion euro to the waste management area. Thanks to more than 100 state-of-the-art plants (with 5 new facilities in the pipeline to 2028) and new partnerships, the multi-utility expects to reach a total of approximately 9.6 million tonnes disposed of and marketed by 2028, compared to 7.7 million tonnes in 2023 (+24% of waste treated). In the urban waste sector, also as a result of the recently renewed long-term concessions, the Group’s aim is to make this service to local areas more complete and efficient through innovation, new devices and infrastructures, and the involvement of citizens and stakeholders. The validity of the Group’s strategy in this area is confirmed by the fact that, at present, it has already achieved targets for the recycling rate and the portion of waste sent to landfills, well ahead of the EU deadlines, and will continue to pursue these excellent results in the period covered by the Plan. More specifically, by 2028 municipal waste conferred to landfills will be less than 3%, as against the European target set at 10%, the recycling rate will come to 64%, compared to the EU target of 60% by 2030, and the packaging recycling rate will reach 68%, compared to the EU target of 70% by 2030. In the area of waste treatment, in a country severely impacted by a shortage of plants, the Hera Group has managed over time to consolidate the largest and most modern set of plants in Italy, establishing itself as the main operator in this sector, with a market share of around 10% and ample room for further growth given the fragmented nature of the competition, which mainly consists of small, non-integrated operators. In this context, precisely by leveraging the competitive advantages it has built up over time, the Group’s new Business Plan points towards a strengthened leadership and an expanded market share, accompanying the needs of an increasingly diversified and qualified customer base (first and foremost, large companies). To this end, the Plan foresees an expansion of the Group’s set of plants, further development in its commercial offers and an expanded customer base, partially achieved by leveraging its activities abroad. The set of plants, which already treats municipal waste and special waste from the Italian production network, will be expanded, for example, with the construction of the new line of the waste-to-energy plant in Padua, full operations of the F3 plant in Ravenna, and the expansion of liquid waste treatment capacity. As regards commercial development, note the opportunities for important partnerships with leading operators in the national and international production sector, such as the recent newco CircularYard established with Fincantieri. Opportunities for collaboration will also drive development in the remediation field, in this case with entities in the petrochemical industry, in which the Hera Group has significantly strengthened its market leadership with the integration of the Modena-based ACR: this business segment shows a lively demand, supported by the PNRR and the country’s need to remediate over 13 thousand sites. Resource recovery and regeneration activities complement those involving treatment, and firstly concern plastics, in which the Group stands out for the high quality of its secondary raw material products. The increasing European legislation (SUP and PPWR) will determine a progressive growth in demand, for which the Plan calls for a doubling of the plants in Novara for the regeneration of PE and PET as well as innovative projects, such as the plant for carbon fibre recovery in Imola, which will be inaugurated soon, and the one for the regeneration of high-quality rigid plastics under construction in Modena. Networks: primary role as infrastructure operator confirmed by a robust investment plan and excellent performances Ebitda for the network sector is expected to grow by 155 million euro, going from 466 million euro in 2023 to 621 million euro in 2028. The regulated networks business, which represents the Hera Group’s main asset in terms of invested capital, will benefit from a substantial investment plan amounting to approximately 2.5 billion euro (54% of total investments) by 2028, in order to further enhance the resilience and digitalisation of infrastructures, consolidate efficiency in operations and maintain leadership in terms of the quality of service provided. Of these resources, about 1.4 billion euro will be allocated to the integrated water cycle, while almost 1 billion euro will be invested in gas and electricity distribution. The strategic initiatives of the Group, Italy’s second-largest operator in the water cycle, include works to guarantee stability and security of supply, technological solutions to reduce losses and ensure more efficient distribution, the upgrading of sewage systems, and the promotion of reuse and regeneration of this resource to support the sector’s ecological transition. This includes collection, storage and interconnection works, the project for the Trieste aqueduct, water management initiatives with the completion of the installation of smart meters to encourage more efficient and aware consumption, the districtisation and reclamation of the aqueduct network and the use of predictive maintenance to reduce losses, ongoing work on the Rimini Seawater Protection Plan (the largest sewage reclamation project ever carried out in Italy, with 270 million investments in total from 2013 to 2028), and the new biodryers in the Cà Nordio plant in Padua for greater energy savings in sewage sludge treatment. To enable the electrification of local areas, instead, the Group plans to upgrade the grid, thus ensuring reliability and flexibility of assets as well as service quality and continuity, including the support of digital technologies and innovative initiatives such as the deployment of 2G smart metering and new management technology models with a predictive capacity. The goal for 2028 is to increase the grid’s hosting capacity by 30% compared to 2023, to reach over 400 MW in 2028, partially thanks to initiatives such as the development of primary and secondary substations. Projects for smart grids, such as the one serving the port and metropolitan area of Trieste, also move in this direction. To promote the decarbonisation of the gas sector, Hera will focus on enabling networks to transport green molecules as well, as in the experimentation currently underway in the municipal distribution network of Castelfranco Emilia, near Modena. At the same time, the Group’s attention will also go to innovative solutions. Among these, the Bologna power-to-gas plant, connected to one of the main water cycle purifiers, will make it possible to use purified water to produce first renewable hydrogen and then biomethane, using waste oxygen for purification processes. The drive towards innovation will also come from the installation by 2028 of around 523 thousand NexMeter gas smart meters, patented by Hera in 2019, with advanced safety functions in the event of leaks or earthquakes and which can also be used for blends with green gas. These will be accompanied by around 465 thousand second-generation (2G) electricity meters, which will enable more precise measurement of consumption, and over 640 thousand smart meters for the water cycle. Lastly, among the assets enabling the energy transition of the areas served, the Group has included in its strategy additional development of district heating. The overall cumulative net investments in district heating amount to 124 million euro, accompanied by 49.5 million euro in PNRR/MASE contributions, for a total of approximately 174 million euro, to develop and adapt the distribution network and optimise management, making the systems more efficient and reducing the carbon footprint of the heat produced. These projects for developing district heating systems in Bologna, Ferrara and Forlì are a concrete example of the Group’s commitment to decarbonising the areas served and will contribute to a reduction in annual emissions coming to 19,000 tonnes of carbon dioxide compared to 2023. Hera Group presents Business Plan to 2028.pdf 08:00:00 sede Hera 110x150.jpg

2024-06-19 Press_Hera_ESG.jpg For the fourth consecutive year, the Group is on the podium of the overall index ranking, which rewards Italian companies that stand out for integrating ESG factors into their governance. This comes as further recognition of the Group’s commitment to creating long-term value for its shareholders and all its stakeholders centrata The Hera Group, one of Italy’s largest multi-utilities operating in the waste management, energy and water sectors, has confirmed its position as the Italian company that has most fully and consciously integrated sustainability policies into its business strategies. This is proven by the ESG Identity Corporate Index (formerly the Integrated Governance Index) managed by ETicaNews. As announced today at the 2024 ESG Business Conference in Milan, Hera is among the top 3 positions for the fourth year in a row, the only Italian company to achieve this result, thus remaining in the Top 10 in all the 9 editions of this index, launched in 2016. Sustainability and local roots at the heart of Hera’s strategies Integrating ESG goals into its business strategies and cultivating local roots are among the essential features of the Group, which is committed to providing essential services to over 4 million citizens on a daily basis. The Group has always been aware of its institutional and social role in the local ecosystem and considers creating value to be a cornerstone of its relationship with all stakeholders. In fact, sustainability and creating shared value are key paradigms of its corporate purpose, which is expressed through three strategic drivers: pursuing carbon neutrality, regenerating resources with an eye to the circular economy, and enabling resilience and innovating. By expressing this purpose in its Articles of Association as of 2021, Hera has confirmed its commitment to developing a business model aimed at generating long-term value for its shareholders, by creating value shared with all stakeholders. This new approach to sustainability is now integrated into the company’s reason for being, thus providing a model that inspires strategy and guides innovation. Fully consistent with this purpose, all the Group’s initiatives confirm its will to tackle the new challenges posed by climate change and energy security, in order to make local areas increasingly competitive and resilient. The ESG Identity Corporate Index The ESG ICI is Italy’s only quantitative index that measures the ESG identity of Italian companies, assessing and recognising their commitment to integrating the principles of sustainability, social and environmental responsibility and good governance into their business strategies. The 2024 survey included the top 100 listed companies, the companies that publish a non-financial statement (pursuant to Legislative Decree no. 254 of 30 December 2016) and the top 50 non-listed and industrial companies in the Mediobanca ranking. The Hera Group’s main recognitions Publicly listed since 2003 and on the FTSE MIB since 2019, Hera was also included in the MIB ESG Index in 2021, the first Italian blue-chip index dedicated to ESG best practices, launched by Euronext - Borsa Italiana. Since several years the Group has been top-ranked by the Dow Jones Sustainability Index World and Europe, the Refinitiv’s Diversity & Inclusion Index, and is included in the Bloomberg Gender-Equality Index, confirming its commitment to promoting diversity, inclusion and people development. Press_Hera Group ranks first in the 2024 ESG ICI.pdf 11:08:00 sede-hera-110.jpg

2024-05-14 The consolidated quarterly report at 31 March shows improvement in the main operating and financial indicators. The Group’s financial solidity and commitment to sustainability and the ecological transition were confirmed, along with the creation of value for all stakeholders and significant investments in the areas served to improve our assets resilience and to guarantee service quality and continuity Financial highlights Revenues at 3,285.8 million euro Ebitda* at 417.1 million euro (+1.7%) Net profit for shareholders* at 143.1 million euro (+11.6%) Gross operating investments at 156.8 million euro Net financial debt at 3,986.6 million euro, with Net debt / Ebitda* at 2.66x Business highlights Significant contribution to growth from the water, electricity and waste management sectors Growth of energy customer base continues, now at 3.9 million New avant-garde projects for the ecological transition and investments to optimise the assets managed Today, the Board of Directors of the Hera Group, chaired by Executive Chairman Cristian Fabbri, unanimously approved the consolidated financial results for the first quarter of 2024 and appointed the Group’s new Vice Chairman. The first quarter of 2024 ended with increased operating results and investments compared to the same period in 2023 (year in which Hera recorded the highest growth in its history), in a market environment that was more stable than the previous year due to lower volatility in commodity prices, while still not returning to the levels seen prior to the crisis. This good performance is the result of the Group’s consolidated multi-business strategy, balanced between regulated and free-market activities. The consolidated quarterly report at 31 March confirms once again the Group’s financial solidity and, at the same time, its focus on resilient and sustainable growth for the benefit of all stakeholders. Cristian Fabbri, Executive Chairman of the Hera Group: “The first quarter of 2024 closed with the main operating and financial indicators showing growth, thanks to our consolidated multi-business strategy, balanced between regulated and liberalised activities: these results confirm the targets for creating value included in our Business Plan. In fact, the good operating performance led Ebitda to reach 417.1 million euro, up from last year’s exceptional results. The gradual normalisation of the energy scenario also allowed us to achieve a double-digit growth in net profit and return on our invested capital, which stands at 9.5%. In the electricity sector, the 19% increase in the customer base confirms our Group’s commercial strength and expertise, capable as we are of growing and boosting customer loyalty with value-added services for decarbonisation and energy efficiency, and conquering new market shares, reaching a total of 3.9 million energy customers.” Orazio Iacono, CEO of the Hera Group: “The 1Q 2024 solid results highlight further growth along with the Hera Group’s confirmed focus on resilience, sustainability and innovation. Operating investments, amounting to around 160 million euro, went to upgrading and making the managed infrastructures even more efficient, to ensure service quality and continuity and improve the resilience of our assets. The activities carried out in 2023 to optimise the financial structure led to a decrease in the cost of medium- and long-term debt, generating a significant saving in financial expenses compared to the same period one year earlier. This results in an increase of about 12% in net profit attributable to shareholders, which rose to over 143 million euro. The Group’s financial solidity was also fully confirmed, with the Net debt / Ebitda* ratio standing at 2.66x, improving from previous year and essentially aligned with the figure recorded on 31 December 2023.” Revenues at approximately 3.3 billion In the first quarter of 2024, revenues amounted to 3,285.8 million euro, down significantly from 5,628.9 million euro in the same period of 2023, mainly due to lower energy commodity prices and lesser trading activities, as well as reduced opportunities related to energy efficiency incentives in residential buildings. This drop was partially offset by the higher volumes of electricity sold, as a result of significant commercial development. Ebitda* rises to 417.1 million euro At 31 March 2024, Ebitda* rose to 417.1 million euro (+1.7%), as against 410.2 million euro for the first three months of 2023, demonstrating the resilience of the Group’s results within the normalisation of commodity prices. This growth is mainly due to the contribution coming from the water area, amounting to 9.8 million euro, the good performance of the electricity and waste areas, up 3.5 million euro and 2 million euro respectively, as well as the other services area, up 1.4 million euro, all of which offset the 9.8 million euro drop in the gas area due to the loss of the contribution coming from the super-ecobonus. Ebit* and pre-tax result* increase Ebit* at 31 March 2024 increased to 245.9 million euro, up 4.2% from 236.1 million euro in the first quarter of 2023. This performance was also supported by lower provisions for bad debts, due to the normalisation of commodity prices and lower gas volumes. The pre-tax result* also increased to 212.9 million euro (+11.1%), as against 191.7 million euro at 31 March 2023, thanks in particular to the positive trend in financial operations. Net profit attributable to shareholders* up to 143.1 million euro After taxes, which came to 28%, mainly due to lower tax benefits in the first quarter of 2024 compared to the same period in 2023, net profit* rose to 153.3 million euro (+9.3%), compared to 140.3 million euro at 31 March 2023. Net profit attributable to Group Shareholders* also rose, coming to 143.1 million euro, up (+11.6%) from the 128.2 million euro seen at 31 March 2023. These results supported the creation of value for all stakeholders, in line with the content of the Business Plan. Gross operating investments rise, maintaining the Group’s solidity The Group’s operating investments, including capital grants, confirmed its strategic plans and were in line with the previous year, amounting to 156.8 million euro, as against 155.7 million euro at 31 March 2023, and mainly went to works on plants, networks and infrastructures. Regulatory upgrading was also carried out, mainly concerning gas distribution, with a large-scale meter replacement, and the purification and sewerage area. The total amount of net financial debt came to 3,986.6 million euro, a slight increase (+4.2%) compared to the figure seen at 31 December 2023, while the net debt/Ebitda* ratio stood at 2.66x, confirming the company’s financial solidity. Tommaso Rotella becomes Vice Chairman of Hera The Board of Directors assigned the position of (non-executive) Vice Chairman to Mr. Tommaso Rotella, who was appointed as a board director during the Shareholders Meeting held on April 30. Mr Rotella was also appointed Vice Chairman of Hera S.p.A.’s Executive Committee and Chairman of both the Remuneration Committee and the Risk and Control Committee (also acting as the Committee for Transactions with Related Parties). Born in Modena and 52 years old, he gained a degree in law from the University of Modena. As a lawyer, he specialises in proceedings concerning the criminal and administrative defence of companies, as well as tax consultancy. He holds positions as chairman of the supervisory body in several companies, participates in conferences and is author of publications on these topics. Rotella will remain in office as Vice President until the Shareholders’ Meeting held to approve the 2025 financial statements. The Board of Directors also confirmed the appointment of Enrico Di Stasi as a member of the Risk and Control Committee and of the Committee for Related Party Transactions, after Di Stasi was appointed as director by the Shareholders Meeting held on 30 April 2024. The Board of Directors also assessed the independence of Directors Rotella and Di Stasi. Based on the declarations made by them and the information available to the company, director Rotella was found to be independent and director Di Stasi not independent. Vice Chairman Rotella and director Di Stasi also declared that they do not hold Hera shares. Gas Ebitda* for the gas area, which includes natural gas distribution and sales, district heating and energy services, stood at 184.0 million euro, compared to 193.8 million euro at 31 March 2023, mainly due to the changes in government incentives for energy efficiency activities (super-bonus), lower intermediation activities and a reduction in volumes due to climatic conditions and changes in consumption habits. This change was partially offset by growth in both sales margins in traditional markets, due to the normalisation of shaping costs, and in regulated distribution revenues, thanks to the recovery of higher inflation and the updated regulatory WACC. Moreover, the Group’s good performance in last resort markets and in supplies to public administrations continued, through subsidiary Hera Comm, thanks to the award of 8 out of 9 lots of the last resort service, all 9 lots of the default service and 3 out of 12 lots of the Consip GAS15bis tender for public administrations. In the first quarter of 2024, investments made in the gas area amounted to 37.4 million euro. More specifically, in gas distribution they involved non-recurring maintenance work on networks and plants and the replacement of measuring units for remote management, while in gas sales investments were aimed at acquiring new customers. The number of gas customers stood at 2.1 million, in line with the previous year. The gas area accounted for 44.1% of Group Ebitda. Electricity Ebitda for the electricity area, which includes the generation, distribution and sale of electricity as well as public lighting services, rose by 5.2%, reaching 71.2 million euro, compared to 67.7 million euro seen in the same period of 2023 (these values have been recalculated by including the public lighting segment, previously classified among other services). The first quarter of 2024 showed significant growth in terms of both volumes sold to end customers, thanks to commercial development mainly in the free market, and margins due to the lower cost of modulation resulting from the drop in raw material prices. Distribution also increased, due to the recovery of inflation and the increase in regulated WACC. Other factors included opportunities in safeguards service and public administrations supplies, thanks to the awarding, through the subsidiary Hera Comm, of 4 lots in the Consip EE21 tender for the public administrations, 2 lots of the safeguards service, 3 lots of the gradual safeguarded service for SMEs, and 1 lot for micro-businesses. In the first quarter of 2024, investments made in this area amounted to 27.9 million euro, up 5.7 million euro year-on-year. In electricity distribution, the interventions carried out mainly concerned extraordinary maintenance and upgrading of plants and distribution networks in the Modena, Imola, Trieste and Gorizia areas, as well as the ongoing large-scale meter replacement and interventions to improve the resilience of the network. In energy sales, investments involving activities related to the acquisition of new customers increased. The number of electricity customers increased by 18.8% compared to the same period of 2023, reaching approximately 1.8 million. This growth occurred mainly in the free market, as a result of both the reinforced commercial actions and the positive contribution coming from Consip tenders and the gradual protection service. As regards public lighting, in the first quarter of 2024 the Hera Group acquired approximately 58.4 thousand lighting points in 20 new municipalities, mainly in Tuscany, Triveneto, Umbria, Emilia-Romagna and Lombardy. The percentage of lighting points managed using LED lamps also increased, confirming the Group’s constant focus on an increasingly efficient and sustainable management of this sector. The electricity area accounted for 17.1% of Group Ebitda. Water At 31 March 2024, Ebitda for the integrated water cycle area, which includes aqueduct, purification and sewerage services, rose to 65.4 million euro, up (+17.6%) from 55.6 million euro in the same period of 2023. This growth was mainly due to the recognition of inflation and the updated regulatory WACC. In the first quarter of 2024, investments made in the water cycle area, including capital grants, amounted to 48.3 million euro (30.9 million euro in the aqueduct, 11.8 million euro in sewerage and 5.6 million euro in purification) and mainly involved extensions, reclamation and upgrading on networks and plants, as well as regulatory adjustments, mainly in the purification and sewerage areas. The main interventions included: in the aqueduct, ongoing reclamation activities on networks and connections, as well as specific modernisation and upgrading operations; in the sewerage sector, ongoing implementation of the Rimini seawater protection plan (PSBO); in the purification sector, the beginning of construction for the new ‘power to gas’ plant at the IDAR purification plant in Bologna, partially financed by NRRP funds. Lastly, note that, in line with the results of previous years, ARERA has recently reconfirmed the high-quality standards adopted by Hera in managing the integrated water service: more specifically, the Hera Group was awarded first and third place in the overall ranking of Italian utilities (2020-21 two-year period). This result recognises the Group’s contribution to the development and efficiency of the sector, thanks to significant investments and state-of-the-art plants, to guarantee service continuity, safety and quality, in line with its sustainability and circular economy strategies. The integrated water cycle area accounted for 15.7% of Group Ebitda. Waste Ebitda for the waste management area, which includes waste collection, treatment and recovery services, rose to 89.6 million euro (+2.3%), as against 87.6 million euro at 31 March 2023, mainly due to higher volumes treated and lower operating costs, especially for chemicals. Ebitda for waste treatment services rose to 73.7 million euro (up 1.2 million euro), while Ebitda for waste collection and sweeping services amounted to 15.9 million euro (up 0.8 million euro). Compared to the same period in 2023, there was an increase in waste commercialised mainly due to a rise in market waste. This growth offset the lower performance of energy management, mainly due to lower market prices and lower volumes in the Rimini and Modena waste-to-energy plants due to maintenance. In the first quarter of 2024 as well, the main initiatives concerning the circular economy set out in the business plan continued, from material recovery to the production of renewable energy. Examples of this are the biodigester in Spilamberto (Modena area) that will go on stream this year and the new plant that subsidiary Aliplast started to build in Modena for the production of high-quality recycled polymers, with the aim of making sectors such as consumer electronics and the automotive industry increasingly sustainable. Thanks to the development of new state-of-the-art infrastructures such as this one, the Group aims to further consolidate its position in the segment of second raw material production, a sector in which Hera subsidiary Aliplast, already a national market leader in high-quality recycling of PET and LDPE polymers, aims to play a key role also in recycling rigid plastics. Within a macroeconomic scenario characterised by a slight growth in GDP, a downturn in industrial production and increased competitive pressure in the markets covered, the Group, thanks to its sound management policies, continued to strengthen its leadership in the waste management sector, especially in the industrial and recovery market, equipping its plants with the best available technologies and guaranteeing a significant level of growth along the supply chain. With more than one hundred state-of-the-art facilities capable of treating any type of waste, Hera’s set of plants is a strategic and distinctive asset nationwide, in a country which still shows significant infrastructural deficiencies in this area. Protecting environmental resources was confirmed as a priority goal for the Group in the early months of 2024, as was the maximisation of their reuse. This is further proven by the special attention dedicated to developing sorted waste collection, which rose to 74.1% at 31 March 2024, up 3.4% compared to the same period in 2023, thanks to the strong commitment shown in all areas served. In the first quarter of 2024, investments made in the waste management area rose to 21.6 million euro, mainly going to maintenance and upgrading of waste treatment plants. The waste management area accounted for 21.5% of Group Ebitda. Special items and operational adjustments / balance sheet reconciliation IFRS financial statements Income statement Statement of financial position PR Hera Group BoD approves results for 1Q 2024.pdf 12:41:00 Nuova_Palazzina_110x150.1533218221.jpg

2024-03-26 img_primopiano_BE2023_870_V2.png The year closed with main financial indicators rising and the targets included in the strategic Plan to 2026 exceeded three years ahead of schedule. The Group’s financial solidity and flexibility allowed it to continue along its path of industrial growth, increasing its investments and successfully grasping market opportunities, both internal and external, while continuing to generate value benefitting all stakeholders. The proposed dividend was raised, reaching 14 eurocents per share Financial highlights Revenues at 14,897.3 million euro Ebitda* at 1,494.7 million euro (+15.4%) Net profit* for shareholders at 375.2 million euro (+16.5%) Gross operating investments at 815.8 million euro (+15.0%) Net financial debt improves to 3,827.7 million euro (-10%), with Net debt / Ebitda* at 2.56x Proposed dividend rises to 14 eurocents per share (+12%) Operating highlights Strong performance from internal growth with contributions coming from acquisitions Significant contributions from the energy area, growth in the waste management sector, and network resilience pending the adjustment of the tariff return effective from 2024 Consolidation of ranking as Italy’s first operator in the waste management sector, second in water and third in energy Shared-value Ebitda rises sharply to 776.0 million euro (+16%) and shared-value investments amount to 558.4 million euro (69% of total investments) Today, the Board of Directors of the Hera Group, chaired by Executive Chairman Cristian Fabbri, unanimously approved the consolidated financial results as at 31 December 2023 and the Report on remuneration policy and compensation paid, as well as the Sustainability report. Cristian Fabbri, Executive Chairman of Hera Group: “We closed 2023 with record performance in our main operating and financial indicators, achieved within a macroeconomic environment that was volatile and uncertain. Ebitda reached almost 1.5 billion, net profit attributable to shareholders grew by 16.5% and investments were up by 15%, exceeding 800 million euro. As a result, the economic value distributed to stakeholders in the areas in which we operate reached 2.3 billion euro, up 36%. We achieved these results mainly thanks to the contribution coming from the waste management and energy areas. In the energy area in particular, we achieved significant growth supported by commercial development, last resort markets and energy efficiency services. At the same time, debt fell by 10%, bringing us to a Net debt / Ebitda ratio of 2.56x, allowing the Board of Directors to propose a 12% increase in dividends, equal to 14 eurocents per share. The 2023 results thus confirm the validity of our Group’s strategic vision and constitute the solid building block of our new business plan, approved in January.” Orazio Iacono, CEO of the Hera Group: “In 2023, Ebitda exceed the targets set in the previous Plan to 2026 three years ahead of schedule. The normalisation of energy prices made it possible to reduce net working capital achieving a significant financial structure and a Net debt / Ebitda ratio of 2.56x. The Group thus regained its usual financial flexibility and can continue to seize further growth opportunities in its reference markets, still highly fragmented. Evidence of this lies in the transactions carried out in 2023, which also confirm our focus on generating sustainable growth in the local areas served. This commitment was confirmed by the increase in both shared-value Ebitda, up by 16% to 776.0 million euro, 52% of overall Ebitda, and in CSV investments, which amounted to 558.4 million euro in 2023, approximately 69% of total investments. Finally, we proved our ongoing commitment to sustainable finance, a driving force for our investment plan and confirmation of our desire to create value in the areas served, with particular attention going to objectives including decarbonisation, circular economy, innovation and resilience, consistent with our corporate purpose and the path set out by the Business Plan.” Record year for the Group, that continues to create value for stakeholders and increase its scope of operations Thanks to effective choices made by management and the numerous development actions implemented, which also made it possible to seize market opportunities, the Hera Group closed the 2023 financial year with main operating results showing strong growth compared to the previous year. In particular, the Group leveraged its financial flexibility to successfully participate in recent last resort market tenders, and to acquire strategic assets in the waste management area. In a year characterised by an international geopolitical situation that remained unstable, with high energy market volatility in the first half of the year and prices that have not yet returned to the levels seen prior to the crisis, as well as a series of extreme weather and climate phenomena that affected the areas served, the Hera Group has continued to ensure service continuity and quality and the creation of value for all stakeholders. This concrete and transparent value was quantified through shared-value Ebitda and investments, with the data in question subjected for the fifth consecutive year to an external auditing company in order to validate these distinctive aspects of the Group’s reporting to all stakeholders. Hera pursued corporate growth and, at the same time, sustainable development, as shown by the increased investments in innovation and resilience of the assets managed, the circular economy and the energy transition, with concrete projects consistent with major national and international policies. In addition to internal growth, in 2023 Hera continued to expand its scope of operations through external development, with the aim of providing its customers with increasingly innovative and competitive solutions. In the waste management area, the new plant for biomethane and compost production in Spilamberto, near Modena, became fully operational, as did the partnership with A.C.R. di Reggiani Albertino, an important company operating nationwide in remediation, industrial waste treatment, decommissioning of industrial plants, and civil works related to the oil & gas sector. In the IT-TLC sector, the acquisition with Ascopiave of 92% of Asco TLC, followed by its merger by incorporation into Group subsidiary Acantho, enabled Hera to enhance its connectivity, telephony and data centre services in more than one region of Italy. In the area of renewable energy, acquisitions concerned the Ferrara-based company Tiepolo, for the construction of a photovoltaic solar park in Bondeno in Ferrara province, and of 60% of the Rimini-based company F.lli Franchini, involved in installing plumbing and electrical systems and photovoltaic solutions for business customers. The Hera Group and Orogel company also established the NewCo Horowatt for the construction of a sustainable, state-of-the-art agrivoltaic plant at the Cesena facilities owned by this agricultural cooperative. In the energy area, in November 2023 the Hera Group’s holding in EstEnergy, the largest energy operator in Northeastern Italy, rose to 75%. Furthermore, as regards the valuable intangible asset represented by its customer base, in February 2024, 7 lots were awarded in the national tender called by the Single Buyer for the gradual protection service for non-vulnerable domestic customers. The liberalisation process in the electricity sales market will lead to the entry, as of 1 July 2024, of more than 1 million new customers in the electricity service, further consolidating the Group’s position as the third largest operator in the energy sector nationwide. Lastly, as regards creating value, the Group continued to show its commitment to sustainable finance. In 2023, more than 1 billion in financing was allocated to the green transition, thanks to the issue of the Group’s second sustainability-linked bond, which included carbon neutrality and circular economy objectives, and the Revolving sustainability-linked credit line obtained. In addition, Hera obtained a dedicated loan from the European Investment Bank (EIB) for more than 60 Group projects, mainly intended for the Emilia-Romagna, Veneto and Friuli-Venezia Giulia regions and aligned with the European Taxonomy that, in addition to responding to the objectives set by the UN Global Agenda 2030, will accompany the communities served towards an ecological transition strongly rooted in the social and industrial fabric. Thanks to this strong focus on green finance, the portion of the Group’s debt financed with ESG instruments has progressively increased over the years, reaching 57% in 2023. Revenues at approximately 15 billion euro The Hera Group’s 2023 revenues amounted to 14,897.3 million, down from 20,082 million in 2022 (-25.8%), mainly due to the normalisation of energy commodity prices and gas volumes, lower trading and the mild weather seen in the first part of the year. This decrease was partially offset by higher electricity volumes sold, thanks to commercial activities related to the sale of value-added services and solutions for energy efficiency and self-generation, Consip tenders, the 2 lots of the safeguard service awarded for 2023-2024 and the gradual protection service for supplying electricity to micro-businesses starting from 1 April 2023. Revenues in the waste management sector were also up, due in particular to new operations in the industry market, above all the partnership with Modena-based A.C.R di Reggiani Albertino. Ebitda* rises to almost 1.5 billion euro (+15.4%) Ebitda* for 2023 increased to 1,494.7 million, up 15.4% compared to the 1,295.0 million recorded at 31 December 2022. This growth is due to the overall contribution coming from the energy areas, amounting to 169.4 million euro, especially thanks to commercial development, last resort market tenders and opportunities arising from incentives for energy services. A good performance also came from the waste management area, up 15.4 million euro, while the water cycle contributed with 9.5 million euro and the other services area with 5.4 million euro. Ebit* increases to 741.0 million euro (+18%) Ebit* rose to 741.0 million euro, +18% compared to 2022, with growth exceeding that of Ebitda*, since depreciation, amortisation and provisions increased less than the rise in Ebitda. Net profit* increases to 417.0 million euro The tax rate for the 2023 financial year stood at 26%, unchanged from 2022, thanks to nonrecurring concessions, tax credits for the purchase of electricity and gas, and benefits from the redemption of certain higher values arising from corporate acquisitions. Net profit* at 31 December 2023 also rose by 12%, reaching 417.0 million euro, as against 372.3 million during the previous year. Net profit* attributable to shareholders rises Net profit* attributable to shareholders amounted to 375.2 million, up 16.5%. Increased investments and improvement in net financial debt In 2023, the Hera Group’s operating investments, including capital grants, reached 815.8 million euro, up 15.0% compared to 709.5 million in 2022. Investments were mainly allocated to work on plants, networks and infrastructures, in addition to regulatory adjustments in gas distribution for the large-scale meter replacement, as well as the purification and sewage sector. This effort towards investing in the industrial growth of the Group’s regulated activities led its RAB to rise to 3.33 billion euro, up by 144 million euro compared to 2022. Net financial debt decreased to 3,827.7 million euro, as against 4,249.8 million as at 31 December 2022, mainly due to the positive performance of net working capital* caused by the progressive reduction in energy commodity prices compared to the amounts seen in late 2022, the increase in tax credits for subsidiary Hera Servizi Energia (due to the acceleration of works incentivised by expiring tax bonuses), the decreased VAT position and the lower value of gas storage, both in terms of prices and volumes. The Group’s financial structure therefore showed significant improvement, with the Net debt / Ebitda* ratio decreasing to 2.56x, compared to 3.28x at 31 December 2022. The result from operations recorded a double-digit return on equity (ROE*), coming to 11.1%. Return on invested capital (ROI*) also improved, rising to almost 10% (9.8%), as against 7.9% in 2022 and above the figures seen prior to the crisis, with an increase in value creation, due to both higher margins and a decrease in invested capital, as a result of the normalisation of net working capital. Shared-value Ebitda and investments up to 776.0 million (+16% compared to 2022) and 558.4 million (69% of total investments) respectively As confirmation of the Group’s commitment to sustainability and creating value in the areas served, 2023 shared-value Ebitda, referring to business activities that respond to the objectives of the 2030 UN Global Agenda, rose to 776.0 million, up 16% from 670.3 million in 2022 and corresponding to 52% of overall Ebitda. This result is in line with the direction defined by the Business plan and the goal of reaching over 1 billion euro in 2027 (equivalent to 64% of total Ebitda), along a path that generates concrete benefits for the local areas and communities served, alongside the company’s own development. Shared-value investments also rose, amounting to 558.4 million in 2023, roughly 69% of total gross operating investments. Moreover, about 92% of the investments eligible for the Taxonomy are already aligned with the criteria of this European Regulation and thus contribute to environmental objectives including climate change mitigation, circular economy, water resource protection and pollution prevention. The Hera Group’s best practices in ESG factors led it to be confirmed, for the fourth consecutive year, as part of the Dow Jones Sustainability Index, World & Europe, one of the world’s most authoritative stock market indices for evaluating social responsibility, with the highest rating in the Environmental and Social areas for companies in the Multi & Water Utilities sector. Furthermore, Hera was confirmed as a European leader in terms of commitment and transparency in the fight against climate change, achieving the “A-” level in the assessment drawn up by CDP (formerly the Carbon Disclosure Project), the international non-profit organisation specialising in assessing the climate strategies and performance adopted by companies. Proposed dividend increases to 14 eurocents per share Consistently with what was announced last January when presenting the Business plan to 2027, and in consideration of the significant results achieved, the Board of Directors decided to propose to the Shareholders Meeting held on 30 April to pay a dividend coming to 14 eurocents per share, up 1.5 eurocents compared to the last dividend paid (+12%). This increase will be extended to the entire dividend policy for the period covered by the Plan, reaching 16 eurocents per share in 2027, with net earnings per share rising by an average of 7% per year. The ex-dividend date has been set for 24 June 2024, with payment as of 26 June 2024. The dividend will be paid to the shares recorded on 25 June 2024. Report on remuneration policy and compensation approved The Board of Directors also approved the Report on the remuneration policy and compensation paid, in line with international best practices. Gas Ebitda* for the gas area, which includes natural gas distribution and sales, district heating and energy services, amounted to 516.9 million euro at 31 December 2023, as against 585.1 million in 2022. The decrease in Ebitda for the gas area is linked both to reduced volumes, due to the mild weather seen in the first part of the year, and lower margins for storage and trading activities, as well as the opportunities arising in the energy services segment from incentives for energy efficiency in households (110% super-bonus and insulation bonus) and the increased customer base, partially due to the last resort market and Consip tenders awarded. In particular, Hera Comm was awarded 8 of the 9 lots of the last resort gas service in 16 regions for the period from 1 October 2023 to 30 September 2025, all 9 lots of the gas default service tender and 3 lots of the Consip tender for supplying natural gas to public administrations in 2023-2024. The overall number of gas customers increased to 2.1 million (+1.3%). In 2023, net investments came to 190.9 million euro (+22.4% compared to 2022), mainly going to distribution, involving nonrecurring maintenance and development of networks and plants, smart gas meter commissioning, including the innovative NexMeter patented by Hera, initiatives related to acquiring new customers, district heating and energy services, with the activities of the company Hera Servizi Energia, and work on networks and plants. In the Udine area, 2023 saw the start of the gas distribution service for the 18 municipalities included in the ATEM Udine 2, following the tender awarded to AcegasApsAmga in late 2021. The new service contract includes over 90 thousand users, distributed along a network coming to over 1,200 km. At the end of the year, the second phase of experimentation, involving the first trials of this kind in Italy, was completed in Castelfranco Emilia, near Modena, on the use of a mixture of methane and hydrogen (2%), in a municipal gas distribution network. This asset readiness test on the network is part of Hera’s strategy to promote green gas, in line with EU indications, and allowed it to include gas distribution among the eligible activities for the European Taxonomy. The two Hydrogen Valleys under construction, in Modena and Trieste, which will produce about 800 tonnes per year of green hydrogen, will be home to photovoltaic parks to power the electrolysers, contributing to the decarbonisation of the industrial and local public transport sectors and, more generally, local areas in question, while at the same time redeveloping disused areas. The plants will be completed by 2026, partially thanks to NRRP contributions. The development of a supply chain for this renewable energy vector will therefore have significant and positive environmental, social and economic consequences. The gas area accounted for 34.6% of Group Ebitda. Electricity The electricity area, which mainly includes services in electricity distribution and sales, saw a sharp rise in Ebitda, which came to 309.2 million euro, as against 71.6 million in 2022. This was mainly due to sales activities, that benefitted from lower modulation charges compared to 2022 and a significant increase in the customer base, in both traditional and safeguarded markets. Value-added services were up, with increased earnings coming to approximately 3 million euro, partially thanks to the entry of the company F.lli Franchini within the Group’s scope of operations, in a partnership that brought new technical skills to Hera and expanded its portfolio of solutions for business customers, further strengthening its presence in the Italian energy market. One of the M&As aimed at supporting decarbonisation and electrification of consumption in the communities served was the aforementioned acquisition of the company Tiepolo for the construction of a photovoltaic solar park in Bondeno in Ferrara province. In addition, 4 lots of the Consip electricity tender for supplying electricity to public administrations in 2023 were awarded, in Rome, Campania, Calabria and the Italy lot; 3 lots of the gradual protected service for supplying electricity to SMEs for the period from 1 July 2021 to 30 June 2024, in 9 regions; 2 lots of the safeguarded service for 2023 and 2024, in 4 regions; 1 lot of the gradual protected service for supplying electricity to micro-businesses from 1 April 2023 to 31 March 2027, in 2 regions and 3 provinces in the North-East Italy. Electricity customers rose above 1.7 million (+19.2%), with growth occurring especially on the free market, thanks to reinforced commercial actions. Customer appreciation and loyalty was also confirmed, thanks to the value-added services offered by the Group. In particular, the market positioning strategy pursued by the Group led it to capitalise on the success achieved in all tenders in last resort services (both gas and electricity), supporting strong growth in results and laying the foundations for further market development. In the electricity area, gross and net investments amounted to 124.5 million, up 59% compared to the previous year. The interventions carried out mainly concerned nonrecurring maintenance on plants and distribution networks in the Modena, Imola, Trieste and Gorizia areas; a large-scale meter replacement and improvements in network resilience. Requests for new connections also increased slightly compared to the previous year. The electricity area accounted for 20.7% of Group Ebitda. Water cycle Ebitda for the integrated water cycle area, which includes aqueduct, purification, and sewerage services, amounted to 271.4 million euro, up from 261.9 million in the previous year, fully offsetting the increase in network and plant operating costs due to the rise in prices for materials and services. In addition, the Group was able to more than compensate for the considerable effect of inflation on costs, which was only recognised in tariffs as of 1 January 2024. Also note ARERA’s recognition of the significant investments, state-of-the-art plants and use of the best technologies for an efficient management of the water cycle in the areas served, in line with the Group’s sustainability and circular economy strategies. In particular, the Hera Group was awarded first and third place in the overall ranking of Italian utilities, proving the very high-quality standards adopted in managing this service. Including capital grants, investments amounted to 228.2 million euro (+9.7%), mainly going to extensions, reclamations and upgrading on networks and plants, as well as regulatory adjustments mainly in the purification and sewerage areas. The main interventions concerned the aqueduct, with ongoing reclamation activities on networks and connections, as well as major nonrecurring maintenance and restoration work following the flood emergency in May 2023. Considerable maintenance work continued on the intake from the Setta river, serving the Sasso Marconi drinking water treatment plant near Bologna, as well as upgrading on water networks in other areas served and a large-scale meter replacement. Furthermore, development began on the project for the new Castel Bolognese supply system in Ravenna province, and on the significant reclamation of a water adduction pipeline from Pontelagoscuro to Ferrara. In the sewerage sector, work continued on the Rimini seawater protection plan, one of the largest state-of-the-art works in Italy of its kind, and in network redevelopment and drain upgrading in other regions. In purification, note the construction of the new power-to-gas plant at the IDAR purifier in Bologna, as well as the expansion of the San Giovanni in Persiceto plant near Bologna, and ongoing revamping of the Gramicia purification plant in Ferrara. 2023 was also an important year for the consolidation of relations between the networks of the Friuli-Venezia Giulia and Veneto integrated water system managers, in order to improve the resilience of these systems, and projects financed by the NRRP, among others, were launched. Also note the interventions in the area of climate change to prevent flooding in both Trieste, with interventions on streams, and Padua, with nonrecurring cleaning and connections for new sewerage networks. The integrated water cycle area accounted for 18.2% of Group Ebitda. Waste Ebitda for the waste management area, which includes waste collection, treatment and disposal services, rose to 353.4 million euro, up 4.6% from 338 million in 2022, mainly due to the good performance of the waste treatment area, whose Ebitda came to 294.4 million, up 16.9 million, while Ebitda for environmental services involving collection and sweeping amounted to 59.0 million. The contribution from changes in the scope of consolidation due to recent acquisitions, the excellent performance of energy management and the higher volumes treated offset the increased costs due to inflation, the closure of the Ca’ Lucio landfill in the Marche region and the negative trend in the recovery market. In special waste treatment, the results of subsidiary ACR, which recently entered the Group’s scope of operations, were particularly noteworthy, creating approximately 4 million euro in synergies thanks to its full integration into the Group’s activities. The Hera Group is Italy’s leading operator in the waste management sector and operates in the complete waste cycle with approximately one hundred municipal and special waste treatment and plastic regeneration plants. The care and attention Hera gives to its set of plants has always set it apart, including ongoing efforts to equip plants with the best available technologies and achieve growth in this sector, favoured by regional expansion and its solid management and commercial policies. In 2023 as well, the main lines of development characterising the evolution of the Group’s activities were confirmed, transforming waste into resources with a view to the circular economy. One example of this is the new plant that became fully operational in 2023 in Spilamberto, in Modena area, born from the partnership between Herambiente and Inalca by converting an old biodigester into a state-of-the-art plant to transform organic waste and agrifood waste into 100% renewable methane and compost, making a concrete contribution to decarbonisation. Its annual production of about 3.7 million cm of biomethane will avoid the use of fossil fuels amounting to roughly 3,000 TOE (tonnes of oil equivalent) and 7,000 tonnes of CO2 emissions into the atmosphere. Protecting environmental resources was therefore confirmed as a priority objective, as was their maximal reuse. This is also proven by the special attention dedicated to increasing sorted waste collection, which, thanks to the strong commitment that the Group has made in all areas served, rose to 72.2%, up 4.4% compared to 67.8% seen in 2022. Gross investments in the waste management sector amounted to 150.8 million euro, mainly involving maintenance and expansion of the set of plants. This includes, for example, in addition to the previously mentioned new plant built in Spilamberto, the revamping on the Trieste waste-to-energy plant and the Ravenna F3 plant, as well as preparatory work for constructing Aliplast’s innovative rigid plastics regeneration plant in Modena. The waste management area accounted for 23.6% of Group Ebitda. Special items and operational adjustments / balance sheet reconciliation IFRS financial statements Income statement Statement of financial position 20240326 Press release Hera FY23 results.pdf 12:47:00 img_BE2023_110x150V2.jpg

2022-05-18 Strong interest shown by international investors for the third “green bond” which will finance the sustainability projects of the multiutility in the areas of integrated water cycle, circular economy and pollution prevention and control, and energy efficiency and energy infrastructure”. Subscriptions have reached 3.4 times the amount offered. Hera, first company in Italy to issue a "green" debt instrument in 2014, has successfully launched, in the context of its Euro Medium Term Note Programme (EMTN), its third “green bond” reconfirming itself as a reference player for sustainable finance, also at an international level. After the publication yesterday of its new Green Financing Framework (GFF), certified by an independent advisor and already in line with the EU Taxonomy, with this issue Hera gave to the market the chance to invest in the activities of the Group, in line with the EU Taxonomy. The characteristics of the new green bond and the projects financed The third green bond issued by the Hera Group (Moody’s rating Baa2 with stable Outlook and Standard & Poor’s rating BBB+ with stable Outlook), amounts to 500 million euro overall, repayable in 7 years with a 2.5% coupon and a 2.639% return. The issue date for the new green bond is expected to be May 25. The new green bond is represented by senior, non-convertible and unsecured/not guaranteed notes, reserved to qualified investors. It is also expected that the new green bond will be assigned a rating in line with Hera’s one. The strong demand, equal to 3.4 times the amount offered, and the quality of the orders received have allowed the price to be fixed at a very interesting level. The transaction has seen significant participation from international investors (in particular, Great Britain, France and Germany), most of whom investing in green and sustainable products. The bond is expected to be listed, since the issue date, on Euronext Dublin and, at the same date or thereafter, on the Luxembourg Stock Exchange's regulated markets and on Borsa Italiana's ExtraMOT PRO. The funds will be used to finance or refinance numerous projects, already implemented or included in the Business plan to 2025, selected on the basis of the provisions of the Green Financing Framework (GFF), that pursue one or more of the goals in the UN's 2030 Agenda or Sustainable Development Goals (SDGs). These projects have been subdivided into 3 areas: integrated water cycle (aligned with SDGs No. 6, 13 and 14): waste water management projects, sewerage and water infrastructures furthering resilience and adaptation to climate change; circular economy and pollution prevention and control (meeting SDGs No. 11, 12 and 13): innovative projects in plastics manufacturing, biogas and biofuel production for the use in transportation, the waste collection systems, anaerobic digestion and the compost of organic waste, and vehicle fleets for environmental services; energy efficiency and infrastructures (consistently with SDGs No. 7, 11 and 13): from energy production through photovoltaic systems and geothermic, to district heating networks, from installing devices and equipments for energy performance regulation and control, to renewable energy technologies, from hydrogen introduction networks to power transmission and distribution networks. In order to guarantee that the funds are correctly and transparently allocated, Hera has introduced a monitoring and reporting process. The amount actually dedicated to each intervention will be published in the Group's 2022 Sustainability Report, along with data concerning the environmental performances reached. Hera's partners in the transaction The Hera green bond issue was coordinated by BNP Paribas, Credit Agricole CIB, Mediobanca and UniCredit as Joint Bookrunners; BBVA, Intesa Sanpaolo and Banco Santander as Bookrunner. The law firm Legance provided Hera with assistance, while the law firm Linklaters assisted the Bookrunners. Sustainalytics, that examined Hera’s Green Financing Framework (GFF) and issued a “second party opinion”, is one of the world's leading rating firms in the field of responsible and ESG investments, it has branches in 17 Countries and over 500 international consultants. 20220518 New Green bond Hera final.pdf 17:47:00 See the press release Nuova_Palazzina_110x150.1533218221.jpg