Corporate Credit Rating 2025 for TREMAGI SRL: B1+ (Affirm)

modefinance published the Solicited Corporate Credit Rating of TREMAGI S.R.L. on the website and the rating assigned to the entity is B1+ (Affirm). The analysis revealed that the company has an adequate economic-financial situation with average capability of repaying financial obligations and it is little affected by adverse economic scenarios.

TREMAGI S.R.L. is a key player in the predominantly Italian energy market. As of December 2024, it served approximately 743,000 electricity delivery points ("PODs") and 118,000 gas delivery points ("PDRs"), primarily residential (85%), with smaller shares made up of multi-family buildings (9%) and business clients (7%). The customer base expanded significantly following the awarding to ILLUMIA S.p.A. of three territorial areas (North 3, Center 2, and South 1), which led to the activation of around 500,000 non-vulnerable residential customers under the Gradual Protection Scheme (STG) as of July 1, 2024. Within its core business, the Group is currently developing several photovoltaic plants, aiming to add 100 MWh of capacity over the next five years. Lastly, it is also active in the real estate sector (as a secondary business).

TREMAGI S.R.L. (hereinafter, the “Parent Company” or the “TREMAGI Group”) reports an adequate consolidated economic and financial position. Solvency remains satisfactory, with a balanced ratio between equity and third-party capital, while financial exposure is increasing due to investments but remains sustainable. From a balance sheet perspective, there is a sound equilibrium between sources and uses of funds, and profitability indicators remain at adequate levels, although they show a slight decline due to the acquisition of customers under the Gradual Protection Scheme (GPT).

In 2024, operating cash flow — partially abosorbed by increased working capital requirements — was not sufficient to fully cover the investments made. These comprised financial investments (such as the purchase of securities and support for real estate business) as well as strategic investments related to the acquisition of GPT customers. To meet these needs, the Group secured new funding, drawing only marginally on its available liquidity, which nonetheless remains at adequate levels. The Company’s management of credit lines appears sound, with no signs of financial stress.

The TREMAGI Group has a complex corporate structure, with the holding company TREMAGI Srl owning stakes in several companies operating in electricity and gas trading in Italy (ILLUMIA SpA — the Group’s main subsidiary — EnergyUp, and Wekiwi Srl), as well as abroad through its subsidiaries Wekiwi Sas in France and Wekiwi SL in Spain.

Since the energy crisis, the Group has reduced both its business segment—20% of delivery points in 2022—and the share of fixed-price customers, now accounting for less than 5% of annual volumes. This exposure is mainly hedged through SWAP and future contracts, which are also used to optimize daily coverage.

TREMAGI Srl is entirely owned by entrepreneur Francesco Maria Bernardi, who also serves as its Sole Director. His management is overseen by a board of statutory auditors. PWC SpA is responsible for auditing the Group’s consolidated financial statements, as well as the stand-alone financial statements of the parent company, ILLUMIA SpA, and EnergyUp.

The Group ranks in the 92nd percentile of its peer group by size, with annual revenue growth of 21%, mainly driven by increased electricity volumes following the award of GPT lots. In terms of solvency, its profile is adeguate and in line with the sector median, while profitability remains at acceptable levels, albeit below the median. Overall, the peer group demonstrates sound financial health, with steadily improving profitability; the median ROE reached appropriate levels in 2024.

In 2024, energy prices in Italy stabilized due to the expansion of renewable sources, reduced consumption, and favorable weather conditions. However, prices remain above pre-crisis levels due to the impact of fossil fuels. Renewable sources accounted for approximately 50% of electricity generation and are expected be supported in the future by new investments by Terna and the launch of MACSE to incentivize storage systems. At the European level, LNG accounted for 38% of gas imports, effectively offsetting the decline in Russian supplies. As of the end of April 2025, gas storage stood at 47%, with 90% of capacity already allocated for the 2025/26 season, thus ensuring energy security.

In the first quarter of 2025, the Italian economy posted moderate growth, supported by household consumption, underpinned by a stable labor market and rising real incomes. Investments remained weak, constrained by underutilized production capacity and tight financial conditions. Growth was driven by the services sector and construction projects linked to the NRRP, while manufacturing showed signs of recovery, though it remains vulnerable to rising tariffs and geopolitical uncertainty. The Bank of Italy forecasts GDP growth of 0.6% in 2025, followed by 0.8% in 2026 and 0.7% in 2027.

The present Corporate Credit rating is issued by modefinance under EU Regulation 1060/2009 and following amendments.

The present rating is solicited and is based on both private and public information. The rated entity and/or related third parties have provided all private information used. Modefinance had access to some accounts and other relevant internal documents of the rated entity and/or related third parties. Solicited and unsolicited ratings issued by modefinance are of comparable quality, as the solicitation status has no effect on methodologies used. More comprehensive information on modefinance Corporate Credit Ratings are available at http://cra.modefinance.com/en

The present Corporate Credit Rating is issued on MORE Methodology 2.0 and Rating Methodology 1.0. A comprehensive description of both methodologies, as well as information on Modefinance Rating Scale and Mappings, is available at http://cra.modefinance.com/en/methodologies.

For information on historical default rates of modefinance Corporate Credit Ratings please refer to ESMA Central Repository and ESMA European Rating Platform.

modefinance refers to default as a company under bankruptcy, or under liquidation status, or under administration or for which missed payments on a financial obligation are officially recorded.

The quality of the information available on the rated entity and used to determine the present rating was judged by modefinance as satisfactory. Please note that modefinance does not perform any audit activity and is not in a position to guarantee the accuracy of any information used and/or reported in the present document. As such, modefinance can accept no liability whatsoever for actions taken based on any information that may subsequently prove to be incorrect.

The present credit rating was notified to the rated entity in order to identify potential factual errors, as prescribed by the CRA Regulation.

No amendments were applied after the notification process.

The rated entity is not a buyer of ancillary services provided by modefinance.

The rating action issued by modefinance was performed independently. The analysts, members of the rating team involved in the process, modefinance Srl and its members and shareholders do not have any conflicts of interest in relation to the Rated Entity and/or Related Third Parties. If in the future a potential conflict of interest is identified in relation to the persons reported above, modefinance Ratings will provide the appropriate information and if necessary the rating will be withdrawn.

The present Credit Rating is an opinion of the general creditworthiness that modefinance issues on the rated entity, and should be relied upon to a limited degree. The issued rating is subject to an ongoing monitoring until withdrawal.

Head Analyst - Carmela Santomarco, Rating Analyst
carmela.santomarco@modefinance.com

Responsible for Rating Approval - Pinar Dilek, Rating Process Manager
pinar.dilek@modefinance.com