Brembo

Quarterly Report • Nov 9, 2022

CONTENTS

Company Officers	3
Summary of Group Results	5
CONSOLIDATED FINANCIAL STATEMENTS
Consolidated Statement of Financial Position	8
Consolidated Statement of Income	9
Consolidated Statement of Comprehensive Income	9
Consolidated Statement of Cash Flows	10
Consolidated Net Financial Debt	10
Consolidated Statement of Changes in Equity	11
EXPLANATORY NOTES TO THE FINANCIAL STATEMENTS
Accounting Standards and Basis of Preparation	12
Consolidation Area	12
Notes on the Most Significant Changes in Items of the Consolidated Financial Statements	13
Sales Breakdown by Geographical Area and Application	15
Foreseeable Evolution	16
DIRECTORS' REPORT ON OPERATIONS AND SIGNIFICANT EVENTS
Macroeconomic Context	17
Currency Markets	19
Operating Structure and Reference Markets	21
Impacts of the Covid-19 pandemic on the Interim Report at 30 September 2022	23
Russia-Ukraine Conflict	23
Significant Events During the Reporting Period	24
Opt-out from the Obligations to Publish Disclosure Documents	24

Buy-back and Sale of Own Shares 24 Significant Events After 30 September 2022 25

ATTESTATION OF THE MANAGER IN CHARGE OF THE COMPANY'S

FINANCIAL REPORTS 26

Company Officers

Chairman Emeritus (1)
Chairman Emeritus	Alberto Bombassei
Board of Directors (2)
Executive Chairman	Matteo Tiraboschi
Chief Executive Officer	Daniele Schillaci
Directors	Valerio Battista (3) (8)
	Cristina Bombassei (4)
	Nicoletta Giadrossi (3) (5)
	Elisabetta Magistretti (3)
	Umberto Nicodano (6)
	Manuela Soffientini (3)
	Elizabeth M. Robinson (3)
	Gianfelice Rocca (3)
	Roberto Vavassori (7)
Board of Statutory Auditors (9)
Chairwoman	Raffaella Pagani (5)
Acting Auditors	Mario Tagliaferri
	Stefania Serina (10)
Alternate Auditors	Myriam Amato (5)
Independent Auditors	Deloitte & Touche S.p.A. (11)
Manager in Charge of
the Company's Financial Reports	Andrea Pazzi (12)
Committees
Audit, Risk & Sustainability Committee (13)	Elisabetta Magistretti (Chairwoman)
	Nicoletta Giadrossi
	Manuela Soffientini
Remuneration & Appointments Committee	Nicoletta Giadrossi (Chairwoman)
	Elizabeth M. Robinson
	Manuela Soffientini
Supervisory Committee	Giovanni Canavotto (Chairman) (14)
	Elisabetta Magistretti
	Matteo Tradii (15)

• (1) Appointed for an indefinite period.
• (2) In office until the Shareholders' Meeting called to approve the Financial Statements for the year ending 31 December 2022.
• (3) Non-Executive and Independent Directors.
• (4) The Director also holds the position of Executive Director in charge of the Internal Control and Risk Management System, as well as of Chief CSR Officer.
• (5) Director/Statutory Auditor elected from a minority list.
• (6) Non-executive Director.
• (7) Executive Director.
• (8) This Director also holds the position of Lead Independent Director.
• (9) In office until the Shareholders' Meeting called to approve the Financial Statements for the year ending 31 December 2022. This Board holds the role of the Internal Control & Audit Committee pursuant to Article 19 of Legislative Decree No. 39/2010.
• (10) Alternate Auditor with effect from 29 April 2022, appointed following resignation of Acting Auditor P. Tagliavini, in compliance with the law and the By-laws.
• (11) Appointed by the Shareholders' Meeting of 22 April 2021 for the years from 2022 to 2030.
• 12) The appointment remains valid until the expiry of the current Board of Directors' term of office, i.e., until the General Shareholders' Meeting approving the Financial Statements for the year ending 31 December 2022.
• (13) This Committee also acts as the Related Party Transactions Committee.
• (14) External Advisor.
• (15) Chief Internal Audit Officer.

Brembo S.p.A.

Registered offices: CURNO (BG) – Via Brembo 25 Share capital: €34,727,914.00 – Bergamo Register of Companies Tax code and VAT Code No. 00222620163

Summary of Group Results

ECONOMIC RESULTS (euro million)	30.09.2018	30.09.2019	30.09.2020	30.09.2021		30.09.2022 % 2022/2021
Revenue from contract with customers	1,999.7	1,971.0	1,559.9	2,041.8	2,728.2	33.6%
Gross operating income	380.0	394.0	267.1	381.7	482.3	26.4%
% of revenue from contract with customer	19.0%	20.0%	17.1%	18.7%	17.7%
Net operating income	266.8	249.2	110.6	224.1	303.1	35.3%
% of revenue from contract with customer	13.3%	12.6%	7.1%	11.0%	11.1%
Result before taxes	256.4	237.1	92.5	223.5	312.4	39.8%
% of revenue from contract with customer	12.8%	12.0%	5.9%	10.9%	11.4%
Net result for the period	197.2	176.1	71.7	168.7	234.8	39.2%
% of revenue from contract with customer	9.9%	8.9%	4.6%	8.3%	8.6%

FINANCIAL RESULTS (euro million)	30.09.2018	30.09.2019	30.09.2020	30.09.2021		30.09.2022 % 2022/2021
Net invested capital	1,450.1	1,770.6	1,924.7	2,170.5	2,592.4	19.4%
Equity	1,182.3	1,330.9	1,394.8	1,665.3	1,943.6	16.7%
Net financial debt	240.7	414.5	505.7	483.3	630.7	30.5%
PERSONNEL AND INVESTMENTS
Personnel at end of period (No.)	10,595	10,516	10,869	11,539	12,897	11.8%
Turnover per employee (euro thousand)	188.7	187.4	143.5	176.9	211.5	19.6%
Net investments (euro million)	184.1	152.5	112.0	152.0	210.8	38.7%

MAIN RATIOS	30.09.2018	30.09.2019	30.09.2020	30.09.2021	30.09.2022
Net operating income/Revenue from contract with customers	13.3%	12.6%	7.1%	11.0%	11.1%
Result before taxes/Revenue from contract with customers	12.8%	12.0%	5.9%	10.9%	11.4%
Net investments/Revenue from contract with customers	9.2%	7.7%	7.2%	7.4%	7.7%
Net Financial debt/Equity	20.4%	31.1%	36.3%	29.0%	32.4%
Adjusted net interest expense(*)/Revenue from contract with customers	0.4%	0.6%	0.7%	0.4%	0.4%
Adjusted net interest expense(*)/Net operating income	2.7%	4.5%	9.3%	3.6%	3.2%
ROI	23.6%	18.5%	9.3%	13.6%	14.2%
ROE	22.6%	17.0%	9.2%	14.1%	14.5%

Notes:

ROI: Net operating income rolling 12 months/Net invested capital.

ROE: Result before minority interests rolling 12 months (net of Result from discontinued operations)/Equity.

(*) This item does not include exchange gains and losses.

Consolidated Financial Statements

Consolidated Statement of Financial Position

(euro thousand)	30.09.2022	31.12.2021	Change
ASSETS
NON-CURRENT ASSETS
Property, plant, equipment and other equipment	1,130,687	1,047,259	83,428
Right of use assets	224,779	227,474	(2,695)
Development costs	103,260	101,129	2,131
Goodwill and other indefinite useful life assets	128,570	118,775	9,795
Other intangible assets	75,531	77,415	(1,884)
Shareholding valued using the equity method	58,827	45,100	13,727
Other financial assets (including investments in other companies and	241,621	320,252	(78,631)
Receivables and other non-current assets	23,981	23,218	763
Deferred tax assets	67,414	71,649	(4,235)
TOTAL NON-CURRENT ASSETS	2,054,670	2,032,271	22,399
CURRENT ASSETS
Inventories	635,884	482,924	152,960
Trade receivables	752,000	468,222	283,778
Other receivables and current assets	129,650	136,162	(6,512)
Current financial assets and derivatives Cash and cash equivalents	34,150 286,783	5,592 557,463	28,558 (270,680)
TOTAL CURRENT ASSETS	1,838,467	1,650,363	188,104
ASSETS FROM DISCONTINUED OPERATIONS	467	655	(188)
TOTAL ASSETS	3,893,604	3,683,289	210,315
EQUITY AND LIABILITIES
GROUP EQUITY
Share capital	34,728	34,728	0
Other reserves	249,947	124,093	125,854
Retained earnings/(losses)	1,389,837	1,388,238	1,599
Net result for the period	234,820	215,537	19,283
TOTAL GROUP EQUITY	1,909,332	1,762,596	146,736
TOTAL MINORITY INTERESTS	34,272	33,524	748
TOTAL EQUITY	1,943,604	1,796,120	147,484
NON-CURRENT LIABILITIES
Non-current payables to banks	471,281	516,182	(44,901)
Long-term lease liabilities	199,330	202,340	(3,010)
Other non-current financial payables and derivatives	1,344	3,117	(1,773)
Other non-current liabilities	6,964	2,022	4,942
Non-current provisions	22,133	44,995	(22,862)
Provisions for employee benefits	18,551	23,992	(5,441)
Deferred tax liabilities	42,835	38,189	4,646
TOTAL NON-CURRENT LIABILITIES	762,438	830,837	(68,399)
CURRENT LIABILITIES
Current payables to banks	250,551	225,286	25,265
Short-term lease liabilities	25,770	24,236	1,534
Other current financial payables and derivatives	3,406	3,760	(354)
Trade payables	705,392	590,830	114,562
Tax payables	20,606	12,959	7,647
Current provisions	369	960	(591)
Other current liabilities	181,405	198,222	(16,817)
TOTAL CURRENT LIABILITIES	1,187,499	1,056,253	131,246
LIABILITIES FROM DISCONTINUED OPERATIONS	63	79	(16)
TOTAL LIABILITIES	1,950,000	1,887,169	62,831
TOTAL EQUITY AND LIABILITIES	3,893,604	3,683,289	210,315

Consolidated Statement of Income

(euro thousand)	30.09.2022	30.09.2021	Change	%
Revenue from contracts with customers	2,728,224	2,041,755	686,469	33.6%
Other revenues and income	19,271	17,592	1,679	9.5%
Costs for capitalised internal works	16,836	16,278	558	3.4%
Raw materials, consumables and goods	(1,317,672)	(944,106)	(373,566)	39.6%
Income (expenses) from non-financial investments	13,658	11,334	2,324	20.5%
Other operating costs	(526,326)	(384,605)	(141,721)	36.8%
Personnel expenses	(451,677)	(376,589)	(75,088)	19.9%
GROSS OPERATING INCOME	482,314	381,659	100,655	26.4%
% of revenue from contracts with customer	17.7%	18.7%
Depreciation, amortisation and impairment losses	(179,200)	(157,578)	(21,622)	13.7%
NET OPERATING INCOME	303,114	224,081	79,033	35.3%
% of revenue from contracts with customer	11.1%	11.0%
Net interest income (expense)	1,424	(4,534)	5,958	-131.4%
Interest income (expense) from investments	7,835	3,973	3,862	97.2%
RESULT BEFORE TAXES	312,373	223,520	88,853	39.8%
% of revenue from contracts with customer	11.4%	10.9%
Taxes	(76,744)	(54,640)	(22,104)	40.5%
Result from discontinued operations	(277)	(120)	(157)	130.8%
RESULT BEFORE MINORITY INTERESTS	235,352	168,760	66,592	39.5%
% of revenue from contracts with customer	8.6%	8.3%
Minority interests	(532)	(107)	(425)	397.2%
NET RESULT FOR THE PERIOD	234,820	168,653	66,167	39.2%
% of revenue from contracts with customer	8.6%	8.3%
BASIC/DILUTED EARNINGS PER SHARE (euro)	0.73	0.52

Consolidated Statement of Comprehensive Income

(euro thousand)	30.09.2022	30.09.2021	Change
RESULT BEFORE MINORITY INTERESTS	235,352	168,760	66,592
Other comprehensive income/(losses) that will not be subsequently
reclassified to income/(loss) for the period:
Effect of actuarial gain (loss) on defined-benefit plans	4,595	3,489	1,106
Tax effect	(1,118)	(745)	(373)
Fair value measurement of investments	(131,283)	30,910	(162,193)
Tax effect	1,318	(372)	1,690
Total other comprehensive income/(losses) that will not be subsequently
reclassified to income/(loss) for the period	(126,488)	33,282	(159,770)
Other comprehensive income/(losses) that will be subsequently reclassified to income/(loss) for the period:
Effect of hedge accounting (cash flow hedge) of derivatives	80,262	19,311	60,951
Tax effect	(6,588)	(816)	(5,772)
Change in translation adjustment reserve	53,196	35,636	17,560
Total other comprehensive income/(losses) that will be subsequently
reclassified to income/(loss) for the period	126,870	54,131	72,739
COMPREHENSIVE RESULT FOR THE PERIOD	235,734	256,173	(20,439)
Of which attributable to:
– Minority Interests	1,548	1,874	(326)
– the Group	234,186	254,299	(20,113)

Consolidated Statement of Cash Flows

(euro thousand)	30.09.2022	30.09.2021
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD	471,948	445,230
Result before taxes	312,373	223,520
Depreciation, amortisation/Impairment losses	179,200	157,578
Capital gains/losses	(589)	8
Income/expense from investments, net of dividends received	(13,727)	3,542
Financial portion of provisions for defined benefits and payables for personnel	369	299
Long-term provisions for employee benefits	2,360	2,015
Other provisions net of utilisations	755	8,543
Result from discontinued operations	(277)	(120)
Cash flows generated by operating activities	480,464	395,385
Current taxes paid	(52,855)	(47,565)
Uses of long-term provisions for employee benefits	(4,054)	(3,187)
(Increase) reduction in current assets:
inventories	(168,474)	(95,904)
financial assets	(543)	(154)
trade receivables	(284,722)	(104,064)
receivables from others and other assets	(8,726)	(8,499)
Increase (reduction) in current liabilities:
trade payables	114,562	19,782
payables to others and other liabilities	(16,191)	9,555
Translation differences on current assets	17,177	5,349
Net cash flows from/(for) operating activities	76,638	170,698
Investments in:
property, plant and equipment	(178,315)	(120,710)
right of use assets	(9,830)	(11,867)
intangible assets	(23,739)	(22,477)
financial assets (shareholdings)	(561)	(128)
Price for disposal or reimbursement value of fixed assets	1,661	3,052
Amounts (paid)/received for the acquisition/disposal of subsidiaries, net of the associated cash and cash equivalents	(3,395)	(30,414)
Net cash flows from/(for) investing activities	(214,179)	(182,544)
Dividends paid in the period	(87,035)	(70,870)
Dividends paid to minority shareholders in the period	(800)	(640)
Change in fair value of derivatives	294	2,316
New lease agreements	9,836	11,195
Reimbursement of lease liabilities	(23,038)	(21,471)
Loans and financing granted by banks and other financial institutions in the period	305	1,089
Repayment of long-term loans and other financing	(126,918)	(63,673)
Net cash flows from/(for) financing activities	(227,356)	(142,054)
Total cash flows	(364,897)	(153,900)
Translation differences on cash and cash equivalents	(7,097)	1,829
CASH AND CASH EQUIVALENTS AT END OF THE PERIOD	99,954	293,159

Consolidated Net Financial Debt

	(euro thousand)	30.09.2022	31.12.2021
A	Cash	286,783	557,463
B	Cash equivalents	0	0
C	Other current financial assets	34,150	5,592
D	Liquidity (A + B + C)	320,933	563,055
E	Current financial debt (including debt instruments, but excluding current portion of	215,926	113,482
	non-current financial debt)
F	Current portion of non-current financial debt	63,722	139,771
G	Current financial debt (E + F)	279,648	253,253
H	Net current financial debt (G - D)	(41,285)	(309,802)
I	Non-current financial debt (excluding current portion and debt instruments)	671,955	721,639
J	Debt instruments	0	0
K	Non-current trade and other payables	0	0
L	Non-current financial debt (I + J + K)	671,955	721,639
	M Total financial debt (H + L)	630,670	411,837

Consolidated Statement of Changes in Equity

		Share Capital Other Reserves	Retained earnings (losses)	Net result for the period	Group Equity	Equity of Minority Interests	Equity
(euro thousand)
Balance at 1 January 2021	34,728	37,428	1,241,370	136,533	1,450,059	30,982	1,481,041
Allocation of profit for the previous year			65,278	(65,278)	0	0	0
Payment of dividends				(71,255)	(71,255)	(640)	(71,895)
Other changes			(12)		(12)	0	(12)
Components of comprehensive income:
Effect of actuarial income/(loss) on defined benefit plans			2,744		2,744	0	2,744
			30,538		30,538	0	30,538
		18,495			18,495	0	18,495
Change in translation adjustment reserve		33,869			33,869	1,767	35,636
Net result for the period				168,653	168,653	107	168,760
Balance at 30 September 2021	34,728	89,792	1,339,918	168,653	1,633,091	32,216	1,665,307
Balance at 1 January 2022	34,728	124,093	1,388,238	215,537	1,762,596	33,524	1,796,120
Allocation of profit for the previous year			128,087	(128,087)	0	0	0
Payment of dividends				(87,450)	(87,450)	(800)	(88,250)
Components of comprehensive income:
Effect of actuarial income/(loss) on defined benefit plans			3,477		3,477	0	3,477
Fair value measurement of investments			(129,965)		(129,965)	0	(129,965)
Effect of hedge accounting (cash flow hedge) of derivatives		73,674			73,674	0	73,674
Change in translation adjustment reserve		52,180			52,180	1,016	53,196
Net result for the period				234,820	234,820	532	235,352
Balance at 30 September 2022	34,728	249,947	1,389,837	234,820	1,909,332	34,272	1,943,604

Explanatory Notes to the Financial Statements

Accounting Standards and Basis of Preparation

The Interim Report at 30 September 2022, which includes the Consolidated Statement of Financial Position, the Consolidated Statement of Income, the Consolidated Statement of Comprehensive Income, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity and brief related Explanatory Notes, has been prepared in compliance with recognition and measurement criteria provided for by the IFRS endorsed by the European Union, and has been voluntarily made available to the public. Please refer to the Company's website (http://www.brembo.com/en/investors/calendar) for information about the content, timing and methods of additional periodic financial disclosures.

Reference is made to the 2021 Financial Statements for the relevant international accounting standards and criteria adopted by the Group when preparing the above-mentioned Financial Statements. The preparation of the Interim Report requires management to make estimates and assumptions that have an effect on the amounts of recognised revenues, costs, assets and liabilities, and the disclosure of contingent assets and liabilities as of the reporting date. Should in the future such estimates and assumptions, which are based upon the management's best assessment, diverge from actual circumstances, they will be modified accordingly during the period in which such circumstances change.

It should also be noted that certain measurement processes, particularly the most complex ones such as the determination of any impairment for non-current assets, are typically carried out in full only during preparation of the Annual Financial Statements, when all necessary information is available, unless impairment indicators require immediate analysis. Actuarial valuations necessary to determine employee benefits are typically performed during preparation of the Annual Financial Statements. This Interim Report has not been audited.

Consolidation Area

The Financial Statements at 30 September 2022 include the Financial Statements of the Parent Brembo S.p.A., and the Financial Statements of the companies that Brembo S.p.A. controls as per IFRS 10. Compared to 30 September 2021, the following corporate transactions impacting the Group consolidation area were performed:

on 4 November 2021, Brembo completed the acquisition of a 100% stake in the J.Juan Group, a Spanish company specialising in the development and production of motorbike braking systems. Founded in 1965, J.Juan is based in Gavà (Barcelona) and has three plants in Spain and one in China, manufacturing especially brake hoses, a strategic component for the braking system's safety that will complement the current range of Brembo products for motorbikes. The acquisition of J.Juan enables the Group to complete its range of solutions for the motorbike braking system and to expand its brand family for the growing motorbike sector. The total outlay for the transaction was €76.4 million, paid using available liquidity.

Notes on the Most Significant Changes in Items of the Consolidated Financial Statements

The Group's net sales in the first nine months of 2022 amounted to €2,728,224 thousand, with a 33.6% increase compared to the first nine months of 2021. On a like-for-like consolidation basis — thus excluding the contribution of the J.Juan Group from the results for 2022 — Group's sales grew by 29.8%.

The car applications sector, which accounted for 72.4% of the Group's sales, closed the first nine months of 2022 with a +33.3% increase compared to the same period of the previous year. Similarly, all other applications recorded a positive trend: applications for commercial vehicles closed at +20.4%, motorbike applications at +49.9% (+17.5% on a like-for-like consolidation basis), and racing applications at +28.3%.

At geographical level, and with specific reference to Europe, Germany rose by 35.2% compared to the first nine months of 2021. The other European countries also reported positive results, with Italy up by 14.1%, France by 17.8% and the United Kingdom by 0.6%. Sales rose by 53.0% in North America and by 60.4% in South America. In the Far East, China grew by 36.1% and India by 44.7%, whereas Japan showed a 12.3% decrease.

At 30 September 2022, the cost of sales and other net operating costs amounted to €1,807,891 thousand, with a 66.3% ratio to sales, up compared to 63.4% for the same period of the previous year. Within this item, costs for capitalised internal works amounted to €16,836 thousand compared to €16,278 thousand for the same period of 2021.

Income (expense) from non-financial investments totalled €13,658 thousand (€11,334 thousand in 2021) and was attributable to the effects of valuing the investment in the BSCCB Group using the equity method.

Personnel expenses amounted to €451,677 thousand, with a 16.6% ratio to sales, decreasing compared to the same period of the previous year (18.4%). At 30 September 2022, workforce numbered 12,897 (12,225 at 31 December 2021 and 11,539 at 30 September 2021).

Gross operating income was €482,314 thousand (17.7% of sales) compared to €381,659 thousand in 2021 (18.7% of sales).

Net operating income amounted to €303,114 thousand (11.1% of sales) compared to €224,081 thousand in 2021 (11.0% of sales), after depreciation, amortisation and impairment losses of property, plant and equipment and intangible assets of €179,200 thousand, compared to depreciation, amortisation and impairment losses amounting to €157,578 thousand for the same period of 2021.

Net interest income amounted to €1,424 thousand (expense of €4,534 thousand in 2021) and consisted of net exchange gains of €10,994 thousand (€3,421 thousand in 2021) and interest expense of €9,570 thousand (€7,955 thousand for the same period of the previous year).

Net interest income from investments, which amounted to €7,835 thousand (€3,973 thousand in 2021), was attributable to the effects of valuing investments in associates using the equity method and dividends received by investees not included in the consolidation area.

Result before taxes was positive at €312,373 thousand (11.4% of sales) compared to €223,520 thousand (10.9% of sales) in 2021. Based on tax rates applicable for the year under current tax regulations, estimated taxation amounted to €76,744 thousand (€54,640 thousand in 2021). Tax rate was 24.6% compared to 24.4% for the first nine months of 2021.

The result from discontinued operations, negative for €277 thousand, was attributable to the contribution of the company Brembo Argentina S.A. in dissolution and winding up procedure, reclassified to this item following the Group's decision, taken in 2019, to discontinue its industrial operations at the Buenos Aires plant.

The Group's net result at 30 September 2022 amounted to €234,820 thousand (8.6% of sales) compared to €168,653 thousand in 2021 (8.3% of sales).

Net Invested Capital at the end of the period amounted to €2,592,358 thousand, up by €361,064 thousand compared to €2,231,294 thousand at 31 December 2021.

Net financial debt at 30 September 2022 was €630,670 thousand compared to €411,837 thousand at 31 December 2021. The €218,833 thousand increase for the period was mainly attributable to the combined effect of the following factors:

• the positive effect of gross operating income of €482,314 thousand, with a €318,600 thousand decrease in working capital;
• net investments totalling €210,812 thousand, of which €17,144 thousand (8.1%) for development costs; they were focused in Italy (24.4%), North America (33.2%), China (16.5%) and the Czech Republic (14.5%);
• payment of taxes totalling €52,855 thousand;
• the Parent's payment of the approved dividends in the amount of €87,035 thousand;
• dividends received by the investees not included in the consolidation area amounting to €7,692 thousand.

Sales Breakdown by Geographical Area and Application

The following tables show net sales at 30 September 2022, broken down by geographical area and application.

(euro thousand)	30.09.2022	%	30.09.2021	%	Change	%
GEOGRAPHICAL AREA
Italy	271,018	9.9%	237,615	11.7%	33,403	14.1%
Germany	506,375	18.6%	374,436	18.3%	131,939	35.2%
France	85,705	3.1%	72,733	3.6%	12,972	17.8%
United Kingdom	135,753	5.0%	134,880	6.6%	873	0.6%
Other European countries	333,448	12.2%	256,725	12.6%	76,723	29.9%
India	96,779	3.5%	66,866	3.3%	29,913	44.7%
China	417,410	15.3%	306,676	15.0%	110,734	36.1%
Japan	18,314	0.7%	20,881	1.0%	(2,567)	-12.3%
Other Asian Countries	40,833	1.5%	33,721	1.7%	7,112	21.1%
South America (Argentina and Brazil)	47,177	1.7%	29,420	1.4%	17,757	60.4%
North America (USA, Mexico & Canada)	754,045	27.7%	492,752	24.1%	261,293	53.0%
Other Countries	21,367	0.8%	15,050	0.7%	6,317	42.0%
Total	2,728,224	100.0%	2,041,755	100.0%	686,469	33.6%
(euro thousand)	30.09.2022	%	30.09.2021	%	Change	%
APPLICATION
Passenger Car	1,974,216	72.3%	1,481,429	72.6%	492,787	33.3%
Motorbike	362,438	13.3%	241,714	11.8%	120,724	49.9%
Commercial Vehicle	266,225	9.8%	221,096	10.8%	45,129	20.4%
Racing	125,107	4.6%	97,507	4.8%	27,600	28.3%
Miscellaneous	238	0.0%	9	0.0%	229	2544.4%
Total	2,728,224	100.0%	2,041,755	100.0%	686,469	33.6%

RATIO TO SALES

Foreseeable Evolution

Our orders backlog for the coming months remains robust at global level. Barring extraordinary changes in the geopolitical situation and the macro-economic context, Brembo expects a 30% growth in revenues for FY 2022 compared to 2021 — an improvement on previous projections — and margins in line with the first nine months of 2022.

Directors' Report on Operations and Significant Events

Macroeconomic Context

To correctly assess Brembo's performance in the first nine months of 2022, it is essential to consider the world macroeconomic scenario, specifically for the markets in which the Group operates.

"Countering the Cost-of-Living Crisis" is the title of the October WEO (World Economic Outlook), the reference document analysing the evolution of global economy published by the IMF (International Monetary Fund). The global economy continues to face steep challenges, shaped by the lingering effects of three powerful forces: the Russian invasion of Ukraine, a cost-of-living crisis caused by persistent and broadening inflation pressures and the slowdown in China. Russia's invasion of Ukraine continues to powerfully destabilise the global economy, resulting in a severe energy crisis in Europe that is increasing costs of living and hampering economic activity. Gas prices in Europe have increased more than four-fold since 2021, with Russia cutting deliveries by 20% of their 2021 levels, raising the prospect of energy shortages over the next winter. The conflict has also pushed up food prices on world markets, and the ensuing inflation pressures have triggered a rapid and synchronised tightening of monetary conditions, alongside a powerful appreciation of the US dollar against most other currencies. Tighter global monetary and financial conditions will work their way through the economy, weighing demand down and helping to gradually subjugate inflation. For many emerging markets, the strength of the dollar is causing acute challenges, tightening financial conditions and increasing the cost of imported goods.

According to the data published in the WEO Report, slowdown in global growth is forecast from 6.0% in 2021 to 3.2% in 2022 and 2.7% in 2023. The global slowdown in 2022 is as projected in the July 2022 WEO Update, while the forecast for 2023 is lower than projected by 0.2 percentage point. The world's three largest economies — China, the euro area, and the US — will slow significantly in 2022 and 2023, with downgrades compared with the predictions made in April and July due to several factors: tightening global financial conditions in most regions, associated with expectations of steeper interest rate hikes by major central banks to fight inflation; a sharper slowdown in China due to extended lockdowns and the worsening property market crisis; and spillover effects from the war in Ukraine with gas supplies from Russia to Europe tightening.

In the Eurozone, growth is projected at 3.1% in 2022 (compared to 2.6% forecast in July) and at 0.5% in 2023, according to the estimates published by the IMF. In detail, Spain is expected to report the most remarkable growth (4.3%) followed by Italy (3.2%) and France (2.5%). Germany is expected to report worse performances, with GDP (gross domestic product) increasing by 1.5%, and thus less than the estimated European average for 2022. Despite the IMF's guarded optimism, according to S&P Global PMI data, the Eurozone's manufacturing sector declined further due to plummeting demand and worsening price pressures. The Eurozone's manufacturing PMI was revised downwards to 48.4 in September, down from 49.6 in August, marking a further exacerbation of operating conditions for euro area goods manufacturers. In the document, it is stated that demand for goods in the Eurozone decreased in September as high inflation and economic uncertainty are believed to have had a severe negative effect on customer spending. Business confidence then fell to its lowest level since May 2020, leading companies to further reduce purchasing in view of more adverse conditions. Commenting on the final Manufacturing PMI data, Chris Williamson, the Chief Business Economist at S&P Global Market Intelligence, said: "The ugly combination of a manufacturing sector in recession and rising inflationary pressures will add further to concerns about the outlook for the Eurozone economy. Excluding the initial pandemic lockdowns, Eurozone manufacturers have not seen a collapse of demand and production on this scale since the height of the global financial crisis in early-2009."

The IMF has revised its growth estimates for Italy in 2022 upwards. A recovery in tourism-related services and industrial production in the first half of 2022 contributed to projected growth of 3.2%, 0.2 percentage points higher than the July forecasts. Italian GDP performance is thus shaping up to be more favourable than expected this year: in the base scenario, the CSC (Confindustria Studies Centre) forecasts an annual increase of 3.4%, already more than reached mid-way through the year, corresponding to 1.5 percentage points higher than the scenario outlined in April. Although the Italian economy suffered the impact of the pandemic to a greater degree than the Eurozone average, the rebound in 2021 and the first half of 2022 allowed Italy to pull ahead of the other main European economies, compared to pre-pandemic levels. According to the CSC scenario, after a natural slowdown in the third quarter of 2022, production will decline between the fourth quarter of 2022 (-0.6%) and the first quarter of 2023 (-0.3%). In fact, on the one hand, the momentum associated with closing the gap which has now been bridged — with the pre-pandemic period has come to an end, while on the other, the negative effects of higher energy product prices will be seen in full. In the second quarter of 2023, GDP performance is expected to return to positive territory, although to a much modest degree (+0.2% at the quarterly average level).

In the US, the IMF forecasts a significant decrease on its July estimates, and the US economy is expected to stop at growth of 1.6% (-0.7 percentage points compared to the last forecasts). In the report published in October 2022, OECD economists forecast that growth will stand at 1.5% in 2022 and then at 0.5% in 2023, with inflation and rigid financial conditions holding back spending. Inflationary pressures, driven by strong demand, constraints on supply and higher commodities prices due to Russia's war of aggression against Ukraine may prove persistent, leading to further monetary tightening. In the United States, where inflation may have peaked and monetary policy began to be tightened earlier than in most of the other major advanced economies, more rapid progress is expected in bringing inflation back on target than in the euro area or the United Kingdom.

With regard to emerging economies, OECD forecasts that Brazil's GDP growth will slow significantly in 2022 to 0.6%, before rising to 1.2% in 2023, following on the robust recovery of 5% in 2021. The increase in inflation, the war in Ukraine and tighter financial conditions eroded economic sentiment and purchasing power, and this is expected to have a severe impact on domestic demand in the first half of 2022. The 2022 presidential elections are adding uncertainty, helping keep investments low until 2023. The recovery of the job market has been slow; the participation rate and real earned income remain below pre-pandemic levels.

Turning to Russia, the European Bank for Reconstruction and Development reduced its GDP forecasts for the country, which will record a 5% decline this year and a 3% decrease in 2023.

According to OECD estimates, after having recorded the sharpest recovery in GDP among G20 countries in 2021, the Indian economy is gradually losing momentum as inflationary expectations remain high due to the increase in global energy and food prices, normalising monetary policy and deteriorating global conditions. Real GDP is expected to increase by 6.9% in 2022 and by 6.2% in 2023, despite a recovery in business investments facilitated by the production incentive system.

In China, according to the IMF, economic growth will decline to 3.2% in 2022 (-0.1% compared to the July projections) and then increase to 4.4% in 2023 (-0.2% compared to the July projections). Amid increasing headwinds, growth will be driven by climate transition investments and the anticipation of infrastructure projects. Real-estate investments will remain weak due to constant defaults by developers and expectations of falling prices. Exports will remain relatively strong as companies keep increasing their market share. The adverse effects on confidence of frequent lockdowns, combined with inadequate social protection, will weigh down consumption, although China's large oil and grain reserves will mitigate the impact of the increase in global energy and food prices.

In its October WEO, the IMF also estimates the arithmetic average prices of the three qualities of crude oil —

18

Brent, Dubai and West Texas Intermediate (WTI) — at 98.19 dollars a barrel at the end of 2022 and 85.52 in 2023.

Currency Markets

In the first nine months of 2022, the US dollar began the period by depreciating slightly to over 1.1400. The currency then depreciated again, bringing the rate to the high for the period of 1.1464 on 4 February. Subsequently, it sharply reversed course, with a strong, decided appreciation, driving the rate to reach the low for the period of 0.9565 (28 September). At the end of the period, the dollar slightly depreciated, closing at 0.9748, below the average rate for the period (1.0650).

Turning to the currencies of the other major markets in which Brembo operates at the commercial and industrial level, the pound sterling opened the period with a fluctuating phase, to then sharply appreciate, reaching the low for the period of 0.8239 (4 March). It then abruptly reversed course, depreciating severely and constantly until the end of June, when it appreciated to below 0.8400, only to change direction again, reaching a high for the period at 0.9027 (28 September). It closed at 0.8830, above the average rate for the period (0.8469).

The Polish zloty began the year moving within a lateral channel of 4.50-4.60, to then appreciate slightly to 4.4921 on 10 February, the low for the period. It then reported a sharp and decided depreciation, which drove it to the rate of 4.9525 (7 March). Subsequently, the currency appreciated again until mid-March, falling below 4.7000. After a lateral phase, the currency appreciated again around the end of May, followed by depreciation to above 4.8000 in mid-July. At the end of the period, the zloty moved within a lateral channel and then closed the period depreciating at 4.8483, above the average rate for the period (4.6700).

The Czech koruna opened the reporting period slightly appreciating, reaching a low for the period of 24.1350 (3 February). The currency then depreciated sharply throughout February, culminating in the high for the period of 25.8660 (2 March). Subsequently, the koruna appreciated again, falling below 24.4000 towards the beginning of April. It then reported a fluctuating phase, to subsequently move within a lateral range of 24.70-24.40 and close at 24.5490, a value in line with the average rate for the period (24.6174).

The Swedish krona began the reporting period by appreciating slightly, followed immediately by sharp, decisive depreciation. Subsequently, the krona appreciated steadily until 20 April, when it reached its period low (10.2300). It then about-faced, depreciating sharply to above 10.8000 in early July. The krona went on to strongly appreciate, but then depreciated abruptly, reaching a high for the period of 10.9580 on 29 September. It closed at 10.8993, above the average rate for the period (10.5237).

The Danish kroner opened the period at around 7.4380 to then move within a lateral range of 7.4450-7.4370. In July, the currency depreciated sharply, reaching the high for the period of 7.4457 on 1 August. The currency then appreciated markedly, reaching the low for the period of 7.4364 on 5 September. It closed at 7.4365, in line with the average rate for the period (7.4400).

In the East, the Japanese yen began the reporting period at around 130, moved in a lateral channel and subsequently appreciated to the period low of 125.5500 on 7 March. The currency then reported a strong and decided depreciation, exceeding 143.0000 in mid-June. It went on to appreciate until the end of July, after which the yen entered a depreciation that brought it to 144.5000 (13 September), the high for the period, to close at 141.0100, above the average rate for the period (135.9321).

The Chinese yuan/renminbi opened the reporting period at above 7.20 and then depreciated in mid-January. It then appreciated falling under 7.10. Subsequently, the yuan depreciated again, driving the rate to the high for the period of 7.2923 (4 February). Starting in February, the currency appreciated sharply until mid-March, when it changed direction, depreciating until early June. The currency then appreciated sharply, reaching a low for the period of 6.7518 (12 July). The final part of the reporting period witnessed a depreciation, closing at 6.9368, below the average rate for the period (7.0210).

The Indian rupee opened the reporting period at above 84, to then witness an appreciation followed by a strong depreciation, which brought it to the period high of 85.9373 (10 February). Subsequently, the currency appreciated again sharply until the end of April, to then depreciate again. Starting in late June, the currency appreciated markedly, reaching a low for the period of 78.2655 (28 September) and closing at 79.4250, a value below the average rate for the period (82.3310).

In the Americas, the Brazilian real opened the reporting period at its high for the period of 6.4420 on 6 January. Subsequently, the currency showed a sharp and constant appreciation, reaching the low for the period of 5.0261 on 19 April. The currency then depreciated slightly, returning to over 5.4000, followed by further appreciation. In mid-June, it depreciated again, bringing the rate again above 5.5000. At the end of reporting period, the real appreciated, closing at 5.2584, below the average rate for the period (5.4677).

The Mexican peso opened the period at around 23.2000 and then moved into a lateral phase. In early February, it depreciated, driving the rate up to the high for the period of 23.5856 on 4 February. Subsequently, the currency showed a sharp, decided and constant appreciation, which brought it to the low for the period of 19.5294 on 28 September. It closed at 19.6393, below the average rate for the period (21.5785).

The Russian rouble opened the reporting period at around 84.5000, moving in a lateral phase until mid-February; subsequently, the currency depreciated sharply and decisively, reaching the period high of 145.9011 on 8 March. After a lateral phase, the currency appreciated equally sharply until reaching the low for the period of 54.5292 (29 September), and then closed at 55.3412, a value below the average rate for the period (78.2932).

Operating Structure and Reference Markets

In the first nine months of 2022, Brembo's consolidated net sales amounted to €2,728,224 thousand, up 33.6% compared to €2,041,755 thousand for the same period of 2021.

Information on the performance of the individual applications and their related markets — as available to the Company at the reporting date — is provided under the following headings.

Passenger Cars

In the first nine months of 2022, the global light vehicle market showed a 2.0% decrease in sales.

The Western European market (EU14+EFTA+ United Kingdom) closed the first nine months of 2022 with a -10.0% decrease in car registrations compared to the first nine months of 2021. All the main markets declined: -16.3% in Italy, -7.4% in Spain, -11.8% in France and -7.4% in Germany. The trend was also negative in Eastern Europe (EU12), with car registrations down by 6.3% compared to the first nine months of 2021.

In Russia, light vehicle registrations closed the first nine months of 2022 down by 59.6% compared to the same period of the previous year.

In the United States, the first nine months of 2022 showed a decline, with light vehicle sales decreasing by 12.9% overall, compared to the same period of 2021. The Brazilian and Argentine markets also closed the first nine months of the year with sales down by 3.7% overall.

In Asian markets, China closed the first nine months of 2022 with an increase in light vehicle sales of +8.2% compared to the first nine months of 2021. Japan instead closed the same period negatively, with a 10.1% decline in sales.

Within this scenario, Brembo's net sales of car applications at 30 September 2022 amounted to €1,974,216 thousand (72.3% of the Group's turnover), up by 33.3% compared to the first nine months of 2021.

Motorbikes

Europe, the United States and Japan are Brembo's three most important markets in the motorbike sector.

In Europe, the top motorbike markets in terms of registrations are: Italy, Germany, France, Spain and the United Kingdom. In the first nine months of 2022, sales of motorbikes and scooters in the five main European countries closed overall in line with the same period of the previous year, whereas they dropped by 7.0% when considering registrations of motorbikes and scooters with displacements over 500cc alone. In Italy, sales of motorbikes and scooters for the first nine months of 2022 declined by 3.6% compared to the same period of 2021.

In the United States, registrations of motorbikes, scooters and ATVs (All Terrain Vehicles, quadricycles for recreation and work) decreased by 7% in the first nine months of 2022 compared to the same period of 2021. ATVs alone dropped by 15.3%, whereas motorbikes and scooter declined by 3.9% overall.

In the first nine months of 2022, the Japanese market showed a 120% decline, considering displacements over 50cc overall.

The Indian market (motorbikes and scooters) increased by 8.0% in the first nine months of 2022, and Brazil reported a 17.0% growth in registrations.

Brembo's net sales of motorbike applications amounted to €362,438 thousand in the first nine months of 2022, up by 49.9% (17.5% on a like-for-like consolidation basis) compared to the same period of 2021.

Commercial and Industrial Vehicles

In the first nine months of 2022, the European commercial vehicles market (EU+EFTA+United Kingdom) — Brembo's reference market — showed a 17.5% decrease in registrations compared to the same period of 2021. In detail, sales of light commercial vehicles (up to 3.5 tonnes) declined overall by 20.9% in Europe. All the main European markets by sales volume decreased compared to the same period of 2021: Italy (-12.4%), France (-22.4%), Spain (-27.7%), Germany (-18.9%) and the UK (-20.1%).

The segment of medium and heavy commercial vehicles (over 3.5 tonnes) increased in Europe in the first nine months of 2022, closing at +1.3% compared to the same period of the previous year. Among the five main European markets, only Spain and the United Kingdom reported growth of 10.3% and 3.1%, respectively, whilst the other markets declined, with Italy and France at -1,3% and Germany at -4,4%.

At 30 September 2022, Brembo's net sales of applications in this segment amounted to €266,225 thousand, up 20.4% compared to 30 September 2021.

Racing

In the racing sector, where Brembo has maintained undisputed supremacy for years, the Group operates through three leading brands: Brembo Racing, braking systems for race cars and motorbikes; AP Racing, braking systems and clutches for race cars; Marchesini, magnesium and aluminium wheels for racing motorbikes.

In the first nine months of 2022, Brembo's net sales of racing applications amounted to €125,107 thousand, up by 28.3% compared the same period of 2021.

Impacts of the Covid-19 pandemic on the Interim Report at 30 September 2022

Brembo constantly follows developments relating to the Covid-19 pandemic at all its sites worldwide, promptly adopting all necessary measures to prevent, monitor and contain the virus, with the aim of protecting the health of employees and contractors, such as remote working, rearrangement of production layouts, sanitisation of the premises, personal protective equipment, hygiene rules and social distancing. In the first nine months of 2022, all the Group's plants operated at normal capacity, except for companies based in China due to a lockdown period in the second quarter of 2022.

Russia-Ukraine Conflict

Following the outbreak of the conflict in Ukraine, Brembo set up a working group to monitor the related developments and formulate the actions needed to mitigate risks and possible direct and indirect impacts on the Group. At the level of direct impacts, Brembo chose, from the outset of the crisis, to halt all sales in Russia and Belarus of aftermarket products (the only GBU concerned by the events), with a €12,213 thousand revenue decline compared to the first nine months of 2021. The current context was reflected in the calculation of the expected credit loss of net receivables claimed in the area concerned by the conflict, amounting to €484 thousand (in addition to €60 thousand credit notes to be issued and referring to pre-conflict sales that will further reduce the exposure). The Group wholly owns the company Brembo Russia Llc. which, through a workforce of 3 employees, promotes the sale of brake discs for the car aftermarket only. In the first nine months of 2022, net sales of the company, entirely to the Parent, amounted to RUB 20,432 thousand (€261 thousand), while net loss was RUB 19,177 thousand (€245 thousand). The balance on the local current accounts was RUB 63,891 thousand. The exchange rate used to convert the amounts into euros was estimated using public data sources. The company continued to be consolidated on a line-by-line basis since all the conditions for the control of the investee still apply. The indirect effects on the Group have also been quite limited thus far, although the automotive sector suffered various disruptions in the supply of raw materials and components that, along with the semiconductor crisis, led manufacturers to plan brief production stoppages. The effects associated with the increase in commodity and energy prices have yielded limited impacts to date, due to the price-hedging strategies implemented prior to the outbreak of the conflict and initiatives of cost recovery from customers. At the macroeconomic level, the main institutions and organisations revised market expectations downwards, due in part to the effects of inflation. However, it is estimated that such impacts will be more modest for the Group than for other automotive companies, thanks to the market segment targeted by Brembo. At the level of compliance, Brembo analyses and monitors, with the support of external advisors, the development of the sanctions levied against Russia by Western countries. In this regard, there are currently no direct impacts on the Group. With regards to the human emergency caused by the conflict, Brembo implemented a plan of concrete actions in support of the Ukrainian population. At the Company's Italian sites, products were collected to meet refugees' basic needs. Brembo's personnel were also given the opportunity to participate in voluntary donation of one or more hours of work, to which Brembo added a contribution equivalent to the total raised. In further support of the population fleeing the war, Brembo signed an agreement with CESVI Foundation for a project known as "Safe Haven" with the aim of hosting Ukrainian refugees in a hotel in Poland, offering them a period of room, board, treatment and orientation.

Significant Events During the Reporting Period

Following the resignation of Laura Cioli, serving as Independent Director, Chairwoman of the Audit, Risk & Sustainability Committee and member of the Remuneration & Appointments Committee, on 3 March 2022 the Board of Directors of Brembo S.p.A., after having heard the recommendations and guidelines of the Remuneration & Appointments Committee, co-opted Manuela Soffientini as new Independent Director, member of the Audit, Risk & Sustainability Committee and of the Remuneration & Appointments Committee (the Director's resume is available on the Company's website: Governing Boards and Committees | Brembo - Official website). In addition, Independent Director Elisabetta Magistretti was appointed Chairwoman of the Audit, Risk & Sustainability Committee.

The General Shareholders' Meeting of the Parent Brembo S.p.A. held on 21 April 2022 approved the Financial Statements for the financial year ended 31 December 2021, allocating net income for the year amounting to €111,228,545.97 as follows:

• to the Shareholders, a gross ordinary dividend of €0.27 per ordinary share outstanding, excluding own shares;
• the remaining amount carried forward.

On 25 July 2022, Brembo signed a 50/50 Joint Venture agreement with Shandong Gold Phoenix Co. Ltd., a leading Chinese company listed on Shanghai Stock Exchange, specialised in designing, testing, manufacturing and marketing braking system and pads/friction material for original equipment and aftermarket. The agreement provides for the formation of the new company — Shandong BRGP Friction Technology Co. Ltd. — that will be fully dedicated to the large-scale manufacturing of innovative aftermarket pads for the car and commercial vehicle segments. As part of the transaction, the two companies will make a total investment of approximately €35 million over the next three years.

Opt-out from the Obligations to Publish Disclosure Documents

The Company has adopted the opt-out system envisaged by Article 70, paragraph 8, and Article 71, paragraph 1bis, of the Rules for Issuers (Board's Resolution dated 17 December 2012), thus opting out from the obligation to publish the required disclosure documents in the case of significant mergers, de-mergers, capital increase by way of contributions in kind, acquisitions and disposals.

Buy-back and Sale of Own Shares

The General Shareholders' Meeting held on 21 April 2022 passed a new plan for the buy-back and sale of own shares with the following objectives:

• undertaking any investments, directly or through intermediaries, including aimed at containing abnormal movements in stock prices, stabilising stock trading and prices, supporting the liquidity of the Company's stock on the market, so as to foster the regular conduct of trading beyond normal fluctuations related to market performance, without prejudice in any case to compliance with applicable statutory provisions;
• carrying out, in accordance with the Company's strategic guidelines, share capital transactions or other transactions which make it necessary or appropriate to swap or transfer share packages through exchange, contribution, or any other available methods;
• buying back own shares as a medium-/long-term investment.

The maximum number of shares that may be purchased is 8,000,000 that, with the 10,035,000 own shares already

held (3.005% of share capital), represents 5.401% of the Company's share capital.

Own shares can be bought back up to a maximum of €144 million:

• at a minimum price which must be no lower than the closing price of the shares during the trading session on the day before each transaction is undertaken, reduced by 10%;
• at a maximum price which must be no greater than the closing price of the shares during the trading session on the day before each transaction is undertaken, increased by 10%.

With reference to the disposal of own shares, the Board of Directors will define, from time to time, in accordance with applicable legislation and/or allowed market practices, the criteria to set the relevant consideration and/or methods, terms and conditions to use own shares in portfolio, taking due account of the realisation methods applied, the price trend of the stock in the period before the transaction and the best interest of the Company. The authorisation to buy back own shares is valid for a period of 18 months from the date of the resolution by the General Shareholders' Meeting.

Brembo has neither bought nor sold own shares in the first nine months of the year.

Significant Events After 30 September 2022

No significant events occurred after the end of the first nine months of 2022 and until 9 November 2022.

Statement Pursuant to Article 154-bis, Paragraph 2, Part IV, Title III, Chapter II, Section V-bis, of Italian Legislative Decree No. 58 of 24 February 1998: "Consolidation Act on Financial Brokerage Pursuant to Articles 8 and 21 of Italian Law No. 52 of 6 February 1996"

RE: Interim Report at 30 September 2022, approved on 9 November 2022.

I, the undersigned, Andrea Pazzi, the Manager in charge of the financial reports of BREMBO S.p.A. hereby

DECLARE

in accordance with Article 154bis, paragraph 2, part IV, title III, chapter II, section Vbis, of Italian Legislative Decree No. 58 of 24 February 1998, that to the best of my knowledge, the Interim Report at 30 September 2022 corresponds with the documented results, books and accounting records.

Andrea Pazzi Manager in Charge of the Company's Financial Reports