Gpi

Investor Presentation • Jun 18, 2019

Investor Presentation

June 2019

Corporate Video

Being the leading partner in the route to innovation for care, therapy and preventive models to ensure health and well-

being

A History of Growth: Figures

3,904 4,377 HEADCOUNT Avg. Age 39.5 2018 2017 2016

2016 – 2018

M&A ≈ 65 M€ Deals

+ 32% CAGR Total Rev. +16% CAGR Organic Growth

VISION

Being the leading partner in the route to

innovation for care, therapy and preventive

models to ensure health and well-being

Partnering up with the Healthcare

Institutions

to ensure the continuous

improvement of internal processes,

so that they can provide accurate and

efficient care pathways through

bespoke software, services and

technologies

5

THE PATIENT AT THE CENTRE

Strategic Business Areas

Domestic Market vs Overseas Revenues

Significant Growth in 2018 Revenues +13%, Net Profit +21% Dividend equal to 0.33 € d.p.s. +10%

• Revenues 203.7 M€, +13% thanks to the contribution of the two business areas:
  • Software +18%,
  • Overseas +30%
• 2018 characterised by ³ acquisitions
• Rationalisation of the Corporate structure: merger by incorporation of 9 subsidiaries
• Adjusted EBITDA €28.6 MM +10% (14.8% of Revenues)
• Net Profit: €9.5 M +21%

M€	2018	2017 restated
Revenues & others income	203.7	179.9
Adjusted Revenues	192.9	170.9
Adjusted EBITDA	28.6	26.1
Adjusted EBITDA %	14.8%	15.3%
Pre TAX Profit	12.8	13.2
NET PROFIT	9.5	7.9

Economic-Financial Highlights 2018 A3.1 CERVED Rating confirmed A- S&P |A3 Moody's | A-1 Fitch

• Net Working Capital

75.6 M€ (66.0 M€ in 2017):

• increase in trade receivables linked to significant revenues increase in 2018 and commercial cycle of some work in progress

• Shareholders' Equity 68.6 M€ (64.0 M€ in 2017 )

• distribution of dividends 2017
• profit generated during the year

• Net Financial Position

equal to 61.5 M€ (57.2 M€ as at 30/06/18 and €51.0 M as at 31/12/17)

• ^>22M M&A and core investments (tangible & intangible, R&D)

M€	2018	2017
Net Working Capital	75.6	66.0
Non-current assets	105.2	104.8
Other operating assets/(liabilities)	(50.7)	(55.7)
NET CAPITAL INVESTED	130.1	115.1
Equity	68.6	64.0
Net Financial Position	61.5	51.0
TOTAL SOURCES	130.1	115.1

HIGHLIGHTS 2018

• Contract awarded for BPO CUP Lazio region (72 M€ in 2 years + 1 year extension)
• Entry into the market of the public sector with e-Payments and Collection (BU PAY)
• R&D: Machine Learning technologies introduced in GPI's application ecosystem, especially for the Chronic Care Model.
• Listed on the MTA

INTERNATIONAL

• 17,1 M€ revenues + 30% 2018 vs 2017
• Malta National Electronic Patient Record (5 M€) & State Police (1M €)
• Blood Bank New contracts (≈1 M€)
• Incorporated Informatica Group o.o.o. (Russia) Argentea SP z.o.o. (Poland)

Outlook 2019

REVENUES > 230 M

+ 5%

• new contracts / extensions

+20%

• Strengthening of the target H_PUB - Region Lazio contract
• Target increase for H_PRI

+20%

• Increase of Automation in the retail markets in Italy and overseas
• PA increase by reinforcement of business of Uni.IT and PAROS

EBITDA > 14%

Investor Presentation

Competitive Scenario, Business Models, Strategic Guidelines 2020-2022

Market Analysis | Software MARKET VALUE

• \$59 B > Global market value of software & services - IT Healthcare (2018) +5,1 % vs 2017
  • 47 % North America Market 29 % West Europe Market || Source: Gartner (2018)
• \$0,8 B > Italian market value of software & services - IT Healthcare (2018)
  • 1,41% vs the global market || Source: Gartner (2018)

• €1,7 B IT HealthCare addressable market
• €1,1 B software & services - IT HealthCare available market || Source : Netics (2018)

2018-2022 > CAGR 4,75% || Source: Gartner (2018)

Market Analysis | Software MARKET SHARE

Market SW and SVC. - Italy 2017

Company	Brief Description	Focus on Healthcare	Ranking
	ICT system and related services for public & private Healthcare institutions		1st
	ICT services for finance, industry, telco&utilities, and PA	Through its dedicated healthcare division	2nd
	ICT solutions & Care services for public & private Healthcare institutions		3rd
	Software for hospital processes, order & risk mgmt. Part of Reply Group		4th
	Digital transformation & ICT services for industries, energy, aerospace, Healthcare, PA, …	Through its dedicated healthcare division	5th

Market Analysis | Care MARKET VALUE

n.a.

Global market value for Administrative Services – not available because of its eterogeneus nature, impossible comparison at an international level

€ 155 M > Italian market value for Administrative Services – 2017

underestimated market size – a share of the market is still insourced.

2018 > 24 M citizens served by GPI's services (ca. 40% of the Italian pop.) 2019 > 28,5 M Expected citizens served by GPI's services 1st PLAYER ITALY

Business Model

Software

SOLUTIONS THAT MAKE DIFFERENCE

• ERP Enterprise Resource Planning
• HR Human Resources
• HIS Hospital Information System
• Population Health Management
• Veterinary & Food Safety
• Blood Bank Management
• Integration Middleware
• Content Access Portals

Care

ALWAYS CARING, ALWAYS HERE

Business Process Outsourcing

Auxiliary Administrative Services such as: Health Services Booking, Contact & Call Centre, Front-end/desk, Secretariat, Cultural Mediation for foreign citizens, etc.

Social and Virtual Care

Health- and Social-care Services, Telemedicine, 3D Printed Prosthetics.

Customers

• Health Authorities
• Hospitals
• Nursing Homes, Private Clinics, Not-for-profit Organizations
• Public Providers (in-house)
• Regions, Provinces (HC)
• Analytics, Providers
• Trade Associations, Insurance Companies
• Cooperatives
• Private Users
• Pharmacies
• Municipalities
• Provinces
• Regions
• Regional Bodies
• Universities
• Consortiums
• Large-Scale Distributors
• Banking Institutions
• Managers of meal vouchers
• No-Food Retailers
• Local Organizations (ACI,…)

Main Customers

LOCAL AUTHORITIES REGIONAL AUTHORITIES PRIVATE ENTITIES

INTERNATIONAL AUTHORITIES

BARMHERZIGE BRÜDER OSTERREICH

WORLDWIDE 18 Branches

SOLUTIONS + 60 Countries

High Visibility: 68% of Revenues from Recurring Fees Business Models

• 50% of Revenues from recurring fees
• Revenues = software development + periodic maintenance
• 1-3 years average contract duration
• ^≈91.2% client confirmation rate

Revenues 2018: 90.7 M€ (45%) Revenues 2018: 88.2 M€ (43%)

• 95% of Revenues from recurring fees
• Revenues = € 1-3 per contact + fixed annual fee
• 3-6 years average contract duration
• ^≈25% tender success rate

Promising Core Business Portfolio

● 10.8 M€/year awarded contracts in the last 3 years	● 20.3 M€/year awarded contracts in the last 3 years

● Tender portfolio: 38 M € revenues to book in 2018-2020

• last 3 years
• Tender portfolio: 68 M € revenues to book in 2018-2020

$$\bigvee = \dots = \dots = \dots = \dots = \dots = \dots = \dots \bigvee \dots$$

745 M€ value of procurements in which GPI participated at 31/12/2018

Guidelines 2020-2022

MORE GLOBAL

• +10% revenues 2019 (Software, Automation, Pay)
• +300% in the triennium (M&A Software company with 20-30 M€ expected revenues)
• Geographical Areas: DACH, Russia, China and Far East, Israel and Middle Est, North America, South America.

PRIVATE HC GROWTH

02

• Strong development of the private Healthcare market, doubling the % size of this market

share on total revenues in the Plan period.

LEADERSHIP HEALTHCARE

ITA

• Awarding big regional/national contracts
• M&A of companies to complete the range of products/customers, promising start-ups
• R&D boost on Artificial Intelligence (predictive medicine and care pathways), digital transformation (PRM and Reception Management Systems), Operational Theatre- and

Transfusional- Automation and Logistics.

FROM PROVIDER TO PARTNER

• Multi-business nature
• Structured and complete offer of each SBU, backing the shift from from provider to partner.

FROM PRODUCTS/SERVICES TO INTEGRATED SOLUTIONS

05

• Higher integration among the service, sw and tecnological components

to proactively respond to the evolution of the care models and of the demand for healthcare.

Investor Presentation

M&A Strategies 2019

30

GPI was incorporated in 1988

acquisitions and strategic alliances has been driving its growth.

In 2013 Orizzonte SGR became a shareholder .

In december 2016 the consolidation with the SPAC Capital for Progress 1 was effective; GPI's stocks and warrants were listed on the AIM Italia .

Throughout 2017 GPI followed the industrial plan guidelines: acquisitions and joint participations continued, the project to simplify the group organization started.

In december 2018: AIM -to -Main , graduation to the MTA.

MARKET

• 1. Slow to decide and to change the planning (ITA)
• 1. Software is a commodity of service
• 1. Fragamentation (ITA)

ORGANISATION

• 1. Diversified Team of Lawyers
• 1. External Team of Advisers / Tax
• 1. Internal Team Finance
• 1. Internal Team Techincal Analysis
• 1. Whole Process Internal Management

INTEGRATION INTERNAL TEAM

• 2 years for internal integration
• Immediate Integration Costs
• 1 year for the first savings

TARGET

ITALY

• 1. Software / Services / Area Completion (1-10 M€)
• 1. Big Player

OVERSEAS

• 1. Structured Companies Software (20-30 M€)
• 1. Software Completion

RESOURCES

• BOND
• TRADIZIONAL LOAN
• WARRANT
• STOCK / STOCK
  • Big Player
  • Abroad

INVESTMENT OPPORTUNITY

Leadership and Uniqueness

Growth and Visibility

Technology and Service

Evolution of market/client

M&A Opportunities

GPI IN THE STOCK MARKET

Bloomberg: GPI:IM 15,909,539 Ordinary Shares (ISIN: IT0005221517) Price: 8.44 (14 Jun 2019) Capitalisation: M€ 134.3 (14 Jun 2019)

SHAREHOLDING STRUCTURE (14 Jun 2019)

• FM SRL: 64.35%
• Treasury Shares: 0.67%
• Float: 34.98%

ANALYST COVERAGE

• Intermonte SIM (05/04/2019) Target Price: €13.00 (before12,80) - Rating: OUTPERFORM
• Banca Akros (02/05/2019) Target Price: 14,10 € - Rating Buy
• UBI Banca (08/05/2019) Target Price: 12.72 € (before 12,05 €) - Rating: BUY

GPI WARRANT

Code: WGPI ISIN: IT0005221475 No. warrants outstanding 2,368,380 Exercise Ratio: 1:1 Exercise Price: €9.50 Trigger price: €13.30

investor.relations@gpi.it

DISCLAIMER

The material in this presentation has been prepared by GPI S.p.A. ("GPI" or "the Company") without independent verification and it is general background information about GPI's activities current as at the date of this presentation. This information is given in summary form and does not purport to be complete. This presentation is for information only and shall not constitute an offer or solicitation of an offer to buy or sell securities, nor shall there be any sale or purchase of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. It is solely for use at an investor presentation and is provided as information only. This presentation does not contain all of the information that is material to an investor. Information in this presentation, including forecast financial information, should not be considered as advice or a recommendation to investors or potential investors in relation to holding, purchasing or selling securities or other financial products or instruments and does not take into account your particular investment objectives, financial situation or needs. Before acting on any information you should consider the appropriateness of the information having regard to these matters, any relevant offer document and in particular, you should seek independent financial advice. All securities and financial product or instrument transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments and, in international transactions, currency risk. The information in this presentation is confidential and is being provided to you solely for your information and may not be reproduced, retransmitted or further distributed to any other person or published, in whole or in part, for any purpose. This presentation is only being distributed to and is only directed at (A) persons in member states of the European Economic Area (other than the United Kingdom) who are "qualified investors" within the meaning of Article 2(1)(e) of Directive 2003/71/EC (as amended and together with any applicable implementing measures in that member state, the "Prospectus Directive") ("Qualified Investors"); (B) in the United Kingdom, Qualified Investors who are investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") and/or high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order; and (C) such other persons as to whom this presentation may be lawfully distributed and directed under applicable laws (all such persons in (A) to (C) above together being referred to as "relevant persons").

The information in this presentation may include forward-looking statements. While the Company believes that it has a reasonable basis for making forward-looking statements in this presentation, GPI cautions you that forward-looking statements are not guarantees of future performance and that its actual results of operations, financial condition and liquidity and the development of the industry in which GPI operates may differ materially from those made in or suggested by the forward looking statements contained in this presentation or in oral statements of the management of GPI. Past performance is not a reliable indication of future performance. GPI assumes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information or for any other reason. The information and opinions contained in this presentation or in oral statements of the management of GPI are provided as at the date of this presentation or as at the other date if indicated and are subject to change without notice. No reliance may be placed for any purpose whatsoever on the information contained in this presentation or oral statements of the management of GPI or on assumptions made as to its completeness. No representation or warranty, express or implied, is given by GPI, its subsidiaries or any of their respective advisers, officers, employees or agents, as to the accuracy of the information or opinions or for any loss howsoever arising, directly or indirectly, from any use of this presentation or its contents. This presentation is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction.

IR Contacts

Fabrizio Redavid C. +39 335 1035499 fabrizio.redavid@gpi.it

Lorenzo Giollo

C. +39 340 8223333 lorenzo.giollo@gpi.it

Via Ragazzi del '99, 13 - 38123 Trento T +39 0461 381515 investor. relations@gpi.it

Via C. Cantù, 1 - 20123 Milan Tel. +39 02 45473883/4 m.pireddu@irtop.com