Ibersol

Investor Presentation • Apr 17, 2020

RESULTS 2019

Agenda

• Business Evolution • Economic Environment • Consolidated KPI's • Financial Statements • Share Evolution • Outlook 2020

Who are we?

• Opened the first Pizza Hut in Portugal in 1990 - Portugal 355 - Spain 287 - Angola 10 - Other Locations 7
• Listed in the Euronext Lisbon since 1997 112 franchised units and operating directly 547 equity restaurants
• We have more than 11.200 employees

Mission

• Ibersol is a multi brand operator in the restaurant business with a strong foothold in Iberia and a presence in Angola

Principles:

• Quality, Food Safety and Environment
• Human Resources highly motivated and qualified
• Customer focus
• Proper Shareholder remuneration

Activity Number of Equity Restaurants (evolution)

Economic Environment

		PORTUGAL			SPAIN			ANGOLA
	2017	2018	2019	2017	2018	2019	2017	2018	2019
GDP	2.9%	2,2%	2.2%	3,1%	2.6%	1,8%	$-1.1%$	$-2.4%$	$-0,8%$
Unemployment Rate	8,1%	6.7%	6.7%	16,5%	14,5%	13,8%	$26,6\%$ *	$26.6\%$ *	$31,8\%$ *
Inflation Rate	1,4%	1,0%	0,3%	1,1%	1,2%	0,8%	23,7%	18,6%	16,9%

Sources: INE Portugal, INE Spain, BNAngola * estimated

		PORTUGAL
			1Q 19 2Q 19 3Q 19 4Q 19
GDP	1.8%	2,1%	1.9%	2,2%
Unemployment Rate	6,8%	6,3%	6,5%	6,7%
Private Consumption	2,3%	1,9%	2.7%	2.0%

In Iberia there was a slight slowdown in the levels of GDP growth to around 2% At the level of emplyment, Portugal with an unemployment rate of 6.7% and Spain reducing to 13.8%.

Private consumption in Portugal, with fluctuations over the quarters, with the fourth quarter of 2019 standing at 2%.

In Angola, the year of 2019 was a continuation of the recession coupled with high inflation (16.9%) and a devaluation of AKZ against the EUR (around 56%).

Consolidated KPI's Results 2019

Consolidated KPI'S

2019 Activity

At the end of the year Ibersol operated 354 equity restaurants in Portugal, 183 in Spain and 10 in Angola.

Consolidated KPI'S

in Spain.

Consolidated KPI'S

Relevant Facts

Economic Environment

• In Iberia, remained the private consumption growth. In Angola, activity was once again penalized by the recession and currency devaluation.

Portfolio Readjustment

• We ensure the conversion of all units of new concessions in Spain to their final concept and guarantee the quality levels required in the operations of several new brands. In Portugal, we started operating 2 Taco Bell restaurants. • A bet on the employees, engine of the success of Ibersol Group, through continuous

Focus on the Operations

training programs and career development programs.

As a result of applying the new accounting standard on leases (IFRS16) since 1st of January 2019, the group decided to adopt for the modified retrospective method in the consolidated accounts, according to which there is no restatement of historical data. For comparative purposes and since there are no changes in the way Ibersol evaluates the operating performance of

Financial Statements
business, we do not consider the application of IFRS16:
PROFIT & LOSS
ACCOUNT

External supplies and services (without IFRS16) increase, essentially results from the contractual conditions of the new concessions in Spain and the cost of home delivery fees;

As a result of applying the new accounting standard on leases (IFRS16) since 1st of January 2019, the group decided to adopt for the modified retrospective method in the consolidated accounts, according to which there is no restatement of historical data. For comparative purposes and since there are no changes in the way Ibersol evaluates the operating performance of its business, we do not consider the application of IFRS16:

+7.2% vs 2018

BALANCE SHEET
397		1,1x	1,2x
	398	69	75
		23,6%	27,0%
		2019 s/ IFRS Net Debt	2018 Net Debt/EBITDA Gearing

Capex	58
Interests Ratio	5.9x	21x	18x

 Assets IFRS16) increase of 4.6% and liabilities (without
at the same level of 2018. (without IFRS16)
Investment achieved € 58 Mn with € 15 Mn in 
refurbishments and € 38 Mn in expansion;
 Net debt decreased € 6 Mn to € 69 Mn (without IFRS16)
 Gearing decreased to 23.6% (27% in 2018)

Share Evolution

Stocks Statistics IBERSOL, SGPS, S.A. - YTD December 2019
(Values in EURI)
Total shares	36 000 000		Lowest price (17 Oct. 19)	7,26
Free Float	32 400 019		Highest price (21 Jan. 19)	8,76
Treasury stock	3 599 981	10,0%	Average quotation	7,81
Stock Market Capitalization (30 Sep 19)	288 000 000		Opening price (2 Jan 19)	7,82
Average transactions 2019	10 478		Closing price (31 Dec. 19)	8,00
Average transactions 2018	12 3 74		Share price variation	2,3%
			PSI-20 variation	11,1%

Price per share increased 2.3%. PSI-20 index increased 11.1%.

Share Evolution

March 11, 2020: WHO declares COVID19 outbreak a Pandemic

Shareholders

Current shareholder structure

OUTLOOK 2020

2020 will be affected by an unprecedent crisis on a global scale, triggered by the Covid 19 pandemic; IMF forecasts, point to a recession of 8% of GDP in Portugal and Spain, with a slow and partial recovery in the

following years, namely in business areas that depend on traffic, as well as airports and shopping malls; At the end of March, Ibersol Group closed about 75% of its restaurants, restricting operations during this state of

emergency to 127 restaurants, located in Portugal, limited to delivery and take-away services; In this context and given the impacts that have been felt since the middle of March, Ibersol implemented a set of measures at the level of prevention/contingency plans and activated available mechanisms to minimize the negative impacts for the group and its employees;

It is still premature, at this stage, to predict the behavior of consumers when the circulation restrictions are lifted and the consequent evolution of turnover, in order to quantify the magnitude of this crisis impact. We will try to adjust costs to the evolution of demand in order to make our operation more profitable, until the process of GDP growth to recent levels; To reinforce the financial structure, in the first quarter the group has contracted finance of 30 million euros. It is negotiating the rescheduling of the debt due in 2020 and the contracting of additional lines. In 2020, five new restaurants have already opened and the rest of the expansion program will be adjusted to the evolution of the new environment.

Before printing this document think about the environment. Thanks!

At Ibersol Group we recognize the importance of protecting the environment and ensuring the sustainable development of the Group's business.

It has always been our concern to promote environmental management practices, sensitizing all who work with us, as well as our customers. In this way we have been reducing our ecological footprint and helping to preserve the planet, which is our home.

Edifício Península Praça do Bom Sucesso,105 a 159 – 9º

4150-146 Porto Portugal Phone: +351 226 089 700 www.ibersol.pt