Alkemy

Quarterly Report • May 15, 2025

Alkemy S.p.A.

Interim Financial Report at 31 March 2025

Alkemy Group

Parent Alkemy S.p.A. Registered office in Milan, at Via San Gregorio 34 Share Capital Euro 606,317.72 VAT no.: 05619950966 Milan Company Registration no. 1835268

Company subject to management and coordination by Retex S.p.A. - a Benefit corporation

Corporate bodies of Alkemy S.p.A. 3
Highlights 4
The Group and its business 5
Group structure 6
Business units 7
Performance during the first three months of 2025 9
Significant events in the first three months of 2025 13
Significant subsequent events 14
Outlook 14
Consolidated financial statements at 31 March 2025 and notes 15
Income statement 16 Statement of comprehensive income 17 Statement of financial position 18 Statement of cash flows 20 Statement of changes in equity 21
Notes to the consolidated financial statementsi 22
Attestation in accordance with Article 154-bis, 2nd paragraph, of Italian Legislative Decree no. 58 of 24 February 1998 "Consolidated text setting out provisions on financial intermediation", as
subsequently amended 29

Corporate bodies of Alkemy S.p.A.

Board of Directors

Barnaba Ravanne Chairman

Marco Valcamonica Director Gerardo Gabrielli Director

Duccio Vitali Chief Executive Officer

Alessandra Piersimoni Independent Director Lisa Vascellari Dal Fiol Independent Director Maria Gimigliano Independent Director Elvina Finzi Independent Director

Board of Statutory Auditors

Giuseppe Alessandro Galeano	Chairman
Francesca Marchiori Standing	Auditor
Gabriele Gualeni	Standing Auditor
Gianluca Disabato	Alternate Auditor
Barbara Sicignano	Alternate Auditor

Independent Auditors

EY S.p.A.

Highlights¹

Below are the key performance data of the Alkemy Group in the first three months of 2025:

	Figures in thousands of euros
	Q1 2025	Q1 2024
Net revenue (1)	28,043	28,397
Adjusted gross operating profit (EBITDA) (2)	1,548	2,320
Adjusted operating profit (3)	30	956
Profit for the period	(836)	238
Average number of employees	902	922

	Figures in thousands of euros
	Q1 2025	Q1 2024
Italy net revenue	18,161	17,950
Abroad net revenue	9,882	10,447
Net revenue	28,043	28.397

	Figures in thousands of euros
	31 Mar. 2025	31 Dec. 2024
Net invested capital	60.173	58,998
Net financial debt	(26,074)	(25,841)
Equity	34.099	33.157

⁽¹⁾ Net revenue is defined as the sum of revenue and other income

⁽²⁾ Adjusted gross operating profit is the value determined by deducting the Costs for services, goods and other operating costs and Personnel expense, with the exclusion of non-recurring costs, from revenue.

⁽³⁾ Adjusted operating profit is adjusted gross operating profit less amortisation, depreciation, provisions and impairment losses.

The Group and its business

Alkemy S.p.A. (hereinafter also "Alkemy" or the "Parent") is a leading company in the digital transformation segment in Italy, listed on the STAR segment of the Borsa Italiana EURONEXT MILAN market. Alkemy enables the evolution of enterprises' business defining the relevant strategy through the use of technology, data and creativity. The aim is to improve the operations and services supplied by large and medium enterprises, stimulating the evolution of their business model hand-in-hand with technological innovation and consumer habit. Alkemy develops innovative projects throughout the chains of the various segments, such as, for example, telecommunications, media, consumer services, financial services and utilities, combining advanced technologies with innovative design, big data and creative communication.

The Parent's competitive advantage is its capacity to integrate different competences, intervening as a single player in the Customer's processes and operations, supplying multiple services that can impact the whole of the value chain. Indeed, Alkemy manages extensive projects aimed at transforming and evolving its customers' business, assisting them from the definition of the strategy to be pursued through to the relevant implementation and subsequent management.

Alkemy has now entered its thirteenth year, boasting an ever more extensive alchemy of integrated competences in the areas of Consulting, Communication, Performance, Technology, Data & Analytics and Design, which form a professional community numbering over 1000 people offering different experiences and abilities but who are very much united in their values and business culture. Alkemy is today an international business operating in Italy, Spain, Mexico and the Balkans, established on the basis of a partnership model with customers to enable innovation and growth through digital leverage. Alkemy's aim is to construct a long-term relationship with customers, by acting not as simple suppliers of services, but rather as an integrated partner to be engaged continuously, in support of programmes of change, transformation and acceleration.

In enabling the innovation process of its customers' business model and, accordingly, their competitiveness in the various industrial segments, Alkemy ultimately seeks to contribute towards the evolution and development of the whole country system.

Alkemy currently has 10 offices: in addition to the Milan headquarters, it also operates in Turin, Rome, Naples, Potenza, Cagliari and Rende (Cosenza), Madrid, Belgrade, Mexico City.

December 2017 saw Alkemy début on the Borsa Italiana AIM Italia market to gather the capital necessary to finance the growth and expansion of the corporate competences, leaving control over the business with the managers and consequently guaranteeing independence and the possibility of perpetrating the vision.

From the time of its listing, in just two years, Alkemy has almost doubled its turnover and in December 2019, it finalised the switch to Borsa Italiana's main market, in the STAR segment dedicated to medium enterprises that undertake to meet standards of excellence in terms of transparency, corporate governance and liquidity.

Group structure

At 31 March 2025, the Alkemy Group structure is as follows:

Alkemy Play S.r.l.: company established in 2017, operating in digital communication services for SMEs. The company controls a legal entity that operates in the development of IT and technological services in Serbia, Alkemy Play D.o.o..

Alkemy SEE D.o.o.: company based in Belgrade, established in 2016 with capital held 30% by the Chief Executive Officer, a local entrepreneur; it operates in strategic consultancy and digital advisory services. The company holds a 51% stake in Kreativa D.o.o..

Alkemy Iberia S.L.U.: formerly Ontwice Interactive Service S.L., merged with Alkemy Iberia S.L. in 2022 and taking on its name. The company is based in Madrid and operates in strategic consultancy and digital advisory and is one of Spain's most important digital agencies.

Alkemy South America S.L.: company established in 2021, based in Madrid that wholly owns the Mexican company based in Mexico City, Alkemy Latam S.A. (formerly Ontwice Interactive Services de Mexico S.A.) operating in local markets in digital services, communication and media.

Experience Cloud Consulting S.r.l. ("XCC"): company acquired in 2021, specialised in Cloud Computing solutions in CRM, Gold Consulting Partner of SalesForce, qualified to implement and develop integrated, multi-channel digital business solutions, from the CRM Cloud through to Marketing Automation, for B2B, B2C, eCommerce and Retail.

Design Group Italia ID S.r.l. ("DGI"): company operating in the field of 'innovation & design'. The company is the sole shareholder of a legal entity that no longer operates in the USA: DGI Corp..

Innocv Solution S.L.: , a company acquired in 2022, based in Madrid, and a market leader in Spain in the digital transformation segment, specifically in tech and data analytics.

Business units

In Italy the Group is organised with a commercial structure divided into 5 Industries, whose managers are assigned the full management of all customers belonging to each business area and who are also accountable for project delivery, which is carried out by the various Competence Centres. The five Industries are:

• 1) Entertainment & life style;
• 2) Energy & utilities;
• 3) Technology & telco;
• 4) Financial services & institutions;
• 5) Healthcare & pharma.

The Competence Centres, which represent and apply the different disciplines practised within the Group, are as follows:

• Consulting: it analyses, designs and quantitatively assesses (business case and business plan) innovative solutions aiming to transform the customer's business model thanks to the use of the digital and omnichannel leverages, liaising closely with the CEOs and Executive Managers to define innovative, alternative strategies to achieve significant results in the longterm;

• Marketing & Media: with the aim of speeding up on-line performance, it offers Alkemy customers the know-how and most innovative tools to promote its on-line brands and products. It thus manages all planning and procurement activities for its customers on the main digital media, search engines and social media, determining the investments needed to strengthen and improve consumer perception of the brands and products and speeding up sales on proprietary and third party e-commerce channels, thereby overcoming conventional marketing approaches;

Tech: this is Alkemy's technological soul and it is specialised in the design, development and operation of technologies for the digital evolution of the B2B and B2C channels, front-end solutions, CRM, CMS, Portals, Apps, etc. The business unit consolidates and strengthens Alkemy's mission, reinforcing technological competences and the capacity to oversee one of the areas enjoying greatest growth and development: that of Digital Transformation;

• Data & Analytics: it offers concrete support to businesses in order to improve their business performance through the analysis of data available (both that of CRM or of other internal systems, and data coming from all actions on the digital world) and the implementation of analytics models. The techniques used for data analysis range from traditional statistical analysis through to Advanced Analytics & Machine Learning, Real Time Next Best Action, Digital Customer Intelligence, Campaign Plan Optimisation, Data Environment Design, Implementation and Management;

• Nova: characterised by an integrated, data-driven approach to create experiences that generate authentic connections and measurable results. The mission is to support companies in responding to the growing challenges of customisation, omnichannel and results-focused approaches, by enhancing every touchpoint and transforming data into lasting and measurable relationships. The practice adopts an end-to-end approach, ranging from strategic design to implementation through to the the monitoring and development of projects. Through advanced technologies and the use of artificial intelligence, Alkemy Nova aims to transform data into predictive and customised decisions, while improving engagement and optimising customer service. Alkemy Nova's operations are based on five pillars: "AI-Driven Engagement", i.e. enhancing and consolidating data assets through Artificial Intelligence, by anticipating customer needs and customising each interaction; "Enhanced Brand Experiences", with creative solutions that create an emotional bond between the consumer and the brand, thus consolidating their loyalty; "Strategic Engagement Guidance", i.e. adaptive strategies integrating the latest market trends with a focus on sustainable and measurable growth; "Scalable Solutions for Complex Challenges", with flexible and bespoke projects, capable of evolving and adapting to the most complex challenges; and "Reward & Ecosystem Partnership", a change of approach towards a new reward strategy.

• Brand Experience: it plans, designs and realises the enterprises' brand experience, in a fully integrated manner, putting the end consumer right at the heart through digital and physical touchpoints and more "traditional" forms of communication, with the ultimate aim of generating value both for the customer itself and the end consumer. Developing and transforming the touchpoints into a unique experience, which communicates consistently a strong, innovative, distinctive brand, Alkemy offers its services as an essential partner; it assists the customer in preparing and structuring brand strategies and creativity, advertising campaigns, products or services for commercial businesses and, in general, communication with consumers; including through the management of the corporate digitisation process using a BPO (Business Process Outsourcing) model for the digital processes.

The Competence Centre Brand Experience has integrated the activities of DGI, a leader in Product, Service & Space Design: on a 'design thinking' basis, the company is dedicated to the design of services, physical and digital products that affect everyday life and physical spaces/environments in which people and brands can interact and share meaningful experiences; it operates in an omni-channel logic, with a focus on value creation through experiential innovation. Analysing customers' businesses, including their processes, culture and resources, it aims to foster additional commercial opportunities and innovate the end customer experience.

This 'client-driven' organisation confirms Alkemy's growing focus on customers' needs, with the aim of further developing the portfolio of companies served with an increase in the average size and duration of projects, through the widespread proposal of the Group's entire commercial offer, further characterised and tailored to the specificities of each Industry.

Performance during the first three months of 2025

The first quarter of 2025 confirmed the trend seen throughout 2024 of significant uncertainty in all markets in which the Group operates - both domestically and internationally - with negative impacts on business prospects and companies in general; in particular, aside from the ongoing war in Ukraine and the conflict between Israel and Palestine (where there are only very limited signs of a cessation of hostilities in the short term), a further destabilising factor has been the tariffs policy introduced by the new US president, with unforeseen effects worldwide, growing tensions and negative sentiment across all markets.

In this highly complex macroeconomic situation, the Alkemy Group's overall business performance, as detailed below, was in line with the management's expectations, albeit not as strong as the previous year. The Alkemy Group closed the first quarter of 2025 with a slight decrease in revenues and income (-1.2% compared to the same period in 2024), but with a significant decrease in margins, resulting in a consolidated adjusted EBITDA of 1,548 thousand euros (it was 2.320 thousand euros in the comparative period, -33%); there was minimal use of cash in the first quarter (-233 thousand euros), which brought the Net Financial Position as of 31 March 2012 to -26.1 million euros, a worsening of 0.9% compared to 31 December 2024 (-25.8 million euros).

Finally, it should be noted that at the end of the first three months of 2025, the average number of Group employees fell by 2.2% compared to the same period of the previous year (902 compared to 922 at 31 March 2024).

Key economic data

The Group's reclassified income statement for the first three months of 2025, compared with the

figures for the same period in 2024, is as follows2 (4):

	Figures in thousands of euros
	01 2025	Q1 2024
Net revenue	28,043	28,397
Services, goods and other operating costs	(12,833)	(12,691)
Personnel expense	(13,662)	(13,386)
Adjusted gross operating profit (EBITDA)	1,548	2,320
Amortisation, depreciation and impairment losses	(1,518)	(1,364)
Adjusted operating profit	30	956
Net Financial income (expense)	(435)	(451)
Non-recurring expense	(565)	(18)
Pre-tax profit (loss)	(970)	427
Income taxes	134	(189)
Profit (loss) for the period	(836)	238
Other comprehensive income recognised in equity	126	136
Comprehensive income for the period	(710)	374
Profit for the year attributable to non-controlling interests	(44)	19
Profit for the year attributable to the owners of the parent	(666)	355

The Group's consolidated financial performance for the first three months of 2025 shows total net revenue of 28,043 thousand euros, as compared with 28,397 thousand euros in the corresponding period of the previous year, down by 354 thousand euros (-1.2%), due mainly to the export sector.

Revenue recorded in Italy, which accounts for 64.8% of consolidated revenue (63.2% in the same period of 2024), totals 18,161 thousand euros (17,950 thousand euros in the corresponding period of the previous year), up 211 thousand euros (+1.2%) which is attributable in particular to the results of XCC S.r.l. (+162 thousand euros compared to revenue in the first three months of 2024).

In foreign markets revenue comes to 9,882 thousand euros, a decrease of 565 thousand euros compared to the same period of 2024 (-5.4%).

This result is the combined result of (i) the increase in revenue of Alkemy Latam S.A. e Innocv Solution S.L. (compared to the comparative period, by +725 thousand euros and +152 thousand euros respectively) and (ii) the decrease in revenues of DGI Corp., Kreativa D.o.o. and Alkemy Iberia S.L.U. (respectively by -728 thousand, -441 thousand and -206 thousand euros compared to the comparative period).

Operating costs (net of non-recurring items) went from 26,077 thousand euros during the first three months of 2024 to 26,495 thousand euros in the first three months 2025, an increase of 418 thousand

⁴Costs for services, goods and other operating costs as well as personnel expense, are stated net of the non-recurring portion. For the definition of Net revenue, Adjusted EBITDA and Adjusted operating profit, please refer to the footnotes in the "Highlights" section.

euros (+1.6%). Specifically:

• costs for services, goods and other operating costs, net of non-recurring items, which came to 12,833 thousand euros in the first three months of 2025 (12,691 thousand euros in the first nine months of 2022) rose by 1.1% on the same period of the previous year;
• personnel expense, net of non-recurring items, which came to 13,662 thousand euros in the first three months of 2025 (13,386 thousand euros in the first nine months of 2022) increased by 2.1% on the same period of the previous year.

The incidence of operating costs on revenue, net of non-recurring costs, increased to 94.5% compared to 91.8% at the end of the first three months of 2024.

As a result, the adjusted EBITDA at the end of the first three months of 2025 amounted to 1,548 thousand euros, a decrease of 33.2% compared to an adjusted EBITDA of 2,320 thousand euros in the same period in 2023. The adjusted EBITDA Margin (5)3 for the first three months of 2025 came to 5.5%, down compared to the corresponding period in 2024 (8.2%).

We report that the unfavourable euro-Mexican peso exchange rate has resulted in a decrease in revenue by 827 thousand euros and a decrease in the adjusted EBITDA by 40 thousand euros, calculated using the same exchange rates as the corresponding period in the previous year.

Adjusted operating profit (adjusted EBIT), gross of financial income and expense and non-recurring expense, comes to 30 thousand euros, down 926 thousand euros on the corresponding period of the previous year (956 thousand euros), mainly as a result of the trend for the gross adjusted EBIT and the higher amortisation/depreciation and impairment losses (+154 thousand euros on the corresponding period of the previous year).

Financial expenses, net of related income, amounted to 435 thousand euros, in line with comparative period (451 thousand euros).

Non-recurring expense comes to 565 thousand euros (78 thousand euros in the first quarter of the previous year) and include 393 thousand euros of non-recurring personnel expense (restructuring), and 172 thousand euros for non-recurring costs for services.

The pre-tax profit comes to -970 thousand euros, down 1,397 thousand euros on the pre-tax profit of the first three months of 2024 (+427 thousand euros), as a result of the above mentioned trend for the adjusted EBIT.

The profit for the period is negative to the tune of -836 thousand euros, compared with +238 thousand euros for the first three months of 2024.

Reclassified statement of financial position

Below is the Group's reclassified statement of financial position at 31 March 2025, compared with

⁽⁵⁾ The adjusted gross operating profit margin is calculated by comparing the adjusted gross operating profit to total revenue and income.

that at 31 December 2024:

	Figures in thousands of euros
	31 Mar. 2025	31 Dec. 2024
Non-current assets	56.384	56,388
Current assets	41,385	44,018
Current liabilities	(30,414)	(34,242)
Net working capital	10,971	9,776
Post-employment benefits	(7,149)	(7,125)
Provision for risks, charges and deferred tax liabilities	(33)	(41)
Net invested capital	60,173	58,998
Equity	34,099	33,157
Non-current financial debt	22,194	20,513
Current financial debt	3.880	5,328
Net financial debt	26,074	25,841
Total sources of finance	60,173	58,998

The reclassified statement of financial position data at 31 March 2025 indicates net invested capital of 60,173 thousand euros, compared with 58,998 thousand euros at 31 December 2024, which consists of:

• non-current assets of 56,384 thousand euros (56,388 thousand euros at 31 December 2024) of which 42,764 thousand euros for goodwill and 5,006 thousand euros for right-of-use assets (at 31 December 2024 they came to 42,766 thousand euros and 5,406 thousand euros respectively);
• net working capital of 10,971 thousand euros (9,776 thousand euros at 31 December 2024);
• post-employment benefits of 7,149 thousand euros (7,125 thousand euros at 31 December 2024);
• provisions for risks and deferred tax liabilities of 33 thousand euros (41 thousand euros at 31 December 2024).

Shareholders' equity, which amounted to 34,099 thousand euros, increased by 942 thousand euros compared to 31 December 2024 (+2.8%), mainly due to (i) +1,662 thousand euros for the recognition of the reserve related to the 2024-2026 incentive plan ("LTIP") and (ii) -710 thousand euros related to the result for the period.

It should be noted that, by resolution of the shareholders' meeting of 23 January 2025, an increase in the Company's share capital was approved for the purpose of issuing new shares to the beneficiaries of the aforementioned 'LTIP' plan. In the financial statements as of 31 December 2024 this commitment was reported under 'Other Liabilities' - with the corresponding value expected to be

paid in cash by said date As of 31 March 2025, however, the capital increase of Alkemy S.p.A was carried out to the tune of 10,783.40 euros through the utilisation of the 'retained earnings' reserve and the issuance of 107,834 new shares, which were assigned free of charge to the beneficiaries of the aforementioned 'LTIP'.

The net financial debt is 26,074 thousand euros (debt of 25,841 thousand euros at 31 December 2024) and its change with respect to the previous year end is detailed in the next paragraph.

Main financial figures

The table below details the net financial debt at 31 March 2025 compared with that at 31 December 2024:

	Figures in thousands of euros
	31 Mar. 2025	31 Dec. 2024
Bank deposits	10,668	10,683
Cash on hand	1
Cash and cash equivalents	10,669	10,684
Bank loans and borrowings	(11,170)	(9,469)
Put option and earn-out liabilities	(7,268)	(7,198)
Loans and borrowings from other financial backers	(535)	(306)
Lease liabilities - IFRS 16	(3,221)	(3,540)
Non-current financial liabilities	(22,194)	(20,513)
Bank loans and borrowings	(9,808)	(11,187)
Put option and earn-out liabilities	(2,648)	(2,623)
Loans and borrowings from other financial backers	(99)	(118)
Lease liabilities - IFRS 16	(1,994)	(2,084)
Current financial liabilities	(14,549)	(16,012)
Net financial debt	(26,074)	(25,841)

The Group's net financial debt at 31 March 2025 amounts to 26,074 thousand euros (25,841 thousand euros at 31 December 2024), having worsened slightly during the period by by 233 thousand euros. This change, which is detailed and explained in the Consolidated Statement of Cash Flows below, is mainly due to (i) the increase in payables to banks and other lenders by +532 thousand euros and (ii) the decrease in lease liabilities of 409 thousand euros, based on the payment of lease instalments in the first quarter of the year.

Significant events in the first three months of 2025

On 23 February 2025 Retex S.p.A. - a Benefit corporation announced that it had signed sales agreements with certain shareholders. On 31 March 2025, these sales agreements were executed,

resulting in Retex holding 90.73% of the voting rights of Alkemy S.p.A..

Consequently, on 11 April 2025 Retex filed the information document with CONSOB for the fulfilment of the obligation to repurchase the residual shares issued by Alkemy S.p.A. and the transmission of the request for the calculation of the sell-out price; in summary, Retex is completing all necessary formalities to complete the request for the delisting of the Company.

Significant subsequent events

Useful information on the following significant events that took place after the close of the first quarter, is provided.

Alkemy S.p.A.'s separate financial statements at 31 December 2024, which were approved by the Company's Board of Directors on 27 March this year, were submitted to the Shareholders' Meeting on 30 April 2025. The Shareholders resolved to approve them and to carry forward the loss for the year.

On the same date, the Shareholders' Meeting appointed EY S.p.A. as the statutory auditing firm for the nine-year period 2025-2033.

It should be noted that the new members of the Board of Statutory Auditors were appointed on 30 April 2025. Please refer to the section 'Corporate Bodies of Alkemy S.p.A.'.

On the same date, Director Vincenzo Pompa resigned as independent director of Alkemy S.p.A..

Outlook

As of the date of approval of this interim report as at 31 March 2025, the business outlook for the coming months of the current financial is for a moderate recovery in revenue for the Group, especially starting from the second half of the year. Similarly, in terms of margins, the expectation is of a partial recovery starting from the third quarter of the year, due to both the cost rationalisation activities carried out in the first months of 2025, and the positive commercial activities carried out to date and still underway, which point to an improvement in overall results, and higher profitability.

Alkemy S.p.A.

Consolidated financial statements at 31 March 2025 and comments

Consolidated financial statements at 31 March 2025 and notes

Financial statements

Income statement

	Figures in thousands of euros
	Q1 2025	Q1 2024
Revenue	27,493	27,963
Other income	550	434
Total revenue and other income	28,043	28,397
Services, goods and other operating costs	(13,005)	(12,728)
- of which non-recurring	(172)	(37)
Personnel expense	(14,055)	(13,427)
- of which non-recurring	(393)	(41)
Total costs and other operating costs	(27,060)	(26,155)
Gross operating profit	983	2,242
Amortisation/depreciation	(1,141)	(1,208)
Provisions and impairment losses	(377)	(156)
Operating profit	(535)	878
Other financial income	87	164
Other financial expense	(522)	(615)
Pre-tax profit (loss)	(970)	427
Income taxes	134	(189)
Profit (loss) for the period	(836)	238
- Owners of the parent	(792)	219
- Non-controlling investors	(44)	19

Statement of comprehensive income

	Figures in thousands of euros
	Q1 2025	Q1 2024
Profit/(loss) for the period	(836)	238
Items that will be reclassified to profit or loss:
Translation differences on foreign operations	7	62
Total items that will be reclassified to profit or loss	7	62
ltems that will not be reclassified to profit or loss
Actuarial gains (losses)	156	98
Related tax	(37)	(24)
Total	119	74
Other comprehensive income (expense) net of tax	126	136
Comprehensive income for the period	(710)	374
Attributable to:
- Owners of the parent	(666)	355
- Non-controlling investors	(44)	19

Statement of financial position

		Figures in thousands of euros
Assets	31 Mar. 2025	31 Dec. 2024
Property, plant and equipment	1,827	1.864
Right-of-use assets	5,006	5,406
Goodwill	42,764	42,766
Intangible assets	3,218	2,984
Equity investments	5	5
Other financial assets	21	33
Deferred tax assets	2,986	2,765
Other assets	576	595
Non-current assets	56,403	56,418
Trade receivables	36,866	39,939
Other financial assets	12	26
Tax assets	1,614	1,630
Other assets	2,893	2,423
Cash and cash equivalents	10.669	10,684
Current assets	52,054	54,702
Total assets	108,457	111,120

	Figures in thousands of euros
Liabilities and Equity	31 Mar. 2025	31 Dec. 2024
Equity
Share capital	606	596
Reserves	33,830	46,820
Profit/(loss) for the period	(792)	(14,759)
Equity attributable to owners of the parent	33,644	32,657
Equity attributable to non-controlling investors	455	500
Total equity	34,099	33,157
Financial liabilities	11,705	9,775
Lease liabilities	3,221	3,540
Put option and earn-out liabilities	7,268	7,198
Employee benefits	7,149	7,125
Provisions	12	22
Deferred tax liabilities	21	19
Other liabilities	19	30
Non-current liabilities	29,395	27,709
Financial liabilities	9,907	11,305
Lease liabilities	1,994	2,084
Put option and earn-out liabilities	2,648	2,623
Trade payables	17.797	17,954
Tax liabilities	2,338	2,159
Other liabilities	10,279	14.129
Current liabilities	44,963	50,254
Total liabilities	74,358	77,963
Total liabilities and equity	108,457	111,120

Statement of cash flows

	rigules in thousands of euros
	Q1 2025	Q1 2024
Cash flow from operating activities
Profit/(loss) for the period	(836)	238
Financial income	(87)	(164)
Financial expense	522	615
Income taxes	(134)	189
Amortisation/depreciation	1,141	1,208
Provisions and impairment losses	377	156
Cost for share-based payments		10
Decrease (increase) in trade receivables	2,696	7,241
Increase (decrease) in trade payables	(150)	(569)
Decrease (increase) in other assets	(373)	(1,096)
Increase (decrease) in other liabilities	(2,032)	(3,384)
Cash flows from operating activities	1,124	4,444
Net interest paid	(285)	(262)
Income tax paid	(61)	(76)
Net cash flows from operating activities	778	4,106
Cash flows from investing activities
Acquisition of property, plant and equipment and intangible assets	(773)	(495)
Net cash flows used in investing activities	(773)	(495)
Cash flows from financing activities
Change in financial liabilities	552	(2,998)
Change in lease liabilities - IFRS 16	(572)	(570)
Change in treasury shares		(43)
Net cash flows from (used in) financing activities	(20)	(3,611)
Net increase/(decrease) in cash and cash equivalents	(15)
Opening balance	10,684	12,029
Closing balance	10,669	12,029

The statement of cash flows was prepared in accordance with the indirect method.

Statement of changes in equity

Balance at 31 Mar. 2024	596	(1,819)	202	33,574	14,795	219	47,567	491	48,058
Profit/(loss) for the period						219	219	19	238
Other comprehensive income (expense)				136			136		136
Other movements				2	-	-	2	(1)	1
Long Terms Incentive Plan				10		-	10		10
Repurchase of treasury shares		(43)				-	(43)	-	(43)
Allocation of profit for the year					3,463	(3,463)
Balance at 31 Dec. 2023	596	(1,776)	202	33,426	11,332	3,463	47,243	473	47,716
	capital	shares	reserve	riserves	earnings	the year	owners of the parent	non- controlling	Total equity
	Share	Treasury	Legal	Other	Retained	Profit/(loss) for	Equity attributable to	Equity attributable to
								Figures in thousands of euros

								1 1941 69 111 11188591149 11 00000
	Share	Treasury	Legal	Other	Retained	Profit/(loss) for attributable to	Equity	Equity attributable to
	capital	shares	reserve	riserves	earnings	the year	owners of the	non-	Total equity
							parent	controlling
Balance at 31 Dec. 2024	596	(1)	202	32,170	14,449	(14,759)	32,657	500	33,157
Allocation of profit for the year				(320)	(14,439)	14,759
Long Terms Incentive Plan				1,662		-	1,662	-	1,662
Other movements	10			(9)	(10)	-	(9)	(1)	(10)
Other comprehensive income (expense)				126			126		126
Profit/(loss) for the period						(792)	(792)	(44)	(836)
Balance at 31 Mar. 2025	606	(1)	202	33,629	0	(792)	33,644	455	34,099

Notes to the consolidated financial statementsi

Basis of presentation and consolidation standards

The Alkemy Group Interim Financial Report at 31 March 2025 has been prepared as STAR issuer, in accordance with the provisions of Borsa Italiana Notice no. 7587 of 21 April 2016 "STAR Issuers: information on interim management statements"; the related contents are consistent with that established by Art. 154-ter, paragraph 5 of Italian Legislative Decree no. 58, dated 24 February 1998.

The Interim Financial Report is prepared on the basis of the booking and measurement criteria envisaged by the International Financial Reporting Standards (IFRSs) adopted by the European Union. The accounting standards adopted for the preparation of this Interim Financial Report are the same as those adopted for the preparation of the Group's annual Consolidated financial statements for the year ended at 31 December 2024, apart from the new standards in force from 1 January 2025, which had no significant impact on the period.

This Interim Financial Report has not been reviewed by the Independent Auditing Firm.

The Interim Financial Report is approved by Alkemy S.p.A.'s Board of Directors on 15 May 2025 and on that same date, the same body authorises its publication.

Income statement

1. Revenue

Revenue comes to 27,493 thousand euros (27,963 thousand euros in the first three months of 2024) and relates almost entirely to the sale of services.

Turnover for the first three months of 2025 decreased by 470 thousand euros (-1.7%) on the same period of the previous year. The decrease was mainly due to (i) the reduction in revenues of DGI Corp., the Serbian companies and Alkemy Iberia S.L.U., respectively by -728 thousand, -501 thousand and -207 thousand euros and (ii) the increase in revenues of Alkemy Latam S.A. and XCC S.r.l., respectively by +725 thousand and +151 thousand euros.

We report that the unfavourable euro-Mexican peso exchange rate has resulted in a decrease in revenue by 827 thousand euros, calculated using the same exchange rates as the comparative period.

2. Other income

Other income totals 550 thousand euros (434 thousand euros in the first three months of 2024) and may be analysed as follows:

	Figures in thousands of euros
	Q1 2025	Q1 2024
Capitalisation of costs	473	318
Tax credit	25	82
Government grants	44	11
Other revenue	8	23
Total other income	550	434

Revenue for capitalised costs came to 473 thousand euros and mainly relate to the internal implementation of software and platforms relative to the pursuit of the Group's commercial activities. The tax credit amounts to 25 thousand euros (82 thousand euros in the first three months of 2024) and relates to investments made by the Spanish subsidiary Innocv Solutions S.L. in research, development and technological innovation.

3. Services, goods and other operating costs

Costs for services, goods and other operating costs come to 13,005 thousand euros (12,728 thousand euros in the first three months of 2024). They may be analysed as follows:

		Figures in thousands of euros
	Q1 2025	Q1 2024
Services	12,817	12,480
Purchase of goods	73	142
Lease costs	57	65
Other operating costs	58	41
Total	13.005	12.728

Services

Costs for services come to 12,817 thousand euros (12,480 thousand euros in the first three months of 2024) and are detailed below:

		Figures in thousands of euros
	Q1 2025	Q1 2024
Services for customers	7.892	7,604
Media services for customers	3,253	3.381
Maintenance services	216	210
Marketing services	214	137
Travel and transfer expenses	161	132
Restaurant vouchers	166	165
Costs for non-recurring services	172	37
Other consultancy	109	122
Consultancy and legal expenses	91	116
Administrative services	118	81
Insurance	91	102
Audit and attestation fees	66	72
Postal, telephone and data transmission services	48	52
Condominium and supervisory expenses	47	47
Cleaning expenses	42	32
Utilities	32	28
Payslip processing	21	32
Banking services	17	18
Statutory Auditors' fees	19	2
Collaborators' fees	19
Other services	23	110
Total services	12,817	12,480

Services mainly include commercial costs incurred for activities provided to customers, media space, costs for third party services, distribution costs and costs for collaborators. The increase for the period, amounting to 337 thousand euros (+2.7%), is related mainly to the different mix of sales by the Group, which had a negative impact on the overall margins.

Purchase of raw materials

Costs for the purchase of raw materials total 73 thousand euros (142 thousand euros in the first three months of 2024) and mainly regard the purchase of materials related to some projects and consumable office materials.

Operating leases

Operating leases come to 57 thousand euros (65 thousand euros in the first three months of 2024) and relate to costs that, due to their contractual characteristics, do not come under the scope of IFRS 16.

Other operating costs

Other operating costs amount to 58 thousand euros (41 thousand euros in the first three months of 2024) and mainly refer to taxes, revenue stamps and other operating costs.

4. Personnel expense

Personnel expense comes to 14,055 thousand euros (13,427 thousand euros in the first three months of 2024), a decrease of 628 thousand on the same period in 2024 (+4.7%); this comprises:

	Figures in thousands of euros
	Q1 2025	Q1 2024
Wages and salaries	10,232	9.906
Non-recurring personnel expense	393	41
Directors' fees	191	281
Social security expenses	2.805	2,671
Costs for defined benefit plans	420	501
Cost of share-based payments		10
Other personnel expense	14	17
Total personnel expense	14,055	13.427

This item includes all costs incurred during the period, directly or indirectly relating to employees and collaborators, as well as directors' fees for 191 thousand euros.

The item "Non-recurring personnel expense" amounts to 393 thousand euros and includes all costs incurred for redundancy incentives granted and fully paid out in the period.

The average number of employees during the period was 902, compared with 922 in the same period of the previous year.

The Group had 900 employees at 31 March 2025, as compared with 925 in the same period of the previous year.

The total value of average wages and salaries per employee, net of directors' fees and non-recurring personnel costs, increased compared to the same period in 2024 (5.2%) as a result of contractual and merit-based salary increases granted from July 2024.

5. Amortisation/depreciation

Amortisation/depreciation comes to 1,141 thousand euros (1,208 thousand euros in the first three months of 2024) and consists of:

• 563 thousand euros (565 thousand euros in the first three months of 2024) related to the depreciation of right-of-use assets;
• 393 thousand euros (459 thousand euros in the first three months of 2024) related to the amortisation of intangible assets;
• 185 thousand euros (184 thousand euros in the first three months of 2024) related to the depreciation of property, plant and equipment.

6. Provisions and impairment losses

Provisions amount to 377 thousand euros (156 thousand euros in the first three months of 2024) and refer to impairment losses on trade receivables.

7. Other financial income

Other financial income comes to 87 thousand euros (164 thousand euros in the first three months of 2023) and is detailed below:

		Figures in thousands of euros
	Q1 2025	Q1 2024
Exchange gains	50	75
Earn-out gain		ব
Other financial income	37	85
Total other financial income	87	164

Exchange gains come to 50 thousand euros (75 thousand euros in the first three months of 2024) and essentially refer to the Mexican subsidiary Alkemy Latam S.A., which also generated most of the exchange losses totalling 79 thousand euros (77 thousand euros in the corresponding period of the previous year), included in financial expense, as detailed below.

Exchange gains and losses, which offset each other , refer to purchases and sales made in US dollars by the Mexican subsidiaries.

Other financial income amounts to 37 thousand euros (85 thousand euros in the first three months of 2024) and refers mainly to the return of the derivatives entered into to hedge the interest rate of

loans.

8. Other financial expense

Other financial expense comes to 522 thousand euros (615 thousand euros in the first three months of 2024) and is detailed below:

	Figures in thousands of euros
	Q1 2025	Q1 2024
Exchange losses	79	77
Interest expense on loans	151	168
Interest expense on put option and earn-out liabilities	96	188
Fair value loss on derivatives	9	18
Interest expense on employee benefits (IAS 19)	61	51
Interest on leases	48	47
Interest expense on current accounts	59	41
Other financial expense	19	25
Total other financial expense	522	615

The decrease in interest expenses on put options and earn-outs is related to the payment of part of the related liabilities, which took place in 2024.

9. Income taxes

Income taxes amount to +134 thousand euros (-189 thousand euros in the first three months of 2024) and were calculated in accordance with the prevailing tax legislation. These are detailed below:

	Figures in thousands of euros
	Q1 2025	Q1 2024
Current income tax	116	167
Current IRAP	19	41
Change in deferred tax assets	(270)	(4)
Change in deferred tax liabilities		15)
Total income taxes	(134)	189

10. Net financial debt

In accordance with the requirements laid down by CONSOB communication of 28 July 2006 and in compliance with the ESMA update in regard to the "Guidelines on disclosure obligations under the Prospectus Regulation" and with CONSOB's "Warning no. 5/21" dated 29 April 2021, below is the Group's net financial debt at 31 March 2025:

	Figures in thousands of euros
	31 Mar. 2025	31 Dec. 2024
A Cash	10.669	10.684
B Cash equivalents
C Other current financial assets
D Cash and cash equivalents (A + B + C)	10,669	10,684
Current financial liabilities (including debt instruments but excluding the current portion of non-current financial liabilities)	8,127	10,478
F Current portion of non-current financial liabilities	6.422	5,534
G Current financial debt (E + F)	14,549	16,012
H Net current financial debt (G - D)	3,880	5,328
I Non-current financial liabilities (excluding the current portion and debt instruments)	22,194	20,513
Debt instruments
K Trade payables and other non-current liabilities
L Non-current financial debt (I + J + K)	22,194	20,513
M Total financial debt (H + L)	26,074	25,841

Current financial liabilities include lease liabilities, the current portion of put option liabilities, invoice discounting and the current portion of loans and borrowings from other financial backers.

Non-current financial liabilities include the non-current portion of payables to banks, the financial liabilities from non-current rights of use, payables for earn-outs and the non-current portion of loans and borrowings from other financial backers.

Milan, 15 May 2025

On behalf of the Board of Directors the Chief Executive Officer Duccio Vitali

Attestation in accordance with Article 154-bis, 2nd paragraph, of Italian Legislative Decree no. 58 of 24 February 1998 "Consolidated text setting out provisions on financial intermediation", as subsequently amended

The Manager appointed to prepare the company's accounting documents, Claudio Benasso, attests, in accordance with paragraph two, Article 154-bis of the Consolidated Law on Finance (TUF), that the accounting information contained in this Alkemy Group interim report at 31 March 2025, coincides with the documentary evidence, ledgers and accounting records.

Milan, 15 May 2025

signed Claudio Benasso

(Manager appointed to prepare the company's accounting documents)