Abitare In

Management Reports • Feb 13, 2024

STILISTI URBANI - MADE IN MILAN

INTERIM DIRECTORS' REPORT AS AT 31 DECEMBER 2023

MANAGEMENT AND CONTROL BODIES 3
GROUP STRUCTURE AS AT 31 DECEMBER 2023 4
INTRODUCTION 5
ABITARE IN GROUP'S INTERIM REPORT ON OPERATIONS 7
Highlights 8
Pipelines under development 10
Group operating performance in the period ending 31 December 2023 12
Reclassified consolidated income statement 12
Reclassified consolidated statement of financial position 14
Financial debt 15
Main activities and events in the period 16
Events after 31 December 2023 16
Outlook 17
Research & Development activities 17
Overview of the main pending litigations 17
Other information 17
Consolidated Statement of Financial Position 19
Consolidated Income Statement 20
Consolidated Statement of Comprehensive Income 21
Statement of Changes in Equity 22
Consolidated Statement of Cash Flows (indirect method) 23
DECLARATION PURSUANT TO ARTICLE 154 BIS PARAGRAPH 2 OF LEGISLATIVE DECREE 24

MANAGEMENT AND CONTROL BODIES

Board of Directors

Luigi Francesco Gozzini - Chairman and Chief Executive Officer Marco Claudio Grillo - Chief Executive Officer Antonella Lillo - Independent Board member Stefano Massarotto - Independent Board member Mario Benito Mazzoleni - Independent Board member Nicla Picchi - Independent Board member Eleonora Reni - Board member Giuseppe Carlo Vegas - Board member

Board of Statutory Auditors

Ivano Passoni - Chairman Matteo Ceravolo - Standing statutory auditor Elena Valenti - Standing statutory auditor Fanny Butera - Substitute statutory auditor Marco Dorizzi - Substitute statutory auditor

Auditing firm BDO Italia S.p.A.

Manager in charge of preparing the accounting documents Cristiano Contini

Group structure as at 31 December 2023

INTRODUCTION

On 18 March 2016, Legislative Decree no. 25 of 15 February 2016 (the "Decree"), transposing Directive 2013/50/EU amending Directive 2004/109/EC on information about listed issuers (so-called Transparency Directive) came into force. The Decree eliminated the obligation to publish the interim directors' report in order to reduce administrative charges for listed issuers and to mitigate the focus on short-term results by issuers and investors.

With its notice of 21 April 2016, Borsa Italiana specified that for issuers with shares listed in the Star segment, the provisions of the Stock Exchange Regulations on the publication of the interim directors' report and, in particular, Article 2.2.3, paragraph 3, of the Stock Exchange Regulations, will continue to apply.

Consequently, this interim directors' report has been prepared to follow on from the previous interim reports, as indicated by the existing Article 154-ter, paragraph 5, of the Consolidated Law on Finance ("TUF"). Therefore, the provisions of the international accounting standard on interim financial reporting (IAS 34 "Interim financial reporting") are not adopted.

The International Accounting Standards (IAS) and International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and the related interpretations issued by the International Financial Reporting Interpretations Committee (IFRIC), endorsed by the European Commission and in force at the time of approval of this Report, have been applied for the valuation and measurement of the accounting figures included in this Interim Directors' Report. The accounting standards and criteria are consistent with those used for the preparation of the financial statements at 30 September 2022, which should be referred to for further details.

In view of the fact that Abitare In S.p.A. (hereinafter also "Abitare In") holds controlling interests, the Interim Directors' Report has been prepared on a consolidated basis. All the information included in this Re

port relates to the consolidated data of the Abitare In Group.

The Interim Directors' Report at 31 December 2023 was approved by the Board of Directors on 13 February 2024.

The subsidiaries' quarterly reports, used for the preparation of this Consolidated Interim Directors' Report, were reclassified for consistency with the parent company.

The data in this document are expressed in Euro, unless otherwise indicated.

Abitare In Development 6 S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Abitare In Development 7 S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 100,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Deametra Siinq S.r.l. Milan, via degli Olivetani 10/12 50,000 Edimi S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Homizy Siiq S.p.A. Milan, via degli Olivetani 10/12 115,850 70.72% Hommi S.r.l. Milan, via degli Olivetani 10/12 10,000 Housenow S.r.l. Milan, via degli Olivetani 10/12 10,000 Hub32 S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% MyCity S.r.l. Milan, via degli Olivetani 10/12 10,000 100% MyTime S.r.l. Milan, via degli Olivetani 10/12 10,000 100% New Tacito S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Palazzo Naviglio S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Porta Naviglio Grande S.r.l. Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 50,000 Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Milan, via degli Olivetani 10/12 10,000 100% Ziro S.r.l. Milan, via degli Olivetani 10/12 10,000 100% *: 70.72% owned by Abitare In S.p.A. through Homizy SIIQ S.p.A. Compared with the previous year, the following company has left the scope of consolidation as a result of its sale of its entire equity investment to third parties on 24 November 2023: Registered office Share Capital Milan, via degli Olivetani 10/12 10,000	Subsidiaries City Zeden S.r.l.
70,72% 70,72% 70,72% 70,72%
	Volaplana S.r.l.
	Trilogy Towers S.r.l.
	TheUnits S.r.l.
	Smartcity Siinq S.r.l.
	Savona 105 S.r.l.
	Mivivi S.r.l.
	Milano City Village S.r.l.
	Lambrate Twin Palace S.r.l.
	Just Home S.r.l.
	Immaginare S.r.l.
	Creare S.r.l.
	Costruire In S.r.l.
	Citynow S.r.l.
	Accursio S.r.l.
	Abitare In Maggiolina S.r.l.
Milan, via degli Olivetani 10/12 10,000 100%	Abitare In Development 5 S.r.l.
Milan, via degli Olivetani 10/12 10,000 100%	Abitare In Development 4 S.r.l.
	Abitare In Development 3 S.r.l.	Milan, via degli Olivetani 10/12	10,000	100%
	Subsidiaries	Registered office	Share Capital	% of ownership

Subsidiaries	Registered office	Share Capital

ABITARE IN GROUP'S INTERIM REPORT ON OPERATIONS

The AbitareIn Group specialises in implementing urban regeneration and redevelopment projects involving the purchase of disused or abandoned properties, their demolition and the building of new residential complexes (demolition and construction are entirely outsourced through tender contracts) and their marketing. The Group mainly addresses families who buy a home to live in, focusing its development activities, in particular, on the semi-central and semi-peripherical areas of the city of Milan, whose selection - the result of careful research within a portfolio of opportunities outlined by the Issuer's internal function - is based on the socio-economic fabric, demographics and the supply and demand relationship.

Starting from the end of 2019, the Group also launched the project called "Homizy". Homizy SIIQ S.p.A. is a company, 70,72% owned by the mother company Abitare In S.p.A., dedicated to the development of a new strategic line of business, namely the development and rental of residential properties through so-called co-living solutions, listed on the Euronext Growth Milan market, in the Professional Segment.

In particular, Homizy offers young employees, aged between 20 and 35, who relocate from their places of origin to a different city to pursue their careers or who want to fly the nest and become more independent, a smart, high-quality, dynamic and economically sustainable medium/long term living solution that guarantees efficiency of management and maintenance, innovative services and spaces for socialising.

Highlights (at the date of approval of this report)

Statement of financial position highlights

as at 31.12.2023

• 1. No. of apartments, considering an average surface area of 92 m² for the marketing in unrestricted building and 82 m² for social housing. the actual number of apartments built and for which contracts have been signed - without prejudice to the combined floor area, may vary depending on the level of customisation of the real estate units
• 1. May differ from the no. of apartments depending on the actual size of the apartments sold. In the most recent transactions, Abitare In has noted a significant and progressive increase in the average size of apartments sold.
• 1. About 16,500 m² of net saleable area for development with the co-living formula by the subsidiary Homizy are included.
• 1. Of which 22,373 m² of social housing.

Pipeline under development (at the date of approval of this report)

As of today, the Group's development pipeline, excluding completed and delivered projects, consists of 20 areas, totaling approximately 243,000 square meters of commercial space. This corresponds to approximately 2,630 Standard apartments ¹ distributed across various semi-central and semiperipheral areas of the City of Milan (with the exception of an area in Rome), in contexts with high growth potential. These various initiatives are at different stages of development, following the Company's business model.:

As of today, 473¹ apartments from the pipeline have been preliminarily sold, amounting to a value of €214.7 million, with contracted advances (secured by an insurance surety policy) totaling €65.7 million. Additionally, 358¹ apartments are currently under construction.

Delivered units

To date, the Group has delivered 835¹ apartments across the projects Abitare In Poste, Abitare In Maggiolina, Olimpia Garden, Milano City Village, Palazzo Naviglio, and Trilogy Towers, with a total value of nearly € 300 million.

^1. No. of apartments, considering an average surface area of 92 m² for the marketing in unrestricted building and 82 m² for social housing. the actual number of apartments built and for which contracts have been signed - without prejudice to the combined floor area, may vary depending on the level of customisation of the real estate units

Group operating performance in the period ending 31 December 2023

The main elements of the reclassified consolidated income statement and the reclassified consolidated statement of financial position are presented below.

Description Amounts in Euro units	31.12.2023	% on core business	31.12.2022	% on core business
		revenues		revenues
Revenue from the sale of real estate	5,751,048	36.35%	16,433,056	37.01%
Changes in inventory of work in progress and finished products	9,183,778	58.05%	11,380,905	25.63%
Change in inventory of real estate complexes purchased		0 0.00%	2,550,000	5.74%
Other revenue	885,492	5.60%	14,041,234	31.62%
Total revenue from operating activities	15,820,318	100.00%	44,405,195	100.00%
Production costs	10,193,405	64.43%	37,764,472	85.05%
ADDED VALUE	5,626,913	35.57%	6,640,723	14.95%
Personnel expenses	1,216,401	7.69%	906,827	2.04%
Other operating expenses	489,909	3.10%	924,051	2.08%
EBITDA	3,920,603	24.78%	4,809,845	10.83%
Depreciation/amortisation, impairment and other provisions	312,314	1.97%	302,562	0.68%
EBIT	3,608,289	22.81%	4,507,283	10.15%
Financial income and expenses and adjustments to financial assets	(543,600)	-3.44%	(2,274,037)	-5.12%
EBT	3,064,689	19.37%	2,233,246	5.03%
Income taxes	(1,107,103)	-7.00%	(1,130,016)	-2.54%
Profit (loss) for the year	1,957,586	12.37%	1,103,230	2.48%

Reclassified consolidated income statement

• €5.7 million in Revenue from Sales resulting from the notarized deeds of real estate units (€16.4 million in the first quarter of the last fiscal year), mainly stemming from the deliveries of the remaining real estate units in the Milano City Village project, amounting to €3.3 million, Palazzo Naviglio, amounting to €0.7 million, and Trilogy Towers, amounting to €1.4 million." €9.2 million in inventory variation due to progress in construction (compared to a variation of €11.4 million in the first quarter of the previous fiscal year), net of the reduction resulting from the delivery (following the notarization of sales) of apartments to customers. The progress of production amounts to €14.0 million (€26.4 million as of December 31, 2022).

The works are progressing on Porta Naviglio Grande – scheduled for delivery at the end of the year –, The Units, Lambrate Twin Palace, and Palazzo Sintesy. Meanwhile, the construction site activities for BalduccioDodici are nearing completion.

• Other operating income of €0.9 million as of 31 December 2023 (€14.0 million as of 31 December 2022) mainly includes increases in property, plant and equipment in progress inherent in investments in real estate intended for lease in the form of co-living in the subsidiaries Smartcity Siinq S.r.l. and Deametra Siinq S.r.l. in the total amount of €0.4 million. This item also includes other service revenues from third parties related to preand post-sale services provided to third-party real estate developers.

CONSOLIDATED EBT, equal to €3.1 million (€2.2 million in the first quarter of last year), is mainly generated by the marginality of ongoing projects.

CONSOLIDATED EARNINGS amounted to €1.9 million (€1.1 million as at 31 December 2022).

Reclassified consolidated statement of financial position
Investments Amounts in Euro units	31.12.2023	30.09.2023
Intangible assets	2,335,760	2,315,962
Property, plant and equipment	28,082,407	27,525,067
Financial assets	111,032	184,544
Equity investments in other companies	1,965,002	2,022,472
Other non-current assets	1,947,984	2,080,880
Other current assets	25,913,170	28,868,549
Inventory	179,156,680	169,786,314
Other current and non-current liabilities	(79,919,431)	(84,610,342)
NET INVESTED CAPITAL	159,592,604	148,173,446
Cash and cash equivalents	(28,702,995)	(28,917,054)
Financial receivables	(2,787,939)	(2,200,000)
Financial assets carried at fair value	(15,358,031)	(15,220,554)
Current financial payables	13,271,169	11,105,340
Non-current financial payables	83,070,709	73,751,305
FINANCIAL DEBT	49,492,913	38,519,037
Share capital	133,004	133,004
Reserves and profit (loss) carried forward	107,955,381	85,231,865
Profit (loss) for the year	2,011,306	24,289,540
EQUITY	110,099,691	109,654,409
	159,592,604	148,173,446

Reclassified consolidated statement of financial position

The change in intangible fixed assets is mainly due to the increase of € 0.2 mln as a result of investments made by the Group in relation to the development and integration of the AbitareIn Corporate E-Commerce platform, fully integrated with all business processes, aimed at the sale of houses online and the development and integration of an online configurator for the customization of apartments.

The increase in property, plant and equipment is mainly due to investments in properties intended for lease in the co-living formula by the subsidiary Homizy SIIQ S.p.A. for a total amount of € 0.4 mln. The change in financial assets is exclusively due to the mark-to-market valuation of cash flow hedge derivatives entered into by the holding company Abitare In S.p.A. and the subsidiary Porta Naviglio Grande S.r.l.

Equity investments in other companies decreased by € 0.1 mln resulting from the write-down of the investment in Tecma Solutions S.p.A. to fair value.

The change in inventories is mainly attributable to the progress of the state of work on construction sites under development, net of the discharges resulting from the deliveries of the real estate units of the Milano City Village, Palazzo Naviglio and Trilogy Towers projects.

Financial Debt

	Financial Debt
	Financial Debt
	31.12.2023	31.12.2023	30.09.2023	Change
	amounts in Euro units
A.	Cash and cash equivalents	28,702,995	28,917,054	(214,059)
B.	Means equivalent to cash and cash equivalents			-
C.	Other current financial assets	18,145,970	17,420,554	725,416
D.	Liquidity (A) + (B) + (C)	46,848,965	46,337,608	511,357
E	Current financial payables	-	-	-
F.	Current portion of non-current debt	13,271,169	11,105,340	2,165,829
G.	Current financial debt (E) + (F)	13,271,169	11,105,340	2,165,829
H.	Net current financial debt (G) - (D)	(33,577,796)	(35,232,268)	1,654,472
	Non-current financial payables	83,070,709	73,751,305	9,319,404
I.	Debt instruments	-	-	-
J.
K.	Trade payables and other non-current payables	-	-	-
L.	Non-current financial debt (I) + (J) + (K)	83,070,709	73,751,305	9,319,404

Financial debt as of 31 December 2023 was € 49.5 mln, compared to € 38.5 mln as of 30 September 30. This variation is primarily attributable to the disbursement related to the dividend payment on October 4, 2023 (resolved in the 2023 fiscal year) for € 9.9 mln and the execution of the share buyback plan, for € 1.5 mln.

The change in cash and cash equivalents is mainly attributable to cash generation from operating activities in the amount of € 1.5 mln, from 'investing activities in the amount of € 0.9 mln, from the taking out of loans in the amount of € 13.9 mln, from the repayment of loans in the amount of € 2.7 mln, from the payment of dividends in the amount of € 9.9 mln, and from the purchase of treasury shares in the amount of € 1.5 mln, as shown in the statement of cash flows schedule.

Main activities and events in the period

During the reference period, the Group continued its operational activities on the areas of the pipeline, both on those with ongoing construction activities and those in less advanced stages. The preparatory development activities for the project realization are carried out continuously by the Group, which currently has a pipeline of 20 projects in various stages of development.

In November, the contract for the implementation of the BalduccioDodici project was awarded, and construction works were initiated.

Also in November, the Company announced the expansion of its business model by providing services to third-party developers. The first project of this kind emerged in collaboration with Techbau S.p.A., a leading engineering and construction company, and the main developer and general contractor in the private sector nationwide. Techbau recently initiated a new residential development project in Milan called "Corte dei Principi." Additionally, there is another project, Aurelia New Living, also developed by Techbau, in the city of Rome.

AbitareIn has made its technological platform and expertise available for marketing and communication activities, product optimization, floor plan refinement, apartment customization, and customer care in support of these projects.

On November 24, 2023, a preliminary sales contract was signed for the total stake in the share capital of City Zeden Srl. and the shareholder loan granted to it, all for a total consideration of €2.1 million. The company is the promissory buyer of a property located in Milan, in "Greco" area.

Events after 31 December 2023

In January, a company within the Group signed a preliminary purchase agreement for a plot located in Milan, in the area of Porta Romana Scalo. The contract involves a total consideration, payable at the notarial deed, of approximately €4.5 million.

On January 23, 2024, the Shareholders' Assembly of AbitareIn approved the appointment of the new Board of Directors and the new Board of Statutory Auditors, in office until the approval of the financial statements closing on September 30, 2026. The composition is as follows:

Board of Directors:

• Luigi Francesco Gozzini Chairman and CEO
• Marco Claudio Grillo CEO
• Eleonora Reni Director
• Mario Benito Mazzoleni Independent Director
• Giuseppe Vegas Independent Director
• Nicla Picchi Independent Director
• Antonella Lillo Independent Director
• Massimo Massarotto Independent Director

Board of Statutory Auditors:

• Ivano Passoni Chairman
• Elena Angela Maria Valenti Effective Auditor
• Matteo Ceravolo Effective Auditor
• Dorizzi Marco Substitute Auditor
• Fanny Butera Substitute Auditor

Outlook

In the ongoing fiscal year, AbitareIn will continue its project marketing activities, utilizing the strategy of so-called "micro-campaigns." This approach allows for better alignment of sale prices with potential market prices and reduces the time between sales and the delivery of real estate units, all without increasing the level of business risk.

As previously announced, the Company has expanded its business model through partnerships with other operators. In these collaborations, AbitareIn provides its technological platform and expertise in marketing and sales activities, product optimization, floor plan refinement, apartment customization, and customer care.

Currently, AbitareIn is serving as a service provider for third parties on two projects, one in Milan and one in Rome. The Company is also considering expanding its presence in the Rome market, especially in light of the current situation in Milan. AbitareIn is investing in the study of new products that involve the preservation of existing properties, aiming to reduce construction timelines and environmental impact both during construction and in terms of energy efficiency.

Research & Development activities

During the first quarter, the development and integration of the Home-configurator platform was continued. The total investment incurred in the reporting period amounted to Euro 175 thousand.

Overview of the main pending litigations

There were no changes with respect to those described in the half-yearly consolidated financial statements at 30 September 2023.

Other information

Adoption of the legislative simplification process adopted with CONSOB resolution no. 18079 of 20 January 2012

On 10 December 2020, the Board of Directors of Abitare In S.p.A. resolved to adopt the simplification regime provided for in Articles 70, paragraph 8, and 71, paragraph 1-bis, of the Regulation adopted

by CONSOB with resolution no. 11971 of 14 May 1999, as amended, thus availing itself of the right to waive the obligations to publish the information documents envisaged in Annex 3B of the aforementioned CONSOB Regulation at the time of significant mergers, demergers, capital increases through the contribution of assets in kind, acquisitions and disposals.

Consolidated Statement of Financial Position

	31.12.2023	30.09.2023
Property, plant and equipment	28,082,407	27,525,067
Intangible assets	2,335,760	2,315,962
Financial activities	111,032	184,544
Equity investments in other companies	1,965,002	2,022,472
Deferred tax assets	1,947,984	2,080,880
TOTAL NON-CURRENT ASSETS	34,442,185	34,128,925
Inventory	179,156,680	169,786,314
Financial receivables	2,787,939	2,200,000
Financial assets carried at fair value	15,358,031	15,220,554
Trade receivables	1,353,849	808,301
Other current assets	20,293,834	23,933,618
Current tax assets	4,265,487	4,126,630
Cash and cash equivalents	28,702,995	28,917,054
TOTAL CURRENT ASSETS	251,918,815	244,992,471
TOTAL ASSETS	286,361,000	279,121,396
Share capital	133,004	133,004
Reserves	49,201,026	50,713,330
Profit (loss) carried forward	54,999,945	30,710,405
Profit (loss) for the year	2,011,306	24,289,540
EQUITY ATTRIBUTABLE TO THE OWNERS OF THE PARENT	106,345,281	105,846,279
Profit and reserves attributable to non-controlling interests	3,754,410	3,808,130
EQUITY	110,099,691	109,654,409
Non-current financial liabilities	83,070,709	73,751,305
Employee benefits	414,071	389,915
Other non-current liabilities	339,171	335,184
Customer down payments and deposits	48,536,980	44,181,101
Deferred tax liabilities	3,736,880	3,316,613
TOTAL NON-CURRENT LIABILITIES	136,097,811	121,974,118
Current financial liabilities	13,271,169	11,105,340
Trade payables	8,761,719	7,161,139
Other current liabilities	9,252,497	19,188,275
Customer down payments and deposits	1,549,153	3,029,646
Current tax liabilities	7,328,960	7,008,469
TOTAL CURRENT LIABILITIES	40,163,498	47,492,869
TOTAL LIABILITIES	176,261,309	169,466,987
TOTAL LIABILITIES AND EQUITY	286,361,000	279,121,396

Consolidated Income Statement

Consolidated Income Statement
	31.12.2023	31.12.2022
Revenue from sales	5,751,048	16,433,056
Change in inventory for progress of works	9,183,778	11,380,905
Change in inventory for new sites purchased	-	2,550,000
Other revenue	885,492	14,041,234
TOTAL REVENUE	15,820,318	44,405,195
Property purchased for redevelopment for sale	-	2,550,000
Property purchased for redevelopment for rental	-	12,500,000
Raw materials, consumables, supplies and goods	15,194	25,498
Services	10,148,091	22,648,499
Rentals and similar	30,120	40,474
Personnel expenses	1,216,401	906,827
Depreciation/Amortisation	301,479	277,150
Impairment losses and provisions	10,835	25,413
Other operating expenses	489,909	924,051
TOTAL OPERATING EXPENSES	12,212,029	39,897,912
EBIT	3,608,289	4,507,283
Financial income	1,395,114	6,495
Financial expenses	(1,938,714)	(2,280,532)
EBT	3,064,689	2,233,246
Income taxes	(1,107,103)	(1,103,016)
PROFIT (LOSS) FOR THE YEAR	1,957,586	1,130,230
Of which:
Net profit (loss) attributable to non-controlling interests	(53,720)	71,877
Net profit (loss) attributable to the owners of the Parent	2,011,306	1,058,353

Consolidated Statement of Comprehensive Income

	31.12.2023	31.12.2022
Profit (loss) for the year	1,957,586	1,130,230
Other comprehensive income
That will not be subsequently reclassified in profit or loss
for the year
Employee benefits	11,093	(1,300)
Tax effect	(2,462)	313
Total	8,631	(987)
That will be subsequently reclassified in profit or loss for
the year
Hedging instruments	(73,512)	6,667
Tax effect	17,643	(1,600)
Total	(55,869)	5,067
Total change in OCI reserve	(47,238)	4,080
Comprehensive income for the period	1,910,348	1,134,310
Of which:
Net profit (loss) attributable to non-controlling interests	(53,720)	71,877
Net profit (loss) attributable to the owners of the Parent	1,964,068	1,062,433
Earnings per share	0.07	0.04
Diluted earnings per share	0.07	0.04

Statement of Changes in Equity

Statement of Changes in Equity
	Share capital	Share premium reserve	Legal reserve	Stock grant reserve	FTA reserve	Treasury stock reserve	Consolidatio n reserve		OCI reserve Profit from previous years	Profit for the year	Total	Equity attributable to non- controlling	Total
Equity at 1 October 2022 Profit (loss) for the year	132,654	40,743,801	39,651	4,113,251	280,589	-	5,876,568	248,466	32,743,810	7,892,419 1,031,353	92,071,209 1,031,353	interests 3,936,171 71,877	96,007,380 1,103,230
Actuarial valuation of TFR Hedging derivates valuation Stock grant plan				157,708				(987) 5,067			(987) 5,067 157,708		(987) 5,067 157,708
Allocation of the profit for the year Equity at 31 December 2022	132,654	40,743,801	39,651	4,270,959	280,589	-	5,876,568	252,546	40,636,229	7,892,419 (7,892,419) 1,031,353	- 93,264,350	4,008,048	- 97,272,398
	Share capital	Share premium reserve	Legal reserve	Stock grant reserve	FTA reserve	Treasury stock reserve	Consolidatio n reserve		OCI reserve Profit from previous years	Profit for the year	Total	Equity attributable to non- controlling interests	Total
Equity at 1 October 2023 Profit (loss) for the year	133,004	41,080,488	39,651	4,401,853		280,589 (1,115,515)	5,876,568	149,696 8,631	30,710,405	24,289,540 2,011,306	105,846,279 2,011,306 8,631	3,808,130 (53,720)	109,654,409 1,957,586 8,631
						(1,465,066)		(55,869)			(55,869) (1,465,066)		(55,869) (1,465,066)
Actuarial valuation of TFR Hedging derivatives valuation Purchase of own shares Allocation of the profit for the year										24,289,540 (24,289,540)	-		-

Share capital	Share premium reserve	Legal reserve	Stock grant reserve	FTA reserve	Treasury stock reserve	Consolidatio n reserve

Consolidated Statement of Cash Flows (indirect method)

Consolidated Statement of Cash Flows (indirect method)
	31.12.2023	31.12.2022
Operating activities
Profit (loss) for the year	1,957,586	1,103,230
Income taxes	1,107,103	1,130,016
Financial income	(1,395,114)	(6,495)
Financial expenses	1,938,714	2,280,532
(Capital gains)/losses from asset disposals	-	(2,239)
Net accruals to provisions	46,701	58,228
Accrual to stock grant reserve	-	157,708
Impairment and depreciation/amortisation of property, plant and
equipment and intangible assets	301,479	277,149
Cash flows before changes in net working capital	3,956,469	4,998,129
Decrease/(increase) in inventory	(9,370,366)	(13,201,770)
Increase/(decrease) in trade payables	1,600,580	(577,980)
Decrease/(increase) in trade receivables	(545,548)	(91,248)
Change in other current/non-current assets and liabilities	7,328,141	(3,048,266)
Net financial income/expenses collected/paid	(1,438,485)	(1,520,689)
Taxes paid	-	-
Use of provisions	(14,673)	(1,243)
Cash flows from (used in) operating activities (A)	1,516,118	(13,443,067)
Investing activities
Investments in property, plant and equipment	(285,324)	(444,999)
Disposal of property, plant and equipment	-	2,239
Real estate investments	(368,166)	(12,836,383)
Investments in intangible assets	(225,125)	(46,866)
Cash flows from (used in) investing activities (B)	(878,615)	(13,326,009)
Financing activities
Bank loans raised	13,971,548	20,628,660
Bank loan repayments	(2,682,478)	(7,229,816)
Change in current/non-current financial liabilities	(24,325)	(68,382)
Net change in current financial assets	(725,416)	-
Investment in own shares	(1,465,066)	-
Share capital increase against consideration	(9,925,824)	-
Cash flows from (used in) financing activities (C)	(851,561)	13,330,462
Net cash flows in the period (A)+(B)+(C)	(214,058)	(13,438,614)
Cash and cash equivalents at the beginning of the year	28,917,053	32,365,487
Increase/(decrease) in cash and cash equivalents from 1 October to 31	(214,058)	(13,438,614)
December
Cash and cash equivalents at the end of the year	28,702,995	18,926,873

DECLARATION PURSUANT TO ARTICLE 154 BIS, PARAGRAPH 2 OF LEGISLATIVE DECREE NO. 58/191

The Manager in charge of preparing the accounting and corporate documents Cristiano Contini declares, pursuant to paragraph 2 of article 154 bis of the Consolidated Law on Finance (Legislative Decree 58/1998), that the Interim Directors' Report at 31 December 2023 corresponds to the documentary results, accounting books and records.

The Manager in charge of preparing the accounting and corporate documents Cristiano Contini

On behalf of the Board of Directors The Chairman Luigi Gozzini