Basic Net SpA — Earnings Release 2020

Mar 2, 2021

FY2020 Conference call

March 2nd 2021

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AGGREGATED SALES

CONSOLIDATED SALES

Aggregated Sales of Sourcing Centers (ASSC, Eu mn) Aggregated Sales of Licensees (ASL, Eu mn)

Consolidated sales of goods (Eu mn)

Royalties income ASSC (Eu mn)

Royalties income ASL (Eu mn)

	FY 2020	FY 2019	Variance
in € million
Total Consolidated revenues	259,7	305,7	- 15,0%
EBITDA	19,8	42,5	- 53,4%
EBITDA %	7,6%	13,9%
EBIT	7,6	30,6	- 75,3%
EBIT %	2,9%	10,0%
Net result	8,6	21,1	- 59,2%
Free cash flow	10,5	6,8
Trade Working Capital	59,3	88,8	-33,2%

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in € .000	FY 2020	FY 2019
Consolidated direct sales	213.756	250.148
Cost of sales	(127.125)	(142.954)
GROSS MARGIN	86.631	107.195
Royalties and Sourcing Commissions	45.975	55.551
Other income	8.490	6.616
Sponsorship and media costs	(38.284)	(42.186)
Labour cost	(28.893)	(32.161)
SG&A	(54.092)	(52.493)
EBITDA	19.826	42.521
Depreciation and Amortisation	(12.275)	(11.964)
EBIT	7.551	30.557
Net financial income (charges)	(774)	(1.185)
EBT	6.777	29.372
Income taxes	1.804	(8.319)
NET RESULT	8.581	21.053

INCOME STATEMENT CASH FLOW STATEMENT

in € .000	FY 2020	FY 2019
Net Financial Position, opening	(78.274)	(51.681)
First adoption of IFRS 16	-	(18.046)
Net result Depreciation and Amortisation Changes in Operating Working Capital Other Operating Cash Flow	8.581 12.275 20.406 (1.620) 39.642	21.053 11.964 (701) 496 32.812
Purchase of Kappa Japan Changes in consolidation area Recurring capex and other Capital expenditures, net	(10.945) (10.466) (7.760) (29.171)	- (17.371) (8.604) (25.975)
New Debts for Right of Use, net Acquisition of treasury shares Dividends Other financing activities Financing activities, net	(9.143) (3.022) (6.372) 4.179 (14.358)	(4.519) (4.398) (6.468) - (15.385)
Change in Net Financial Position	(3.888)	(8.548)
Net Financial Position, closing	(82.162)	(78.274)

Income taxes walk

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in € .000	31.12.20	31.12.19	Var
Net Cash	(6.266)	(27.040)	20.774
ST portion of MT Loans	(8.412)	(9.169)	757
MT Loans	(44.387)	(19.939)	(24.448)
IFRS 16 debt	(23.097)	(19.287)	(3.809)
Put/call option	-	(2.839)	2.839
Net Financial Position:	(82.162)	(78.274)	(3.887)
NFP/Equity:	0,69	0,64	0,05

	2020	2019	2018
Dividend per Share:	Euro 0,06	Euro 0,12	Euro 0,12
Total dividends:	Euro 3,1 million	Euro 6,4 million	Euro 6,5 million
Net result:	Euro 8,6 million	Euro 21,1 million	Euro 21,0 million
Share value (Dec 31):	4,16 Euro	5,20 Euro	4,43 Euro
Pay-out ratio:	36,6%	30,3%	30,8%
Dividend yield (Dec 31):	1,4%	2,3%	2,7%

The dividend will be paid from April 21th 2021, with coupon at April 19th 2021 and record date of April 20th 2021

	Proposal to Shareholders' April 8th, 2021	Shareholder's resolution on June 26th, 2020	Shareholder's resolution on April 19th, 2019
Buy-back plan:	Euro 10 million	Euro 10,0 million	Euro 4,0 million
Effective purchases:		Euro 3,4 million	Euro 4,0 million
Purchased Shares (no.):		925.496	820.633
Average purchase price:		Euro 3,68	Euro 4,87
Purchased Shares (in %):		1,52%	1,35%
Total treasury shares (in %):		14,08%	12,89%

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Glossary

Aggregated Sales of Licensees (ASL)	sales by commercial licensees
Aggregated Sales of Sourcing Centers (ASSC)	sales by productive licensees
Communication investments	Sponsorship and media costs along with Commercial expenses
Consolidated sales	the sum of royalties income from ASL, sourcing commissions from ASSC and direct sales of goods