DATAGROUP SE — Interim / Quarterly Report 2022

May 23, 2023

Semi-Annual Report of DATAGROUP SE, Pliezhausen, for the First Half of 2022/2023

Overview of Key Figures

Figures in TEUR		Changes yoy		H1 2022/2023		H1 2021/2022 1		Changes yoy		Q2 2022/2023		Q2 2021/2022 1
Revenues	3,402	1.4%	251,047	100.0%	247,645	100.0%	-1,143	-0.9%	123,340	100.0%	124,483	100.0%
thereof services and maintenance	-3,059	-1.5%	201,333	80.2%	204,392	82.5%	-1,292	-1.3%	100,751	81.7%	102,043	82.0%
thereof retail	6,486	15.0%	49,699	19.8%	43,213	17.4%	122	0.5%	22,378	18.1%	22,256	17.9%
thereof other / consolidation	-25	-62.5%	15	0.0%	40	0.0%	27	14.7%	211	0.2%	184	0.1%
Other own work capitalized	149	21.7%	837	0.3%	688	0.3%	197	103.1%	388	0.3%	191	0.2%
Changes in capitalized contract costs	428	-26.9%	-1,163	-0.5%	-1,591	-0.6%	281	-38.6%	-447	-0.4%	-728	-0.6%
Total revenues	3,979	1.6%	250,721	99.9%	246,742	99.6%	-665	-0.5%	123,281	100.0%	123,946	99.6%
Material expenses / Expenses for purchased services	-6,489	-7.3%	82,066	32.7%	88,555	35.8%	-6,587	-15.1%	37,130	30.1%	43,717	35.1%
Gross profit	10,468	6.6%	168,655	67.2%	158,187	63.9%	5,922	7.4%	86,151	69.8%	80,229	64.4%
Personnel expenses	5,871	5.3%	117,310	46.7%	111,439	45.0%	2,680	4.7%	59,590	48.3%	56,910	45.7%
Other income etc.	253	5.7%	4,713	1.9%	4,460	1.8%	272	16.2%	1,949	1.6%	1,677	1.3%
Other expenses etc.	2,834	20.5%	16,639	6.6%	13,805	5.6%	1,960	28.8%	8,767	7.1%	6,807	5.5%
EBITDA	2,016	5.4%	39,419	15.7%	37,403	15.1%	1,554	8.5%	19,743	16.0%	18,189	14.6%
Other depreciation	-946	-6.9%	12,846	5.1%	13,792	5.6%	36	0.5%	6,597	5.3%	6,561	5.3%
EBITA	2,962	12.5%	26,573	10.6%	23,611	9.5%	1,518	13.1%	13,146	10.7%	11,628	9.3%
Depreciation from PPA	164	4.6%	3,764	1.5%	3,6001	1.5%	45	2.5%	1,845	1.5%	1,8001	1.4%
EBIT	2,798	14.0%	22,809	9.1%	20,0111	8.1%	1,473	15.0%	11,301	9.2%	9,8281	7.9%
Financial result	100	-8.0%	-1,149	-0.5%	-1,249	-0.5%	-85	12.6%	-758	-0.6%	-673	-0.5%
EBT	2,898	15.4%	21,660	8.6%	18,7621	7.6%	1,388	15.2%	10,543	8.5%	9,1551	7.4%
Taxes on income and profit	512	7.7%	7,154	2.8%	6,6421	2.7%	49	1.5%	3,270	2.7%	3,2211	2.6%
Net income	2,386	19.7%	14,506	5.8%	12,1201	4.9%	1,339	22.6%	7,273	5.9%	5,9341	4.8%
Shares (in 1,000 units)			8,331		8,331				8,331		8,331
¹plus treasury shares (in thousand units):			18		18				18		18
EPS	0.29	19.7%	1.74		1 1.45		0.16	22.6%	0.87		0.711
Tax rate			33.0%		35.4%1				31.0%		35.2%1

¹ Individual items of the prior-year figures were adjusted because of the final purchase price allocation of companies acquired in fiscal year 2020/2021.

Figures in TEUR	31.03.2023	30.09.2022
Balance sheet total	474,045	483,584
Equity	134,597	127,458
Equity ratio (in %)	28.4	26.4
Net debt	107,582	109,302
Net debt to EBITDA	1.36	1.43

Overview of Key Figures 1
Interim Consolidated Management Report6
Organizational and Legal Structure of the DATAGROUP Group6
Focus of Activity, Sales Markets and Competitive Position of DATAGROUP 8
Environment 10
Revenue and Earnings 10
Financial and Asset Position 11
Order Development 12
Risks and Opportunities 12
Outlook 13
Events After the Reporting Period13
Stock and Annual General Meeting13
Consolidated Financial Statements15
Consolidated Income Statement 15
Consolidated Statement of Comprehensive Income15
Consolidated Statement of Financial Position16
Consolidated Statement of Cash Flows 18
Consolidated Statement of Changes in Equity19
Notes to the Consolidated Financial Statements 21

General21
Transactions with Affiliated and Associated Companies and/or Persons 21

DATAGROUP Posts Very Good Business Results for the First Half of FY 2022/2023

Dear Shareholders, Dear Business Partners, Dear Customers, Dear Employees,

We are very pleased to inform you about a successful first half of the new fiscal year with very good results, especially profitability.

Cost increases triggered by inflation have been more than compensated for through systematic measures, even under difficult general conditions. For instance, services provided by third parties have increasingly been undertaken by our own staff in the past six months. We have increased revenues although the one-off business with Covid-19 vaccination centers, which was still up and running in the prior-year period, had come to an end while simultaneously some of our companies were transformed towards the CORBOX business as planned. The latter often involves a change from low-margin to higher-margin revenues and means that we temporarily do without revenue. The successful overcompensation of these effects is based on the acquisition of new CORBOX contracts and on upselling.

These CORBOX contracts range from full IT outsourcing, which includes the management of the entire IT infrastructure of a customer, to individual IT services such as managed & private cloud services, public cloud services and end user services to SAP hosting. For instance, the contract with NBank, the investment and business promotion bank of the federal state of Lower Saxony, was extended. The main focus of activities was the provision of data center services, e.g. hosting and operation of the SAP core systems as well as the data warehouse. This is now complemented by other services from the modular CORBOX portfolio in the areas of service desk, security, database services and network.

DATAGROUP expects the positive order trend to continue, as the company has already signed additional new contracts with a volume of some EUR 30m just recently.

Revenues increased from EUR 247.6m to EUR 251.0m (+1.4 %) in the first half of the year. Earnings have shown a particularly positive development: Operating earnings before taxes, interest, depreciation and amortization (EBITDA) improved by 5.4 % to EUR 39.4m (PY EUR 37.4m). The EBITDA margin showed a further improvement, growing from 15.1% to 15.7%. Earnings before interest and taxes (EBIT) improved by 14.0 % to EUR 22.8m (PY EUR 20.0m). The EBIT margin increased significantly from 8.1 % to 9.1 % and exceeded management's mid-term ambition of 9 %. The rise in investments in property, plant and equipment and in intangible assets (CAPEX) from EUR 3.4m in the prior-year period to EUR 7.6m was mainly driven by the planned and almost finalized conversion and expansion of the data center infrastructure based on an increase in business volume. Earnings per share were 174 cents compared to 145 cents in the previous year, an increase of 19.7 %. Cash flow from operating activities also remains at a very high level of EUR 28.4m. Despite the payment of dividends for the fiscal year 2021/2022 in March 2023, net debt was reduced from 1.43 to 1.36 of EBITDA compared to 30 September 2022.

It becomes obvious: Our very good H1 figures and the strong order intake re-confirm the resilience and profitability of DATAGROUP's business model and underline our clear confidence that we will meet our guidance. Our CORBOX service portfolio is high in demand for its flexibility on the one hand and its wide range of IT outsourcing services on the other hand. The long-term contracts with our customers guarantee a reliable business development. Our growth strategy is supported on a sustainable basis by financial resources and credit lines which were secured in a recently completed financing round with several banks.

Just after the end of the reporting period, we have acquired systemzwo GmbH, an Ulm-based system house, which supports the company's focus on the path of inorganic growth. systemzwo is the 30th acquisition of DATAGROUP since the IPO in 2006. systemzwo GmbH was founded in 2007 and supports Mittelstand companies in Ulm and its surrounding area with a current headcount of 38 employees. The company generated revenue of almost EUR 13m in the last fiscal year and will be consolidated in the DATAGROUP Group with effect from 1 April 2023. The customer portfolio of systemzwo is a substantial addition to the existing client base of DATAGOUP in this region. With it, we are continuing to expand our regional footprint in Ulm.

Furthermore, DATAGROUP has increased its stake in URANO Informationssysteme GmbH from 70 % to 100 % with effect from 3 April 2023. The first stake in the Bad Kreuznach-based IT service provider was acquired in May 2021. At that time, the agreement included an option to buy the remaining 30 % of the shares in two years' time. This step marks the end of the two-year transition phase.

We would like to thank our business partners, customers and shareholders for the confidence they have invested in us and our employees for their commitment.

Pliezhausen, 23 May 2023

DATAGROUP SE Management Board

Andreas Baresel Chief Executive Officer

Oliver Thome Chief Financial Officer, Investor Relations and M&A

Dr. Sabine Laukemann Chief Human Resources Officer, Strategy and Organization

Interim Consolidated Management Report

Organizational and Legal Structure of the DATAGROUP Group

DATAGROUP SE. PLIEZHAUSEN
SERVICES DATAGROUP BIT Düsseldorf DATAGROUP BIT Hamburg DATAGROUP BIT Oldenburg DATAGROUP Bremen DATAGROUP Frankfurt DATAGROUP Hamburg DATAGROUP Köln DATAGROUP Ludwigsburg DATAGROUP Offenburg	DATAGROUP Operate IT DATAGROUP Stuttgart DATAGROUP Ulm Hövermann IT URANO Informationssysteme Cloudeteer	SOLUTIONS UND CONSULTING DATAGROUP Business Solutions DATAGROUP Consulting Services DATAGROUP IT Solutions ALMATO Mercoline
ZENTRALE LIEFEREINHEITEN
DATACROUP Operations	DATAGROUP Enterprise Services	DATAGROUP Inshore Services	DATAGROUP Service Desk

DATAGROUP Group (as of 31 March 2023)

DATAGROUP SE is the holding company of IT service provider DATAGROUP (hereinafter "DATAGROUP" refers to the DATAGROUP Group), which is active throughout Germany. DATAGROUP SE mainly includes the entities listed in the diagram above.

The operating subsidiaries under the umbrella of DATAGROUP SE are divided into two segments: Services as well as Solutions and Consulting.

The central supply units, DATAGROUP Operations, DATAGROUP Enterprise Services, DATAGROUP Service Desk, and DATAGROUP Inshore Services are specialized production units, providing services for the DATAGROUP market units as internal competence and service centers within the DATAGROUP Group.

CENTRALIZATION WHERE NECESSARY, REGIONALITY WHERE POSSIBLE

DATAGROUP pursues the strategy of an optimal combination of regional and central approaches regarding the Group's organization. This approach allows for regional, collaborative partnerships with customers, enables us to preserve agility and quickly respond to regional characteristics. However, customers will see the same DATAGROUP at every point, and the individual companies benefit from the corporate brand.

Furthermore, some services are centralized to benefit from synergies. In addition to the central supply units for the individual companies, DATAGROUP SE also provides central controlling, financing and management functions as well as central services such as IT, accounting and human resources.

DATAGROUP SE also provides accounting services for the main shareholder, HHS Beteiligungsgesellschaft mbH² and its subsidiaries and other companies affiliated with HHS Beteiligungsgesellschaft mbH against payment of customary compensation.

ACQUISITION STRATEGY WILL BE CONTINUED

Since the IPO in 2006, DATAGROUP SE has acquired 29 companies. The acquisition strategy focuses on IT service companies headquartered in Germany. The company' acquisition strategy is based on four growth targets: Strengthening the regional footprint, expanding the customer portfolio, recruiting sought-after specialists, and extending the solution portfolio. DATAGROUP has two strategic approaches concerning the types of companies integrated: "buy-and-build" (i.e. the companies complement or strengthen DATAGROUP's existing service portfolio) and "buy-and-turnaround" (i.e. the acquired companies are in turnaround situations and in need of strategic restructuring).

DATAGROUP generally integrates the acquired companies into the Group. In this process, the individual companies usually remain unchanged to maintain the agility of a mid-sized company as well as the customer relationships that to some extent have been existing for decades.

The companies are generally managed under the nationwide uniform DATAGROUP brand and newly acquired companies are renamed after a transition period.

² HHS Beteiligungsgesellschaft mbH (HHS) is the asset-managing investment holding of our CEO and founder Max H.-H. Schaber. 100 % of the shares are indirectly owned by Mr. Schaber and his family. HHS holds 54.4 % in DATAGROUP SE. HHS also holds stakes in other companies, which, however, are not in competition with DATAGROUP.

Focus of Activity, Sales Markets and Competitive Position of DATAGROUP

DATAGROUP is one of the leading IT service providers for German Mittelstand companies. The company is regularly among the Top 10 in relevant studies, including those of Lünendonk & Hossenfelder on the market for IT Consulting and IT Services in Germany, the Whitelane and Navisco study on Customer Satisfaction in IT Outsourcing in Germany, and the study by business magazine brand eins in cooperation with Statista on the best IT service providers in Germany.

DATAGROUP works exclusively for business customers and is mainly focused on German Mittelstand and large companies as well as public authorities. Personal closeness and contact at eye level to the customers distinguishes DATAGROUP as IT partner.

CORBOX: IT AS A SERVICE

The CORBOX (corporate IT out of the box) is the heart of the DATAGROUP portfolio. With this service portfolio, DATAGROUP provides customers with IT as a Service: From a modular service offering, which covers the entire range of a company's IT, customers choose those services which perfectly fit their company requirements. "IT's that simple" is the motto, which DATAGROUP pursues with the CORBOX. DATAGROUP looks after the customers' IT so that they can focus on their core business.

The CORBOX services are so flexible they can cover a very broad range. Customers do not have to choose between two models, for instance between the operation of their IT in in the private or in the public cloud. Rather, DATAGROUP's CORBOX solutions build a bridge between the worlds and cover the entire spectrum, for instance in hybrid scenarios.

Defined service level agreements guarantee maximum performance and cost transparency. The security of all centralized CORBOX services is guaranteed by ISO 27001-certified DATAGROUP data centers (a tenant in

so-called colocation centers) in Germany (Frankfurt am Main and Düsseldorf). Continuous monitoring of performance, capacities and security status guarantees high availability of the services.

CERTIFICATIONS AND CERTIFICATES

Since September 2012, DATAGROUP has been ISO 20000-certified – this is the highest possible ISO certification for professional IT service management. DATAGROUP undergoes the extensive testing procedure on a regular basis to have the IT services aligned to industry standards and to improve them consistently. To this end, "DATAGROUP IT Service Management", the management system for the comprehensive business process, is reviewed once a year in internal and external audits according to the international standard ISO 20000. This includes all major services in the service catalog with all its processes and functions. The most recent recertification by TÜV Süd Management Services GmbH was successfully completed in July 2022.

All CORBOX services are based on ISO 20000-certified processes according to ITIL® and meet the quality criteria of industrial production. Customers benefit from a consistently high process quality, service quality and security making corporate IT a reliable and efficient means of production for success in business.

The basis of the CORBOX is a holistic IT service management which in its core includes a state-of-the-art information security management system (ISMS). DATAGROUP ISMS is certified for selected DATAGROUP companies and services according to ISO/IEC 27001 and expanded by ISO/IEC 27018 with a focus on the protection of personal data in cloud environments. The CORBOX services and the required IT operations management of DATAGROUP Operations are certified according to ISO 27001 on the basis of IT Grundschutz (BSI).

Furthermore, DATAGROUP and individual subsidiaries are certified according to ISO 9001, ISO 14001, TISAX, TSI.Standard V4.1 Level 3 and audited according to IDW PS 951 and ISAE 3402.

All central IT platforms are operated in a so-called colocation model in mirrored data centers in Frankfurt and Düsseldorf. DATAGROUP has rented space at data center operators which provide the corresponding specific expertise. These data centers have state-of-the-art equipment in terms of security, building technology, access control, fire protection and emergency power supply. They are made available by DATAGROUP as a complete service package. This approach reduces the capital intensity of the business, while it ensures the highest possible standard for the basic infrastructure of the Data Center. DATAGROUP operates its own hardware and software for the CORBOX services in these data centers. The data centers in Frankfurt and Düsseldorf as well as all DATAGROUP locations within the scope are audited on an annual basis according to ISO 27001, the internationally recognized standard.

As for the financial services market with its high and specific requirements, DATAGROUP's subsidiaries, DATAGROUP BIT Düsseldorf, DATAGROUP BIT Hamburg and DATAGROUP BIT Oldenburg have a team of experts enjoying many years of industry experience in the fields of banking and insurance. In addition to the wide range of IT services which are tailored to the specific requirements of this industry, these companies also have certifications from this industry and thus can seize further new growth opportunities offered in this highly regulated area of financial services.

Environment

In 2022 and at the start of 2023, the economy was characterized by a couple of uncertainties. The energy crisis caused by the war in Ukraine, the continuing high inflation in comparison to previous years and the change in interest rate policies of the central banks weighed down on the consumer climate and adversely affected the economic outlook. Although the German Council of Economic Experts has corrected its economic forecast for 2023 slightly upwards in March 2023, it still expects the gross domestic product to grow by only 0.2 %. In November 2022, the Council had still expected a rate of -0.6 %. This adjustment can be explained by an improvement in energy supply. That said, the still high inflation rate continues to dampen the outlook. It stood at 8.7 % in January and February 2023 in comparison to the previous year. For 2023 as a whole, the Council projects an inflation rate of 6.6 %.³

The high inflation rates and a sharp rise in financing costs continue to weaken a lot of sectors, and the development of the global economy also weighs down on exports from Germany. The ifo Institute therefore expects growth of the German economy to stagnate this year and does not expect the GDP to grow until next year at a rate of 1.7 %. According to the Institute, the peak of inflation has been reached. For 2023, the experts still expect an inflation of 6.2 %, but assume a normalized rate of 2.2 % for 2024.⁴

The prospects for the digital industry are still better than for the overall economy. According to industry association Bitkom, sales will grow to over EUR 200bn for the first time in 2023, an increase of 3.8 %. The number of employees is expected to grow by 3.4 % to 1.35m. This growth is mainly driven by investments in IT with an increase of 6.3 %, especially in the software segment in the areas of artificial intelligence, collaborative applications and security. In the IT services segment, Bitkom anticipates an increase of 4.7 %, which is more or less in line with the previous years.⁵ Despite the subdued global economic situation, the digital index of Bitkom and the ifo Institute is positive: Business expectations of the digital industry stood at 12.2 points in March 2023, the highest figure since February 2022. The index for the current business situation improved to 38.8 points, the highest figure since June 2022.⁶ In 2022, the digital industry increased its market volume by 4 % to 196.1bn.⁷

The CORBOX, DATAGROUP's modular full IT outsourcing portfolio, offers IT basic services as well as the foundation for the digitalization of companies. Thanks to a large number of IT experts, the company is well equipped to benefit from the investments in IT services and software.

Revenue and Earnings

In H1 2022/2023, revenue amounted to TEUR 251,047 after TEUR 247,645 in the comparable prior-year period. Sales increased by TEUR 3,402 or 1.4 %. By focusing on the Service-as-a-Product approach, the proportion of services was 80.2 %, thus remaining at a similarly high level as in the first half of the previous year (82.5 %). Revenue from retail business in total revenue was 19.8 % (17.4 % in H1 2021/2022).

The business activities of the DATAGROUP Group primarily focus on Germany. The share of business abroad traditionally amounts to 1.0 %.

Gross profit was up 6.6 % to TEUR 168,655 compared to the same period a year ago. The gross profit margin grew accordingly from 63.9 % to 67.2 %. Expenses for purchased services were reduced as the company has

³ https://www.sachverstaendigenrat-wirtschaft.de/konjunkturprognose-2023.html

⁴ https://www.ifo.de/fakten/2023-03-15/ifo-konjunkturprognose-fruehjahr-2023-deutsche-wirtschaft-stagniert

⁵ https://www.bitkom.org/Presse/Presseinformation/Digitalbranche-trotzt-der-Krise-schafft-neue-Jobs

⁶ https://www.bitkom.org/Presse/Presseinformation/Digitalbranche-weitgehend-krisenfest

⁷ https://www.bitkom.org/Marktdaten/ITK-Konjunktur/ITK-Markt-Deutschland

increasingly relied on internal resources. As a consequence, material expenses / expenses for purchased services were down TEUR 6,489 to TEUR 82,066.

The EBITDA grew by TEUR 2,016 to TEUR 39,419 in H1 2022/2023. The EBITDA margin now stands at 15.7 % after 15.1 % in the comparable prior-year period.

EBITA came in at TEUR 26,573 after TEUR 23,611 in the first half of the previous year. This is an increase by TEUR 2,962 or 12.5 % compared to the same period a year ago. The EBITA margin was up from 9.5 % to 10.6 %.

EBIT was TEUR 22,809 in the fiscal year after TEUR 20,011 in the previous year. The EBIT margin was 9.1% after 8.1%, thus exceeding the mid-term ambition of at least 9%.

Depreciation and amortization declined by TEUR 782 from TEUR 17,392 to TEUR 16,610. No goodwill amortization was necessary in H1 2022/2023 or in the previous years.

The financial result amounted to TEUR -1,149 after TEUR -1,249 in H1 2021/2022. The increase in interest expenses in the first half of 2022/2023 was compensated for by income from the finalization of the purchase price allocation of an acquired company.

The consolidated tax rate was 33.0 % after 35.4 % in H1 2021/2022.

Financial and Asset Position

The balance sheet total as of 31.03.2023 decreased by 2.0 % in comparison to the balance sheet total on 30.09.2022.

Figures in TEUR	31.03.2023	30.09.2022
ASSETS
Non-current assets	312,290	317,917
Current assets	161,756	165,667
	474,045	483,584
LIABILITIES
Equity	134,597	127,458
Non-current liabilities	176,100	161,479
Current liabilities	163,348	194,647
	474,045	483,584

Equity increased by TEUR 7,139 from TEUR 127,458 on 30.09.2022 to TEUR 134,597 on 31.03.2023. The equity ratio improved from 26.4 % on 30.09.2022 to 28.4 % on 31.03.2023. This is attributable to the generated net income of TEUR 14,506 as well as other comprehensive income of TEUR 1,798 – which mainly relates to the revaluation of pension provisions due to changes in the actuarial interest rate. The dividend payment led to a reduction in equity by TEUR 9,165.

The increase in non-current financial liabilities is due to the issue of promissory note loans. The decrease in current financial liabilities is related to the fulfillment of earn-out obligations.

The operating cash flow (OPEX) was TEUR 28,377 in the period from 01.10.2022 to 31.03.2023, while it was TEUR 34,972 in the corresponding prior-year period. Investments in property, plant and equipment and

intangible assets (CAPEX) amounted to TEUR 7,606 in the first two quarters of the fiscal year after TEUR 3,399 in the comparable period a year before. This increase was primarily driven by the planned and almost finalized conversion and expansion of the data center infrastructure because of an increase in business volume. Free cash flow was TEUR 21,022 (previous year TEUR 32,088).

Total net debt as per 31.03.2023 compared to 30.09.2022 is as follows:

Figures in TEUR	31.03.2023	30.09.2022
Non-current financial liabilities	134,093	112,459
Current financial liabilities	42,211	72,797
Receivables from finance lease	-26,547	-28,912
Cash and cash equivalents	-42,175	-47,042
	107,582	109,302

The reduction in total net debt is mainly attributable to the Group's operating cash flow. The dividend payment of TEUR 9,165 had a burdening effect.

Order Development

DATAGROUP has achieved good successes in sales in the first half of the year, for instance, the contract with NBank, the investment and business promotion bank of the federal state of Lower Saxony, was extended. A total of 6 new CORBOX contracts were concluded, 24 contracts were renewed and 10 were extended.

However, the sustainable and stable order situation is mainly due to DATAGROUP's business model: The CORBOX, which we offer as Service-as-a-Product, generates a high share of recurring revenues: The contract terms are between three and seven years, in some cases also up to ten years. The willingness to conclude long-term contracts remains high: Clients want to secure high-quality capacities in the long term. This aspect leads to a stable position when it comes to special effects.

Risks and Opportunities

The corporate strategy and management of the DATAGROUP Group is based on continuity and longevity. There have been no fundamental changes to the opportunities and risks of the months ahead compared to those outlined in detail in the 2021/2022 Annual Report, which is why the statements in the 2021/2022 Annual Report remain in force unchanged.

There were no risks to the continued existence of DATAGROUP in the first half of 2022/2023. From the current standpoint, there is also no indication of future risks that could jeopardize the continued existence of the company or have a sustainable negative impact on net assets, financial position, and results of operations.

DATAGROUP has only been affected to a very limited degree by the negative impacts of Russia's war of aggression in Ukraine so far. In view of the ongoing instable political situation, economic impacts are still not foreseeable. Further supply shortages may lead to a (renewed) increase in prices. Additionally, the still high inflation rates may rise again as a consequence. In a worst-case scenario, this could lead to a decoupling of inflation expectations or strong second-round effects caused by high increases in prices for labor.

Outlook

The Management Board provided an outlook for the current fiscal year at the Annual General Meeting on 9 March 2023: Revenue is expected to grow to EUR 520–540m, EBITDA to EUR 76–80m, and EBIT to 45–48m at an EBIT margin expected to increase to at least 9 % in the midterm.

A further improvement in profitability is expected to be driven by an increasing level of standardized services. A further enhancement of the performance of the CORBOX Services by making use of artificial intelligence and robot-based automation processes is expected to help to more than compensate for wage and price increases. An optimization of the Data Center will contribute to keep CAPEX at a low level.

There are considerable macroeconomic risks arising from the strong increase in inflation with a possible pricewage spiral and the possible negative impact of the war in Ukraine on the overall economic development in Germany. However, the management currently believes that this will not happen in the remainder of the fiscal year or only to a lesser extent.

Events After the Reporting Period

DATAGROUP increased its stake in URANO Informationssysteme GmbH from 70 % to 100 % with effect from 3 April 2023. The first stake in the Bad Kreuznach-based IT service provider was acquired in May 2021. At that time, the agreement included an option to buy the remaining 30 % of the shares in two years' time. This step marks the end of the two-year transition phase.

In April 2023, DATAGROUP acquired systemzwo GmbH, the Ulm-based IT system house. Its customer portfolio is a substantial addition to the existing client base of DATAGOUP in this region. With it, DATAGOUP continues to expand its regional footprint in Ulm and strengthens its business with its CORBOX IT service portfolio going forward. systemzwo generated revenue of almost EUR 13m in the last fiscal year and will be consolidated in the DATAGROUP Group with effect of 1 April 2023.

Stock and Annual General Meeting

On 1 October 2022, the DATAGROUP stock was traded at a price of EUR 52.60. After the first half of the fiscal year, on 31 March 2023, the stock reached EUR 65.80 closing the reporting period with a gain. DATAGROUP's market capitalization stood at roughly EUR 550m on 31 March.

The average daily trading volume added up to 2,994 shares in the first half of the year – this is a decrease of 80.00 % in comparison to the prior-year period. Support to our shareholders is predominantly provided by DATAGROUP through virtual formats. Information was shared on various conferences and DATAGROUP has been in a close exchange with the investors as usual.

On 9 March 2023, the Annual General Meeting was hosted in physical presence at the company's headquarters in Pliezhausen after two years in a virtual format. At a total of 130 shareholders, 73.9 % of the share capital were represented. The questions submitted by the shareholders were answered comprehensively.

All proposed resolutions were approved by a clear majority. In particular, the shareholders voted in favor of the possibility to increase the share capital once or several times until 8 March 2028 by issuing a total of up to 4,174,500 new shares. The General Meeting also approved to change the Articles of Association. It will provide the company with the greatest possible flexibility by making it possible that general meetings may also be held

virtually going forward. The General Meeting also approved the authorization to issue convertible bonds, the authorization to exclude subscription rights in this context, the creation of the contingent capital 2023 and the corresponding amendments in the Articles of Association, as well as the renewed authorization to acquire and use treasury shares.

The shareholders participated in the record result of fiscal year 2021/2022 in the form of a dividend increase from EUR 1.00 in the previous year to EUR 1.10 per share.

The results of the individual items on the agenda are available in detail for inspection purposes on the DATAGROUP website under Investor Relations/Annual General Meeting.

DATAGROUP will participate in numerous investor conferences in Germany and abroad in the second half of fiscal year 2022/2023 as well. The upcoming events are listed in the financial calendar on the DATAGROUP website.

We would like to thank our shareholders for the confidence they have invested in us.

Pliezhausen, 23 May 2023

DATAGROUP SE Management Board

Andreas Baresel Chief Executive Officer

Oliver Thome Chief Financial Officer, Investor Relations and M&A

Dr. Sabine Laukemann Chief Human Resources Officer, Strategy and Organization

Consolidated Financial Statements

Consolidated Income Statement

Figures in EUR	01.10.2022 – 31.03.2023	01.10.2021 – 31.03.20221
Revenues	251,046,955.09	247,644,914.39
Other own work capitalized	837,048.17	688,453.30
Changes in capitalized contract costs	-1,162,919.97	-1,590,516.64
Total revenues	250,721,083.29	246,742,851.05
Other operating income	4,712,728.54	4,460,448.00
Material expenses / Expenses for purchased services	82,065,851.45	88,554,515.48
Personnel expenses	117,310,290.38	111,439,212.53
Depreciation of property, plant and equipment and other intangible assets	16,609,589.62	17,391,864.711
Other operating expenses	16,639,089.83	13,806,517.84
Operating income	22,808,990.55	20,011,188.491
Financial income	1,828,236.22	823,327.51
Financial expenses	2,976,832.72	2,072,545.46
Financial result	-1,148,596.50	-1,249,217.95
Earnings before taxes	21,660,394.05	18,761,970.541
Taxes on income and profit	7,154,421.07	6,642,418.261
Net income	14,505,972.98	12,119,552,291
thereof shares of minority shareholders	-38,195.43	0.00
thereof shares of DATAGROUP SE	14,544,168.41	12,119,552.291

Consolidated Statement of Comprehensive Income

Figures in EUR	01.10.2022 – 31.03.2023	01.10.2021 – 31.03.2022
Net income	14,505,972.98	12,119,552.291
Other earnings before taxes
Recalculation of defined benefit obligations	2,766,779.93	11,955,785.27
Change in balancing items from currency conversion	18,539.15	-5,571.38
Other earnings before taxes	2,785,319.08	11,950,213.89
Income tax effects on other income	987,502.81	3,724,008.15
Comprehensive income	16,303,789.25	20,345,758.031
thereof shares of minority shareholders	-38,195.43	0.00
thereof shares of DATAGROUP SE	16,341,984.68	20,345,758.031

1 Individual items of the prior-year figures were adjusted because of the final purchase price allocation of companies acquired in fiscal year 2020/2021.

Consolidated Statement of Financial Position

Figures in EUR
ASSETS	31.03.2023	30.09.2022
Non-current assets
Goodwill	151,435,872.92	151,435,872.92
Other intangible assets	44,496,317.85	48,299,746.81
Property, plant and equipment	65,802,615.95	61,779,836.67
Non-current financial assets	8,693,926.08	8,506,353.08
Capitalized contract costs	10,734,203.26	12,400,776.21
Receivables from finance lease	15,678,087.75	18,019,382.25
Claims from reinsurance coverage for pension obligations	4,340,503.46	4,448,503.46
Other non-financial assets	827,311.18	846,827.81
Deferred taxes	10,281,091.55	12,179,457.29
	312,289,930.00	317,916,756.50
Current assets
Inventories	6,495,624.09	8,304,674.50
Contract Assets	4,204,351.72	3,013,455.06
Trade receivables	58,748,506.21	55,147,870.67
Receivables from finance lease	10,869,121.99	10,892,813.00
Current financial assets	252,565.62	280,857.25
Other assets	39,010,817.23	40,985,932.28
Cash and cash equivalents	42,174,531.49	47,041,864.41
	161,755,518.35	165,667,467.17
	474,045,448.35	483,584,223.67

Figures in EUR
LIABILITIES	31.03.2023	30.09.2022
Equity
Subscribed capital	8,349,000.00	8,349,000.00
Capital reserve	32,337,372.27	32,337,372.27
Repayment of capital	-98,507.73	-98,507.73
Retained earnings	74,245,224.63	68,865,661.11
Accumulated other comprehensive income	19,966,418.98	18,187,141.86
Balancing item for foreign currency translation	-16,043.29	-34,582.44
Minority shares	-186,033.48	-147,838.05
	134,597,431.38	127,458,247.02
Non-current liabilities
Non-current financial liabilities	134,093,166.66	112,459,288.54
Pension provisions	33,191,004.41	36,102,634.43
Other provisions	1,235,543.08	1,240,557.69
Other liabilities	83,914.65	83,914.65
Deferred taxes	7,496,490.73	11,592,865.89
	176,100,119.53	161,479,261.20
Current liabilities
Current financial liabilities	42,211,016.20	72,797,075.01
Other provisions	35,612,284.27	32,629,439.37
Contract liabilities	15,349,041.82	12,739,349.63
Trade payables	14,305,972.43	15,827,012.63
Income tax liabilities	17,954,755.16	13,808,853.79
Other liabilities	37,914,827.56	46,844,985.02
	163,347,897.44	194,646,715.45
	474,045,448.35	483,584,223.67

Consolidated Statement of Cash Flows

Figures in EUR	01.10.2022 – 31.03.2023	01.10.2021 – 1 31.03.2022
Cash flow from operating activities
Net income	14,505,972.98	12,119,552.291
Interest received	-357,405.50	-423,146.51
Interest paid	1,711,615.86	895,815.25
Depreciation and amortization of non-current assets	16,609,589.64	17,391,864.711
Changes in pension provisions	-144,850.09	455,693.38
Gains (-) / losses (+) on disposals of non-current assets	-41,545.69	-31,480.53
Increase (-) / decrease (+) of receivables or liabilities to shareholders, related and associated companies	-1,202,354.71	-184,314.11
Increase (-) / decrease (+) of inventories. trade receivables and other assets	4,060,799.51	4,432,782.811
Increase (+) / decrease (-) of trade payables and other liabilities	-5,675,619.69	-295,797.45
Other non-cash transactions	-1,088,769.32	610,761.55
Cash flow from operating activities	28,377,432.99	34,971,731.38
Cash flow from investing activities
Cash inflow from sale of property, plant and equipment	244,664.33	90,837.89
Cash outflow for investment in property, plant and equipment	-6,206,258.01	-2,085,292.63
Cash inflow from intangible assets	7,028.00	424,560.12
Cash outflow for investments in intangible assets	-1,400,182.66	-1,314,014.74
Cash outflow for investments in fully consolidated companies	-43,804,760.91	-16,131,270.85
Cash inflow from the sale of associated companies	0.00	30,000.00
Cash outflow for investments in long-term financial assets	-62,137.67	-1,192,564.22
Interest received	357,405.50	423,146.51
Net cash used in investing activities	-50,864,241.42	-19,754,597.92
Cash outflow for dividend paid	-9,164,604.90	-8,331,459.00
Cash outflow for the repayment of liabilities to banks	45,000,000.00	14,407.09
Cash outflow for the repayment of liabilities to banks	-9,000,000.00	0.00
Cash inflow (+) / outflow (-) for finance lease agreements (as a lessee)	-7,504,303.73	-7,691,251.12
Interest paid	-1,711,615.86	-895,815.25
Net cash used in financing activities	17,619,475.51	-16,904,118.28
Changes in cash and cash equivalents	-4,867,332.92	-1,686,984.82
Cash and cash equivalents at the beginning of the period	47,041,864.41	44,091,986.09
Cash and cash equivalents at the end of the period	42,174,531.49	42,405,001.27

1 Individual items of the prior-year figures were adjusted because of the final purchase price allocation of companies acquired in fiscal year 2020/2021.

Consolidated Statement of Changes in Equity

01.10.2022 - 31.03.2023					Parent company					Minority shareholders
	Subscribed	Capital reserve	Repayment	Retained	Accumulated other comprehensive income			Balancing	Consolidated	Minority	Consolidated
	Capital		of capital	earnings	Changes	Result from	Total	item	equity	capital	equity
					without effects	actuarial		Foreign
					on net income	gains		currency translation
						and
Figures in EUR						losses1)
Balance at the beginning of the fiscal year	8,349,000.00	32,337,372.27	-98,507.73	68,865,661.11	-1,625,377.21	19,812,519.07	18,187,141.86	-34,582.44	127,606,085.07	-147,838.05	127,458,247.02
Distribution	0.00	0.00	0.00	-9,164,604.90	0.00	0.00	0.00	0.00	-9,164,604.90	0.00	-9,164,604.90
Consolidated net income	0.00	0.00	0.00	14,544,168.42	0.00	0.00	0.00	0.00	14,544,168.42	-38,195.43	14,505,972.99
Other comprehensive income	0.00	0.00	0.00	0.00	0.00	1,779,277.12	1,779,277.12	18,539.15	1,797,816.27	0.00	1,797,816.27
Balance at the end of the fiscal year	8,349,000.00	32,337,372.27	-98,507.73	74,245,224.63	-1,625,377.21	21,591,796.19	19,966,418.98	-16,043.29	134,783,464.86	-186,033.48	134,597,431.38

1) under consideration of the deferred taxes on this item

01.10.2021 - 31.03.2022					Parent company					Minority shareholders
	Subscribed	Capital reserve	Repayment	Retained	Accumulated other comprehensive income			Balancing	Consolidated	Minority	Consolidated
	Capital		of capital	earnings	Changes	Result from	Total	item	equity	capital	equity
					without effects	actuarial		Foreign
					on net income	gains		currency translation
						and
Figures in EUR						losses1)
Balance at the beginning of the fiscal
year	8,349,000.00	32,337,372.27	-98,507.73	55,313,175.50	-1,625,377.21	-259,291.63	-1,884,668.84	-4,587.78	94,011,783.42	0.00	94,011,783.42
Distribution	0.00	0.00	0.00	-8,331,459.00	0.00	0.00	0.00	0.00	-8,331.459.00	0.00	-8,331.459.00
Consolidated net income	0.00	0.00	0.00	12,119,552.292	0.00	0.00	0.00	0.00	12,119,552.292	0.00	12,119,552.292
Other comprehensive
income	0.00	0.00	0.00	0.00	0.00	8,231,777.12	8,231,777.12	-5,571.38	8,226,205.74	0.00	8,226,205.74
Balance at the end of the fiscal year	8,349,000.00	32,337,372.27	-98,507.73	59,101,268.792	-1,625,377.21	7,972,485.49	6,347,108.28		-10,159.16 106,026,082.452	0.00	106,026,082.452

1) under consideration of the deferred taxes on this item

2) Individual items of the prior-year figures were adjusted because of the final purchase price allocation of companies acquired in fiscal year 2020/2021.

Notes to the Consolidated Financial Statements

General

The interim consolidated financial statements of the DATAGROUP Group for the period ending 31.03.2023 were prepared in accordance with the International Financial Reporting Standards (IFRS), as applicable in the European Union (EU). The financial statements are unaudited.

For details on the accounting policies applied we refer to the explanations in our Annual Report for the year ending 30.09.2022.

In addition to the parent company, DATAGROUP SE, 29 domestic and three foreign subsidiaries have been included in the interim statement at the reporting date on 31 March 2023 by means of full consolidation.

Transactions with Affiliated and Associated Companies and/or Persons

The management board members and managing directors of the individual DATAGROUP entities, their close family members, HHS Verwaltungs GmbH, HHS Grundstücks- und Beteiligungsgesellschaft mbH & Co. KG, HHS Beteiligungsgesellschaft mbH and their subsidiaries as well as the limited partners of HHS Grundstücksund Beteiligungsgesellschaft mbH & Co. KG were identified as affiliated and associated companies and/or persons.

Transactions with affiliated and associated companies and persons mainly relate to clearing transactions, current account and loan relationships as well as service contracts. These transactions were settled at fair market conditions.

CONTACT

DATAGROUP SE Claudia Erning Investor Relations Wilhelm-Schickard-Straße 7 72124 Pliezhausen

T +49 7127 970-015 F +49 7127 970-033 claudia.erning@datagroup.de

www.datagroup.de