Fila — Investor Presentation 2016

Aug 4, 2016

Disclaimer

This document has been prepared by F.I.L.A. S.p.A. ("F.I.L.A." or the "Company"), for information purposes only, exclusively with the aim of assisting you to understand and assess the activities of F.I.L.A..

Statements contained in this presentation, particularly regarding any possible or assumed future performance of the FILA Group, are or may be forward-looking statements based on FILA's current expectations and projections about future events.

Such forward-looking statements are subject to risks and uncertainties, the non-occurrence or occurrence of which could cause the actual results including the financial condition and profitability of FILA to differ materially from, or be more negative than, those expressed or implied by such forward-looking statements. Consequently, FILA and its management can give no assurance regarding the future accuracy of the estimates of future performance set forth in this document or the actual occurrence of the predicted developments.

The data and information contained in this document are subject to variations and integrations. Although FILA reserves the right to make such variations and integrations when it deems necessary or appropriate, FILA assumes no affirmative disclosure obligation to make such variations and integration, except to the extent required by law.

Any reference to past performance of the FILA Group shall not be taken as an indication of future performance.

In addition, this presentation includes certain ''Adjusted'' financial and operating indicators and other measures, which have been adjusted to reflect extraordinary events, non-recurring transactions and activities which are not directly related to the Group's ordinary business. Such "Adjusted" information has been included to allow a better comparison of financial information across the periods; however, it should be noted that such information are not recognized as measures of financial performance or liquidity under IFRS and/or do not constitute an indication of the historical performance of the Company or the Group. Therefore, investors should not place undue reliance on such data and information.

This document does not constitute or form part of any offer or invitation to purchase or subscribe any shares and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.

By attending this presentation, you agree to be bound by the foregoing terms.

1H 2016 Highlights

FILA closes 1H 2016 with a increase of sales in all the reference markets, primarily Centre & South America, Europe and North America.

• • Core Business Sales at 201,5mln €, +42,4% (organic growth, +10%)
• General improvement in the fulfillment of customers orders
• Good demand from Education and Art & Craft channels
• Significant growth of the Other Creativity Instruments product line of 16%
• Positive contribution of M&A of 52mln €
• Market share consolidation in all the reference areas and market share increase in the emerging markets

• Adjusted EBITDA at 36,6mln €, +31,3%, with an organic growth of 12,1% registering an increase more than proportional than the Sales organic growth.

• Adjusted Net Profit +28,5%

• Net financial position at 188,9mln Euro at the end of June 2016, mainly affected by M&A effect related to Daler & Rowney Group (104,2mln €), fully consolidated from the beginning of February 2016 and by the seasonality of the business in terms of working capital trends

3

1H 2016 Core Business Sales

• Core Business Sales +42,4% (+60 mln €). Organic growth, +14,1 mln € (+10 %), net of M&A and FX effect, of which:

•By Geographic Area: mainly Centre-South America, +4,8 mln € (+20,8%), Europe +4,8 mln € (+7%) and North America +3,9 mln € (+8,1%)

•By Product line: Other Creativity Instruments +7,8 mln € (+16%), Pencils +5 mln (+7,2%), Office and Industrial Products of + 1,3 mln € (+5,9%)

•M&A effect 52 mln € (21,9 WFPL/Pioneer and 30,1 D&R Group)

SALES BREAKDOWN BY PRODUCT LINE SALES BREAKDOWN BY GEOGRAPHY AREA

1H 2016 EBITDA

ADJUSTED EBITDA – 1H 2016

• Adjusted Ebitda + 8,7 (+31,3 %), Organic Growth + 3,4 mln (+12,1%), net of M&A and main FX effect, more than proportional than the Organic Turnover Growth

• 5,4 mln Euro of extraordinary costs in FY2016, mainly related to the M&A activities
• 1,9 mln Euro extraordinary costs in 1H 2015, mainly related to the listing expenses
• M&A effect 5,6 mln Euro (3,1 WFPL/Pioneer and 2,5 D&R Group)

ADJUSTED EBITDA BREAKDOWN BY GEOGRAPHY AREA

1H 2016 NET INCOME AND NET DEBT

188,9 84,7 38,7 2015A 1H 2016A M&A effect +150,2 mln €

• The normalization of the Group Result in 1H 2016 refers to extraordinary operating costs, net of taxes effects
• The normalization of the Group Result in 1H 2015 refers to non-recurring financial cashless charges related to the accounting of the fair value of Space S.p.A. equity at May 31st 2015 (45.8mln Euro) and of the Market Warrants at June 30th 2015 (0.9mln Euro) and to extraordinary operating costs, net of taxes effects

Net debt Increase of 150,2 mln € mainly due to:

• Operating CF before TWC adjustment equal to + 27,9 mln Euro
• Trade working capital cash absorption of 66,4 mln Euro, due to businessseasonality
• Capex for 4,3 mln € due to new investment in tangible and intangible assets
• M&A effect, mainly referred to Daler & Rowney Group, for shares acquisition (16,9 mln €) and Net Debt Contribution (87,3 mln €)
• Interest paid for 2,4 mln €
• Divident paid for 4,3 mln €
• FX effect +2 mln €

Appendix

7

1H 2016 Income Statement

PROFIT & LOSS Core Business Sales 141,5 201,5 Other revenues 3,0 4,8 Total revenues 144,5 206,3 - Cost for Raw Materials and Supplies net Increase(decrease) inventory (55,0) (38,8%) (83,8) (41,6%) Costs for Services and Use of Third parties Assets (33,0) (23,3%) (48,2) (23,9%) Personnel Costs (27,5) (19,4%) (37,4) (18,5%) Other Operating Costs (3,1) (2,2%) (5,7) (2,8%) Total operating costs (118,5) (83,8%) (175,1) (86,9%) EBITDA 26,0 18,4% 31,2 15,5% Depreciation and Amortization (3,6) (2,6%) (6,5) (3,2%) Write-Downs (0,6) (0,4%) (0,2) (0,1%) EBIT 21,8 15,4% 24,6 12,2% Financial income/expenses (48,7) (34,4%) (2,0) (1,0%)
Income/expenses from associates at equity method 0,5 0,3% - 0,0%
PBT (26,4) (18,7%) 22,6 11,2%
Taxes (7,7) (5,5%) (8,6) (4,3%)
Net profit (loss) of continuing operating activities (34,2) (24,1%) 13,9 6,9%
Net profit (loss) of discontinued operating activities (0,1) (0,1%) - 0,0%
Total net profit (loss) of the period (34,3) (24,2%) 13,9 6,9%
Total net profit (loss) attributable to non controlling interests 0,1 0,0% 0,7 0,4%
Fila Group's total net profit (loss) of the period (34,3) (24,3%) 13,2 6,6%
(€ million) 1H 2015A % on Sales 1H 2016A % on Sales
P&L ADJUSTMENTS
REPORTED EBITDA 26,0 18,4% 31,2 15,5%
Total Adjustments 1,9 5,4
ADJUSTED EBITDA 27,9 19,7% 36,6 18,1%
REPORTED NET PROFIT (34,3) (24,3%) 13,2 6,6%
Total Adjustments 47,6 3,9 ADJUSTED NET PROFIT 13,3 9,4% 17,1 8,5%

1H 2016 Balance Sheet

(€ million)	2015A	1H 2016A
BALANCE SHEET
Intangible assets	88,2	152,8
Tangible Assets	47,9	59,2
Financial Fixed Assets	1,8	1,8
Fixed Assets	137,8	213,8
Other Non Current Assets/Liabilities	13,9	14,9
Inventory	118,5	157,2
Trade Receivables and Other receivables	77,7	152,8
Trade payables and Other Payables	(53,0)	(79,1)
Trade Working Capital	143,2	230,9
Other Current Asstes and Liabilities	3,2	(1,6)
Net Working Capital	146,4	229,3
Provisions & Funds	(26,2)	(39,3)
Current and not Current Assets/Liabilities Intended for Disposal	-	-
NET CAPITAL EMPLOYED	272,0	418,7
Shareholders equity	(211,7)	(229,8)
Financial Instruments	(21,5)	-
Net Financial Position	(38,7)	(188,9)
TOTAL NET SOURCES	(272,0)	(418,7)

1H 2016 Cash Flow Statement

(€ million)	1H 2015A	1H 2016A
CASH FLOW
EBIT	21,8	24,6
Adjustments for non monetary costs	4,2	6,6
Adjustments for taxes	(6,5)	(3,3)
Cash-flow from operating activities before changes in NWC	19,5	27,9
Changes in inventories	(17,7)	(19,2)
Changes in trade receivables & others	(57,3)	(62,0)
Changes in trade payables & others	1,9	15,3
Changes in other current assets/liabilities	(0,5)	(0,5)
Changes in net working capital	(73,6)	(66,4)
Operating cash-flow	(54,1)	(38,4)
Investments in tangible and intagible assets	(4,7)	(4,3)
Other investments	0,2	(16,9)
Cash-flow from investments	(4,5)	(21,0)
Capital increase/reimbursement	(0,1)	(4,3)
Net interests	(1,8)	(2,4)
Cash-flow from financing	(1,9)	(6,6)
Other changes	1,3	0,6
Total cash-flow	(59,2)	(65,5)
Effect of FX rate movements	(2,8)	2,6
Net financial position of New Companies as at Acquisition Date	64,8	(87,3)
Changes in Net Financial Position	2,8	(150,2)

Quarterly CB Sales, EBITDA, TWC and NET DEBT

QUARTERLY CORE BUSINESS SALES AND ADJUSTED EBITDA

(€ million)

(€ million) QUARTERLY TWC AND NET DEBT

11

1H 2016 Highlights

Total shares 41.232.296, of which : Ordinary shares 34.665.788, Class B shares 6.566.508 (enjoy three votes each in accordance with Article 127 sexies of Legislative Decree No. 58/1998). Last update January 5th 2016

Investor Relations F.I.L.A. Stefano De Rosa CFO/IR Officer – Francesca Cocco IR ir@fila.it (+39) 02 38105206