Share capital €178,464,000 fully paid up Registered office: Piazza Vilfredo Pareto, 3 – 46100 Mantova Mantova Register of Companies – Tax code and VAT registration number 07918540019

Interim Report on Operations

31 March 2022

This Interim Financial Report as of 31 March 2022 has been translated into English solely for the convenience of the international reader. In the event of conflict or inconsistency between the terms used in the Italian version of the report and the English version, the Italian version shall prevail, as the Italian version constitutes the sole official document.

Company boards…………………………………………………….………………	page	4
Covid-19 health emergency and the Russia-Ukraine conflict……………………………… page		6
Financial highlights of the Immsi Group	page	7
Alternative non-GAAP performance indicators………………………………………………	page	8
Form and content………………………………………………………………………………	page	9
Scope of consolidation…………………………………………………………………………	page	11
Reclassified consolidated financial statements and relative notes………	page	12
Directors' comments on operations………………………	page	21
Events occurring after 31 March 2022 and operating outlook……………………………….	page	25

This document was approved by the Board of Directors of Immsi S.p.A. on 12 May 2022 and is available to the public at the Company's registered office, in the authorised 'eMarket STORAGE' system available at and on the Issuer's website www.immsi.it (section: "Investors/Financial reports/2022")

COMPANY BOARDS

The Board of Directors and the Board of Statutory Auditors of Immsi S.p.A. were appointed by shareholders' resolution of 30 April 2021 and will remain in office until the date the Shareholders' Meeting is convened to approve the financial statements for the year ending 31 December 2023.

VINEVIVIN
Roberto Colaninno	Chairman
Daniele Discepolo	Deputy Chairman
Michele Colaninno	Chief Executive Officer
Matteo Colaninno	Director
Ruggero Magnoni	Director
Gianpiero Succi	Director
Patrizia De Pasquale	Director
Paola Mignani	Director
Alessandra Simonotto	Director
Giulia Molteni	Director
Rosanna Ricci	Director
Piercarlo Rossi	Director

In accordance with the principles of Corporate Governance recommended by the Corporate Governance Code (January 2020 version), and pursuant to Legislative Decree 231/01, the Board of Directors has established the following bodies:

LEAD INDEPENDENT DIRECTOR

Daniele Discepolo

CHIEF EXECUTIVE OFFICER

Michele Colaninno

INTERNAL AUDIT MANAGER

Maurizio Strozzi

All information on powers reserved for the Board of Directors, the authority granted to the Chairman and CEO, as well as functions of various Committees of the Board of Directors, is available in the Governance section of the Issuer's website www.immsi.it.

Covid-19 health emergency and the Russia-Ukraine conflict

Covid-19 health emergency

At the end of March 2022, the epidemiological situation had generally improved, with various governments gradually withdrawing the extraordinary measures adopted in the last few years to counteract the spread of the virus. The only area which is still a cause for concern is China, where, in the face of an increase in cases, government authorities have issued lockdown measures in some regions.

The Group is closely monitoring how the situation develops and has taken all possible precautions to guarantee employees' health at its sites and honour commitments made to the sales network and customers.

With particular regard to the Piaggio group, it has been noted that the pandemic has made the need for safe personal transport increasingly important among the population – to the detriment of public transport, which is seen as a potential vector of transmission. The group continues to work to seize the opportunities presented by potential growth in demand, offering products that guarantee safe travel with low or no environmental impact.

The subsidiary Intermarine S.p.A., which operates in the marine sector, is maintaining the measures it has put in place over the past years to comply with the requirements of the Government and relevant authorities to combat the spread of the Covid-19 virus to protect the community and the health of its workers, in accordance with regulations.

With regard to the property and holding sector, it should be noted that the Parent Company Immsi S.p.A. is continuing to adopt operating procedures for its personnel in line with the general measures for the protection of public health and, at the same time, guaranteeing the continuity of its activities. This is also the case for its subsidiary Is Molas S.p.A., which, despite the limitations imposed by the health emergency, continued its commercial activities aimed at finding potential buyers both of already built villas and those only partially finished ("advanced construction stage") . The pandemic has also had a significant impact on Is Molas S.p.A.'s business, in particular on the periods in which the hotel has been open to the public, on the general reduction in the flow of customers during the opening periods compared to pre-pandemic periods, and on the intermittent availability of its services. To tackle this situation, a series of cost-reduction measures (in line with the delays in the opening of the hotel) were implemented. These included the optimisation of existing resources.

Russia-Ukraine conflict

It should be noted that the Immsi Group is following with considerable attention developments in the Russia-Ukraine conflict, which has triggered increases in commodity and energy costs and risks causing substantial repercussions for the world economy, including as a result of sanctions already in force or still being defined.

The extreme geographical diversification of the Group's sales and purchases means that it has essentially no exposure in the conflict area.

It is also reported that the Group has no subsidiaries, associates and/or other legal, manufacturing or commercial entities in areas affected by the conflict.

Financial highlights of the Immsi Group

In the first three months of 2022, the Immsi Group's indicators showed an improvement on the corresponding period of the previous year: turnover increased by 18.7%, EBIT by 18.8% and the net profit including the portion attributable to non-controlling interests was €5.7 million in the first nine months of 2022, compared to a profit of €5.1 million in the same period of 2021. Net financial debt at 31 March 2022 was equal to €836.8 million, down by around €6.3 million compared to the corresponding period of the previous year (€843.1 million).

For a clearer interpretation, the following is reported on a preliminary basis:

The "property and holding sector" consolidated the financial position and performance of Immsi S.p.A., Immsi Audit S.c.a r.l., ISM Investimenti S.p.A., Is Molas S.p.A., Apuliae S.r.l., Pietra S.r.l., Pietra Ligure S.r.l. and RCN Finanziaria S.p.A., as well as intergroup eliminations;
the "industrial sector" includes the companies owned by the Piaggio group, while
the "marine sector" includes Intermarine S.p.A..

Some of the main financial data of the Immsi Group are presented below, divided by business segment and determined, as already stated, in accordance with international accounting standards (IAS/IFRS). A more detailed description of the figures below may be found further on in this section.

	Property and holding	as a %	Industrial sector	as a %	Marine sector	as a %	Immsi Group	as a %
In thousands of Euros	sector
Net revenues	576		455,818		10,735		467,129
Operating income before depreciation and amortisation (EBITDA)	-2,214	n/m	60,076	13.2%	-696	-6.5%	57,166	12.2%
Operating income (EBIT)	-2,504	n/m	27,665	6.1%	-1,292	-12.0%	23,869	5.1%
Profit before tax	-6,098	n/m	20,426	4.5%	-1,819	-16.9%	12,509	2.7%
Earnings for the period including non-controlling interests	-5,574	n/m	12,664	2.8%	-1,410	-13.1%	5,680	1.2%
Group earnings for the period (which may be consolidated)	-4,058	n/m	6,361	1.4%	-1,022	-9.5%	1,281	0.3%
Net debt	-328,206		-441,071		-67,491		-836,768
Personnel (number)	57		6,332		234		6,623

The Immsi Group at 31 March 2022

Hereunder we give the same table referring to the same period of the preceding year. A comparison between the two periods is made in the specific comment related to the single business sectors presented further on.

The Immsi Group at 31 March 2021

	Property and holding	as a %	Industrial sector	as a %	Marine sector	as a %	Immsi Group	as a %
In thousands of Euros	sector
Net revenues	161		384,653		8,739		393,553
Operating income before depreciation and amortisation (EBITDA)	-1,499	n/m	56,037	14.6%	-800	-9.2%	53,738	13.7%
Operating income (EBIT)	-1,762	n/m	23,538	6.1%	-1,685	-19.3%	20,091	5.1%
Profit before tax	-5,358	n/m	18,497	4.8%	-2,148	-24.6%	10,991	2.8%
Earnings for the period including non-controlling interests	-4,300	n/m	11,098	2.9%	-1,656	-18.9%	5,142	1.3%
Group earnings for the period (which may be consolidated)	-2,335	n/m	5,573	1.4%	-1,201	-13.7%	2,037	0.5%
Net debt	-333,257		-448,565		-61,261		-843,083
Personnel (number)	68		6,468		249		6,785

The data in the previous tables refer to results that may be consolidated, i.e. net in particular of revenues and intergroup costs and any dividends of subsidiaries.

Alternative non-GAAP performance indicators

This Report contains some indicators that, although not indicated by IFRS ("Non-GAAP Measures"), derive from IFRS financial measures.

These indicators – which are presented to allow a better assessment of the Group's operating performance – should not be considered as an alternative to IFRS measures. They are identical to those contained in the Annual Report and Financial Statements at 31 December 2021 and in the periodical quarterly reports of the Immsi Group.

Moreover, the procedures for determining these indicators are not specifically regulated by reference accounting standards, so they might not be uniform with the measures adopted by other entities and therefore might not be sufficiently comparable.

In particular, the following alternative performance indicators have been used:

EBITDA: defined as operating income before amortisation/depreciation and impairment costs of intangible assets and plant, property and equipment, as reported in the consolidated income statement;
Net financial debt (or net financial position): equal to financial liabilities (current and non-current) including trade payables and other non-current payables that include a significant component of implicit (or explicit) finance, minus cash and cash equivalents

(ESMA Guidelines 2021 / 32-382-1138). On the other hand, as determined by the Immsi Group, net financial debt does not consider derivative financial instruments designated as hedging and non-hedging, fair value adjustments of the related hedged items and related accruals, fair value adjustments of financial liabilities, payables and accruals for interest accrued on bank loans, interest accrued on loans to third party shareholders and financial liabilities related to assets held for disposal.

A detailed table highlighting the items that contribute to the indicator is included in this Report.

Form and content

Italian Legislative Decree 25 of 2016, which implemented the new Directive Transparency II (2013/50/EU), eliminated the obligation of publication of the interim report on operations. The decision to continue to publish information on the first quarter and the first nine months of the Immsi Group was taken in continuity with the past, also in the light of changes in the regulatory framework. In this regard, it should be noted that Consob, with Resolution no. 19770 of 26 October 2016, approved the amendments to the Issuer Regulations on interim reports on operations (additional periodic financial information) through the introduction of the new Article 82-ter. The new provisions applied from 2 January 2017.

The disclosure on subsequent events and the operating outlook is provided later in the specific paragraph of this Report.

As provided for by Consob communication no. DEM/5073567 of 4 November 2005, the Company has indicated fewer details than required by IAS 34 – Interim Financial Reporting. The information in this Report should be read together with the Consolidated Financial Statements at 31 December 2021, prepared according to IFRS.

The reclassified Income Statement and Statement of Comprehensive Income for the first three months of 2022 are given below, compared to the same period of 2021, as well as the reclassified Statement of Financial Position at 31 March 2022, compared to the situation at 31 December 2021 and 31 March 2021 and the Statement of Cash Flows at 31 March 2022 compared to the same period of 2021. The Statement of changes in shareholders' equity at 31 March 2022, compared with figures for the same period of the previous year is also presented.

In the first three months of 2022, and same period in 2021, there were no significant non-recurring transactions, as defined by Consob Communication no. DEM/6064293 of 28 July 2006, nor were there atypical or unusual transactions, as defined by Consob Communications no. DEM/6037577 of 28 April 2006 and no. DEM/6064293 of 28 July 2006.

The Executive in charge of financial reporting Andrea Paroli, hereby declares, in accordance with paragraph 2 of Article 154-bis of the Consolidated Finance Act, that the accounting disclosure in this document corresponds to accounting records.

The preparation of the Interim Report on Operations required the Management to make estimates and assumptions that particularly affect the reported amounts of revenues, expenses, assets and liabilities recorded in the financial statements and disclosure of contingent assets and liabilities at the closing date of the period. If in the future such estimates and assumptions deviate from the actual circumstances, the original estimates and assumptions will be modified as appropriate in the year in which the circumstances should change. In addition, some evaluative processes, particularly the more complex ones such as the determination of impairment losses on intangible assets, are generally carried out completely only at the time of drawing up the annual financial statements, when all the potentially necessary information is available, saving the cases in which

there are indicators of impairment that require immediate evaluation of possible impairment of assets.

This document may include forward-looking statements, regarding future events and operating, economic and financial results of the Immsi Group. Said statements have a certain degree of risk and uncertainty by nature, since they depend on the occurrence of future events and developments. The actual results may differ even significantly compared to the forecast ones, in relation to several factors.

The Group's activities, especially those regarding the industrial sector and the tourist/hospitality industries, are subject to significant seasonal changes in sales during the year.

The financial statements are prepared using the going concern assumption. The Directors considered that despite the extraordinary uncertainty caused by the global health emergency of Covid-19 and the recent conflict involving Russia and Ukraine, and all the consequences arising from these events, currently available funds, in addition to those generated from operating and financing activities, will enable the Group to meet its own needs arising from investments, management of working capital and repayment of debts, also bearing in mind the credit lines maturing in the next 12 months and the Group's financial commitments, and will ensure an adequate level of operational and strategic flexibility.

This Interim Report on Operations is expressed in Euros since that is the currency in which most of the Group's transactions take place. Unless stated otherwise, the figures in the financial statements and explanatory notes that follow are expressed in thousands of euros.

The exchange rates used to translate the financial statements of companies included in the scope of consolidation into euros are shown in the table below:

	Exchange rate as of 31 March 2022	Average exchange rate first three months of 2022	Exchange rate as of 31 December 2021	Average exchange rate first three months of 2021
US Dollar	1.1101	1.12168	1.1326	1.20485
Pound Sterling	0.84595	0.836406	0.84028	0.873933
Indian Rupee	84.1340	84.39443	84.2292	87.84841
Singapore Dollars	1.5028	1.51692	1.5279	1.60543
Chinese Yuan	7.0403	7.12120	7.1947	7.80798
Croatian Kuna	7.5740	7.54421	7.5156	7.57243
Japanese Yen	135.17	130.46359	130.38	127.80571
Vietnamese Dong	25,365.00	25,541.7500	25,137.39	26,951.31254
Indonesian Rupiah	15,947.00	16,088.34031	16,166.73	17,065.25937
Brazilian Real	5.3009	5.86956	6.3101	6.59901

This Interim Report on Operations at 31 March 2022, which is not audited, was prepared pursuant to Italian Legislative Decree 58/1998 as amended, and to Consob Regulation on Issuers and includes reclassified consolidated financial statements and notes prepared adopting the IFRS issued by the International Accounting Standards Board ("IASB") and endorsed by the European Union. The interpretations of the International Financial Reporting Interpretations Committee ("IFRIC") were also taken into account.

In preparing the Interim Report on Operations at 31 March 2022, the Immsi Group adopted the same accounting standards as those used for the Consolidated Financial Statements at 31 December 2021 (to which reference is made for further details), with the exception of the following.

New accounting standards, amendments and interpretations adopted from 1 January 2022

In May 2020, the IASB published some limited-scope amendments to IFRS 3, IAS 16 and IAS 37 and some annual revisions of IFRS 1, IFRS 9, IAS 41 and IFRS 16.

In March 2021, the IASB published amendments to IFRS 16 that move the final date from 30 June 2021 to 30 June 2022, for a practical expedient for measuring leases where renegotiated lease payments have been made as a result of Covid-19. The lessee may opt to recognise the concession in the accounts as a variable lease payment in the period when a lower payment is recognised.

The application of the new amendments did not have a significant impact on values or on the financial statements.

Accounting standards, amendments and interpretations not yet applicable

At the date of these Financial Statements, competent bodies of the European Union had not completed the approval process necessary for the application of the following accounting standards and amendments:

In May 2017, the IASB issued the new standard IFRS 17 "Insurance Contracts". The new standard, which will replace IFRS 4 and will be effective from 1 January 2023, was amended in December 2021.
In January 2020, the IASB published some amendments to IAS 1 that clarify the definition of "current" or "non-current" liabilities based on rights existing at the reporting date. These amendments will apply from 1 January 2023.
In February 2021, the IASB published narrow-scope amendments to IAS 1, Practice Statement 2 and IAS 8. The amendments aim to improve disclosure of accounting standards and to help users of the financial statements distinguish between changes in accounting estimates and changes in accounting standards. These amendments will apply from 1 January 2023.
In May 2021, the IASB issued amendments to IAS 12 Deferred Tax related to Assets and Liabilities arising from a Single Transaction. The amendments require companies to recognise deferred taxes when an asset or liability is initially recognised in a transaction that results in equal amounts of temporary deductible and taxable differences. These amendments will apply from 1 January 2023.

The Group will adopt these new standards, amendments and interpretations, based on the application date indicated, and will evaluate potential impact, when the standards, amendments and interpretations are endorsed by the European Union.

Scope of consolidation

For the purposes of consolidation, the financial statements at 31 March 2022 of companies included in the scope of consolidation, appropriately modified and reclassified, where necessary, to bring them in line with international accounting standards and uniform classification criteria used by the Group, were used. The scope of consolidation includes the companies in which the Parent Company, directly or indirectly, owns more than half of the voting rights exercisable in Shareholders' Meetings, or has the power to control or direct voting rights by means of contractual or by-law clauses, or can appoint the majority of the members of the Boards of Directors. Excluded from the line-by-line consolidation are non-operating subsidiaries or those with low operating levels as their influence on the final result of the Group is insignificant.

Compared to 31 December 2021, the only change to the scope of consolidation has arisen due to Piaggio & C. S.p.A.'s buyback of 86,630 shares. The consolidated portion of shareholders' equity of the Piaggio group, which amounted to 50.21% at 31 March 2021 and to 50.22% at 31 December 2021, was equal to 50.23% at 31 March 2022.

It should also be noted that in view of the different capital rights held by the two shareholders of ISM Investimenti S.p.A. – namely Immsi S.p.A. and Intesa Sanpaolo S.p.A. – the consolidated portion of shareholders' equity of ISM Investimenti S.p.A. is 72.64% (percentage of legal ownership of Immsi S.p.A.). This is unchanged compared to 31 December 2021 and an increase on 31 March 2021 when the figure stood at 47.64%.

These changes are limited and did not affect the comparability of the balance sheet and income statement between the two reporting periods.

For further details of the Immsi Group structure, see the attachment to the Financial Statements and Director's Report at 31 December 2021, to which reference is made here.

Reclassified consolidated financial statements and relative notes

Reclassified income statement of the Immsi Group

In thousands of Euros	31/03/2022		31/03/2021		Change
Net revenues	467,129	100%	393,553	100%	73,576	18.7%
Costs for materials	294,873	63.1%	236,913	60.2%	57,960	24.5%
Costs for services, leases and rentals	71,909	15.4%	63,368	16.1%	8,541	13.5%
Employee costs	69,406	14.9%	65,067	16.5%	4,339	6.7%
Other operating income	32,879	7.0%	32,217	8.2%	662	2.1%
Net reversals (write-downs) of trade and other receivables	-972	-0.2%	-1,027	-0.3%	55	5.4%
Other operating costs	5,682	1.2%	5,657	1.4%	25	0.4%
OPERATING EARNINGS BEFORE AMORTISATION AND DEPRECIATION (EBITDA)	57,166	12.2%	53,738	13.7%	3,428	6.4%
Depreciation and impairment costs of plant, property and equipment	14,728	3.2%	14,102	3.6%	626	4.4%
Impairment of goodwill	0	-	0	-	0	-
Amortisation and impairment costs of intangible assets with a definite useful life	18,569	4.0%	19,545	5.0%	-976	-5.0%
OPERATING INCOME (EBIT)	23,869	5.1%	20,091	5.1%	3,778	18.8%
Income/(loss) from investments	-67	0.0%	51	0.0%	-118	-
Financial income	6,447	1.4%	6,817	1.7%	-370	-5.4%
Borrowing costs	17,740	3.8%	15,968	4.1%	1,772	11.1%
PROFIT BEFORE TAX	12,509	2.7%	10,991	2.8%	1,518	13.8%
Taxes	6,829	1.5%	5,849	1.5%	980	16.8%
PROFIT (LOSS) FOR THE PERIOD FROM CONTINUING OPERATIONS	5,680	1.2%	5,142	1.3%	538	10.5%
Gain (loss) from assets held for sale or disposal	0	-	0	-	0	-
PROFIT (LOSS) FOR THE PERIOD INCLUDING MINORITY INTERESTS	5,680	1.2%	5,142	1.3%	538	10.5%
Earnings for the period attributable to non-controlling interests	4,399	0.9%	3,105	0.8%	1,294	41.7%
GROUP PROFIT (LOSS) FOR THE PERIOD	1,281	0.3%	2,037	0.5%	-756	-37.1%

Statement of comprehensive income of the Immsi Group

In thousands of Euros		31/03/2022 31/03/2021
PROFIT (LOSS) FOR THE PERIOD INCLUDING MINORITY INTERESTS	5,680	5,142
Items that will not be reclassified in the income statement Profit (loss) arising from the fair value measurement of assets and liabilities recognised in the statement of comprehensive income ("FVTOCI")	(1,031)	383
Actuarial gains (losses) on defined benefit plans	1,464	208
Total	433	591
Items that may be reclassified in the income statement Effective portion of profit (losses) from instruments to hedge cash flows Profit (loss) deriving from the translation of financial statements of foreign companies denominated in foreign currency	741 (1,272)	2,935 4,010
Share of subsidiaries/associates valued with the equity method	269	478
Total	(262)	7,423

Other Consolidated Comprehensive Income (Expense)	171	8,014

TOTAL COMPREHENSIVE PROFIT (LOSS) FOR THE PERIOD	5,851	13,156
Comprehensive earnings for the period attributable to non-controlling interests	4,890	6,907
COMPREHENSIVE GROUP PROFIT (LOSS) FOR THE PERIOD	961	6,249

The figures in the above table are net of the corresponding tax effect.

Net revenues

Consolidated net revenues at 31 March 2022 amounted to €467.1 million, of which 97.6%, equal to €455.8 million, were attributable to the industrial sector (Piaggio group), 2.3%, equal to €10.7 million, to the marine sector (Intermarine S.p.A.), and the remaining part, corresponding to €0.6 million, to the property and holding sector (Immsi S.p.A. and Is Molas S.p.A. net of intergroup eliminations).

With regard to the industrial sector, the Piaggio group recorded net revenues of €455.8 million in the first three months of 2022, an increase of 18.5% compared to the corresponding period of 2021.

Consolidated revenues from the marine sector (Intermarine S.p.A.) amounted to €10.7 million at 31 March 2022, an increase of 22.8% compared to the figure of €8.7 million in the first three months of 2021, in line with job order planning for the current year.

With regard to the property and holding sector, net revenues (€0.6 million) improved compared to 31 March 2021 (€0.2 million).

Operating income before depreciation, amortisation and impairment costs of plant, property and equipment and intangible assets (EBITDA)

Consolidated operating income before amortisation, depreciation and impairment costs (EBITDA) amounted to €57.2 million at 31 March 2022, equal to 12.2% of net revenues, up by €3.4 million compared to EBITDA for the first three months of 2021.

The component attributable to the industrial sector (Piaggio group) amounted to €60.1 million, improving by €4 million compared to the figure at 31 March 2021 (equal to €56 million), and accounting for 13.2% of sector net revenues (14.6% in the same period of 2021). The component attributable to the marine sector (Intermarine S.p.A.) was equal to a €0.7 million loss, a slight

improvement on the €0.8 million loss recorded at 31 March 2021. Finally, the component attributable to the property and holding sector amounted to a loss of €2.2 million, while in the first three months of 2021, a loss of €1.5 million was recorded.

The main costs of the Immsi Group included personnel costs of €69.4 million, up on the figure recorded for the same period in 2021, which was equal to €65.1 million (accounting for 14.9% of net revenues, down from 16.5% for the first three months of 2021). The average workforce in the first three months of 2022 (6,641 units) was up compared to the same period of the previous year (6,587 units).

Operating income (EBIT)

Operating income (EBIT) in the first three months of 2022 amounted to €23.9 million, equal to 5.1% of net revenues. Consolidated operating income (EBIT) in the first three months of the previous year amounted to €20.1 million, once more accounting for 5.1% of net revenues.

The component attributable to the industrial sector (Piaggio group) amounted to €27.7 million, accounting for 6.1% of sector net revenues, increasing compared to €23.6 million at 31 March 2021. The component attributable to the marine sector (Intermarine S.p.A.) was equal to a €1.3 million loss, compared to a €1.7 million loss at 31 March 2021. Lastly, the component attributable to the property and holding sector was a loss of approximately €2.5 million, compared to a loss of €1.8 million in the first three months of the previous year.

Depreciation and amortisation for the period, including impairment costs, totalled €33.3 million (down by €0.3 million compared to the first three months of 2021), accounting for 7.1% of net revenues, compared to 8.5% for the same period of 2021, comprising depreciation of property, plant and equipment amounting to €14.7 million (€14.1 million in the first three months of 2021) and amortisation of intangible assets for €18.6 million (€19.5 million in the same period of 2021). Depreciation and amortisation relating to the industrial sector (Piaggio group) amounted to approximately €32.4 million, essentially in line with the figure at 31 March 2021 (€32.5 million), of which €14.1 million was relative to property, plant and equipment and €18.3 million to intangible assets.

Goodwill impairment in the first quarter of 2022 was not recognised because, on the basis of results expected from long-term development plans prepared by Group companies and used in impairment testing carried out on 31 December 2021, it was not considered necessary to carry out impairment, as this goodwill was considered recoverable through future financial flows. Moreover, no events occurred during the first three months of 2022 that would indicate that such goodwill was affected by a significant impairment loss. No impairment costs were recognised in the consolidated figures at 31 March 2021.

Considering that the analyses conducted to estimate the recoverable value for the Immsi Group cash-generating unit were also determined based on estimates, the Group cannot guarantee that there will be no goodwill impairment losses in future periods. Given the current ongoing difficulty of certain reference and financial markets, the various factors – both internal and external to cash generating units identified – used in making the estimates could be revised in future: the Group will constantly monitor these factors and the possible existence of future impairment losses.

Profit before tax

Profit before tax at 31 March 2022 amounted to €12.5 million, up on the consolidated figure for the first three months of the previous year, which amounted to €11 million.

Borrowing costs, net of income and earnings from investments, amounted to €11.3 million in the first three months of 2022, accounting for 2.4% of net revenues, with the share from the industrial sector amounting to €7.2 million (€5 million in the first three months of 2021), the share from the marine sector amounting to €0.5 million (in line with 31 March 2021) and the property and holding sector contributing the remaining amount of €3.6 million in the first three months of 2022 (the same amount as the corresponding period of 2021).

Net financial borrowing costs recognised in the first three months of 2022 are higher than those recognised in the corresponding period of the previous year (€9.1 million, 2.3% of net revenues).

Group profit/loss for the period

Earnings for the period, net of taxes and the portion attributable to non-controlling interests, at 31 March 2022 recorded a profit of €1.3 million (0.3% of net revenues for the period), down by €0.7 million compared to the profit of €2 million registered in the same period of the previous year.

Taxes accruing in the period represented a cost of approximately €6.8 million (during the first three months of 2021 a cost of €5.8 million was recorded): income tax, also in view of requirements of IAS 34, was on average determined, based on the best estimate of the average weighted rate expected for the entire year.

Earnings/(loss) per share

In Euros

From continuing and discontinued operations:	31/03/2022	31/03/2021
Basic	0.004	0.006
Diluted	0.004	0.006

Average number of shares: 340,530,000 340,530,000

Diluted earnings per share correspond to basic profit as there are no potential shares with a diluting effect.

At the end of the reporting period, no gains or losses from assets held for sale or disposal had been recognised.

Reclassified statement of financial position of the Immsi Group

In thousands of Euros	31/03/2022	as a %	31/12/2021	as a %	31/03/2021	as a %

Current assets:
Cash and cash equivalents	235,098	9.8%	290,373	12.6%	223,084	9.8%
Financial assets	0	0.0%	0	0.0%	0	0.0%
Operating activities	694,580	29.0%	547,368	23.7%	612,018	27.0%
Total current assets	929,678	38.8%	837,741	36.3%	835,102	36.8%

Non-current assets:
Financial assets	0	0.0%	0	0.0%	0	0.0%
Intangible assets	889,121	37.1%	888,962	38.5%	872,698	38.5%
Property, plant and equipment	350,800	14.6%	355,284	15.4%	339,350	15.0%
Other assets	228,475	9.5%	226,126	9.8%	221,646	9.8%
Total non-current assets	1,468,396	61.2%	1,470,372	63.7%	1,433,694	63.2%
TOTAL ASSETS	2,398,074	100.0%	2,308,113	100.0%	2,268,796	100.0%

Current liabilities:
Financial liabilities	480,611	20.0%	449,829	19.5%	487,991	21.5%
Operating liabilities	842,459	35.1%	772,705	33.5%	740,446	32.6%
Total current liabilities	1,323,070	55.2%	1,222,534	53.0%	1,228,437	54.1%

Non-current liabilities:
Financial liabilities	591,255	24.7%	604,777	26.2%	578,176	25.5%
Other non-current liabilities	87,237	3.6%	89,935	3.9%	87,078	3.8%
Total non-current liabilities	678,492	28.3%	694,712	30.1%	665,254	29.3%
TOTAL LIABILITIES	2,001,562	83.5%	1,917,246	83.1%	1,893,691	83.5%
TOTAL SHAREHOLDERS' EQUITY	396,512	16.5%	390,867	16.9%	375,105	16.5%
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	2,398,074	100.0%	2,308,113	100.0%	2,268,796	100.0%

Analysis of capital invested by the Immsi Group

In thousands of Euros	31/03/2022	as a %	31/12/2021	as a %	31/03/2021	as a %

Current operating assets	694,580	52.6%	547,368	44.0%	612,018	46.9%
Current operating liabilities	-842,459	-63.8%	-772,705	-62.1%	-740,446	-56.7%
Net operating working capital	-147,879	11.2%	-225,337	-18.1%	-128,428	-9.8%

Intangible assets	889,121	67.3%	888,962	71.4%	872,698	66.9%
Property, plant and equipment	350,800	26.6%	355,284	28.5%	339,350	26.0%
Other assets	228,475	17.3%	226,126	18.2%	221,646	17.0%
Capital employed	1,320,517	100.0%	1,245,035	100.0%	1,305,266	100.0%

Non-current non-financial liabilities	87,237	6.6%	89,935	7.2%	87,078	6.7%
Capital and reserves of non-controlling	172,686	13.1%	158,919	12.8%	139,412	10.7%
interests
Consolidated Group shareholders' equity	223,826	16.9%	231,948	18.6%	235,693	18.1%
Total non-financial sources	483,749	36.6%	480,802	38.6%	462,183	35.4%
Net Financial debt	836,768	63.4%	764,233	61.4%	843,083	64.6%

Capital employed

Capital employed at 31 March 2022 amounted to €1,320.5 million, up by €75.5 million compared to 31 December 2021, while this figure amounted to €1,305.3 million at 31 March 2021. Net operating working capital at 31 March 2022 was €-147.9 million, compared to €-225.3 million at 31 December 2021 and €-128.4 million at 31 March 2021.

Intangible assets increased compared to 31 December 2021 and 31 March 2021, and were equal to €889.1 million; property, plant and equipment decreased by €4.5 million compared to the figure at the end of 2021, and increased by €11.4 million compared to 31 March 2021.

Net financial debt of the Immsi Group

Net financial debt at 31 March 2022, amounting to €836.8 million, is presented below in accordance with the provisions of ESMA Guidelines 32-382-1138 of 4 March 2021, and compared with the same figure at 31 December 2021 (€764.2 million).

In thousands of Euros	31/03/2022	31/12/2021

A Cash	-235,098	-290,373
B Cash equivalents	0	0
C. Other financial assets	0	0
D Total liquidity (A + B + C)	-235,098	-290,373
E Current financial payables (including debt instruments, but not including current portion of non-current financial debt)
- Bonds	0	0
- Payables due to banks	261,806	228,101
- Lease liabilities	8,549	8,204
- Amounts due to other lenders	66,292	67,230
F Current portion of non-current financial debt	143,964	146,294
G Total current financial debt (E + F)	480,611	449,829

H Net current financial debt (G + D)	245,513	159,456
I Non-current financial debt (excluding current portion and debt instruments
- Payables due to banks	331,154	344,469
- Lease liabilities	15,704	15,911
- Amounts due to other lenders	247	247
J Debt instruments	244,150	244,150
K Trade payables and other non-current payables	0	0
L Non-current financial debt (I + J + K)	591,255	604,777

M Net financial debt (H + L)	836,768	764,233

*) In derogation from the ESMA Guidelines 2021 / 32-382-1138, described above, the Immsi Group has determined that net financial debt does not include other financial assets and liabilities arising from fair value measurements, interest accrued on loans to third party shareholders and financial liabilities related to assets held for sale.

At 31 March 2022 the Group increased its debt compared to 31 December 2021 by approximately €72.5 million. Compared to 31 March 2021 (€843.1 million) debt decreased by approximately €6.3 million. The increase compared to 31 December 2021 is mainly due to the seasonality of the industrial sector which typically consumes resources in the first part of the year and generates them in the second part.

Investments

The Group's gross investments at 31 March 2022 totalled €26.8 million compared to €36 million in the first three months of 2021 (of which 26.6 million related to the Piaggio group). These investments refer to €18.8 million for intangible assets (€25 million in the first three months of 2021) and €8 million for property, plant and equipment (compared to €11 million in the same period of the previous year).

Cash flow statement of the Immsi Group

In thousands of Euros	31/03/2022	31/03/2021
Operating activities
Profit before tax	12,509	10,991
Depreciation of property, plant and equipment (including investment property)	14,728	14,102
Amortisation of intangible assets	18,569	19,545
Provisions for risks and for severance indemnity and similar obligations	5,153	4,878
Write-downs (reversals of fair value measurements)	972	1,029
Losses / (Gains) on the disposal of property, plant and equipment (including investment property)	1	(36)
Financial income	(380)	(298)
Borrowing costs	9,845	10,571
Amortisation of grants	(1,126)	(843)
Change in working capital	(73,733)	(40,986)
Change in non-current provisions and other changes	(17,939)	(18,317)
Cash generated from operating activities	(31,401)	636
Interest paid	(5,887)	(7,751)
Taxes paid	(6,067)	(5,653)
Cash flow from operations	(43,355)	(12,768)
Investment activities
Acquisition of subsidiaries, net of cash and cash equivalents	(206)	0
Investment in property, plant and equipment (including investment property)	(8,051)	(11,056)
Sale price, or repayment value, of plant, property and equipment (including investment property)	1	4,697
Investment in intangible assets	(18,790)	(24,962)
Sale price, or repayment value, of intangible assets	3	19
Collected interests	356	97
Public grants collected	61	306
Cash flow from investing activities	(26,626)	(30,899)
Financing activities
Loans received	58,438	42,904
Outflow for repayment of loans	(43,362)	(27,828)
Reimbursement of rights of use	(2,547)	(3,196)
Cash flow from financing activities	12,529	11,880

Increase / (Decrease) in cash and cash equivalents	(57,452)	(31,787)
	290,361	248,699
Opening balance
Exchange differences	182	6,172
Closing balance	233,091	223,084

This schedule illustrates the changes in cash and cash equivalents totalling €235.1 million at 31 March 2022 (€223.1 million at 31 March 2021), gross of short-term bank overdrafts. At March 31 2022, the Group had short-term bank overdrafts of approximately €2 million (there were no shortterm bank overdrafts at March 31 2021).

Total shareholders' equity and equity attributable to the Immsi Group

	Consolidated shareholders'	Capital	Total consolidated
	equity attributable	and reserves	shareholders' equity attributable
In thousands of Euros	to the Group	of non controlling interests	to the Group and non-controlling interests
Balances as at 1 January 2021	229,445	132,504	361,949
Other changes	0	(0)	0
Net comprehensive earnings for the period	6,249	6,907	13,156
Balances as at 31 March 2021	235,694	139,411	375,105

	Consolidated shareholders'	Capital	Total consolidated
In thousands of Euros	equity attributable to the Group	and reserves of non	shareholders' equity attributable to the Group and
		controlling interests	non-controlling interests
Balances at 1 January 2022	231,948	158,919	390,867
Other changes	(9,083)	8,877	(206)
Net comprehensive earnings for the period	961	4,890	5,851
Balances as at 31 March 2022	223,826	172,686	396,512

Human resources

At 31 March 2022, the Immsi Group employed 6,623 staff, of which 57 in the property and holding sector, 6,332 in the industrial sector (Piaggio group) and 234 in the marine sector (Intermarine S.p.A.).

The following tables divide resources by category and geographic segment:

Human resources by category

numbers	31/03/2022
	Property and holding	Industrial	Marine	Total
	sector	sector	sector	Immsi
Senior management	4	108	7	119
Middle managers and white-collar workers	31	2,270	139	2,440
Blue-collar workers	22	3,954	88	4,064
TOTAL	57	6,332	234	6,623
numbers		31/12/2021
	Property and holding	Industrial	Marine	Group
	sector	sector	sector	Total
Senior management	4	108	7	119
Middle managers and white-collar workers	32	2,273	138	2,443
Blue-collar workers	21	3,321	93	3,435
TOTAL	57	5,702	238	5,997
numbers		Changes
	Property and holding	Industrial	Marine	Group
	sector	sector	sector	Total
Senior management	0	0	0	0
Middle managers and white-collar workers	-1	-3	1	-3
Blue-collar workers	1	633	-5	629
TOTAL	0	630	-4	626

Human resources by geographic segment

numbers	31/03/2022
	Property and holding sector	Industrial sector	Marine sector	Group total
Italy	57	3,550	234	3,841
Rest of Europe	0	165	0	165
Rest of the world	0	2,617	0	2,617
TOTAL	57	6,332	234	6,623

numbers		31/12/2021
	Property and holding sector	Industrial sector	Marine sector	Group total
Italy	57	3,026	238	3,321
Rest of Europe	0	166	0	166
Rest of the world	0	2,510	0	2,510
TOTAL	57	5,702	238	5,997

numbers		Changes
	Property and holding sector	Industrial sector	Marine sector	Group total
Italy	0	524	-4	520
Rest of Europe	0	-1	0	-1
Rest of the world	0	107	0	107
TOTAL	0	630	-4	626

Employee numbers were also affected by seasonal workers in the summer (on fixed-term employment contracts). The Group effectively hires temporary staff to cover peaks in demand typical of the summer months.

For further information on Group employees (such as remuneration and training policies, diversity and equal opportunities, safety, etc.), reference is made to the section on the Social Dimension in the Consolidated Non-Financial Statement at 31 December 2021 prepared pursuant to Legislative Decree 254/2016.

Directors' comments on operations

As anticipated, during the first three months of 2022 the Immsi Group recorded a substantial economic and financial improvement, in particular in the industrial sector, which showed very positive overall results.

Final results for the period have different trends with reference to the various sectors comprising the Group, based on business trends and the different impact of seasonality.

Property and holding sector

	31/03/2022	as a %	31/03/2021	as a %	Change	as a %
In thousands of Euros
Net revenues	576		161		415	257.8%
Operating income before depreciation and amortisation (EBITDA)	-2,214	n/m	-1,499	n/m	-715	-47.7%
Operating income (EBIT)	-2,504	n/m	-1,762	n/m	-742	-42.1%
Profit before tax	-6,098	n/m	-5,358	n/m	-740	-13.8%
Earnings for the period including non-controlling interests	-5,574	n/m	-4,300	n/m	-1,274	-29.6%
Group earnings for the period (which may be consolidated)	-4,058	n/m	-2,335	n/m	-1,723	-73.8%
Net debt	-328,206		-333,257		5,051	1.5%
Personnel (number)	57		68		-11	-16.2%

Overall, the property and holding sector showed a net loss for consolidation purposes of approximately €4.1 million at 31 March 2022, a deterioration on the same period of the previous year, when a loss of €2.3 million was recorded. This was affected by the different consolidation percentage applied to ISM Investimenti SpA (as highlighted in the previous paragraph "Form and content"), as well as the reinstatement of deferred tax assets on the subsidiary Is Molas SpA which occurred during the first quarter of the previous year.

The sector reported net debt of €328.2 million, an improvement on the debt of €333.3 million at 31 March 2021.

The Parent Company Immsi S.p.A. recorded a net loss for the period of approximately €0.2 million, compared to a net profit of €0.2 million at 31 March 2021; the decrease is mainly due to lower revenues for services to subsidiaries.

Net debt at 31 March 2022 stood at €27 million compared to €23.6 million at 31 December 2021.

In preparing this Interim Report at 31 March 2022, the Parent Company did not carry out any specific impairment analyses on the carrying amount of investments held in fully consolidated companies as these investments and any changes arising from the related impairment tests would have been fully eliminated on consolidation.

With regard to initiatives in the property sector and in particular with reference to the subsidiary Is Molas S.p.A., it should be noted that the company has promoted the rental of mockup villas in order to allow potential end customers, including investors, to better understand the product and the related services offered (e.g. wellness and home catering) in order to be able to assess the

income capacity of the same. The company is also successfully taking measures to sell the "Le Ginestre" property complex, which consists of 50 residential units (residences) and several parking spaces, with the aim of rationalising its property portfolio.

Revenues generated by the hotel and golf business in the first three months of 2022 (amounting to €0.6 million) were up by approximately €0.4 million compared to the same period of the previous year. This increase was mainly due to the sale of a further five residential units in the "Le Ginestre" property complex, in addition to the two units already sold at the end of the 2021 financial year. In terms of margins, at 31 March 2022 the company recorded an operating loss of approximately €0.9 million and a net loss for consolidation purposes equal to €0.9 million, a deterioration on the figures recorded for the same period in 2021 which, as mentioned above, benefited from a reinstatement of deferred tax assets amounting to around €0.7 million.

The net debt of the company amounted to €75.2 million, with a cash flow absorption of €0.6 million compared to 31 December 2021 (when it stood at €74.5 million) due to net cash flows used by operations and investments in property, plant and equipment.

With reference to the Pietra Ligure project, it should be noted that on 22 July 2021 the direct parent company Pietra S.r.l. (77.78% owned by Immsi S.p.A. and 22.22% by Intesa Sanpaolo S.p.A.), signed with Polifin S.p.A. (holding company Bosatelli family) – which later became Corus Life Pietra Ligure S.p.A. whose share capital is entirely held by Polifin S.p.A. – a preliminary contract for the sale of the entire investment held in Pietra Ligure S.r.l., for a total consideration of €30 million. The execution of the contract is subject, as usual, to certain conditions precedent (to be precise, two of an administrative nature involving the Liguria Region and the Municipality of Pietra Ligure), both of which occurred between the end of the 2021 financial year and the early months of 2022. The transaction is therefore expected to be executed by the first half of 2022.

Pietra S.r.l.'s consolidated net loss in the first quarter of 2022 was equal to €0.1 million and in line with the result of the previous year, while the net debt, gross of intragroup eliminations, was €-7.1 million (essentially unchanged from 31 December 2021) following the collection of the €10 million down payment on the aforementioned sale. The net loss of Pietra Ligure S.r.l., controlled, as mentioned above, by Pietra S.r.l.. and into which the Pietra Ligure property complex with the related Concession and Town Planning Agreement was merged, was €0.1 million, which was also in line with the result of the same period in 2021. Net financial debt, gross of intercompany eliminations, amounted to €3.2 million (essentially unchanged from 31 December 2021), in addition to the financial debt related to the discounting of the flows linked to the above concession (as required by IFRS 16) of approximately €6 million.

With reference to the subsidiary Apuliae S.r.l., there are no further updates since the Report of Directors and Financial Statements of the Immsi Group at 31 December 2021, to which reference is made. At 31 March 2022, the company posted a substantial break-even position and net debt that was more or less unchanged compared to 31 December 2021, at €0.9 million.

The other major companies falling within the property and holding sector also include RCN Finanziaria S.p.A. and ISM Investimenti S.p.A.. With reference to the main financial data of the companies in question, note that:

RCN Finanziaria S.p.A., in which Immsi S.p.A. holds 72.51% and which is the sole shareholder of Intermarine S.p.A., recorded a net loss for consolidation purposes for the Immsi Group of approximately €0.9 million (broadly in line with the first three months of 2021), and net financial debt of €127.6 million at 31 March 2022, largely unchanged compared to 31 December 2021;
ISM Investimenti S.p.A. recorded a net loss for consolidation purposes for the Immsi Group of approximately €1.8 million (a deterioration of approximately €0.6 million compared

to the first three months of 2021, which was affected, as previously noted, by the different percentage of consolidation), and net financial debt at 31 March 2022 equal to €101.4 million, down by approximately €32.7 million compared to the figure at 31 December 2021, mainly due to Immsi S.p.A.'s waiver of financial receivables. (€33 million) with their conversion into reserves for future capital increases. For more details, please refer to the Directors' Report and Financial Statements of the Immsi Group at 31 December 2021.

Industrial sector

In thousands of Euros	31/03/2022	as a %	31/03/2021	as a %	Change	as a %
Net revenues	455,818		384,653		71,165	18.5%
Operating income before depreciation and amortisation (EBITDA)	60,076	13.2%	56,037	14.6%	4,039	7.2%
Operating income (EBIT)	27,665	6.1%	23,538	6.1%	4,127	17.5%
Profit before tax	20,426	4.5%	18,497	4.8%	1,929	10.4%
Earnings for the period including non-controlling interests	12,664	2.8%	11,098	2.9%	1,566	14.1%
Group earnings for the period (which may be consolidated)	6,361	1.4%	5,573	1.4%	788	14.1%
Net debt	-441,071		-448,565		7,494	1.7%
Personnel (number)	6,332		6,468		-136	-2.1%

At 31 March 2022, the Piaggio Group had sold a total of 141,800 vehicles worldwide, recording an increase compared to the first three months of the previous year, when 135,000 vehicles were sold (+5%). As regards product type, sales of Two-Wheeler vehicles grew (+15.3%) while sales of Commercial Vehicles fell (-28.5%).

The Piaggio group's consolidated net revenues amounted to €455.8 million, up (+18.5%) compared to the €384.7 million recorded at 31 March 2021.

EBITDA amounted to €60.1 million at 31 March 2022, an improvement of 7.2% on the €56 million reported in the first three months of 2021. EBITDA margin was equal to 13.2% (14.6% at 31 March 2021).

Operating income (EBIT) amounted to €27.7 million, up 17.5% compared to €23.5 million at 31 March 2021. EBIT margin was 6.1% (unchanged from March 31 2021).

Profit before tax amounted to €20.4 million, up by 10.4% compared to €18.5 million at 31 March 2021. Income taxes for the period amounted to €7.8 million, equivalent to 38% of profit before tax.

Net profit of the Piaggio group stood at €12.7 million in the first three months of 2022 (2.8% of turnover) also improving (+14.1%) on the figure for the same period of the previous year, which amounted to €11.1 million (2.9% of turnover).

Net financial debt at 31 March 2022 was equal to €441.1 million, compared to €380.3 million at 31 December 2021. The increase of approximately €60.7 million is mainly due to the seasonal nature

of two-wheelers which, as is well-known, uses resources in the first part of the year and generates them in the second half.

Net financial debt decreased by €7.5 million compared to 31 March 2021.

Marine sector

In thousands of Euros	31/03/2022	as a %	31/03/2021	as a %	Change	as a %
Net revenues	10,735		8,739		1,996	22.8%
Operating income before depreciation and amortisation (EBITDA)	-696	-6.5%	-800	-9.2%	104	13.0%
Operating income (EBIT)	-1,292	-12.0%	-1,685	-19.3%	393	23.3%
Profit before tax	-1,819	-16.9%	-2,148	-24.6%	329	15.3%
Earnings for the period including non-controlling interests	-1,410	-13.1%	-1,656	-18.9%	246	14.9%
Group earnings for the period (which may be consolidated)	-1,022	-9.5%	-1,201	-13.7%	178	14.9%
Net debt	-67,491		-61,261		-6,230	-10.2%
Personnel (number)	234		249		-15	-6.0%

With reference to the income data of the marine sector (Intermarine S.p.A.), during the first three months of 2022, net sales revenues (consisting of sales and changes in work in progress) amounted to €10.7 million, compared to €8.7 million in the corresponding period of 2021. Production progress, including research and development, and the completion of constructions and deliveries, concerned in particular:

the Defence division, with €8 million (7.2 million in the first three months of 2021), mainly due to progress with the job order for the modernisation of Gaeta Class minesweepers for the Italian Navy, and the third integrated minesweeper platform for an Italian sector operator;
the Fast Ferries and Yacht, divisions, with a total of €2.7 million (€1.6 million during the first three months of 2021), mainly for activities at the Messina shipyard.

In view of the above, an operating loss (EBIT) of €1.3 million was recorded for the first three months of 2022, an improvement on the same period of the previous year (when a loss of €1.7 million was recorded). There was a pre-tax loss of €1.8 million (compared to a loss of €2.1 million in the same period of 2021), while at 31 March 2022 the Immsi Group had recorded a net loss for consolidation purposes of €1 million, compared to a loss of €1.2 million in the same period of the previous year.

The total value of the orders portfolio of the company amounted to €23 million at 31 March 2022 (mainly relating to the Defence division), referring to the remaining part of existing contracts still to be developed in terms of revenues.

Net financial debt at 31 March 2022 amounted to €67.5 million, up on the balance at 31 December 2021, equal to €60.1 million, and on the balance of €61.3 million at 31 March 2021.

Events occurring after 31 March 2022 and operating outlook

Despite forecasts that are still complex overall, because of ongoing critical aspects concerning commodity price increases, logistics, geopolitical tensions and developments in the pandemic, the Group, and in particular the Piaggio group, will continue its growth path, thanks to a portfolio of brands unique in the world, confirming planned investments in new products and new plants and strengthening its commitment to ESG issues.

With regard to the property and hospitality/tourist sector, in particular the Is Molas subsidiary, the Group is monitoring the evolution of the Covid-19 pandemic and the ongoing geopolitical tensions, the economic consequences of which are currently difficult to quantify in terms of their potential impact on the tourist season. Despite the uncertain outlook, the subsidiary's commercial activities aimed at identifying possible buyers, including at an international level, are proceeding. As regards events occurring after March 31, 2022, Is Molas has concluded the sale of a further three residential units of the "Le Ginestre" property complex.

As for the industrial sector, in this general framework, the Piaggio group will continue to work as always to meet its commitments and objectives, maintaining a constant focus on the efficient management of its economic and financial structure, to respond flexibly and immediately to the challenges of the coming months.

Regarding events occurring after 31 March 2022, on 3 April Aprilia triumphed in the Argentine Grand Prix, with Aleix Espargarò taking the first victory in the MotoGP class. For the Noale manufacturer, one of the most successful brands in the history of motorcycling, this was the 295th victory in the World Championship, the first in the new four-stroke era of top two-wheeler competition after the countless successes in the 125 and 250cc classes.

On 20 April, pre-booking of the exclusive Vespa Sprint designed by international pop star Justin Bieber was launched. The JUSTIN BIEBER X VESPA is available in 50, 125 and 150cc engine versions.

Also with reference to the marine sector, despite this difficult general context, production progress will be made in the next few months on job orders acquired, and commercial activities in all the company's business sectors will continue, seeking favourable commercial opportunities; management will continue to take all actions to keep costs down, and will carry out all activities necessary to obtain further job orders enabling it to increase its orders portfolio and consequently optimise production capacity over the next few years. Although the ongoing Covid-19 pandemic combined with the current geopolitical tensions could slow down the development of Defence Programmes of several countries, contacts with the relevant navies have also resumed for the evaluation of possible supplies of minesweepers and patrol boats under these programmes.

In relation to expected future commercial developments in the Defence sector, the company has planned a major investment plan to upgrade its production capacity.

Regarding events occurring after March 31, 2022, it should be noted that Intermarine SpA delivered the third CDMA3 minesweeper unit on May 4 2022 to a leading operator in the sector and to the respective foreign navy.