Intred — Earnings Release 2019

Feb 13, 2020

Press Release

INTRED S.P.A.: 2019 TURNOVER GROWS BY 21% TO EUR 20.8 MILLION

ULTRA-WIDE BAND CONNECTIONS INCREASED BY 45%

Milan, 13 February 2020 – The Board of Directors of Intred S.p.A. ("Intred" or the "Company"), a telecommunications operator listed on the Italian Stock Exchange AIM Italia market since 2018 (symbol: ITD.MI), met today and examined the turnover as at 31 December 2019, which came to € 20.8 million, an increase of 21% over the same period of the previous year.

In 2019, the optical fiber network went from 1,950 km to 2,900 km, marking a growth of 49% on an annual basis and the greatest development was recorded in the provinces of Bergamo, Monza and Brianza, Lecco, Milan, and Brescia.

Daniele Peli, Co-Founder and CEO of Intred S.p.A., commented: "We are undoubtedly satisfied with the results obtained by Intred in 2019, which confirm the growth trend of the last quarters. The year was also characterized by the continuous growth of our infrastructure, in particular the fiber-optic infrastructure which today represents the most advanced and performing technology, essential to ensure business development in the coming years. Our goal in fact, also for 2020, remains to continue to grow, also thanks to the recent binding agreement for the acquisition of the majority of the share capital of Qcom SpA, a company that operates in our sector but is complementary to Intred both in terms of geographical presence and services offered".

The overall increase in revenues is mainly supported by the sales of ultra-broadband connections which increased by + 45% to Euro 11.7 million compared to the same period of the previous year and which represents approximately 56% of the total turnover. There was also significant growth in the telephone sector (+ 17% to Euro 2.3 million), while revenues from data center services (Housing and Cloud) remained stable. As expected, the broadband sector (-9.4%), deriving from copper cable-based connectivity, and the RDSL sector (-8%) are decreasing, as the company is strongly encouraging its customers to switch to fiber optic connections, the latest generation and most performing technology.

95% of revenues derive from recurring fees, which guarantee the company with continuity and clear visibility on future forecasts. The breakdown of turnover by type of customer remains stable compared to previous periods, with a high growth in sales to Residential Customers (+ 25% to Euro 6.1 million) and Business Customers (+ 21% to Euro 11.2 million). The growth trend was also positive in the Wholesale sector (+ 16% to Euro 2.7 million) and in the Public Administration (+ 8%).

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€/million	2018		2019		YoY
	Revenues	%	Revenues	%	Var. 19/18
Business	4.9	28.5%	6.1	29.5%	+25.1%
Residential	9.2	53.6%	11.2	53.7%	+21.3%
Wholesale	0.76	4.4%	0.83	4.0%	+8.4%
Public Administration	2.3	13.5%	2.7	12.9%	+15.8%
Total	17.2	100.0%	20.8	100.0%	21.1%

There continues to be significant growth in the number of users with data lines, 31,570 as of 31 December 2019, with a growth of 20% compared to the same period of the previous year.

The "churn rate" on turnover stands at 4.0%, essentially in line with the figure of the previous year.

This press release is available in the investors section of the website www.intred.it.

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Intred Telecomunicazioni

Reference telecommunications operator in Lombardy founded in 1996 by Daniele Peli, the company's current Chairman and CEO, and listed on the Italian Stock Exchange AIM Italia market since 2018 (symbol: ITD.MI). With an optic fibre network of over 2,900 km, Intred provides ultra-broadband, broadband and wireless connectivity, landline telephone services, cloud services and related services for business and retail customers, the latter served with the EIR brand. Intred directly operates its own infrastructure to ensure efficiency, profitability, service quality and – thanks to a dedicated in-house call centre – excellent service levels for its users. Its high-value assets and consolidated, highly scalable business model, combined with a turnover of €20.8 million as at 31 December 2019, make Intred an ideal infrastructure technology partner with a full range of high-quality, reliable and secure solutions. www.intred.it

Nomad

Banca Profilo S.p.A. +39 02 584081 alessio.muretti@bancaprofilo.it

Specialist Integrae SIM S.p.A. +39 02 87208720 info@integraesim.it

Investor Relation Intred CFO & Investor Relations Officer Filippo Leone Tel. +39 391 4143050 ir@intred.it

CDR Communication Vincenza Colucci Tel. +39 335 6909547 vincenza.colucci@cdr-communication.it Media Relation CDR Communication Angelo Brunello Tel. +39 329 2117752 angelo.brunello@cdr-communication.it

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