NETGEM

Earnings Release • Oct 14, 2016

Third Quarter 2016 Revenue

ParisLa Défense, October 14th, 2016

Consolidated revenue, activity and outlook

In € million	Q3 2016	Q3 2015	Change	9 months 2016	9 months 2015	Change
Revenue	19.7	23.3	­15%	58.8	60.6	­3%

For the quarter ending September 30th, 2016, Netgem announces a consolidated revenue of € 19.7 million, bringing the consolidated revenue for the first 9 months of 2016 to € 58.8 million, a 3% decrease compared to the same period in 2015.

As communicated previously, Netgem expects a positive growth of its gross profit and results on a full year basis, reflecting the growing positive impact of the SaaS business model ("Software as a Service") and the streamlining of its B2C business.

At the Amsterdam IBC Fair in September 2016, Netgem demonstrated its suite of multiscreen and connected home entertainment solutions, which now includes fullpersonalisation and social functionalities, cloud gaming and multiroom music.

Netgem has signed a new international operator for a first deployment of this offer in the Middle East.

Significant events and transactions

As the Group continues to implement its share buyback program, it now owns about 7.3% of its capital.

The project for an alternative tripleplay fiber operator in France jointly with Caisse des Dépôts and the Océinde Group, announced in July 2016, is expected to close in November 2016. A shareholders' meeting has been called for October 26th, 2016 to approve the hivedown of Netgem's B2C operations to Vitis, the newlycreated subsidiary that will host the project.

Calendar of Financial Communication

• Revenue for Q4'2016: January 12, 2017, before market opening
• Results 2016 and revenue for Q1'2017: April 6, 2017, before market opening
• Annual shareholders' meeting: June 1st, 2017

Revenue and results for H1 2017: July 28, 2017, before market opening Revenue for Q3'2017: October 13, 2017, before market opening

About Netgem

Netgem provides Fixed and Mobile Telecom operators with #TelcoTV, a superior TV service, offering intuitive navigation, simple access to the content consumers love, and multiscreen viewing, in and out of the home.

With 20+ deployments in Europe, APAC, and South America, and over 5 Million active viewers, Netgem is best placed to partner with the most innovative Telco operators and help them win in their market.

TelcoTV is what we do, it's TV the Telco way

Netgem is listed on NYSE Euronext Paris Compartment C (ISIN: FR0004154060, Reuters: ETGM.PA, Bloomberg: NTG FP)