Piovan — Interim / Quarterly Report 2021

Sep 8, 2021

Press Release

THE BOARD OF DIRECTORS OF PIOVAN S.P.A. APPROVES THE CONSOLIDATED HALF-YEAR FINANCIAL REPORT AS OF JUNE 30, 2021

The Board of Directors of Piovan S.p.A. today approved the Consolidated Half-Year Financial Report as of June 30, 2021:

Excellent results - both in the Plastic and Food & Non-plastic segments with a positive situation in all geographies - certify the soundness of the group's strategy. EBITDA margin above 15% and Net Income more than doubled versus last year. Relevant awards obtained by the Group in the field of sustainability.

• Consolidated revenue of € 145.9 million, growing significantly from € 102.6 as of June 30, 2020 (+42.2% and +30.1% on a like-for-like consolidation basis and excluding the impact of certain nonrecurring items);
• EBITDA, improving both in absolute value and in terms of profitability, reaching € 23.3 million (15.9% margin), increasing by 77.9% from € 13.1 million as of June 30, 2020 (+52.4% on a like-forlike consolidation basis and excluding the impact of certain non-recurring items);
• Consolidated Operating Profit (EBIT) of € 19.7 million (13.5% margin), increasing by 90.8% compared to € 10.3 million as of June 30, 2020;
• Consolidated Net Profit of € 14.7 million (10.0% margin), compared to € 7.2 million as of June 30, 2020;
• Positive Consolidated Net Financial Position of € 2.4 million, substantially in line with the figures as of December 31, 2020 excluding certain accounting reclassifications and improving towards the same figures as of June 30, 2020 when it was negative for €2.9 million. Excluding the effects of the application of the IFRS 16, the consolidated net financial position as of June 30, 2020 would amount to € 12.8 million compared to € 14.4 million at December 31, 2020.

Santa Maria di Sala (Venice), September 8 th, 2021 – The Board of Directors of Piovan S.p.A. ("Piovan" or the "Company") today reviewed and approved the Consolidated Half-Year Financial Report as of June 30, 2021.

"The excellent results obtained in this first half of 2021 confirm the soundness of the group's strategy in the long term and of the choices made by the management during the pandemic - a period in which the Piovan Group, thanks to its capillary and global presence, was able to support closely its customers, increasing its market share and strengthening business relationships even more" declared Nicola Piovan, Executive Chairman.

"We are proud of these results, but even more of the recent acknowledgments obtained by Piovan Group in the field of sustainability and circular economy, one above all the selection of InspectaBe among the finalists in the Machinery category of the prestigious Sustainability Award 2021 organized by Packaging Europe trade

magazine. In addition to pursuing its strategy of organic and external growth, Piovan Group intends to further strengthen its investments in technologies for the use of recycled plastic and in the field of sustainability more generally" adds Filippo Zuppichin, Chief Executive Officer.

The key financial highlights of the Consolidated Half-Year Financial Report as of June 30, 2021 follow:

		Economic performance indicators	Changes
(amounts in €'000)	First half year 2021	% on total revenues and other income	First half year 2020	% on total revenues and other income	2021 vs 2020	%
Revenue	142,269	97.5%	100,643	98.1%	41,626	41.4%
Other revenue and income	3,657	2.5%	1,953	1.9%	1,704	87.3%
TOTAL REVENUE AND OTHER INCOME	145,926	100.0%	102,596	100.0%	43,330	42.2%
EBITDA (*)	23,274	15.9%	13,086	12.8%	10,188	77.9%
OPERATING PROFIT	19,723	13.5%	10,338	10.1%	9,385	90.8%
PROFIT BEFORE TAXES	19,898	13.6%	10,232	10.0%	9,666	94.5%
Income taxes	5,244	3.6%	3,006	2.9%	2,238	74.4%
NET PROFIT	14,655	10.0%	7,226	7.0%	7,429	102.8%

(*) First half-year 2020 EBITDA (indicated in the Consolidated Half-Year Financial Report at Euro 13,088 thousand) was restated net of "Accruals" for comparability with the H1 2021 figure, following a change to the indicators definition.

Revenue overview

Consolidated revenue (and other income)

Piovan Group reports revenue and other income of € 145.9 million in the first half of 2021, increasing by 42.2% from € 102.6 million in the first half of 2020.

Excluding revenues recognized by Doteco Group and Studio Ponte S.r.l., consolidated from October 2020, total revenues and other income in the first six months of 2021 amounted to € 135.0 million, up 31.6% on the same period of 2020.

Other revenue and income, which was up 87.3% on the first six months of 2020, include non-recurring revenue related to the € 1.5 million grant that Unadyn received from the U.S. government under the Paycheck Protection Program launched in 2020 in response to the pandemic. Excluding these non-recurring revenues, total revenues and other income amounted to € 144.4 million, with an increase of 40.7% compared to the same period of 2020.

In order to facilitate the comparison between 2021 and 2020 results, total revenues and other income - on a like-for-like basis of consolidation and excluding the US Paycheck Protection Program Loan non-repayable – are equal to € 133.5, with an increase of 30.1% compared to the first half of 2020.

Piovan Group core revenue alone, in the first half of 2021, amounted to € 142.3 million, increasing by 41.4% on € 100,6 million in the first half of 2020.

Revenue calculated on a like-for-like basis (i.e. at the 1H 2020 average exchange rate) would have been € 3.4 million higher at € 145.7 million and an increase of 44.75% on the first half of 2020. Revenue was in fact mainly impacted by a negative effect from US Dollar and Brazilian Real movements.

Revenue by Business Segment

	First half-year 2021	%	First half-year 2020	%	Change	% Change
Plastic	108,105	76.0%	80,420	79.9%	27,685	34.4%
Food & non plastic	17,523	12.3%	7,469	7.4%	10,054	134.6%
Services	16,641	11.7%	12,754	12.7%	3,887	30.5%
Revenue	142,269	100.0%	100,643	100.0%	41,626	41.4%

Revenue by market indicates:

• Plastic revenue increased by 34.4% compared to the same period of the previous year, which had been impacted by the COVID-19 travel restrictions and consequent delays in the delivery and installation of certain orders;
• Revenues from Food & Non-plastic performed well in both absolute terms and as a percentage of total revenues, increasing 134.6% on the first half of 2020 thanks to a strong order backlog at the end of 2020, which has been developed in the first months of 2021, and to a growth in new orders received;
• Services posted revenue growth (+30.5%) on the first half of 2020, a year in which travel restrictions in response to the COVID emergency inhibited the normal provision of on-site, post-sale services.

	First half-year 2021	%	First half-year 2020	%	Change	% Change
EMEA	92,880	65.3%	61,444	61.1%	31,436	51.2%
ASIA	15,869	11.2%	12,967	12.9%	2,902	22.4%
NORTH AMERICA	26,720	18.8%	21,299	21.2%	5,421	25.5%
SOUTH AMERICA	6,801	4.8%	4,933	4.9%	1,868	37.9%
Revenue	142,269	100.0%	100,643	100.0%	41,626	41.4%

Revenue by region

EMEA revenues grew 51.2% on H1 2020. This growth, which concerned all markets, benefited from the excellent performance of the Food & Non-plastic market (+128% in H1 2021 on the same period of 2020).

Asia and North America grew by 22.4% and 25.5%, respectively, in 2021 on 2020, with revenues increasing in both the Plastic and Services markets. North America benefited from the Group's growth in Food & Nonplastic, where revenues accounted for more than 6% of the total area (vs. 0.2% for the same period of 2020).

The South America market also achieved very positive performance (+37.9% on H1 2020 revenues), thanks above all to the revenues in Food & Non-plastic (+170%) and Services (+38%) markets.

Consolidated operating and net results

EBITDA

In the first half of 2021, EBITDA improved both in absolute value and in terms of profitability, totaling € 23.3 million, an increase of 77.9% compared to € 13.1 million in the same period of the previous year, with a percentage incidence on revenues and other income equal to 15.9% compared to 12.8% in the same period of the financial year 2020.

On a like-for-like basis of consolidation and excluding non-recurring revenues, the gross operating margin (EBITDA) amounts to € 19.9 million thousand, with an increase in this case of 52.4%.

EBITDA profitability increased from 12.8% for the first half of 2020 to 15.9% in H1 2021, having benefited from the increase in sales volumes and the grant received as mentioned above. Without this grant, the EBITDA is equal to € 21.7 million, with a percentage incidence on revenues and other income equal to 15.1% compared to 12.8% in the same period of the financial year 2020.

Operating Profit

In the first half of 2021, Operating Profit was € 19.7 million, improving by 90.8% on € 10.3 million in the same period of the previous year, with a profitability over revenue and other income of 13.5% (10.1% in the same period of 2020).

On a like-for-like basis of consolidation and excluding non-recurring revenues, the operating result amounts to € 16.7 million, up by 61.3% in this case.

Net Profit

In the first half of 2021, net profit was € 14.7 million, with a revenue and other income margin of 10.0%, up by 102.8% from the € 7.2 million in the same period of the previous year. On a like-for-like basis of consolidation and excluding non-recurring revenues, the profit for the year amounts to € 12.0 million, increasing in this case by 66.6%.

	2021	2020
Net Profit attributable to:	14,655	7,226
- owners of the parent company	14,842	7.427
- Non-controlling interests	(187)	(201)
Earnings per share
- basic	0,29	0,15
- diluted	0,29	0,15

The results achieved in the first half of 2021 showed an increase also compared to the first half of 2019, both in absolute terms and on a like-for-like basis of consolidation.

Earnings per share

Earnings per share were € 0.29 as of June 30, 2021, compared to € 0.15 on June 30, 2020.

Consolidated Balance Sheet Items Overview

Consolidated Net Financial Position

Beginning with this report, the Company has adopted the new layout for Net Financial Position (NFP) called for in the Consob Call for Attention No. 5/21 of April 29, 2021, which implements the EMSA Guidelines 32- 382-1138 of March 4, 2021.

Compared to the layout previously used by the Company, the account "trade payables and other non-current liabilities" is now also included.

The consolidated net financial position at June 30, 2021 was positive and equal to € 2.4 million, compared to positive € 4.0 million at December 31, 2020 and to negative € 2.9 million at June 30, 2020.

Excluding the effects of the application of the IFRS 16 accounting standard, the consolidated net financial position at June 30, 2021 would amount to € 12.8 million (compared to € 14.4 million at December 31, 2020).

€/000	30.06.2021	31.12.2020	30.06.2020
A. Cash	85,578	87,452	57,440
B. Cash equivalents	-	-	-
C. Other current financial assets	4,131	5,146	6,149
D. Liquidity (A+B+C)	89,708	92,598	63,589
E. Current financial debt (including debt instruments, but excluding current portion of non-current financial debt)	(29,230)	(23,046)	(25,056)
F. Current portion of non-current financial debt	(16,457)	(17,833)	(10,040)

G. Current financial indebtedness (E+F)	(45,687)	(40,879)	(35,097)
H. Net current financial position(G-D)	44,021	51,719	28,492
I. Non-current financial debt (excluding current portion and debt instruments)	(39,317)	(47,379)	(31,127)
J. Debt instruments	-	-	-
K. Non-current trade and other payables	(2,266)	(363)	(272)
L. Non-current financial indebtedness (I+J+K)	(41,583)	(47,742)	(31,399)
M. Total net financial position (H+L)	2,438	3,977	(2,906)

The new NFP presentation as at June 30, 2021 shows a cash position of € 2.4 million, down by € 1.5 million versus December 31, 2020. This decrease is mainly attributable to an aspect related to the layout of the reclassification of the remaining payable for the Doteco earn-out, in the amount of € 1.0 million, from current liabilities (at December 31, 2020) to non-current liabilities (at June 30, 2021). More specifically, against a total debt of € 7 million recorded in the 2020 balance sheet, the Company paid € 5,982 thousand in August 2021, while the difference – of € 1,018 thousand – to be paid approximately by August 2022, provided that the same is actually due, based on Doteco's 2021 performance.

Removing this component, which is a reclassification in comparison with 2020, NFP would decrease by €521 thousand.

Total NFP, net of the total of "Trade payables and other non-current liabilities", totaled a positive cash position of € 4.7 million (an improvement of € 364 thousand from the € 4.3 million of December 31, 2020).

This result must be evaluated even more positively considering that in May 2021, the parent company distributed dividends of €6.6 million (€ 5.6 million in 2020) and paid Doteco price adjustments of € 715 thousand, due to the final estimation of Doteco NFP as of September 30, 2020.

In the first half of 2021, investments totaled € 834 thousand (€ 1,032 thousand in H1 2020).

The US subsidiary Unadyn received a loan in May 2020 from the Paycheck Protection Program (PPP) in the amount of USD 1,855,042 which, having been fully converted into a grant in June 2021, no longer requiring repayment.

In June 2021, the Korean company TOBA PNC received KRW 500 million (€ 373 thousand approx.) in financing from the Korean government agency to support the small and medium enterprises (SMEs) impacted by the COVID-19 pandemic. The interest rate is 2.03% and the loan duration is 5 years, including an interest-only period for the first two years.

Medium/long-term loans were repaid for €7.8 million during H1 2021.

Significant events occurred during the first half of 2021

COVID -19 pandemic implications

The COVID-19 pandemic, which spread around the globe in 2020, has continued into 2021. As noted, this emergency - and above all the lockdown policies imposed by various governments - have had widespread repercussions in many sectors of the world economy. The medium-term outlook is gradually improving thanks to the beginning of the vaccination campaigns in 2021 in various nations, although the macroeconomic landscape continues to feature a great deal of uncertainty due to new waves and variants of the virus, as cases are on the rise in many countries.

The Group has a presence in many geographical areas and in a diverse range of industries. It was therefore possible, as previously indicated, to mitigate the overall risk.

In H1 2021, all Piovan Group companies remained fully operative, having adopted measures and protocols to protect employees as per applicable local regulations.

The impacts of this situation on Group operations have to date mainly taken the form of a slowdown in installation operations. The restrictions introduced by Governments on the mobility of individuals delayed in fact in certain cases the execution of the concluding phases of a number of projects requiring installation onsite at customer premises.

In addition, with reference to:

• Supply chain and logistics: the Group has experienced no particular delays in provisioning and shipping as yet. Nonetheless, we are seeing a marked increase in production costs in relation to tensions on the commodities and transport markets, along with a lengthening of time needed to procure certain components.
• Health and Safety: the Group continues to place the utmost emphasis on managing all processes at all of the Group's companies so as to mitigate the risk of infection. In particular, all measures recommended in the various national protocols were implemented at production sites such that production was able to continue safely, whereas remote working was promoted for administrative and commercial personnel.
• Safety measures: during 2021 the Group did not take advantage of the stimulus measures and mechanisms made available by the various governments, except for the effect of the American grant which will be illustrated at the following point.
• It should also be noted that the Group's financial position has thus far supported, and is expected to continue to support, funding needs for the next 12 months. The Parent Company, following the introduction by the Executive of support instruments for economic operators, in 2020 obtained 3, 6 and 12-month moratoriums on loan repayment commitments. In addition, the US company of the Group received in May 2020 a government loan as per the Paycheck Protection Program (PPP) of USD 1,855,042, fully converted into a grant in June 2021, through approval by the lender and the competent authority (SBA - U.S. Small Business Administration). Finally, in June 2021, the Korean subsidiary TOBA PNC received a KRW 500 million loan from the Korean government agency to support the small and medium enterprises (SME's) impacted by the COVID-19 pandemic.

Given the strong performance in the first half of the year and the order backlog at June 30, the Group is optimistic about 2021, a view supported, in part, by completion of the current vaccine roll-out, the safety protocols put in place at all facilities, and assuming there is no worsening in the spread of the COVID-19 virus, which could have consequences that cannot currently be foreseen.

Achievement of important milestones in the Circular Economy

During the first half of 2021, the Group continued with its strategy of products and solutions development with a specific focus to recycling and circular economy. To this end, the Group signals that its InspectaBe product has been selected as one of the finalists in the Machinery category of the prestigious Sustainability Awards 2021 that aims to promote the spread of sustainable packaging.

The Sustainability Awards are international awards organized by the trade magazine Packaging Europe, whose objective is to spread the culture of innovation in packaging with a view to sustainability in response to such emergencies as environmental pollution and climate change. The winners of the prestigious award will be announced at the Sustainability Awards Ceremony and Sustainable Packaging Summit in Nuremberg, Germany, on 29 and 30 September this year.

Significant events occurred after June 30, 2020

Doteco: In August 2021, in observance of the obligations related to the acquisition of Doteco group Piovan S.p.A. paid an earn out to the sellers in the amount of € 6 million, based on achieved 2020 Doteco group EBITDA.

In accordance with the provisions of the agreement to purchase Doteco shares, the sellers will have the right to an integration of this earn out should 2021 EBITDA performance improve on 2020. The total earn-out payable to the sellers may not, in any event, exceed a total of Euro 7 million.

Asia HQ: Finally, it should be noted that in July 2021 the signing ceremony of the agreement with the Chinese government took place which will lead, in the next two years, to the construction of the new Piovan Group plant in China. The decision to invest in the construction of a new factory reconfirms the strategy that the Group has been pursuing for years: investing in the development of an international and structured network with direct branches to ever be alongside customers around the world, from sales to after-sales service.

Outlook

The Group confirms its desire to continue along the strategic path undertaken, focusing on increasing its contribution to the circular economy by developing products and solutions for the recycling value chain, increasing acquisitions, and working to achieve greater market share in the Food & Non-Plastic market.

Growth in acquisitions is driven by a desire to increase group presence in specific geographical areas in which to improve commercial penetration and continue to develop a strategy that is as comprehensive and customer-centric as possible, with a particular focus on major customers distributed across the globe, thus ensuring the maintenance of its technology and service leadership. The Group is also looking to companies with products/technologies that can lengthen the value chain offered by the Group.

Revenue for H1 2021 has grown rapidly compared to both 2020 and 2019, including on a like-for-like consolidation scope, confirming the excellent performance of the Group as a whole.

Revenues have risen in all regions and in all markets, particularly in the Food & Non-plastic segment, which has benefited from an acceleration from the order intake in late 2020 and early 2021.

EBITDA improved both in absolute value and in terms of profitability, benefiting from the increase in sales volumes.

The order backlog as at June 30, 2021, exceeded historical levels for the Group as a result of the good trend in new orders collection in the first half year of 2021.

As already discussed in the section concerning the implications of the COVID-19 pandemic, the Group is optimistic about 2021, given the strong performance in the first half of the year and the current order backlog. While considering the ongoing vaccine roll-out and the safety protocols put in place at all of the Group's facilities, there still remains uncertainties linked to potential worsening of the spread of variants of the COVID-19 virus, that could have an impact on the Group that is not foreseeable as of today, particularly as concerns plant installation and start-up activities.

***

CONFERENCE CALL

The results as of June 30, 2021 shall be presented to the financial community through a conference call to be held on September 9 th at 09:00 AM CET. You may participate in the conference call by calling one of the following numbers or by connecting through the webcast linked below:

ITALY:	+39 02 805 88 11
UK:	+44 121 281 8003
GERMANY:	+49 6917415713
FRANCE:	+33 170918703
SWITZERLAND:	+41 225954727
US (international local number)	+1 718 7058794
US (toll-free number)	1 855 2656959

Link to the webcast:https://87399.choruscall.eu/links/piovan210909.html

Before the start of the conference call a selection of slides shall be made available on the website www.piovangroup.com, in the Investor Relations / Presentations section.

This document contains "forward-looking statements" relating to future events and operating and financial results of the Piovan Group. These statements by nature contain an element of risk and uncertainty in that they depend on future events and developments. The actual results may even diverge significantly from those announced, due to a range of factors.

***

The Executive Officer for Financial Reporting, Elisabetta Floccari, declares in accordance with Article 154 bis, paragraph 2, of the Consolidated Finance Act, that the accounting information contained in this press release corresponds to the underlying accounting documents, records and accounting entries.

Half-Year Consolidated Financial Report as of June 30, 2021 will be filed in accordance with the time limit set out by law at the registered office of the Company (Via delle Industrie no 16 – Santa Maria di Sala (Venice)) and at Borsa Italiana S.p.A., available to any person who submits a request, and will also be available on the website of the Company (www.piovangroup.com) as well as on the authorized storage mechanism ().

Piovan S.p.A. hereby announces that, in accordance with the laws and regulations in force, Half-Year Consolidated Financial Report as of June 30, 2021, as approved by the Board of Directors on September 8, 2021, has been filed, available to the public, at the registered office of the Company, on its website, (www.piovangroup.com) under the "Investor Relations"/"Financial statements" section, as well as on the authorized storage mechanism ().

***

FOR FURTHER DETAILS:

Piovan S.p.A. M&A and Investor Relations Manager Giovanni Rigodanza ir@piovan.com Tel. 041 5799 264

Global Reputation S.r.l. Press Office Margherita Anna Mulas press@globalreputation.it Tel. 335 7870209

Piovan Group

Piovan Group is a global leader in the development and manufacturing of automation systems for the storage, conveying and processing of polymers, bio-resins, recycled plastic, food fluids, food and non-food powders. Over recent years, the Group has been particularly engaged in developing and producing automation systems for production processes for the bio-economies and circular economies for recycling and reusing plastic and for the production of plastics which are naturally compostable, tapping into crossselling opportunities.

***

***

The consolidated financial statements of the Piovan Group follow.

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

ASSETS	Notes	30.06.2021	31.12.2020
NON-CURRENT ASSETS
Property, plant and equipment	Note 1	51,430	52,324
- of which related parties	Note 41	167	935
Intangible assets	Note 2	27,064	27,529
Equity investments	Note 3	204	155
Other non-current assets	Note 4	563	576
Deferred tax assets	Note 5	5,207	4,788
TOTAL NON-CURRENT ASSETS		84,468	85,372
CURRENT ASSETS
Inventories	Note 6	37,402	36,920
Contract assets for work in progress	Note 7	6,415	6,477
Trade receivables	Note 8	56,685	41,931
- of which related parties	Note 41	331	12
Current financial assets	Note 9	4,131	5,146
Tax receivables	Note10	3,515	3,263
Other current assets	Note 11	6,901	3,497
- of which related parties	Note 41	31	31
Cash and cash equivalents	Note 12	85,578	87,452
TOTAL CURRENT ASSETS		200,625	184,686
TOTAL ASSETS		285,093	270,058

LIABILITIES AND EQUITY	Notes	30.06.2021	31.12.2020
EQUITY
Share capital	Note 13	6,000	6,000
Legal reserve	Note 13	1,200	1,200
Reserve for own shares in portfolio	Note 13	(2,250)	(2,250)
Translation reserve	Note 13	(2,410)	(3,756)
Other Reserves and retained earnings	Note 13	64,862	53,576
Net profit (loss)	Note 13	14,842	17,643
Equity attributable to the owners of the parent		82,244	72,414
Equity attributable to non-controlling interests	Note 15	1,933	2,219
TOTAL EQUITY		84,177	74,632
NON-CURRENT LIABILITIES
Long-term loans	Note 16	30,709	38,262
Non-current financial liabilities	Note 16	8,608	9,117
- of which related parties	Note 41	120	742
Employee benefits plans	Note 17	6,475	6,376
Provision for risks and charges	Note 18	3,701	3,813
Non current liabilities for options granted to non-controlling interest	Note 19	1,125	1,865
Other non-current liabilities	Note 20	2,266	363
- of which related parties	Note 41	141	50
Deferred tax liabilities	Note 5	2,772	2,713
TOTAL NON-CURRENT LIABILITIES		55,655	62,509
CURRENT LIABILITIES
Current portion of long-term loans	Note 16	16,457	17,833
Current bank loans and borrowings	Note 16	27,001	21,305
Current financial liabilities	Note 16	2,230	1,741
- of which related parties	Note 41	44	205
Trade payables	Note 21	41,756	39,912
- of which related parties	Note 41	1,010	543
Advance from costumers	Note 22	24,338	19,421
Contract liabilities for work in progress	Note 7	4,127	5,101
Current liabilities for options granted to non-controlling interests	Note 19	740	(0)
Tax liabilities and social security contributions	Note 23	7,876	9,360
Other current liabilities	Note 24	20,736	18,243
- of which related parties TOTAL CURRENT LIABILITIES	Note 41	3,141 145,260	428 132,916
TOTAL LIABILITIES		200,916	195,426
TOTAL LIABILITIES AND EQUITY		285,093	270,058

CONSOLIDATED STATEMENT OF PROFIT OR LOSS

CONSOLIDATED STATEMENT OF PROFIT OR LOSS	Notes	30.06.2021	30.06.2020
Revenue	Note 25	142,269	100,643
- of which related parties	Note 41	318	-
Other revenue and income	Note 26	3,657	1,953
- of which related parties		-	8
TOTAL REVENUE AND OTHER INCOME		145,926	102,596
Costs of raw materials, components and goods and changes in inventories	Note 27	60,075	39,313
- of which related parties	Note 41	1,152	703
Services	Note 28	26,833	21,101
- of which related parties	Note 41	702	822
Use of third party assets	Note 29	760	548
Personnel expenses	Note 30	33,408	27,599
- of which related parties	Note 41	387	213
Other expenses	Note 31	1,591	946
Provisions for risks and charges	Note 32	(15)	3
Amortisation and depreciation	Note 33	3,551	2,748
- of which related parties	Note 41	36	88
TOTAL COSTS		126,203	92,258
OPERATING PROFIT		19,723	10,338
Financial income	Note 34	192	302
Financial Expenses	Note 34	(367)	(473)
- of which related parties	Note 41	1	2
Net exchange rate gain (losses)	Note 35	240	(165)
Gains (losses) on liabilities for option granted to non controlling interests	Note 36	-	230
Profit (losses) from equity investments carried at equity	Note 37	111	-
PROFIT BEFORE TAXES		19,898	10,232
Income taxes	Note 38	5,244	3,006
NET PROFIT		14,655	7,226
ATTRIBUTABLE TO:
Owners of the parent		14,842	7,427
Non-controlling interests		(187)	(201)
Earnings per share
Basic earnings per share (in Euros)	Note 14	0.29	0.15
Diluted earnings per share (in Euros)	Note 14	0.29	0.15

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME	30.06.2021	30.06.2020
Net profit	14,655	7,226
Items that may be subsequently reclassified to profit or loss:	-	-
- Exchange rate differences	1,347	(1,451)
Items that may not be subsequently reclassified to profit or loss:	-	-
- Actuarial gains (losses) on employee benefits net of the tax effect	-	3
- Actuarial gains on agents' termination benefits net of the tax effect	-	(3)
Total Comprehensive income	16,002	5,776
attributable to:	-	-
- Owners of the parent	16,189	5,977
- Non-controlling interests	(187)	(201)

CONSOLIDATED STATEMENT OF CASH FLOW

Consolidated Statement of Cash Flow	30.06.2021	30.06.2020
OPERATING ACTIVITES	-	-
Net profit	14,655	7,226
Adjustments for:	-	-
Amortisation and depreciation	3,551	2,748
Inventory write-down and bad debt provision	1,230	228
- Net non-monetary financial charges	-	-
- Net non-monetary financial (income)	48	170
Change in provisions for risks and charges and employee benefits liabilities	(59)	(13)
Net capital (gains) losses on sale of fixed assets and equity investments	(19)	(16)
Non-monetary changes related to liabilities for options granted to non-controlling interests	-	(230)
Investment equity valuation	(51)	-
Other non-monetary variations	(1,563)	(207)
Taxes	5,244	3,006
Cash flows from operating activities before changes in net working capital	23,034	12,912
(Increase)/decrease in trade receivables	(14,910)	7,358
- of which related parties	(319)	(59)
Increase in inventories	(450)	(4,708)
(Increase)/decrease in other current assets	(3,815)	(2,806)
- of which related parties	-	(399)
Increase/(decrease) in trade payables	1,605	(13,500)
- of which related parties	467	264
Increase/(decrease) in advance from customers	4,917	1,129
Increase/(decrease) in other current liabilities	(3,016)	705
- of which related parties	2,713	(2,152)
(Increase)/decrease in non-current assets	14	428
Increase/(decrease) in non-current liabilities	2,176	(498)
- of which related parties	91	-
Income taxes paid	(1,524)	(1,144)
CASH FLOWS FROM OPERATING ACTIVITIES (A)	8,033	(122)
INVESTING ACTIVITIES	-	-
Investments in property, plant and equipment	(514)	(918)
Investments in intangible assets	(321)	(113)
Disinvestments/(investments) in financial assets	967	0
Disinvestments in equity investments Business combinations net of the acquired cash	(715) -	- -
CASH FLOWS FROM (USED IN) INVESTING ACTIVITIES (B)	(582)	(1,032)
FINANCING ACTIVITIES	-	-
Issuance of bank loans	373	3,731
Repayment of bank loans	(7,758)	(1,680)
Change in current bank loans and borrowings	5,696	(2,013)
Increase/(decrease) in other financial liabilities	(908)	(774)
- of which related parties	(783)	(2,152)
Dividends paid	(6,721)	-
CASH FLOWS USED IN FINANCING ACTIVITIES ©	(9,318)	(736)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (A ± B ± C)	(1,867)	(1,890)
EFFECT OF EXCHANGE RATE CHANGES ON BALANCE OF CASH HELD IN FOREIGN CURRENCY	(8)	207
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE PERIOD (E)	87,452	59,123
CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD (G=D+E+F)	85,578	57,440
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(1,867)	(1,890)
INTERESTS PAID	215	360

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

	Share Capital	Legal reserve	Treasury shares	Translation reserve	Other reserves and retained earnings	Profit for the year att, To the owner of the parent	Equity attributable to the owners of the parent	Equity att, To non controlling interests	TOTAL EQUITY
Balance at Jan, 1st, 2020	6,000	1,200	(2,250)	(1,211)	38,938	18,700	61,377	3,774	65,151
Distribution of dividends	-	-	-	-	-	-	-	-	-
Allocation of prior year profit	-	-	-	-	18,700	(18,700)	-	-	-
Change in non-controlling interests	-	-	-	(2)	-	-	(2)	2	-
Total comprehensive income	-	-	-	(1,451)	1	7,427	5,977	(201)	5,775
Balance at June 30th, 2020	6,000	1,200	(2,250)	(2,664)	57,639	7,427	67,351	3,575	70,926

	Share Capital	Legal reserve	Treasury shares	Translation reserve	Other reserves and retained earnings	Profit for the year att, To the owner of the parent	Equity attributable to the owners of the parent	Equity att, To non controlling interests	TOTAL EQUITY
Balance at Jan, 1st, 2021	6,000	1,200	(2,250)	(3,756)	53,576	17,643	72,414	2,219	74,632
Distribution of dividends	-	-	-	-	(6,621)	-	(6,621)	(100)	(6,721)
Allocation of prior year profit	-	-	-	-	17,643	(17,643)	-	-	-
Incentive Plan	-	-	-	-	264	-	264	-	264
Change in non-controlling interests	-	-	-	(2)	-	-	(2)	2	-
Total comprehensive income	-	-	-	1,348	-	14,842	16,190	(187)	16,002
Balance at June 30th, 2021	6,000	1,200	(2,250)	(2,410)	64,862	14,842	82,244	1,933	84,177