Prysmian — Interim / Quarterly Report 2021

Jul 28, 2021

First Half 2021 Financial Results

Milan, 28 July 2021

2

1H 2021 Key highlights

SOLID PERFORMANCE CONTINUED IN Q2: +16.9% org. growth*

Strong recovery of Telecom and Energy Business driven by T&I, OEM & Renewables and Automotive

RESILIENT MARGINS: 7.8% Adj EBITDA Margin

Solid volume trend, cost efficiency and price management to balance raw materials cost inflation.

Negative forex impact (-22 €M).

NEW ORDERS ACCELERATING IN PROJECTS BUSINESS

More than 1.2 €Bn of new orders in H1

LEONARDO DA VINCI

The world's most advanced cable-laying vessel entering in operation to support the Energy Transition

Highest carousel capacity in the market Highest pulling/towing capacity in its class Deepest power cable installations up to 3,000 meters

More than 1.2 €Bn of new orders in H1

Sofia offshore wind project (~ 240 €M)

440 km of HVDC submarine export cables and 15 km of land cables for the 1.4 GW Sofia Offshore Wind Farm project

Turkish Crossing (~140 €M)

3

4

Two HV submarine power cable links, one between Europe and Asia, the other across the Izmit Gulf in Asia

Ibiza – Formentera link (~ 46 €M)

Two HVAC 132 kV three-core export submarine power cables with XLPE insulation

1H 2021 Financial highlights

SALES

SALES 10.5% ORGANIC GROWTH* 6,034 €M

ADJ. EBITDA

ADJ. EBITDA 470 €M ADJ. EBITDA MARGIN

7.8%

FREE CASH FLOW

NET DEBT

2,387€M 447 €M

SOLID ORGANIC GROWTH RESILIENT MARGINS FREE CASH FLOW

+15.5% Telecom, recovery confirmed by a strong Q2 (19.6%)

+10% E&I, mainly driven by T&I (38.5% in Q2)

+9.3% Industrial & NWC driven by OEM & Renewables and Automotive

Energy Business Adj. EBITDA higher than pre-Covid 19 level

Resilient margins despite raw material increase thanks to efficiency initiatives

Sound volume and strong efficiency measures in Telecom

Negative forex impact (-22 €M)

FCF LTM

447 €M of FCF LTM excluding antitrust and acquisition cash-out

Sound performance in Energy and Telecom; Projects improving

© Prysmian Group 2021

Euro Millions, % on Sales

Energy and Telecom: recovery path

Monthly volume evolution baseline: Jan 2019 Optical cable business only in Telecom

Energy Business recovery at Pre-pandemic level with better margins

© Prysmian Group 2021

Euro Millions, % on Sales

A global recovery: the value of a wide geographical presence

Upgrading 2021 outlook

Solid demand continuing in ENERGY and TELECOM; accelerating delivery trend in PROJECTS as expected KEY ASSUMPTIONS

Resilience and Growth: the strategic fit of each segment and regions

1H 2021 Highlights

Financial Results

ESG Appendix

Profit and Loss Statement Euro Millions

	Q1	Q2		1H
ADJ. EBITDA 2020	197	222		419
Projects	(7)	3		(4)
Energy	13	20		33
Telecom (ex-share of net income)	5	12		17
share of net income	5	-		5
ADJ. EBITDA 2021	213	257		470
of which Forex effect	(14)	(8)		(22)

Financial Charges
	1H 2021	1H 2020
Net interest expenses	(40)	(38)
of which non-cash conv.bond interest exp.	(7)	(5)
Financial costs IFRS 16	(2)	(3)
Bank fees amortization	(4)	(3)
Gain/(loss) on exchange rates and derivatives	(7)	(10)
Non recurring and other effects	13	(1)
Net financial charges	(40)	(55)

Adj. EBITDA Bridge

© Prysmian Group 2021 © Prysmian Group 2021 13

© Prysmian Group 2021 © Prysmian Group 2021 14

Statement of financial position (Balance Sheet)			Euro Millions
-------------------------------------------------	--	--	---------------

	30 Jun 2021	30 Jun 2020	31 Dec 2020
Net fixed assets	5,061	5,153	4,971
of which: goodwill	1,596	1,590	1,508
Net working capital	1,129	1,088	523
of which: derivatives assets/(liabilities)	190	-	91
of which: Operative Net working capital	939	1,088	432
Provisions & deferred taxes	(578)	(711)	(579)
Net Capital Employed	5,612	5,530	4,915
Employee provisions	485	499	506
Shareholders' equity	2,740	2,515	2,423
of which: attributable to minority interest	168	181	164
Net financial debt	2,387	2,516	1,986
Total Financing and Equity	5,612	5,530	4,915

Cash Flow Euro Millions

NET DEBT EVOLUTION

1H 2021 Highlights Financial Results ESG Appendix

Sustainability in Prysmian Group DNA

From Public company to People company

PUBLIC COMPANY

Constituted by a broad shareholder base and committed to ensure the highest international standards of governance: 67% of Board members are independent / 42% are women.

Integrity as corporate value expressed through several policies: ethical code, anti-corruption policies, privacy & data protection, helpline programme, Sustainability Committee within the BoD to improve further sustainability of our business operations, company reputation and cooperation with stakeholders.

MANAGEMENT COMPANY

Remuneration scheme linked to ESG parameters for all Prysmian Group managers (Principal sustainability indices to which we belong, Gender diversity within management, Reduction of CO2 emissions and Health and Safety). Integrated management of sustainability risks.

Effective and efficient Corporate Governance system: achieve strategic objectives and create long-term sustainable value, comply with the legal and regulatory framework, efficient in terms of cost-effectiveness, fairness towards all the Group's stakeholders.

PEOPLE COMPANY

Support and recognize workers' abilities: Almost 40% of our shareholders are ESG investors. 3.5% of the company's total 268.1 million shares are owned by Employees (over 9,200) and Top Management. Continuous, multi-disciplinary and specialist trainings provided to our employees.

Prysmian Climate Change Ambition and Targets

OUR NET ZERO CLIMATE AMBITION

Prysmian Group has set carbon reduction targets aligned with the Science Based Targets initiative and Net Zero ambition

Net Zero between 2035 and 2040 for our Scope 1&2 emissions, and by 2050 for our Scope 3 emissions Interim 2030 science-based targets, against a 2019 baseline Signed the Business Ambition for 1.5C Commitment Letter(1)

Already working for an earlier delivery on carbon reduction targets

Decarbonise 80% of our 1 Scope 1&2 carbon footprint 2

• phasing out SF6 emissions
• 100% renewable energy for electricity

Approx 100 €M of Capex

• Over the next ten years
• Across our global operations of over 130 sites

(1) The Business Ambition for 1.5°C is a campaign is led by the Science Based Targets initiative in partnership with the UN Global Compact and the We Mean Business coalition.

© Prysmian Group 2021 19

UN Goals 2030	Prysmian Goals 2030	Target 2030	Definition	Baseline 2020
		50/50 in Recruiting of Desk Workers	Yearly hiring of desk workers - Permanent HC from the external market	34/66
		30% of Women in Senior Leadership roles	Grade 20 (Band C) and above	13.3%
Achieve Gender Equality & Empower all Women and Girls	Gender Equality	25% of Women in the Total Workforce	Desk and Non Desk Workers	16.9%
		Zero Pay Gap – Desk Workers	Guarantee equal pay for equal work	7-8%*
		+ 500 women in a fully dedicated STEM program	Female STEM representation, involving hiring and development program	702 17%**

*Fine-tuning to be done with the new Workday platform.

** 17%=702/4060. STEM includes Manufacturing, Quality, Logistics, R&D, IT, Project Service and Installation.

© Prysmian Group 2021 21

UN Goals 2030	Prysmian Goals 2030	Target 2030	Definition	Baseline 2020
		40 yearly hours per capita of experienced learning for all employees, including training on company values, unconscious bias and inclusive leadership	40 hours of formal training, training on-the-job, cross functional projects, self-learning, internal projects, to become an even stronger expert and performer	17
Ensure lifelong learning opportunities for all	Up-Skilling	More than 25% of employees is involved in mobility/growth experience every year	25% of our Desk-worker population will have a job change, job enlargement, promotion or lateral move every year	Approx. 10%*
Promote sustained, inclusive and sustainable economic	and Engagement	50% of employees as stable shareholders through share ownership plans (YES)	Employees as Company owners	Approx. 35%
growth, full and productive employment		Higher than 80% response rate to Engagement Survey	Employees engagement	67%
and decent work for all	Leadership Impact Index improved to 70-80%		Leadership Impact Index has been designed to boost managerial skills, in order to make managers and leaders more accountable for the engagement of their teams	57% (2019)

*HR estimates conducted without the platform

Prysmian Group Sustainability Governance

ESG Committee (Ind. Board Members)

Group Leadership Team

Sustainability internal Steering Co.

Diversity & Inclusion int. Steering Co.

Local Sustainability Ambassadors

Chief Sustainability Officer "The future depends on what you do today" Mahatma Gandhi

1H 2021 Highlights

Financial Results

ESG Appendix

Energy and Telecom: a recovery path to pre-pandemic levels

INDUSTRIAL & NWC

A global recovery

-1.8%

14.1% 8.9%

1H 2021 Financial highlights Euro Millions, % on Sales

© Prysmian Group 2021 28

Profit and Loss Statement Euro Millions

	1H 2021	1H 2020
SALES	6,034	4,985
YoY total growth	21.0%
YoY organic growth	8.5%
Adj.EBITDA	470	419
% on sales	7.8%	8.4%
of which share of net income	9	5
Adjustments	(26)	(12)
EBITDA	444	407
% on sales	7.4%	8.2%
Adj.EBIT	312	253
% on sales	5.2%	5.1%
Adjustments	(26)	(12)
Special items	(8)	(68)
EBIT	278	173
% on sales	4.6%	3.5%
Financial charges	(40)	(55)
EBT	238	118
% on sales	3.9%	2.4%
Taxes	(74)	(42)
% on EBT	31.1%	35.6%
NET INCOME	164	76
% on sales	2.7%	1.5%
Minorities	2	(2)
GROUP NET INCOME	162	78
% on sales	2.7%	1.6%

Adjustments and Special Items on EBIT

	1H 2021	1H 2020
Non-recurring Items	(2)	-
Restructuring	(9)	(9)
Other Non-operating Income / (Expenses)	(15)	(3)
EBITDA adjustments	(26)	(12)
Special items Gain/(loss) on metal derivatives Assets impairment	(8) 16 (6)	(68) (8) (43)
Share-based compensation	(18)	(17)
EBIT adjustments	(34)	(80)

© Prysmian Group 2021 © Prysmian Group 2021 29

Projects Euro Millions, % on Sales

Adj. EBITDA / % of Sales(1)

ORDERS BACKLOG EVOLUTION (€M)

Energy & Infrastructure Euro Millions, % on Sales

Adj. EBITDA / % of Sales(1) ADJ.EBITDA AND % SALES

Industrial & Network Components Euro Millions, % on Sales

* Org. Growth 1 H 2 0 2 0 1 H 2 0 2 1 SALES +9.3%*

HIGHLIGHTS

SPECIALTIES, OEM & RENEWABLES

/ Overall positive performance and resilience to Covid-19. Solid performances of Railways, Infrastructure, Wind and Solar, partially offset by Rolling Stock and Nuclear.

ELEVATOR

/ Completed the acquisition of EHC Global, leading manufacturer of strategic components and integrated 1,122 solutions for the vertical transportation industry. 1,349

AUTOMOTIVE

/ Positive trend confirmed in Q2 with a strong organic growth after the material drop in Q2 2020

NETWORK COMPONENTS

/ Improving results mainly driven by HV

ADJ.EBITDA AND % SALES

Adj. EBITDA / % of Sales(1)

Telecom Euro Millions, % on Sales

* Org. Growth. OPTICAL CABLE & FIBRE / Improvement confirmed by strong Q2, supported by sound volume trend especially in the US. / Cost efficiency measures and mix partly offsetting price pressure / Positive carry-over from YOFC 2020 actual results (4 €M) MMS / Sequential improvement continued in Q2 Adj.Ebitda Adj.Ebitda margin 697 802 1 H 2 0 2 0 1 H 2 0 2 1 SALES Adj. EBITDA / % of Sales(1) +15.5%* HIGHLIGHTS ADJ.EBITDA AND % SALES

© Prysmian Group 2021 33

Projects Business: Enabling Energy Transition

WELL POSITION TO CAPTURE MARKET OPPORTUNITIES: 7.2 €BN ORDERS/YEAR EXPECTED

BACKLOG AT THE HIGHEST LEVEL: € 3.8 BILLION

OFFSHORE WIND: FROM GW INSTALLED TO €M CABLE VALUE

Indicative shares of capital cost by component Split based on historical figures and projecting the cost per GW

1 GW of offshore wind requires:

• Submarine Transmission cable (AC or DC)
• Land Transmission Cable (AC or DC)
• Interarray cables (MV 33 or 66kV)
• Installation for all

Approx. value for all these items on average 300 € million

Telecom Business Secular growth drivers

MARKET OPPORTUNITIES & CUSTOMER NEEDS OUR APPROACH & SOLUTIONS

RELIABILITY / FUTUREPROOFNESS

/ Easy-to-install products for all rights of way / No compromise on quality

FIBER DENSITY

/ More fiber per mm² / Ubiquity by optimizing the roll-out Capex

SUSTAINABILITY

• / Optical networks consume less energy
• / Less invasive products
• / Less plastic material in miniaturized cables
• / Use of recycled materials
• / Shorter supply chains for lighter products

AND MINIATURIZATION

for BEND INSENSITIVITY

SUSTAINABILITY

/ Product miniaturization

/ Local presence and shorter supply chains / Development of specifically sustainable solutions

The acceleration of digitalization requests sustainable, reliable and ubiquitous fiber networks, to support the 5G and all the new technologies to come

Financial Highlights Euro Millions

		Sales			Adj.EBITDA
		1H 2021	1H 2020		1H 2021			1H 2020
	€M	organic growth	€M		€M	Adj.EBITDA Margin	€M	Adj.EBITDA Margin
PROJECTS	681	-3.5%	708		76	11.1%	80	11.4%
Energy & Infrastructure	3,048	10.0%	2,362		169	5.5%	147	6.2%
Industrial & Network Components	1,349	9.3%	1,122		99	7.3%	90	8.0%
Other	154	0.0%	96		3	2.0%	1	0.8%
ENERGY	4,551	9.5%	3,580		271	6.0%	238	6.6%
TELECOM	802	15.5%	697		123	15.4%	101	14.5%
Total Group	6,034	8.5%	4,985		470	7.8%	419	8.4%

Cash Flow Statement

Euro Millions

30 Jun 2021	30 Jun 2020	12 Months (from 1/7/2020 to 30/6/2021)
470	419	891
(26)	(12)	(73)
444	407	818
(27)	(82)	(128)
(9)	(5)	(22)
408	320	668
(516)	(378)	121
3	2	9
(47)	(30)	(159)
(152)	(86)	639
(78)	2	(85)
(71)	(92)	(223)
(301)	(176)	331
(54)	(59)	(81)
(355)	(235)	250
(277)	(237)	335
(126)	(69)	(127)
-	-	1
(481)	(304)	124
(1,986)	(2,140)	(2,516)
(481)	(304)	124
49	-	49
(13)	-	(13)
		9
		(52)
		12
(2,387)	(2,516)	(2,387)
	9 (15) 50	- (42) (30)

Prysmian Group Liquidity and Debt Profile

COMFORTABLE LIQUIDITY POSITION:

/ Average debt maturity of 3.2 years after 750 €M Equity Linked Bonds issued on 2nd February 2021 / 1,0 €Bn of committed Revolving Credit Facility fully unutilized

CURRENT FINANCIAL DEBT MATURITY PROFILE(*)

(*) excluding debt held by local affiliates and debt coming from IFRS 16 (99 €M and 177 €M respectively) at 30.06.2021

Bridge Consolidation Sales Euro Millions

Metal Price Impact on Profitability

Supply Contract	Main Application	Metal Influence on Cable Price	Metal Fluctuation Management
		Impact	Impact
Predetermined delivery date	Projects (Energy transmission) Cables for industrial applications (eg. OGP)	Technology and design content are the main elements of the "solution" offered Pricing little affected by metals	Pricing locked-in at order intake Profitability protection through systematic hedging (long order- to-delivery cycle)
Frame contracts	Cables for energy utilities (e.g. power distribution cables)	Pricing defined as hollow, thus mechanical price adjustment through formulas linked to metal publicly available quotation	Price adjusted through formulas linked to metal publicly available quotation (average last month, …) Profitability protection through systematic hedging (short order-to-delivery cycle)
Spot orders	Cables for construction and civil engineering	Standard products, high copper content, limited value added	Pricing managed through price lists, thus leading to some delay Competitive pressure may impact on delay of price adjustment Hedging based on forecasted volumes rather than orders
High Low			Metal price fluctuations are normally offset through systematic application of hedging strategies

Prysmian Group World leader in the energy and telecom cable systems industry

PROJECTS BUSINESS ENERGY BUSINESS TELECOM BUSINESS

Comprising high-tech and high value-added businesses focused on the design, production and customization of HV and EHV cabling systems for terrestrial and submarine applications.

Prysmian Group also offers advanced services for terrestrial and submarine interconnections between various countries and between offshore wind farms and the mainland, used for both the generation and distribution of electricity.

Comprising high and medium voltage cable systems to connect industrial and residential buildings to primary distribution grids and low voltage ones used within residential and commercial buildings.

Specialties, OEM & Renewables include cable systems for many specific industrial applications such as Cranes, Mining, Railways, Rolling Stock, Marine and Renewables - cables for the solar energy industry and for the operation of wind turbines).

The product range is completed with accessories and components for connecting cables and other elements contained in networks.

Comprising businesses devoted to making the cabling systems and connectivity products used in TLC networks.The Group is also among the leaders in the production of optical fibre - the essential component of all types of optical cables.

In both cables and connectivity, the Group focuses on the design of products that provided greater density in a smaller diameter, with ease of use and optimal fibre management.

Notes

1) Adjusted excluding restructuring, non-operating income/expenses and non-recurring income / expenses; 2) Defined as NWC excluding derivatives; % on annualized last quarter sales;

Share of net income include Management estimate of YOFC Q2 results

Slide 11: Cash conversion calculated as (Adj. EBITDA – CAPEX) / Adj. EBITDA. Average 2017-2020.Capex: Excluding Other Capex mainly related to ICT; Adj. EBITDA: 2018 excluding WL impact; 2017 & 2018 combined GC; 2019 and 2020 including IFRS 16 impact of 47 €M and 59 €M.

Disclaimer

• The managers responsible for preparing the company's financial reports, A.Brunetti and S.Invernici, declare, pursuant to paragraph 2 of Article 154-bis of the Consolidated Financial Act, that the accounting information contained in this presentation corresponds to the results documented in the books, accounting and other records of the company.
• Certain information included in this document is forward looking and is subject to important risks and uncertainties that could cause actual results to differ materially. The Company's businesses include its Projects, Energy and Telecom Operating Segments, and its outlook is predominantly based on its interpretation of what it considers to be the key economic factors affecting these businesses.
• Any estimates or forward-looking statements contained in this document are referred to the current date and, therefore, any of the assumptions underlying this document or any of the circumstances or data mentioned in this document may change. Prysmian S.p.A. expressly disclaims and does not assume any liability in connection with any inaccuracies in any of these estimates or forward-looking statements or in connection with any use by any third party of such estimates or forward-looking statements. This document does not represent investment advice or a recommendation for the purchase or sale of financial products and/or of any kind of financial services. Finally, this document does not represent an investment solicitation in Italy, pursuant to Section 1, letter (t) of Legislative Decree no. 58 of February 24, 1998, or in any other country or state.
• In addition to the standard financial reporting formats and indicators required under IFRS, this document contains a number of reclassified tables and alternative performance indicators. The purpose is to help users better evaluate the Group's economic and financial performance. However, these tables and indicators should not be treated as a substitute for the standard ones required by IFRS.

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