Prysmian — Investor Presentation 2021

Nov 11, 2021

9M 2021 Financial Results

Leonardo da Vinci cable-laying vessel - A genius in motion

9M 2021 Highlights

Financial Results

ESG Appendix

9M 2021 Key highlights

SOLID PERFORMANCE CONTINUED IN Q3: +13.2% org. growth*

Solid recovery across all businesses, driven by both Energy and Telecom

RESILIENT MARGINS: 7.8% Adj EBITDA Margin; 9.0% at 2020 metal price (8.6% in 9M 2020)

Solid volume trend, cost efficiency and price management to balance cost inflation (raw materials and freight costs).

RECORD BACKLOG AND ORDER INTAKE

All time record backlog at over 4 billion euro. YTD order intake at ~ 2.3 €Bn

US MARKET ACCELERATING

The biggest single HV project ever awarded to Prysmian SOO Green HVDC Underground Link (~ 900 \$M cables)

The largest submarine project ever awarded in the US Dominion Energy Group offshore wind (~ 630 €M)

Vineyard offshore wind farm (~ 200 €M)

Notice to proceed to start executing the first large scale offshore wind farm in the US.

9M 2021 Financial highlights

SALES

SALES 11.4% ORGANIC GROWTH* 9,294 €M

SOLID ORGANIC GROWTH RESILIENT MARGINS FREE CASH FLOW

+12.3% E&I, mainly driven by T&I

+9.2% Industrial & NWC, with sound Renewables performance (+14%)

+13.5% Telecom, driven by sound volume recovery

ADJ. EBITDA

ADJ. EBITDA 725 €M ADJ. EBITDA MARGIN

7.8%

FREE CASH FLOW

NET DEBT

2,663€M

Group margins at 9.0% at 2020 metal price vs 8.6% in 9M 2020

9M Adj EBITDA at the same level of 2019 ex-Forex effect

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

Negative forex impact (-19 €M)

FCF LTM

282 €M

282 €M of FCF LTM excluding antitrust and acquisition cash-out

Operating net working capital LTM significantly affected by negative impact from metals and other raw material prices

Operative net working capital on annualized sales improving at 9.9% (vs. 12.1% in Sept 2020)

Record Order Intake

List of main projects awarded in 2021

~ 2.3 €Bn

© Prysmian Group 2021 6 Organic growth excluding Projects segment

Sound performance in Energy and Telecom

© Prysmian Group 2021

* not yet including SOO Green, Dominion and Egypt-Saudi Arabia projects

Relentless customer focus and efficient operations

Adj EBITDA bridge 2019-2021

• Energy business proves to play a strategic role in the portfolio

A global recovery: the value of a wide geographical presence

2021 guidance confirmed

Confident to reach Adj. EBITDA upper end of the guidance

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

© Prysmian Group 2021 11

9M 2021 Highlights

Financial Results

ESG Appendix

Profit and Loss Statement Euro Millions

	9M 2021	9M 2020
SALES	9,294	7,488
YoY total growth	24.1%
YoY organic growth	10.0%
Adj.EBITDA	725	647
% on sales	7.8%	8.6%
of which share of net income	13	15
Adjustments	(25)	(46)
EBITDA	700	601
% on sales	7.5%	8.0%
Adj.EBIT	483	401
% on sales	5.2%	5.4%
Adjustments	(25)	(46)
Special items	(10)	(61)
EBIT	448	294
% on sales	4.8%	3.9%
Financial charges	(69)	(79)
EBT	379	215
% on sales	4.1%	2.9%
Taxes	(122)	(78)
% on EBT	32.2%	36.3%
NET INCOME	257	137
% on sales	2.8%	1.8%
Minorities	2	(3)
GROUP NET INCOME	255	140
% on sales	2.7%	1.9%

Adj. EBITDA Bridge
	Q1	Q2	Q3		9M
ADJ. EBITDA 2020	197	222	228		647
Projects	(7)	3	(2)		(6)
Energy	13	20	35		68
Telecom (ex-share of net income)	5	12	-		17
share of net income	5	-	* (6)		(1)
ADJ. EBITDA 2021	213	257	255		725
of which Forex effect	(14)	(8)	3		(19)

Financial Charges

	9M 2021	9M 2020
Net interest expenses	(60)	(58)
of which non-cash conv.bond interest exp.	(10)	(7)
Financial costs IFRS 16	(4)	(4)
Bank fees amortization	(5)	(5)
Gain/(loss) on exchange rates and derivatives	(11)	(9)
Non recurring and other effects	11	(3)
Net financial charges	(69)	(79)

© Prysmian Group 2021 © Prysmian Group 2021 14

Statement of financial position (Balance Sheet) Euro Millions

	30 Sept 2021	30 Sept 2020	31 Dec 2020
Net fixed assets	5,160	5,035	4,971
of which: goodwill	1,603	1,548	1,508
Net working capital	1,443	1,260	523
of which: derivatives assets/(liabilities)	156	44	91
of which: Operative Net working capital	1,287	1,216	432
Provisions & deferred taxes	(565)	(689)	(579)
Net Capital Employed	6,038	5,606	4,915
Employee provisions	484	493	506
Shareholders' equity	2,891	2,444	2,423
of which: attributable to minority interest	171	171	164
Net financial debt	2,663	2,669	1,986
Total Financing and Equity	6,038	5,606	4,915

Cash Flow Euro Millions

NET DEBT EVOLUTION

© Prysmian Group 2021 © Prysmian Group 2021 15

9M 2021 Highlights Financial Results ESG Appendix

Prysmian Climate Change Ambition

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 by 2035 for our Scope 1&2 emissions, and by 2050 for our Scope 3 emissions

Signed the Business Ambition for 1.5C Commitment Letter(1)

SBTi approval on September 18

Already working for an earlier delivery on carbon reduction targets

Decarbonise 80% of our Scope 1&2 carbon footprint 1 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 led by the Science Based Targets initiative in partnership with the UN Global Compact and the We Mean Business coalition.

© Prysmian Group 2020 © Prysmian Group 2021 17

Prysmian 2030 Social Ambition

		Gender Equality
	INCLUSION &	MBO• 50/50 in Recruiting of Desk Workers	Up-Skilling and Engagement • 40 yearly hours per capita of experienced
	DIVERSITY	MBO• % of Women hired in Managerial position	learning for all employees,
Y T E F A S & H T L	LTI• DIGITAL •	30% of Women in Senior Leadership roles	• More than 25% of employees is involved in mobility/growth experience every year	Digital Inclusion
		25% of Women in the Total Workforce	• 50% of employees as stable shareholders through share ownership plans (YES)	• Connecting 100% (30,000) of our employees through
	• % of women in STEM LOCAL • + 500 women in a fully EMPOWERMENT STEM program • Zero Equal Pay Gap – ENGAGEMENT & UPSKILLING Health & Safety	roles	• Higher than 80% response rate to Engagement Survey	global platforms, achieving a proper
A E H		dedicated	Leadership Impact Index improved to 70- LTI• 80%	level of adoption
		Desk Workers	Ethnicity	Race/ Inclusion
		Empower •	Local Communities • More than 30% from under-represented At least a project per year, with focus on nationalities/ethnicities/origins	of Executives
	• Injuries Index towards 0 communities (employees & contractors)		developing countries and vulnerable • Local mentoring 500 students coming from	programs for
		• electric cables	Local projects with donation of optic and minorities-poverty	2

Improving further the sustainability of our business operations and our company reputation and cooperation with our stakeholders (clients, associates, communities and shareholders), the Company has reinforced its approach to ESG to make more solid our strategy and action in the short, mid and long term. GOAL

© Prysmian Group 2020 © Prysmian Group 2021 19

Prysmian Group Sustainability Day

We are glad to invite you to attend the 2021 Prysmian Group Sustainability Day, a unique and precious opportunity to share our vision and priorities on such increasingly important topics for our lives and our business.

Prysmian Group in the Sustainability Indexes

2021 Rating: AA 2020 Rank: 87/100; Included

2021: Included in ESG MIB 2020 Rating: EE+

2020 Score Climate Change: B (World)

2020: Included (STOXX 2021 Rank: 44/200 Italy 45 ESG-X and STOXX Europe 600 ESG-X)

2021 Rating: 51/100 2021 Rating: 3.8/5

2021 Rating: 22.6 (Med)

2020 Rating: Platinum

2020 Rating: 45/100

9M 2021 Highlights

Financial Results

ESG Appendix

Energy Business recovery at Pre-pandemic level with better margins

© Prysmian Group 2021

Euro Millions, % on Sales

9M 2021 Financial highlights Euro Millions, % on Sales

* Organic growth

Profit and Loss Statement Euro Millions

	9M 2021	9M 2020
SALES	9,294	7,488
YoY total growth	24.1%
YoY organic growth	10.0%
Adj.EBITDA	725	647
% on sales	7.8%	8.6%
of which share of net income	13	15
Adjustments	(25)	(46)
EBITDA	700	601
% on sales	7.5%	8.0%
Adj.EBIT	483	401
% on sales	5.2%	5.4%
Adjustments	(25)	(46)
Special items	(10)	(61)
EBIT	448	294
% on sales	4.8%	3.9%
Financial charges	(69)	(79)
EBT	379	215
% on sales	4.1%	2.9%
Taxes	(122)	(78)
% on EBT	32.2%	36.3%
NET INCOME	257	137
% on sales	2.8%	1.8%
Minorities	2	(3)
GROUP NET INCOME	255	140
% on sales	2.7%	1.9%

Adjustments and Special Items on EBIT
	9M 2021	9M 2020
Non-recurring Items	(1)	(16)
Restructuring	(13)	(17)
Other Non-operating Income / (Expenses)	(11)	(13)
EBITDA adjustments	(25)	(46)
Special items	(10)	(61)
Gain/(loss) on derivatives on commodities	22	5
Assets impairment	(6)	(43)
Share-based compensation	(26)	(23)
EBIT adjustments	(35)	(107)

Projects Euro Millions, % on Sales

Adj. EBITDA / % of Sales(1)

ORDERS BACKLOG EVOLUTION (€M)

Energy & Infrastructure Euro Millions, % on Sales

* Org. Growth

POWER DISTRIBUTION / PD normalizing, after 2020 onshore wind subsidies spurring growth in North America OVERHEAD / Negative organic growth mainly due to LatAm after strong growth in 2020 TRADE & INSTALLERS / Strong organic growth continued in Q3 in all regions / Margins improvement driven by volume and costs efficiency offsetting raw material costs increase Adj. EBITDA / % of Sales(1) ADJ.EBITDA AND % SALES

© Prysmian Group 2021 27

Industrial & Network Components Euro Millions, % on Sales

HIGHLIGHTS

SPECIALTIES, OEM & RENEWABLES

/ Overall positive performance. Good performances of Infrastructure, Renewables and Mining, partially offset by Marine and Nuclear.

ELEVATOR

/ Completed the acquisition of EHC Global, leading manufacturer of strategic components and integrated 1,673 solutions for the vertical transportation industry.

AUTOMOTIVE

/ Improving results with a strong organic growth after the decline in 2020

NETWORK COMPONENTS

/ Positive results mainly driven by Europe and US

ADJ.EBITDA AND % SALES

Adj. EBITDA / % of Sales(1)

Telecom Euro Millions, % on Sales

2014 2015 2016 2017 2018 2019 2020 9M 2021 LTM

© Prysmian Group 2021 29

Projects Business: Enabling Energy Transition

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

BACKLOG AT THE HIGHEST LEVEL: € 4.0 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

World record in DENSITY AND MINIATURIZATION

Best in class for BEND INSENSITIVITY

At the forefront regarding 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

	9M 2021		9M 2020	9M 2021		9M 2020
	€M	organic growth	€M	€M	Adj.EBITDA Margin	€M	Adj.EBITDA Margin
PROJECTS	1,071	1.3%	1,056	124	11.5%	130	12.3%
Energy & Infrastructure	4,708	12.3%	3,559	269	5.7%	224	6.3%
Industrial & Network Components	2,074	9.2%	1,673	150	7.2%	130	7.8%
Other	237		153	4	1.8%	1	0.8%
ENERGY	7,019	11.0%	5,385	423	6.0%	355	6.6%
TELECOM	1,204	13.5%	1,047	178	14.8%	162	15.5%
Total Group	9,294	10.0%	7,488	725	7.8%	647	8.6%

Euro Millions

Cash Flow Statement

	30 Sept 2021	30 Sept 2020	(from 1/10/2020 to 30/9/2021)
Adj.EBITDA	725	647	918
Adjustments	(25)	(46)	(38)
EBITDA	700	601	880
Net Change in provisions & others	(56)	(91)	(148)
Share of income from investments in op.activities	(21)	(15)	(24)
Cash flow from operations (before WC changes)	623	495	708
Working Capital changes	(844)	(529)	(56)
Dividends received	8	8	8
Paid Income Taxes	(78)	(87)	(133)
Cash flow from operations	(291)	(113)	527
Acquisitions/Disposals	(81)	(5)	(81)
Net Operative CAPEX	(165)	(161)	(248)
Free Cash Flow (unlevered)	(537)	(279)	198
Financial charges	(61)	(70)	(77)
Free Cash Flow (levered)	(598)	(349)	121
Free Cash Flow (levered) excl. Acquisitions & Disposals	(517)	(344)	202
Dividends	(129)	(70)	(129)
Capital increase, Shares buy-back & other equity movements	-	-	1
Net Cash Flow	(727)	(419)	(7)
Net Financial Debt beginning of the period	(1,986)	(2,140)	(2,669)
Net cash flow	(727)	(419)	(7)
Equity component of Convertible Bond 2021	49	-	49
Partial Redemption of the 2017 Convertible Bond	(13)	-	(13)
Consolidation of EHC Net Financial Debt NFD increase due to IFRS16	9 (33)	- (50)	9 (62)
Other variations	38	(60)	30
Net Financial Debt end of the period	(2,663)	(2,669)	(2,663)

12 Months

Prysmian Group Liquidity and Debt Profile

COMFORTABLE LIQUIDITY POSITION:

/ Average debt maturity of 2.9 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 182 €M respectively) at 30.09.2021

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 2021 36

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;

Slide 11: 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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