Safilo Group — Interim / Quarterly Report 2017

May 9, 2017

Q1 2017 Trading Update

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This presentation may contain forward looking statements based on current expectations and projects of the Group in relation to future events. Due to their specific nature, these statements are subject to inherent risks and uncertainties, as they depend on certain circumstances and facts, most of which being beyond the control of the Group. Therefore actual results could differ, even to ^a significant extent, with respect to those reported in the statements.

Q1 2017 – BUSINESS AND ECONOMIC HIGHLIGHTS

NET SALES AND ADJ.1 ECONOMIC PERFORMANCE REFLECTED:

• • THE IMPACT ON GLOBAL DELIVERIES DUE TO THE SET-UP OF THENEW INFORMATION SYSTEM IN THE DISTRIBUTION CENTRE IN PADUA:
• • AS A CONSEQUENCE, GOING FORWARD BRAND SALES* DECLINED 14.9% @CFX (-14.5% EXCL. RETAIL)
• • WITHOUT THIS IMPACT, GOING FORWARD BRAND SALES* WOULD HAVE GROWN
• • THE IMPACT OF THE EXIT OF THE GUCCI LICENSE AND ITSREPLACEMENT WITH THE STRATEGIC PRODUCT PARTNERSHIPAGREEMENT

* THE GOING FORWARD BRAND SALES DO NOT INCLUDE THE GUCCI BUSINESS

in millions of Euro

Q1 2017 TOTAL NET SALES PERFORMANCE

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Q1 2017 NET SALES PERFORMANCE OF GOING FORWARD BRANDS

North America was the only region just partially affected by the implementation of the new information system in the Padua DC.

-14.9% @ CFX (-14.5% Wholesale)

N O R T H A M E R I C A l T 0 7 % t o a - h l l 2 6 % W o e s a e +	E U R O P E 2 3 9 % -	S A I A 3 2 7 % -	R O W 3 4 7 % -
d ds Go f Ou Ow Co Br ta t o o s r r n re an : • Sm i h in icu la in he t tro t t ve ry s ng p ar r e - , ha l co m m er ce c nn e Po i ive io f Ca d Po la i d t t s re ce p n o rre ra a n ro - l le io t ne co c ns w	h fo he S ip Pe t m en r rm an ce	ly f fe d by l i S A P iv in Pa te g av a c o- e	du d bu is i io tr t te a n ce n r

best performers in their market segments

Q1 2017 GROSS MARGIN PERFORMANCE

KEY DRIVERS

• • Expected dilution from the Gucci/ SPPA dynamics (>600 bps): license out, SPPA in.
• • Going Forward business suffering negative volume/mix effect ⁺ obsolescence costs.
• • Negative impact from FX and Retail performance (ca 60 bps).

Q1 2017 ADJ.1 EBITDA PERFORMANCE

In millions of Euro and % on total net sales

KEY DRIVERS

• • SPPA plus pro-rata accounting compensation of €10.8 Mio, fully compensating the lost profit/margin of the Gucci license.
• • Going Forward business suffering impact of fixed components of SG&A cost structure.
• • Negative impact from FX and Retail performance (ca 150 bps).

2017 - Focused on our long-term journey for sustainable growth

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Q1 2017 GROUP NET DEBT

RECOVERY PLAN OF PADOVA DC BACKORDERS:

• •Significant order backlog while very high level of availability at the end of March
• •IT systems issues of relevance solved
• •Daily average deliveries continue to increase month on month
• •Funnel widened for base monthly shipments
• •Ongoing widening of funnel in packing and special services stages
• •Backlog recovery requires further acceleration in May and June

Appendices

Economic results

in millions of Euro and % on net sales

	Q 1 2 0 1 7	%	Q 1 2 0 1 6	%	h C % g a n e
l N t e s a e s	2 3 3 7.	0 0. 0 1	3 0 6 1.	0 0. 0 1	2 3 % 1. -
G f i t r o s s p r o	1 1 6. 8	4 9. 2	1 8 4. 2	6 1. 1	3 6. 6 % -
B D A E I T	( 9. 5 )	( 4. 0 )	1 9. 8	6. 6	n. s.
1 d d A j E B I T D A t s e u	( 6. 2 )	( 2. 6 )	2 5. 2	8. 4	n. s.

Adjusted economic results

1 In Q1 2017, the adjusted EBITDA excludes non-recurring costs for Euro 3.3 million, mainly related to the reorganization of the Ormoz plant in Slovenia and other overhead cost saving initiatives, and it includes an income of Euro 10.8 million, as pro-rata portion of the accounting compensation for the early termination of the Gucci license, equal to Euro 43 million for the full year 2017.

Q1 2016 adjusted EBITDA excluded non-recurring costs for Euro 5.4 million of which Euro 4.2 million related to overhead cost saving initiatives, such as for example the planned integration of Vale of Leven (Scotland) Polaroid lens production into Safilo's China based corporate supply network, and Euro 1.2 million related to commercial restructuring costs in the EMEA region.

Net sales performance

in millions of Euro

Ne les by h ic l a t s a g eo g ra p a re a	Q 1 2 0 1 7	%	Q 1 2 0 1 6	%	C ha % ng e	C ha % ( *) ng e	C ha % ( ** ) ng e
Eu ro p e	1 0 1. 2	4 2.6	1 3 0. 1	4 3. 1	-2 2. 2 %	2 1. 6 % -	2 3. 9 % -
No h Am ica t r er	1 1 4. 5	4 8. 2	1 2 7. 2	4 2.2	-1 0. 0 %	1 3. 2 % -	0. 7 % -
As ia Pa i f ic c	1 1. 1	4.7	2 6. 7	8. 9	8. % -5 6	% 5 9. 5 -	% 3 2. 7 -
f he l d Re t o t s or w	1 0. 6	4.5	1 7. 6	5. 9	% -4 0. 0	% 4 4. 3 -	% 3 4. 7 -
To l ta	2 3 7. 3	1 0 0. 0	3 0 1. 6	1 0 0. 0	2 1. 3 % -	2 2. 8 % -	1 4. 9 % -
les by d bu ha l Ne is i io t s tr t a n c nn e	Q 1 2 0 1 7	%	Q 1 2 0 1 6	%	ha C % ng e	ha *) C % ( ng e	ha ** C % ( ) ng e
W ho les le a	2 2 3. 9	94 .3	2 8 4. 9	94 .4	-2 1. 4 %	2 2. 8 % -	1 4. 5 % -

Total 237.3 100.0 301.6 100.0 -21.3% -22.8% -14.9%

5.7 16.8 5.6 -19.9% -22.6% -21.8%

Retail 13.4

(*) Sales perfomance at constant exchange rates

(**) Sales performance at constant exchange rates of the Going Forward Brand Portfolio, excluding Gucci business

Exchange Rates

	As f o			( Ap ia io ) / t p re c n De ia io t p re c n	Av fo g er ag e r		( Ap ia io ) / t p re c n De ia io t p re c n
Cu rr en cy	Co de	h 3 2 0 Ma 1, 1 7 rc	De be 3 2 0 6 1, 1 ce m r	%	2 0 1 7	2 0 6 1	%
U S Do l lar	U S D	0 9 1. 6 1	0 1. 5 4 1	% 1. 4	0 8 1. 6 4	0 2 2 1. 1	3. % 4 -
l lar Ho -K Do ng on g	H K D	8. 3 0 7 4	8. 1 7 5 1	% 1. 6	8. 2 6 4 1	8. 5 6 8 9	% 3. 6 -
Sw iss Fr an c	C H F	1. 0 6 9 6	1. 0 7 3 9	0. 4 % -	1. 0 6 9 4	1. 0 9 6 0	2. 4 % -
Ca d ian Do l lar na	C A D	1. 4 2 6 5	1. 4 1 8 8	0. 5 %	1. 4 1 0 1	1. 5 1 3 6	6. 8 % -
Ja Ye p an es e n	Y E N	1 1 9. 5 5 0 0	1 2 3. 4 0 0 0	% 3. 1 -	1 2 1. 0 1 3 9	1 2 6. 9 9 2 6	% 4. 7 -
i is h d Br t Po un	G B P	0. 8 5 5 5	0. 8 5 6 2	% 0. 1 -	0. 8 6 0 1	0. 7 7 0 4	% 1 1. 6
Sw d is h Kr e ow n	S E K	9. 5 3 2 2	9. 5 5 2 5	0. 2 % -	9. 5 0 6 3	9. 3 2 6 4	1. 9 %
Au l ian Do l lar tra s	A U D	3 9 8 2 1.	9 1. 4 5 6	2 % 4. -	0 1. 4 5 6	2 8 3 1. 5	8. 0 % -
So h- fr ica d t A Ra u n n	Z A R	1 4. 2 4 0 4	1 4. 4 5 7 0	% 1. 5 -	1 4. 0 8 1 4	1 7. 4 4 1 6	% 1 9. 3 -
Ru ian Ru b le ss	R U B	6 0. 3 1 3 0	6 4. 3 0 0 0	6. 2 % -	6 2. 5 2 1 8	8 2. 3 5 6 3	2 4. 1 % -
Br i l ian Re l as a	B R L	3. 3 8 0 0	3. 4 3 0 5	1. 5 % -	3. 3 4 6 8	4. 3 0 1 6	2 2. 2 % -
In d ian Ru p ee	I N R	9. 3 9 6 6 5	9 3 7 1. 5 5	3. % 1 -	2 8 2 7 1. 4	3 3 7 4. 4 1	2 % 4. -
S ing l lar Do ap or e	S G D	1. 4 9 4 0	1. 5 2 3 4	% 1. 9 -	1. 5 0 8 0	1. 5 4 6 3	% 2. 5 -
Ma lay ian R ing i t s g	M Y R	4. 7 3 1 3	4. 7 2 8 7	0. 1 %	4. 7 3 4 1	4. 6 2 0 4	2. 5 %
C h ine Re in b i se nm	C N Y	7. 3 6 4 2	7. 3 2 0 2	0. 6 %	7. 3 3 5 3	7. 2 1 0 7	1. 7 %
Ko W re an on	K R W	1, 1 9 4. 5 4 0 0	1, 2 6 9. 3 6 0 0	% -5 9	1, 2 2 7. 2 8 9 1	1, 3 2 4. 3 0 3 4	% 7. 3 -
Me ica Pe x n so	M X N	2 0. 0 1 7 5	2 1. 7 7 1 9	8. 1 % -	2 1. 6 1 6 7	1 9. 8 9 5 9	8. 6 %
Tu k is h L ira r	T R Y	3. 8 8 9 4	3. 7 0 7 2	4. 9 %	3. 9 3 7 8 1	3. 2 4 5 6 7	2 1. 3 %
D ir ha Un i d Em ira te te m s	A E D	3. 9 2 4 7	3. 8 9 0 6 6 1	% 1. 4	3. 9 0 8 8 7	0 4. 4 6 1 1	3. % 4 -

Brands Portfolio

• Polaroid	D ior	BOSS HUGO		havaianas
CARRERA	DIOR HOMME	MARC JACOBS	GIVENCHY PARIS	BANANA REPUBLIC
FAR SINCE 1956		ELIE SAAB	MOSCHINO*	rag & bone* NEW YORK
SMITH	CÉLINE	kate spade	$L$ OVE $*$ MOSCHINO	Juice Couture BLACK LABEL
	FENDI	NEW YORK FOSSIL	BOBBI BROWN	los angeles Liz claiborne
OXYDO	MaxMara	TOMMY INSER	MAX&Co.	- Jaks Avenue
SAFILO	JIMMY CHOO	swatch the oo eyes	pierre cardin PARIS	JACK SPADE