BASICNET: FIRST NINE MONTHS 2018....

(Euro thousands)	9M 2018	9M 2017	Changes 2018/2017
Productive and commercial licensee aggregate sales	633,101	569,602	+11.1%
Consolidated revenues	151,903	135,242	+12.3%

Turin, November 13, 2018 - The Board of Directors of BasicNetS.p.A., in a meeting today chaired by Marco Boglione, reviewed the Group 9M 2018 commercial performance. In summary:

• aggregate sales of Group products by the global Licensee Network as follows:

- commercial licensees of Euro 453.4 million, Euro 409.5 million in 9M 2017 (+10.7% at current exchange rates and +12.5% at like-for-like exchange rates) and
- productive licensees of Euro 179.7 million, Euro 160 million in 9M 2017 (+12.3% at current exchange rates, +18.9% at like-for-like exchange rates)

totalling Euro 633.1 million, compared to Euro 569.6 million in 2017 (+11.1% at current exchange rates, +14.3% at like-for-like exchange rates);

• strong growth across all markets: +11.2 in Europe, +11% in Asia and Oceania, +8% in America. Major recovery for Middle East and African markets +9.7%;
• total Group company revenues, including the property segment, amounted to Euro 163.5 million (+12.5% on 9M 2017), with royalties and sourcing commissions from aggregate sales of the commercial and productive licensees, recongised by BasicNetand the brand owning companies, of Euro 48.5 million - up 11% on the previous year.

On the basis of that stated above:

• consolidated revenues, net of intercompany components, essentially hit Euro 152 million, up 12.3% at current exchange rates (+12.5% at like-for-like exchange rates), on the basis of:

- royalties and sourcing commissions of Euro 38.9 million, +9.7% at current exchange rates (+10.6% at like-for-like exchange rates), compared to Euro 35.5 million in 9M 2017;

- sales of the Italian licensee BasicItaliaS.p.A. and its subsidiary BasicRetail S.r.l of Euro 113 million were up 13.2% on Euro 99.8 million in 9M 2017.

Q4 Outlook

Strong commercial development is expected also in the fourth quarter, based on the order book and forecast royalties and sourcing commissions.

As communicated on November 6, the Chief Executive Officer Gianni Crespiwill present to the market the 9M 2018 commercial results during a video conference to be held this afternoon at 5.30 PM. To join the video conference call (to be held in English), click on:

Join Skype Meeting

or telephone: [phone]

(ID conference: 89523018 and PIN conference: 40804)

the presentation may be downloaded from the website www.BasicNet.com, from the section: "financial data/other information and presentations" shortly before the video conference, at the following link:

www.basicnet.com/contenuti/datifinanziari/informazioniannuali.asp?menuSelectedID=3g&language=IT

In relation to the "alternative performance indicators", as defined by the ESMA/2015/1415 guidelines, we provide below a definition of the indicators used in the present Interim Directors' Report, as well as their reconciliation with the condensed half-year financial statement items:

Commercial licensee aggregate sales:

sales by commercial licensees, recognised by the BasicNetGroupto the "royalties" account of the income statement;

Productive licensee aggregate sales:

sales by productive licensees, recognised by the BasicNetGroupto the "sourcing commissions" account of the income statement;

The Executive Officer for Financial Reporting, Mr. Paolo Cafasso

Consolidated Revenues	the sum of royalties, sourcing commissions and sales of the subsidiaries BasicItaliaS.p.A. and BasicRetail S.r.l. and of the parent company BasicNetS.p.A.

, declares in accordance with Article 154-bis, paragraph 2, of the Consolidated Finance Act that the accounting information contained in the present press release corresponds to the underlying accounting documents, records and accounting entries.

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