Entersoft S A : Interim Financial Report 30.06.2022 (03/08/2022)

ENTERSOFT S.A.

Interim Financial Report (TRANSLATED FROM THE GREEK ORIGINAL)

Semi-annual Financial Report

Period

From January 1, 2022 to June 30, 2022

according to article 5 of Law 3556/2007

Interim Financial Report 2022 for the period from 1 January to 30 June 2022

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STATEMENTS OF THE MEMBERS OF THE BOARD OF DIRECTORS

(In accordance with article 4 paragraph 2 of the Law 3556/2007)

The members of the Board of Directors of ENTERSOFT SA:

• Pantelis Nikolopoulos, Chairman of the Board of Directors and Non-Executive Member,
• Antonios Kotzamanidis, Chief Executive Officer and Executive Member of the Board of Directors,
• Charalampos Avratoglou, Executive Member of the Board of Directors,

in our above-mentioned capacity, specially appointed for this by the Board of Directors of ENTERSOFT S.A., we confirm that to the best of our knowledge:

1. The Interim Condensed Financial Statements of ENTERSOFT, Group and Company, for the period from January 1, 2022 to June 30, 2022, prepared in accordance with the applicable International Financial Reporting Standards (IFRS), give a true and fair view of the Assets and Liabilities items, the Equity and the Results of the Company for the period from 1/1/2022-30/6/2022 as well as the companies included in the consolidation taken as a whole, in accordance with paragraphs 3 to 5 of article 5 of L.3556/2007.
2. The Report of the Board of Directors for the first half of the year gives a true and fair view of the information required according to Article 5 (6) of Law 3556/2007, i.e. the significant events that took place during the first half of the financial year and their impact on the Interim Condensed Financial Statements, the development, performance and the financial position of the Company and its subsidiaries that are consolidated, the main risks and uncertainties for the second half of the financial year, as well as the significant transactions that took place between the Company and its subsidiaries that are consolidated and on the other hand the individuals that are related to them.

Pantelis N. Nikolopoulos	Antonios N. Kotzamanidis	Charalampos F. Avratoglou
Chairman of the Board of Directors	Chief Executive Officer	Executive Member of the Board of Directors

Interim Financial Report 2022 for the period from 1 January to 30 June 2022

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CONTENTS	Page
1.	Management Report of the Board of Directors ……………………….………………………………5
2.	Independent Auditor's Report.......................................................................................	26
3. INTERIM CONDENSED FINANCIAL STATEMENTS FOR THE PERIOD 01 JANUARY
TO 30 JUNE 2022 AND FOR THE SEMI-ANNUAL PERIOD ENDED ON THAT DATE ....	28
	3.1 Interim condensed Statement of Financial Position of Group and Company (amounts in
	EURO)....................................................................................................................................................	28
	3.2 Interim Condensed Statement of Comprehensive Income (amounts in EURO) ....................	29
	3.3 Interim Condensed Statement of Changes in Shareholders Equity (amounts in EURO) .....	30
	3.4 Interim Condensed Cash Flow Statement (amounts in EURO) ...............................................	32
	4. Information about the Group ...........................................................................................................	33
	4.1 The Parent Company.....................................................................................................................	33
	4.2 The Subsidiaries.............................................................................................................................	34
5. Framework for preparing Financial Statements...........................................................	35
6. Significant accounting policies......................................................................................	36
	6.1 Amendments to Published Standards .........................................................................................	36
	New Standards, Interpretations, Revisions and Amendments to existing Standards that have
	entered into force and have been adopted by the European Union...............................................	36
	6.2 Significant accounting judgments and estimates........................................................................	38
7. Risk Management ............................................................................................................	39
8. Group structure ...............................................................................................................	43
9. Information on Operational Segments and Sales Revenue ........................................	44
10. Other Notes to the Financial Statements ....................................................................	48
	10.1 Tangible fixed assets ...................................................................................................................	48
	10.2 Intangible assets...........................................................................................................................	50
	10.3 Acquisition of subsidiary ..............................................................................................................	52
	Fair value measurement ......................................................................................................................	53
	10.4 Absorption of 100% Subsidiaries ...............................................................................................	55
	10.5 Goodwill.........................................................................................................................................	55
	10.6 Investments in subsidiaries .........................................................................................................	56
	10.7 Trade receivables.........................................................................................................................	56
	10.8 Financial assets at fair value through profit or loss...................................................................	57
	10.9 Cash and cash equivalents.........................................................................................................	57
	10.10 Equity...........................................................................................................................................	58
	10.11 Income tax payable....................................................................................................................	59
	10.12 Short-term and Long-term loan liabilities.................................................................................	59
	10.13 EBITDA .......................................................................................................................................	61
	10.14 Income tax ..................................................................................................................................	61
	10.15 Earnings per share.....................................................................................................................	61
	10.16 Payroll cost..................................................................................................................................	61
	10.17 Number of personnel .................................................................................................................	62
	10.18 Intercompany balances and transactions................................................................................	63
	10.19 Benefits to Management and Executives................................................................................	64

Interim Financial Report 2022 for the period from 1 January to 30 June 2022

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10.20 Contingent assets - liabilities....................................................................................................	64
10.21 Impact of COVID-19 on activities .............................................................................................	65
10.22 Impact of the energy crisis on activities ...................................................................................	66
10.23 Consequences of the Russian invasion of Ukraine ...............................................................	66
10.24 Subsequent events ....................................................................................................................	66

Interim Financial Report 2022 for the period from 1 January to 30 June 2022

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1. HALF YEAR REPORT OF THE BOARD OF DIRECTORS FOR THE PERIOD 01.01.2022 TO 30.06.202

Introduction

This report of the Board of Directors of the company under the name "ENTERSOFT SOCIETE ANONYME FOR THE PRODUCTION AND MARKETING OF SOFTWARE AND SERVICES" (hereinafter the "Company") concerns the period from January 1, 2022 to June 30, 2022 and has been prepared in accordance with the provisions of article 5 of Law 3556/2007 as well as the relevant decisions of the Board of Directors of the Hellenic Capital Market Commission and refers to the Interim Condensed Financial Statements (Consolidated and Separate) as of June 30, 2022 and to the six-month period then ended.

Entersoft Group (the "Group") apart from the company also includes the subsidiaries over which the Company has direct or indirect control (the "Group"). The Consolidated and Separate Interim Condensed Financial Statements have been prepared in accordance with the International Financial Reporting Standards (IFRS), as adopted by the European Union (EU).

This report includes the financial assessment of the results of the period from January 1, 2022 to June 30, 2022, the outlook for the second semester of 2022, the significant events that took place during the first semester of 2022, a presentation of the main risks and uncertainties for the second semester of the year, the significant transactions of the Group's and Company's related parties and the significant events that took place after the end of the first semester of 2022.

This report also refers to Alternative Performance Measures. indicators see "Alternative Group Performance Indicators" Indicators".

For explanations and calculation of the and "Alternative Company Performance

The Condensed Interim Financial Statements (Consolidated and Separate), the Independent Auditor's Report on Review and the half year Report of the Board of Directors of the Company can be found on the website:

https://www.entersoft.gr/investors/

During the first semester of 2022, the Company's activities were in accordance with applicable law and its purposes, as defined in its Articles of Association.

The Board of Directors, in its attempt to make a review of the Company's operations and figures of the Company and of its subsidiaries (the "Group"), wishes to notify the following:

Interim Financial Report 2022 for the period from 1 January to 30 June 2022

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