Fielmann : Report 30.06.2022

FINANCIAL REPORT AS AT 30 JUNE 2022

2 First half-year 2022

Fielmann Group: Financial report as at 30 June 2022

Dear Shareholders, Dear Friends of the Company,

The first six months of 2022 were marked by the continuing coronavirus pandemic and the effects of the war in Ukraine. In a challenging environment, the Fielmann Group recorded a strong sales increase of +8% over last year, a figure that is in line with our Vision 2025 growth path.

Interim company report

The global economic environment has deteriorated considerably after Russia's war against Ukraine began in February 2022. Sanctions, supply chain disruptions and price increases, especially for energy and food, are having negative impacts on economic activities. In addition, several central banks have raised the base interest rates to counteract record inflation levels. This makes, in turn, loans more expensive and curbs demand.

Germany's foreign trade initially fell in March due to the war. Despite the cessation of exports to Russia, however, export levels recovered overall. Nevertheless, investment activities slowed down as a result of material shortages, price increases for energy and raw materials, and uncertainty regarding the future development, especially of gas supplies. The assessment of the situation by capital goods producers worsened somewhat in July month on month. As Covid-related restrictions were removed during spring, consumption subsequently rose again. The hospitality market, for example, saw real and seasonally-adjusted sales increases of 8.5% month on month. It fell short of the pre-pandemic level, however. Although there is pent-up demand in the consumer sector after the Covid-related restraints, the significant price increases across major product categories negatively affect consumer spending.

Report on financial performance, cash flows and financial position

Units sold and sales revenue

Fielmann sold 4.2 million glasses in the first six months (previous year: 3.9 million). The Fielmann Group's external sales incl. VAT and changes in inventories increased in the same period to € 993.9 million (previous year:

• 919.8 million), while consolidated sales rose to € 854.5 million (previous year: € 789.6 million). Unit sales in the second quarter amounted to 2.2 million (previous year: 2.0 million). Over the same period, external sales

First half-year 2022 3

grew to € 509.5 million (previous year: € 474.9 million) and consolidated

sales rose to € 440.1 million (previous year: € 407.7 million).

Earnings and investments

Pre-tax profit amounted to € 89.1 million in the first half of the year (previous year: € 96.0 million) and net income was € 62.3 million (previous year: € 66.2 million). EBITDA reached € 171.4 million (previous year: € 186.6 million).

From April to June, pre-tax profit amounted to € 39.4 million (previous year: € 54.2 million) and net income stood at € 28.2 million (previous year: € 37.4 million).

While the 8% sales increase is in line with the growth path of our Vision 2025, our cost structure for 2022 had been prepared for more dynamic growth. Although the pandemic continues to have a negative effect on our sales levels, we have increased and adjusted our employees' salaries in several markets in an effort to counteract the shortage of skilled workers. This led to additional personnel expenses across all divisions of approximately € 23,3 million in the first half of 2022. In a competitive market, Fielmann not only offers exciting career opportunities but also provides attractive salaries. With regard to the most important product groups, prescription glasses and hearing aids recorded strong single-digit growth, while sunglasses and contact lenses experienced growth rates of well over 20% year on year thanks to the development of our omnichannel platform. As the margins for contact lenses and sunglasses are lower, however, the changed product mix corresponded to a negative effect of approximately € 13 million. Increased marketing activities and a solidarity campaign for refugees from Ukraine had a total impact of € 11 million on profitability.

In the first six months, investments totaled € 30.9 million (previous year: € 37.1 million). All investments were financed from our cash flow. The main focus of the investments was on the digitalisation of the business model as well as on the modernisation and expansion of the store network.

As at 30 June 2022, the Fielmann Group operated an omnichannel business model with digital sales channels in all major markets as well as 931 stores (previous year: 885), of which 325 also had hearing aid studios (previous year: 298).

Earnings per share

Earnings per share stand at € 0.71 (previous year: € 0.75). There were no circumstances which could have diluted earnings per share during the period under review or comparable periods.

4 First half-year 2022

Earnings per share

in € 000s	30 June 2022		30 June 2021
Earnings before taxes		89,062		95,985
Taxes on income and earnings	-26,719		-29,820
Consolidated net income for the	62,343		66,165
period
Income attributable
to minority interests	-2,988		-3,417
Profits attributable to parent	59,355		62,748
company shareholders
Number of shares in '000 units		84,000		84,000
Own shares in '000 units		-13		-38
Number of shares in '000 units		83,987		83,962
Earnings per share in €		0.71		0.75

Dividend per share

Fielmann is maintaining its long-standingshareholder-friendly dividend policy. The Annual General Meeting of 14 July 2022 accepted the proposal made by the Management Board and the Supervisory Board. Considering the company's positive development in the 2021 financial year, a dividend payout of € 1.50 per share was agreed and paid on 19 July. This corresponds to a total dividend payout from our cash flow of € 126.0 million and a payout ratio of 92%.

Employees

Fielmann is one of the largest employers and training providers in the Euro- pean optical industry, with 21,597 employees as at 30 June (previous year: 21,427), of whom 3,746 are apprentices (previous year: 4,126).

Forecast, opportunities and risk report

The statements provided in the Annual Report 2021 on the opportunities and risks of the business model remain unchanged. The forecast for the year as a whole was updated in July 2022 and is taken into consideration in the Outlook section of this report.

Outlook

As a consequence of the war in Ukraine, persistently high inflation levels are affecting consumer behaviour. At the same time, the coronavirus pandemic

First half-year 2022 5

continues to have an adverse impact on the sick rates among our employ- ees. As a consequence of the war in Ukraine, we expect external sales for 2022 as a whole of around € 2 billion (previous year: € 1.94 billion), consolidated sales of approximately € 1.8 billion (previous year: € 1.68 billion) and EBT of more than € 190 million (previous year: € 209.7 million). We remain optimistic regarding the long term: in uncertain times, people buy from companies that offer excellent services and guaranteed quality at the best prices - in the optical industry that means the Fielmann Group. We remain committed to our Vision 2025 that envisages significant growth in unit sales, sales and profitability.

To support the rapid expansion, the Fielmann Group is upgrading and extending its manufacturing and logistics network in Europe. With an investment program amounting to € 100 million over the next four years, we re-define the product availability, delivery times and prices our 27 million customers can expect. By growing our manufacturing footprint in Europe, we also reduce costs as well as CO2 emissions, bolster our strategic independence and improve our profitability.

At its meeting on 7 July, the Supervisory Board of the Fielmann Group approved the investment in an additional production and logistics site in Chomutov, Czech Republic. Furthermore, the existing production and fulfilment facility in Rathenow will be modernised.

Balance sheet oath

We affirm that to the best of our knowledge the consolidated accounts prepared in accordance with the applicable accounting regulations convey a view of the Fielmann Group's financial position, cash flows and financial performance that is true and fair and that business development including business results and the position of the Fielmann Group are presented in the Management Report for the Fielmann Group in such a way as to provide a true and fair view as well as to portray the opportunities and risks inherent in the future development of the Group accurately.

There was no review or full audit of the interim report corresponding to the year-end audit.

Hamburg, 25 August 2022 Fielmann Aktiengesellschaft

The Management Board