Fine Foods & Pharmaceuticals N T M S p A : THE BOARD OF DIRECTORS APPROVES THE 30 June 2021 HALF-YEAR FINANCIAL REPORT

THE BOARD OF DIRECTORS APPROVES THE 30 June 2021

HALF-YEAR FINANCIAL REPORT

FINE FOODS & PHARMACEUTICALS N.T.M. S.p.A. CLOSED

FIRST HALF OF 2021:

REVENUES: €98.6 million (+31%)

ADJ EBITDA: €13.1 million (+47%)

ADJ EBIT: €6.7 million (+102%)

ADJ NET PROFIT: €6.5 million (+323%)

Verdellino, 13 September 2021

The Board of Directors of Fine Foods & Pharmaceuticals N.T.M. S.p.A. approves the 30 June 2021 Half-year Financial Report.

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ADJ summary results

Fine Foods & Pharmaceuticals N.T.M. S.p.A.

Sede legale: 24040 Zingonia-Verdellino (BG) via Berlino, 39 - tel. [phone] fax [phone] - www.finefoods.it - E-mail:[e-mail] Cap. Soc. € 22.770.445,02 i.v. - P.IVA IT 09320600969 - Registro Imprese e Cod.Fisc. 09320600969

• Revenues generated by the "Food" Business Unit: €73.3 million
• Revenues generated by the "Pharma" Business Unit: €19.3 million
• Revenues generate by the new "Pharmatek" Business Unit: €6 million
• EBITDA* Margin: 13.3% (FIRST HALF 2020: 11.9%)
• The Net Financial Position was positive (net cash) with about € 20.7 million

Fine Foods & Pharmaceuticals N.T.M. S.p.A., listed on the STAR segment of the MTA of Borsa Italiana, is a leading Italian Company in the Contract Development and Manufacturing Organisation (CDMO) of oral solid forms for the pharmaceutical and nutraceutical industries. The Fine Foods Group is also active in the cosmetics, biocides and medical devices industries with its recent acquisition of Pharmatek-PMC.

The Board of Directors approved today the Consolidated Half-Year Financial Report as of 30 June 2021.

The Chief Executive Officer, Giorgio Ferraris, commented:

"Fine Foods showed once again an amazing resilience in turbulent times. In the first half of 2021 we achieved a substantial growth of revenues and EBITDA, despite the fact that our reference markets were and are still struggling to go back to pre-COVID levels. On the ESG front Fine Foods has obtained the Gold rating from EcoVadis and continues the commitment to improve the already advanced sustainable model."

Fine Foods & Pharmaceuticals N.T.M. S.p.A.

Sede legale: 24040 Zingonia-Verdellino (BG) via Berlino, 39 - tel. [phone] fax [phone] - www.finefoods.it - E-mail:[e-mail] Cap. Soc. € 22.770.445,02 i.v. - P.IVA IT 09320600969 - Registro Imprese e Cod.Fisc. 09320600969

30 June 2021 INCOME STATEMENT AND BALANCE SHEET DATA

The abridged consolidated interim financial statements as of 30 June 2021 are prepared under IAS/IFRS, issued by the IASB (International Accounting Standards Board) and are subject to audit. The abridged interim financial statements include the results for the first half of the 2021 financial year for the newly acquired Pharmatek. Pharmatek is an unlisted company based in Cremosano (CR) specialising in the production of cosmetics, medical surgical aids and medical devices.

The manager responsible for preparing the company's financial reports - Pietro Bassani - declared, under Article 154-ter, paragraph 2, of Legislative Decree no. 58 of 24 February 1998, that the accounting information contained in the press release corresponds to the documented results, books and accounting records.

ADJ Profit and loss figures

Revenues for the first half of 2021 were approximately €98.6 million with an increase of 31% compared to €75.4 million in the first half of 2020. Revenues generated by the newly acquired Pharmatek amounted to €6 million, consequently the Group's growth is mostly organic and attributable to the excellent performance of the parent company Fine Foods (turnover +23% compared to the previous period).

Fine Foods & Pharmaceuticals N.T.M. S.p.A.

Sede legale: 24040 Zingonia-Verdellino (BG) via Berlino, 39 - tel. [phone] fax [phone] - www.finefoods.it - E-mail:[e-mail] Cap. Soc. € 22.770.445,02 i.v. - P.IVA IT 09320600969 - Registro Imprese e Cod.Fisc. 09320600969

EBITDA* amounted to €13.1 million and recorded an increase of €4.2 million compared to the previous period, increasing its percentage on revenues from 11.9% to 13.3%.

EBIT* amounted to approximately €6.7 million, with an increase compared to the first half of 2020, when it was €3.3 million; the EBIT margin showed a positive trend, rising from 4% as of 30 June 2020 to 7% as of 30 June 2021.

Income before taxes** reached €8.9 million as of 30 June 2021 compared to €2.9 million in the previous period and Net Profit** reached €6.5 million compared to €1.5 million as of 30 June 2020.

Balance Sheet Data

	Thousands of Euro	30.06.2021	31.12.2020
	Fixed assets	111,522	95,280
	Net Working Capital	24,493	9,585
	Other receivables and payables	(2,017)	(5,555)
	Employee benefits	(1,395)	(1,063)
	Net Invested Capital	132,603	98,248
	Shareholders' equity	153,260	141,008
	Net Financial Position	(20,658)	(42,760)

Fixed assets increased by approximately €16.2 million compared to 31 December 2021; this increase is mainly attributable to the goodwill generated by the acquisition of Pharmatek (€12.6 million) which was recorded in the consolidated financial statements. The increase was also due to the rights of use contributed by the newly acquired company (€3.9 million as of 30 June 2021).

Net working capital as of 30 June 2021 was €24.5 million compared to €9.6 million at the end of the previous period. This is mainly due to higher trade receivables, which are structurally higher at the reporting date (Increase of €12 million, of which €3.6 million contributed by Pharmatek) and higher Inventories for raw materials procurement (increase of €6.7 million, of which €1.3 million contributed by the Pharmatek subsidiary). Trade payables recorded an increase, which partially offset the growth in the above-mentioned assets (increase of €3.8 million, of which €2.3 million contributed by the Pharmatek subsidiary).

Other Receivables and Payables showed a negative balance of approximately €2 million as of 30 June 2021, with a decrease compared to the end of the previous year (negative balance of €5.6 million) mainly due to the increase in Other non-financial assets, including VAT credit.

Fine Foods & Pharmaceuticals N.T.M. S.p.A.

Sede legale: 24040 Zingonia-Verdellino (BG) via Berlino, 39 - tel. [phone] fax [phone] - www.finefoods.it - E-mail:[e-mail] Cap. Soc. € 22.770.445,02 i.v. - P.IVA IT 09320600969 - Registro Imprese e Cod.Fisc. 09320600969

Shareholders' equity confirmed the company solidity with an increase of approximately €12.3 million compared to the previous year-end despite the purchase of treasury shares for €2.5 million and the distribution of dividends of €3.2 million. The increase in Equity is mainly generated by the conversion of listed and unlisted warrants.

The Net Financial Position stood at a positive value (net cash) of approximately €20.7 million, down from the previous year mainly due to the acquisition of Pharmatek, which had an impact of €17.2 million on the Group's NFP.

SIGNIFICANT EVENTS AFTER THE PERIOD-END

On 9 November 2020, the company announced to the market the translisting process from the AIM Market to MTA had begun. From 12 July 2021, Fine Foods & Pharmaceuticals N.T.M. S.p.A. was listed on the STAR Segment of the Mercato Telematico Azionario ("MTA") organised and managed by Borsa Italiana S.p.A. At the end of the process, which has received Consob and Borsa Italiana approval, the Company's ordinary shares are traded on the main list. Fine Foods debuted on the AIM Italia multilateral trading system on 1 October 2018 with a capitalisation of €216.5 million. On 9 July, the last day on AIM, it rose to €347.6 million in addition to dividends distributed in FY2019, 2020 and 2021 totalling €8.2 million and creating €139.3 million of value equal to 64.3% of the initial capitalisation in less than three years.

BUSINESS OUTLOOK

The Fine Foods Group expects good sales volumes for the second half of 2021 and a substantial alignment with the historical growth of the Parent Company and positive performance from the Pharmatek subsidiary.

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This press release is available on the Fine Foods website www.finefoods.it,in the Investor Relations/Press Releases section.

It should be noted that under Article 154-ter, paragraph 2, of Legislative Decree no. 58 of 24 February 1998, the half-year financial report as of 30 June 2021, approved by the Board of Directors on today's date, will be made available today to shareholders and the public at the registered office, on the Company's website at www.finefoods.it, Investor Relations/Financial Statements and Reports section, and the authorised storage system 1info - www.1info.it.

Fine Foods & Pharmaceuticals N.T.M. S.p.A.

Sede legale: 24040 Zingonia-Verdellino (BG) via Berlino, 39 - tel. [phone] fax [phone] - www.finefoods.it - E-mail:[e-mail] Cap. Soc. € 22.770.445,02 i.v. - P.IVA IT 09320600969 - Registro Imprese e Cod.Fisc. 09320600969