23.03.2022 17:40 - The BoD of Piovan SpA approves the financial statements as of 31 December 2021

Press Release

THE BOD OF PIOVAN S.P.A. APPROVES THE FINANCIAL STATEMENTS AS OF DECEMBER 31, 2021

A record 2021 for the Piovan Group closes with excellent results in the Plastic and Food & Non-plastic segments, as well as in all geographic areas and a cash generation of approximately € 20 million. The year also marks a fundamental stage in the growth of the Group following the acquisition of the US IPEG Group - thanks to which Piovan Group becomes the undisputed leader in the American market and further consolidates its global leadership.

• • Consolidated revenue of € 287.0 million, growing strongly by 27.5% vs 2020 (+19.8% on a like-for-like consolidation basis and excluding the impact of certain non-recurring items; +27.6% at constant exchange rates);

• • Consolidated EBITDA of € 41.2 million (14.3% margin), +27.6% on 2020 (+18.1% on a like-for-like consolidation basis and excluding the impact of certain non-recurring items);

• • Consolidated Operating Profit (EBIT) of € 33.6 million (11.7% margin), +29.2% on 2020;

• • Consolidated Net Profit of € 27.7 million (9.6% margin), up 58.9% vs 2020 (+31.9% on a like-for-like consolidation basis and excluding the impact of certain non-recurring items);

• • Positive Consolidated Net Financial Position of € 23.7 million, improving approx. € 20 million on the previous year. Excluding the effects of the application of IFRS 16, the positive consolidated net financial position as of December 31, 2021 would amount to € 34.9 million compared to € 14.4

  million at December 31, 2020;

• • Closing - effective as of January 31, 2022- of the acquisition of 100% of the share capital of Sewickley Capital, Inc., which in turn owns 100% of IPEG Inc. - a leading company in the sector in North America - further strengthening Piovan Group's leadership position the reference sector;

• • Proposed dividend of € 0,10 per share.

Santa Maria di Sala (VE), March 23, 2022 - The Board of Directors of Piovan S.p.A. ("Piovan" or the

"Company") today reviewed and approved the 2021 Separate Financial Statements of the Company and the Group Consolidated Financial Statements.

"The results obtained in 2021 confirm a strong growth in sales volumes in line with the excellent trends of the previous months and a substantial increase in EBITDA. The strong cash generation of the Group made it possible to seize external growth opportunities, culminating in the acquisition of the IPEG Group - which allowed us to consolidate our leadership position in the sector globally." declares Nicola Piovan, Executive Chairman of Piovan S.p.A.

"It has been a very intense year in which the Group has not only been the architect of a great expansion that has led to the record results of all time but at the same time has obtained important awards in the ESG field such as the sustainability certification of Sustainalytics and the recognition of important international awards in the circular economy. Furthermore, we have managed to make the largest acquisition in our history by consolidating and strengthening our undisputed global leadership. We are therefore very proud of what has been achieved in 2021 and look forward to 2022 with confidence despite the various uncertainties on the international front." also states Filippo Zuppichin, CEO of Piovan S.p.A.

The 2021 consolidated key financial highlights follow:

(amounts in €'000)	Economic performance indicators	Changes
2021	% on total revenues and other income	2020	% on total revenues and other income	2021 vs 2020	%
Revenue	280,036	97.6%	221,117	98.2%	58,919	26.6%
Other revenue and income	6,993	2.4%	4,063	1.8%	2,931	72.1%
TOTAL REVENUE AND OTHER INCOME	287,029	100.0%	225,180	100.0%	61,849	27.5%
EBITDA	41,151	14.3%	32,242	14.3%	8,909	27.6%
OPERATING PROFIT	33,626	11.7%	26,033	11.6%	7,592	29.2%
PROFIT BEFORE TAXES	34,750	12.1%	23,991	10.7%	10,759	44.8%
Income taxes	7,074	2.5%	6,576	2.9%	498	7.6%
NET PROFIT	27,676	9.6%	17,415	7.7%	10,261	58.9%
Attributable to:
Owners of the parent	28,347	9.9%	17,643	7.8%
Non-controlling interests	(671)	(0.2%)	(228)	(0.1%)
Basic earnings per share	0.56	0.35
Diluted earnings per share	0.55	0.35

Revenue overview

Consolidated revenue (and other income)

In 2021 Piovan Group reports revenue and other income of € 287.0 million, increasing by 27.5% from € 225.2

million in 2020. Excluding revenues recognized in the first 9 months of 2021 by Doteco Group and Studio

Ponte S.r.l., consolidated from October 1st, 2020, total revenues and other income amounted to € 271,2 million, up 20,5% on the same period of 2020.

In terms of revenue only, 2021 Piovan Group revenue was € 280.0 million, increasing from the 221.1 million of 2020 (+26,6%).

Revenue calculated on a like-for-like exchange rates basis (i.e. at 2020 average exchange rate) would increase by € 2.0 million, with revenue equal to € 282.1 million and up 27.6% on December 31, 2020. Revenue was, in fact, mainly impacted by a negative effect deriving from U.S. Dollar and Brazilian Real fluctuation.

Other revenue and income, which was up 72.1% versus 2020, include non-recurring revenue related to the € 1.6 million grant that Unadyn received from the U.S. government under the Paycheck Protection Program launched in 2020 in response to the pandemic.

Excluding these non-recurring revenues, total revenues and other income amounted to € 285.5 million, with an increase of 26.8% compared to the same period of 2020. In order to facilitate the comparison between 2021 and 2020 results, total revenues and other income - on a like-for-like basis of consolidation and excluding the US Paycheck Protection Program Loan non-repayable - are equal to € 269.7, with an increase of 19.8% compared to the same period of 2020.

Revenue by Business Segment

2021	%	2020	%	Change	Change %
Plastic	217,140	77.5%	171,823	77.7%	45,317	26.4%
Food & non plastic	28,355	10.1%	20,780	9.4%	7,575	36.5%
Services	34,541	12.3%	28,514	12.9%	6,027	21.1%
Revenue	280,036	100.0%	221,117	100.0%	58,919	26.6%

Revenue by Business Segment indicates:

• • Plastic Systems revenue increased compared to the same period of the previous year, driven by marked growth in (traditional and recycled) packaging and in consumer goods; the "automotive" sector is still lagging behind, due to the crisis in the supply of components, which has not allowed it yet to benefit from the expansion linked to the replacement of metal components with plastic ones as a result of the general trend of conversion towards electric mobility;

• • Food & Non-plastic Systems performed well in both absolute terms and as a percentage of total revenues, increasing 36.5% compared to 2020 thanks the acquisition of strategic orders for major multi-nationals even outside the European market;

• • The Services market posted revenue growth (+21.1%) on the same period of 2020, in line with the Group's expectations.

Revenue by region

2021	%	2020	%	Change	Change %
EMEA	182,181	65.1%	140,745	61.1%	41,436	29.4%
ASIA	32,973	11.8%	28,070	12.9%	4,903	17.5%
NORTH AMERICA	49,866	17.8%	42,198	21.2%	7,668	18.2%
SOUTH AMERICA	15,016	5.4%	10,104	4.9%	4,913	48.6%
Revenue	280,036	100.0%	221,117	100.0%	58,919	26.6%

Revenues in the EMEA area posted a solid growth of 29.4% over 2020, benefiting from the strong performance of the Plastic segment and excellent growth in the Food & Non-plastic market.

Asia and North America grew by 17.5% and 18.2%, respectively, in 2021 on 2020, with revenues increasing in both the Plastic and Services markets. North America posted growth in all sectors, with the exception of automotive and with a particular strong impact from Food & Non-plastic.

In Asia, growth was spotty, with the regions of southeast Asia continuing to feel the effects of the COVID-19 pandemic and China showing a slower-than-expected recovery due, in part, to the continuing restrictions on travel. Within this context of greater uncertainty than in other regions, the Group is further strengthening its local sales and technical assistance structures and increasing market share compared to the leading competitors.

South American market also posted a strong performance (+48.6% in revenues compared to 2020) thanks, above all, to revenues in Food & Non-plastic and in Services.

Consolidated operating and net results

EBITDA

2021 EBITDA was € 41.2 million, increasing by 27.6% on € 32.2 million in 2020, with a stable percentage incidence on revenues and other income equal to 14.3%, benefiting from the leverage effect resulting from the increase in sales volumes as well as from the aforementioned grant, offset in part by an inflationary effect on the costs of raw materials.

It should also be noted that fourth quarter EBITDA was impacted by the incurring of part of the extraordinary costs associated with the services received during the year in relation to the acquisition of IPEG, Inc. equal to approximately € 892 thousand and by the impact of an extraordinary bonus paid to the Italian employees of the Group as support for the increase in the cost of energy equal to approximately € 500 thousand. Excluding these non-recurring effects, EBITDA amounts to € 41.0 million with a 14.4% profitability. On a like-for-likebasis of consolidation and excluding non-recurring effects, EBITDA amounts to € 38.1 million, with an increase in this case of 18.1%.

Operating Profit

2021 Operating Profit was € 33.6 million, increasing from € 26.0 million in the previous year (+29.2%), resulting impacted among other things by the goodwill impairment relating to Toba CGU for an amount equal to € 0.5 million.

Operating result as a percentage of total revenues and other income was 11.7% compared to 11.6% in the previous period. On a like-for-like basis of consolidation and excluding non-recurring items, the operating result amounted to € 31.5 million, up by 21.1% in this case (11.7% in relation to total revenues).

Net Profit

2021 Net Profit was € 27.7 million, improving compared to the € 17.4 million from 2020. Net profit as percentage of total revenues and other income margin is equal to 9.6%.

In addition to the above effects, the following items contributed positively to the result for the year: i) an improvement in the item gains/losses on exchange rates equal to 57 thousand euros; ii) an income recognized following the reduction in the fair value of the put-option granted to the minority shareholders of TOBA for € 1.1 million; iii) a release of deferred tax liabilities for € 2.1 million, deriving from the realignment of the tax values to the balance sheet values, respectively, of the know-how that emerged from the acquisition of Doteco S.p.A. and the differences that emerged during the first time adoption by Piovan S.p.A..

Excluding non-recurring revenues, the profit for the year amounts to € 24.8 million, increasing in this case by 8.7%.

Earnings per share

Diluted earnings per share was € 0.55 as of December 31, 2021, compared to € 0.35 in the previous year.

Consolidated Balance Sheet Items Overview

Consolidated Net Financial Position

Please note that, beginning with the "2021 Half Year Financial Report", the Company has adopted the new layout for Net Financial Position (NFP) called for in the Consob Call for Attention No. 5/21 of April 29, 2021, which implements the EMSA Guidelines 32-382-1138 of March 4, 2021. Compared to the layout previously used by the Company, the account "trade payables and other non-current liabilities" is now also included.

The consolidated net financial position at December 31, 2021 was positive and equal to € 23.7 million, compared to a positive one equal to € 4.0 million at December 31, 2020, with net cash generated of € 19.7 million.