Rai Way S p A : Approval of the Interim Financial Report at 30 September 2020

Press Release

RAI WAY APPROVES THE RESULTS FOR THE NINE MONTHS 2020

WITH KEY FIGURES IN FURTHER IMPROVEMENT

• Key results for the nine months ended 30 September 2020 (vs 30 September 2019):
• • Core revenues of € 168.0m (+1.4%);
  • Adjusted EBITDA of € 104.5m (+3.9%);
  • Operating profit (EBIT) of € 70.7m (+0.4%);
  • Net income of € 50.8m (+2.3%);
• Capex of € 34.2m1
• Net debt2 of € 41.3m (compared to € 9.5m at 31 December 2019)

Rome, 12 November 2020 - The Board of Directors of Rai Way S.p.A. (Rai Way), met today under the chairmanship of Giuseppe Pasciucco, examined and unanimously approved the Company's Interim Financial Report for the nine months ended 30 September 2020.

Aldo Mancino, Rai Way CEO stated: "The third quarter was characterized by an acceleration of development activities and revenues, with EBITDA growing despite a trend of progressive cost normalization after the tangible reduction in the first half of the year due to the COVID-19 emergency. From the operational standpoint, the Company's commitment to the refarming project continues. At national level, the extension of the digital terrestrial network has to date further increased the coverage of the RAI thematic channels and high definition offer.

At regional level, in the context of the tenders promoted by the Ministry of Economic Development, Rai Way has been awarded with the rights of use of frequencies in Lombardy and Piedmont, areas characterized by a wide local television offering.

The solidity of our business model, already proven in the first phase of the health emergency, allows us to confirm the objectives for 2020 and the commitment to implement our Industrial Plan."

1. Excluding investments related to the application of new IFRS 16 Accounting Standard, equal to € 2.8m
2. Net Debt including the effect of the application of the IFRS-16 accounting standard

1

***

Key results for the nine months 2020

As of 30 September 2020, Company's core revenuesamount to € 168.0 million, an increase of 1.4% over € 165.7 million for the nine months 2019. Revenues from RAI, equal to € 142.8 million, benefit from the growing contribution from new initiatives for € 7.5 million, underpinned by refarming activities. Revenues from third-party customers amount to € 25.2 million.

Adjusted EBITDAamounts to € 104.5 million, an increase of 3.9% over € 100.6 million for the nine months 2019, mainly as a result of higher revenues and operating costs reduction. The margin on revenues reached 62.2% (60.7% in the nine months 2019). Considering the impact of non-recurring expenses (€ 1.1 million in the nine months 2020 compared to € 0.1 million in the nine months 2019), EBITDA3 amounts to € 103.5 million, an increase of 3.0% over € 100.5 million reported in the nine months 2019.

Operating profit (EBIT)amounts to € 70.7 million, rising 0.4% over € 70.4 million of the nine months 2019 despite unfavourable one-off factors such as the aforementioned non-recurring charges and the benefit recorded in 2019 from the release of provisions for risks of € 1.6 million.

Net incomeamounts to € 50.8 million, an increase of 2.3% over € 49.7 million of the nine months 2019.

In the nine months 2020, investments4 amount to € 34.2 million, of which € 28.0 million relate to development activities (€ 12.7 million in the nine months 2019, of which € 5.8 million of development activities). In the same period, these investments were accompanied by the purchase of treasury shares for an amount of € 7.7 million as part of the buyback program approved by the Shareholders' Meeting of 24 June 2020 and started in August.

Net invested capital5 amounts to € 205.3 million, with net debtof € 41.3 million (including the impact from the application of the IFRS-16 accounting standard for € 36.5 million) compared to € 9.5

1. The Company defines EBITDA as profit for the year adjusted by the following items: (i) income taxes, (ii) financial charges, (iii) financial income, (iv) accruals to provisions for risks, (v) amortisation and depreciation and (vi) write-downs of receivables
2. Excluding component related to IFRS-16 Leasing
3. Net invested capital is calculated as the sum of fixed capital, working capital and non-current financial assets

2

million at 31 December 2019, confirming - net of development investments, purchase of treasury shares and payment of dividends - the strong recurring cash flow generation.

Outlook

The results for the nine months 2020 are in line with the Company's expectations.

Based on the information available to date on the evolution of the Covid-19, as well as in consideration of the resilience demonstrated during the first phase of the emergency, the forecast for 2020 as updated last 30 July is confirmed:

• further growth of Adjusted EBITDA;
• maintenance capex on core revenues ratio lower than in 2019 as a result of the remodulation of certain activities and efficiency actions.

***

Rai Way announces that today, Thursday 12 November 2020 at 5:30pm CET, the results of the nine months 2020 will be presented to the financial community via conference call.

The presentation supporting the conference call will be made available in advance on the Company's website www.raiway.it, in the Investor Relations section.

To take part in the conference call:

Italy: [phone] - UK: [phone] - USA: [phone]

***

The manager in charge of preparing the corporate accounting documents, Adalberto Pellegrino, declares, pursuant to article 154-bis of the Consolidated Finance Law (TUF), that the accounting information in this release corresponds to the underlying accounting documents, books and entries.

***

Disclaimer

This release contains forward-looking statements on the future events and results of Rai Way that are based on current expectations, estimates and forecasts about the sector in which Rai Way operates and on management's current opinions. By their nature these items contain an element of risk and uncertainty as they depend on the occurrence of future events. The actual results could differ, even materially, from those stated for a variety of reasons such as: global economic conditions, the effect of competition and political, economic and regulatory developments in Italy.

3

Rai Way S.p.A.

Rai Way manages and develops the terrestrial broadcast infrastructure which carries the television and radio signals of RAI, Italy's national public broadcasting company, and provides services to its business customers. Rai Way has an extensive experience and technological, engineering and

organizational know-how in the Italian media and broadcast infrastructure market. Such a unique expertise, together with the skills and ongoing training of its around 600 employees, makes Rai Way an ideal partner for any companies and entities seeking for integrated solutions to develop their network and transmit their signals. Rai Way operates throughout the national territory and can rely on its headquarters in Rome, 21 local network centers and more than 2,300 sites across Italy.

For more information:

Investor Relations

Ph. [phone] Ph. [phone] [e-mail]

4