RECORDATI: BOARD APPROVES THE 2020 ACCOUNTS. SALES € 1,448.9 MILLION (-2.2%), EBITDA € 569.3 MILLION (+4.7%), ADJUSTED NET INCOME € 410.4 MILLION (+7.3%). 2020 DIVIDEND € 1.05 (+ 5.0 %)

NEWS RELEASE

RECORDATI: BOARD APPROVES THE 2020 ACCOUNTS. SALES € 1,448.9 MILLION (-2.2%), EBITDA € 569.3 MILLION (+4.7%), ADJUSTED NET INCOME € 410.4 MILLION (+7.3%). 2020 DIVIDEND € 1.05 (+ 5.0 %).

• • Consolidated revenues € 1,448.9 million, -2.2% or +0.4% at constant exchange rates.

• • EBITDA(1) € 569.3 million, +4.7%.

• • Operating income € 469.0 million, +0.8%.

• • Net income € 355.0 million, -3.8% or +3.2% excluding the non-recurring "Patent Box" tax benefits.

• • Adjusted Net income(2) € 410.4 million, +7.3%.

• • Net financial position(3): net debt of € 865.8 million, from € 902.7 million.

• • Dividend for 2020 € 1.05 per share, of which € 0.50 already paid.

• • Annual Meeting of Shareholders convened for 20 April 2021, the sole convocation date.

Milan, 18 March 2021 - Recordati's Board of Directors approved the consolidated financial statements for the year 2020 as well as Recordati S.p.A.'s accounts and the 2020 corporate governance and ownership report as required by art. 123bis of the Consolidated Law on Financial Intermediation. The financial statements at, and for the year ended, 31 December 2020 and the aforesaid report as well as the reports issued by the independent and by the statutory Auditors will be made available, within the terms of the law, at the company's head office and published on the company's websitewww.recordati.comand can also be viewed on the authorized storage system 1Info (www.1Info.it). The Board of Directors also approved the consolidated non-financial statements, pursuant to Legislative Decree n. 254/2016, dated 31 December 2020 which will be made available in the same manner.

Financial highlights

• • Consolidated revenues, at € 1,448.9 million, fell by 2.2% compared to 2019, reflecting also the devaluation of almost all currencies against the euro, which was especially notable during the second half of the year. At constant exchange rates, the Group's sales grew slightly by +0.4%.

  Revenues for the new drugs acquired at the end of 2019, Signifor® and Signifor® LAR and initial sales of Isturisa® totalled € 79 million.

• • EBITDA(1) was € 569.3 million, an increase of 4.7% over 2019, thanks to expense control and a better gross margin, at 39.3% of sales, up compared to 36.7% in 2019.

• • Operating income was € 469.0 million, an increase of 0.8% over the previous year, lower compared to EBITDA growth due to the increase in amortization associated with new products, a margin of 32.4% of sales compared to 31.4% in 2019.

• • Net income, equalled € 355.0 million, at 24.5% of sales, compared to € 368.9 million in 2019; excluding non-recurring "Patent Box" tax benefits, equal to € 2.0 million in 2020 and to € 27.0

  million in 2019, net income increased by 3.2% thanks to the progress in operating income and the decrease in financial expenses.

RECORDATI INDUSTRIA CHIMICA E FARMACEUTICA S.p.A.

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Via Matteo Civitali, 1	Share Capital € 26,140,644.50 fully paid up
20148 Milano, Italy	Milano, Monza, Brianza and Lodi Reg. Comp. No. 00748210150
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Company under the Management and Coordination of Rossini Luxembourg S.àr.l

• • Adjusted net income(2), equal to € 410.4 million, grew by 7.3% compared to 2019, at 28.3% of sales, higher than the previous year, which was 25.8%.

• • Net financial position(3) at 31 December 2020 recorded a net debt of € 865.8 million, which was lower compared to the net debt of € 902.7 million at 31 December 2019. In the period, dividends of € 212.7 million were distributed and payments were made for milestones and licenses for new products for a total value of approximately € 99.1 million. Treasury shares were purchased for a total disbursement, net of sales for the exercise of stock options, of € 12.2 million. Net of these effects, the Group's solid cash generation was confirmed at approximately € 360 million.

(1) Net income before income taxes, financial income and expenses, depreciation, amortization and write-downs of property, plant and equipment, intangible assets and goodwill, and non-recurring items.

(2) Net income excluding amortization and write-downs of intangible assets (except software) and goodwill, and non-recurring items, net of tax effects.

(3) Cash and cash equivalent less bank debts and loans, which include the measurement at fair value of hedging derivatives.

Corporate development news

Various initiatives were undertaken during 2020, in line with our ongoing development strategy directed at the Group's continual growth.

In January, the European Commission granted marketing authorisation for the orphan medicinal product Isturisa® (osilodrostat), indicated for the treatment of endogenous Cushing's syndrome (CS) in adults.

In March, the Food and Drug Administration (FDA) also approved the marketing authorisation for Isturisa® in the U.S.A. for the treatment of patients with Cushing's disease, when pituitary surgery is not an option or has not been curative. The European Commission and the FDA confirmed its orphan drug status.

Also in March, the Japanese New Drug Application (JNDA) was submitted to the Ministry of Health, Labour and Welfare seeking marketing approval for Isturisa®. Furthermore, the marketing authorisations for Isturisa® were transferred to Recordati Rare Diseases in the United States and in Europe, during March and April respectively. The product was launched with initial sales in the U.S.A., France and Germany.

The Recordati group has established a dedicated unit in Basel (Switzerland)- the Recordati AG Rare Diseases Branch-to manage this promising product line worldwide; it is also responsible for marketing Ledaga® in Europe.

In August, the U.S. Food and Drug Administration (FDA) granted approval to market Cystadrops® (cysteamine ophthalmic solution) 0.37% in the U.S.A., which was subsequently launched on the market. Cystadrops® is the first and only FDA-approved cysteamine drop formulation administered in a practical dosage four times a day.

In September, an exclusive License and Supply Agreement was signed with ARS Pharmaceuticals, a U.S. based pharmaceutical company, to market, in the European Union, Iceland, Liechtenstein, Norway,

Switzerland, the United Kingdom, Russia/CIS, Turkey, the Middle East and in French-speaking African countries, ARS-1, an epinephrine nasal spray in the registration stage with the European Medicines Agency (EMA), for the emergency treatment of severe allergic reactions that can lead to anaphylaxis.

In November, the European Medicines Agency (EMA) accepted ARS Pharmaceuticals' submission of a marketing authorisation for ARS-1.

The Group commitment to sustainability continued during the year with practical implementation ranging from initiatives to reduce the environmental impact with energy efficiency projects and acquiring energy from renewable sources, to initiatives directed at the staff and local communities, focusing especially on the requirements related to the health crisis.

An Environmental, Social & Governance (ESG) function was established to support the integration of social and environmental aspects in business processes, and the Sustainability Plan was drafted, detailing the future commitments. ESG commitments in the Plan are broken down into targets in quality and quantitative terms, referring to four priority areas: responsibility to our patients, people care, environmental protection and responsible sourcing. These strategic sustainability areas are underpinned by a fifth fundamental pillar, ethics and integrity, which serve as the guiding principles for the Group's everyday activities. The Sustainability Plan, the future targets and all the main ESG activities performed during 2020, are described in the Consolidated Non-Financial Statement, prepared in accordance with the "GRI Sustainability Reporting Standards".

Subsequent events

In January 2021, the U.S. Food and Drug Administration (FDA) approved a new indication for Carbaglu® (carglumic acid) 200 mg tablets as an adjunctive therapy to the primary treatment of acute hyperammonemia due to propionic acidemia (PA) or methylmalonic acidemia (MMA) in paediatric and adult patients. Carbaglu® is the first and only FDA-approved medication for the treatment of acute hyperammonemia due to PA and MMA.

Also in January 2021, a License and Supply Agreement was closed with Tolmar International Ltd, to market Eligard® (leuprorelin acetate) in Europe, Turkey, Russia and other countries. Eligard® is a medicinal product for the treatment of advanced hormone-dependent prostate cancer and for the treatment of high-risk localised and locally advanced hormone-dependent prostate cancer, in combination with radiotherapy. This new product provides us with an opportunity to strengthen our presence in the urology area, confirming our ongoing support to patients and doctors in this field, and adapts perfectly to our geographic coverage.

In February 2021, an agreement with Almirall was finalized for the acquisition of marketing rights in the Spanish market of Flatoril®, a drug containing a combination of Clebopride and Simethicone, indicated for the treatment of gastrointestinal functional disorders.

Business outlook

On 22 February, the Company announced the following financial targets for 2021, which include the contribution of the new licence agreements finalized at the beginning of the year and are based on the expectation of a gradual recovery in reference markets post the COVID-19 pandemic during the second

half of the year: revenue of between € 1,570 and € 1,620 million, EBITDA of between € 600 and € 620 million and adjusted net income between € 420 and € 440 million.

Despite the persistent COVID-19 pandemic and restrictions on mobility in the main countries, the Group consolidated sales during the first two months of 2021 are in line with expectations. Considering the limited impact of the pandemic on the financial results of 2020, the Group's business segment, recent performance and the high level of diversification, it is believed that the continuation of the pandemic in 2021 will not have any significant effect on the results expected by the Group, thus confirming the asset or liabilities amounts recognised in the financial statement.

Dividend

Based on the results obtained, the Board of Directors will propose to the shareholders a dividend of € 0.55 per share, in full balance of the interim 2020 dividend of € 0.50, to be paid to all shares outstanding at ex-dividend date, excluding those in treasury stock, as from 26 May 2021 (record date 25 May 2021), with ex-dividend on 24 May 2021 (against presentation of coupon no. 27). The full 2020 dividend is therefore of € 1.05 per share (€ 1.00 per share in 2019).

Further Board resolutions

The Board of Directors approved the following further deliberation proposals to be submitted to the Annual Shareholders Meeting:

• • Approval of the report on remuneration policies and payments made pursuant to article 123ter of Legislative Decree 58/1998:

  • a) Binding resolution on the first section relative to remuneration policy;

  • b) Non-binding resolution on the second section relative to 2020 payments made.

• • Adoption of a new Stock Option Plan called "Stock Option Plan 2021-2023" pursuant to article 114bis of Legislative Decree 58/1998.

• • Renewal of the authorization to the purchase and disposal of treasury shares until the Annual

  Shareholders' Meeting which will approve the 2021 financial statements.

The objective of the proposal to renew the authorization to the purchase and disposal of treasury shares until the Annual Shareholders' Meeting which will approve the 2021 financial statements is, as in previous years, to grant the Board the possibility of:

(i) fulfilling the obligations arising from the stock option plans already adopted by the Company and other stock option plans which might be approved in future;

(ii) carrying out industrial initiatives, since the authorization to purchase treasury stock will allow transactions such as the sale, contribution and exchange of treasury stock in order to acquire stakes in companies and/or to reach agreements with strategic partners within the Group's expansion objectives;

(iii) supporting the Recordati shares' liquidity, in order to promote the regular course of the shares'

negotiations and avoid price fluctuations inconsistent with the market trend.

The company would be allowed to purchase up to 4,000,000 shares, keeping in mind however, that the nominal value of treasury stock held by the Company must never exceed one fifth of the share