Slide 1: FY2022 Results
FY2022 Results Conference VideoCall March 28th, 2023
Slide 2: Today’s speakers
Today’s speakers Luca Innocenzo Sara Sburlati Tamborrini De Benedetti CEO CFO Investor Relations Manager ▪ 11 years in Pattern ▪ 14 years in Pattern ▪ 5 years in Pattern ▪ 16 years of Fashion & Luxury ▪ 21 years as CFO and ▪ 12 years in communication, industry experience as a Top Senior Controller l
Slide 3: Index
Index 1. At a glance 2. Group Strategy 3. Events 2022 and 2023 4. FY2022 5. Appendix 3
Slide 4: At a glance
At a glance
Slide 5: Landmark for top-end Luxury Fashion Engineering & Production
is a landmark for top-end Luxury Fashion Engineering & Production
Slide 6: Pattern Group
Pattern Group Sales Revenues € Mln 6
Slide 7: Group strategy
Group strategy
Slide 8: The Italian Hub of Luxury Fashion Engineering & Production
The Italian Hub of Luxury Fashion Engineering & Production
Slide 9: The Italian Hub of Luxury Fashion Engineering & Production
The Italian Hub of Luxury Fashion Engineering & Production Pattern Group is present in the main product categories (men's and womenswear, knitwear, still fabrics, leather goods, clothing and accessories) starting from the Research and Engineering phase all the way through to Production
Slide 10: Events 2022 and 2023
Events 2022 and 2023 10
Slide 11: December 2022 – Purchased the 100% of Nuova Nicol
December 2022 – Purchased the 100% of Nuova Nicol Nuova Nicol S.r.l., an Emilian company specialising in the Production of Luxury Knitwear for Women with a top luxury customer portfolio, is characterised by a specific focus on the quality of yarns, fabrics and details that stand out in the finishing
Slide 12: Pattern disposes of Turin plant Business Unit dedicated to Burberry
27th March 2023 Pattern disposes of Turin plant Business Unit dedicated to Burberry to continue along the path of Industrial Growth and Investment The Board of Directors resolved on approving the signing of a binding framework agreement on the disposal to Burberry Limited (or another Burberry group
Slide 13: Pattern disposes of Turin plant Business Unit: opportunities
27th March 2023 Pattern disposes of Turin plant Business Unit dedicated to Burberry to continue along the path of Industrial Growth and Investment Following a path of growth through acquisitions, resulting today in 12 companies located in 7 Italian regions, Pattern raises the resources to continue o
Slide 14: Basics of the Agreement
27th March 2023 Pattern disposes of Turin plant Business Unit dedicated to Burberry to continue along the path of industrial growth and investment Basics of the Agreement • The object of the Business Unit is the activity revolving around the Engineering and Production line of Burberry products. • Th
Slide 15: FY2022
FY2022 15
Slide 16: Pattern Group FY2022 Highlights
PATTERN GROUP FY2022 Highlights SALES REVENUES EBITDA EBITDA MARGIN € 109.2 M € 11.1 M +57.1% YoY 10% +44.6% YoY € 69.5 FY2021 11% FY2021 € 7.7 M FY2021 NET INCOME NFP € 4.1 M € 13.9 M* +10.6% YoY Positive € 3.1 M € 3.7 M FY2021 FY2021 * Due to M&As 16
Slide 17: FY2022 Income Statement
FY2022 Income Statement Revenues Breakdown Knitwear 31% (€ 000) FY2022 FY2021 % Sales revenues 109,212 69,506 57.1% Other revenues 1,799 520 246.0% Total Revenues 111,011 70,026 58.5% Change in inventories, semi and finished products (585) 2,496 - Value of production 110,426 72,521 52.3% Clothing 45
Slide 18: FY2022 Highlights vs. Pro-forma data
PATTERN GROUP FY2022 Highlights vs. Pro-forma data SALES REVENUES EBITDA NET INCOME € 109.2 M € 11.1 M € 4.1 M +25.4% YoY +25.8% YoY +20.7% YoY € 87.1 FY2021 € 8.8 M FY2021 € 3.4 M FY2021 Pro-Forma Pro-Forma Pro-Forma Revenues Growth Rates Breakdown +11% +23% +70% 18
Slide 19: FY2022 Balance Sheet (Use and Sources)
FY2022 Balance Sheet (Use and Sources) (€ 000) 31/12/2022 31/12/2021 % (€ 000) 31/12/2022 31/12/2021 % Fixed Assets 36,831.9 17,865.8 106.2% Shareholders' Equity 29,628.3 25,123.7 17.9% Warehouse 9,359.5 8,289.6 12.9% Group Shareholders' Equity 24,796.1 22,922.9 8.2% Trade Receivables 24,212.5 15,32
Slide 20: NFP bridge
NFP FY2021 NFP bridge (1.2) NFP Subsidiary Companies 6.1 Operating Activities Investment Activities (1.2) Payment Dividends (1.3) Other Financial Debt (13.9) NEP FY2022 20
Slide 21: Appendix
Appendix
Slide 22: Corporate Governance
Corporate Governance Board of Directors Luca Sburlati CEO Francesco Martorella Fulvio Botto President Board Member Claudio Emilio Paolucci Delunas Independent Stefano Director Innocenzo Director Tamborrini Casini Director Director Shareholder Structure 22
Slide 23: HR - Highly Experienced and Committed Management Team
HR - Highly Experienced and Committed Management Team Board of Directors F. Botto and F. Martorella, founders and owners, are recognized and Comms & Technical Group Sustain- Prod. Supply valued professionals among fashion Investor & Industrial ICT CFO ability Mgr developm. chain industry, having coo
Slide 24: The fashion sector and Pattern business model
The fashion sector and Pattern business model
Slide 25: How the fashion sector used to work
How the fashion sector used to work Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec First sketch First sketch First sketch First sketch W – FW FS from clients from clients from clients from clients M – FW Men‘s Women’s Men‘s Women’s FS Fall - Winter Fall - Winter Spring - Summer Spring Summer Fashio
Slide 26: How the fashion sector works now
How the fashion sector works now Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec First sketch First sketch First sketch First sketch W – FW from clients from clients from clients from clients FS Men‘s Women’s Men‘s Women’s M – FW FS Fashion Fall - Winter Fall - Winter Spring - Summer Spring Summer F
Slide 27: Pattern’s business model
Pattern’s business model Engineering and Prototypes and Manufacturing & samples production chain Quality control Modelling Insourcing level Full insourcing Full outsourcing Internal production Control over the entire (Dyloan Bond Factory and High degree of Multiple levels of process D’Ambrosio Confe
Slide 28: Full integration with Italy’s best suppliers and façonists
Full integration with Italy’s best suppliers and façonists Façonist / Contract Suppliers Pattern / Project Engineering Manufacturer Selection of suppliers High fragmentation of Pre-production minor suppliers samples are prepared internally to allow clients to Full control over the pre-verify value c
Slide 29: Our values
ee Sur values
Slide 30: Pattern Group Strategic Plan 2021-24
Pattern Group Strategic Plan 2021-24 3 Key values Human Resources Technology and R&D Sustainability • TRASPARECY and REPUTATION • IMPROVEMENT of the Internal Control System • RELIABILITY 30
Slide 31: Innovation
Innovation
Slide 32: 3Dimention Virtual Prototyping
3Dimention Virtual Prototyping Today 3D prototyping represents one of the most important company’s strategic investments with a dedicated Digital Team. Pattern uses the most advanced fashion prototyping software program which allows to bring to life virtual models by replicating 2D CAD patterns into
Slide 33: Physical Fabric setting for different real fit
Physical Fabric setting for different real fit Chiffon + silk transparent organza Eco-leather Velvet 33
Slide 34: Zero waste printed fabrics
Zero waste printed fabrics Combining the long experience in placement of printed fabrics with the expertise on the 3D design system, Pattern is able to provide a Print Engineering Service through which graphics are designed specifically for each part of the pattern of each size (or size group). Ther
Slide 35: New Digital Warehouse 4.0
New Digital Warehouse 4.0 Completed in autumn 2020, the new warehouse is an innovative system state-of-the- art in the logistic field. A cutting-edge warehouse, 100% digitalized, where, thanks to RFID technology, every single garment is unequivocally identified and traced. 35
Slide 36: Sustainability
Sustainability 36
Slide 37: ESG Rating
ESG RATING CDP is recognized as the global standard of environmental reporting. The British NGO has a strong reputation and receives its mandate from a pool of institutional investors. The market demand for corporate environmental transparency is louder than ever: 515 investors with US$106 trillion
Slide 38: Geothermal plant and photovoltaic plants
2 PHOTOVOLTAIC PLANTS: GEOTHERMAL PLANT TURIN AND SPELLO In 2020 the 140-kW geothermal plant, designed to meet At the end of 2020, a photovoltaic system designed for self- the energy needs required for heating and cooling of a consumption became operational in Pattern Turin allowing the new warehous
Slide 39: From Red to Green Carpet
ECONOMIC & SOCIAL BEING CIRCULAR ECONOMY & FROM RED TO GREEN CARPET SUSTAINABILITY CARBON REVALUE WASTE NEUTRAL 5 year plan announced in 2018 by Pattern. 3 main goals to achieve: PATTERN PARTICIPANT OF THE UNITED NATIONS GLOBAL COMPACT Global Compact's Ten Principles on Human Rights, Labour, Environ
Slide 40: Group Strategy - Consolidation of the Italian Hub
Group Strategy - Consolidation of the Italian Hub of Luxury Fashion Engineering & Production Pattern Group is present in the main product categories (men's and womenswear, knitwear, stationary fabrics, leather goods, clothing and accessories) starting from the Research and Engineering phase all the
Slide 41: Development, Innovation and Production of semi-finished products, accessories and garments
Development, Innovation and Production of semi-finished products, accessories and finished garments Technological Innovation & Digital Fabrication & semi-finished pdt, accessories, Additive Manufacturing finished garments Production Dyloan Bond Factory (2022) Milan, Lombardy (2022) Chieti and Villam
Slide 42: Mens&Womenswear Engineering and Production Hub
Mens&Womenswear Engineering and Production Hub Luxury Menswear Luxury Womenswear Engineering Engineering Pattern HQ (2000) Roscini Atelier Turin, Piedmont (2017) Spello, Umbria • Casual and technical menswear, outerwear Luxury Womenswear • Dresses and tailoring, soft • New technologies applied to fa
Slide 43: Leather Goods Hub
Leather Goods Hub Pdt Development&Production Pdt Development&Production Leather Goods Leather Goods RGB Idee Partners (2022) (2021) Reggello, Tuscany Scandicci, Tuscany Pdt • Manufactory and • Focus on Product Development Development&Production Production Leather Goods • Flexibility • Excellence • C
Slide 44: Knitwear Hub
Knitwear Hub Wholegarment Seamless Women’s Knitwear Luxury Knitwear Knitwear Production Knitted Accessories Società Manifattura Tessile Zanni (2019) (2022) Nuova Nicol Correggio, Emilia Romagna Reggio Emilia, Emilia Romagna (2022) Calderara di Reno, Emilia Romagna • Both SHIMA SEIKI and STOLL produc
Slide 45: Group R&D: D-house
GROUP R&D D-house is the special project of Pattern Group dedicated to R&D. D-house is created to bring Innovation to the world of fashion, a urban lab in Milan, a place for meeting, training, innovation and sustainability, with a strong technological component and international scope. D-house advan
Slide 46: July 2022 – Purchased the 70% of Bond Factory (Dyloan)
July 2022 – Purchased the 70% of Bond Factory (Dyloan) The Abruzzo-based company was founded with the aim of specialising in Research and Innovation. In 2003 the current structure was outlined under the Dyloan brand, with two complementary but distinct realities: Dyloan Bond Factory, in Abruzzo, as
Slide 47: May 2022 – Purchased the 70% of RGB
May 2022 – Purchased the 70% of RGB, through its subsidiary Idee Partners RGB S.p.A., a Tuscan company with around 100 employees specialising in the manufacturing and crafting of leather accessories. The company operates in a modern production plant of 2,500 square metres equipped with solar panels
Slide 48: February 2022 – Purchased the 100% of Zanni
February 2022 – Purchased the 100% of Zanni, through its subsidiary S.M.T. Zanni is an over 60 years historic knitwear weaving company. At the forefront of the use of WHOLEGARMENT technology of the Japanese SHIMA SEIKI, Zanni represents excellence in the engineering and production of Made in Italy s
Slide 49: Disclaimer
Disclaimer This document has been prepared by Pattern S.p.A. (the ‘Company’) solely for the purposes of this presentation. This document may not be reproduced or distributed in whole or in part by any other person with any way than the Company. The Company takes no responsibility for the use of this
Slide 50: Contacts
Follow us: Sede Legale e Amministrativa Via Italia, 6/A 10093 Collegno (TORINO) Italy Investor Relations Sara De Benedetti sara.debenedetti@pattern.it Contacts Euronext Growth Advisor CFO SIM ecm@cfosim.com 50