Slide 1: FY 2021 Results Presentation
© esprinet’ enabling your tech experience FY 2021 Results Presentation March 8, 2022
Slide 2: Forward-looking statements
This presentation may contain forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described herein. Forward-looking statements may include, in particular, statements about future events, futu
Slide 3: FY 2021 Performance
esprinet’ enabling your tech experience FY 20e1 Performance
Slide 4: FY 2021 Results at a glance
FY 2021 Results at a glance © esprinet’ enabling your tech experience SALES BY QUARTER : SALES BY GEOGRAPHIES GROSS PROFIT EBITDA ADJ. NET INCOME *20% 232.9ME 496% 125% 86.1ME 184% *39% AA IME 0.94% yoy on sales yoy on sales yoy on sales CASH CONVERSION CYCLE ROCE NET FINANCIAL POSITION 13 days 20.5
Slide 5: Income statement FY 2021 and Q4 2021
(M/€) 31/12/2021 31/12/2020 Var. % (M/€) Q4 2021 Q4 2020 Var. % Sales from contracts with customers 4,690.9 4,491.6 4% Sales from contracts with customers 1,480.1 1,532.5 -3% Gross Profit 232.9 194.5 20% Gross Profit 67.1 65.8 2% Gross Profit % 4.96% 4.33% Gross Profit % 4.53% 4.29% EBITDA adj. 86.1
Slide 6: Sales by geography and customer segment
Esprinet Market(*) Esprinet Market(*) Esprinet Market(*) Retailers & 2,855 M€ Italy 5% 5% 2,404 M€ IT Clients -1% 3% 2,190 M€ -1% 6% E-tailers Consumer 1,687 M€ Spain 1% 5% 1,560 M€ Electronics 2% 8% 2,648 M€ IT Resellers 12% 5% 108 M€ Portugal 59% 10% Advanced 46% 6% 874 M€ Solutions 42 M€ Other (+
Slide 7: IFRS15 and other adjustments
IFRS15 and other adjustment (147) M€ in 2021, (75) M€ in 2020 7
Slide 8: Net invested capital and financial position
(M/€) 31/12/2021 31/12/2020 30/09/2021 Fixed Assets 137.7 137.0 140.6 Operating Net Working Capital Other current asset (liabilities) (75.8) 12.1 (121.0) (9.9) 344.3 3.0 • Net Invested Capital as of December 31, 2021 stands at 158.9 M€ and is covered by: Other non-current asset (liabilities) (22.6)
Slide 9: Working capital metrics, 4-quarter average
80 40 70 34 35 32 32 31 30 29 60 28 28 27 28 30 27 27 26 27 26 26 50 23 25 20 40 20 69 70 68 70 68 66 66 62 62 12 30 57 56 57 58 58 59 13 13 15 52 53 52 52 52 53 51 55 54 55 52 50 50 51 49 48 46 46 48 48 47 47 44 44 43 45 45 44 20 43 42 3937 9 4039 42 39 10 35 36 37 38 38 36 35 35 35 35 37 38 37 38
Slide 10: Working Capital Metrics quarter-end
Working Capital Metrics quarter-end 90 50 43 44 80 42 40 39 40 39 40 37 70 36 33 33 32 32 31 30 29 29 60 25 20 50 14 15 16 85 40 77 76 10 68 70 6 6 65 66 30 60 60 61 59 60 61 54 56 55 57 54 55 57 54 52 56 58 55 2 0 51 52 48 52 52 52 51 52 50 51 51 0 49 48 50 47 48 49 -2 43 48 45 45 44 45 20 40 41 40
Slide 11: ROCE
30,0% 25,0% 25,1% 23,2% 20,5% 20,0% 19,7% 17,6% 15,7% 15,8% 15,0% 16,2% 14,0% 14,4% 11,4% 10,9% 13,1% 11,3% 10,9% 10,0% 10,0% 9,8% 9,4% 8,1% 8,4% 8,7% 8,5% 8,2% 8,3% 8,6% 8,6% 7,7% 7,2% 7,6% 8,0% 6,7% 7,0% 7,1% 7,9% 7,6% 7,1% 5,0% 0,0% 2016 Q1 2016 Q2 2016 Q3 2016 Q4 2017 Q1 2017 Q2 2017 Q3 2017 Q4
Slide 12: Focus on ESG
2 Focus on ESG @ esprinet’ enabling your tech experience | | | | BILLION LEADER IN New ESG TARGET soeevinw | 4 . 7 euro Sales | SOUTHERN EUROPE | ESG CENTRIC STRATEGY in the Remuneration Policy | (+4,4% vs 2020) | (Italy, Spain and Portugal) | | | | ENVIRONMENTAL | CLIMATE | PACKAGING LEEDPLATINUMCE
Slide 13: Outlook 2022
esprinet’ enabling your tech experience OUTLOOK 2022
Slide 14: Product availability and inflation outlook
Inflation is embedded into end-user list prices and is normally transferred H1-2021 experienced high product availability whilst H2 experienced downstream to our customers, so typically has no impact on our P&L. strong tensions. We are experiencing rising energy prices, but the overall energy Accord
Slide 15: Market in early 2022 and Advanced Solutions
The distribution market in January and February fails to maintain the growth levels of 2021 even if Spain is performing better The organization in Italy is fully set-up and reseller recruitment is ongoing than Italy and February was better than January. with very promising acceptance rates. A good p
Slide 16: First two months confirm effectiveness of the business model
The Group is committed to the implementation of the industrial plan 2022-2024 which stands The first two months of the year confirm the effectiveness of the confirmed business model adopted despite the presence of a more challenging market as expected and the Group therefore expects to be able to ob
Slide 17: Upcoming events calendar
Pan-European Small/Mid Cap Conference March 15, 2022 organized by JP Morgan STAR Conference 2022 March 22, 2021 organized by Borsa Italiana S.p.A. Ordinary Shareholders’ Meeting April 14, 2021 Approval of the Financial Statements 2021 and presentation of the Consolidated Financial Statements 2021 Bo
Slide 18: Q&A Session
esprinet’ enabling your tech experience Q&A SESSION
Slide 19: Thank you
Thank you GRAZIE + GRACIAS - OBRIGADO« DANKE « MERCI « ZA} « iff! « RR © esprinet’ enabling your tech experience
Slide 20: @
@ esprinet’ enabling your tech experience
Slide 21: Strategy & Long Term Targets
@ esprinet’ enabling your tech experience STRATEGY & LONG TERM TARGETS
Slide 22: Structural change of the business model
AFTER 20 YEARS FROM THE BIRTH OF ESPRINET, THE GROUP LAUNCHES A STRUCTURAL CHANGE OF THE BUSINESS MODEL WITH THE AIM IN THE NEXT DECADE OF ADDING TO THE DISTRIBUTION BUSINESS A NEW «FULL SERVICE PROVIDER» MODEL WITH SIGNIFICANTLY HIGHER ADDED VALUE THAN THE TRADITIONAL ONE 22
Slide 23: A business model revolution into higher margin space
• A business model revolution moving into a much higher margin space paving the way, giving the intrinsic structure of the rental program, to CAGR 15% future massive profitability improvements • Target 2024: increase by roughly 50% our Adj. EBITDA to more than 125 M€ (CAGR 15%) • Capital employed op
Slide 24: Capital employed optimization and profitability focus
BEING CAPITAL EMPLOYED OPTIMIZATION A PREREQUISITE, THE FOCUS IS ON PROFITABILITY IMPROVEMENT • Customer satisfaction: more differentiation and margins • Leveraging a global cross-industry macro trend • Product mix: focus on Advanced Solutions and own brands • Getting a bigger portion of the value i
Slide 25: The Company & the Industry
@ esprinet’ enabling your tech experience THE COMPANY & THE INDUSTRY
Slide 26: 20+ years in business, 3 geographies: Italy, Spain & Portugal
Esprinet Group is an enabler of the tech ecosystem with a profound calling to social and environmental sustainability. To promote tech democracy and guide people and firms towards digitalisation, Esprinet offers European clients its expertise in advisory and cybersecurity, as well as a selection of
Slide 27: Company history
@ esprinet’ enabling your tech experience fo) Incorporation of Celo 3 InJulylisted on the | 70s and Micromax, Italian H indore 2000 "Cerone ~—=| «Ss BOOS ee ee ee ee ee fe ee) ___ ep Established under the {Merger of elo, | Esprinetto reach name Comprel, 1980 { Micromaxand Comprel, 2001 | the #Z posi
Slide 28: Total market and distributor weight by country
Total Market (A+B)(*) 10.4 6.0 17.2 33.6 12.5 46.1 A) Direct Channel & 1st Tier 1.6 2.3 11.9 15.9 11.5 27.4 B) 2nd Tier Distris (a+b+c) 8.8 3.6 5.3 17.7 1.0 18.6 2021 Weight Of Distris 84% 61% 31% 53% 8% 40% On Market(°) 20120Weight Of Distris On Market 98% 65% 31% 56% 8% 43% a) Professional Reselle
Slide 29: ICT distributor share of product sales
20,0 60% 56% 18,0 53% 52% 50% 16,0 48% 50% 45% 14,0 40% 12,0 10,0 30% 8,0 20% 6,0 4,0 10% 2,0 0,0 0% 2017A 2018A 2019A 2020A 2021A 2022E Direct sales of ICT products (ex-white goods) ICT distributor sales Share in ICT products (ex-white goods) IDC figures for IT Clients - Advanced Solutions & Smartp
Slide 30: Distribution share growth and role of distributors
ICT Distribution share on total ICT addressable sales grew from 40.0% (2016) to 56.0% (2020) and is forecasted to grow furthermore (60.1% expected in 2021). • Reduction of distribution fixed cost • Buffering stock • Credit lines & Credit collection capabilities • Marketing capability • Need of an ag
Slide 31: Vendor and customer price adjustments, credit insurance
Provided by the vast majority of Vendors in which they Large and medium sized distributors routinely apply contracts assume the risk of inventory devaluation arising from with top-rated Credit Insurance Companies shielding the risk Vendors routinely operate with commercial programs that purchase lis
Slide 32: @
@ esprinet’ enabling your tech experience
Slide 33: Our Vision, Mission & Values
Our Vision, Mission & Values © esprinet’ enabling your tech experience OUR VISION OUR MISSION OUR VALUES a a BE THE KEY POINT OF hue MAKE URE ESSE CONTACT BETWEEN Ts ro) FOR PEOPLE AND FOR ORGANISATIONS MANUFACTURES, RESELLERS igi AND TECHNOLOGY USERS H Co) BRAVERY We want to create value for these
Slide 34: Board member biographies
Maurizio Rota, was born in Alessandro Cattani, was Milan on 22 December 1957. born in Milan on 15 After early professional August 1963. After experience as Sales Supervisor completing his degree in for companies operating in the electronic engineering at Information Technology field, he Politecnico
Slide 35: Board composition by gender
4 Men 5 Women (* ) Giovanni Testa, Chief Operating Officer of Esprinet, is the fourth member of the committee 35
Slide 36: Code of Ethics and Organisation Model
The Code of Ethics applies to all The Esprinet Group wishes to This document, entitled “Organisation and Management Model activities carried out by or in the establish trade relations with its pursuant to “Legislative Decree 231/2001” (hereinafter called “the name and on the behalf of Esprinet vendo
Slide 37: STAR segment listing requirements
• High transparency, disclosure requirements and liquidity (free float of minimum 35%) Esprinet Spa listed in the STAR • Corporate Governance in line with international standards Segment* voluntarily adhere to and comply with strict requirements *The market segment of Borsa Italiana’s equity market
Slide 38: Italian Stock Exchange (PRT:IM) and analyst coverage
ANALYST COVERAGE Italian Stock Exchange (PRT:IM) Number of shares: 50.93 million YTD Average volume of 396,519 shares per day (*) (*) Period: January 1 – December 31, 2021 38
Slide 39: Thank you
Thank you GRAZIE + GRACIAS - OBRIGADO« DANKE « MERCI « ZA} « iff! « RR © esprinet’ enabling your tech experience