Slide 1: 2021 Results
Safilo ero 2021 Results March 15, 2022
Slide 2: Disclaimer
DISCLAIMER This presentation may contain forward looking statements based on current expectations and projects of the Group in relation to future events. Due to their specific nature, these statements are subject to 2021 Results inherent risks and uncertainties, as they depend on certain March 15, 2
Slide 3: CEO quote on 2021 results
“The extraordinary work done in 2021 by our Safilo people around the world was rewarded with very important results, which highlighted a strong rebound of the business compared to 2020 and, more meaningfully, a significant improvement compared to the pre-pandemic levels of 2019…” Angelo Trocchia, CE
Slide 4: 2021 Highlights
2021 HIGHLIGHTS A STRONG YOY REBOUND LEADING 2021 ECONOMIC RESULTS WELL ABOVE 2019 DECLINE OF GROUP NET DEBT AND FREE CASH FLOW OVERALL NEUTRAL NET SALES ADJ. EBITDA1,2 ADJ. NET RESULT1,2 GROUP NET DEBT 969.6 €m 84.9 €m 29.5 €m 94.0 €m 2021 vs 2019 +7.5% at cFX +29.7% n.s vs 222.1 €m in 2020 MARGIN
Slide 5: 2021 Highlights: organic sales growth drivers
2021 HIGHLIGHTS 2021 ORGANIC3 SALES UP 10.5% vs 2019 Q4 +9.9%3 vs 2019, CONFIRMING OUR GROWTH DRIVERS: ✓ Sixth, consecutive quarter of growth in North America ✓ Prescription frames and independent optician channel outperforming ✓ Sunglasses back to growth also versus 2019, although trends still unev
Slide 6: Further progress in our business transformation strategy
FURTHER PROGRESS IN OUR BUSINESS TRANSFORMATION STRATEGY Rebalancing Strengthening Reshaping revenue mix 3Os’ partnership business reach Focus on brand, product and channel portfolios Customer-centric and consumer-oriented digital strategy 3 new global multi-year licensing agreements Own brands 41%4
Slide 7: Further progress in our sustainability strategy
FURTHER PROGRESS IN OUR SUSTAINABILITY STRATEGY PEOPLE PRODUCT – MATERIALS Our commitment to people: improving and growing together We explore innovative solutions to make our glasses greener SPECIAL OLYMPICS SAVE THE CHILDREN In 2021, we renewed until 2024 our support TROGAMID® EASTMAN ACETATE RENE
Slide 8: 2021 Sales Performance
Safilo 2021 SALEs PERFORMANCE Ovm a }
Slide 9: Drivers of 2021 Sales Performance
DRIVERS OF 2021 SALES PERFORMANCE Strong organic3 growth fuelled by our core brands Effective brand portfolio overhaul strategy An extraordinary year for Smith, becoming the Group’s biggest brand New own and licensed brands, each with specific business targets Strong recovery for Carrera and new omn
Slide 10: Drivers of 2021 Sales Performance by Region
DRIVERS OF 2021 SALES PERFORMANCE BY REGION North America remained our stronghold, thanks to a broad-based growth in the United States Europe’s organic3 sales up mid-single digits driven by prescription frames (+20%). Q3/Q4 swings driven by phasing of deliveries Asia Pacific almost back to pre-pande
Slide 11: Drivers of 2021 Net Sales Performance by Product
DRIVERS OF 2021 NET SALES PERFORMANCE BY PRODUCT Prescription frames our key growth driver consistently throughout the year Sunglasses organic3 sales turning positive in H2. Missing FY recovery due to still challenging business environment Smith’s goggles and helmets business soaring Sunglasses Pres
Slide 12: 2021 Economic Performance
Safilo 2021 economic PERFOMANCE
Slide 13: 2021 Economic Highlights
2021 ECONOMIC HIGHLIGHTS IN THIS PRESENTATION, ECONOMIC RESULTS AND COMMENTS ARE PROVIDED: 1 ON AN ADJUSTED BASIS, EXCLUDING NON-RECURRING ITEMS In 2021, non-recurring items included costs for Euro 23.8 million (Euro 10.9 million at the gross profit level, and Euro 19.2 million at the EBITDA level),
Slide 14: 2021 Economic Performance: Gross Margin
2021 ECONOMIC PERFORMANCE Accretive online business and pricing adjustments to navigate inflationary pressures Good progress of the COGS savings plan envisaged in the Group Business Plan 2021 ADJ. GROSS1 MARGIN ABOVE 2019 Significant GM recovery in Q4 H1 2021 vs 2019 H2 2021 vs 2020 vs 2019 Q4 2021
Slide 15: 2021 Economic Performance: Adjusted EBITDA
2021 ECONOMIC PERFORMANCE Structural recovery of operating leverage and completion of overheads savings plan Increase of investments in marketing and new sales activities in H2 2021 ADJ. EBITDA1,2 MARGIN ABOVE 2019 Q4 back to a reasonable operating profitability H1 2021 vs 2019 H2 2021 vs 2020 vs 20
Slide 16: 2021 Economic Performance: Adjusted Net Result
2021 ECONOMIC PERFORMANCE Net financial charges stable yoy and above 2019 due to higher average gross debt Positive adjustment for reduced liability on non-controlling interest put&call options Effective tax rate at 42.5% 2021 ADJ. GROUP NET RESULT1,2 BACK TO A PROFIT AFTER MANY YEARS H1 2021 vs 201
Slide 17: 2021 Financial Performance
» Safilo 2021 FINANCIAL PERFOMANCE . yy”
Slide 18: 2021 Free Cash Flow
2021 FREE CASH FLOW Solid economics and effective WC management driving positive operating cash flow Cash out of ca. €19 million related to the ongoing industrial restructuring plan €20 million CapEx investments offset by ca. €10 million divestments 2021 FREE CASH FLOW OVERALL NEUTRAL 2021 2020 Cash
Slide 19: Group Net Debt as of December 31, 2021
GROUP NET DEBT AS OF DECEMBER 31, 2021 Repayment of the shareholder loan to reduce the burden of future financial interests SUCCESSFUL CAPITAL INCREASE MORE THAN HALVING FY 2021 GROUP NET DEBT Dec. 31, 2021 Dec. 31, 2020 GROSS DEBT 193.0 311.0 IFRS-16 effect 41.2 43.1 Shareholder Loan for the acquis
Slide 20: 2022 Business Developments
Safilo 2022 BUSINESS DEVELOPMENTS.
Slide 21: 2022 Outlook
2022 OUTLOOK In the first months of 2022, Safilo’s business, now enriched by the launch of the three new licensed brands signed in 2021, Dsquared2, Carolina Herrera and Chiara Ferragni Collection, grew in all the main geographies and product categories in which the Group operates, confirming a const
Slide 22: Q&A
Q&A 2021 Results March 15, 2022
Slide 23: Appendices
Appendices 2021 Results March 15, 2022
Slide 24: Notes to the Presentation
NOTES TO THE PRESENTATION 1 ON AN ADJUSTED BASIS, EXCLUDING NON-RECURRING ITEMS In 2021, non-recurring items included costs for Euro 23.8 million (Euro 10.9 million at the gross profit level, and Euro 19.2 million at the EBITDA level), mainly related to the closure of the Ormož production plant in S
Slide 25: Net Sales by Geographical Area
NET SALES BY GEOGRAPHICAL AREA % change % change % change % change 2021 vs 2020 2021 vs 2019 2021 vs 2020 2021 vs 2019 current constant current constant current constant current constant (Euro million) Q4 2021 % Q4 2020 % Q4 2019 % (Euro million) FY 2021 % FY 2020 % FY 2019 % forex forex forex forex
Slide 26: 2021 Quarterly Trading Updates
2021 QUARTERLY TRADING UPDATES Q3 2021 Q3 2020 Q3 2019 % Change % Change % Change % Change (Euro million) (Euro million) Q4 2021 Q4 2020 Q4 2019 2021 vs 2020 2021 vs 2019 2021 vs 2020 2021 vs 2019 Net sales 226.6 219.1 212.8 +3.5% +6.5% Net sales 232.2 225.6 230.4 +2.9% +0.8% Gross profit 118.7 112.
Slide 27: 2021 Income Statement
2021 INCOME STATEMENT % Change % Change % Change % Change (Euro million) 2021 % 2020 restated % 2019 restated % vs 2020 vs 2019 H2 2021 % H2 2020 restated % H2 2019 restated % vs 2020 vs 2019 Net sales 969.6 100.0 780.3 100.0 939.0 100.0 24.3% 3.3% 458.9 100.0 444.7 100.0 443.1 100.0 3.2% 3.6% Cost
Slide 28: Balance Sheet
BALANCE SHEET (Euro million) December 31, 2021 December 31, 2020 Restated Change Net working capital 214.9 188.5 26.4 Tangible, Right of Use, and Intangible fixed assets 294.2 312.5 (18.3) Goodwill 32.9 30.3 2.5 Non-current assets held for sale 2.3 6.6 (4.2) Other assets / (liabilities), net (84.2)
Slide 29: Net Working Capital
NET WORKING CAPITAL (Euro million) December 31, 2021 December 31, 2020 Change Trade receivables 173.5 172.6 0.9 Inventories 234.4 197.3 37.1 Trade payables (193.1) (181.4) (11.7) Net working capital 214.9 188.5 26.4 % on net sales 22.2% 24.2% 22
Slide 30: Cash Flow Statement
CASH FLOW STATEMENT (Euro million) 2021 2020 Restated Cash flow from operating activities before changes in working capital 38.1 (45.6) Changes in working capital (20.8) 42.5 Cash flow operating activities 17.3 (3.1) Cash flow investing activities (9.8) (17.4) Cash flow from repayment principal port
Slide 31: Exchange Rates
EXCHANGE RATES As of Average for December 31, December 31, (Appreciation)/ (Appreciation)/ Currency Code 2021 2020 2021 2020 Depreciation % Depreciation % US Dollar USD 1.1326 1.2271 -7.7% 1.1827 1.1422 3.5% Hong-Kong Dollar HKD 8.8333 9.5142 -7.2% 9.1932 8.8587 3.8% Swiss Franc CHF 1.0331 1.0802 -4
Slide 32: Brands Portfolio
By BRAN DS PORTFOLIO Safilo BOSS SMITH MOSCHINO B EYEWEAR by DAVID BECKHAM @D MISSONI PRIVE REVAUX Juicy Couture JIMMY CHOO ISABEL MARANT TOMMY SBHILFIGER DSQUARED2 CHIARA FERRAGNI kate spade NeW YORE TOMMY SIJEANS HUGO pierre cardin ans CAROLINA HERRERA MARC JACOBS havaianas’ uz claiborne LOVE MOSC