Dominion Hosting S p A : Consolidated Condensed Interim Report as at 30 June 2024

Consolidated Condensed Interim

Report

as at 30 June 2024

Prepared in accordance with IAS/IFRS principles. All amounts in Euro.

CORPORATE BODIES

BOARD OF DIRECTORS

Executive Chairman: Giandomenico Sica

Executive Director: Matija Jekovec

Executive Director: Antonio Domenico Baldassarra

Executive Director: Tamara Arduini

Independent Director: Andrea Arrigo Panato

BOARD OF AUDITORS

Chairman: Umberto Lombardi

Statutory Auditors: Pierluigi Pipolo, Stefano Pizzutelli

INDEPENDENT AUDITING FIRM

Auditing firm: BDO Italia S.p.A.

DHH S.P.A. (ITALY)

The holding company acting as a governing entity providing business and administrative support to portfolio companies. DHH S.p.A. is listed on Euronext Growth Milan (EGM) since 2016.

Stock Price Performance period 1st January 2024- 30 th June 2024

Source: Il Sole24ore Borsa

TOPHOST S.R.L. (ITALY)

100% controlled by DHH S.p.A.

Established in 2004 with a goal of becoming a major Italian player in the "mass" web hosting industry. In a short period of time, the company gained a notable position in the market providing entry-level web hosting services.

Tophost joined DHH in 2015 and today offers comprehensive and innovative solutions at competitive prices to more than 49.000 customers across Italy.

In January 2023 Tophost finalized the acquisition of the business line "Misterdomain", well established player of the Italian hosting market, vaunting over 31.000 domains under management.

WEBTASY D.O.O. (SLOVENIA)

100% controlled by DHH S.p.A.

Acquired in October 2015, Webtasy d.o.o (until December 28th, 2021 named DHH.si d.o.o) operates under three brands - Domovanje, Domenca (acquired in 2012) and Si-Shell (acquired in December 2019).

It has been the leading player on the local market in the last 20+ years, serving 30.000+ customers and holding cac. 30% market share with over 72.000 registered domains. Webtasy brands offer domain registration, web hosting and cloud services. Their focus is developing high-performance managed solutions for the SMB market.

In March 2023 Webtasy completed the acquisition of Hosterdam, a business unit of Stork R d.o.o., a Slovenian shared hosting and domain registration provider. Hosterdam has ca. 450 active shared hosting packages and ca. 1.360 registered domains.

PLUS HOSTING GRUPA D.O.O. (CROATIA)

100% controlled by DHH S.p.A.

Plus Hosting Grupa d.o.o. (until 13 April 2022 DHH d.o.o.) Established in 2001 as IT Plus d.o.o. and later renamed to Plus hosting d.o.o., the company joined DHH in 2015. Following the (1) repositioning of the company on the market,

1. completing acquisitions of local competitors, and (3) spinning off one of the business activities into a separate company, the Croatian entity is today the largest local player recognized for its technical expertise and high-quality customer service. The three proprietary brands (Plus hosting, Studio4web, Infonet) provide a broad array of services, from low-cost hosting solutions to managed hosting services addressed to high-end customers. Optima Hosting is a provider with over 10 years of experience in web hosting and serving 5.600 clients in Croatia and BiH, as the only Croatian company has been successfully operating on the Bosnian market for over 8 years.

DHH SWITZERLAND S.A. (SWITZERLAND)

100% controlled by DHH S.p.A.

Owner of the brand Artera, part of DHH since May 2017, the Swiss company provides high-end services, mainly addressed to customers requiring high reliability and technologically advanced web hosting services. Founded in 2002, Artera boasts twenty years of experience in the sector, growing together with its team and integrating a specialized staff that has allowed the company to obtain the main international certifications and be a partner of countless companies on the web. The team is guided by the same vision: to offer a service of the highest quality in the name of cutting-edge technology .

SYSTEM BEE D.O.O. (CROATIA)

100% controlled by DHH S.p.A.

Croatian company established back in 2018 as a spin-off of DHH d.o.o. engaged in the business of web hosting and IT solutions. System Bee, owner of the brand Sysbee is made up of a group of system engineers and infrastructure architects dedicated to bringing DevOps culture to SMEs in Croatia. It currently counts ca. 80 active clients.

In May 2024 DHH S.p.A. performed the acquisition of the minority stakes in System Bee.

MCLOUD D.O.O. (SERBIA)

100% controlled by DHH S.p.A.

Serbian cloud computing provider founded in March 2018, and part of DHH since October 2018. The company is focused on delivering advanced hosting services and it manages two brands, Plus Hosting and mCloud, each targeting different customers.

SEEWEB S.R.L. (ITALY)

100% controlled by DHH S.p.A.

Italian based cloud computing company providing SaaS, IaaS, and PaaS services, as well as a wide range of additional IT services such as shared hosting, dedicated servers, housing, and colocation, relying on six physical datacenters and a proprietary fiber optic network. The company is part of DHH Group since November 2020 following the reverse takeover. In April '21 Seeweb acquired MondoServer to strengthen its presence in the South Italy.

EVOLINK AD (BULGARIA)

60% controlled by DHH S.p.A.

Established in 2004 and based in Sofia (Bulgaria), with its team of ca. 40 employees is one of the largest "Infrastructure- as-a-Service" (IaaS) providers in Bulgaria active in Cloud Computing, Cybersecurity, and Data transport services provisioning, managing two data centers, both located in Sofia. The customer portfolio includes large companies and telecom operators.

CONNESI S.P.A. (ITALY)

100% controlled by DHH S.p.A.

Connesi is an independent provider in the field of Internet Access (via optical fiber - both owned and leased - and fixed wireless network), VOIP, and Cloud Computing, active mainly in Umbria and also present in other Italian regions (e.g. Tuscany and Marche). Connesi is focused on the premium B2B market, with ca. 35 employees and 3.000 customers amogn which top tier corporates and public administrations.

The results of Connesi is fully consolidated in DHH's financial statements starting from 1st July 2022.

In 2023 Aticon S.r.l. ,a fully controlled company, were merged in Connesi S.p.A..

WARIAN S.R.L. (ITALY)

45% owned by Seeweb S.r.l.

Owned by Seeweb for 45%, Warian is a B2B Internet Service Provider (ISP) that offers via its own marketplace platforms, reliable, high-performance data connectivity and cloud computing products. Established in 2010, it boasts a network with more than 50 wholesale partners. The company reported total revenues of ca. 1,8M EUR in 2023.

Warian is consolidated in DHH's financial statements with equity method.

Board of Directors

Report

INTRODUCTION

DHH S.p.A. is dedicated to reshaping internet infrastructure through the integration of next-generation technology and artificial intelligence.

Based in Europe, the company leverages open-source technologies to enhance digital connectivity across various industries and regions. With a commitment to continuous research and open innovation, DHH aligns technological progress with stringent data privacy standards.

This approach promotes technological excellence while safeguarding individual privacy, aiming to position the company as a relevant player in the evolution of global internet infrastructure.

HIGHLIGHTS

• Nine independent and autonomous businesses under management and one not consolidated, with a geographic presence in the Mediterranean Area (Italy, Italian Switzerland, Slovenia, Croatia, Serbia, Bulgaria);
• Wide and top-quality offer portfolio to meet most demanding customers, with almost all solutions which are based on subscriptions with a minimum duration and automatic renewal;
• Extensive physical and network infrastructures, with both the internet backbone and datacenters connected to each other and to other Italian and foreign PoPs through optical fiber rings, allowing the Group to take significant advantages, among all to apply competitive prices;
• Highly scalable and profitable business model, featured by a high incidence of recurring revenue and client retention, at roughly 94%, with many clients remaining with DHH for years, notwithstanding the original contract duration;
• In-housedevelopment of cutting-edge technologies, together with an open innovation approach in finalizing corporate venture capital deals, investing as "angel" in most promising start-ups, like Docebo, the well-knowne-learning platform now worth ca. US$1,5bn, in which the Group (Seeweb) invested 150K EUR back in 2006, with a profitable exit in 2015;
• In-depthand proven capabilities of turning around and up-scaling acquired assets (eighteen acquisitions since foundation, nearly equal number of acquisitions after the IPO that took place back in July 2016);
• Buoyant financials figures, typical of a cloud computing company and characterized by i) fast growing profile (Total Revenue at ca. 18,4M EUR, + ca. 8% YoY vs. H1 2023), ii) capital structure not too heavy, (ca. 3,6M EUR of Net Debt), iii) best-in class profitability (EBITDA Margin steadily over the 30% level) and iv) sound cash flow generation (very high OpFCF/EBITDA ratio);
• Clear and visible growth ahead, expected to keep pushing on business acceleration and innovation, with the aim of increasing ARPU, widening product portfolio and trying to further exploit M&A opportunities.