The board of directors of SVAS Biosana approves the draft for the year ended 31 december 2021

PRESS RELEASE

THE BOARD OF DIRECTORS OF SVAS BIOSANA APPROVES THE DRAFT YEARLY FINANCIAL

STATEMENTS AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31

DECEMBER 2021

THE SIGNIFICANT PERFORMANCE OF ALL ECONOMIC INDICATORS CONTINUES WITH A CONSIDERABLE INCREASE IN CONSOLIDATED NET PROFIT +26%, CONFIRMING THE

SOLIDITY OF THE BUSINESS MODEL WHICH STRENGTHENS THE COMPETITIVE POSITION OF SVAS BIOSANA ON THE MARKET

•  Consolidated Revenues: 81.1 million (+6.6% YoY)

•  Consolidated1 EBITDA: 10.6 million (+11.2% YoY); EBITDA Margin: 13.1%

•  Consolidated EBIT: EUR 5.8 million (+13.2% YoY); EBIT Margin 7.1%

•  Consolidated Net Income: 3.2 million, an increase of 25.7% on the 2020 financial year

•  Group Net Financial Position (NFP) cash negative for EUR 17.0 million (cash negative for EUR 36.9 million in 2020)

•  Board of Directors launches the Share Buyback Programme

Somma Vesuviana (NA) 14 April 2022 - Svas Biosana S.p.A., ("the Company" or "SVAS"), a leading operator in the healthcare sector, active in the production and distribution of medical devices for public and private healthcare facilities, listed on Euronext Growth Milan - a multilateral trading system organized and managed by Borsa Italiana S.p.A. dedicated to small and medium-sized enterprises with high growth potential - announces that the Board of Directors met today to examine and approve the consolidated financial statements and the draft financial statements as at 31 December 2021 to be submitted to the Ordinary Shareholders' Meeting to be held on 16 May 2022 on first call and, if necessary, on 17 May on second call.

Umberto Perillo, CEO of Svas Biosana, has commented thus: "The 2021 financial year was a very important year for our company characterised by development and growth involving all aspects of the company, culminating finally in the listing of SVAS on the stock exchange. Despite the complex period, strongly influenced by the persistence of the Covid-19 pandemic, but even more so by the increase in raw material

1 EBITDA (Earning Before Interest Taxes Depreciations and Amortisations ) is the result before financial income and expenses, income taxes, provisions, depreciation and amortisation of fixed assets and impairment of receivables. EBITDA is the indicator used by the Group to monitor and evaluate the operating performance of the business. EBITDA is not identified as an accounting measure under THE Italian Accounting Principles, and therefore should not be considered as an alternative measure for assessing the Group's operating performance. As the composition of EBITDA is not regulated by the relevant accounting standards, the determination criteria applied by the Group may not be homogeneous with those adopted by other entities, and therefore may not be comparable with them.

costs, the Group consolidated and expanded its market position, confirming its position as one of the largest operators in Italy and the leading operator in the Balkans in this sector. In2022, we expect further significant development of both commercial and industrial activities, thanks also to the financial support resulting from the listing on Euronext Growth Milan".

The year 2021 was a positive one for the Group, which achieved Consolidated Revenues of € 81.1 million (up 6.6% on 2020) and a Consolidated EBITDA of € 10.6 million (up 11.2% on 2020).

At a general level, the 2021 financial year was a year of return to normality for healthcare activities; the hospital companies began planning their activities again, with the aim of making up for the delays accumulated in the 2020 financial year due to the impact of the pandemic, especially in the surgery and diagnostics sectors, resulting in a recovery in demand for those medical devices that had been penalised by the reduction in the number of operating theatre surgeries and the closure of a large number of wards. Group companies operating abroad also benefited from the recovery of hospital wards - many of which had been radically converted to COVID-19 wards - recording an increase in turnover of around 20% compared to the same period last year.

The return of activities to normal allowed the Group to reprogramme long-term strategies dictated by company policy rather than pandemic emergencies.

ANALYSIS OF KEY ECONOMIC AND FINANCIAL DATA

Reclassified Consolidated Income Statement 31/12/2021 % 31/12/2020 % Delta

%Net revenues External costs Added value

Payroll Sundry income

81,085,102 60,383,563 20,701,539 11,022,402 967,679

EBITDA (Gross Operating Margin)

10,646,817

100.0% 74.5% 25.5% 13.6% 1.2% 13.1%

76,044,082 56,310,557 19,733,525 11,385,914 1,229,473

100.0% 74.0%

• 5,041,020 6.63%

• 4,073,006 7.23%

26.0% 968,014 4.91%

9,577,084

15.0% 1.6% 12.6%

• -363,512 -3.19%

• -261,794 -21.29% 1,069,733 11.17%

  Amortisation, depreciation and other allocations

  4,875,669

  6.0%

  Operating result

  Financial Income and Charges

  Ordinary result

  5,771,147 -1,752,985 4,018,162

  7.1%

  4,481,194 5,095,890

  5.9%

  • 394,475 8.80%

    • -2.2% -1,880,109

      Revaluations and write-downs

    • 5.0% 3,215,781 -5,000

      6.7% -2.5% 4.2% 0.0%

  • 675,257 13.25%

  • 127,124 -6.76%

  • 802,381 24.95% 5,000 -100.00%

Profit before tax

Income Taxes

Net result

4,018,162 856,979 3,161,183

• 5.0% 3,210,781

  • 4.2% 807,381 25.15%

• 1.1% 696,439

  • 0.9% 160,540 23.05%

• 3.9% 2,514,342

• 3.3% 646,841 25.73%

Group data summary

Revenues from operations at 31 December 2021 amounted to € 81.1 million, an increase of +6.6% YoY compared to € 76.0 at 31 December 2020.

The largest increase in revenues was achieved by the Mark Medical BU (marketing of specialised medical devices), which contributed € 27.3 million (+18.4% compared with the same period in 2020). The increase was due in part to the recovery of surgical activities, which had slowed down in 2020, and the acquisition of new customers.

The SVAS Business Unit (marketing of medical devices, specialities and commodities) reported revenues of € 18.5 million with an increase of 5.9% YoY.

The Farmex Business Unit (production and marketing of incontinence aids and cotton products) reported growth of 5.4% on the 2020 financial year with revenues of € 27.6 million.

Finally, the Medical Business Unit (production and marketing of medical devices, custom packs and advanced dressings) contributed € 8.6 million, down 15.5% compared with the same period in 2020. The decrease stems from the normalisation of sales of personal protective equipment against Covid-19, which had increased sharply during 2020 and influenced the result.

Geographically, 66% of revenues (+1.5% compared to 2020) were generated in Italy and 34% abroad (+18% compared to 2020), confirming the Group's good international standing.

Value of Production amounted to € 81.5 million compared to € 77.7 million for the year ended 31 December 2020 (+4.9% YoY), in line with the forecasts made on 14 February.

EBITDA (Gross Operating Margin) amounted to € 10.6 million, an increase of 11.2% compared to € 9.6 million at 31 December 2020, with an EBITDA margin of 13.1% on revenues.

The improvement in margins derives not only from the increase in sales, but also from a new production plant, which became fully operational in the 2020 financial year, and which has produced significant benefits in terms of optimisation of industrial processes, product quality and higher margins. Increased production efficiency counteracted the increase in the prices of the main raw materials purchased by the Group. In addition, the Group tends to focus on a segment with a higher level of professionalism that allows for higher margins.

EBIT (Operating Profit) amounted to € 5.8 million, up 13.2% (compared to € 5.1 million at 31 December 2020)

with an EBIT margin of 7.1% on revenues, while Net Profit was positive at € 3.2 million (up 25.7% compared to € 2.5 million in 2020).

The cash negative NFP of € 17.0 million improved compared to the cash negative NFP of € 36.9 million at 31 December 2020. The improvement is mainly due to the proceeds from the listing on Euronext Growth Milan in December 2021.

Shareholders' equity amounted to Euro 51 million, an increase of Euro 23.3 million compared to Euro 27.7 million at 31 December 2020. Here too, the increase compared to the previous year is mainly due to financial inflows on Euronext Growth Milan.

Ultimate Parent Company Financial Statements

Sales revenue from ordinary operations amounted to € 51.4 million, down 0.7% compared to € 51.8 million in the same period of 2020. It should be noted that in the 2020 financial year, the ultimate parent company's turnover was positively influenced by the sale of anti-Covid protection devices. During 2021, there was a reduction in the supply of these devices and a rebalancing of sales in favour of other products. The Ultimate Parent Company's 2021 turnover is very positive when compared to the Euro 46.7 million in the 2019 financial year, which was not affected by the pandemic.

Value of Production amounted to Euro 51.7 million, down 2.8% compared to Euro 53.2 million for the year ended 31 December 2020.

EBITDA (Gross Operating Margin) amounted to Euro 6.0 million, an increase of +4.6% compared to Euro 5.8 million at 31 December 2020, with an EBITDA margin of 11.7% on revenues.

EBIT (operating profit) amounted to Euro 2.8 million, an increase of 4.0% compared to Euro 2.9 million at 31 December 2020) with an EBIT margin of 5.4% on revenue.

Net profit was positive for Euro 1.1 million (down 9.9% from Euro 1.2 million in 2020). The reduction in Net Profit was due to the sharp increase in the cost of raw materials and energy in the second half of the year, partly mitigated by the greater efficiency of the structure in general and of the production facilities.

The Net Financial Position is cash negative and amounted to Euro 10.5 million compared to the cash negative NFP of Euro 27.2 million at 31 December 2020. The improvement is mainly due to the proceeds from the listing on Euronext Growth Milan in December 2021.

Shareholders' equity amounted to Euro 44.1 million, an increase of Euro 21.2 million compared to Euro 22.9 million at 31 December 2020.

PROPOSAL FOR THE ALLOCATION OF THE PROFIT FOR THE YEAR AND PART OF THE AVAILABLE RESERVES

The Board of Directors resolved to propose to the Shareholders' Meeting that the profit for the year of Euro 1,069,306 be allocated as follows

• • Euro 53,465 to the legal reserve

• • Euro 1,015,841 to the extraordinary reserve

SIGNIFICANT EVENTS DURING THE 2021 FINANCIAL YEAR

On 9 December 2021, trading of the Company's ordinary shares commenced on Euronext Growth Milan, a multilateral trading system organised and managed by Borsa Italiana S.p.A., after having successfully completed, and ahead of the initial deadline, the placement of its ordinary shares and warrants with total proceeds of Euro 23 million (including the over-allotment option of approximately Euro 3 million) against a demand three times higher than the offer.

SIGNIFICANT EVENTS AFTER THE END OF THE PERIOD

On 7 January 2021, Banca Profilo S.p.A. and Illimity Bank S.p.A., as Joint Global Coordinator, fully exercised the Greenshoe option granted by Agrinvest S.r.l. for the purchase of 240,000 Shares, amounting to 15% of the number of Shares object of the Private Placement.

MANAGEMENT OUTLOOK

At the macroeconomic level, the outlook for economic activity and inflation has become highly uncertain and depends crucially on the evolution of the Russian-Ukrainian conflict, the impact of the sanctions currently in place and of possible further measures. It is hoped that the current disruptions in the supply of energy and raw materials and the negative effects on confidence related to the conflict will be temporary, and that there will be no significant impact on global supply chains. It should be noted that the Group does not carry out specific activities in the areas directly affected by the current conflict between Russia and Ukraine.

The health emergency resulting from the spread of the "Covid-19" virus will continue to have economic effects in 2022, albeit mitigated, and the current characteristics of the variants in circulation and the massive vaccination campaign have greatly diminished the effects on economic activities and people's health. All economic activities have resumed their normal pace and expectations are very positive in general.

At present, the scenario is in constant and rapid evolution, but it is not possible to predict the consequences that both phenomena may have on the general scenario.

For 2022, the Group expects a significant development of its activities, both commercial and industrial, also thanks to the significant financial inflow deriving from the listing on Euronext Growth Milan. The Group is confident and firmly committed to its plans for 2022, both in terms of turnover and in terms of investments aimed at growth.

START OF THE SHARE BUY-BACK PROGRAMME

Today, the Board of Directors launched the share buyback programme in execution and according to the terms and conditions set out in the resolution of the Ordinary Shareholders' Meeting of 19 November 2021.

The purpose of the programme is to: implement share incentive plans, provide the Company with a stock of treasury shares that can be used in the context of any future extraordinary operations, support the liquidity of the stock, and operate on the market with a view to medium- and long-term investment.

The authorisation to purchase is granted for 18 months, starting on 19 November 2021, the date of the resolution of the Shareholders' Meeting.

The purchases may concern, also in more than one instalment, a maximum number of shares (meaning the maximum number of treasury shares from time to time held in the portfolio by the Company and its subsidiaries) not exceeding 20% of the Company's share capital, pursuant to Article 25-bis of the Euronext

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