Tinexta S p A : 9M 2022 Results

9M 2022 Results

Ended September 30, 2022

10 November 2022

Agenda

1

9M'22 Highlights and Updates

Josef Mastragostino, Chief IRO

2 9M'22 Financial Results

Oddone Pozzi, CFO

3 Business Units Deep Dive

Oddone Pozzi, CFO

4

Closing remarks

Josef Mastragostino, Chief IRO

5 Q&A

2

1 9M'22 working on delivery

Data, and PY comparisons, are provided excluding CIM activities. Forvalue is included in IMS

• 9M'22 results showed continuing double-digit growth:
• • Revenues at € 246.7M in 9M'22 (+ 19.1% vs PY);
  • EBITDA Adjusted at € 54.8M in 9M'22 (+ 16.6% vs PY) mainly driven by DT and IMS, EBITDA1 at € 48.9M in 9M'22 (+ 11.6% vs PY);
  • EBITDA Adjusted margin 22.2% (22.7% vs PY); EBITDA1 margin 19.8% (21.2% vs PY);
  • EBIT at € 28.7M (+ 14.9% vs PY); EBIT Margin: 11.6%;
  • Net Profit of continuing operations at € 18.5M (+ 21.1% vs PY); Net Profit at € 64.0M (+ 167.8% vs PY) mainly driven by the net capital gain deriving from the sale of Innolva;
  • NFP of € 139.1M (€ 263.3M in FY'21), which includes all recent M&A operations, strongly improved by over 47% vs FY'21 on the proceeds from the sale of Innolva as part of the sale of CIM; Enviable NFP/LTM EBITDA Adjusted of 1.65x down from 2.67x in FY'21;
  • Adjusted Free Cash Flow of continuing operations: € 36.2M (substantially in line with PY € 38.7M); on a LTM base Adjusted FCF of continuing ops was: € 49.7M.
• Most of the business lines2 continue to grow also in 9M'22:
• • Digital Trust, grows 22.2% in Revenues with EBITDA growing 35.4%. EBITDA margin 28.8%
  • Cyber Security, + 6.3% in Revenues, EBITDA at € 4.8M. EBITDA margin at 8.7%
  • Innovation and Marketing Services, posted a + 27.1% in Revenues with EBITDA rising 10.2%. EBITDA margin 34.8%
• Recent Events & Updates:
• • Intesa San Paolo to subscribe the share capital increase in Warrant Hub following the sale of Innolva. Intesa to hold 12% of Warrant, which owns 100% of Forvalue.
• Human Resources: as of September 30, 2022 the group employed 2,143 employees (excluding CIM)

Memo: In order to allow as complete an analysis as possible in this document, 9M'22 results are compared both on a 2021 Like For Like (LFL) base, as well as on a 2022 base (which includes all of TINEXTA's companies with the addition of the newly acquired ones). 9M figures have been restated and for further details please refer to the 9M'22 interim financial reports.

1. EBITDA Reported

(2) BU data are provided as Adjusted	3

1 Innolva's closing - Transaction details

Old shareholder structure:

226.8M*€	ii	€ 56.7M		i			€ 170.1M*
Cash
		25%		75%			100%		b)
		2.
		c)
				100%			a)	1.
								100% FV
						Equity Value € 48.6M

New structure:

3.

88%12%

1. Innolva sold 100% of Forvalue to Warrant Hub for an Equity Value of €48.6M (@Fair Market Value July 2022)

1. Warrant Hub owes Innolva the exact amount (€48.6M)
2. The credit from Innolva (debt from Warrant) is honored by Tinexta
3. Innolva transfers the credit (net of intercompany) to CRIF (€36.0M = € 48.6M - € 12.6M)

2. Tinexta and Intesa San Paolo sold 100% of Innolva for € 226.8M

1. Tinexta cashes: 75% of the Equity Value of Innolva net of the debt towards CRIF or € 134.1M (€ 170.1M-€36.0M)
2. Intesa San Paolo cashes: 25% Equity Value of Innolva

3. Intesa San Paolo to subscribe a share capital increase (€ 55M) in Warrant

Hub (which now holds Forvalue)

rd3 August on Completed

100%

Total benefit on NFP of about €230M

*Includes €36.0M of debt owed to CRIF deriving from the transaction.

4

1 9M'22 Results

Data, and PY comparisons, are provided excluding CIM activities. Forvalue is included in IMS

9M 2022 show Revenues of 246.7 million euros, EBITDA adjusted of 54.8 million euros and Net Profit from continuing operations of 18.5 million euros. EBITDA Reported is 48.9 million euros.

246.7

207.0	220.4					54.8
		Margin			Margin
			22.2%
		22.7%
									18.5
		47.0		45.0
								15.3	12.7
9M 2021	9M 2022	9M 2021			9M 2022	9M 2021	9M 2022
	REVENUES				EBITDA Adj.	NET PROFIT from
								continuing operations
				LFL 2021		Acquisitions

€ M

• 9M'22 results show a growth both in Revenues (c. +19%) and in EBITDA Adjusted (c. +17%);
• EBITDA Adjusted amounted to 54.8 million euros, up from 47.0 million in PY; EBITDA Adjusted on a 2021 base was 45.0 million euros;
• EBITDA Reported is equal to 48.9 million euros;
• EBITDA Adjusted Margin is equal to 22.2% (22.7% in PY);
• Net Profit from continuing operations is equal to 18.5 million euros;
• Adjusted Free Cash Flow from continuing operations at 36.2 million euros.

5