Q1 2022 Results

Growth at EBIT margins level compared to 31 March 2021, decrease in net financial debt compared to 31 December 2021
First deliveries of the new animated productions (Baby Puffins & Bunny) in Q2 2022 along with the other film productions in the
backlog

• Consolidated revenues as at 31 March 2022 equal to €26.8 million (compared to €44.5 million as at 31 March 2021)
• EBIT of €4.0 million as at 31 March 2022 and EBIT margin increasing to 14.9% compared to 13,3% as at 31 March 2021
• Backlog confirmed at €152.4 million over three years, of which approximately half relates to 2022

ILBE (Iervolino and Lady Bacardi Entertainment), a company engaged in the production of film and television content (Euronext Growth Milan IT0005380602 - IE and Euronext Growth Paris IT0005380602 - ALIE), announces that the Board of Directors met today to examine and approve the Group's final results for the quarter ended 31 March 2022.

Consolidated revenues amounted to €26.9 million, -39.8% compared to €44.5 million at 31 March 2021 due to the effect of the completion of the Arctic Friends production, while the new animated productions (Baby Puffins & Bunny) will deliver their first episodes in the second quarter of 2022, together with the other film productions (Puffins, State of Consciousness, Muti, Giving Back 2, Giving Back 3, In the Fire). More specifically, revenues for the quarter were determined by deliveries and production for the period of the Puffins and Puffins Impossible animated works (€21.8 million), animation services (€4.1 million) and celebrity management (€0.9 million).

EBIT amounted to €4.0 million (compared to €5,9 million as at 31 March 2021), gross of €0.3 million of non-recurring expenses of the parent company related to additional teleworking costs. Margins for the period rose to 14.9% compared with 13,3% in the Q1 2021 thanks to the effect of a number of management performance improvement measures.

The consolidated Net Financial Position as at 31 March 2022 showed a debt balance of €28.9 million compared to €29.3 million as at 31 December 2021, slightly down due to the positive balance between receipts for the period from customers and government grants, the payments for the investments of the quarter, both in new productions and in audiovisual works in progress, mainly In the Fire, and the payment for the acquisition of 60% of Sobe.

The backlog is confirmed at €152.4 million over three years, of which approximately half relates to 2022, also taking into account the launch of new productions, the effects of which will be seen from the second quarter of the year. Note also that the backlog of the new Baby Puffins & Bunny animated series is €116.8 million, with an almost constant production plan spread over the years 2022, 2023 and 2024.

For the current financial year, the Company can therefore confirm the guidance 2022 already presented in march.