The GVS Board of Directors approves the 2020 financial statement: revenues up 60%, strong growth in Group profitability and solid increase in all key economic and financial indicators (Price Sensitive)

PRESS RELEASE

THE GVS BOARD OF DIRECTORS APPROVES THE 2020 FINANCIAL STATEMENT: REVENUES UP 60%,

STRONG GROWTH IN GROUP PROFITABILITY AND SOLID INCREASE IN ALL KEY ECONOMIC AND FINANCIAL INDICATORS

The GVS Group's key performance indicators for the 2020 financial year, compared with the 2019 financial year results:

•  Revenues of 363.3 million Euro, up 59.8% compared to 227.4 million Euro for the 2019 financial year;

•  Normalised EBITDA1 of 144.06 million euro, up 131.4% from 62.3 million euro in the 2019 financial year, with a margin on revenue of 39.7%. EBITDA of 138.4 million euro, up 122.4% from 62.2 million euro in the 2019 financial year, with a margin on revenue of 38.1%;

•  Normalised EBIT2 of 128.6 million euro, up 159.1% compared to 49.6 million euro in the 2019 financial year. EBIT of 119.0 million euro, an increase of 160.6% compared to 45.66 million euro in the 2019 financial year, representing 32.8% revenue;

•  Normalised Net Profit3 of 87.2 million euro, up 138.6% from 36.6 million euro in the 2019 financial year. Net profit of 78.08 million euro, up 136.0% compared to 33.09 million euro in the 2019 financial year;

•  Positive Net Financial Position of 31.6 million euro, while at 31 December 2019 it was negative at 103.1 million euro;

•  Proposed dividend of 0.13 euro per share, amounting to a total of 22,750,000.00 euro;

•  Powers conferred on the Chairman to convene the ordinary general meeting on 27 April 2021

Zola Predosa (BO), 19 March 2021 - The Board of Directors of GVS SpA, a leading provider of advanced filtration solutions for highly critical applications, met today in Zola Pedrosa (BO) and approved the Draft Financial Statements and Consolidated Financial Statements for the year ended 31 December 2020, which have been prepared in accordance with IFRS international accounting standards.

"I believe that the numbers we are reporting here perfectly represent what our Group is capable of doing on a global scale. 2020 was our launch pad to prove the value of the team and the Group in order to start facing the future with even greater ambition." - commented Massimo Scagliarini, Managing Director of GVS - "The objectives for 2021 are, as always, very challenging, but I am confident that our team will successfully achieve them. To confirm and then accelerate the Group's growth, we will focus on a new ESG vision that takes us towards impact 0, further

1 Indicates the result for the period adjusted for operating income and expenses that, by their nature, are reasonably expected not to recur in future periods in 2020 mainly related to IPO-related expenses.

2 Indicates the result for the period adjusted for operating income and expenses that, by their nature, are reasonably expected not to recur in future periods in 2020 mainly related to IPO-related expenses, and amortisation of intangible assets recognised under the PPA

3 Indicates the result for the period adjusted for operating income and expenses that, by their nature, are reasonably expected not to recur in future periods in 2020 mainly related to IPO-related expenses, and amortisation of intangible assets recognised under the PPA, both net of related tax effects

geographical expansion in particular in Asian markets, the launch of new product lines for each individual division and M&A activities that will allow us to seize new opportunities."

ANALYSIS OF THE GROUP'S ECONOMIC MANAGEMENT

In the financial year just ended, GVS achieved consolidated revenues of 363.3 million euro, an increase of 59.8% compared to 227.4 million euro in the same period last year.

This result is mainly attributable to the growth of the Health & Safety division and the Healthcare & Life sciences division, in both cases driven by the new needs arising from the spread of the Covid-19 pandemic, which more than offset the decline in revenues in the Energy & Mobility division, again due to the exceptional nature of the period.

In terms of performance and breakdown of revenues from contracts with customers at 31 December 2020:

- the Healthcare & Life Sciences division, which accounts for 44% of the total, grew by 38.2% compared to the end of 2019;

- the Energy & Mobility division, which accounts for 18% of the total, as a result of the overall slowdown in the sector, was down 26.2% compared to 2019;

- the Health & Safety division reached a weight of 38% of the total, +479.4% compared to 31

December 2019, in view of significant growth related to the extraordinary increase in demand for personal protective equipment (FFP3) for the hospital sector.

Normalised EBITDA1 is equal to 144.06 million euro +131.4% compared to 31 December 2019, when it was 62.3 million euro, with a margin on revenues of 39.7% compared to 27.4% in 2019. This increase is attributable to the procurement strategies developed over the last three years, which have enabled the cost of the relevant raw materials to be fixed with a horizon covering the entire year, to the variation of the mix of sales compared to 2019 together with the rapid implementation of 41 new production lines in the various Group plants around the world, which have increased the operational leverage and efficiency of individual processes. EBITDA amounted to 138.4 million euro +122.4% compared to 62.2 million euro at 31 December 2019, representing 38.1% of revenues.

Normalised EBIT2 was 128.6 million euro +159.1% compared to the end of 2019 when it was 49.6 million euro. EBIT amounted to 119.0 million euro +160.6% compared to 45.66 million euro, with 32.8% of revenues.

The Normalised Net Profit3 amounted to 87.2 million euro, up from 36.6 million euro in 2019, and was affected by negative exchange rate differences of 9.5 million euro prevalently unrealized and connected and connected to intragroup financing. The Net Profit was 78.08 million euro +136% compared to 33.09 million euro in 2019.

The Net Financial Position at 31 December 2020 was positive for 31.6 million euro, compared to 31 December 2019 when it was negative by 103.1 million euro. In addition to the performance of current operations and acquisitions made, this result also reflects the proceeds generated by the capital increase linked to the IPO of 81.5 million euro (gross of expenses incurred)

BUSINESS OUTLOOK

For 2021, the GVS group will work on an organic consolidation of the results obtained in the previous year through a rebalancing of the product portfolio, which will allow it to consolidate the extraordinary growth of 2020, while maintaining a keen eye on the promptness of responding to the market demand and its clients' requests with an increasing awareness of the active handling of ESG issues. 2021 has started with a positive trend and depending on the amount of revenues from contracts with clients already realised and the order portfolio acquired to date, GVS expects to close the year, without considering the contribution of any new acquisitions, with a turnover of around 345/370 million euro, thus consolidating the growth results achieved in 2020.

The EBITDA margin for 2021 is expected to show a stronger trend in the first part of the year and then tend to a normalization in the second semester, with an overall result expected in a range between 32 and 35%.

GVS confirm the commitment to constantly monitor the market so as to be able to identify and implement M&A opportunity to contribute to a new acquisition aimed at accelerating the Group's growth trends.

The forecasts above are linked to orders already in the portfolio and contracts under negotiation in the Healthcare & Life Sciences and Health & Safety divisions, in a scenario of progressive normalisation of the effects of the pandemic and the positive impact of the vaccination policies of the various countries, while order forecasts for customers in the Energy & Mobility sector are estimated to progressively recover pre-pandemic levels until the end of 2021.

As a result, the expected level of revenues is supported by all of the Group's Healthcare & Life

Sciences, Health & Safety and Energy & Mobility divisions.

Due to the uncertainty connected with the occurrence of any future event, it cannot be excluded that there may be differences, even significant, between actual values and the values mentioned above. Business development in the coming months will depend on (i) the evolution of the pandemic and possible new lockdowns in the various countries, (ii) the resumption of operating activities, at full capacity, of customers in the various countries and sectors in which the Group operates and (iii) the measures that the various governments will implement to support the economy and its recovery.

GVS SpA's draft separate financial statements for the 2020 financial year

In the financial year just ended, GVS SpA achieved revenues of 124.2 million euro, an increase of 65.9% compared to 74.8 million euro in the same period last year.

EBITDA amounted to 34.6 million euro +110% compared to 16.5 million euro at 31 December 2019, representing 27.9% of revenues.

EBIT amounted to 30 million euro +142% compared to 12.5 million euro, with 24.2% of revenues.

The Net Profit was 27.3 million euro +80.7% compared to 15.1 million euro in the 2019 financial year. The Net Financial Position at 31 December 2020 was 1.8 million euro (negative), compared to 31

December 2019 when it was 108.5 million euro (also negative).

PROPOSAL FOR THE ALLOCATION OF PROFITS

In consideration of the economic result resulting from the draft financial statements for 2020, amounting to 27,308,128.00 euro, the Board of Directors proposed the distribution of a dividend of 0.13 euro per ordinary share, for a total of 22,750,000.00 euro.

The dividend is expected to be paid on 23 June 2021, with an ex-dividend date of 21 June 2021 and a record date of 22 June 2021.

OTHER RESOLUTIONS

The Board of Directors has:

• (i) approved, subject to the favourable opinion of the Nominations and Compensation Committee, certain amendments to the Remuneration Policy, which will be submitted to the Shareholders' Meeting for approval;

• (ii) verified, subject to the opinion of the Nominations and Compensation Committee, the achievement of the short-term objectives assigned for 2020 and attributed the relevant short-term annual incentives (MBO), in accordance with the Remuneration Policy in force for 2020 and in line with the announcement made at the time of listing.

  In particular, the Board resolved to pay a total of 2,982,500.00 euro to executive directors and strategic managers. More details will be communicated to the market in accordance with the law;

• (iii) approved the Report on Corporate Governance and Ownership Structure pursuant to Article 123-bis of Legislative Decree 58 of 24 February 1998;

• (iv) approved the 2021-2024 Business Plan;

• (v) approved Impairment test at 31/12/20;

• (vi) verified Directors' Independence Requirements;

• (vii) resolved to carry forward to the Shareholders' Meeting a proposal to adjust the compensation of the Board of Statutory Auditors;

• (viii) conferred to the Chairman of the Board of Directors the powers to convene the Annual General Shareholders' Meeting with single call on 27 April 2021.

  In this regard, in addition to the approval of the Financial Statements for the year ended 31 December 2020 and the proposal for the allocation of the profit for the year, the Board of Directors resolved to submit the following to the Ordinary Shareholders' Meeting:

  •  The Report on remuneration policy and compensation paid pursuant to Article 123-ter of Legislative Decree 58 of 24 February 1998 and Article 84-ter of CONSOB Regulation 11971/1999, and

  •  Authorisation for the purchase and disposal of treasury shares pursuant to Articles 2357, 2357-ter of the Italian Civil Code, Article 132 of Legislative Decree 58 of 24 February 1998 and Article 144-bis of the Consob regulation adopted by resolution 11971 of 14 May 1999.

    The purpose of the request for authorisation to purchase and dispose of treasury shares is to allow the Company to purchase and dispose of ordinary shares, in accordance with the procedures prescribed by current EU and national legislation, for the purposes permitted by law, which include: (i) to support liquidity and market efficiency;(ii) to preserve for subsequent use, including: consideration in extraordinary transactions, including the