Earnings release
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(*) Pro-forma net of a number of extraordinary and non -recurring costs, including the extraordinary effects of M&A transactions finalised in December 2025 (and acquisition of the investments in Woolrich Europe and Sundek). BASICNET – H1 2026: consolidated revenues up 25.4%. Integration begins of new Woolrich ® and Sundek® brands Turin, July 31, 2026 – The Board of Directors of BasicNet S.p.A. has approved the consolidated half -year financial report at June 30, 2026. In summary, for H1 2026 the Group reports: consolidated revenues of Euro 216.4 million (Euro 172.6 million in 2025) +25.4%, which includes: direct sales: Euro 188.7 million (137.3 in H1 2025 ) +37.4%, driven in part by the Woolrich ® and Sundek® contributions, the integration of the European retail networks, the ongoing consolidation of European retail operations, alongside strong e-commerce channel growth (+111%) in which the Group continued to invest during the period. royalties and sourcing commissions from productive and commercial licensees: Euro 27.2 million (Euro 34.6 million in H1 2025, -21.3%). Aggregate sales generated by third -party commercial and direct licensees totalled Euro 453.1 million (Euro 392.7 million in H1 2025, +1 5.4%), with growth in Europe (+1 9.6%) which accounts for about 81.0% of aggregate sales and on which the Group’s development projects have focused, in addition to Asia and Oceania and the Middle East and Africa of 2.1% and 6.3% respectively, while contracting in the Americas ( -18.8%). For a clearer view of the Group’s operating performance in the period, the indicators below have been calculated based on the pro -forma consolidated figures, excluding the effects of non -recurring charges and income (listed below) from the M&A’s completed at the end of 2025. The comparative figures for 2025 are also presented on a pro-forma basis, net of the extraordinary items resulting from the sale of approximately 40% of the stake held in K -Way S.p.A., including the related costs of Euro 17.7 million, in addition to further non - recurring charges of Euro 2.8 million. EBITDA(*): Euro 9.1 million (Euro 15.1 million in H1 2025). This result reflects the Group’s transformation and expansion phase involving the investments and costs incurred to integrate W oolrich® and Sundek® and for their gradual inclusion into the business model. Excluding non -recurring extraordinary charges totalling Euro 7.0 million, the period EBITDA still includes the operating and personnel costs for the half -year related to the former Woolrich offices in Bologna and to the retail locations that have already closed or are in the process of closing. Although these costs do not qualify as non -recurring charges for calculating the pro -forma figures, they are expected to gradually reduce as the integration activities are completed. EBIT(*): loss of Euro 10.3 million (profit Euro 4.4 million in the same period of 2025), following the recognition of amortisation and depreciation on tangible and intangible assets of Euro 7.3 million and depreciation on right- of-use assets totalling Euro 12.1 million, more than doubling on 2025, primarily due to the expansion of the retail network following the recent acquisitions and new store openings. Although already adjusted for non-recurring extraordinary charges of Euro 7.1 million, EBIT also includes depreciation on rights - of-use accruing to the period relating to leases which have been terminated or are in the process of being terminated. These items are also not expected to recur in subsequent periods.
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Excluding these effects, EBITDA and EBIT would be higher and would better reflect the Group’s structural profitability, which is expected to benefit progressively from the synergies arising from the integration of the recently-acquired brands. Net result(*): loss of Euro 11.1 million (profit of Euro 0.8 million in the first six months of 2025). The figure includes a net pro-forma adjustment of approximately Euro 5.9 million, lower than the adjustment applied to EBITDA and EBIT, due to the deferred tax recognised on the non-recurring charges. The net financial position with banks was Euro - 146.2 million (Euro - 74.4 million at December 31, 2025) and primarily reflects the financial debt incurred by the Group at the end of 2025 following the acq uisitions of Woolrich ® and Sundek ®, in addition to the normal course of the business cycle, which results in a greater absorption of financial resources in the first half of the year than at the end of the year. The Group during the period completed the refinancing of Sundek’s debt, settling the previous syndicate loan and the additional outstanding unsecured loans, while rebalancing the maturities by reclassifying a portion of the debt from short-term to medium to long -term. The operation was carried out through two five -year loans of Euro 20 million each, agreed with Banca Monte dei Paschi di Siena and Intesa Sanpaolo respectively. Overall net financial position of Euro -247.3 million (Euro -191.0 million at December 31, 2025); Dividends totalling Euro 7.6 million were distributed in H1 2026 to BasicNet shareholders, with capital reserves of Euro 2.0 million returned to minority shareholders and Euro 6.4 million of treasury shares acquired. The company also recognised the payment of Euro 1.6 million in the period related to the price adjustment for the acquisition of Sebago France and a final payment of Euro 5.3 million for the earnout linked to the acquisition of K -Way France. OUTLOOK Against a still uncertain geopolitical and macroeconomic backdrop, the Group remains focused on sustainable growth and brand enhancement over the medium to long -term. The results for the period reflect the significant growth in business volumes, supported in part by the contribution of Woolrich ® and Sundek ®, in addition to the investments required to integrate the two new brands and for their gradual incorporation into the BasicNet model. This process strengthens the Group’s multi- brand positioning and lays the foundation for tapping into the synergies and growth opportunities arising from the new scope. Group CFO Marco Enrico will present the H1 2026 results during a video conference to be held today, in English, at 6PM CET. Participate via computer or mobile app or remote device Microsoft Teams Meeting Participate: Participate at the meeting now Meeting ID: 334 206 554 611 231 Passcode: d4aP9Xt2 Need help? | System reference Connect by phone +39 02 0062 4808,,340409145# Italy, Milan Find a local number ID telephone conference: 340 409 145# ________________________________________________________________________________
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The presentation may be downloaded from the website www.BasicNet.com, from the section: “financial data/other information and presentations” shortly before the video conference, at the following link: www.basicnet.com/contenuti/datifinanziari/informazioniannuali.asp?menuSelectedID=3g&language=IT In relation to the “alternative performance measures”, as defined by the ESMA/2015/1415 guidelines, we provide below a definition of the measures used in this press release: EBIT the “operating result” EBITDA the “operating result” before “amortisation and depreciation”. Consolidated revenues the sum of royalties, sourcing commissions and sales of the BasicNet Group companies and real estate revenues from third parties. Net Financial Position total of current and medium/long -term financial payables, less cash and cash equivalents and other current financial assets. Net financial position with banks the Net financial position, net of payables for rights -of-use and payables for the acquisition of company shares. Third-party commercial licensees or licensees independent business owners, granted licenses to distribute Group brands products in their respective regions. Productive licensees or Sourcing Centers third-party firms to the Group. Their function is to manufacture and market products and are located in various countries worldwide, depending on what type of goods they produce. Commercial licensees and direct aggregate sales sales by commercial licensees, recognised by the BasicNet Group to the royalties account and the sales by the Group companies. *** The Executive Officer for Financial Reporting, Marco E nrico, declares in accordance with Article 154 -bis, paragraph 2, of the Consolidated Finance Act that the accounting information contained in the present press release corresponds to the underlying accounting documents, records and accounting entries. The financial statements are attached.
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FINANCIAL STATEMENTS BasicNet Group Key Financial Highlights (Euro thousands) H1 2026 Pro-forma H1 2025 Pro-forma Changes Vs. Pro-forma Brand aggregate sales ** 594,286 567,074 27,213 Royalties and sourcing commissions 27,247 34,623 (7,376) Consolidated direct sales 188,663 137,335 51,328 Contribution margin on direct sales 95,170 61,257 33,913 EBITDA *** 9,130 15,102 (5,972) EBIT *** (10,316) 4,404 (14,719) Group Net Profit/(loss) (11,145) 835 (11,980) Basic earnings/(loss) per ordinary share** (0.4357) 0.0181 (0.4538) Diluted earnings/(loss) per ordinary share** (0.4349) 0.0179 (0.4528) ** Data not audited *** The figures presented are pro -forma net of a number of extraordinary and non -recurring costs, including the extraordinary effects of the M&A transactions in December 2025 (acquisition of the investments in Woolrich Europe S.p.A. and Sundek S.p.A.).
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BasicNet Group Condensed Balance Sheet (Euro thousands) June 30, 2026 December 31, 2025 June 30, 2025 Property 40,399 38,701 38,919 Brands 98,258 98,223 59,235 Non-current assets 244,164 232,329 139,776 Rights-of-use 90,900 100,191 50,537 Current assets 346,410 380,733 300,910 Total assets 820,132 850,176 589,378 Group shareholders' equity 291,382 322,144 298,818 Non-current liabilities 239,764 216,477 68,269 Current liabilities 288,985 311,555 222,290 Total liabilities and shareholders’ equity 820,132 850,176 589,378 BasicNet Group Summary Net Financial Position (Euro thousands) June 30, 2026 December 31, 2025 June 30, 2025 Changes vs Dec. 31, 2025 Changes vs June 30, 2025 Net financial position – Short- term (42,606) 3,821 (21,797) (46,427) (20,809) Financial payables – Medium- term (103,515) (78,056) 48,347 (25,459) (151,862) Finance leases (107) (177) (242) 70 136 Net financial position with banks (146,228) (74,412) 26,308 (71,816) (171,536) Payables for purchase of investments beyond one year (7,254) (13,976) (6,432) 6,722 (822) Payables for rights-of-use (93,784) (102,597) (52,462) 8,812 (41,323) Net Financial Position (247,267) (190,985) (32,586) (56,282) (214,681) Debt/equity ratio 0.85 0.59 0.11 0.27 0.75
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BASICNET GROUP Financial Statements CONSOLIDATED INCOME STATEMENT (Euro thousands) H1 2026 H1 2025 Consolidated direct sales 188,663 137,335 Cost of sales (93,493) (76,078) GROSS MARGIN 95,170 61,257 Royalties and sourcing commissions 27,247 34,623 Other income 3,697 3,590 Sponsorship and media costs (20,708) (22,638) Personnel costs (50,927) (27,704) Selling, general and administrative costs, royalties expenses (52,333) (54,595) Amortisation & depreciation (19,572) (10,698) EBIT (17,426) (16,167) Net financial income (charges) (5,260) (1,514) Management of equity investments - (3) PROFIT/(LOSS) BEFORE TAXES (22,686) (17,684) Income taxes 1,984 (1,330) NET PROFIT/(LOSS) (20,703) (19,014) Attributable to: - Shareholders of the company (20,595) (16,624) - Minority shareholders (108) (2,390) Earnings per share: Basic (0.4357) (0.4079) Diluted (0.4349) (0.4072)
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CONSOLIDATED BALANCE SHEET (Euro thousands) June 30, 2026 December 31, 2025 June 30, 2025 Intangible assets 118,807 117,498 73,816 Rights-of-use 90,900 100,191 50,537 Goodwill 116,354 107,947 45,732 Property, plant and equipment 68,120 62,386 56,106 Equity invest. & other financial assets 55,537 55,728 55,439 Interests in joint ventures - - 172 Deferred tax assets 23,695 25,693 6,666 Other non-current assets 309 - - Total non-current assets 473,722 469,443 288,468 Net inventories 177,488 159,629 142,654 Trade receivables 69,893 88,779 66,809 Other current assets 61,339 61,407 56,562 Prepayments 10,855 19,676 9,373 Cash and cash equivalents 22,621 51,138 25,442 Derivative financial instruments 4,214 105 70 Total current assets 346,410 380,733 300,910 TOTAL ASSETS 820,132 850,176 589,378 (Euro thousands) June 30, 2026 December 31, 2025 June 30, 2025 Share capital 31,717 31,717 31,717 Reserve for treasury shares in portfolio (39,117) (32,000) (38,730) Other reserves 319,485 330,138 324,845 Net profit/(loss) for the period (20,703) (7,711) (19,014) TOTAL GROUP SHAREHOLDERS' EQUITY 291,382 322,144 298,818 of which MINORITY INTEREST SHAREHOLDERS’ EQUITY 42,852 44,025 36,943 Provisions for risks and charges 11,306 5,790 2,169 Loans 103,622 78,233 1,995 Payables for rights-of-use 93,784 102,597 52,462 Other financial payables 7,254 7,000 - Employee and Director benefits 6,105 6,280 3,344 Deferred tax liabilities 16,226 14,793 6,722 Other non-current liabilities 1,466 1,784 1,576 Total non-current liabilities 239,765 216,477 68,268 Bank payables 155,328 137,418 87,239 Trade payables 102,990 116,560 96,881 Tax payables 5,490 12,422 5,701 Other current liabilities 19,102 30,804 21,413 Accrued expenses 5,291 10,100 3,890 Derivative financial instruments 785 4,251 7,166 Total current liabilities 288,985 311,555 222,290 TOTAL LIABILITIES 528,750 528,032 290,560 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY 820,132 850,176 589,378
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CONSOLIDATED CASH FLOW STATEMENT OF THE BASICNET GROUP (Euro thousands) June 30, 2026 June 30, 2025 restated A) CASH FLOWS FROM OPERATING ACTIVITIES Net profit/(loss) for the period (20,703) (19,014) Amortisation & depreciation 19,572 10,698 Income taxes (1,984) 1,330 Net finance costs (income) 5,007 1,581 Management of equity investments - 3 Changes in working capital: - (increase) decrease of trade receivables 18,898 17,259 - (increase) decrease of inventories (17,311) (34,298) - (increase) decrease of other assets 6,746 (3,326) - increase (decrease) of trade payables (13,742) 14,542 - increase (decrease) of other liabilities (14,233) (5,459) Income taxes paid - - Interest paid (3,637) (2,123) Net changes in employee and director benefits (175) (1,099) Others, net (128) 202 (21,689) (19,702) B) CASH FLOW FROM INVESTING ACTIVITIES Investments - tangible assets (10,867) (1,765) - intangible assets (5,777) (4,677) - financial assets (115) (3,010) - Acquisition K-Way Normandy franchisee - (1,727) - Earn-Out K-Way France (5,254) (1,649) - Acquisition Sebago France (1,634) - - Acquisition K-Way Retail Benelux 52 - Financial investments - (90,100) Realisable value for fixed asset disposals: - tangible assets 1,179 - - intangible assets 64 115 - financial assets 247 - (22,105) (102,813) C) CASH FLOW FROM FINANCING ACTIVITIES Undertaking of medium/long-term loans 40,000 41 Change in import financing facilities 5,723 (18,636) Change in bank overdrafts and receivables financing facilities 13,156 20,517 Repayment of loans (15,518) (32,173) Repayment of loans for rights-of-use (11,375) (5,059) Sale of holding in K-Way S.p.A. - 170,389 Acquisition of treasury shares (7,117) (7,869) Distribution reserves K-Way (2,014) - Dividend payments (7,579) (7,449) 15,277 119,761 D) CASH FLOW IN THE PERIOD (28,517) (2,754) NET CASH AND CASH EQUIVALENTS Net opening cash and cash equivalents (A) 51,138 28,195 Net closing cash and cash equivalents (B) 22,621 25,442 CASH FLOW FOR THE PERIOD (B - A) (28,517) (2,754)