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Investor Presentaiton

Teliani financial highlights Income Statement Change Change GEL thousands; unless otherwise noted 1Q18 1Q17 4Q17 y-o-y q-o-q Wine Business Beer Business Distribution Business Revenue Wine Business Beer Business 4,593 3,446 33.3% 7,164 (35.9%) 4,921 NMF 4,736 3.9% 2,902 2,940 (1.3%) 5,383 (46.1%) 12,416 6,386 94.4% 17,283 (28.2%) (2,228) (1,831) 21.7% (3,328) (33.1%) (3,567) NMF (3,438) 3.8% Distribution Business (2,250) (2,244) 0.3% (4,195) (46.4%) COGS (8,045) (4,075) 97.4% (10,961) (26.6%) Gross Profit 4,371 2,311 89.1% 6,322 (30.9%) Gross Profit Margin 35.2% 36.2% 36.6% Salaries and other employee benefits (2,838) (1,094) 159.4% (2,542) 11.6% Sales and marketing expenses (1,048) (238) NMF (1,497) (30.0%) General and administrative expenses (1,721) (720) 139.0% (1,577) 9.1% Distribution expenses (884) (327) 170.3% (957) (7.6%) Other operating expenses (455) (88) NMF (147) NMF EBITDA (2,575) (156) NMF (398) NMF Of which, wine EBITDA 600 392 53.2% 2,233 (73.1%) Of which, beer EBITDA (3,004) (561) NMF (2,775) 8.3% Of which, distribution EBITDA (171) 15 NMF 144 NMF Net foreign currency gain (loss) 2,174 2,096 3.7% (4,404) NMF Depreciation and amortization (2,547) (360) NMF (2,056) 23.9% Net interest income/expense (1,158) (216) NMF (1,247) (7.1%) Net non-recurring items. 46 NMF (47) NMF (Loss) profit before income tax (4,106) 1,410 NMF (8,152) (49.6%) (Loss) Profit (4,106) 1,410 NMF (8,152) (49.6%) GEORGIA CAPITAL Page 55
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