Zegna Results Presentation Deck slide image

Zegna Results Presentation Deck

● ● ● FY 2021 CAPEX & TRADE WORKING CAPITALdo Ermenegildo Zegna Group of Incidence of TWC back to pre-Covid levels Investing in Retail, IT and Industrial Platform 70 60 50 40 30 20 10 0 5% 21 39 2019 Capital Expenditure (€ millions) 4% 20 19 2020 Store network Other % of revenues 4% 22 26 2021* New store openings for Thom Browne (+14 DOS), mix of relocations/renewals for Zegna Key IT projects: point of sales systems and distribution ERP Shift in payments from 2021 to 2022 Capex step-up in 2022 ● ● 600 500 400 300 200 100 0 -100 -200 -300 Trade Working Capital (€ millions) 26.8% 20.2% 315 178 -226 2019 Trade receivables Inventories 321 139 * Excludes € 46 million for the purchase of the building in New Bond Street, London that was subsequently part of the Disposition on November 1st -188 2020 % of revenues 21.3% 338 160 -223 2021 ■Trade payables & customer advances Significant improvement in Trade Working Capital Inventories reflect ongoing transition to One brand Receivables down vs 2019 to reflect DTC shift, payables back to normal levels Stock turn to improve once rebranding fully rolled out 19
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