Juventus

(63.77% of share capital)

The following information refers to the accounting data for the period 1 January – 30 June 2018 drawn up by Juventus F.C. for the purposes of the preparation of the half-year condensed consolidated financial statements of EXOR Group at 30 June 2018.

	Half ended
€ million	06/30/2018	06/30/2017	Change
Revenues	213.6	249.4	(35.8)
Operating costs	(204.5)	(220.6)	16.1
Operating income (loss)	(52.1)	(18.3)	(33.8)
Loss for the period	(62.2)	(26.6)	(35.6)

€ million	06/30/2018	12/31/2017	Change
Shareholders' equity	74.5	137.1	(62.6)
Net financial debt	309.8	279.7	30.1

For a correct interpretation of the data it should be noted that the financial year of Juventus does not coincide with the calendar year but covers the period 1 July – 30 June, which corresponds to the football season. The accounting data under examination thus represents the second half of operations for the financial year 2017/2018. Interim data prepared only for EXOR consolidated reporting purpose and cannot be construed as representing the basis for a Juventus full-year projection. Profit performance is characterized by the highly seasonal nature typical of the sector, determined mainly by the calendar of football events and the two phases of the players’ Transfer Campaign. The financial position and cash flows of the company are also affected by the seasonal nature of the income components; in addition, some revenue items are collected in a period different from the period to which they refer.

In preparing the accounting data, Juventus Football Club included, whenever significant, the valuations of the negative effects deriving from transactions relating to the 2017/2018 Transfer Campaign-first phase, carried out or in the process of being carried up to the date of 31 July 2018.

However, it cannot be excluded that as this campaign continues, additional transactions will be entered into and their effects, if negative and significant, may require Juventus Football Club to record further impairment and/or accruals, in accordance with generally accepted accounting principles, for the purposes of the preparation of the annual financial statements at 30 June 2018.

The result for the period (1 January – 30 June 2018) is a loss of €62.2 million with an increase of € 35.6 million compared with the loss of the same period of 2017, amounting to €26.6 million). This trend is mainly the result of a decrease in revenues of €35.7 million, an increase of amortization (€13.6 million), partially offset by a reduction in operating costs and taxes for €16.1 million and €1.1 million, respectively, in addition to other net negative changes of €3.5 million.

Significant events in the first half of 2018 and subsequent events

The acquisitions completed in the second phase of the 2017/2018 Transfer Campaign and the exercise of option rights for the purchase of some players in June 2018 led to a total increase in net invested capital of €47.1 million.

On 7 May 2018 the FIGC First Level Commission for UEFA licenses examined the documentation filed and checked its conformity with the criteria and parameters established by regulations and issued the UEFA license to Juventus for the 2018/2019 football season.

2018 Outlook

In the second half of the year the first phase of the 2018/2019 Transfer Campaign will be concluded and the season will open with, in particular, the Group Stage of the UEFA Champions League; the outcome of this stage could significantly influence the economic performance of Juventus for the financial year 2018/2019 which at present is expected to close with a loss.