MONCLER ANNUAL REPORT AT 31 DECEMBER 2020BOARD OF DIRECTORS REPORT 5352

Free cash flow in 2020 was equal to 195.5 million euros, compared to 340.0 million euros in 2019.

NET CAPITAL EXPENDITURE

Net capital expenditure decreased to 90.4 million euros in 2020, compared to 120.8 million euros in 2019 following Moncler s decision to postpone some corporate and commercial projects due to the Covid-19 pandemic. The following table shows the breakdown of capex by category:

EBITDA RECONCILIATION

FY 2020 Reclassified Consolidate Statement of Cash Flow (Euro/000) FY 2020 FY 2019

EBIT 368,821 491,799

D&A 80,164 69,988

Other non-current assets/(liabilities) 12,411 13,021

Change in net working capital (36,845) (24,959)

Change in other curr./non-curr. assets/(liabilities) (91,895) 24,875

Capex, net (90,369) (120,848)

Operating cash flow 242,287 453,876

Net financial result (1,306) (917)

Taxes (45,436) (112,996)

Free cash flow 195,545 339,963

Dividends paid (101,708)

Changes in equity and other changes (2,892) (25,742)

Net cash flow 192,653 212,513

Net Financial Position - Beginning of Period 662,622 450,109

Net Financial Position - End of Period 855,275 662,622

Change in Net Financial Position 192,653 212,513

(Euro/000) 31/12/2020 31/12/2019

Distribution 54,913 75,295

Infrastructure 35,456 45,553

Net capex 90,369 120,848

% on LTM revenues 6.3% 7.4%

(Euro/000) FY 2020 % on revenues FY 2019 % on revenues

EBIT 368,821 25.6% 491,799 30.2%

D&A 80,164 5.6% 69,988 4.3%

Rights-of-use amortisation 120,812 8.4% 101,135 6.2%

Stock-based compensation 31,026 2.2% 29,386 1.8%

EBITDA 600,823 41.7% 692,308 42.5%

Rents associated to rights-of-use (139,427) (9.7%) (117,500) (7.2%)

EBITDA pre IFRS 16 461,396 32.0% 574,808 35.3%