BIC - 2019 Universal Registration Document

COMMENTS ON THE YEAR

Operations and consolidated results

CONDENSED PROFIT AND LOSS ACCOUNT

On a comparative basis

FY 2019

FY 2018

As reported

(in million euros)

Net sales

1,949.8

1,949.4

0.0%

-1.9%

Cost of goods

935.5

972.1

Gross Profit

1,014.3

977.3

Administrative & other operating expenses

755.5

724.6

Income from operations

258.8

252.7

Finance revenue/costs

2.8

(1.3)

Income before tax

261.6

251.4

Income tax expense

(88.2)

(75.3)

Net Income Group Share

173.4

176.1

Earnings per share Group share (in euros)

3.80

3.91

Average number of shares outstanding (net of treasury shares)

45,598,109

45,056,076

FY 2019 Gross Profit margin came in at 50.1%, compared to 52.0% for 2018. FY 2019 Normalized IFO was 331.8 million euros ( i.e. , a Normalized IFOmargin of 17.0%).

KEY COMPONENTS OF THE CHANGE IN NORMALIZED IFOMARGIN

FY 2019 vs. FY 2018

Q4 2019 vs. Q4 2018

(in % points)

Change in cost of production  (b) •

(1.4)

(1.9)

Brand Support •

(0.1)

(0.4)

OPEX and other expenses •

+2.6

+1.2

Total change in Normalized IFOmargin

+1.1

(1.1)

this excludes impact of 2018 Argentina hyperinflation (a)

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• BIC GROUP - 2019 UNIVERSAL REGISTRATION DOCUMENT •