SOMFY - Annual Financial Report 2020

01 PRESENTATION OF THE GROUP

JOINT INTERVIEW OF THE MANAGEMENT BOARD

Unprecedented in many ways, 2020 was a year of growth for Somfy. As a benchmark in Smart Living, the Group has benefited greatly from renewed interest in comfort in the home while at the same time advancing its strategic projects. Let’s review the year with Jean Guillaume Despature, Chairman of the Management Board of Somfy, and Pierre Ribeiro, member of the Management Board and Chief Financial Officer.

Jean Guillaume DESPATURE, Chairman of the Management Board of Somfy

How is Somfy doing today? J.G.D: Somfy is doing very well following a solid performance in 2020. It was a year of strong contrasts, with the first half of the year marked by the shutdown of our factories and inbound logis- tics for more than three weeks, followed by their gradual restart. The second half of the year proved completely different and saw intense activity due to the reallocation of consumer spending and the home playing a larger role in people’s lives. This interest is supported by the government’s stimulus plan, which encourages everyone to buy products that improve the energy efficiency of their homes. This performance was therefore driven by factors related to the health crisis and by structural elements, such as digitalisation and the energy performance of buildings. We are confident in the future because Somfy has solid fundamentals. Our future growth will be driven by digitalisation and the decarbonisation of the building industry.

What’s your take on the main financial indicators? P.R: All our indicators have improved. Our sales, reflecting our level of activity, reached €1.3 billion, an increase of 6.1% on a like-for-like basis. Following a decline in the first half of 2020, they soared by 20.1% in the second half. Our current operating margin rose sharply to 20.7% of sales. This level is partly due to non- recurring savings, made pre-emptively to anticipate the impacts of the health crisis, or constrained, such as the inability to travel. Finally, our net financial surplus reached €518 million, an increase of €200 million. J.G.D: Our good financial health gives us room to manoeuvre and will benefit our shareholders and employees in France through the profit-sharing and incentive bonus. To prepare for the future, we will invest in our manufacturing facilities by accelerating our digitalisation through the roll-out of a new ERP (SAP) and by increasing our production capacities, particularly in France.

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SOMFY – ANNUAL FINANCIAL REPORT 2020