GORENJE (GRV): Gorenje Group wraps up the first half successfully, continuing to increase revenue and profit - raport 24

UNI - EN REPORT No24/2017

Gorenje Group was successful in the first half of the year, with higher sales revenue and net profit. We are increasing the share of profitable innovative and premium products and stepping up investments into development. Around 300 new hirings in this year. The third quarter will be challenging; sales are expected to peak in the last quarter.

Pursuant to the Rules and Regulations of the Ljubljana Stock Exchange, d.d., the Financial Instruments Market Act, the Corporate Governance Code for Joint Stock Companies, and in accordance with the provisions of the Code of Best Practice for WSE Listed Companies, the company Gorenje, d.d., Velenje, hereby makes the following announcement:

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Issuer: Gorenje gospodinjski aparati, d.d. (short name: Gorenje, d.d.), Partizanska 12, SI-3320 Velenje, Slovenia

Announcement of the Supervised Information’s is referring to Article 106, 112 and 113 of Market in Financial Instruments Act (ZTFI – Semi annual report).

Velenje, August 25, 2017 – Gorenje Group continues its successful performance. In the first half of the year, we generated EUR 623.9 million of sales revenue, up 7.3 percent over the first half of last year. Comparable operating profit before depreciation and amortisation (EBITDA) was higher by good 12 percent compared to the first half of the year before, at EUR 40.6 million. As a result, the Group more than doubled its first-half net profit relative to the equivalent period of the preceding year, pushing it to EUR 4.4 million. We increased the sales of major and small domestic appliances and premium appliances, improved the geographical structure of our sales, and increased revenue in both the core activity of home appliances as well as in other activities.

Please, find attached the Management Board comment on Gorenje Group second quarter performance and outlook for the second half of 2017.

Disclaimer: The English text for all announcements is for information purposes only!

The information in this announcement will be available on the official web site of the company Gorenje, d.d., Velenje, Slovenia, www.gorenjegoup.com, for at least 10 years from the date of this announcement.

Gorenje, d.d.,

The Management Board

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