DGAP-Adhoc

1&1 Drillisch sets course for the future: Expansion of cooperation with 1&1 Versatel and Deutsche Telekom as well as acceptance of Telefónica's improved national roaming offer. Preliminary figures - Seite 3

Preliminary figures 2020

1&1 Drillisch will account for write-off for non-utilised VDSL contingents as of 31 December 2020. Based on preliminary and unaudited figures, 1&1 Drillisch confirms the 2020 EBITDA forecast - excluding this non-recurring one-off effect - in the amount of ca. 600 million Euro. Taking into account the non-recurring, not cash effective write-off, the EBITDA amounts to ca. 470 million Euro. The EBITDA 2020 includes increased costs for the procurement of mobile advance services due to Telefónica's mid-2020 price increase, regulatory effects, higher initial costs for the 5G network rollout and negative effects from the coronavirus pandemic. Despite negative impacts of the coronavirus pandemic, the other preliminary key figures show a positive development. Thus, the revenues 2020 increased by 3.0% to ca. 3.787 billion Euro and the service revenues by 2.6% to ca. 3.020 billion Euro. Customer contracts improved by 500,000 to 14.83 million.

Forecast 2021

In the financial year 2021, 1&1 Drillisch expects service revenues to increase to ca. 3.1 billion Euro (2020 preliminary: 3.02 billion Euro). The EBITDA shall increase to ca. 650 million Euro (2020 preliminary: 600 million Euro) (excluding the aforementioned potential out-of-period return of ca. 34 million Euro in connection with the planned conclusion of the national roaming agreement). This forecast includes expected negative effects from the coronavirus pandemic on the revenues and the result in the amount of ca. 25 million Euro (2020 preliminary: 25 million Euro) as well as initial costs for the 5G network rollout of ca. 30 million Euro (220 preliminary:: ca. 14 million Euro).

Maintal, 15 February 2021

1&1 Drillisch Aktiengesellschaft

The Management Board

Note:

Financial performance indicators such as EBITDA, EBITDA margin, EBIT, EBIT margin or free cash flow are used in addition to the disclosures required by the International Financial Reporting Standards (IFRS) in the annual and interim financial statements of 1&1 Drillisch AG and in ad hoc reports pursuant to Art. 17 MAR to ensure a clear and transparent presentation of 1&1 Drillisch's business development. Information about the use, definition and calculation of these performance indicators is provided on page 37 of the Annual Report 2019 of 1&1 Drillisch AG.