SAG GEST – Soluções Automóvel Globais, SGPS, SA Listed Company Estrada de Alfragide, nº 67, Amadora Registered Share Capital: 169,764,398 euros Registered at the Amadora Registrar of Companies under the single registration and taxpayer no. 503 219 886

ANNOUNCEMENT

Consolidated Results for the 1st Half 2016

•

Consolidated Turnover – Eur 322.3 million – recorded a 4.0% increase

•

SIVA’s volume (17,919 units) increased 1.0%

•

EBITDA increased 15.5% (Eur 1.4 million) to Eur 10.2 million, due to improved channel mix, namely a lower weight of the rent-a-car segment

•

Earnings Before Taxes (EBT) were approximately Eur 1.7 million positive (Eur 4.7 million negative in the same period last year)

•

Consolidated Net Profit was marginally negative (Eur 0.3 million), a 93.2% improvement when compared with the Eur 4.4 million loss recorded in the same period in 2015 (where Unidas’ positive results still contributed Eur 1.7 million)



Consolidated Net Debt decreased 14.6% (Eur 16.2 million) to Eur 94.9 million (Eur 111.1 million on 31 December 2015)

SAG GEST – Soluções Automóvel Globais, SGPS, SA – Sociedade Aberta Sede: Estrada de Alfragide, nº 67 Amadora Capital Social: Eur 169.764.398,00 Matriculada na Conservatória do Registo Comercial da Amadora Número Único de Matrícula e de Identificação Fiscal 503 219 886 Escritório: Alfrapark – Estrada de Alfragide, nº 67, Edifício SGC – Piso 2 2614-519 Amadora Tel: 21 359 66 64 Fax: 21 359 66 74

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1. OPERATIONAL PERFORMANCE •

Automotive Distribution •

The Portuguese Automotive Market maintained the previous years’ growth trend: during the 1st Half 2016 the passenger car (PC) market increased 17.6% when compared with the same period in 2015, with a total volume of 135,240 units. This behavior was determined by strong growth in the rent-a-car segment and by early purchases from April onwards, as a consequence of the announcement of car tax increases.

•

The volume achieved by the Brands represented by SIVA was 17,919 units, a 1.0% increase when compared to the volume of 17,743 units recorded during the 1st Half 2015. Consequently, SIVA’s market share was 13.2%, a 2.2% decrease when compared with the same period in 2015, due to the strategic decision of not meeting the strong growth pace of the rent-a-car business.

• •

o

The Volkswagen – Passenger Car Brand, with a volume of 10,039 units and a 3.3% increase, achieved an 8.5% market share (9.7% in 2015) in the Light Passenger Car market. This evolution in the Brand’s volume is in line with the Brand’s performance at the European level.

o

The Audi Brand’s volume was 4,933 units, 3.7% less than the 5,122 units recorded during the same period last year, due to the current stage of the Brand’s product cycle and in view of strong competitive activity.

o

The Skoda Brand volume increased 1.1% to 1,767 units (1,748 in the same period in 2015).

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The Volkswagen – Commercial Vehicles Brand, with a volume of 1,176 units, recorded a 2.1% volume growth when compared with the 1st Half 2015 (1,152 units).

In this context, the Distribution Area operational cash flow generation (EBITDA) increased 12.9% when compared with the same period in the previous year.

Automotive Retail

•

The number of new vehicles of the Volkswagen, Audi, Skoda and Volkswagen – Commercial Vehicles sold by the Soauto Dealerships (Soauto SA, Loures Automóveis, Rolporto and Rolvia) during the 1st Half 2016 was 2,258 units, a 2.4% increase when compared to the same period in the previous year. In the Used Cars business, the Soauto Dealerships sold 949 units, a 5.9% decrease when compared with the 1,008 units sold in the same period the year before.

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EBITDA in the Automotive Retail Area increased 62% when compared to the 1st Half 2015 to Eur 1.9 million (Eur 1.2 million during the first six months of 2015).

2. ECONOMIC AND FINANCIAL RESULTS •

Consolidated Turnover for the 1st Half 2016 was Eur 322.3 million, a 4.0% increase when compared with Eur 309.7 million recorded during the same period the year before.

•

Consolidated Effective Margin increased 4.0% when compared with the 1st Half 2015, representing 10.2% of Consolidated Turnover (10.2% in the same period in 2015).

•

Operational Expenses decreased 0.5% when compared with the same period in 2015, and therefore Consolidated EBITDA for the 1st Half 2016 (Eur 10.2 million) increased 15.5% when compared to the Eur 8.8 million recorded during the 1st Half 2015. SAG GEST – Soluções Automóvel Globais, SGPS, SA – Sociedade Aberta Sede: Estrada de Alfragide, nº 67 Amadora Capital Social: Eur 169.764.398,00 Matriculada na Conservatória do Registo Comercial da Amadora Número Único de Matrícula e de Identificação Fiscal 503 219 886 Escritório: Alfrapark – Estrada de Alfragide, nº 67, Edifício SGC – Piso 2 2614-519 Amadora Tel: 21 359 66 64 Fax: 21 359 66 74

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Earnings Before Interest and Taxes (EBIT) was Eur 9.3 million, a 21.3% increase when compared to approximately Eur 7.6 million during the 1st Half 2015.

•

Consolidated Net Financial Expenses recorded a substantial decrease of approximately Eur 4.7 million when compared to the 1st Half 2015. This significant decrease allowed EBITDA’s interest coverage ratio to be 1.3x the amount of interest expense, and was the result of the decrease in consolidated debt that resulted from the SAG Gest capitalization transactions completed in December 2015. Interest expenses decreased around Eur 5.0 million (59%), while other financial expenses recorded an increase of approximately Eur 0.2 million due to additional bank guarantees required to accommodate the seasonal purchase volume increase.

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Following the 2015 capitalization transactions, Consolidated Equity is no longer be exposed to exchange rate risk due to the sale of SAG Gest’s investment in Unidas, and remained basically unchanged when compared with the amount as at 31 December 2015. Consolidated Equity was only impacted by the negative results recorded during the 1st Half 2016 (Eur 0.3 million) and was Eur 21.9 million on 30 June 2016.

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Consolidated Net Debt as at 30 June 2016 was Eur 94.9 million, a decrease of approximately Eur 16.2 million (14.6%) when compared with Eur 111.1 million on 31 December 2015 due to seasonal decrease in working capital requirements.

Alfragide, 24 August 2016 José Maria Cabral Vozone Investor Relations

SAG GEST – Soluções Automóvel Globais, SGPS, SA – Sociedade Aberta Sede: Estrada de Alfragide, nº 67 Amadora Capital Social: Eur 169.764.398,00 Matriculada na Conservatória do Registo Comercial da Amadora Número Único de Matrícula e de Identificação Fiscal 503 219 886 Escritório: Alfrapark – Estrada de Alfragide, nº 67, Edifício SGC – Piso 2 2614-519 Amadora Tel: 21 359 66 64 Fax: 21 359 66 74

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CONSOLIDATED STATEMENT OF PROFIT AND LOSS (Unaudited) Consolidated Income Statement (Values in Eur 000)

6 months ended 30 June 2016

2015

% Chg

Sales Services Rendered Turnover

316 930 5 338 322 267

304 588 5 136 309 724

4,1% 3,9% 4,0%

Effective Margin % of Turnover

32 863 10,2%

31 595 10,2%

4,0%

(4 903) (849) (5 752)

(5 758) (867) (6 625)

-14,8% -2,1% -13,2%

(6 599) (10 298) (16 898)

(5 830) (10 298) (16 128)

13,2% 0,0% 4,8%

(22 650)

(22 754)

-0,5%

10 213 3,2%

8 842 2,9%

15,5%

(847) 24 99 (204)

(882) 9 (111) (204)

-3,9% 178,4% -188,8% 0,0%

9 284 2,9%

7 654 2,5%

21,3%

1 (3 453) (4 148) (7 600)

0 (8 420) (3 920) (12 340)

118,9% -59,0% 5,8% -38,4%

EBT % of Turnover

1 684 0,5%

(4 686) -1,5%

-135,9%

Income Taxes

(1 884)

(1 294)

45,5%

(200)

(5 980)

-96,7%

0 0

1 703 1 703

-100,0% -100,0%

(200)

(4 277)

-95,3%

(96)

(91)

5,4%

(296) -0,1%

(4 368) -1,4%

-93,2%

Outside Services & Supplies - Commercial Expenses Outside Services & Supplies - Car Expenses Sub Total Variable Expenses Outside Services & Supplies - Non Variable Expenses Payroll Expenses Sub Total Overheads Operating Expenses EBITDA % of Turnover Depreciation and Amortization Gains / (Losses) on Sale of Assets Provisions Impairments EBIT % of Turnover Income from Associated Companies - Equity Method Net Interest Other Financial Expenses Net Financial Income / (Expenses)

Net Profit from Ordinary Activities Net Profit from Discontinued Operations Sub-Total Discontinued Operations Net Profit Non-Controlling Interests Net Profit % of Turnover

SAG GEST – Soluções Automóvel Globais, SGPS, SA – Sociedade Aberta Sede: Estrada de Alfragide, nº 67 Amadora Capital Social: Eur 169.764.398,00 Matriculada na Conservatória do Registo Comercial da Amadora Número Único de Matrícula e de Identificação Fiscal 503 219 886 Escritório: Alfrapark – Estrada de Alfragide, nº 67, Edifício SGC – Piso 2 2614-519 Amadora Tel: 21 359 66 64 Fax: 21 359 66 74

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CONSOLIDATED STATEMENT OF THE FINANCIAL POSITION (Unaudited) Consolidated Statement of the Financial Position (Values in Eur 000)

Jan-16

Fixed Assets - Net Investments in Associates - Equity Method Consolidation Accounts Receivable - Related Parties Deferred Tax Assets

Dec-15

78,131 22 136,444 6,120

77,621 21 131,647 6,761

220,716

216,050

218,167 86,518 5,659 4,324 15,048

190,613 76,828 6,405 5,439 18,116

329,717

297,401

0

0

550,432

513,451

48,666 0 135,172 0 0 (161,645) (296)

48,570 0 135,172 0 0 (86,748) (74,897)

21,897

22,097

97,297 2,619 280

100,247 2,173 398

100,196

102,818

12,702 373,590 976 41,071

28,992 326,205 535 32,803

Current Liabilities

428,339

388,535

TOTAL LIABILITIES

528,535

491,354

TOTAL LIABILITIES & SHAREHOLDERS EQUITY

550,432

513,451

Non-Current Assets Inventories Accounts Receivable Current Income Tax Receivable Taxes Receivable - Other Than Income Taxes Cash & Marketable Securities Current Assets Non-Current Assets Held For Sale TOTAL ASSETS Registered Share Capital, Equity Reserves, Non-Controlling Interests Employee Stock Option Plan (Unidas) Supplementary Capital Payments Cummulative Translation Adjustments Cummulative Translation Adjustment - Goodwill Retained Earnings Current Period Profit / (Loss) TOTAL SHAREHOLDERS EQUITY Bank Debt - Medium and Long Term Deferred Tax Liabilities Provisions Non-Current Liabilities Bank Debt - Short Term Accounts Payable Current Income Tax Payable Taxes Payable - Other Than Income Tax

SAG GEST – Soluções Automóvel Globais, SGPS, SA – Sociedade Aberta Sede: Estrada de Alfragide, nº 67 Amadora Capital Social: Eur 169.764.398,00 Matriculada na Conservatória do Registo Comercial da Amadora Número Único de Matrícula e de Identificação Fiscal 503 219 886 Escritório: Alfrapark – Estrada de Alfragide, nº 67, Edifício SGC – Piso 2 2614-519 Amadora Tel: 21 359 66 64 Fax: 21 359 66 74

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