LETTER TO STAKEHOLDERS

Meeting the needs of present generations without compromising the possibilities for future generations has always been the fundamental principle of sustainable development. While the commitment of governments and international institutions is crucial in pursuing this goal, there is another side to the coin. As Kathleen Rogers, President of Earth Day Network, reminded us, real change must come 'from below', by putting into practice everyday actions that safeguard the environment over time. Today, more people than ever before can read and write, have access to the Internet, and can inform themselves in just a few clicks on a mobile phone or computer. The wealth of knowledge available to mankind is immense. No one can be said to be unaware. It is us who have to make a difference and give deeper meaning to the term sustainability, which finds its roots in the notions: sustain, defend, care, preserve.

This is why the Sustainability Report 2023 is not merely the fulfilment of a formal obligation or a periodic requirement to get out of the way in a perfunctory manner. On the contrary, it is an opportunity to reflect on the logic according to which an organisation creates, collects and distributes value, taking into account not only profit but also care for the environment and the relationship with stakeholders. We have come a long way, but our challenge is to go the extra mile and improve on our achievements in the future by increasingly integrating social and environmental responsibility into every area of our activity.

Reducing emissions is the only way for us to safeguard our future and the fate of future generations. This is why we have decided to adopt strict guidelines, investing in process sustainability and committing ourselves to monitoring Scope 3 emissions, i.e. emissions generated by the entire value chain. Scope 3 is a fundamental lever for sparking a truly virtuous circle in the relationship with stakeholders, fostering the dissemination of serious and transparent behaviour, in accordance with the principles of the UN Global Compact of which we have been a member since 2021.

So, it is about environmentalism made of concrete actions. This is the same approach we have adopted in the development of our racecourses: multi-purpose meeting places, but also veritable training centres of sustainability. In 2023, we continued with the project to enhance the Snai San Siro Racecourse, which we are transforming into a true meeting point for all equestrian sports — from gallop racing to eventing and harness racing — as well as a hot spot for the city of Milan. Hosting the 2023 European Show Jumping Championships was an extraordinary reward for us, the culmination of the ambitious three-year project that began with the Milano Jumping Cup, which was well-received by observers, technicians and managers of the International Federation. In line with our ongoing commitment to equestrian sports, we have renewed our television offering. Whilst 2022 was marked by the launch of EQUtv, the television station dedicated to the world of horses broadcast on digital terrestrial, tivùsat and Sky, 2023 saw its consolidation with a new, appealing, popular and transversal programming, and the production of original content such as the documentary “Io sono Varenne, il figlio del vento”, a work of which we are truly proud.

In 2023, we continued to support the projects of several non-profit associations and organisations through Fondazione Snaitech. Our entire team has been involved in this journey, participating with great enthusiasm in corporate volunteering initiatives dedicated to environmental protection and support for the more vulnerable sections of society. More generally, we mobilised 133 volunteers and supported more than 70 third sector organisations on projects impacting more than 11,000 people. The focus on our people has naturally developed through an advanced welfare platform centred on their well-being. We increased staff training hours by 89% and focused on strengthening digital skills. We are also satisfied with the results achieved in terms of gender balance, with women making up 45% of the company. In the same way, we have recorded 38% of new hires under 30 years of age. In an increasingly dynamic and competitive market, attracting and retaining future talent becomes a crucial aspect of a corporate strategy. For this reason, we have introduced a series of tools for identifying trends and engaging with young people entering the world of work, such as the 'Coding Challenge': an innovative recruitment method for talented young people invited to compete in a sort of computer language competition, or the 'Speed Date STEM', another initiative through which we have opened the doors of our company to the skills of the future.

In 2023, the social and environmental impact of the Snaitech Group went hand in hand with the economic results that confirm the solidity of our company and the fundamental role it plays in Playtech. We achieved our set targets in terms of Ebitda and confirmed our market strength and brand credibility in 2023. Snaitech continued its excellent performance in the betting sector with growth in both retail and online. We are also transforming all points of sale into social venues of aggregation and entertainment, certain that omnichannelity is a lever of fundamental importance.

In order to make the most of these synergies, we have reinforced our investments in innovation and new technologies, aware that we are crossing the frontier of Artificial Intelligence and that whoever exploits it best will gain an important competitive advantage, especially if they succeed in creating truly customised experiences for the consumer. These are just some of the strategic objectives that guided Snaitech's actions in 2023. Of course, I invite you to read the following pages to learn about our actions in greater detail. I would like to close with one last thought. I firmly believe that creating a business model that is attentive to the environment and social well-being means giving value to our way of doing business and generating credibility, which is an intangible asset that represents the true reputational capital of a company and the guarantee of being able to create wealth in the long term. This is something we are building through the shared goals, commitment and enthusiasm of all those who are part of the Snaitech family; dedication and teamwork of which I am truly very proud.

Fabio Schiavolin

CEO Snaitech Group