Company Profile 2017

S T R E N G T H S | I N N O V A T I O N | C O O P E R A T I O N S S T R E N G T H S | I N N O V A T I O N | C O O P E R A T I O N S

E X C E L L E N C E | I N N O V A T I O N | C O O P E R A T I O N S

New premisesConstruction

1600

E X C E L L E N C E | I N N O V A T I O N | C O O P E R A T I O N S

Strong presence in Greek two-Wheeler Market since 1947.

GORGOLIS name has been associated with pioneering work, dedication and perseverance in obtaining its targets.

GORGOLIS S.A. has established itselfas one of the most important motorcycleimporters and is the continuation of thefamily company MEGO, that has been theonly manufacturing company of motorcycles in Greece.

70 Years of Excellence

ATHENS International Motor ShowDealers’ visit to SYM factory, Taiwan

Launching and test ride of SYM ATV models

1st SYMROADTRIP GREECE-BULGARIA-ROMANIA

Financial growth

Know - how of Motororcycle Market.

Thorough knowledge of Motorcycle Homologation legislation and the effect of EU directives.

Member of the Association of Motor Vehicles Importers – Representatives.

Efficient organization utilizing all modern IS/IT methods and technology to achieve its goals from accounting and logistics to CRM and Marketing.

Extensive Dealer Network all over Greece.

Big emphasis on the After Sales Support. On line information service.

Big emphasis on the advertising campaign It is the company with the biggest advertising investment in the last seven years.

1997-2016: The sales over last years exceed 213,053 units.

After the continuous increasing share of the market, the company brought SYM in the first position in 2014, 2015 and 2016

GORGOLIS Strengths

S T R E N G T H S | I N N O V A T I O N | C O O P E R A T I O N S

SOURCE: ASSOCIATION OF MOTOR VEHICLE IMPORTERS-REPRESENTATIVES

GORGOLIS S.A. 29,5%

PIAGGIO 18,2%

HONDA 14,9%

YAMAHA 11,0%

KYMCO 7,4%

B.M.W. 1,8%

OTHERS 17,2%

MOTORCYCLE REGISTRATIONS FIGURES '17 (FIGURES UP TO AUG.)

to introduce cub 50cc with telescopic front fork and rear disc brake.

to introduce cub with European specifications.

to introduce cub 50cc equipped with rear disk brake.

to design and present a cub with special space for helmet.

to offer customer credit of 24 monthly interest free installments in the two-wheel market.

to offer a 2-year warranty period for a cub.

to offer to the end-user all spare parts necessary free for the first 25,000 kms for a cub.

to sell scooters with banking loans with free interest.

to offer free extended warranty to 4 years unlimited kilometres.

to introduce online communication with the workshops (via skype).

to obtain certified Quality System in After sales services (ISO 9001).

CONTINUOUS INNOVATIONS

FIRST

S T R E N G T H S | I N N O V A T I O N | C O O P E R A T I O N S

312 Thiseos st, Athens Branch

S T R E N G T H S | I N N O V A T I O N | C O O P E R A T I O N S

The company to maximize its share and secure its leading role in the Greek Motorcycle market has:

Designed and adapted MODENAS and DAYANG motorcycles to full European specifications.

Since 2002, DAYANG motorcycles have been promoted to the sales network under its own brand name DAYTONA.

In the year 2003 the company undertakes the exclusive distribution of SYM motorcycles for the Greek Market.

In the year 2006 the company undertakes the exclusive distribution of SYM motorcycles for the Cyprus, Bulgaria and FΥR Macedonia market.

In the year 2011 the company undertakes the exclusive distribution of SYM motorcycles for the Romanian market.

In the year 2011 the company undertakes the exclusive distribution of scooters Quadro for the Greek market.

In the year 2013 the company is jointly involved in the import and distribution of the GIANT bicycles for the Greek market.

Exported motorcycles to 7 European countries in 2016.

In the year 2017 the company undertakes the exclusive distribution of SYM motorcycles for the Albanian market.

COOPERATIONS

1947 Bicycles sales by N. Gorgolis.

1951 Production of motorized tricycles.

1962 Formation of MEGO Ltd production of 50cc motorcycles.

1968 Production of 125cc motorcycles with SACHS engine.

1971 Production of 50cc moped.

1977 MEGO becomes S.A. and the two sons of the founder - Andreas and Vasilis join the company.

MILESTONES

M I L E S T O N E S | I N N O V A T I O N | C O O P E R A T I O N S

M I L E S T O N E S | I N N O V A T I O N | C O O P E R A T I O N S

1990 GORGOLIS S.A. is formed by the two Gorgolis brothers. Importation and distribution of motorcycles from Japan.1992 The autonomous company NIPPONIA BOEKI Ltd. is formed in Japan by Andreas Gorgolis.1993 GORGOLIS S.A. moves to new owned premises in Trikala. 7,000 sq. meters of land with buildings of 1,800 sq. meters.1996 Exclusive Sales Agreement with the Chinese company DAYANG.1997 Exclusive Sales Agreement with the Malaysian company MODENAS and the Italian company BENELLI.1998 GORGOLIS S.A establishes the new owned showroom, 347 sq. meters in Athens as sales point of motorcycles and spare parts. GORGOLIS S.A becomes the owner of a 1,350 sq. meters of land in Athens, Nea Philadelfia, with an easy access for the establishment of distribution center.2000 Extension of the company premises by 1,100 sq. meters in Trikala. 2001 GORGOLIS S.A becomes the owner of 19,000 sq.meter land attached to the premises in Trikala to build new utility areas.2003 Completion of the new 1,500 sq. meters building in Trikala. Commercial Agreement with Aprilia Hellas S.A. Founding of a new branch in Athens. Affiliated companies are established : NIPPONIA EUROPE Ltd in Greece with a separate distribution channel and NIPPONIA CARIBE C.X.A. in Dominican Republic undertaking the distribution of motorcycles. Exclusive sales agreement with Sanyang Industry of Taiwan.2008 Completion of a new 1,618 sq. meters building in Trikala, as spare parts logistics center.2009 Purchase of a 4,000 sq. meters land near Trikala city, for future establishments.2015 Establish a new 300 sq.meters showroom in Athens.

MILESTONES

KEY FACTS

K E Y F A C T S | I N N O V A T I O N | C O O P E R A T I O N S

N.GORGOLIS : Founded in 1947

GORGOLIS SA: Founded in 1990

Location: 6th km Larissis Road, Trikala, GreeceTrikala Premises: 26,000 sq.meters land with 6,018 sq.meters covered area.

Scope: Imports and distribution of motorcycles

Turnover (2016): 21.791.206 EUR

Dealers: 350

Units sold (2016): 11.791

New premisesConstruction

1600New Warehouse in Trikala

STAFF DISTRIBUTIONSales: 6 peopleSales Assistants: 10 peopleEDP - Accounting: 5 peopleIS/IT: 1 personImports Dept.: 2 people PR-Creative Dept.: 2 people Spare parts: 15 peopleTechnical/service: 9 people

TOTAL: 50 people

S T A F F | I N N O V A T I O N | C O O P E R A T I O N S

KEY PEOPLEGorgolis family

Gorgolis family owns the 100% of GORGOLIS S.A. shares

Messrs Andreas and Vasilis Gorgolis have formed GORGOLIS SA after having worked for 10 years in the family company MEGO S.A. being managers and shareholders. MEGO had been the only Greek company to produce motorcycles of Greek design since 1962, having a close cooperation with factories MINARELLI Spa - Italy and SACHS MOTORS - Germany.

Though GORGOLIS SA is staffed with efficient people the family character is preserved as the new generation Victor, Aris and Alexandros Gorgolis carry on the company tradition.

INFORMATION about Motorcyclesales in the Greek marketSALES & MARKET SHARE PER CATEGORY (over 50cc)

SALES 50cc MOTORCYCLES 2014-201650cc figures are not accurate as not full recorded by the official registration office.• 2014 --> 8.178• 2015 --> 8.539• 2016 --> 6.871

I N F O R M A T I O N A B O U T M O T O R C Y C L E S A L E S

17.30%

19.50%

23.60% 24.50%

25.90% 26.63%

23.19%

29.53%

15.00%

17.00%

19.00%

21.00%

23.00%

25.00%

27.00%

29.00%

31.00%

2010 2011 2012 2013 2014 2015 2016 2017Σειρά1 17.30% 19.50% 23.60% 24.50% 25.90% 26.63% 23.19% 29.53%

The continuous ascending course of GORGOLIS GROUP sales has brought the company in the 1st place among the Greek motorcycle importers.

*incl. figures up to Aug. 2017

GORGOLIS MARKET SHARETotal market of motorcycles over 50cc

2014 2015 2016

CATEGORY UNITS MARKET SHARE UNITS MARKET

SHARE UNITS MARKET SHARE

SCOOTERS 18566 57,52% 19499 56,54% 22347 53,82%

CUBS Asian type 9079 28,13% 9411 27,29% 12164 29,30%

MOTORCYCLES 3283 10,17% 3492 10,13% 4009 9,66%

3 WHEELS/4 WHEELS 1350 4,18% 2083 6,04% 3000 7,23%

TOTAL 32,278 100,00% 34,485 100,00% 41,520 100,00%

company among the Greek motorcycle importersst

S U M M A R Y F I N A N C I A L S T A T E M E N T

Summary Financial Statements of GORGOLIS S.A. Balance sheet

I.ASSETS 31/12/2016 31/12/2015 LIABILITIES 31/12/2016 31/12/2015

I. FIXED ASSETS I. NET WORTHIntangible assets 9 9 Share Capital 4,406,218 4,406,218Tangible assets 2,778,987 2,880,781 Reserves 1,759,385 1,686,375Financial assets 128,842 64,347 Profit Carried Forward 1,827,776 2,921,027TOTAL 2,907,838 2,945,137 Total Net Worth 7,993,379 9,013,620

II. CURRENT ASSETS Provisions 215,368 215,368

Inventories 4,052,083 3,305,249 II. LONG TERM DEBTAccounts Receivable 671,540 606,896 Total Long-Term Debt 1,042,083 707,250Notes Receivable 1,040,449 1,552,381Notes Receivable overdue 319,343 92,753 III. CURRENT LIABILITIESSundry Debit Accounts 121,827 127,108Cash & Sight Deposits 3,863,894 4,414,096 Suppliers 734,793 403,827

Notes payable 182,575 165,006Total Current Assets 10,069,136 10,098,483 Bank Credits 444,778 2,527,087

Customers Advances 21,278 135Taxes Payable 213,551 271,588

III. PREPAYMENT AND ACCEND INCOME

407,910 1,236,034 Sundry Credit Accounts 14,653 16,803

Current portion of long term debt 0 0Dividends payable 2,451,861 895,316

TOTAL ASSETS 13,384,884 14,279,654 Social Security Organ 70,565 63,654Total Current Liabilities 4,134,054 4,343,416IV. TOTAL LIABILITIES 5,176,137 5,050,666

Accrued expenses 0 0

GRAND TOTAL 13,384,884 14,279,654

PROFIT & LOSS STATEMENT

2016 2015Net sales 21,761,206 19,094,445Less: Cost of sales 16,270,263 13,933,978Gross Margin 5,490,943 5,160,467 Plus:Other operating income 152,721 142,350

Less: General Expenses 654,085 755,696 Sales Expenses 2,422,098 2,161,362

Operating Profit 2,567,481 2,385,759

Plus: Financial and nonoperating income

32,762 19,797

Less: Financial Charges and nonoperating expenses

161,112 211,046

NET PROFIT BEFORE TAXES 2,439,131 2,194,510

PROFIT DISTRIBUTION

2016 2015

Net profit 2,439,131 2,194,510Minus 73,009 79,957Plus: 0 0Profit brought forward 2,921,027 2,767,433

Balance

Minus*: Income tax 746,789 720,856

Profit for Distribution 4,540,360 4,161,029

Distributed as follows:1. Different Provisions 0 02. Board of Directors 2,712,585 1,240,0013. Carried Forward 1,827,775 2,921,027

*Tax differences from previous years

years of Excellence

InnovationCONTINUOUS

imports@gorgolis.gr | www.gorgolis.gr

6th km Larissis Rd. | 42100 Trikala - Greece | Tel. +302431056101 | FAX: +302431056105Athens Branch: 309 Thiseos st. | 17674 Athens - Greece | Tel. + 302109403880 | FAX: +302109403240

Customer satisfaction