Moscow, Russia – 9 June 2022 – Sistema PJSFC (“Sistema”, the “Corporation”, or together with its subsidiaries and affiliates the “Group”) (LSE: SSA, MOEX: AFKS), a Russian publicly traded investment company, announces its unaudited consolidated financial results in accordance with International Financial Reporting Standards (IFRS) for the first quarter of 2022 (1Q 2022) ending 31 March 2022.

1Q 2022 FINANCIAL RESULTS

• Consolidated revenue grew by 26.2% year-on-year to RUB 216.4 billion.

• Adjusted OIBDA increased by 22.0% year-on-year to RUB 69.4 billion.

• Adjusted OIBDA margin was 32.1%.

KEY HIGHLIGHTS IN 1Q 2022 AND AFTER THE REPORTING PERIOD

• High level of dividend income. In May 2022, the Board of Directors of MTS recommended that the Annual General Meeting of Shareholders approve a dividend payout for 2021 in the amount of RUB 66.3 billion.

• In January 2022, Sistema received interim dividends from Segezha Group for 9Ě 2021 in the amount of RUB 4.1 billion. In May 2022, the General Meeting of Shareholders of Segezha Group approved final dividends for 2021 in the amount of RUB 10.0 billion.

• Increased stake in the real-estate business. In May 2022, Sistema increased its effective share in Etalon Group to 48.8% with the acquisition of 72.9 million global depositary receipts for RUB 4.5 billion.

• Continuation of foreign listing. In May 2022, Sistema received permission to continue trading in its depositary receipts outside Russia until 13 May 2023.

In 1Q 2022, Sistema’s consolidated revenue increased by 26.2% year-on-year to RUB 216.4 billion, driven by revenue growth at key assets: at MTS, thanks to higher revenues from telecommunication services and the development of smart targeted advertising services; at Segezha Group, due to higher sales volumes, positive pricing dynamics for key products, a positive impact from ruble depreciation as well as the consolidation of assets acquired in 2021; at Steppe, primarily due to an increase in milk production and sales as well as the aggressive development of niche crops trading; at Medsi, due to increased patient flows, the opening of new clinics and revenue from clinics acquired in late 2021. The consolidation of Binnopharm Group’s results in Sistema’s financial statements from 25 June 2021 also had an impact on the Corporation’s revenue.

The Group’s adjusted OIBDA increased by 22.0% year-on-year to RUB 69.4 billion in 1Q 2022 primarily as a result of higher adjusted OIBDA at subsidiaries: at MTS, following revenue growth in the telecom segment, higher margins and optimisation of retail network expenses; at Segezha Group, due to a considerable increase in revenue as well as improvements in operational and production efficiency; at Steppe, mainly as a result of effective sales of surpluses from the previous season’s record harvest and improved performance in trading operations and in the Dairy segment.

Group SG&A expenses rose 28.2% year-on-year in 1Q 2022, mainly on the back of an increase in SG&A at MTS, Segezha Group and Steppe, as well as the consolidation of Binnopharm Group’s results. SG&A at MTS increased as a result of accruals under the updated options programme for management and increased advertising expenses to develop the fintech segment and other ecosystem products. SG&A at Segezha Group increased as a result of revenue growth, as well as the consolidation of the assets of the Novoeniseisk Wood-Chemical Complex and Inter Forest Rus. The increase in SG&A at Steppe was mainly due to accruals under the LTI programme.

Group capex increased by 38.5% to RUB 52.3 billion in 1Q 2022 mainly due to increased investments in telecom and IT equipment at MTS.

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