Nemetschek SE

Earnings Release • Mar 29, 2018

Nemetschek Group

Financial Results 2017 Outlook 2018 and Mid-Term Goal 2020

Nemetschek's key achievements: #2 biggest listed software company in Germany

4-year TSR*:

▌ Peer group²

▌ We generate high shareholder returns¹

▌ Nemetschek: ~500%

▌ TecDAX : ~120%

: ~110%

• • ▌ We outperform our peers²
  • 4-year revenue CAGR: ▌ Nemetschek: >20%
  • ▌ Peer group² : <10%

▌ We keep our promises

FY 2017:

▌ Strong revenue growth by +17.3% to € 395.6m

▌ EBITDA guidance with € 108.0m exceeded

▌ We have become a global player

▌ Impressive track record:

the world's largest / most competitive AEC market

5-year CAGR of 45% in the US –

• ▌ We deliver high profitability despite significant growth investments
• ▌ Focus on growth: Double-digit revenue growth with sustainable EBITDA margin corridor of 25%-27%

2

¹ TSR: Total shareholder return: Share price performance + dividend | ² Peer group: International software companies

Nemetschek's industry achievements: #2 biggest global player in AEC

Financial Results FY 2017

Outstanding success in the US: Worldwide largest single AEC market

2012 2017

Exemplary growth story in the US:

▌ With roots in Germany, Nemetschek increased its revenues with a 5-year CAGR of 45% in the biggest and most competitive market, the USA

6

Key achievement:

▌ Nemetschek has become a global player

Segment overview: Build segment is key growth driver

Revenues in €m

High cash generation: Cash conversion of more than 90% allows for strategic M&A

8

MARCH 2018

Outlook 2018/ Mid-Term Goal 2020

Mid-term goal 2020: Secure future double-digit growth while maintaining a high EBITDA margin

¹ The revenue outlook is based on planned exchange rate of 1.18 EUR/USD

Strong operating profit and additional extraordinary investments of €10 million in 2018

Key drivers & fields of investments

• 1 Internationalization
• Next generation products & solutions
• 3 Operational excellence

Taking advantage of market leaderships

▌ Strong US brands support US market entry for European brands and vice versa

Focus on markets with biggest potential

▌ USA followed by Europe and Asia

Architecture & structural engineering

▌ Targeting large customers by combining superior discipline specific products into total BIM-workflow solutions

Collaboration

• ▌ Development of a group-wide UK BIM compliant Common Data Environment (CDE)
• ▌ Huge market potential: Collaboration market size of >€1 bn with a midteens growth rate

Increase efficiency

▌ Implementation of a groupwide harmonized core application infrastructure to leverage process efficiency

Excellent positioning in dynamically growing market

¹ Source: Cambashi

Financial Calendar

03

April 27, 2018	Publication of 3-month report
May 30, 2018	AGM in Munich
July 27, 2018	Publication of 6-month report
2 nd half of 2018	Capital market day
October 30, 2018	Publication of 9-month report

MARCH 2018 CAPITAL MARKET PRESENTATION

€m	Q4 2017	Q4 2016	% YoY	12M 2017	12M 2016	% YoY
Revenues	105.7	91.9	+15.1%	395.6	337.3	+17.3%
Own work capitalized/other operating income	1.4	1.4	+0.8%	4.8	7.0	-30.4%
Operating income	107.1	93.3	+14.8%	400.4	344.3	+16.3%
Cost of materials/purchased services	-3.3	-3.0	+8.9%	-12.9	-10.9	+18.0%
Personnel expenses	-45.0	-41.5	+8.6%	-172.6	-151.2	+14.2%
Other operating expenses	-27.3	-27.4	-0.3%	-106.9	-94.1	+13.6%
Operating expenses	-75.6	-71.9	+5.2%	-292.4	-256.3	+14.1%
EBITDA	31.5	21.4	+47.2%	108.0	88.0	+22.7%
Margin	29.8%	23.3%		27.3%	26.1%
EBITDA (w/o one-time effect)	31.5	21.4	+47.2%	108.0	86.1	+25.5%
Margin (w/o one-time effect)	29.8%	23.3%		27.3%	25.5%
Depreciation of PPA and amortization	-5.4	-4.8	+13.3%	-21.6	-18.3	+17.7%
t/o PPA	-3.3	-2.8	+18.0%	-13.5	-11.1	+22.1%
EBITA (normalized EBIT)	29.4	19.4	+51.3%	99.9	80.7	+23.8%
EBIT	26.1	16.6	+57.0%	86.4	69.7	+24.1%
Financial result	8.6	0.1		8.0	-0.5
EBT	34.7	16.7	+107.8%	94.4	69.2	+36.5%
Income taxes	-2.2	-5.7	-60.3%	-17.6	-20.3	-13.5%
Non-controlling interests	-0.6	-0.5		-2.2	-1.9
Net income (group shares)	31.8	10.7	+198.5%	74.7	46.9	+59.1%
EPS in EUR	0.83	0.28	+198.5%	1.94	1.22	+59.1%
1 Net income (group shares w/o special effects)	19.7	10.7	+84.5%	62.4	45.6	+33.0%
1 EPS in EUR (w/o special effects)	0.51	0.28	+84.5%	1.62	1.18	+33.0%

¹ w/o positive special effects of 12.2 m€ in total (thereof: 7.6 m€ financial result and 4.6 m€ in taxes because of US tax reform and release of deferred tax provisions)

€m	December 31, 2017	December 31, 2016
Assets
Cash and cash equivalents	104.0	112.5
Trade receivables, net	41.0	38.8
Inventories	0.6	0.6
Other current assets	13.5	16.0
Current assets, total	159.1	167.9
Property, plant and equipment	14.9	14.3
Intangible assets	86.9	89.7
Goodwill	192.7	177.2
Other non-current assets	7.3	5.7
Non-current assets, total	301.7	286.8
Total assets	460.8	454.7

€m	December 31, 2017	December 31, 2016
Equity and liabilities
Short-term borrowings and current portion of long-term loans	36.0	26.0
Trade payables & accrued liabilities	43.7	40.7
Deferred revenue	68.1	55.3
Other current assets	18.0	24.1
Current liabilities, total	165.7	146.1
Long-term borrowings without current portion	43.9	70.2
Deferred tax liabilities	13.5	20.6
Other non-current liabilities	9.6	15.7
Non-current liabilities, total	67.1	106.5
Subscribed capital and capital reserve	51.0	51.0
Retained earnings	193.2	144.0
Other comprehensive income	-18.7	4.4
Non-controlling interests	2.5	2.8
Equity, total	227.9	202.1
Total equity and liabilities	460.8	454.7

NEMETSCHEK
GROUP

€m	December 31, 2017	December 31, 2016	% YoY
Cash and cash equivalents at the beginning of the period	112.5	84.0	+34.0%
Cash flow from operating activities	97.4	79.7	+22.3%
Cash flow from investing activities	-54.6	-47.5	+14.8%
t/o CapEX	-8.8	-7.4	+19.2%
t/o Cash paid for business combinations	-45.4	-40.4	+12.2%
Cash flow from financing activities	-44.8	-5.5
t/o Dividend payments	-25.0	-19.3	+30.0%
t/o Cash received from bank loans	10.0	38.0
t/o Repayments of borrowings	-26.0	-22.2	+17.1%
FX-effects	-6.6	+1.9
Cash and cash equivalents at the end of the period	104.0	112.5	-7.6%
Free cash flow1	42.8	32.2	+33.3%
Free cash flow1 (w/o acquisition effects)	88.2	72.6	+21.5%

¹ Operating cash flow – Investing cash flow

Contact

NEMETSCHEK SE

Investor Relations Konrad-Zuse-Platz 1 81829 Munich Germany investorrelations@nemetschek.com www.nemetschek.com

Disclaimer

This presentation contains forward-looking statements based on the beliefs of Nemetschek SE management. Such statements reflects current views of Nemetschek SE with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially from those projected here, due to factors including changes in general economic and business conditions, changes in currency exchange, the introduction of competing products, lack of market acceptance of new products, services or technologies and changes in business strategy. Nemetschek SE does not intend or assume any obligation to update these forward-looking statements.