Tadiran Group Ltd.

Investor Presentation • Nov 20, 2024

Company Presentation, November 2024

Tadiran Group

Forward-looking information

This presentation was prepared by Tadiran Group Ltd. (hereinafter: "the company" and/or "the group" and/or "Tadiran") as a general presentation about the company and is not intended to replace the need to review the company's full reports to the Securities Authority and the Stock Exchange Value in Tel Aviv Ltd. including, among other things, the company's periodic reports including the company's periodic report for 2023, the report for the first, second and third quarters for 2024 and immediate reports of the company (hereinafter: "company reports") and the company's reports should be reviewed before making a decision regarding Investment in the company's securities.

The information included in the presentation does not constitute advice, a recommendation, an opinion regarding investment, does not constitute an offer to invest and/or purchase the company's securities (and in particular does not constitute an "offer to the public" or "sale to the public" of any kind) and does not replace an independent examination and advice Personal in accordance with the special data of each investor. Such an offer will be made only subject to the provisions of the law, after receiving the required permits for this from the Securities Authority and the stock exchange. This presentation includes a summary of the issues described in the context in which they are discussed and not the full information available to the company in relation to these issues. includes the full results and financial information of the company and the explanations thereof and/or the company's business plans or the description of all its activities and/or the company's risk factors.

The facts and data that served as a basis for the information detailed in this presentation are based on information as known to the company at the time of preparation of this presentation, including data published by entities external to the company, the content of which has not been independently checked by the company and therefore the company is not responsible for their correctness, and they do not constitute company presentations.

This presentation may include forward-looking information as defined in the Securities Law, 1968-5778 (hereinafter: "forward-looking information"), including forecasts, subjective assessments of the company's management as of the date of publication of the presentation, which, although the company believes that they are reasonable, that are inherently uncertain, estimates and information regarding future events. The forward-looking information refers only to the date to which it refers and is uncertain, cannot be estimated in advance, is affected by factors that are not within the control of the company, each of which or a combination of them, as well as the realization of which risk factors that characterize the company's activity, may materially harm the results of the company's activity and cause the actual results to be materially different from the forward-looking information. With the exception of an obligation to disclose information as required by the securities laws applicable to the company, the company does not undertake to update or change any information included in this presentation in order to reflect events and/or circumstances that will apply after the date of its editing. It is clarified that the company's plans and strategy contained in this presentation are correct at the time of their publication and can and will change in accordance with the decisions of the company's board of directors as they may be from time to time. The company's assessments regarding the company's goals are based, among other things, on the company's assessments regarding the trends in the

company's business in particular and trends in the market in which the company operates in general, as well as the company's management's assessments regarding the potential and trends in the market in Israel and the international markets as of this date. These estimates may not materialize and/or materialize in a materially different manner from the company's estimates, among other things, as a result of factors external to the company and which are beyond the company's control, including, among other things, changes in the economic situation in the Israeli economy in general and in the market in which the company operates in particular, the development of new trends and/or Different from those that the company's management estimates as of this date, regulatory changes and the realization of which of the risk factors described in the company's reports and the possible effects of the war of iron swords, etc. To the extent that there is a contradiction between what is stated in this presentation and what is stated in the company's reports

required by law, what is stated in the company's

reports will prevail.

Comprehensive End-to-End Solutions

Electric Vehicle Charging – AC & DC Systems

Aluminum Profiles

Tadiran Solar	Energy Solutions	EFS Fire and smoke safety solutions and products
One-stop shop for solar energy systems in Israel	Energy storage systems, UPS, batteries, and vehicle charging management systems

Group Structure

Tadiran Consumer Goods

Home and commercial air conditioning

Heat Pumps

White consumer goods

Fire and smoke safety solutions and products

EV charging

Factories in Israel including advanced laboratories and rigorous quality control.

Complex logistics system of import, production, storage and distribution. Efficient inventory process that allows for work in dynamic market conditions and a wide range of projects.

Local Israeli R&D department. Connection to startups and nurturing entrepreneurship

Leading in-house customer service department. Tadiran Xpert team to support every complex project

Management of a broad product portfolio of leading global brands in both air conditioning and new energy

Trade Service Innovation Supply Chain Manufacturing

Full End-to-End Value Chain

Energy storage systems

End -to

EV charging

Smart AC and DC charging stations managed by an app for remote control. Service and warranty by Tadiran

Solar systems – End to end solutions

World -Leading Products With Professional Support from Experts Throughout the Entire Process And Construction Manufactured in Israel to Suit Each Project

Aluminum profile manufacturing

• Innovative technological solutions for a wide range of sectors
• Israeli local production
• Production capacity of 800 tons per month
• Aluminum profiles for the industrial sector
• Aluminum anodizing plant located in Karmiel
• Constructions for Tadiran solar systems
• Fully automated factory with no human touch
• Green factory
• Utilization of natural gas

Renewable Energy | Tadiran Aluminum

Fire and smoke protection solutions

Factory expertise:

Development, production, installation and sale of products for passive fire protection and related products for air movement - with Israeli, European and American standards.

Products:

Fire and smoke shelves, silencers, fire and smoke curtains, ceramic sheets and related products.

Tadiran Arava

Expertise:

Arava operates in the field of planning and execution of aluminum cladding, curtain walls and in the future BIPV cladding (structure integrated solar panels).

Expertise:

• Design, import, distribution and trade of energy solutions for the private and industrial market.
• Photovoltaic systems for renewable energy and energy storage.

Italian company

Products:

• Solar panels, inverters, energy storage systems, mounting systems, heat pumps and EV charging

stations.

Main developments in the third quarter and nine months of 2024

• Consumer goods segment Revenues and operating profit in the first nine months and the third quarter of 2024 increased compared to the corresponding periods last year, as a result of a quantitative increase in air conditioner sales and the seasonality that characterizes the sector and the improvement of procurement and transportation costs.
• Energy segment in Europe We experienced a slowdown starting at the beginning of 2023 and this is mainly due to a macro change, including a drop in electricity prices, an increase in the interest rate, surplus batteries, a drop in panel prices and the update of incentives in the domestic sector.
• Energy segment in Israel It was characterized by an increase in income compared to the corresponding nine months last year mainly as a result of the timing of the recognition of income from the storage projects.

The aforementioned information in relation to the company's estimates regarding the expected annual operating profit rate in the field of consumer products, as well as the company's estimates regarding the positive effects of the regulatory changes on the renewable energy market in Israel and Italy, is forward-looking information as defined in the Securities Law, 1968-5778 based on the information found in the company's hands and the company's estimates as of this date. The aforementioned information and estimates may not materialize and/or materialize in a materially different manner, and there is no certainty as to the realization of the company's estimates as detailed above, among other things, due to factors that are not known to the company as of this date and are beyond its control, including, Among other things, the continued development of the war and its direct and indirect effects on the economic, business and security situation in the State of Israel, changes in the macro environment in Israel and in the world which may affect, among other things, the extent of demand for the company's products, the manner in which the regulatory procedures are promoted by the various parties and their actual effect on the energy market in Israel and Italy as well as a result of the realization of which of the risk factors listed in section 38 of part A of the company's periodic report for 2023.

Tadiran Group	Q3	Q3	Change	9m	9m	Change	FY
(NIS millions) in	2024	2023	%	2024	2023	%	2023
Revenues	599 0	642 3	6 8% -	1 416 1 ,	1 494 3 ,	5 2% -	1 954 5 ,	The first nine months of 2023 include a one
profit Gross	124 7	105 9	17 7%	281 4	256 8	9 6%	5 327	time profit from the
Gross margin	20 8%	16 5%		19 9%	17 2%		16 8%	sale of the "Escotec" activity in the amount
profit Operating	53 5	49 3	8 4%	64 6	132 5	51 3% -	157 1	of approximately NIS 45.8 million.
Operating margin	8 9%	7% 7		4 6%	8 9%		8 0%
profit adjusted Operating
for one-off items	53 7	49 0	9 7%	94 5	85 7	10 2%	110 2	The first nine months of 2024 include a one
Operating margin	9 0%	7 6%		6 7%	5 7%		6% 5	time expense goodwill impairment
EBITDA	67 2	61 6	9 2%	135 2	123 3	9 6%	162 3	the amount of NIS 29.5
EBITDA margin	11 2%	9 6%		9 5%	8 3%		8 3%	million.
profit Net	32 8	40 0	18 0% -	42 6	90 9	53 2% -	96 2	The net profit for the
profit margin Net	5 5%	6 2%		3 0%	6 1%		4 9%	third quarter 2023 also
								includes a profit from revaluation of liabilities for a put option in the amount of NIS 15.4 million

Q3-2024 & 9m-2024 Financial Results

Financial Results

Consumer Goods Division

• Revenues and operating profit in the first nine months and the third quarter of 2024 increased compared to the corresponding periods last year, as a result of a quantitative increase in air conditioner sales and the seasonality that characterizes the sector and the improvement of procurement and transportation costs.
• Third quarter revenues increased by approximately 5.7% and operating profit increased by approximately 9.6% compared to the corresponding period last year.
• The operating profit margin in the quarter is approximately 11.1% and in the nine months approximately 8%.
• We estimate that the operating profit margin for 2024 will be approximately 8-7%. Revenues 9m 2023/2024 Quarterly revenues 2024

NIS in millions

Revenues Q3 2023/2024

The aforementioned information in relation to the company's estimates regarding the expected annual operating profit rate in the field of consumer products, is forward-looking information as defined in the Securities Law, 5778-1968 based on the information available to the company and the company's estimates as of this date. The aforementioned information and estimates may not materialize and/or materialize in a materially different manner, and there is also no certainty as to the realization of the company's estimates as detailed above, among other things, due to factors that are unknown to the company as of this date and are beyond its control, including, among other things, the continued development of the war and its direct and indirect effects on the economic and business situation and security in the State of Israel, changes in the macro environment in Israel and in the world which may affect, among other things, the scope of demand for the company's products, as well as a result of the realization of which of the risk factors listed in section 38 of part A of the company's periodic report for 2023.

Renewable Energy Division

• The decrease in income in the third quarter compared to the corresponding quarter last year, is mainly a result of the timing of the recognition of the income of energy storage projects.
• The operating profit margin excluding one-time expenses was about 6.5% compared to a rate of about 4.9% in the corresponding quarter last year, the improvement in operating profitability is mainly a result of the improvement of procurement costs in the energy storage projects and solar systems.
• An improvement in the operating profit margin for the nine months of 2024, which was mainly due to the improvement of procurement costs in the energy storage projects and solar systems.

NIS in millions

Revenues 9m 2023/2024

9m-2023 9m-2024

9m-2023 9m-2024 37.1 36.1 4.8% 5.2% Segment operating profit before other income (expenses) and margin 9m 2023/2024 -2.6%

Quarterly revenues 2024

Revenues Q3 2023/2024

Q3 2023 Q3 2024 Segment operating profit before other income (expenses) and margin Q3 2023/2024

Renewable Energy Division

• The energy sector in Israel was characterized by an increase in income compared to the corresponding nine months last year mainly as a result of the timing of the recognition of income from the energy storage projects.
• The energy sector in Europe is experiencing a slowdown that started at the beginning of 2023 and this is mainly due to a macro change, including a drop in electricity prices, an increase in the interest rate, surpluses, a drop in panel prices and the update of incentives in the domestic sector..

Revenues Q3 2023/2024

NIS 1.8 billion

Updating the company's strategic plan for 2026

2023 Revenue: NIS 0.9 billion

2023 Revenue: NIS 1.1 billion

Maintaining the leadership and expanding the air conditioning activity in Israel by increasing market share in the local market

The growth of the existing activities based on the company's capabilities as well as the expected regulatory developments in the solar market in Europe, Italy and Israel, including in the field of energy storage

2026 Revenue: 2026 revenue: NIS 1.2 billion

Target operating profit margin of about 10%

The information regarding the goals and the business strategy of the group as described above and the company's estimates regarding the dates in which it will realize the aforementioned goals as well as the manner in which the goals will be realized and including, among other things, the company's assessments regarding the growth potential inherent in the company's various fields of activity, among other things, as a result of regulatory developments in the field of renewable energy , entry of new products and technologies, as well as the company's estimates in relation to the revenue target and the operating profit rate as mentioned above, is forward-looking information as defined in the Securities Law, 1968, based, among other things, on the group's goals as of this date, its assessments of the trends in the group's business In particular, the trends in the markets in which the group operates in general, as well as the group's management's assessments regarding the potential and trends in its areas of activity. These assessments may not materialize and/or materialize in a materially different manner from the group's assessments, among other things, as a result of factors external to the company and which are not under the control, including, among other things, the development and the effects of the "Iron Swords" war, changes in the state of the economy in Israel and the market in which the company operates in particular, trends and changes that may affect the volume of demand for the company's products, regulatory changes in Israel and Italy, in particular in the field of renewable energy and the realization of which of the risk factors described in section 38 of the company's periodic report for the year 2023, which was published on March 18, 2024 (reference number: 2024-01-023152) (hereinafter: "the periodic report").