Aryzta AG

Investor Presentation • Jan 11, 2024

ARYZTA AG – Swiss Equities / Baader Conference

January 11, 2024

Forward Looking Statement

This document contains forward looking statements which reflect the Board of Directors' current views and estimates. The forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements. Potential risks and uncertainties include such factors as general economic conditions, foreign exchange fluctuations, competitive product and pricing pressures, the effects of a pandemic or epidemic or a natural disaster, or war and regulatory developments.

You are cautioned not to place undue reliance on any forward-looking statements. These forward-looking statements are made as of the date of this document. The Company expressly disclaims any obligation or undertaking to publicly update or revise any forward-looking statements other than as required by applicable law.

History

ARYZTA's Journey: a look at our Key Milestones

Turn-around – our most recent milestone

More than 100% share price appreciation since EGM

Basics of Success:

• People – hire "storm proven warhorses"
• Balance sheet improvements
• Costs, Profit & Loss
• Market Performance Excellence

^1.) Source: closing prices on SIX

ARYZTA – our business

ARYZTA's Global Footprint

ARYZTA – our business

Core focus: bake-off in the premium segment

Focus on 4 key drivers to achieve the gold standard in bake-off

Sustainable performance pillars

Environmental efficiency – Our people and communities – Inspiring innovation

"ARYZTA aims to become the preferred B2B partner for our customers for gold standard bake-off solutions"

Strategic focus

Targeting 4.5-5.5% organic growth in a €18b market

Growth / Innovation

• Growth opportunities in all channels and product categories
• Innovation driven by consumer trends:
• New taste & look: mainly savoury and pastry
• Artisan: mainly bread/rolls
• Health: mainly bread/rolls
• Ethical, vegetarian & vegan: mainly savoury

Pricing Recovery & Market Evolution

Unprecedented inflation since 2021

• + 40% on raw materials
• Cost of living salary increases
• Inflation in purchased services
• Triggering necessary pricing to recover inflation trends
• ARYZTA winning market share

Customer Strategy

• Positive customer survey feedback
• Good net promoter score and preferred partner score, driven by:
• Day-to-day service reliability
• Supply chain security
• Dedicated sales and customer support teams
• Product innovation
• Product customization

Capturing market momentum

€40m factory investment in Perth, WA:

• Production capacity: 220m burger buns / year
• Supporting growth plans of QSR customers
• Adding 80 direct and over 500 indirect employees
• Strong ESG credentials:
• Reduction of c. 1.7m food miles
• Optimization of carbon footprint by 700 tons
• Largely powered by local renewable microgrid

Margin Expansion – discipline costs measures on track

Operational Efficiency1.)

• Performance Control System → All 26 factories covered
• Waste reduction → Index 84 vs. FY22
• Conversion costs optimization → Index 92 vs. FY22

SIMPLEX / Procurement Leverage1.)

• SIMPLEX → Over 10 projects successfully executed
• Procurement coverage increase → increased to c 70%

E2E Optimization

• ERP standardization → ERP roadmap in place
• Above market structure → Business Service Centre Pilot

1.) Status July FY23

Deleveraging Balance Sheet

EUR Hybrid buyback

• Bilateral auction July 22:
• €50m buyback
• Cancellation in March 23:
• €200m buyback
• Annual Interest Savings:
• €17m (gross amount)

CHF Hybrid buyback

• Bilateral auction Oct 23:

• CHF 120.3m buyback

• Annual Interest Savings:

• c. CHF 8.5m (gross amount)

Total Net Debt (incl. Hybrid & Leases) FY21 vs. FY23:

• Leverage ratio: from 6.9x to 3.7x
• Amount: from €1.2bn to €1.0bn

Driving capital efficiency

Consolidating value creation through:

• Margin expansion and business progress
• Solid improvement of working capital despite strong revenue growth

1.) NOPAT definition has been amended to profit after a normalized tax rate of 25%, before gains/losses on disposal of businesses, excluding taxation directly attributable to disposal of businesses

Our three pillars to build strong ESG credentials

Our People and Communities

• Attracting, retaining, developing and giving purpose to our employees
• Being a positive focal point in the communities in which we operate

Environmental Efficiency

• Using resources more efficiently, protecting the environment and creating bottom line benefits

Inspiring Innovation

• Focusing on innovation in our supply chain (with a positive impact on biodiversity), and in our product portfolio (in close collaboration with our customers)

Supported by 14 Goals addressing:

GHG & Water Footprint improvement – Enhanced Sustainable sourcing –– Our People and communities – Health & Nutrition

Ambition and Goals

ARYZTA is well under way to achieve its communicated mid-term targets FY23 – 25

Organic growth (CAGR) 4.5%–5.5% (constant pricing FY221.)	EBITDA Margin ≥14.5%	ROIC ≥11.0%
Revenue (EUR) >2bn (constant currency and pricing FY22)	CAPEX as % of revenue 3.5%–4.0%	Total net debt leverage (incl. hybrids) <3x (driven by operational results)