Brockhaus Technologies AG

Investor Presentation • Aug 14, 2023

Elevating Champions

HALF-YEARLY STATEMENT H1 2023 EARNINGS CALL

August 14, 2023

Disclaimer

This document is being presented solely for informational purposes and should not be treated as giving investment advice and does not constitute or form part of, and should not be construed as, an offer to buy or subscribe, nor an invitation to submit an offer to buy or subscribe any of Brockhaus Technologies AG's ("BKHT") securities. It is not intended to be (and should not be used as) the sole basis of any analysis or other evaluation. All and any evaluations or assessments stated herein represent our personal opinions. We advise you that some of the information is based on statements by third persons, and that no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of this information or opinions contained herein.

This presentation contains certain forward-looking statements relating to the business, financial performance and results of BKHT and its (future) subsidiaries (collectively the "Brockhaus Technologies") and/ or the industries in which Brockhaus Technologies operates. Forward looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements contained in this presentation, including potential transactions, assumptions, opinions and views of Brockhaus Technologies or cited from third party sources, are solely opinions and forecasts which are uncertain and subject to risks. Actual events may differ significantly from any anticipated development due to a number of factors, including without limitation, changes in general economic conditions, in particular economic conditions in the markets in which Brockhaus Technologies operates, changes affecting interest rate levels, changes in competition levels, changes in laws and regulations, environmental damages, the potential impact of legal proceedings and actions and Brockhaus Technologies' ability to achieve synergies from acquisitions. In general, the further development and impact of the Russian invasion of Ukraine, the persistent supply bottlenecks, the ongoing energy crisis, turbulences in the banking sector, inflation, and the significant rise in interest rates is uncertain. Brockhaus Technologies does not guarantee that the assumptions underlying the forward-looking statements in this presentation are free from errors nor does it accept any responsibility for the future accuracy of the opinions expressed in this presentation or any obligation to update the statements in this presentation to reflect subsequent events. The forward-looking statements in this presentation are made only as of the date hereof. Neither the delivery of this presentation nor any further discussions of Brockhaus Technologies with any of the recipients thereof shall, under any circumstances, create any implication that there has been no change in the affairs of Brockhaus Technologies since such date. Consequently, Brockhaus Technologies does not undertake any obligation to review, update or confirm recipients' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events that occur or circumstances that arise in relation to the content of the presentation.

For information on alternative performance measures, please refer to Note 6 of BKHT's Consolidated Financial Statements for 2022 as well as Note 3 of our Interim Consolidated Financial Statements for H1 2023.

Neither Brockhaus Technologies, nor any of its respective board members, directors, officers, employees, affiliates, agents or advisers nor any other person shall assume any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this presentation or the statements contained herein as to unverified third person statements, any statements of future expectations and other forward-looking statements, or the fairness, accuracy, completeness or correctness of statements contained herein, or otherwise arising in connection with this presentation.

This presentation is made available on the express understanding that it does not contain all information that may be required to evaluate the purchase of or investment in any securities of BKHT. This presentation is accordingly not intended to form the basis of any investment decision and does not constitute or contain (express or implied) any recommendation to do so.

Summary H1 2023PF

(€ million)

Revenue

Key highlights

Record H1 with significant and highly profitable top-line growth across all business segments

Group forecast 2023 with revenue between €165 – 175 million and an adj. EBITDA margin of 35% confirmed

Constant net leverage of 0.7x adj. EBITDA (LTM) despite the acquisition of two sales agents of Bikeleasing as well as a seasonally high refinancing backlog

Adjusted pro forma EBIT

Note: For definitions and detailed explanations of the alternative performance measures, please refer to page 87 onwards of our 2022 Annual Report and page 19 onwards of our 2023 Half-Year Financial Report

Revenue by quarter

(€ million) IHSE Bikeleasing Prior-year period Note: In 2023 revenue is not adjusted for reduced result from value step up anymore. 2022 figures are adjusted accordingly.

Revenue by region

(€ million) IHSE Bikeleasing Prior-year period Note: In 2023 revenue is not adjusted for reduced result from value step up anymore. 2022 figures are adjusted accordingly.

KPIs by segment (pro forma)

	Financial Technologies		Security Technologies			Total		Central Functions and Consolidation		BKHT Group
[€ thousand]	Pro forma H1 2023	2022	Pro forma H1 2023	2022	Pro forma H1 2023	2022	Pro forma H1 2023	2022	Pro forma H1 2023	2022
Revenue	66,355	50,215	17,716	14,884	84,071	65,099	-	1	84,071	65,101
Revenue growth	32.1%		19.0%		29.1%		-		29.1%
Gross Profit	41,382	31,648	13,066	11,109	54,448	42,757	177	91	54,625	42,849
Gross Profit Margin	62.4%	63.0%	73.8%	74.6%	64.8%	65.7%			65.0%	65.8%
Adjusted EBITDA	29,243	22,740	3,526	2,992	32,768	25,733	(3,205)	(2,564)	29,563	23,169
Adjusted EBITDA Margin	44.1%	45.3%	19.9%	20.1%	39.0%	39.5%			35.2%	35.6%
Adjusted EBIT	27,920	22,046	2,846	2,435	30,766	24,481	(3,266)	(2,628)	27,500	21,853
Adjusted EBIT Margin	42.1%	43.9%	16.1%	16.4%	36.6%	37.6%			32.7%	33.6%

Total cash and cash equivalents of €58.8 million as per end of June 2023

Very solid balance sheet composition

Available financing capacity driven by significant deleveraging allows for future growth through new acquisitions

Very conservative leverage ratio of ~0.7x adj. EBITDA (LTM) (target value of ~2.5x)

High balance sheet quality underlining resilience of our business

Refinancing backlog and cash flow

During the year, our cash flow is materially impacted by swings in the refinancing backlog of Bikeleasing

The refinancing backlog is mainly driven by the

• number of newly brokered bikes
• average price per bike
• average processing time of refinancing

Therefore, backlog is usually high in summer and comes down substantially in winter (seasonal business)

This summer of 2023 saw additional processing bottlenecks at financing partners – therefore, backlog was extraordinarily high.

That high backlog hampered cash flow significantly

As bottlenecks resolve and volumes come down in fall/ winter, cash flow is to turn strong

Bikeleasing - Operational deep dive

Record H1 for Bikeleasing in terms of all financial and operating KPIs

# of facilitated bikes in H1 grew by +31% to ~80k

# of corporate customers grew to ~51k with ~2.9 million employees

Cash of ~€19m distorted by a high refinancing backlog of ~€28m per end of June and €8.5m purchase price paid for the acquisition of two sales agents

Bikeleasing – Operational deep dive

Onboarding of D2C brands, such as Canyon, YT or Propain

Bikeleasing as a direct payment and financing provider on the OEM websites

Launch of a fully digital framework agreement for corporate customers

Enables easier, quicker and 100% paperless onboarding of corporates

IHSE - Operational deep dive

Acceleration of revenue growth to +19% in H1 2023 especially due to a continued strong development in Americas

EBITDA margin again at the previous year's level, after planned expenditures for trade shows as well as a group-wide IT project in Q1

Order backlog remains at a very high level of ~€10.6m despite strong revenue growth in H1, fueling optimism for the coming months

IHSE – Operational deep dive

First sales and trade show activity using the newly certified "Secure KVM" products

Very positive reaction by the Governmental sector with first projects already won

New Draco CON-App, allowing latency-reduced access to KVM networks from PCs / laptops using a software-based console

Innovation partly utilizing the IP acquired with kvmtec in 2021

Group Forecast FY 2023

Revenue

€165m - €175m

(2022: €143m | +16 to +23%)

Adj. EBITDA margin

35%

(2022: 33,2%)

Well on track building one of Germany's leading technology groups

Corresponding adj. EBITDA

€58m - €61m

(2022: €50m | +16 to +23%)

Medium-term Outlook 2025

14

Happy to answer your questions

BROCKHAUS TECHNOLOGIES AG

Thurn-und-Taxis-Platz 6 60313 Frankfurt am Main, Germany

Phone: +49 69 20 43 40 90 Fax: +49 69 20 43 40 971 E-Mail: ir@brockhaus-technologies.com Web: www.brockhaus-technologies.com

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Executive Board: Marco Brockhaus (Chair), Dr. Marcel Wilhelm Chair of the Supervisory Board: Dr. Othmar Belker Registry Court: Frankfurt am Main Local Court Register Number: HRB 109637