Leifheit AG

Investor Presentation • Nov 8, 2022

Disclaimer

This presentation contains forward-looking statements which are based on the management's current estimates with regard to future developments. Such statements are subject to risks and uncertainties which are beyond Leifheit's ability to control or estimate precisely, such as statements on the future market environment and economic conditions, the behavior of other market participants and government measures.

If one of these uncertain or unforeseeable factors occurs or the assumptions on which these statements are based prove inaccurate, actual results could differ materially from the results cited explicitly or contained implicitly in these statements. Leifheit neither intends to, nor does it accept any specific obligation to update forward-looking statements to reflect events or developments after the date of this presentation.

Leifheit AG shall not assume any warranty for the information provided in this presentation being up-to-date, accurate, complete or of good quality or for the suitability of the information for specific purposes.

Any liability of Leifheit AG for loss caused by the use or non-use of the information provided or by wrong or incomplete information is excluded.

We anticipate a multi-year economic slowdown with high input cost (energy, raw materials) and depressed consumer demand

Joint diagnosis of German economic institutes

Source: Börsen-Zeitung /Joint diagnosis of German economic institutes

GfK consumer climate index

Energy price development

Gas price development

Investor Presentation November 2022

"It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change."

Charles Darwin

"We cannot change macro -economic conditions, but we can respond in a way that protects our profitability."

Leifheit AG

Investor Presentation November 2022 6

Preparing Leifheit AG for a few difficult years, with the firm goal to produce positive EBIT every year

• winning additional retail customers
• double digit price increases
• higher efficiency and productivity
• process optimization
• cost reduction
• structural downsizing

Some examples of our crisis response plan

Streamlining portfolio and substantial SKU reduction Group synergies in purchasing and logistics Enhancing Direct-to-Consumer Selling & Shipping Reduce transport cost & CO2 emissions through Western Europe Logistics Center Lean manufacturing and cost saving projects sites Reduction of energy consumption

Forward looking inventory management and flexible production Reduce dependencies from Asia

Investor Presentation November 2022 7

Continuous negotiation with our partners on the purchasing and sales side Reducing number of temporary workers and if need be employees Leverage digitalization to reduce travel and office cost

Executive Summary 9M 2022

Leifheit AG has a strong vision: to become the Procter & Gamble of consumer durables

"Scaling-Up Success" strategy with focus on consumer marketing and superior products

Vision and strategy deliver great results: 2019-2021 CAGR turnover +11% and EBIT +43%

However, 2022 is still an exceptional year with Russia-Ukraine war and pandemic effects deteriorating both consumer demand and operational cost

9M 2022 hence with 14.2% turnover decline vs record high 9M 2021, but still well above pre-COVID-19 level

9M 2022 with positive EBIT, but burdened by significant rise in material and energy prices, historically low consumer sentiment and high inflation

Leifheit makes top quality household products, designed in Germany

Profi Floor Wiper 4.7 stars

5 Sterne	84%
4 Sterne	9%
3 Sterne	3%
2 Sterne	1%
1 Stern	2%

CLEAN TWIST Disc Mop Ergo 4.6 stars

5 Sterne	78%
4 Sterne	14%
3 Sterne	4%
2 Sterne	2%
1 Stern	2%

5 Sterne	779
4 Sterne	14%
3 Sterne	4%
2 Sterne	29
1 Stern	39

Linomatic 500 Deluxe 4.5 stars

5 Sterne	77%
4 Sterne	11%
3 Sterne	5%
2 Sterne	2%
1 Stern	6%

Leifheit is financially solid and pays good dividends to shareholders

Strong financial structure in m€

Strong long-term stock performance

Turnover in 9M 2022 higher than all 9M in 2007-2019

• Group turnover in 9M 2022 remains at a comparatively high level and still around 9% higher than in the pre-COVID-19 year 2019.
• High comparative values in record year 2021.

Positive EBIT despite challenging market prices in raw materials, energy and freight

		9M 2021	9M 2022	∆
Group turnover1	m€	225.3	193.2	-14.2%
Gross margin	%	42.5	38.4	-4.1 pps
Foreign currency result	m€	0.6	3.8	>100.0%
EBIT	m€	16.6	3.2	-80.8%
EBIT margin1	%	7.4	1.6	-5.8 pps
Earnings before taxes (EBT)	m€	16.0	2.5	-84.1%
Net result for the period	m€	11.5	2.2	-81.2%
EPS	€	1.21	0.23	-81.0%

• Foreign currency result includes positive effects from forward exchange transactions no longer accounted for in hedge accounting.

• EBIT down by m€ 13.4 mainly due to the lack of contribution margins from the decline in turnover and the drastic increase in material and energy prices.
• Sales price increases gradually having an effect but were only partially able to compensate for increased purchasing und production costs.

Group earnings development

9M 2018 – 9M 2022 in m€

1 2021 adjusted due to year-end effects.

2022 Q3 sees return to positive EBIT and strong Cash generation

		Q1 2022	Q2 2022	Q3 2022	Jan.-Sept. 2022
EBIT	€m	2.7	-0.5	1.0	3.2
Gross Margin	%	40.9	36.0	37.9	38.4
Free cash flow	€m	-15.6	5.1	12.5	2.0

Free cash flow increases by m€ 12.5 in the third quarter of 2022

in m€	9M 2021	9M 2022	∆
Cash flow from operating activities	11.2	6.1	-5.1
Cash flow from investment activities	-4.0	-4.0	-
Cash flow from financing activities	-10.3	-10.5	-0.2
Free cash flow1	7.1	2.0	-5.1
in m€	30/09/2021	30/09/2022	∆
Cash and cash equivalents at the end of reporting period	35.6	29.8	-5.8
Financial liabilities	-	-	-

• Free cash flow increases by m€ 12.5 in the third quarter of 2022 and reaches m€ 2.0, but stays below the previous year's value, as a result of the decline in cash inflow from operating activities.
• The cash outflow from financing activities amounted to m€ -10.5 and mainly included the dividend payment of m€ 10.0.

¹Cash flow from operating activities and from investment activities, adjusted for incoming and outgoing payments in financial assets and, if existing, from acquisition and divestiture of business divisions.

Free cash flow increases by m€ 12.5 in the third quarter of 2022

Group liquidity

31/12/2021 vs. 30/09/2022 in m€

• Working capital up by m€ 1.9 compared to 31.12.2021
• Trade receivables down by m€ 2.5
• Decrease of m€ 3.4 in inventories
• Decrease in trade payables and other liabilities of m€ 8.1 due to lower liabilities to suppliers
• Dividends payment end of May

Our purpose? Happy consumers!

We call our strategy "Scaling up Success"

Create consumer demand

1

2

3

4

Increase national and international distribution

Improve gross margins

Reduce all cost except consumer advertising

Create consumer demand and make brands stronger 1

¹ Source: Annual reports 2021

Our massive investments in TV advertising have turned Leifheit & Soehnle into winning brands 1

Leifheit & Soehnle

Turnover development

260

m€

256

Leifheit & Soehnle

m€

Gross spending for advertising

"Electricity Savers" campaign encourages consumers to switch to power-free laundry drying 1

• Current market situation provides the chance to further promote our energy-saving, durable products.
• In face of rising energy prices, many households are currently looking for ways to reduce their energy consumption and, with it, their electricity costs.
• Switching from electronic dryers to Leifheit Pegasus and Linomatic dryers saves electricity and money, but also reduces CO² emissions by around 150 kg compared to an electric dryer.

"Electricity Savers" campaign encourages consumers to switch to power-free laundry drying 1

Strong increasing prices for electricity is stressing the household budget. Now and for the years to come. One solution: drying laundry without electricity.

Per household:

• Reduction of carbon emissions up to 150kg/year*
• Saving of electricity costs up to 146 €/year*
• Therewith a Leifheit Linomatic dryer is already amortised after a year, a Pegasus after 2 - 3 months!**

Examples of promotion tools:

*4-Persons-HH using Linomatic / ** In comparison to using an electric dryer 4 times a week from April till October/ 28 k/year. Per drying act 4 Kwh electricity consumption. Per Kwh 366g CO2 output, Comparison with a middle-aged used car and 0,35€ Kwh Investor Presentation

"Our most long-lasting products" campaign aims for sustainability 1

High quality and along with it long life cycle products belong to the DNA of the Leifheit brand.

A major part of our assortment is being produced in Europe in our own factories where we have full quality control.

Strongly convinced from our product quality we often give longer warranty period than the competition or as required from the legislative authority.

Examples of promotion tools:

Investor Presentation

Further enhancements of successful efficient cleaning appliances range accompanied by intensive marketing efforts 1

• New Regulus Aqua PowerVac Pro, which vacuums, mops and dries all in one, can reach into every corner thanks to its new corner glider with Micro-Duo wipe cover.
• New Clean Tenso Power steam cleaner provides hygienic cleaning without chemical products while also saving water. To underline the Clean Tenso Power's high quality and durability, it is supplied with an extended warranty period.

We are successfully expanding our distribution network 2

New customers in CZ and SK in 2022

Investor Presentation November 2022

International expansion: German heritage products are ranked # 1 for consumers in terms of positive image 3

Rank	Country	Index
1	Deutschland	100
2	$\ddot{}$ Schweiz	98
3	Europäische Union ⊙.	92
4	≥⊭ Großbritannien	91
5	╈ Schweden	90
6	ы Kanada	85
7	Italien	84
8	Japan	81
8	Frankreich	81
8	≝ USA	81
11	┿ Finnland	77
11	╬ Norwegen	77
13	Niederlande	76
14	ak i Australien	75
15	Neuseeland	73
15	Dänemark $++$	73
20	$\overline{a}$ Spanien $++$	64
30	Argentinien 11	42
42	Indien $\bullet$ ${+}$	36
49	China	28

Source: Statista Made-In-Country-Index 2017

• Germany leads the Made-in-Country-Index
• The global ranking according to the Made-In-Country-Index shows how positively products "Made in ..." from the respective country are perceived worldwide.

International expansion: German heritage products are ranked # 1 for consumers in terms of positive image 3

German heritage products are ranked #1 for consumers in terms of positive image

High quality, engineering, high safety standard are often positively associated with Germany

Examples of promotion tools:

POS shelf Retailers' leaflet POS Ellipsis & displays

Banner in retailers' online shop

We create a fun, fast, friendly and fearless winning culture 4

26% increase in turnover per employee FY 2021 vs. FY 2019 4

Forecast 2022: Turnover forecast slightly adjusted, EBIT forecast confirmed

	Forecast 2022
Group turnover	Decrease in the lower double-digit percentage range
Turnover Household	Decrease in the lower double-digit percentage range
Turnover Wellbeing	Decrease in the clear double-digit percentage range
Turnover Private Label	Slightly below the previous year
Group EBIT	In the lower single-digit million Euro range
Free Cashflow	Positive, below previous year

Summary

– It's a perfect storm

• High comparative values in record year 2021
• Enormous procurement cost increases for raw materials, energy and freight
• Inflation, consumer uncertainty and reluctance to buy in our key markets
• Suffering economies and Euro weakness and possible multi-year economic crisis

– Confidence in our business model and our Scaling up Success strategy

• Efficient cost structure and solid financial position
• Products with high degree of consumer benefit, excellent quality and attractive value for money
• Strong brands Leifheit and Soehnle
• Winning "fun, fast, friendly and fearless" culture

Household segment turnover below record prior-year, but at high level compared to pre-COVID-19 level

Group turnover by segment

9M 2018 – 9M 2022 in m€

Group turnover by segment

• Turnover in Household segment decreased by -12.7% year-onyear to m€ 158.9.
• Wellbeing segment declined by -40.7%. In the first nine months of the previous year, strong growth in Soehnle scales and increased demand for Soehnle air purifiers in view of the pandemic led to a high comparative values.
• Private Label segment generated turnover of m€ 22.6, thus 3.8% below the previous year's figure (9M 2021: m€ 23.5).

Successful TV advertising campaigns are paying off, but Russia-Ukraine war and continuing inflation weigh on private consumption

• Germany: Exceptionally strong consumer restraint in the backdrop of general uncertainty had a significant negative impact on the development of turnover.
• Central Europe: Growth in Spain and significant growth in sales of Leifheit products in the Netherlands could not significantly compensate for the negative trend in the Central Europe region.
• Eastern Europe: Double-digit turnover growth in the Baltic States and Slovakia. However, consumer demand in the Eastern Europe important markets was noticeably lower than in the prior year.

Leifheit Group structure

Our European production footprint ensured reliable supply to customers in spite of challenges in the supply chain

Distribution in all relevant distribution channels

Top 10 Customers account for 50% of Leifheit's turnover Blue Chip client base Distribution channels

We were able to react flexibly to the changed capacity utilization in production and logistics by reducing remaining vacation time and credits on working time accounts and by cutback in the numbers of temporary workers

The strategy works: 2019 to 2021 shows CAGRs of +11% on turnover and +43% on EBIT

Scaling-Up Success, i.e. heavy TV ad spend, was tested before COVID-19 in the Netherlands with remarkable results

Turnover development Netherlands

Long-term financial overview

		2017	2018	2019	2020	2021
Group turnover	m€	236.8	234.2	234.0	271.6	288.3
Profitability
▪ Gross margin	%	46.4	43.6	43.1	45.0	42.3
▪ Cash flow
from operating activities	m€	7.2	10.2	15.9	4.0	16.4
▪ Free cash flow	m€	1.5	3.7	10.1	-5.5	9.6
▪ EBIT	m€	18.8	13.1	9.9	18.8	20.1
▪ EBIT margin	%	8.0	5.6	4.2	6.9	7.0
▪ EBT	m€	17.7	11.9	8.5	17.7	19.3
▪ Net result for the period	m€	12.8	8.4	5.8	12.5	14.2
ROCE1 ▪	%	12.7	10.5	8.2	14.1	13.8

¹ Definition of ROCE changed in 2019, ROCE 2018 adjusted for comparability reasons

Long-term financial overview

		2017	2018	2019	2020	2021
Per share
Net result for the period, EPS2	€	1.35	0.88	0.61	1.32	1.49
Free cash flow	€	0.16	0.39	1.06	-0.57	1.00
Dividend	€	1.05	1.05	0.55	1.05	1.052
Special dividend	€	--	--	--	--	--
Investments	m€	7.8	6.6	6.0	9.6	7.3
Depreciation	m€	6.4	6.9	8.2	8.5	7.8
		31/12/17	31/12/18	31/12/19	31/12/20	31/12/2021
Employees	No.	1,137	1,119	1,106	1,098	1,080
Balance sheet total1	m€	224.9	221.8	214.6	230.0	238.8
Equity	m€	98.5	101.8	96.2	100.4	111.3
Equity ratio	%	43.8	45.9	44.8	43.7	46.6
Liquidity	m€	57.2	50.9	50.3	38.8	38.1

¹ Not including repurchased treasury shares

² Dividend proposal

Experienced Management

Henner Rinsche CEO

Previous experience

• President Europe at SodaStream
• Various leading positions at Procter & Gamble, PepsiCo, Danone and Henkel

Core competencies

• General management and consumer goods marketing

Igor Iraeta Munduate COO

Previous experience

• Many years of experience as CTO at Igus GmbH and Stoba Präzisionstechnik
• Various technical management positions at Robert Bosch GmbH

Core competencies

• Digitalization, IoT, Industry 4.0, implementation of lean production systems, agile "Scrum" methods

Marco Keul CFO

Previous experience

• Resp. for Controlling, IT/Business processes and internal sales services as Vice president finance at Leifheit AG
• Years of experience as Head of Controlling at Leifheit AG

Core competencies

• IT, Finance & Controlling

Committed to shareholder returns

Long-term dividend development	Dividend yield 1
Dividend per share / in €	2021: 2.9% 2020: 2.4% 2019: 2.3% 2018: 5.9%	2017: 3.8% 2016: 5.1% 2015: 5.6% 2014: 3.9%

Based on the particular closing price at year-end

Soehnle awards (selection)

Body analysis scales Shape Sense Connect 100 + 200

Blood pressure monitors AirFresh Clean 400 Systo Monitor 200 + 300

Leifheit – more than 60 years of passion for housework

European competitors by category

	Cleaning				Laundry care
Tonkita	Spontex Swiffer	Rival		Vileda Wenko	Gimi	Brabantia Juwel	Artweger Stewi
Kärcher		Vileda		Metaltex		Rörets	Blome
	Kitchen goods			Wellbeing
	Tescoma	WMF	Gefu	Bosch		Laica	Tanita
Zyliss	Rösle Oxo	Fackelmann	Lurch	ADE Sanitas		Homedics	Beurer
Brabantia	Westmark	Emsa	Tefal		Withings		Terraillon

Significant free float and international investors

¹ Definition of German stock exchange for indices

2 Including shareholdings of the management board

• MKV Verwaltungs GmbH, Grünwald (GER), 10.03%
• Ruthild Loh, Haiger (GER), 8.26%
• Leifheit AG Nassau (GER), treasury shares, 4.85%
• Employee shares subject to a lock-up period 0.06%
• Alantra EQMC Asset Management, SGIIC, SA, Madrid (ES), 15.42%
• Teslin Capital Management BV/Gerlin NV, Maarsbergen (NL), 5.05%
• MainFirst SICAV, Senningerberg (LUX), 5.02%
• Morgan Stanley & Co. International plc, Wilmington (USA), 3.67%
• Blackmoor Ownership Holdings Master Limited, London (UK), 3.52%
• Voting rights under notification threshold 44.12%

Leifheit is frequently top company in home appliances and household goods categories

Most Valuable Company

July 2021 Deutschland Test / Focus Money

1 st place Home appliances 100.0 points awarded 3rd time in a row

Study examines what companies do for their employees and society. Among other things, the sustainability reports of the largest German companies were evaluated according to the GRI standard.

Germany's fairest companies Jan 2022 IMWF Institut / FAZ-Institut

3 rd place Household items 90.3 points

Study analyses social listening data and identified 7.4 million mentions for over 17,000 companies. Relevant criteria include product and service, customer satisfaction and value for money, employer fairness and sustainability

Highest Level of Trust 2021

Oct 2021 Deutschland Test / Focus Money

1 st place Household items 100.0 points

Study shows which companies have a high level of trust by assigning and identifying 3.7 million mentions of about 21,000 brands in the investigation period September 2020 to August 2021.

Germany's Best Customer Hotline 2021

July 2021 IMWF Institut / FAZ-Institut

1 st place Home appliances 100.0 points

Study analyses social listening data for over 20,000 companies in the categories customer service and satisfaction, hotline, price and service. 438 million online outlets serve as a source.

Our ESG Principles

Read more at our sustainability report 2021

www.leifheit-group.com/en/investorrelations/reports-and-presentations/

Financial calendar and contact

Dates 2023 Contact

29 March 2023

Publication of Annual Reports 2022, Sustainability Report incl. Non-Financial Report 2022; Analyst Conference

11 May 2023 Publication Quarterly Statement (Q1)

7 June 2023 Annual General Meeting

10 August 2023 Publication Half-yearly Financial Report

9 November 2023 Publication Quarterly Statement (Q3)

Corporate Communications / Investor Relations
Phone:	+49 2604 977-218
Email:	ir@leifheit.com

www.leifheit-group.com

Aktiengesellschaft

Postfach 11 65 D-56377 Nassau