SAF-HOLLAND SE

Investor Presentation • Sep 7, 2022

SAF-HOLLAND SE Investor Presentation

September 2022

Contents

Business Model and Strategy

R&D and Innovation

ESG Focus

Financials H1 2021

Outlook 2022

SAF-HOLLAND & Haldex AB

Contact and additional Information

Appendix

Business Model and Strategy

Equity Story

Global champion for chassis-related products / systems for trailers, trucks and buses

Balanced structural and regional set-up with differing regional market trends and replacement cycles

Strong position in oligopolistic markets

Unique selling model featuring direct access to broad end customer base

Industry-unique service network worldwide (~12,000 spare part and service stations in > 80 countries)

High share of aftermarket business counterbalancing OE cycles in the trailer & truck industry

Solid financial profile and cash generation

Global champion for chassis-related products / systems for trailers, trucks and buses

Axles and suspension systems

Balanced structural and regional set-up with differing regional market trends and replacement cycles

in > 80 countries

Strong position in oligopolistic markets

		TRAILER		TRUCK
	TRAILER AXLES	TRAILER SUSPENSIONS	LANDING GEARS	FIFTH WHEELS
Global positioning	#1-2	#3	#2	#2
Regional positioning	#1 EMEA, India #3 North America	#2 North America	#2 North America #2 EMEA	#1 North America #2 EMEA
Competitors	1. SAF-HOLLAND* 2. Fuwa 3. Hendrickson	1. BPW 2. Hendrickson 3. SAF-HOLLAND	1. Jost 2. SAF-HOLLAND 3. Fuwa	1. Jost 2. SAF-HOLLAND 3. Fontaine 4. Fuwa

Selected examples (additional product information on SAF-HOLLAND's website)

Trailer	Truck / Bus		Digital
Trailer axles	Fifth wheels		Telematic system
Suspension systems	Air suspensions		Sensor monitoring
Tire pressure management system	Coupling systems		Automated coupling

SUPERIOR QUALITY – HIGH SAFETY – LIGHTWEIGHT – HIGH DURABILITY – INTEGRATED

Unique selling model featuring direct access to broad end customer base

Strategy 2025 is based on 5 pillars with 5 mid-term targets

GROWTH AND PORTFOLIO OPTIMISATION

We have greatly expanded our global footprint and product portfolio. Our focus now lies on optimising this footprint, rationalising our product portfolio, utilising our extensive economies of scale and bundling our competencies toward an efficient and profitable future.

We embrace and foster the innovations of new technology in all areas of our business to ensure the long-term success of our product and service portfolio. We understand that our future growth relies on successful alliances and partnerships with leaders in complementary technologies.

GLOBAL BACKBONE

We continue to build on our global reach by strengthening our position in the areas of global standardisation and harmonisation, digitalisation of operational processes and R&D, global sourcing, compliance, and further enhancement and development of our global infrastructure and leadership model.

We continuously improve the efficiencies in our production processes to maximise quality, consistency, adaptability and costeffectiveness. We value the health and safety of our employees as our highest priority. We choose to act environmentally responsibly and consider the best options to minimise our carbon footprint.

As we strive towards becoming an employer of choice, we build a competent and engaged workforce by investing in our personnel and encouraging life-long learning, with mobile and agile work.

Profitable sales growth

Adj. EBIT margin improvement to around 8 % by 2023 latest

Sustainable cashflow with cash conversion of 50 % to 60 %

Optimisation of Net debt to EBITDA ratio to below 2x

Continued increase of shareholder value

R&D and Innovation

Megatrends and industry trends drive need for innovation

Key innovation trends in the commercial vehicles industry

• ▪CO² reduction
• ▪Noise reduction
• ▪Legislation

Examples

• Germany: Noise (administrative regulation)
• Netherlands: PIEK Certificate
• EU: Regulation 2016/1628 Stage V requirements of NRMM legislation (cooling units)
• Europe: Urban Access Regulations in Europe – Low Emission Zones and Zero Emission Zones

Electrification Digitalisation/Connectivity Automated Driving

• ▪Optimise operating time
• ▪Efficiency
• ▪Increase security
• ▪Legislation / regulations

Examples: UN regulations

• R141 Tire pressure control system
• R151 Blind spot information system
• R157 automatic lane keeping assistance
• R158 Rear view assistant in the TRAILER

• R159 Start assistant

• ▪CO² reduction

• ▪Efficiency
• ▪Legislation

Key innovation trends in the commercial vehicles industry

During braking or in overrun phases, the centrally located high-voltage generator unit of the SAF TRAKr converts the kinetic energy of the trailer into electrical energy.

That energy can be used, for example, for the operation of a cooling unit or for pumps in tankers or silos.

Electrification Digitalisation/Connectivity Automated Driving

SAF SHAC - Fifth Wheel for automatic coupling

ESG Focus

Our ESG focus on Social and Environment

We aim to position ourselves as a globally attractive employer by promoting a tolerant, fair working environment and lifelong learning

We are establishing pioneering standards for CO2 emissions and the

High scorings in sustainability ratings underpin ESG efforts

Investor Presentation September 2022		< 17	>

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Financials H1 2022

Sales	EUR 773.3m (H1 2021: EUR 608.1m)
Adj. EBIT margin	7.2% (H1 2021: 7.7%) Adjusted EBIT EUR 55.6m (H1 2021: EUR 47.0m)
Capex ratio	1.4% (H1 2021: 1.4%) Capex EUR 10.6m (H1 2021: EUR 8.4m)
Net working capital ratio	17.4% (December 31, 2021: 14.8%) Net working capital EUR 245.5m (December 31, 2021: EUR 184.4m)
Operating cash flow	EUR 18.8m (H1 2021: EUR 14.9m)
Adjusted EPS	EUR 0.84 (H1 2021: EUR 0.69)
Dividend	Dividend of EUR 0.35 (2021: EUR 0.0) per share for FY confirmed by the Annual General Meeting on May 19, 2022
Outlook 2022	Outlook for sales and EBIT margin increased

Sales (in EUR million)

• H1 2022 sales adjusted for FX and M&A effects: +21.3%
• Overproportional sales growth in the Americas and APAC regions
• Aftermarket business remains strong

Sales by Quarter (in EUR million)

• Q2 2022 sales adjusted for FX and M&A effects: + 17.0%
• All regions and customer segments developing positively
• Robust aftermarket business

Top line development

Sales development (by region, by customer category)

Group 2022 – Adj. Gross Profit Margin

• H1 adjusted cost of sales rose disproportionately by 30.4% to EUR 645.2 million (previous year: EUR 494.9 million) due to the increase in demand, but in particular due to high steel prices and high freight and energy costs, which are passed on with a time lag, especially in the EMEA region
• Price adjustments and efficiency increases could only partially compensate for the cost increases, especially in the EMEA region

Adj. Gross Profit by Quarter (in EUR million and % of sales)

2021 2022

• Q2 adjusted cost of sales rose disproportionately by 25.9% to EUR 334.1 million (previous year: EUR 265,3 million) due to the increase in demand, but in particular due to high steel prices and high freight and energy costs, which are passed on with a time lag, especially in the EMEA region
• Strong development in the Americas region, first price adjustments in the EMEA region and a robust aftermarket business already offset a part of the cost increases

2021 2022

Adj. EBIT by Quarter (in EUR million and % of sales)

• The significantly lower administration and research and development cost ratios more than compensated for the higher cost of sales ratio
• Strong performance of the Americas and APAC regions, a robust aftermarket business and price adjustments in the EMEA region contributed to the positive development in Q2 2022

Sales (in EUR million)

• H1 2022 sales adjusted for FX and M&A effects: +15.7%
• Overproportional sales growth in the trailer OE business – despite Russia-Ukraine conflict
• Solid performance in the aftermarket business
• Successful launch of the recuperation axle SAF TRAKr

Sales by Quarter (in EUR million)

• Q2 2022 sales adjusted for FX and M&A effects: + 7.9%
• Robust sales growth in the aftermarket business

• Initiated price adjustments show first positive effects

• High steel prices and high freight and energy costs, which are passed on with a time lag, have weighed very heavily on the cost of sales ratio

• The lower administration and research and development expense ratios could only partially offset for the significantly higher cost of sales ratio
• Accordingly H1 adjusted EBIT margin decreased by 4.3PP

Adj. EBIT by Quarter (in EUR million and % of sales)

2021 2022

• High steel prices and high freight and energy costs, which are passed on with a time lag, still have weighed very heavily on the cost of sales ratio
• Lower administration and research and development expenses could only partially offset significantly higher cost of sales
• Initiated price adjustments show first positive effects

• EBIT margin improved compared to the previous quarter but has not reached previous years levels

• H1 2022 sales adjusted for FX effects: +29.3%

• Strongly overproportional sales growth in the trailer OE business with market share gains especially in the Air Disc Brake (ADB) segment
• Solid performance in the aftermarket business

• Start of a dedicated assembly line for fifth wheels in Mexico will further strengthen the aftermarket business

• Q2 2022 sales adjusted for FX effects: +28.2%

• Ongoing strong sales growth in the trailer OE business
• Expansion of the trailer axle production capacities to meet increasing customer demand
• Aftermarket business gaining momentum

2021 2022

Adj. EBIT by Quarter (in EUR million and % of sales)

• The cost of sales ratio improved very significantly due to lower material and personnel expense ratios and a strong development of the aftermarket business
• In addition, the significantly lower share of administrative and research and development costs had a margin-enhancing effect
• Q2 adjusted EBIT margin increased further by 2.1PP qo-q due to higher volumes and a robust aftermarket business

Sales (in EUR million)

• H1 2022 sales adjusted for FX effects: +30.7%

• Strong sales growth in the trailer OE business driven by India and Australia

• Q2 2022 sales adjusted for FX effects: +39.3%
• Strongly overproportional sales growth in the trailer OE business driven by India and Australia

• To meet increasing customer demand in India capacities will be expanded by 50% in a first step; new facility in Pune will start operations in the course of the first quarter 2023

• Compared to the strong sales increase, the increase in cost of sales in H1 2020 was clearly disproportionately low

• The significantly lower selling and administrative expense ratio also had a margin-enhancing effect

• The adjusted EBIT margin improved by 8.5PP due to strong business development, efficiency gains and strict cost control

• Compared to the strong sales increase, the increase in cost of sales in Q2 2022 was clearly disproportionately low

• The significantly lower selling and administrative expense ratio also had a margin-enhancing effect

	H1 2022	H1 2021	Change	Change	Q2 2022	Q2 2021	Change	Change
in EUR thousands	adjusted*	adjusted*	abs.	in %	adjusted*	adjusted*	abs.	in %
Sales	773,253	608,124	165,129	27.2%	403,546	322,504	81,042	25.1%
Cost of sales	-645,243	-494,898	-150,345	30.4%	-334,050	-265,263	-68,787	25.9%
Gross profit	128,010	113,226	14,784	13.1%	69,496	57,241	12,255	21.4%
in % of sales	16.6%	18.6%			17.2%	17.7%
SG&A	-73,169	-66,852	-6,317	9.4%	-37,762	-32,535	-5,227	16.1%
in % of sales	-9.5%	-11.0%			-9.4%	-10.1%
Operating profit	54,841	46,374	8,467	18.3%	31,734	24,706	7,028	28.4%
Share of net profit of
investments accounted
for using the equity	776	579	197	34.0%	398	290	108	37.2%
method
EBIT	55,617	46,953	8,664	18.5%	32,132	24,996	7,136	28.5%
in % of sales	7.2%	7.7%			8.0%	7.8%
Finance result	-3,343	-4,423	1,080	-24.4%	-545	-2,745	2,200	-80.1%
Result before taxes	52,274	42,530	9,774	22.9%	31,587	22,251	9,336	42.0%
Income taxes	-13,994	-11,356	-2,638	23.2%	-8,450	-5,952	-2,498	42.0%
Tax rate (%)	26.8%	26.7%			26.8%	26.7%
Result for the period	38,280	31,174	7,106	22.8%	23,137	16,299	6,838	42.0%
in % of sales	5.0%	5.1%			5.7%	5.1%

* Adjusted earnings correspond to the management perspective. The adjustments essentially include restructuring and transactions costs, write-off of goodwill, depreciation and amortisation arising from purchase price allocations, expenses arising from the step-up of inventories arising from purchase price allocations and remeasurement effects related to call and put options.

Equity ratio

• Compared to 31 December 2021, equity has improved by EUR 60.0 million respectively 16.2% to EUR 431.1 million
• Equity was increased in particular by the profit for the period of EUR 31.3 million and currency differences from the translation of foreign operations of EUR 34.4 million
• The dividend payment of EUR 15.9 million had the effect of reducing equity

NET DEBT/EBITDA

• Net debt in Q2 2022 mainly influenced by acquisition of shares in Haldex AB and payment of dividend
• Unadjusted EBITDA (LTM) improved by 15.1% to EUR 131.6 million in Q2 2022 compared to prior-year quarter
• Strong gross liquidity position (undrawn credit lines plus cash and cash equivalents) totalling EUR 323.0 million (YE 2021: EUR 365.2 million)
• Financial headroom provides flexibility for future growth

Inventories / Trade receivables / Trade payables

Inventories (in EUR MN of sales) and DIO(in days)

Trade payables (in EUR MN of sales) and DPO(in days)

Trade receivables (in EUR MN of sales) and DSO(in days)

• Higher volumes accompanied by higher safety stocks led to higher DIO and higher stock levels
• However DIO need to be reduced due to a normalisation of the supply chains
• Trade receivables went up due to higher sales with DSO unchanged on a normal level
• DPO need to be improved step-by-step to 60 days

Net working capital

Net working capital (in % of sales)

EUR MN	12/31/ 2020	03/31/ 2021	06/30/ 2021	09/30/ 2021	12/31/ 2021	03/31 2022	06/30/ 2022
Inventories	126.4	155.8	176.0	195.3	194.0	211.9	237.0
Trade receivables	95.3	130.0	148.9	147.2	136.3	176.1	184.6
Trade payables	-107.2	-147.4	-163.4	-160.6	-145.8	-179.3	-176.2
NWC	114.6	138.4	161.5	181.9	184.4	208.7	245.5
Sales (LTM)	959.5	961.7	1,091.4	1,175.6	1,246.6	1,330.7	1,411.7

• Further increase in net working capital ratio in Q2 2022 by 1.7PP
• Trade receivables increased due to higher sales with stable DSO
• Slight decrease in DPO burdens net working capital
• Further increase in inventories in Q2 2022 with unpleasant development of DIO
• Cash-is-King program will be continued now with strong focus on inventories to reduce DIO

Cash Flows

Net cash flow from operating activities (EUR million)

• Operating cash flow in Q2 2022 at EUR 24.0 million (Q2 2021: EUR 9.3 million) mainly due to higher earnings

Free cash flow (EUR million)

• Investments in property, plant and equipment and intangible assets in Q2 2022 at EUR 5.3 million (Q2 2021: EUR 3.1 million)
• Acquisition of shares in Haldex AB in Q2 2022 totalling EUR 28.4 million, causing negative Free Cash flow

Outlook 2022

Update on development of trailer and truck production for full year 2022

	Trailer	Trucks
EMEA	-7%	-12%
North America	+27%	+15%
Brazil	-8%	+0%
China	-45%	-45%
India	+69%	+50%

Sources: Market data for trucks and trailers based on IHS Markit (July 2022), CLEAR International (June 2022), ACT Research (July 2022), ANFAVEA (July 2022), ANFIR (July 2022), ARTSA (July 2022), SIAM (July 2022)

• EMEA

• Weaker trailer production in Eastern Europe weighs on the overall European market
• Truck business still impacted by semiconductor shortages and supply chain disruptions

• North America

• Trailer OE order intake on all time high
• Trailer OEMs fully booked until the beginning of 2023; staffing and supply chain issues seem to improve
• Truck production to be still impacted by supply shortages which could gradually diminish towards the end of 2022 / beginning of 2023

• Brazil

• Infrastructure projects including focus on e-mobility
• Trailer business in 2021 on very high level: small pullback in 2022 was to be expected

• China

• Declining markets expected in 2022 as China still struggles with COVID-19 and lockdowns as well as inflation

• India

• Trailer expected to further increase significantly
• Large infrastructure and investment projects drive growth in coming years

Investor Presentation September 2022 < 37 >

	March 17, 2022	May 5, 2022	July 28, 2022
Sales	EUR 1.15bn to EUR 1.3bn	EUR 1.2bn to EUR 1.35bn	EUR 1.4 bn to EUR 1.5 bn
Adjusted EBIT margin	Significantly below 2021	6.5% to 7.0%	7.0% to 8.0%
Capex ratio	2% to 2.5%	2% to 2.5%	2% to 2.5%

Comments

• Encouraging strong demand and revenue dynamics in all 3 regions in Q2 2022
• Expect a gradual recovery of margin profile in the EMEA region over the rest of the year
• Americas region already achieved old margin levels of 8% to 9%
• Very good development of the APAC region
• Efficiency programmes in North America and China on track
• Implemented price adjustments (including energy and freight costs) helping to recover margins

SAF-HOLLAND SE & Haldex AB

Creating a global champion for chassis-related commercial vehicle systems

Haldex: At a glance

NOTE: 2021 average FX rate of 0.0986 SEK/EUR used; All data as of 2021A * ADB: Air Disc Brakes; TEBS: Trailer Electronic Braking System; ABA: Automatic Brake Adjusters

Haldex: At a glance (cont'd)

COMPANY OVERVIEW

• Founded in 1887 and headquartered in Landskrona, Sweden
• ~2,000 employees around the world
• Global footprint: Offices in 19 countries and production facilities in Sweden, Hungary, China, India, Brazil, Mexico and USA
• Clients include all major truck and trailer manufacturers in Europe and North America – e.g., Daimler, Hyundai, Wabash, KRONE, Koegel, Volvo, Scania, MAN etc.
• Product portfolio with focus on brake products and air suspension systems for heavy vehicles
• Market leader in several product categories, including brake adjusters for drum brakes

PRODUCT OVERVIEW

Provider of brake and air suspension systems for heavy trucks, buses, and trailers

EBS** and ABS** Parking Safety Actuators Air Treatment Brake Adjusters Values Air Disc Brakes Air Suspension

Head office Distribution Manufacturing Development Sales office Joint venture USA Mexico Canada Brazil France UK Spain Italy Germany Poland Sweden Russia China South Korea India Australia Hungary

GEOGRAPHICAL FOOTPRINT

KEY FINANCIALS

	(SEKm)		(€m)
	2021A	2020A	2021A	2020A	Δ
Net sales	4,612	4,007	455	395	15%
Organic growth (%)	21	(20)	21	(20)	–
Operating income	341	(100)	34	(10)	n.m.
Adjusted operating income	357	163	35	16	120%
Operating margin (%)	7.4	(2.5)	7.4	(2.5)	9.9%
Adjusted operating margin (%)	7.7	4.1	7.7	4.1	3.7%
Return on capital employed (%)*	13.2	5.1	13.2	5.1	8.1%
Net income	228	(300)	22	(30)	n. m.
Earnings per share	4.65	(6.44)	0.45	(0.62)	n.m.
Cash flow, operating activities	296	215	29	21	38%

SOURCE: Company information

NOTE: 2021 average FX rate 0.0986 SEK/EUR used

* Excluding non-recurring items. Rolling twelve months. The effect of IFRS-16 leases has been excluded as per Company reporting

** EBS: Electronic Brake System; ABS: Anti-Lock Braking System

Strategic rationale

Creating a global champion for chassis-related systems with a highly complementary product portfolio

Significant customer benefits from integrated mechatronic offering and increased regional reach

Unique ability to drive industry transformation and address megatrends via smart solutions and mechatronic systems

Aftermarket powerhouse with increased scale, resilience and profitability

Attractive financial profile with expected EPS accretion from year 1 post closing of the transaction with consequent deleveraging and strong synergy potential

Highly complementary product portfolio… 1

ONE-STOP-SHOP SOLUTIONS PROVIDER FOR WIDE RANGE OF PRODUCTS TO BECOME A SYSTEM SUPPLIER

… creating a global champion in chassis-related systems

		SAF-HOLLAND			Haldex
	Trailer Axles	Fifth Wheels	Landing Gear	Suspensions / Air Controls	Foundation Brake
Global positioning	#1-2	#2	#2		#1-3
Regional positioning	#1 EMEA #1 India #3 NA*	#1 NA* #2 EMEA	#2 NA* #2 EMEA		#2 Europe: Air Disc Brakes, Trailer #1 Europe: Air Suspension, Trailer #3 Europe: Trailer EBS #1 Europe / NA: Brake Adjusters

TOP 3 POSITIONS ACROSS KEY PRODUCTS

1

2 Significant customer benefits from integrated mechatronic offering…

SOLE SYSTEM SUPPLIER WORLDWIDE FOR ALL CHASSIS-RELATED PRODUCTS

* EBS: Electronic Brake System

… and combined with significant growth opportunities an all regions 2

SALES BREAKDOWN (2021A)

NOTE: 2021 average FX rate of 0.0986 SEK/EUR used; Data as of 2021A; Pro-forma figures exclude intercompany consolidation effects, transaction costs and synergies

* NA: North America; EMB: Electro-mechanical Brake; TEBS: Trailer Electronic Brake System

** Middle East sales included within APAC bucket *** Middle East sales from Haldex included within APAC bucket

EMEA Trailer – SAF-HOLLAND expects to strongly outperform market growth 2

Source: Clear International, SAF-HOLLAND, Roland Berger Source: Clear International, SAF-HOLLAND, Roland Berger

EMEA Truck – SAF-HOLLAND expects to strongly outperform market growth 2

* ADB: Air Disc Brake

2 Americas Trailer – SAF-HOLLAND expects to strongly outperform market growth

* ADB: Air Disc Brake

Investor Presentation September 2022 < 49 >

2 Americas Truck – SAF-HOLLAND expects to strongly outperform market growth

Source: ACT Research, SAF-HOLLAND, Roland Berger Source: Clear International, SAF-HOLLAND, Roland Berger;

* ADB: Air Disc Brake; ABA: Automatic Brake Adjuster

Investor Presentation September 2022 < 50 >

Unique ability to drive industry transformation and address megatrends via smart solutions and mechatronic systems ³

In 2025+, Commercial Vehicles are expected to be partially autonomous, connected and efficient due to alternative fuels and improved aerodynamics

Roadmap towards a more integrated and smart system offering driving the industry transformation ³

Data acquisition	Combined features	Common services	Launch subsystem	Highly automated driving
Field testing • Data collection in field and bench tests • Correlation analysis of TEBS* and axle & suspension data	• Big data analysis • Integration of soft docking with Telematics • Improved EBPMS: Electronic Brake Performance Monitoring System Electrification • Intelligent recuperation for e-axle	Intelligent telematic services • Develop predictive maintenance functionalities • Transmission of reliable weight and load information • Park control based on geo location	Predictive maintenance • Wheel brake monitoring • Wheel bearing monitoring (e.g., temperature, vibration) Merge and common use of hardware • Sensor fusion and harmonization of circuit boards	• Intelligent Truck / Trailer communication for automated coupling • High-speed data interface between Truck & Trailer EBS*

THE SOLE PLAYER COMBINING TRAILER EBS* DATA AND FUNCTIONALITY IN ORDER TO DEVELOP UNIQUE OFFERINGS AND SMART SOLUTIONS FOR RUNNING GEARS AND WEAR PARTS

* TEBS: Trailer Electronic Brake System; EBS: Electronic Brake System

4 Aftermarket powerhouse with increased scale, resilience and profitability

NOTE: 2021 average FX rate of 0.0986 SEK/EUR used; All data as of 2021A; Pro-forma figures exclude intercompany consolidation effects, transaction costs and synergies

5

Attractive financial profile with expected EPS accretion from year 1 post closing of the transaction with consequent deleveraging…

CONSEQUENT DELEVERAGING WITH NET LEVERAGE EXPECTED TO BE BELOW 2.0X AFTER 2025

NOTE: 2021 average FX rate 0.0986 SEK/EUR used, All data as of 2021A

• * 10% Capital increase over NOSH of 45.39m. Assumed subscription price of €7.50 and 1.0% transaction costs;
• ** 35% Capital increase over NOSH of 45.39m. Assumed subscription price of €5.03 and 3.5% transaction costs;

*** Excluding intercompany consolidation effects, transaction costs and synergies; **** Based on consensus

5 … and synergy potential

SIGNIFICANT SYNERGY POTENTIAL OF >€10M RUN-RATE P.A.

* TEBS: Trailer Electronic Brake System

Contact and additional information

SAF-HOLLAND shares at a glance

Analysts Coverage

Broker	Recommendation	Last Update
Berenberg Bank	Buy	September 5, 2022
Deutsche Bank	Hold	August 02, 2022
Hauck Aufhäuser Lampe	Buy	August 05, 2022
Kepler Cheuvreux	Hold	August 18, 2022
Oddo BHF	Outperform	July 29, 2022
Stifel	Hold	May 06, 2022
Warburg Research	Buy	July 29, 2022

Dividend payments

Dividend policy Target pay-out ratio of 40% to 50% of the result for the period

Financial calendar & IR contact

Issuer & contact	Financial calendar 2022
SAF-HOLLAND SE Hauptstrasse 26	September 07, 2022	Commerzbank and ODDO BHF Corporate Conference Frankfurt
63856 Bessenbach	September 19+20, 2022	Berenberg and Goldman Sachs 11th German Corporate Conference
Michael Schickling Tel: +49 6095 301 – 617	November 10, 2022	Q3 2022 Quarterly Statement
Alexander Pöschl Tel: +49 6095 301 – 117	December 06, 2022	CIC Market Solution Forum Paris
Email: ir@safholland.de

Appendix

Group P&L unadjusted / adjusted

		Total	H1 2022	in %		Total	H1 2021	in %
in EUR thousands	H1 2022	Adjustments	adjusted*	of sales	H1 2021	Adjustments	adjusted*	of sales
Sales	773,253	–	773,253	100.0%	608,124	–	608,124	100.0%
Cost of sales	-646,509	1,266	-645,243	-83.4%	-496,103	1,205	-494,898	-81.4%
Gross profit	126,744	1,266	128,010	16.6%	112,021	1,205	113,226	18.6%
Other income	1,697	–7	1,690	0.2%	517	–	517	0.1%
Other expenses	-2,158	1,256	-902	-0.1%	–	–	–	0.1%
Selling expenses	-36,135	3,377	-32,758	-4.2%	-29,382	3,515	-25,867	-4.3%
Administrative expenses	-33,366	844	-32,522	-4.2%	-31,847	582	-31,265	-5.1%
Research and development costs	-8,839	162	-8,677	-1.1%	-10,626	389	-10,237	-1.7%
Operating profit	47,943	6,898	54,841	7.1%	40,683	5,691	46,374	7.6%
Share of net profit of investments
accounted for using the equity	776	–	776	0.1%	579	–	579	0.1%
method
EBIT	48,719	6,898	55,617	7.2%	41,262	5,691	46,953	7.7%
Finance income	3,130	–	3,130	0.4%	1,043	–	1,043	0.2%
Finance expenses	-6,473	–	-6,473	-0.8%	-5,466	–	-5,466	-0.9%
Finance result	-3,343	–	-3,343	-0.4%	-4,423	–	-4,423	-0.7%
Result before taxes	45,376	6,898	52,274	6.8%	36,839	5,691	42,530	7.0%
Income taxes	-14,105	111	-13,994	-1.8%	-14.291	2,935	-11,356	-1.9%
Tax rate (%)	31.0%	–	26.8%		38.8%	–	26.7%
Result for the period	31,271	7,009	38,280	5.0%	22,548	8,626	31,174	5.1%

* Adjusted earnings correspond to the management perspective. The adjustments essentially include restructuring and transactions costs, write-off of goodwill, depreciation and amortisation arising from purchase price allocations, expenses arising from the step-up of inventories arising from purchase price allocations and remeasurement effects related to call and put options.

in EUR thousands	H1 2022	H1 2021	Change absolute	Change in %
EBIT	48,719	41,262	7,457	18.1%
EBIT margin in %	6.3%	6.8%
Additional depreciation and amortisation of property, plant and equipment and intangible assets from PPA	4,640	4,620	20	0.4%
Valuation effects from call and put options	1,256	–	1,256
Restructuring and transactions costs	1,002	1,071	-69	-6.4%
Adjusted EBIT	55,617	46,953	8,664	18.5%
Adjusted EBIT margin in %	7.2%	7.7%

in EUR thousands	H1 2022	H1 2021	Change absolute	Change in %
EBIT	20,535	32,815	-12,280	-37.4%
EBIT margin in %	4.8%	9.1%
Additional depreciation and amortisation of property, plant and equipment and intangible assets from PPA	2,214	2,332	-118	-5.1%
Restructuring and transactions costs	746	197	549	278.7%
Adjusted EBIT	23,495	35,344	-11,849	-33.5%
Adjusted EBIT margin in %	5.5%	9.8%

in EUR thousands	H1 2022	H1 2021	Change absolute	Change in %
EBIT	22,272	9,335	12,937	138.6%
EBIT margin in %	8.0%	4.8%
Additional depreciation and amortisation of property, plant and equipment and intangible assets from PPA	1,134	1,086	48	4.4%
Valuation effects from call and put options	1,256	–	1,256	–
Restructuring and transactions costs	131	301	-170	-56.5%
Adjusted EBIT	24,793	10,722	14,071	131.2%
Adjusted EBIT margin in %	8.9%	5.5%

in EUR thousands	H1 2022	H1 2021	Change absolute	Change in %
EBIT	5,912	-888	6,800
EBIT margin in %	8.2%	-1.7%
Additional depreciation and amortisation of property, plant and equipment and intangible assets from PPA	1,292	1,202	90	7.5%
Restructuring and transactions costs	125	573	-448	-78.2%
Adjusted EBIT	7,329	887	6,442	726.3%
Adjusted EBIT margin in %	10.2%	1.7%

Adjusted EBITDA margin

Investor Presentation September 2022 < 67 >

Disclaimer – Offer from SAF-HOLLAND SE to the shareholders of Haldex AB

On 08 June 2022, SAF-HOLLAND SE ("SAF-HOLLAND") announced a cash offer to the shareholders of Haldex AB (publ) ("Haldex"), to acquire all shares in Haldex (the "Offer"). For complete information regarding the terms and conditions of the Offer, please refer to the offer announcement and the offer document. By attending the any investor call where this presentation is made, or by reading the presentation slides, you are informed of and agree to be bound by the following limitations. This presentation does not constitute a recommendation regarding securities of SAF-HOLLAND. This presentation has been prepared for information purposes, it is furnished solely for the purpose of informing about the Offer and may not be relied upon for any other purposes. This presentation is not an offer document, prospectus or similar document. It is not subject to any registration or approval requirements and has not been, and will not be, examined, approved or registered by any financial supervisory authority or other supervisory body. SAF-HOLLAND will file the offer document required for the announced transaction with Finansinspektionen, Sweden's financial supervisory authority, and is expecting approval of the offer document shortly. Following approval, the offer document will be published on SAF-HOLLAND's website. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information, or opinions contained herein. Neither SAF-HOLLAND nor any of SAF-HOLLAND's advisors or representatives shall have any responsibility or liability whatsoever (for negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this document. The information regarding Haldex is based on information made available by Haldex. Accordingly, SAF-HOLLAND does not represent that the information included herein with respect to Haldex is accurate or complete and does not take any responsibility for such information being accurate or complete. The information in this presentation purports to be accurate, although not complete, only as of the date of the presentation. No representation or warranty, express or implied, is made that it was or will remain accurate on any other date. Accordingly, the information set out herein may be subject to updating, completion, revision, verification and amendment and may change materially. The distribution of this presentation and any related offer documentation in certain jurisdictions may be restricted or affected by the laws of such jurisdictions. Accordingly, copies of this presentation are not being, and must not be, mailed or otherwise forwarded, distributed or sent in, into or from any such jurisdiction. Therefore, persons who receive this presentation (including, without limitation, nominees, trustees and custodians) and are subject to the laws of any such jurisdiction will need to inform themselves about, and observe, any applicable restrictions or requirements. Any failure to do so may constitute a violation of the securities laws of any such jurisdiction. To the fullest extent permitted by applicable law, SAF-HOLLAND disclaims any responsibility or liability for the violations of any such restrictions by any person. The Offer is not being made, and this press release may not be distributed, directly or indirectly, in or into, nor will any tender of shares be accepted from or on behalf of holders in, Australia, Canada, Hong Kong, Japan, New Zealand or South Africa or any other jurisdiction in which the making of the Offer, the distribution of this presentation or the acceptance of any tender of shares would contravene applicable laws or regulations or require further offer documents, filings or other measures in addition to those required under Swedish law.

Statements in this presentation relating to future status or circumstances, including statements regarding future performance, growth and other trend projections and the other benefits of the Offer, are forward-looking statements. These statements may generally, but not always, be identified by the use of words such as "anticipates", "intends", "expects", "believes", or similar expressions. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. There can be no assurance that actual results will not differ materially from those expressed or implied by these forwardlooking statements due to many factors, many of which are outside the control of SAF-HOLLAND and Haldex. Any such forward-looking statements speak only as of the date on which they are made and SAF-HOLLAND has no obligation (and undertakes no such obligation) to update or revise any of them, whether as a result of new information, future events or otherwise, except for in accordance with applicable laws and regulations. The Offer, the information and documents contained in this presentation are not being made and have not been approved by an authorized person for the purposes of section 21 of the UK Financial Services and Markets Act 2000 (the "FSMA"). Accordingly, the information and documents contained in this presentation are not being distributed to, and must not be passed on to, the general public in the United Kingdom, unless an exemption applies. The communication of the information and documents contained in this presentation is exempt from the restriction on financial promotions under section 21 of the FSMA on the basis that it is a communication by or on behalf of a body corporate which relates to a transaction to acquire day to day control of the affairs of a body corporate; or to acquire 50% or more of the voting shares in a body corporate, within article 62 of the UK Financial Services and Markets Act 2000 (Financial Promotion) Order 2005.

Important notice to shareholders in the United States of America

* The Offer described in this presentation is made for the issued and outstanding shares of Haldex, a company incorporated under Swedish law, and is subject to Swedish disclosure and procedural requirements, which may be different from those of the United States. The Offer is made in the United States pursuant to Section 14(e) of the U.S. Securities Exchange Act of 1934, as amended (the "U.S. Exchange Act") and Regulation 14E thereunder ("Regulation 14E"), subject to the exemptions from certain U.S. tender offer rules provided by Rule 14d-1(d) of the U.S. Exchange Act, and otherwise in compliance with the disclosure and procedural requirements of Swedish law, including with respect to withdrawal rights, the Offer timetable, notices of extensions, announcements of results, settlement procedures (including as regards to the time when payment of the consideration is rendered) and waivers of conditions, which may be different from requirements or customary practices in relation to U.S. domestic tender offers. The offeror's ability to waive the conditions to the Offer (both during and after the end of the acceptance period) and the shareholders' ability to withdraw their acceptances, may not be the same under a tender offer governed by Swedish law as under a tender offer governed by U.S. law. Holders of the shares of Haldex domiciled or resident in the United States (the "U.S. Holders") are encouraged to consult with their own advisors regarding the Offer.

Haldex's financial statements and all financial information included herein, or any other documents relating to the Offer, have been or will be prepared in accordance with IFRS and may not be comparable to the financial statements or financial information of companies in the United States or other companies whose financial statements are prepared in accordance with U.S. generally accepted accounting principles. The Offer is made to the U.S. Holders on the same terms and conditions as those made to all other shareholders of Haldex to whom the offer is being made. Any information documents, including the offer document, are being disseminated to U.S. Holders on a basis comparable to the method pursuant to which such documents are provided to Haldex's other shareholders. The U.S. Holders should consider that the price for the Offer is being paid in SEK and that no adjustment will be made based on any changes in the exchange rate. It may be difficult for U.S. Holders to enforce their rights and any claims they may have arising under the U.S. federal or state securities laws in connection with the Offer, since Haldex is located in another country other than the United States, and some or all of its officers and directors may be residents of countries other than the United States. U.S. Holders may not be able to sue Haldex or SAF-HOLLAND or their respective officers or directors in a non-U.S. court for violations of U.S. securities laws. Further, it may be difficult to compel Haldex or SAF-HOLLAND and/or their respective affiliates to subject themselves to the jurisdiction or judgment of a U.S. court. To the extent permissible under applicable law or regulations, SAF-HOLLAND and its affiliates or its brokers and its brokers' affiliates (acting as agents for SAF-HOLLAND or its affiliates, as applicable) may from time to time and during the pendency of the Offer, and other than pursuant to the Offer, directly or indirectly purchase or arrange to purchase shares of Haldex outside the United States in reliance on applicable exemptions from the requirements of Regulation 14E (or any securities that are convertible into, exchangeable for or exercisable for such shares). These purchases may occur either in the open market at prevailing prices or in private transactions at negotiated prices, but in any event, at a price per share not more than the Offer Price, and information about such purchases will be disclosed by means of a press release or other means reasonably calculated to inform U.S. Holders of such information. In addition, affiliates to the financial advisors to SAF-HOLLAND may also engage in ordinary course trading activities in securities of Haldex, which may include purchases or arrangements to purchase such securities as long as such purchases or arrangements are in compliance with applicable law and regulation. Any information about such purchases will be announced in Swedish and in a non-binding English translation available to the U.S. Holders through relevant electronic media if, and to the extent, such announcement is required under applicable Swedish or U.S. law, rules or regulations. The receipt of cash pursuant to the Offer by a U.S. Holder may be a taxable transaction for U.S. federal income tax purposes and under applicable U.S. state and local, as well as foreign and other, tax laws. Each shareholder is urged to consult an independent professional advisor regarding the tax consequences of accepting the Offer. Neither SAF-HOLLAND nor any of its affiliates and their respective directors, officers, employees or agents or any other person acting on their behalf in connection with the Offer shall be responsible for any tax effects or liabilities resulting from acceptance of this Offer. NEITHER THE U.S. SECURITIES AND EXCHANGE COMMISSION NOR ANY U.S. STATE SECURITIES COMMISSION HAS APPROVED OR DISAPPROVED THE OFFER, PASSED ANY COMMENTS UPON THE MERITS OR FAIRNESS OF THE OFFER, PASSED ANY COMMENT UPON THE ADEQUACY OR COMPLETENESS OF THIS PRESENTATION OR PASSED ANY COMMENT ON WHETHER THE CONTENT IN THIS PRESENTATION IS CORRECT OR COMPLETE. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENCE IN THE UNITED STATES.

Disclaimer

This presentation has been prepared by SAF-HOLLAND SE ("SAF-HOLLAND") and comprises written materials concerning SAF-HOLLAND. It is furnished to you solely for your information and may not be reproduced or redistributed, in whole or in part, to any other person. It contains summary information only and does not purport to be comprehensive and is not intended to be (and should not be used as) the sole basis of any analysis or other evaluation of SAF-HOLLAND or its business. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, neither SAF-HOLLAND nor any of the members of its management board or any of its officers, employees or advisors nor any other person shall have any responsibility or liability whatsoever (for negligence or otherwise) arising, directly or indirectly, from the use of this presentation, or its contents or otherwise in connection with this presentation.

This presentation contains certain statements related to our future business and financial performance and future events or developments involving SAF-HOLLAND and/or the industry in which SAF-HOLLAND operates that may constitute forward-looking statements. These statements may be identified by words such as "believes," "expects," "predicts," "intends," "projects," "plans," "estimates," "aims," "foresees," "anticipates," "targets," and similar expressions. Forward-looking statements are not historical facts, but solely opinions, views and forecasts which are based on current expectations and certain assumptions of SAF-HOLLAND's management or cited from third party sources which are uncertain and subject to risks. Actual events may differ significantly from the anticipated developments due to a number of factors, including without limitation, changes in general economic conditions, changes affecting the fair values of the assets held by SAF-HOLLAND and its subsidiaries, 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 the Group's ability to achieve operational synergies from past or future acquisitions. Should any of these risks or uncertainties materialise or should underlying expectations not occur or assumptions prove to be incorrect, actual results, performance or achievements of SAF-HOLLAND may (negatively or positively) vary materially from those described, explicitly or implicitly, in the relevant forward-looking statement.

The information contained in this presentation, including any forward-looking statements expressed herein, speaks only as of the date hereof and reflects current legislation and the current business and financial affairs of the SAF-HOLLAND which are subject to change and audit. Neither the delivery of this presentation nor any further discussions of SAF-HOLLAND with any of the recipients thereof shall, under any circumstances, create any implication that there has been no change in the affairs of SAF-HOLLAND since such date. Consequently, SAF-HOLLAND neither accepts any responsibility for the future accuracy of the information contained in this presentation, including any forward-looking statements expressed herein, nor assumes any obligation, to update or revise this information to reflect subsequent events or developments which differ from those anticipated.

* This presentation is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident or located in any state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would require any registration or licensing within such jurisdiction. This presentation is for information purposes only and does neither constitute an offer to sell securities, nor any recommendation of, or solicitation of an offer to buy, any securities of SAF-HOLLAND in the United States, Germany or any other jurisdiction. In the United States, any securities may not be offered or sold absent registration or an exemption from registration under the U.S. Securities Act of 1933.

The information contained in this document has not been subject to any independent audit or review. Information derived from unaudited financial information should be read in conjunction with the relevant audited financial statements, including the notes thereto. Certain financial data included in the document consists of "non-IFRS financial measures". These non-IFRS financial measures may not be comparable to similarly titled measures presented by other companies, nor should they be construed as an alternative to other financial measures determined in accordance with IFRS. You are cautioned not to place undue reliance on any non-IFRS financial measures and ratios included herein.