Brenntag SE — Investor Presentation 2021

Aug 1, 2021

COMPANY PRESENTATION

A U G U S T 2 0 2 1

Company Presentation

Introduction to Brenntag

Key investment highlights Financials Q2 2021 Outlook Project Brenntag Appendix

Brenntag is the global market leader in chemicals and ingredients distribution

Global market leader in chemicals and ingredients distribution with ~5% market share

Full-line product portfolio with more than 10,000 products

Network of 670 locations in 77 countries worldwide

More than 17,000 employees thereof 1/3 dedicated local sales and marketing employees

~185,000 customers

Usually less-than-truckload deliveries with average value of c. EUR 3,000

We connect our customers and suppliers in a winning partnership globally and locally

Global market leader with successful track record since IPO

Notes: 2005: Brenntag predecessor; 2006: Brenntag and Brenntag predecessor combined and does not constitute pro forma financial information.

Investment Highlights

Significant growth potential in an attractive industry Sound financial profile

Global market leader

Excellence in execution Strong M&A track record

Highly experienced management team

Superior business model with resilience

Business model: Chemical distributors fulfil a value-adding function in the supply chain

PURCHASE, TRANSPORT AND STORAGE OF LARGE-SCALE QUANTITIES OF DIVERSE CHEMICALS

• Repackaging from large into smaller quantities
• Filling, labelling, bar-coding and palletizing
• Marketed by more than 6,000 dedicated local sales and marketing employees
• Mixing and blending according to customer specific requirements

• Leveraging high route density based on local scale

• Formulating and technical support from dedicated application laboratories

• Providing just-in-time delivery and vendor-managed inventory services
• Utilizing transportation for drum return services
• Offering one-stop-shop solution

Two global divisions: Brenntag Essentials and Brenntag Specialties

Company Presentation

Introduction to Brenntag

Key investment highlights

Financials Q2 2021 Outlook Project Brenntag Appendix

Global market leader:

Third party chemical distribution estimated market size and market shares

Still highly fragmented market with more than 10,000 chemical distributors globally

As per end 2019e: ICIS, BCG Innovative chemical distributors gain a digital edge (September 2020), own analysis Companies with stronger trading focus are excluded

Growth drivers: Multiple levers of organic growth and acquisition potential

Source: VCI, BCG Innovative chemical distributors gain a digital edge (September 2020)

Brenntag SE – Company Presentation | August 2021 10

Market growth: Third party chemical distribution outgrew total chemical demand

	Growth driver	Brenntag global initiative
	Growth in chemical demand	Diverse business mix
Chemical distribution industry growth	Outsourcing	Turned-over business
	Value-added services	Mixing and blending
Scale distributor share gain	Share gain by scale distributors	Key accounts
Brenntag share gain	Brenntag business mix Acquisition growth	Focus industries M&A strategy
		Significant organic and acquisition growth potential

Acquisition approach and track record: Significant potential for consolidation and external growth

¹⁾ Including acquisitions performed until June 2021

2) Purchase price excluding debt assumed

Brenntag SE – Company Presentation | August 2021 12

High diversification: Diversity provides resilience and growth potential

Barriers to entry: High barriers to entry due to critical scale and scope

Market driven: Excellence in execution due to balance of global scale and local reach

Global Platform

CORE MANAGEMENT FUNCTIONS

• Strategic direction
• Controlling and Treasury
• Information Technology
• Quality, Health, Safety, Environment

STRATEGIC GROWTH INITIATIVES

• Strategic supplier relationships
• Turned-over business
• Focus industries
• Key accounts
• Mergers & Acquisitions

BEST PRACTICE TRANSFER

Local reach

• Excellent local understanding of market trends
• Adaptation to respective customer needs
• Clear accountability
• Strong incentivization with high proportion of variable compensation of management

ESG: Brenntag is developing an updated comprehensive strategic framework

HIGHLIGHTS

Q2 2021

• Brenntag commits to switch to 100% renewable electricity by 2025 by joining the RE100 initiative
• Solar panels at our site in Padua, Italy, started to operate

Targets 2021

• Re-evaluate sustainability approach of Brenntag
• Develop a comprehensive strategic framework for sustainability in line with corporate strategy

• Develop new ambitious and long-term goals

• TRIR (Total Recordable Injury Rate): 2.9

• -15% spills compared to base year 2020 (spills >200 liters)
• 100% site coverage with process safety management standards

Sustainable Procurement

• 80% coverage of chemical spend (in €) with supplier sustainability assessments
• 55% of suppliers undergoing reassessments which achieve a score improvement by at least 1 point

Climate

• -4% total scope 1 and 2 CO2e emissions compared to base year 2020
• 3 sites that will start to produce electricity with solar panels
• 9 sites that will have undergone a full solar panel feasibility study

Ratings

• EcoVadis Score of 71 (Gold Medal)
• CDP Score of C

Board of Management: Highly experienced management team

Christian Kohlpaintner Chief Executive Officer

Corp. Board Office Global HR Corp. Planning & Strategy M&A Brenntag Group Global Communications Global Marketing Compliance & Audit Brenntag Group QSHE Brenntag Group Sustainability Brenntag Group Corp. Relations & Government Affairs

Georg Müller Chief Financial Officer

Corp. Controlling Accounting Brenntag Group Legal Brenntag Group Tax Brenntag Group Treasury Brenntag Group Corp. Investor Relations Corp. Insurance Management Shared Services Brenntag Group Brenntag International Chemicals

Ewout van Jarwaarde Chief Transformation Officer

"Project Brenntag" Digitalization Brenntag Group IT Brenntag Group Indirect Procurement & Procurement Excellence Brenntag Group Functional Excellence Brenntag Group

Steven Terwindt Chief Operating Officer Brenntag Essentials

Brenntag Essentials Global Key Accounts

Henri Nejade Chief Operating Officer Brenntag Specialties

Brenntag Specialties

Sound financial profile: Growth track record and resilience through the downturn

Notes: 2005: Brenntag predecessor; 2006: Brenntag and Brenntag predecessor combined and does not constitute pro forma financial information. EBITDA / Gross Profit adjusted for non-recurring effects: 2012 = 11m, 2013 = 17m

Company Presentation

Introduction to Brenntag Key investment highlights Financials Q2 2021 Outlook

Project Brenntag Appendix

Highlights Q2 2021: Excellent quarterly results

OPERATING GROSS PROFIT (fx adj.)	OPERATING EBITDA (fx adj.)	FREE CASHFLOW	EPS EPS
+21.1%	+34.3%	EUR 121.5m	EUR 0.63 EUR 0.87
EUR 838.7m	EUR 355.1m	EUR 213.7m in Q2 2020	Following EUR 0.74 one year EUR 0.80 in Q2 2020 ago
EXCELLENT QUARTERLY RESULTS	INCREASED FY 2021 GUIDANCE CONFIRMED	DIVIDEND PAYMENT OF EUR 1.35 PER SHARE	PROJECT BRENNTAG FULLY ON TRACK

Pushing ahead with important acquisitions

• Renowned player of food ingredients in North America with highly diversified product portfolio
• Strengthening Brenntag's specialties division
• Brenntag doubles its size in the North American nutrition market becoming the leading F&N distributor
• USD ~500m sales in 2020; EV USD 304m
• Closing in August 2021

Zhongbai Xingye

• Leading specialty food ingredients distributor with focus on dairy products and proteins in China
• Expansion of Brenntag's specialties offering
• Underlining focus on emerging markets
• EUR 146m sales LTM June 2020
• EV EUR 90m for the 1. tranche
• Closing of 1st tranche of 67% in July 2021
• Closing of 2nd tranche planned for 2024

M&A Approach

• Allocation of EUR 200-250m on average per year
• Focus on emerging markets and towards specialties
• In case attractive targets arise, we take decisive action
• M&A activities YTD 2021: EUR ~450m

Financials Q2 2021: Operating EBITDA bridge*

* Calculations are partly based on assumptions made by management; effects based on rounded figures

Brenntag SE – Company Presentation | August 2021 22

Financials Q2 2021: Brenntag Essentials

• Benefitting from good margin management and increased demand
• Market disruptions still noticeable
• Broad based economic recovery incl. O&G
• All segments contributed to this performance with BES EMEA and North America being particularly strong
• Growth almost entirely organic
• Op. EBITDA result in APAC predominantly driven by China and Vietnam
• Conversion ratio of ~44%

Financials Q2 2021: Brenntag Specialties

Financials Q2 2021: Segments (1/2)

in EUR m	Operating gross	profit1)			Operating EBITDA2)
	Q2 2021	Q2 2020	∆	∆ FX adjusted	Q2 2021	Q2 2020	∆	∆ FX adjusted
Brenntag Essentials	523.1	468.2	11.7%	16.3%	230.1	185.6	24.0%	29.1%
Brenntag Specialties	308.9	247.1	25.0%	30.1%	144.5	101.6	42.2%	48.7%
All other Segments	6.7	5.3	26.4%	26.4%	-19.5	-11.0	77.3%	77.3%
Brenntag Group	838.7	720.6	16.4%	21.1%	355.1	276.2	28.6%	34.3%
in EUR m	Operating EBITA
	Q2 2021	Q2 2020	∆	∆ FX adjusted
Brenntag Essentials	173.9	130.8	33.0%	38.8%
Brenntag Specialties	136.8	94.1	45.4%	51.9%
All other Segments	-21.1	-12.4	70.2%	71.5%

1) External sales less cost of materials.

2) Segment operating EBITDA is calculated as EBITDA adjusted for holding charges and special items.

Brenntag SE – Company Presentation | August 2021 25

Brenntag Group 289.6 212.5 36.6% 42.7%

Financials Q2 2021: Segments (2/2)

in EUR m	Operating gross	profit1)			Operating EBITDA2)
	Q2 2021	Q2 2020	∆	∆ FX adjusted	Q2 2021	Q2 2020	∆	∆ FX adjusted
Essentials EMEA	206.5	197.3	4.7%	4.1%	92.5	80.8	14.5%	14.1%
Essentials North America	252.2	214.2	17.7%	27.4%	114.2	84.7	34.8%	46.3%
Essentials Latin America	35.4	32.9	7.6%	16.1%	12.0	11.8	1.7%	10.1%
Essentials APAC	29.0	23.8	21.8%	25.0%	13.3	8.5	56.5%	60.2%
Brenntag Essentials	523.1	468.2	11.7%	16.3%	230.1	185.6	24.0%	29.1%
Specialties EMEA	153.2	117.3	30.6%	31.7%	75.4	50.0	50.8%	53.7%
Specialties Americas	103.3	91.5	12.9%	22.0%	42.9	35.9	19.5%	29.6%
Specialties APAC	52.4	38.3	36.8%	44.1%	26.9	15.8	70.3%	78.1%
Brenntag Specialties	308.9	247.1	25.0%	30.1%	144.5	101.6	42.2%	48.7%

1) External sales less cost of materials.

2) Segment operating EBITDA is calculated as EBITDA adjusted for holding charges and special items.

The difference between the sum total of the reportable segments (EMEA, Americas and APAC) and the Brenntag divisions is the result of central activities which are part of Brenntag divisions but not directly attributable to any one segment.

Brenntag SE – Company Presentation | August 2021 26

Financials Q2 2021: Income statement below operating EBITDA

in EUR m	Q2 2021	Q2 2020	∆	FY 2020
Operating EBITDA	355.1	276.2	28.6%	1,057.7
Special items	-17.9	-11.9	-	-47.2
Depreciation	-65.5	-63.7	2.8%	-252.4
EBITA	271.7	200.6	35.4%	758.1
Amortization	-64.6	-11.3	471.7%	-45.1
EBIT	207.1	189.3	9.4%	713.0
Financial result	-14.3	-22.3	-35.9%	-79.7
EBT	192.8	167.0	15.4%	633.3
Profit after tax	137.2	123.0	11.5%	473.8
EPS	0.87	0.80	8.8%	3.02

Financials Q2 2021: Free cash flow

in EUR m	Q2 2021	Q2 2020	∆	∆	FY 2020
Operating EBITDA	355.1	276.2	78.9	28.6%	1,057.7
Capex	-34.9	-44.1	9.2	-20.9%	-201.9
∆ Working capital	-168.3	12.1	-180.4	-	325.0
Principal and interest payments on lease liabilities	-30.4	-30.5	0.1	-0.3%	-126.2
Free cash flow	121.5	213.7	-92.2	-43.1%	1,054.6

Financials Q2 2021: Balance Sheet and maturity profile

in EUR m	30 Jun 2021	31 Dec 2020
Financial liabilities	1,820.7	1,639.4
Lease liabilities	437.4	426.8
./. Cash and cash equivalents	562.8	726.3
Net Debt	1,695.3	1,339.9
Net Debt/Operating EBITDA 1)	1.4x	1.3x
Equity	3,726.9	3,611.6

1) Operating EBITDA for the quarters on LTM basis calculated.

Financials Q2 2021: Working capital

in EUR m	30 Jun 2021	31 Mar 2021	31 Dec 2020	30 Sep 2020	30 Jun 2020
Inventories	1,207.8	1,092.8	978.9	1,005.9	1,190.5
+ Trade receivables	2,056.8	1,938.7	1,597.5	1,648.0	1,658.9
./. Trade payables	1,555.2	1,485.7	1,229.8	1,194.2	1,120.4
Working capital (end of period)	1,709.4	1,545.8	1,346.6	1,459.7	1,729.0
Working capital turnover (annualized) 1)	8.6x	8.7x	7.3x	7.1x	6.9x

1) Sales YTD extrapolated to the full year; average working capital is defined as the average of working capital at the beginning of the year and at the end of each quarter.

Company Presentation

Introduction to Brenntag Key investment highlights Financials Q2 2021

Outlook

Project Brenntag Appendix

Outlook 2021: Well positioned in challenging environment

Macro environment	▪ Exceptional market environment driven by COVID-19 related uncertainty and pressure on global supply chains ▪ Some normalization expected over the next months
Comments	▪ Well positioned to continue on its successful path going forward ▪ Guidance includes uplift of Project Brenntag initiatives, closed M&A and assumes stable FX rates
Operating EBITDA Guidance	▪ FY 2021 operating EBITDA guidance range increased to EUR 1,160m – 1,260m in June 2021 (prev. EUR 1,080m – 1,180m) ▪ Guidance confirmed
Additional information	▪ EUR/USD: ~1.20 (2020: ~1.14) ▪ EUR/USD sensitivity (FY basis): Delta of EUR/USD +/- 1 cent = EUR ~ +/- 5m op. EBITDA ▪ Tax rate: ~28% ▪ Capex 2021: EUR ~260m

Company Presentation

Introduction to Brenntag Key investment highlights Financials Q2 2021 Outlook

Project Brenntag

Appendix

Project Brenntag: Addresses areas of improvement based on stakeholder feedback

Project Brenntag: Delivering sustainable organic earnings growth

1) Based on management estimates

Brenntag SE – Company Presentation | August 2021 35

Project Brenntag: Clear & measurable benefits for organic earnings growth

Operating
Model

Go-to-Market Approach

Site Network Optimization

People & Change

• Differentiated business steering
• Remove redundancies
• Leverage economies of scale
• Stringent customer segmentation
• Fit-for-purpose sales organisation
• Reduce complexity
• Drive efficiency gains
• Improved customer proximity
• New leadership structure
• Foster global collaboration and performance culture

Operating EBITDA uplift1) 2)

~40m EUR top line impact

~EUR 220 m

~180m EUR bottom line impact

One off net cash out: ~EUR 370 m2)

1) By FY2023 2) Based on management estimates Brenntag SE – Company Presentation | August 2021 36

Operating Model: Sharpened operating model with increased centralization

Two global divisions with distinct market approach addressing changing needs of our business partners

Brenntag Essentials: Agile, lean, and most efficient partner of choice in local geographies

Brenntag Specialties: Clear focus on highly attractive industries

		Growth momentum	Cross-regional platform	Solutions potential	Critical mass
	Specialty market size (EUR bn) 1)	Positive underlying growth in end industries	Global reach but industry-focused delivery	Value-added solutions and technical expertise	Brenntag already with industry-critical mass
Nutrition2)	~50
Pharma	~105
Personal Care, Home Care, I&I	~60
Material Science3)	~190
Water Treatment	~10
Lubricants	~1204)
1) 2) Consisting of Food & Nutrition and Animal Nutrition		Refers to underlying end market size 2019 (as per IHS Specialty Chemical Update Program 2020)		GDP+ GDP++	Strong Medium GDP+++

3) Consisting of Coatings & Construction and Polymers & Rubber

4) Excluding base oils

Brenntag SE – Company Presentation | August 2021 40

Go-to-Market Approach: Stringent customer segmentation and re-deployment of sales force

Site Network Optimization: Optimized footprint will increase efficiency

People & Change: Execution focused culture to drive performance and value creation

Global perspective

Strategic steering & business development

Stringent decision-making

Execution focused mind set

Clearly defined roles, responsibilities and accountabilities

Strong focus on performance and its individual recognition

Leadership competencies focused on execution skills, growth and transformation capabilities

Continuous change management in place to ensure smooth integration of transformation processes

Reduction of 1,300 jobs until 2022 to reduce overlaps between functions and increase harmonization.

Medium term guidance

Organic underlying business	> 4% p.a. Organic operating Gross Profit	4% - 6% p.a. Organic operating EBITDA
Project Brenntag	Operating EBITDA uplift of EUR 220 m by FY20231)
M&A	Proven track record with unaltered scope
1) Based on management estimates

Project Brenntag – The path to success

Project Brenntag: Timeline

Project Brenntag: Status update H1 2021

Overall Implementation

• New operating model with focus on customer and supplier needs
• Focus on top line levers
• Harmonization of indirect procurement processes
• Consequent execution of efficiency improvements
• Further supply chain and network optimization

Measures Results

• Almost 1,000 measures defined and in implementation
• Global monitoring up and running

• Steering of measure implementation according to plan

• Working Capital turn on continued high level

• Reduction of ~480 jobs so far
• 58 site closures globally
• Operating EBITDA contribution of more than EUR 40m (baseline 2019)

Project Brenntag: Op. EBITDA contribution

1) Based on management estimates

Brenntag SE – Company Presentation | August 2021 48

Digital Sales Channel Development @ Brenntag

Company Presentation

Introduction to Brenntag Key investment highlights Financials Q2 2021 Outlook Project Brenntag

Appendix: Contents

	Page
Longstanding history of more than 140 years	52
Distributor vs. Producer	53
North America – Oil & Gas Value Chain	54
Committed to health, safety and the environment	55
Acquisitions have achieved three main objectives	56
Remuneration of Board Members	57
Financials H1 2021	58
Financials FY 2020	61
Historic Financials	66
Share data	74
Shareholder structure	76
Bond data	77
Relevant Links / Financial calendar / Contact	78

Brenntag history: Longstanding history of more than 140 years

Distributor vs. producer: Chemical distribution differs substantially from chemical production

	"What we are"	"What we are not" Chemical Producer
Business model	B2B Services / Solutions	Manufacturing
Product portfolio	Full-line	Narrow
Customer base	Broad in diverse end-markets	Narrow
Customer order size	Small	Large
Delivery method	Less-than-truckload	Truckload and larger
Fixed assets	Low intensity	High intensity
Fixed asset flexibility	Multi-purpose	Narrow purpose
Cost base	Variable	Fixed
Raw material prices	Market	Contract
Input / Output pricing	Connected	Disconnected

North America: Oil and Gas Value Chain

HSE: Committed to health, safety and the environment

	Committed to the principles of Responsible Care/Responsible Distribution1)

• Product responsibility
• Asset integrity & process safety
• Occupational safety and health
• Environment protection (air, water, soil, raw materials, waste, energy)
• Transport safety

1) Program of the International Chemical Trade Association

Acquisitions since 2018: Acquisitions have achieved three main objectives

Building up scale & efficiencies	Expanding geographic coverage	Improving full-line portfolio
▪ Canada Colors & Chemicals, Can., 2018 ▪ Reeder Distributors Inc., USA, 2019 ▪ B&M Oil Company, USA, 2019 ▪ Suffolk Solutions Inc., USA, 2020 ▪ Alpha Chemical Ltd., Canada, 2020 ▪ ICL Packed, UK, 2021	▪ Whanee Corporation, Quimitécnica, Portugal, 2018 ▪ Desbro, Kenya, 2018 ▪ Crest Chemicals Ltd., South Africa, 2019 ▪ Neuto Chemicals Corp., Taiwan, 2019 ▪ Quimisa S.A., Brazil, 2019 ▪ Oils 'R Us, Thailand, 2020 ▪ Matrix Chemicals LLC, USA, 2021	▪ Alphamin S. A., Belgium, 2018 ▪ PachemDistribution Inc., 2018 ▪ NERP Inc., USA, 2019 ▪ Tee Hai Chem Pte.Ltd., Singapore, 2019 ▪ Marlin Company Inc., USA, 2019 ▪ Tan International, UK, 2019 ▪ ComeltSpa; AquadepurSrl, Italy, 2020 ▪ Zhongbai, China, 2021 ▪ JM Swank, USA, 2021
	85 acquisitions in total since 20101)

Remuneration System 2020: Remuneration of Board Members

The payout amount of the variable pay depends on the overall target achievement. The maximum payout amount of both the Annual bonus and the Performance Share Plan is 200% for an overall target achievement of 150% or more. The payout amount cannot be raised above this Cap of 200%.

Financials H1 2021: Operating EBITDA bridge*

* Calculations are partly based on assumptions made by management; effects based on rounded figures

Brenntag SE – Company Presentation | August 2021 58

Financials H1 2021: Income statement below operating EBITDA

in EUR m	H1 2021	H1 2020	∆
Operating EBITDA	655.4	539.2	21.6%
Special items	-88.7	-18.8	-
Depreciation	– 126.8	– 128.1	–1.0%
EBITA	439.9	392.3	12.1%
Amortization	-75.9	-22.8	232.9%
EBIT	364.0	369.5	-1.5%
Financial result	-31.9	-46.3	-31.1%
EBT	332.1	323.2	2.8%
Profit after tax	237.4	238.0	-0.3%
EPS	1.50	1.54	-2.6%

Financials H1 2021: Cash flow items

in EUR m	H1 2021	H1 2020	∆	∆
Operating EBITDA	655.4	539.2	116.2	21.6%
CAPEX	-67.9	-88.6	20.7	-23.4%
∆ Working capital	-328.8	-12.3	-316.5	-
Principal and interest payments on lease liabilities	-61.6	-63.1	1.5	-2.4%
Free cash flow	197.1	375.2	-178.1	-47.5%

Financials FY 2020: Operating EBITDA bridge*

* Calculations are partly based on assumptions made by management; effects based on rounded figures

Financials FY 2020: Income statement

in EUR m	FY 2020	FY 2019	∆	∆ FX adjusted
Sales	11,775.8	12,821.8	-8.2%	-6.0%
Cost of materials	-8,925.4	-10,000.1	-10.7%
Operating gross profit	2,850.4	2,821.7	1.0%	3.3%
Operating expenses	-1,792.7	-1,820.2	-1.5%
Operating EBITDA	1,057.7	1,001.5	5.6%	8.3%
Op. EBITDA/Op. gross profit	37.1%	35.5%

Financials FY 2020: Income statement below operating EBITDA

in EUR m	FY 2020	FY 2019	∆
Operating EBITDA	1,057.7	1,001.5	5.6%
Special items	-47.2	8.6	-648,8%
Depreciation	-252.4	-243.6	3.6%
EBITA	758.1	766.5	-1.1%
Amortization 1)	-45.1	-49.6	-9.1%
EBIT	713.0	716.9	-0.5%
Financial result	-79.7	-83.5	-4.6%
EBT	633.3	633.4	0.0%
Profit after tax	473.8	469.2	1.0%
EPS	3.02	3.02	0.0%

1) Includes scheduled amortization of customer relationships amounting to EUR 34.9 in 2019 (EUR 40.7m in 2018).

Financials FY 2020: Cash flow statement

in EUR m	FY 2020	FY 2019
Profit after tax	473.8	469.2
Depreciation & amortization	297.5	293.2
Income taxes	159.5	164.2
Income tax payments	-155.5	-175.3
Interest result	66.4	90.0
Interest payments (net)	-57.9	-75.7
Changes in current assets and liabilities	426,0	136.5
Changes in provisions	-33.9	0.9
Other	43.1	-23.7
Cash provided by operating activities	1,219.0	879.3

Financials FY 2020: Cash flow statement (continued)

in EUR m	FY 2020	FY 2019
Purchases of intangible assets and property, plant & equipment (PPE)	-199.1	-204.0
Purchases of consolidated subsidiaries and other business units	-46.4	-194.9
Proceeds from the disposal of consolidated subsidiaries and business units	1.2	14.7
Other	20.2	12.0
Cash used for investing activities	-224.1	-372.2
Purchases of companies already consolidated	-	-
Profits distributed to non-controlling interests	-1.5	-1.5
Dividends paid to Brenntag shareholders	-193.1	-185.4
Repayment of (-)/proceeds from (+) borrowings (net)	-541.0	-196.5
Cash used for financing activities	-735.6	-383.4
Change in cash & cash equivalents	259.3	123.7

Brenntag SE – Company Presentation | August 2021 65

Financials Q4 2020: Income statement Q4 2020

in EUR m	Q4 2020	Q4 2019	∆	∆ FX adjusted
Sales	2,876.2	3,130.9	-8.1%	-2.8%
Cost of materials	-2,177.5	-2,442.5	-10.8%
Operating gross profit	698.7	688.4	1.5%	7.3%
Operating expenses	-444.6	-454.8	-2.2%
Operating EBITDA	254.1	233.6	8.8%	15.9%
Op. EBITDA/Op. gross profit	36.4%	33.9%
Special items	13.9	0.0
Depreciation	-62.8	-63.8	-1.6%
EBITA	177.5	169.8	4.5%
Amortization 1)	-11.6	-11.6	-0.0%
EBIT	165.9	158.2	4.9%
Financial result	-17.8	-10.5	69.5%
EBT	148.1	147.7	0.3%
Profit after tax	115.2	110.2	4.5%
EPS	0.72	0.71	1.4%

1) Includes scheduled amortization of customer relationships amounting to EUR 6.5m in Q4 2020 (EUR 6.8m in Q4 2019).

Financials Q4 2020: Cash flow statement Q4 2020

in EUR m	Q4 2020	Q4 2019
Profit after tax	115.2	110.2
Depreciation & amortization	74.4	75.4
Income taxes	32.9	37.5
Income tax payments	-37.3	-48.1
Interest result	13.3	22.7
Interest payments (net)	-11.6	-20.4
Changes in current assets and liabilities	181.3	125.7
Changes in provisions	-38.9	2.7
Other	0.2	-21.7
Cash provided by operating activities	329.5	284.0

Financials Q4 2020: Cash flow statement Q4 2020 (continued)

in EUR m	Q4 2020	Q4 2019
Purchases of intangible assets and property, plant & equipment (PPE)	-68.1	-77.9
Purchases of consolidated subsidiaries and other business units	-18.6	-77.5
Proceeds from the disposal of consolidated subsidiaries and business units	0.0	14.7
Other	12.3	3.6
Cash used for investing activities	-74.3	-137.1
Purchases of companies already consolidated	-	-
Profits distributed to non-controlling interests	-0.5	-0.5
Dividends paid to Brenntag shareholders	-	-
Repayment of (-)/proceeds from (+) borrowings (net)	-386.1	-67.3
Cash used for financing activities	-386.6	-67.8
Change in cash & cash equivalents	-131.4	79.1

Brenntag SE – Company Presentation | August 2021 68

Financials Q4 2020: Free cash flow Q4 2020

in EUR m	Q4 2020	Q4 2019	∆	∆
Operating EBITDA	254.1	233.6	20.5	8.8%
CAPEX	-74.8	-84.2	9.4	-11.2%
∆ Working capital	110.8	128.5	-17.7	-13.8%
Principal and interest payments on lease liabilities1)	-31.4	-31.9	0.5	-1.6%
Free cash flow	258.7	246.0	12.7	5.2%

ROCE: Increasing value added and returns

in EUR m	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009
EBITA	758.1	766.5	770.9	663.3	694.5	698.7	627.5	595.6	610.8	569.9	513.6	394.3
Average carrying amount of equity	3,582.9	3,427.3	3,111.6	2,969.2	2,753.8	2,534.6	2,190.1	2,008.4	1,860.3	1,660.0	1,265.5	157.7
Average carrying amount of financial liabilities	2,453.0	2,581.3	2,173.1	2,255.0	2,238.3	1,961.8	1,823.1	1,817.5	1,868.7	1,809.6	2,114.7	3,190.0
Average carrying amount of cash and cash equivalents	-654.1	-430.8	-416.2	-612.0	-566.3	-460.9	-413.1	-343.4	-356.2	-382.5	-468.3	-500.9
ROCE 1,2)	14.1%	13.7%	15.8%	14.4%	15.7%	17.3%	17.4%	17.1%	18.1%	18.5%	17.6%	13.9%

1) ROCE is defined as EBITA divided by (the average carrying amount of equity + the average carrying amount of financial liabilities – the average carrying amount of cash and cash equivalents) 2) EBITA 2020 includes special items EUR 47.2 million. Adjusted for this effect, ROCE was 15.0%.

Cash flow: Strong cash generation over the past years

in EUR m	2020	2019	2018	2017	2016	2015	2014	2013	2012	2011	2010	2009
Op. EBITDA	1,057.7	1,001.5	875.5	836.0	810.0	807.4	726.7	698.3	707.0	660.9	602.6	480.3
CAPEX	-201.9	-205.2	-172.2	-148.1	-141.1	-130.1	-104.8	-97.2	-94.7	-86.0	-85.1	-71.8
∆ Working capital	325.0	161.7	-178.1	-247.6	-27.5	87.0	-100.5	-56.2	-33.0	-61.0	-136.4	242.0
Pricipal and interest payments on lease liabilities	-126.2	-120.7
Free cash flow1)	1,054.6	837.3	525.2	440.3	641.4	764.3	521.4	544.9	579.3	513.9	381.1	650.5
Average working capital2)	1,611.2	1,842.3	1,719.6	1,487.3	1,308.8	1,295.1	1,161.8	1,090.0	1,048.8	928.3	752.4	691.9
Working capital turnover3)	7.3x	7.0x	7.3x	7.9x	8.0x	8.0x	8.6x	9.0x	9.2x	9.3x	10.2x	9.2x

1) Free Cash Flow is calculated as operating EBITDA – Capex +/- Δ Working Capital.

2) Average Working Capital is defined for a particular year as the mean average of the values for working capital at each of the following five times: the beginning of the year, the end of each of the first, second and third quarters, and the end of the year.

3) Working Capital Turnover is defined as Sales divided by Average Working Capital.

Brenntag SE – Company Presentation | August 2021 71

Financials FY 2020: Continuous dividend increase

					Dividend in EUR
Financials FY 2020: in EUR m	2020	2019	∆	1,5											1,35
Continuous dividend increase Profit after tax	473.8	469.2	1.0%									1,10	1,20	1,25
Less minority interests	7.3	2.5		1,2						1,00	1,05
Profit after tax (consolidated) attributable to shareholders of Brenntag SE	466.5	466.7	0.0%	0,9			0,80	0,87	0,90
Proposed dividend payment	208.6	193.1				0,67
Proposed dividend per share in EUR	1.35	1.25	8.0%	0,6	0,47
Payout ratio	44.7%	41.4%
				0,3	2010	2011	2012	2013	2014	2015	2016	2017	2018	2019	2020
					50.2	37.1	36.8	39.5	41.0	42.3	45.0	47.1	40.2	41.4	44.7
										Payout ratio	in %

Dividend policy: pay an annual dividend of 35% to 50% of consolidated profit after tax attributable to shareholders of Brenntag SE

Brenntag's Historic Leverage & Credit Rating

* H1 21 adjusted for M&A closed YTD August 3, 21; FY 21 considering closed M&A & Bordeaux

Brenntag SE – Company Presentation | August 2021 73

Share price performance LTM

Performance in %

Brenntag Shares

Share Data1)
ISIN	DE000A1DAHH0
Stock symbol	BNR
Listed since	29 March 2010
Subscribed capital	EUR 154,500,000.00
Outstanding shares	154,500,000
Class of shares	Registered shares
Free float	100%
Official market	Prime Standard XETRA and Frankfurt
Regulated unofficial markets	Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart, Tradegate Exchange
Designated sponsors	ICF Kursmakler AG
Indices	MDAX®, MSCI, Stoxx Europe 600, DAX 50 ESG

1) As of August 1, 2021

Shareholder Structure

Shareholder	Proportion in % 1)	Date of notification	Shareholdings of Institutional Investors by Region (as of March, 2021)
BlackRock	>5%	April 26, 2021	Rest of World
Wellington Management Group	>5%	July 10, 2020	6% Germany 10%
			North Continental
Burgundy Asset Management	>3%	October 16, 2018	America Europe 35% 13%
Columbia Threadneedle	>3%	November 7, 2020	UK & Ireland
Yacktman Asset Management	>3%	April 27, 2020	27%

1) According to voting rights notifications. All voting rights notifications are published on the Company's Website (www.brenntag.com/voting-rights-notifications)

Bond data

	Bond (with Warrants) 2022	Bond 2025
Issuer	Brenntag Finance B.V.	Brenntag Finance B.V.
Listing	Frankfurter Freiverkehr	Luxembourg Stock Exchange
ISIN	DE000A1Z3XQ6	XS1689523840
Aggregate principal amount	USD 500,000,000	EUR 600,000,000
Denomination	USD 250,000	EUR 1,000
Minimum transferable amount	USD 250,000	EUR 100,000
Coupon	1.875%	1.125%
Interest payment	Semi annual: Jun. 2 / Dec. 2	Annual: Sep. 27
Maturity	Dec. 2, 2022	Sep. 27, 2025

Relevant Links & Documents

Financial Reports Presentations & Speeches

Current Consensus Financial News

Click to visit website

Financial calendar / Contact

Date	Event
November 4, 2021	Interim Report Q3 2021
tba	Annual Report 2021
tba	General Shareholders' Meeting 2021

Brenntag SE
	Corporate Investor Relations
Phone:	+49 (0) 201 6496 2100
Fax:	+49 (0) 201 6496 2003
E-mail:	ir@brenntag.de
Web:	www.brenntag.com/investor_relations/

The financial calendar is updated regularly. You can find the latest dates on https://www.brenntag.com/corporate/en/investor-relations/publications-events/financial-calendar/ Please note that these dates could be subject to change.

Disclaimer

This presentation may contain forward-looking statements based on current assumptions and forecasts made by Brenntag SE and other information currently available to the company. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here.

Brenntag SE does not intend, and does not assume any liability whatsoever, to update these forward-looking statements or to conform them to future events or developments. Some information contained in this document is based on estimates or assumptions of Brenntag and there can be no assurance that these estimates or assumptions are or will prove to be accurate.