Componenta Oyj — Interim / Quarterly Report 2021

Jul 23, 2021

Componenta Corporation’s Half-Year Financial Report 1 January – 30 June 2021: Net sales increased EBITDA improved clearly

Componenta Corporation’s Half-Year Financial Report 1 January – 30 June 2021: Net sales increased EBITDA improved clearly

Componenta Corporation, Half-Year Financial Report, on 23 July 2021 at 8.00

The information presented in this Half-Year Financial Report relates to the
development of Componenta Group in January - June 2021 and in the corresponding
period in 2020, unless otherwise stated.

January–June 2021

· Net sales increased to EUR 43.5 million (EUR 36.7 million).
· EBITDA improved and was EUR 3.3 million (EUR 1.3 million).
· Operating result was EUR 0.4 million (EUR -1.6 million).
· Cash flow from operating activities was EUR 4.3 million (EUR 6.4 million).

April–June 2021

· Net sales increased to EUR 23.1 million (EUR 17.1 million).
· EBITDA improved and was EUR 1.8 million (EUR 0.5 million).
· Operating result was EUR 0.3 million (EUR -0.9 million).
· Cash flow from operating activities was EUR 3.4 million (EUR 4.2 million).

Componenta’s guidance for 2021 unchanged

Componenta expects the net sales of continued operations in 2021 to be EUR 70–80
million. EBITDA is expected to improve from the previous year. In 2020, net
sales from continued operations were EUR 70 million and EBITDA EUR 3.7 million.

The potential increase in prices for raw materials, the general economic and
competitive situation, and the development of customers’ sales volumes may
affect the business outlook. Due to the COVID-19 pandemic, future sales and
profitability developments are associated with uncertainties and poor
visibility.

President and CEO Sami Sivuranta:

“The first half of 2021 met our expectations. Our net sales increased and
profitability improved as planned and in line with our growth strategy.

Our successful sales work has resulted in a growing order book. In addition to
this, clear signs of economic recovery and growing demand have begun to show in
the market.

Due to the COVID-19 pandemic there is still uncertainty in the market. Effective
restriction measures and the growing vaccination coverage have had a significant
role in the fight against the pandemic. Thanks to our personnel’s strong
performance, our own production did not suffer from any major disruptions, and
we were able to keep our deliveries to customers and our service level on a good
level.

The pandemic did not have a significant impact on our business in the first half
of the year. On the other hand, the improving demand has resulted in challenges
regarding availability of materials in general which in turn has led to
increasing price development of especially raw materials. However, increases in
purchasing prices will essentially transfer into sales prices with a delay
according to index clauses in customer agreements.

In the first half of the year, the payments to our creditors under the parent
company’s restructuring programme were made ahead of schedule. As a result,
Componenta Corporation’s restructuring programme ended on 27 April 2021. The
completion of the restructuring programme has been well received, and we believe
this will signifi- cantly improve Componenta’s position and credibility in the
eyes of our customers, suppliers and other stake- holders, and that this will
have a significant positive impact on the entire Group’s business.

Our liquidity remained good throughout the whole reporting period and has stayed
on a good level also after it. In addition, the share subscription facility of
USD 8 million provided by Global Corporate Finance LLC (GCF) is a flexible tool
to help support the financing of Compo- nenta Corporation in its part during the
next three years allowing the Company to focus on the implementation of its
growth and profitability improvement targets.

We will continue to focus on customer service, secur- ing new sales, improving
the profitability of our key operations and on managing our liquidity. This will
help us secure our company’s operations in both short- and long-term, recover
rapidly from the pandemic, and reach our long-term strategic growth targets. Our
objective is to be the primary supplier with an extensive offering for our
customers.”

Key figures

                    1-6/202        1  Change        1
                          1  -6/2020          -12/202
                                                    0

Net sales, continued 43,468 36,730 18.3% 70,040
operations, TEUR
EBITDA, continued 3,290 1,337 146.0% 3,750
operations, TEUR
Operating result , 358 -1,623 -2,034
continued operations,
TEUR
Operating result, 0.8 -4.4 -2.9
continued operations,
%
Result after financial 229 -2,306 -3,489
items, continued
operations, TEUR
Net result , continued 146 -2,312 -3,175
operations, TEUR
Net result, including 146 -2,312 -949
discontinued
operations, TEUR
Basic earnings per 0.02 -0.49 -0.20
share*, EUR
Diluted earnings per 0.02 -0.49 -0.20
share*, EUR
Cash flow from 4,329 6,434 -32.7% 6,355
operating activities,
continued operations,
TEUR
Interest-bearing net 1,263 6,084 -79.2% -2,584
debt**, TEUR
Net gearing, % 5.2 44.5 -10.8
Return on equity, %  1.2 -31.2 -5.8
Return on investment, 5.5 -11.6 0.7
%
Equity ratio, %  39.1 24.1 37.3
Gross investments 957 3,108 -69.2% 5,134
incl. leases,
continued
operations, TEUR
Group’s restructuring 3,608 11,653 -69.0% 10,694
debt
Number of personnel at 596 587 1.6% 574
the end of the period,
incl. leased workers,
continued operations
Average number of 586 596 -2.6% 589
personnel during the
period, incl. leased
workers, continued
operations
Order book at the end 11,954 8,289 44.2% 9,536
of the review period,
continued operations,
TEUR

*) The comparable figures for 2020 have been adjusted due to reverse share split
and rights issue.
**) Only interest-bearing restructuring debt included.

Alternative performance measures

Componenta will continue to publish certain publicly available performance
measures that can be derived from the IFRS financial statements. The
calculations of these key financial figures were presented in Componenta’s
annual review published on 12 March 2021.

Componenta’s Half-year Financial Report 1 January – 30 June 2021 in pdf format
is in the appendix to this release. It is also available on the company’s
website at www.componenta.com.

COMPONENTA CORPORATION

Sami Sivuranta
President and CEO

For further information, please contact:
Sami Sivuranta, President and CEO, tel. +358 10 403 2200
Marko Karppinen, CFO, tel. +358 10 403 2101

Componenta is a technology company which specializes in supplying cast and
machined components to global manufacturers of vehicles, machines and equipment.
The company’s share is listed on Nasdaq Helsinki.

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