YOUR GLOBAL MOBILITY AND INDUSTRY ENGINEERING EXPERTS

EDAG ENGINEERING GROUP AG

FINANCIAL YEAR 2023

March 27th, 2024

EDAG

DISCLAIMER

EDAG

For the purposes of the following disclaimer, references to "this Presentation" shall be deemed to include references to this document, the presenters' speeches, the question and answer session and any other related verbal or written communications.
The information contained in this Presentation has been prepared solely for use in the Call on March 27th, 2024
This Presentation is confidential and does not constitute or form part of, and should not be construed as, an offer, solicitation or invitation to subscribe for, underwrite or otherwise acquire, any securities of the Company or any of its subsidiaries nor should it or any part of it form the basis of, or be relied on in connection with, any contract to purchase or subscribe for any securities of the Company or any of its subsidiaries, nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever. Accordingly, any investment decision to purchase or subscribe for any securities of the Company should be made solely on the basis of the information that is issued by the Company and available in the public domain.
This Presentation has been presented to you solely for your information and must not be copied, reproduced, distributed or passed (in whole or in part) to any other person at any time. Presentations are by their nature abbreviated information and cannot substitute for narrative information. In addition, the information herein is preliminary and is not comprehensive. No reliance may be placed for any purpose whatsoever on the information or opinions contained in this Presentation or on its completeness, accuracy or fairness. Neither the Company, the remainder of its Group, its shareholders nor any financial or other advisors mandated by the Company nor any other manager, their respective affiliates, directors, officers, employees, advisers or agents accepts any responsibility or liability whatsoever for or makes any representation or warranty, express or implied, as to the accuracy, completeness or fairness of the information or opinions in this Presentation (or whether any information has been omitted from this Presentation) or any other information relating to the Group, whether written, oral or in a visual or electronic form, and howsoever transmitted or made available or for any loss howsoever arising from any use of this Presentation or its contents or otherwise arising in connection therewith. In particular, no representation or warranty is given as to the likelihood of achievement or reasonableness of, and no reliance should be placed on, any projections, targets, ambitions, estimates or forecasts contained in this Presentation, and nothing in this Presentation is or should be relied on as a promise or representation as to the future.
Certain industry and market information in this Presentation and/or related materials and/or given at the presentation has been obtained by the Company from third party sources. The Company has not independently verified such information and neither the Company nor any of its directors provides any assurance as to the accuracy, fairness or completeness of such information or opinions contained in this document and neither the Company nor any of its directors takes any responsibility for such information.
Without prejudice to the foregoing, neither the Company nor any of its directors accept any liability whatsoever for any loss howsoever arising, directly or indirectly, from use of this document or its contents or otherwise arising in connection therewith.
This Presentation contains forward-looking statements based on the currently held beliefs and assumptions of the management of the Company, which are expressed in good faith and, in their opinion, are reasonable. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance, or achievements of the Company, or industry results, to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements. Many of these risks and uncertainties relate to factors that are beyond the Company's ability to control or estimate precisely, such as future market conditions, currency fluctuations, the behavior of other market participants, the actions of regulators and other factors such as the Company's ability to continue to obtain financing to meet its liquidity needs, changes in the political, social and regulatory framework in which the Group operates or in economic or technological trends or conditions. These forward-looking statements speak only as at the date of this Presentation. Given these risks, uncertainties and other factors, recipients of this Presentation are cautioned not to place undue reliance on these forward-looking statements.
All information in this Presentation is current at the time of publication but may be subject to change in the future. The Company disclaims any obligation to update or revise any statements, in particular forward-looking statements, to reflect future events or developments. Statements contained in this Presentation regarding past events or performance should not be taken as a guarantee of future events or performance. Recipients of this Presentation should not treat the contents of this Presentation as advice relating to legal, taxation or investment matters, and must make their own assessments concerning such matters and other consequences of a potential investment in the Company and its securities, including the merits of investing and related risks.
This presentation is confidential and is being distributed to selected recipients only. In receiving or otherwise accessing this Presentation, you will be deemed to have represented, agreed and undertaken that (i) you will observe the foregoing provisions, limitations and conditions; (ii) you have read and agree to comply with the contents of this disclaimer including, without limitation, the obligation to keep the information given at the presentation and this document and its contents confidential; and (iii) you will not at any time have any discussion, correspondence or contact concerning the information given at the presentation with any of the directors or employees of the Company or its subsidiaries nor with any of its customers or suppliers, or any governmental or regulatory body without the prior written consent of the Company.
This Presentation and any materials distributed in connection with this Presentation are 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 locality, 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. Failure to comply with this restriction may constitute a violation of applicable securities laws.
This Presentation is not for publication, release or distribution in the United States, Australia, Canada or Japan. The distribution of this Presentation in other jurisdictions may also be restricted by law.
This Presentation and the information contained herein are not an offer of securities for sale in the United States. The securities described herein have not been and will not be registered under the under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and may not be offered or sold in the United States except pursuant to an exemption from, or transaction not subject to, the registration requirements of the U.S. Securities Act

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

AGENDA
EDAG

01 Market Environment

02 Key Figures FY 2023

03 Outlook

04 Q&A

FY 2023
Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group
© 2024 EDAG Group. All rights reserved.

EDAG

MARKET ENVIRONMENT

GLOBAL ECONOMIC TRENDS 2024

EDAG

Mixed picture due to higher, more volatile energy prices and high interest rates
Impact of the war in Ukraine and geopolitical disruptions
Recovery of the global economy in 2024 at a low level
Falling inflation and rising wages
IMF: World economy 3.1% growth (October 2023: 2.9%), Germany: 0.5% growth(1)

Source: 1. IMF, World Economic Outlook, January 2024

FY 2023

Author: Investor Relations

Version: 1

Release: 27.03.2024

Scope: EDAG Group

ESP MARKET ENVIRONMENT

EDAG

Slowdown in registration growth in the passenger car and light vehicle markets in Europe and the US

Continuing key future trends: Software, sensors, autonomous and connected driving as well as the development of artificial intelligence

Raised forecast for R&D spending of German OEMs to 280 bn. EUR and investments into new and modified plants to 130 bn. EUR(1)

Continuation of greatest transformation in automotive industry
Allocation of further significant investments
Creation of opportunities for innovative adaptable and internationally operating ESPs such as EDAG

Source: 1. German Automobile Association (VDA), February 2024; R&D and plant spending 2024-2028

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

RECAP KEY ACTIVITIES 2023

Revenue growth up to 844.3 m€ (+ 6.1%)
All segments record positive growth
E/E outperforming with 14.9%
Adjusted EBIT at 52.6 m€
Margin at 6.2%
All segments are profitable
Record high order intake at 861.9 m€ (+ 11.7 m€)
Strong increase of Free Cash Flow up to 10.9 m€ (+ 153%)
Investment in competence center for electromagnetic compatibility
Further internationalization by opening location in Austria

FY 2023
Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group
© 2024 EDAG Group. All rights reserved.

EDAG

KEY FIGURES FY 2023

REVENUES

EDAG

Revenues [m€]

Notes: 1. Revenue defined as sales revenue plus change in inventories 2. Figures include sales revenue with other segments

(1)

Revenues by Segment [m€]
(2)
Change to 2022
- Vehicle Engineering + 1.9%
- Electrics / Electronics + 14.9%
- Production Solutions + 3.7%

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

ADJUSTED EBIT

EDAG

Adjusted EBIT [m€]

Notes: 1. Adj. for one-offs (purchase price allocation and cyber security insurance refunds)

Adjusted EBIT by Segment [m€]
| | 2022 | margin | 2023 | margin |
| --- | --- | --- | --- | --- |
| Vehicle Engineering | 33.9 | 7.1% | 34.7 | 7.2% |
| Electrics / Electronics | 14.9 | 6.5% | 15.3 | 5.8% |
| Production Solutions | 1.8 | 1.6% | 2.6 | 2.3% |

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

HEADCOUNT / CAPEX / EAT / EQUITY

EDAG

Notes: 1. Including Trainees and work-study students 2. Proposal

x.x% Equity / Balance Sheet total

FY 2023

Author: Investor Relations

Version: 1

Release: 27.03.2024

Scope: EDAG Group

TRADE WORKING CAPITAL

EDAG

Trade Working Capital [m€]

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

CASH FLOW

EDAG

Operating CF [m€]

Free CF [m€]

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

NET FINANCIAL DEBT/ASSETS
W/. AND W/O. LEASING
EDAG

Notes: 1. Including "other financial assets"; 2022: -0,151 m€; 2023: -0,023 m€
X Net Gearing w/. leasing (Net financial debt / equity)
X Net Gearing w/o. leasing (Net financial debt / equity)

EDAC

OUTLOOK

FINANCIAL OUTLOOK

EDAG

2024

For the fiscal year 2024, the EDAG Group anticipates experiencing further expansion and maintaining stable earnings development. However, these estimates are subject to several external factors that could impact their accuracy, including geopolitical events, energy and labor costs, and workforce availability.

Revenue is expected to grow by around 4 percent to around 6 percent
The adjusted EBIT margin is expected in a range of around 5 percent to around 6 percent
The investment rate is expected in a range of around 4 percent

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

EDAG

Q&A

EDAG

THANK YOU

INVESTOR RELATIONS

EDAG

IR Contact

EDAG Engineering Group AG

Schlossgasse 2

CH – 9320 Arbon

Phone:
+41 (0)71 544 33 – 11

Email:
[email protected]

Internet:
ir.edag.com

Financial Calendar

27 Mar 24 • Publication Annual Report 2023
• Analyst Call FY 2023
27 Mar 24 • Annual press briefing
08 May 24 • Publication interim report 1Q24
19 Jun 24 • General Shareholders' Meeting
30 Aug 24 • Publication interim report 1H24
• Analyst Call 1H24
07 Nov 24 • Publication interim report 3Q24

FY 2023

Author: Investor Relations Version: 1 Release: 27.03.2024 Scope: EDAG Group

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01 Market Environment

02 Key Figures FY 2023

03 Outlook

04 Q&A

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KEY FIGURES FY 2023

OUTLOOK

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01 Market Environment

02 Key Figures FY 2023

03 Outlook

04 Q&A

MARKET ENVIRONMENT

RECAP KEY ACTIVITIES 2023

KEY FIGURES FY 2023

OUTLOOK

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THANK YOU

IR Contact

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