Elopak ASA

Investor Presentation • Aug 17, 2023

Q2 2023

Quarterly presentation

AUGUST 17, 2023

Disclaimer

Certain statements included in this announcement contain forward -looking information, including, without limitation, information relating to (a) forecasts, projections and estimates, (b) statements of Elopak management concerning plans, objectives and strategies, such as planned expansions, investments, divestments, curtailments or other projects, (c) targeted production volumes and costs, capacities or rates, start -up costs, cost reductions and profit objectives, (d) various expectations about future developments in Elopak's markets, particularly prices, supply and demand and competition, (e) results of operations, (f) margins, (g) growth rates, (h) risk management, and (i) qualified statements such as "expected", "scheduled", "targeted", "planned", "proposed", "intended" or similar.

Although we believe that the expectations reflected in such forward -looking statements are reasonable, these forward -looking statements are based on a number of assumptions and forecasts that, by their nature, involve risk and uncertainty. Various factors could cause our actual results to differ materially from those projected in a forward-looking statement or affect the extent to which a particular projection is realized. Factors that could cause these differences include, but are not limited to: our continued ability to reposition and restructure our upstream and downstream businesses; changes in availability and cost of energy and raw materials; global supply and demand for aluminum and aluminum products; world economic growth, including rates of inflation and industrial production; changes in the relative value of currencies and the value of commodity contracts; trends in Elopak's key markets and competition; and legislative, regulatory and political factors. No assurance can be given that such expectations will prove to have been correct. Elopak disclaims any obligation to update or revise any forward -looking statements, whether as a result of new information, future events or otherwise.

Elopak at a glance

The world's largest player in fresh liquid carton packaging

14 billion cartons produced in 2022

Sales to 70+ markets

2,600 employees

11 manufacturing sites

Product suite with more than 400 SKUs

Preferred choice among customers since 1957

Source: Company information, management accounts 1) Different accounting standards make figures not comparable between years. 2021 reworked for discontinued operations in Russia.

Revenue end markets FY22

Revenue by region FY22

We're in the business of sustainable packaging

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We're in the business of protecting essential commodities

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We're in the business of enabling world nutrition

We're in the business of replacing plastics

Business performance

CEO Thomas Körmendi

Successful strategy execution drives strong second quarter

Q2 2023 Business highlights

Revenue at 278 EURm 8% YoY growth 6% organic	Adjusted EBITDA of 42 EURm 15 EURm YoY growth 14.9% margin	Americas: increasing footprint with new plant to start production in Q4, 2024	EMEA: strong growth and profitability
India: increasing capacity, moving into new categories and expanding sales force	Inflation and economic climate impact consumption and supply chain	Higher board prices in 2023 will impact FY EBITDA margin compared to current level	Confident of a solid financial year in 2023 and optimistic for the longer-term market fundamentals

Financial highlights

Q2 2023 strong revenue and Adj. EBITDA growth. YTD 2023 strong growth and maintained Adj. EBITDA.

• ▹ Q2 2023 organic* revenue growth of 14 EURm, 6% YoY
• ▹ YTD 2023 organic* revenue growth of 50 EURm, 10%
• ▹ Q2 Input costs remain at historically high levels for raw materials, energy and indirect costs
• ▹ YTD growth in adj. EBITDA, margin increase from price increases, new customers in Americas, and Aseptic growth in Europe
• ▹ Profitability improved year-on-year (YoY)

Business update: EMEA

Solid Q2 23 performance – growth mainly driven by pricing, as well as acquired business and Aseptic growth

Business update: Americas

Quarterly revenue is up by 6% YoY, mainly driven by volume growth from new customers

• ▹ Onboarding of new customers and strengthening of our product portfolio drive market share growth and profitability in both dairy and juice segments
• ▹ School milk volumes decreased
• ▹ Good operational performance
• ▹ High demand and momentum for our filling machines despite some delays in the first half of the year
• ▹ Q2 2023 organic* growth of 3 EURm, 6% YoY
• ▹ YTD 2023 organic revenue growth of 16 EURm, 13% YoY

Five profitable growth drivers steer Elopak's future direction

TODAY						MID TO LONG TERM GOAL
	FRESH OPPORTUNITY IN NORTH AMERICA	ASEPTIC GROWTH ROADMAP	BROADEN GEOGRAPHIC FOOTPRINT	PLASTIC TO CARTON CONVERSION	COMMERCIAL EXCELLENCE
Global fresh liquid carton packaging Company	Execute Americas growth plans Leverage Pure-Pak® fresh portfolio	Growth on the back of the Pure-Pak® aseptic machine Launch of Pure-Fill machine (EMP) Innovative product pipeline	MENA: profitable growth strategy Sub-Sahara Africa APAC expansion	Non-food growth Plastic-to-carton conversion	Margin optimization Purchasing and value engineering Operational Improvement	Global liquid carton packaging company with a diverse product portfolio and footprint

Sustainability-driven growth strategy

Leveraging the vast opportunities found in Americas

• ▹ Americas total fresh liquid carton market is massive: ~ 1.6 EURb1)
• ▹ For years, the market was dominated by one producer. However, Elopak started gaining market share in recent years:
  • 2015: New plant in Montreal
  • 2021: Implementing new strategy
• ▹ Elopak has now qualified and delivered cartons to some of the largest juice fillers in the US and we are experiencing a significant customer demand for our products
• ▹ Decision to build new state-of-the-art plant in the US to expand capacity and serve our customers

Choosing cartons over plastic bottles

Robinsons is a household name in the UK with over 200 years of history, evoking a sense of nostalgia for many Brits.

Owned by Britvic since 1995, the brand has launched a new fruit concentrate drink in 500ml Pure-Pak® cartons.

"Making Robinsons available in this new format allows consumers to feel confident in the knowledge that the pack they've chosen has more serves, but used less packaging per serve, and can be recycled once finished."

FIONA GRAHAM, INNOVATION LEAD FOR ROBINSONS

Brands in carton

Boxed Water Is Better® launches new flavor in Pure-Pak® cartons

Our trailblazing customer in the U.S. Boxed Water™ is the leading sustainable water alternative to plastic bottles and aluminium cans. This summer Boxed Water™ is bringing a new refreshing flavor to its line up with the launch of watermelon.

"The partnership with Elopak continues to support our brand's commitment to sustainability, using only paper sourced from trees in well-managed forests for each carton. By choosing Boxed Water™, our customers can feel good about their purchase and the impact it has on the environment."

BOXED WATER™ CHIEF REVENUE OFFICER, ROB KOENEN

WOVO cracks open new dairy alternative category

Liquid egg pioneer Campomayor teamed up with Spanish food scientists to develop the world's first dairy alternative made from egg whites.

"Elopak's Pure-Pak® Sense aseptic cartons are the best way to present our new drink to the consumer. It transmits a differential image at the point of sale, with many possibilities in design, enhancing the differentiation and modernity of the WOVO brand. But that is not the most important thing, the carton aligns with one of our key pillars; sustainability."

SOFÍA PÉREZ, DIRECTOR OF BUSINESS AND GROWTH AT CAMPOMAYOR

Financial performance

CFO Bent Kilsund Axelsen

Adjusted EBITDA, Q2 2023

EBITDA growth YoY in Q2, primarily driven by price increases in Europe, new customers in Americas, and acquired businesses

▹ EMEA

• Cumulative price increases from 2022 onwards
• India acquisition positive contribution YoY
• Higher liquid board prices started to take effect in Q2
• Continued high raw material prices and general inflation pressure in all markets

▹Americas

• Volume growth driven by strengthening of the portfolio, onboarding of new customers, and improved efficiency
• Improved profitability driven by a more diversified product offering

Adjusted EBITDA, Q2 2023

Strong Q2 2023 – coming from a challenging quarter last year

Cash flow YTD 2023

Strong cash generation from operations YTD, offset by dividend payment, reinvestments, and down-payment of long-term debt

Financial position

Leverage ratio in the quarter improved to 2.6x mainly from improved EBITDA

Key commentary

• ▹ Net debt of EUR 386 million
  • Bank debt EUR 289 million
  • Lease liabilities EUR 96 million
• ▹ Leverage ratio improved from 3.3x at YE 2022 to 2.6x in Q2 mainly from:
  • LTM EBITDA increased 31 EURm to 150 EURm
  • Lease liability increased 5 EURm from new tethered caps contracts
  • Net bank debt decreased 11 EURm from solid cash from operations

Outlook 2023

• ▹ Inflationary pressures and general economic climate are having some impact on consumption
• ▹ Full year revenue growth expected well above mid-term target
• ▹ Second half EBITDA better than comparable period last year

Summary

• ▹ Elopak continued to deliver strong profitable organic growth in the first half of 2023, building on solid performance in past consecutive quarters
• ▹ In Q2 we continued to develop and improve our business across geographies, and we delivered a strong financial result
• ▹ Despite macro -headwinds, we remain confident of a solid 2023 and we are optimistic on the longer -term market fundamentals

Financial calendar

Event	Date
Q3 2023 Financials	November 2, 2023

Thank you!