Gefran

Investor Presentation • Jun 14, 2021

Q1 2021 RESULTS

J U N E 2 0 2 1

OUR MANIFESTO

OUR PROMISE

Gefran is strongly rooted in industrial automation and technological innovation endeavors.

We are attentive and motivated in identifying highly effective solutions, building relationships that are successful and sustainable.

This is our strength

We collaborate with organizations invested in improving technological processes, with individuals committed to their professional and talent development and competencies, with stakeholders dedicated to working together to enhance the community and its surroundings.

This is our world

WE MAKE IT EASY FOR YOU

Sensors

Measurement of process variables

Components

Hardware & software for Indication and control of process variables

Motion Control

Motion control of AC and DC

motors

THE FUTURE IS OUR PRESENT

SUSTAINABILITY MILESTONES:

• May 2020: Sustainability Committee
• November 2020: Strategic Sustainability Plan
• Four projects in the name of concreteness

WE MEAN BUSINESS

OUR VISION IS GLOBAL AND LOCAL TOO

WE EMBRACE TECHNOLOGY

The future is our present.

To be trailblazers in new technology advancements, recognized among developers of industrial value and innovation.

To lead a sustainable growth, open to the market, for companies, employees and the community.

The technological evolution of products and processes is an important factor for potential future growth for Gefran.

The skills network guaranteed by the cooperation with universities and research centers is a critical resource for the enterprise system ensuring continuous knowledge transfer.

Gefran typically invests about 5% of its turnover to R&D activities which are concentrated mainly in Italy in company laboratories located in Provaglio d'Iseo and Gerenzano. 14% of the Italian workforce is dedicated to R&D activities

MOTION CONTROL

Inverters for the speed control of AC, DC and brushless motors. They are devices that provide highly accurate, variable control of the speed of a motor.

INVERTERS FOR INDUSTRIAL APPLICATION

High power inverters with or without regenerative power supplies, in a range of different technological levels of product.

LIFT INVERTERS

SIEIdrive lift, a wide range of dedicated products, options and accessories for civil lift applications.

MOTION CONTROL

Critical success factors: technology, performance, specific application and know-how.

As a result of these distinctive elements we have the ability and the structure to offer CUSTOM PROJECTS with high level of personalization.

AUTOMATION COMPONENTS

INSTRUMENTATION AND CONTROLS

Hardware and software for indication and regulation of process variables.

Controllers, programmers, indicators and other instruments.

POWER CONTROLLERS

Advanced power controllers, solid state power units and solid state relays for Industrial temperature control.

PROGRAMMABLE AUTOMATION AND CUSTOMER SOLUTIONS

PC, PLC, HMI and software for machine automation.

A range of integrated automation solutions that offers a global response to specific automation demands.

AUTOMATION COMPONENTS

Gefran is a leader in the European temperature controllers segment thanks to wide distribution network and personalization.

SENSORS

Devices that convert a physical quantity into an electric signal in the industry automation (machines). Gefran SENSORS ensure HIGH ACCURACY and RELIABILITY in the measurement of process variables: PRESSURE, POSITION, TEMPERATURE and FORCE.

High temperature pressure sensors

Melt pressure transducers are dedicated to applications involving high process temperatures up to 540 °C.

Linear position sensors

Linear and angular position transducers detect the position of mechanical parts in motion. Gefran manufactures a wide and unique range of models, using consolidated and new technologies, including the potentiometric technology, magnetostriction, Hall effect, MEMS, and magnetic dragging.

Pressure sensors for industrial applications

Gefran's industrial pressure transducers and transmitters measure the pressure of fluids (liquid or gaseous) in the applications required.

Force, strain & temperature sensors

Sensors for measurements of process variables.

SENSORS

Critical success factors: technology, product and quality.

Competitive advantage: In-house design and production of primary elements. Patents. Know-how.

Phisical entity measured	Competitors
PRESSURE	WIKA (DE) - IFM (DE) DANFOSS (DK) - HYDAC (DE)
MELT PRESSURE	DYNISCO (US)
POSITION	MTS (US) - BALLUFF (DE) NOVOTECNIK (DE)
FORCE	CELESCO (US)
MOBILE HYDRAULICS PLASTIC	METAL

WE ARE STRONG

As at March, 2021

2018 – 2021 GROUP PROFIT & LOSS

	Q1 2021		2020		2019		2018
€/000	€'000	%*	€'000	%*	€'000	%*	€'000	%*
REVENUES	37.407	100,0%	129.645	100,0%	140.535	100,0%	135.571	100,0%
GROSS MARGIN	24.651	65,9%	83.820	64,7%	92.901	66,1%	89.754	66,5%
EBITDA	6.606	17,7%	17.549	13,5%	19.730	14,0%	20.058	14,8%
EBIT	4.575	12,2%	9.398	7,2%	10.375	7,4%	13.743	8,7%
NET RESULT	3.699	9,9%	4.353	3,4%	7.042	5,0%	8.151	5,3%
*vs revenues

2020 – 2021 GROUP EBIT

GROUP TURNOVER BY GEOGRAPHY

As at March, 2021

2018 – 2021 GROUP BALANCE SHEET

€/000	31 Mar 2021	31 Dec 2020	31 Dec 2019	31 Dec 2018
Net Fixed Assets	66.077	65.577	70.944	61.132
Working capital	29.706	29.799	28.542	32.055
Other net assets/payables	-6.509	-5.776	-3.484	-9.027
Net Working Capital	23.197	24.023	25.058	23.028
Other non current assets	-7.662	-7.698	-7.671	-6.825
Net Invested Capital	81.612	81.902	88.331	77.335
Shareholders' Equity	82.718	78.179	75.044	72.814
Short-term financial debt	-17.593	-16.336	-13.714	-7.343
Long-term financial debt	16.487	20.059	27.001	11.864
Net Financial Position	-1.106	3.723	13.287	4.521
Total Sources of Funding	81.612	81.902	88.331	77.335

2018 – 2021 GROUP CASH FLOW

€/000	31 Mar	31 Dec	31 Dec	31 Dec
	2021	2020	2019	2018
Opening Cash & Cash equivalents	41.943	24.427	18.043	24.006
Gross Cash Flow	6.814	21.299	15.148	22.892
Change in Working Capital	50	-4.346	2.897	-3.900
Operating Cash Flow	6.864	16.953	18.045	18.992
Cash Flow used in Capex	-1.051	-4.941	-14.396	-9.353
Free Cash Flow	5.813	12.012	3.649	9.639
Changes in financial debt	-2.048	8.436	11.579	-6.251
Dividends	0	0	-4.599	-5.040
IFRS 16	-307	-1.278	-1.190	0
Interests and taxes	-326	-1.686	-2.846	-4.544
Other	482	32	-209	233
Cash Flow from(to) Financing Activities	-2.199	5.504	2.735	-15.602
Cash Increase (Decrease)	3.614	17.516	6.384	-5.963
Closing Cash & Cash equivalents	45.557	41.943	24.427	18.043

2018 – 2020 CAPEX

In the last three years we invested 31.446 K Euro

2020 – 2021 NET FINANCIAL POSITION

MOTION CONTROL

€'000	Q1 2021	2020	2019	2018
REVENUES	10.451	40.194	43.953	41.740
EBITDA	120	408	939	-1.707
EBITDA %	1,1%	1,0%	2,1%	-4,1%
EBIT	-365	-1.703	-1.193	-3.547
EBIT %	-3,5%	-4,2%	-2,7%	-8,5%

AUTOMATION COMPONENTS

	Automation components
€'000	Q1 2021	2020	2019	2018
REVENUES	10.952	37.238	41.391	37.475
EBITDA	1.197	3.578	4.128	3.326
EBITDA % EBIT	10,9% 515	9,6% 1.047	10,0% 1.608	8,9% 1.360
EBIT %	4,7%	2,8%	3,9%	3,6%

SENSORS

	Sensors
€'000	Q1 2021	2020	2019	2018
REVENUES	18.001	57.734	60.582	61.893
EBITDA EBITDA %	5.289 29,4%	13.563 23,5%	14.663 24,2%	18.439 29,8%
EBIT EBIT %	4.425 24,6%	10.054 17,4%	9.960 16,4%	15.930 25,7%

STRATEGIC GUIDELINES FOR EXTERNAL GROWTH

• Main focus on sensors business
• Product portfolio integration
• Wider range of industrial application
• Consolidation of the geographical presence into different market

STOCK PRICE

MAIN SHAREHOLDERS (*)

*As at April 2021

CONTACTS

Gefran S.p.A. - Headquarter

Via Sebina, 74

25050 – Provaglio d'Iseo (BS)

Phone +39 030 9888 1 Fax +39 030 983 90 63

info@gefran.com

Fausta Coffano – Investor relator

Gefran S.p.A

Phone +39 030 9888 1 Fax +39 030 983 90 63 fausta.coffano@gefran.com

Visit us at: www.gefran.com

DISCLAIMER

This documentation has been prepared by Gefran S.p.A. for information purposes only and for use in presentations of Gefran S.p.A.'s results and strategies.

This presentation contains forward-looking statements regarding future events and future results of Gefran S.p.A, that are based on the current expectations, estimates, forecasts and projections about the industries in which Gefran S.p.A. operates, and on the beliefs and assumptions of the management of Gefran S.p.A..

Statements contained in this presentation, particularly regarding any possible or assumed future performance of Gefran S.p.A., are or may be forward-looking statements based on Gefran S.p.A.'s current expectations and projections about future events, and in this respect may involve some risks and uncertainties. Because these forward-looking statements are subject to risks and uncertainties, actual future results or performance may differ materially from those expressed in or implied by these statements due to any number of different factors, many of which are beyond the ability of Gefran S.p.A. to control or estimate.

This presentation has to be accompanied by a verbal explanation. A simple reading of this presentation without the appropriate verbal explanation could give rise to a partial or incorrect understanding.

This presentation has been prepared solely for the use at the meeting with investors and analysts at the date shown. Under no circumstances may this presentation be deemed to be an offer to sell, a solicitation to buy or a solicitation of an offer to buy securities of any kind in any jurisdiction where such an offer, solicitation or sale should follow any registration, qualification, notice, disclosure or application under the securities laws and regulations of any such jurisdiction.

The Executive in charge of financial reporting of Gefran S.p.A., Fausta Coffano, declares, pursuant to paragraph 2 of art. 154-bis of the Consolidated Law on Finance, that the accounting disclosures of this document are consistent with the accounting documents, ledgers and entries.