GRAMMER AG — Investor Presentation 2019

May 14, 2019

ON THE MOVE

Presentation First Three Months 2019

Amberg, May 14, 2019

GRAMMER GROUP – MARKET DEVELOPMENT

Car & Commercial Vehicles markets with mixed development

Passenger Cars – New Registrations January to March 2019 (source: vda)

• Global automotive markets recorded declines in the first quarter
• New registrations in Germany +/-0% with SUVs and upper-class models popular
• New registrations in Western Europe are declining (-3%)
• North America registrations of light vehicles fell by 2%, but stable light-truck segment (+1%)
• China with double-digit decline (-14%)

Commercial Vehicles (> 6t) – New Registrations January to March 2019 (source: vda)

• Western Europe (+6%), with Germany (+15%), UK (+12%) and France (+5%) growing strongly
• USA with ongoing dynamic growth momentum (+12%) mainly driven by strong heavy duty class 8 segments
• Recovery in Brazil is continuing in the first quarter (+47%)
• China with lower growth (-2%) in the first three months

Other Commercial Vehicle Markets

Agricultural, construction and material handling markets with ongoing dynamic growth

Solid start in the first quarter of 2019

Net profit on par with previous year

Balance sheet influenced by acquisition financing of TMD

Investments up due to IFRS 16 & new Tech Center

GRAMMER Technology Center & Group Headquarters

Headcount development

AUTOMOTIVE – DEVELOPMENT 1-3 2019

Expected challenging start with divergent car markets

COMMERCIAL VEHICLES – DEVELOPMENT 1-3 2019

Strong performance with dynamic core markets

[in € million and % of revenues]

Positive volume impact due to high sales performance spurred the Division's earnings

GRAMMER GROUP – MARKET OUTLOOK 2019

Overall positive market development

Construction machinery	Source: Caterpillar 01/2019	Steady demand	Strong demand	Slow to recover	Flat, growth outside of China
Forklifts	Source: Jungheinrich 03/2019	Growth in lower to mid single digit %			Growth in mid single digit %	Less dynamic growth, potential slight decrease

Agricultural machinery

Further growth and improved profitability expected

GRAMMER Group –  xxxx	Outlook:	Actual 2018	Outlook 2019
	Group sales revenue	1.86 billion €	> 2.1 billion €
GRAMMER	IFRS EBIT	49 million €	Very clearly above prev. year
Outlook	Operating EBIT margin	4.1%	> previous year
	ROCE	10.5%	> previous year

ON THE MOVE

Backup Information

GRAMMER GROUP

Key Figures 1-3 2019

[IFRS, in € million]	Q1 2019	Q1 2018	Chg.
Group Revenues	534.1	454.4	+17.5%
EBITDA	44.2	32.0	+38.1%
EBITDA-Margin	8.3%	7.0%	+1.3%-P
EBIT	24.0	20.4	+17.6%
EBIT-Margin	4.5%	4.5%	+/-0%-P
Operating EBIT	23.0	20.5	+12.2%
Operating EBIT-Margin	4.3%	4.5%	-0.2%-P
Profit after taxes	11.6	12.2	-4.9%
EPS in €	0.95	1.00	-5%
Total Assets	1,499.2	1,068.9	+40.3%
Equity	327.0	325.8	+0.4%
Equity-Ratio	22%	30%	-8%-P
Net Financial Debt	292.5	128.6	+127.4%
Gearing Ratio	89%	39%	+50%-P
Capex (w/o M&A)	32.4	10.0	+224.0%
Depreciation	20.2	11.6	+74.1%
Employees (month-end)	15,011	13,123	+14.4%

GRAMMER AG – SHARE PRICE DEVELOPMENT GRAMMER Share

Selected Broker Recommendations

Broker	Date	Current Recomm.	Current TP (€)
Baader Helvea	05-Apr-19	Hold	39.0
Bankhaus Lampe	29-Mar-19	Buy	52.0
DZ Bank	26-Feb-19	Hold	37.0
MM Warburg	14-Nov-18	Hold	37.0
Oddo BHF	29-Apr-19	Hold	41.0
Consensus 41.0

Top Shareholders

Investor	in %*
Jiye Auto Parts **	84.23%
Own treasury shares	2.62%
Free Float (<3%)	13.15%
*) Percentage based on 12,607,121 voting rights
**) Associated company of GRAMMER's strategic partner Ningbo Jifeng

Basic Share Data

DE000589540
589540 / GMM
12,607,121
475 € million
Ave. daily trading volume 2018 (XETRA):
30.000 shares
8.000 shares

GRAMMER GROUP

Financial key figures 5-year overview

[IFRS, in € million]	2018	2017	2016	2015	2014
Group Revenues	1,861.3	1,786.5	1,695.9	1,427.7	1,365.9
EBITDA	101.0	116.0	120.2	83.2	93.7
EBITDA-Margin	5.4%	6.5%	7.1%	5.8%	6.9%
EBIT	48.7	66.5	73.0	42.7	57.0
EBIT-Margin	2.6%	3.7%	4.3%	3.0%	4.2%
Profit after taxes	23.2	32.4	45.2	23.8	33.6
EPS in €	1.90	2.67	4.01	2.10	3.09
Dividend/ Share in €	0.75*	1.25	1.30	0.75	0.75
Total Assets	1,441.4	1,107.0	1,050.6	992.1	836.5
Equity	314.8	337.7	271.2	253.4	231.8
Equity-Ratio	22%	31%	26%	26%	28%
Net Financial Debt	253.3	92.2	139.1	155.5	86.7
Gearing Ratio	80%	27%	51%	61%	37%
Capex (w/o M&A)	73.9	59.1	56.2	47.9	51.5
Depreciation	52.3	49.5	47.2	40.5	36.7

*) proposed

Financial Calendar 2019		Investor Relations Contact
Annual General Meeting Half-Year 2019 Report	July 12, 2019 August 06, 2019	Ralf Hoppe VP Investor Relations, Communications, Marketing & Strategic Product Planning
Interim Management Statements Q3 / 2019	November 12, 2019	Phone: +49 (0)9621 66 2200 Fax: +49 (0)9621 66 32200 Email: investor-relations@grammer.com Internet: www.grammer.com/investor-relations

GRAMMER GROUP

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