ONE GRAMMER

COLLABORATING FOR A SUSTAINABLE FUTURE

Financial Results H1 2021 Ursensollen, August 12th, 2021

First six months of GRAMMER Group at a glance

Positive business development in a challenging market environment
Volatile customer call-offs and down-weeks in the AMERICAS and EMEA due to semiconductor shortages at the OEMs
Exceptional raw material price development showing first bottom-line impact
Encouraging growth in APAC new sales record achieved in China

Highlights from AMERICAS

Full focus on stabilization and turn-around activities in the region

Coping with a challenging environment

Managing extended customer shutdown weeks and volatile call-offs in North America
Tackling a stressed labor market in the US
Closure of Jefferson plant finalized in Q2 2021
Former TMD plant in Delphos starting Commercial Vehicles seat production

Highlights from EMEA

Continuous footprint optimization through production consolidation and plant closures

Footprint optimization

Sale of the Spanish entity in Q2 2021
Closure of three plants by Q3 2021
Optimization of capacity utilization through region-wide consolidation

Highlights from APAC

Continue our growth strategy in China and in the entire APAC region

Profitable growth

New Joint Venture with FAW Truck
New plant in Shenyang starting production
Set-up of a holding company for GRAMMER's China activities in Hefei

GRAMMER Automotive in line with the markets

Global market development light vehicles

GRAMMER CV outperforms market in APAC

Global market development commercial vehicles

Revenue development by region

Improved markets in both, AMERICAS and EMEA, plus a new sales record in APAC

Significant increase of revenues in H1 2021 in all regions due to improved market conditions
AMERICAS and EMEA impacted from semiconductor situation in Q2, uncertainty remains for the second half of the year
Encouraging growth in China with significant increase of 62.1 m € (+43.0 %) in APAC

Revenue development by division

Two-leg strategy pays off: disproportionate growth in the Commercial Vehicles business

GROUP: Revenue, EBIT and operating EBIT

Positive business development continues despite challenging environment

Group revenue up 32.2%
Business development impacted by semiconductor shortages in the automotive business and increased raw material prices in both divisions
EBIT impacted by:
- -4.5 m € one-time expenses for the sale of a subsidiary
- -2.3 m € corona protection and response measures
- 2.2 m € positive FX effects

AMERICAS: Revenue, EBIT and operating EBIT

Business development strongly affected by global semiconductor shortage

Americas with a revenue increase of 61.6 m € (33.2%)
Q2 was heavily impacted by semiconductor shortages and raw material price increases
EBIT impacted by:
- -0.2 m € corona protection and response measures
- 0.4 m € positive FX effects
- Customer down weeks and volatile call-offs as well as labor shortages impacting plants

EMEA: Revenue, EBIT and operating EBIT

Overall high revenues in H1, but Q2 influenced by semiconductor shortages in Automotive

Revenue recovery in EMEA of around 123 m € (28.0%)
Volatile customer call-offs and raw material price increases with smaller impact in H1 2021
EBIT impacted by:
- -4.5 m € one-time expenses for the sale of a subsidiary
- -1.7 m € corona protection and response measures
- 1.9 m € positive currency effects

APAC: Revenue, EBIT and operating EBIT

China continues positive trend from the first quarter

Significant revenue increase of 62.1 m € (43.0%)
Favorable sales momentum in APAC with a very strong performance in China
Both divisions contribute to revenue growth
Commercial Vehicles grows by almost 60%
Market cool down in the second half of the year expected

Global headcount development

Socially responsible measures implemented in 2020 support the positive earnings trend

Global investment development

Regional and project-specific investment focus continues

Finance key figures

Solid capital structure with a medium to long-term financing

Negative Free Cash Flow mainly results from increase of working capital and prefinancing of the customer projects
Customer production shutdowns and safeguarding of material supplies led to a higher level of inventories
Improved net financial debt position
Equity increased by 9.8% to EUR 332.0 million and leads to an Equity ratio of 23.0% (2020: 302,2 m €)

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Outlook 2021

Challenges in the second half of 2021

Semiconductor shortages to continue
Volatile customer call-offs in all regions
Exceptional raw material price developments for both divisions
→ very challenging second half of the year

Outlook 2021: Revenue and earnings growth

Growth of revenue to around EUR 1.8 billion (2020: EUR 1.7 billion)* Significant increase of operating EBIT to around EUR 65 million (2020: EUR -11.7 million)*

*This outlook is based on the assumption that the global economy and the political environment will develop in a stable manner and that there will be no further plant closures due to the COVID-19 pandemic in 2021. We also assume that the global shortage of semiconductor components and an increase in raw material prices will continue to affect our business in the second half of the year. Furthermore, we are aware that the visibility of how the supply situation will actually develop is limited at the moment.

Strategy to recover and grow

MAIN GOALS

Strengthen and grow in the regions
Review and enhance the product portfolio
Broaden our customer base
Sustainability for our future

Sustainability for our future

Corporate Governance - Code of conduct for all employees

Innovative and sustainable product solutions

Environment - Green Company

Supply Chain - Responsible Supplier Management

GRAMMER AG - First Half Year 21

12.08.2021

Social & Community

Sustainability for our future

We aim to achieve the 1.5-degree target of the Paris climate agreement with a CO2 emissions reduction of at least 50% by 2030.

Exercise corporate due diligence for fair working conditions and human rights.

Diversity & equal opportunities - increase share of women in management positions to 20% by latest 2030.

GRAMMER AG - First Half Year 22

12.08.2021

Measures for 2021

Use of renewable energies
All German plants using green electricity
Development of sustainable product solutions
Increase energy and material efficiency
Waste prevention & recycling

Interior innovations for premium automobiles

Automotive focus areas:

Acquisition of new customers globally
Expansion of local presence in China
Clear positioning as innovative development partner for the OEMs
Showcasing 3D-Glass, sliding console technology and sustainable product solutions

Global market leader in commercial vehicle seats

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GRAMMER Group

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Neither Grammer AG nor any of its respective directors, officers, or employees nor any other person accept – to the extent legally possible – any liability for any loss howsoever arising from any use of this presentation or its contents or otherwise in connection therewith. Please take appropriate advice before applying anything contained in these materials to specific issues or transactions.

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Thank you for your attention. We deliver what matters.

Contact Investor Relations Tanja Bücherl Phone: +49 9621 66 - 2113 E-mail: [email protected]

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Key figures and Financial Calendar 2021

EBIT margin 2.9%

Operating EBIT margin 3.3%

Net profit 18.2 EUR million

Free Cashflow -54.4 EUR million

Equity ratio 23.0%

Wert

247.2

APAC: 206.5

EMEA: 562.0

AMERICAS:

Key figures

[IFRS, in € million]	Q2 2021	Q2 2020	01-06 2021	01-06 2020
Group Revenue	468.8	280.9	972.5	735.8
EBITDA	25.8	-29.9	69.0	-10.4
EBITDA Margin in %	5.5	-10.6	7.1	-1.4
EBIT	5.2	-50.9	27.8	-53.0
EBIT Margin in %	1.1	-18.1	2.9	-7.2
Operating EBIT	11.4	-46.1	32.4	-45.7
Operating EBIT Margin in %	2.4	-16.4	3.3	-6.2
Net Profit	4.8	-49.4	18.2	-59.2
EPS in €	0.32	-4.03	1.21	-4.83
Total Assets	1,446.0	1,371.5	1,446.0	1,371.5
Equity	332.0	292.5	332.0	292.5
Equity-Ratio in %	23.0	21.3	23.0	21.3
Net Financial Debt	359.9	392.5	359.9	392.5
Gearing Ratio in %	108.4	134.2	108.4	134.2
Capex (w/o financial assets)	21.7	12.3	30.7	31.8
Depreciation	20.6	21.0	41.2	42.6
Employees (average)	14,143	14,465	14,143	14,465

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GRAMMER AG Investor Presentation 2021

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ONE GRAMMER

First six months of GRAMMER Group at a glance