Jungheinrich AG

Investor Presentation • Nov 7, 2019

IR Presentation Q3 2019

Hamburg, 7 November 2019

AGENDA

JUNGHEINRICH AT A GLANCE

WORLD MATERIAL HANDLING EQUIPMENT MARKET

FINANCIAL KEY FIGURES Q1-Q3 2019

STRATEGIC OVERVIEW

JUNGHEINRICH AT A GLANCE 1 Jungheinrich is one of the world's leading solutions providers for the intralogistics sector

Jungheinrich at a glance

ONE OF THE WORLD'S LEADING COMPANIES FOR THE INTRA-LOGISTICS SECTOR

NO. 2 IN THE SECTOR IN EUROPE

SINGLE-BRAND STRATEGY

EMPLOYEES 18,000 WORLDWIDE

REVENUE BY REGION (%)

TOTAL €3.8 BILLION

INDEPENDENT FAMILY-OWNED COMPANY

FOCUS ON DIRECT SALES

The Jungheinrich Group in figures (2018)

Dividend continuity – dividend stable

Objective:

Distribution ratio between 25% and 30% of profit or loss

World material handling equipment market 2

Jungheinrich is second in the sector in Europe

World material handling equipment market

Incoming orders in thousand units

2018 1 538 524	2017 1,395 470	Change % 103 115
92	77	195
637	568	12.1
436	378	153
277	267	37
100	90	111

Market volume by product segment 2018 vs 2007

Market structure by product segment 2018 vs 2007

Warehousing equipment IC engine-powered Battery-powered counterbalanced trucks

counterbalanced trucks

Development of the material handling equipment markets of importance to Jungheinrich

3 CURRENT BUSINESS TREND Q1 – Q3 2019

Facts and figures

Highlights Q1 – Q3 2019

• Value of incoming orders at previous year's level of €3 billion
• Group revenue increases by 10% to €2,972 million
• The noticeable pricing pressure on the market and steeper drop in capacity utilisation resulting from the decline in market development affect EBIT
• Results affected by one-time expenses, positive counteracting effects dominate due to the first-time application of IFRS 16 "Leases"
• Forecast unchanged with the exception of net debt

Global material handling equipment market, Q1-Q3 2019 Growth rates by regions Global market,

Sources: WITS, SIMHEM; based on incoming orders in units, January to September 2019 vs January to September 2018.

Incoming orders

All business fields, in € million

New truck business, in thousand units

Production, Group revenue and orders on hand new truck business

Earnings

EBIT, in € million

• Pricing pressure on the market and steeper drop in capacity utilisation resulting from the decline in market development have a negative impact on earnings
• Additional expenses from impairment losses on capitalised development expenses for individual series and depreciation of production inventories and tools affect EBIT (€17 million)
• Positive offsetting effects through the first-time application of IFRS 16 "Leases" (€25 million)*

*For new financial services agreements closed after 1 January 2019 which are refinanced through the sale-and-lease-back method ("finance leases"), profits of €25 million did not have to be deferred.

Market drivers in the intralogistics sector

Group strategy with clear goals geared towards sustainable, profitable growth

• THE CHARACTER OF A FAMILY BUSINESS: ORDINARY SHARES IN FAMILY HANDS.
• HIGH EQUITY RATIO, FINANCIAL INDEPENDENCE.
• ATTRACTIVE CUSTOMER INDUSTRIES.
• STRONG MARKET POSITION.

Long-term stability through an integrated business model

• LESS CYCLICAL, NEARLY 45% OF GROUP REVENUE GENERATED WITH SERVICES.
• CUSTOMERS ARE PRIMARILY IN THE LESS CYCLICAL RETAIL, WHOLESALE, LOGISTICS AND FOOD INDUSTRIES.
• CLOSE CUSTOMER LOYALTY DUE TO HIGH LEASING RATIO (>40%)*.
• JUNGHEINRICH'S TEN LARGEST INDIVIDUAL CUSTOMERS ACCOUNT FOR ONLY APPROX. 10% OF GROUP REVENUE.

*Number of material handling equipment units sold under financial service agreements in relation to the new trucks sold by the Jungheinrich Group.

Market drivers in the intralogistics sector

LITHIUM-ION TECHNOLOGY STRATEGIC INVESTMENT

JUNGHEINRICH AND TRIATHLON ESTABLISH A COMPANY FOR THE PRODUCTION AND REPROCESSING OF LITHIUM-ION BATTERY SYSTEMS (70% / 30%): JT ENERGY SYSTEMS GMBH.

• CAPITAL STOCK: €3.1 MILLION.
• OPERATIONAL LAUNCH: AUGUST 2019.

GOAL:

TO BUILD UP PRODUCTION CAPACITIES TO MEET THE RAPIDLY GROWING DEMAND FOR LITHIUM-ION BATTERY SYSTEMS AND EXPAND OUR TECHNOLOGICAL LEADERSHIP IN THIS AREA.

IN 2019.

Range of services for "Logistics Systems"

HETEROGENEOUS CUSTOMER STRUCTURE.

• CONTRACT SIZE FOR AUTOMATED SOLUTIONS GENERALLY BETWEEN €1 MILLION AND €20 MILLION.
• MARKET SHARE OF SYSTEM TRUCKS IN EUROPE > 40%.
• PRODUCTION HIGHLIGHTS FOR AUTOMATED GUIDED VEHICLES (AGVs):
• − AUTOMATED HIGH-RACK STACKER EKX 516A: TOP PERFORMANCE AT LOW ENERGY CONSUMPTION.
• − VERTICAL ORDER PICKER EKS 412S: TOP PERFORMANCE AT ALL LEVELS WITH 14M PICKING EFFICIENCY.
• EXPANSION OF DEGERNPOINT PLANT (WAREHOUSE AND SYSTEM TRUCKS) TO >5,000 UNITS OF MATERIAL HANDLING EQUIPMENT STARTED.

Jungheinrich: an attractive investment

MARKET OPPORTUNITIES MEET THE STRENGTH OF JUNGHEINRICH!

Global market for material handling equipment 2019: noticeable decline expected

Jungheinrich Group 2019 forecast unchanged with the exception of net debt

	March 2019	August 2019	November 2019
Incoming orders in € billion	4.05 to 4.20 3.80 to 4.05
in € billion Revenue	3.85 to 4.05
EBIT in € million	275 to 295 240 to 260
ROS in % EBIT	7.0 to 7.4 6.0 to 6.7
in € million EBT	250 to 270 215 to 235
ROS in % EBT	6.4 to 6.8	5.4 to 6.1
Net debt* in € million	90 to 120 (excl. IFRS 16)	230 to 260 (incl. IFRS 16)	200 to 230 (incl. IFRS 16)
ROCE* in %	15.0 to 16.0 (excl. IFRS 16)	12.0 to 14.0 (incl. IFRS 16)

*Financial liabilities increase by more than €150 million (lease liabilities) due to the initial application of IFRS 16 in the 2019 financial year.

Disclaimer

Unforeseeable developments may cause the actual business trend to differ from expectations, assumptions and estimates of the management of Jungheinrich that are reproduced in this presentation. Factors that may lead to such deviations include changes in the economic environment, within the material handling equipment sector as well as to exchange and interest rates. No responsibility is therefore taken for the forward-looking statements in this presentation.

NOTES

Global ranking of material handling equipment manufacturers 2018 revenue of forklift trucks and warehousing equipment in € billion

1) Financial year from April to March

2) Revenue from forklift trucks and warehousing equipment generally lower than Group revenue. Exceptions are

Mitsubishi Logisnext; Crown, Anhui Heli and Hangcha (value given here for revenue from forklift trucks and warehousing equipment = Group value). Source: Logistik Journal, 10/2019

Jungheinrich Group production sites

	Germany					Hungary	China
	Norderstedt		ി		1882 - 1982 - 1982 - 1982 - 1982 - 1982 - 1982 - 1982 1982 - 1982 - 1982 - 1982 - 1982 - 1982 - 1982 - 1982 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989 - 1989	Munich	Dresden	Gyongyos	Jingpu	Kunshan
Low-lift trucks
Stacker trucks
Battery-powered counterbalanced trucks
IC engine-powered counterbalanced trucks
Reach trucks
Order pickers
Tow tractors and trailers
High-rack stackers
Stacker cranes
Load handling equipment
Automated guided vehicles
Small-series and customised trucks
Control units, batteries and chargers
Reconditioning of used equipment

Jungheinrich: Broad customer base

"Intralogistics" business fieldsGeschäftsfelder Intralogistik

New truck business	Development, production and sales of new forklift trucks including "Logistics systems" and "Mail-order" business, focus on direct sales
Short-term rental	■ Hire periods: generally 1 day to 24 months ■ Targeted degree of capacity utilisation >80% ■ Ø-Inventory 2018 = 64 thousand trucks
Used equipment	■ Marketing of used equipment (leasing, short-term rental and trade-ins) ■ Professional reconditioning of forklift trucks in the Dresden used equipment centre
After-sales services	■ 7,700 employees in the global after sales organisation, thereof ~5,329 after-sales service engineers

"Logistics Systems" and "Mail Order" continue to grow

Financial Services

Principles and Objectives

BUSINESS POLICY	 Service function for Jungheinrich sales division
	 Substantial financial services profits are stated in sales division  New truck business/after-sales services/used equipment
SALES POLICY	 Promotion and expansion of new truck business and after-sales services  Principle: Every financial service agreement to cover full service and maintenance  Permanent customer retention  Flexible, customized contracts
RISK MANAGEMENT	 Matching refinancing (term and interest)  Regular creditworthiness checks  Quarterly assessment of contractual/residual value risks  Transparency and process reliability via Group database
BALANCE SHEET	 Full disclosure on Jungheinrich's consolidated balance sheet

Jungheinrich key data (I)

in € million	2007	2015	2016	2017	2018
Incoming orders	2,120	2,817	3,220	3,560	3,971
Group revenue	2,001	2,754	3,085	3,435	3,796
thereof Germany	505	701	753	851	900
thereof abroad	1,496	2,053	2,332	2,584	2,896
EBIT	140	213	235	259	275
EBIT ROS	7.0%	7.7%	7.6%	7.5%	7.2%
Capital employed1	578	1,187	1,318	1,497	1,717
ROCE2	24.1%	17.9%	17.8%	17.3%	16.0
R&D expenditure	41	55	62	77	84
Capital expenditure3	52	87	59	88	106

1) Shareholders' equity + Financial liabilities – Cash and cash equivalents and securities + Provisions for pensions and long-term personnel obligations

2) EBIT / Employed interest-bearing capital x 100

3) Property, plant and equipment and intangible assets without capitalised development expenditures

Jungheinrich key data (II)

in € million	2007	2015	2016	2017	2018
Equity ratio (Intralogistics)	40%	48%	48%	48%	46%
Equity ratio (Group)	27%	31%	31%	30%	29%
Net debt1	40	–75	–56	7	108
Tax ratio	41%	31%	28%	25%	29%
Profit or loss	82	138	154	182	176
Employees (FTE3))	10,178	13,962	15,010	16,248	17,877
thereof Germany	4,761	6,078	6,511	6,962	7,378
thereof abroad	5,417	7,884	8,499	9,286	10,499
Dividend per preferred share	€0.192	€0.402	€0.44	€0.50	€0.50 (proposal)

1) Net debt = Financial liabilities – cash and cash equivalents and securities

2) Figures adjusted retroactively due to the 1:3 stock split implemented on 22 June 2016

3) full-time equivalent

Development of Jungheinrich preferred share All-time high: €41.60 on 12 + 15 January 2018

Financial calendar

Balance sheet press conference 20/03/2019 Analyst conference 20/03/2019 2019 Annual General Meeting 30/04/2019 Dividend payment 06/05/2019 Interim statement as of 31/03/2019 10/05/2019 Interim report as of 30/06/2019 08/08/2019 Interim statement as of 30/09/2019 07/11/2019

Andrea Bleesen Contact

Head of Investor Relations Jungheinrich Aktiengesellschaft

Friedrich-Ebert-Damm 129 · 22047 Hamburg Telefon +49 40 6948-3407 · Fax +49 40 6948-753407 andrea.bleesen@jungheinrich.de · www.jungheinrich.com

General information

Subscribed capital: €102 million subdivided into 54,000,000 no-par-value ordinary shares 48,000,000 no-par-value preferred shares (listed)

Securities identification numbers (preferred shares): ISIN: DE0006219934 WKN: 621 993

Stock exchanges: Frankfurt and Hamburg and all other German stock exchanges

Segment	Prime Standard
Branch:	Industry
Stock index:	SDAX

Ticker: Reuters JUNG_p.de Bloomberg JUN3 GR