Payton Industries Ltd.

Investor Presentation • Apr 6, 2025

Payton Industries | Investors presentation 2024 Results

Forward-Looking Statements

This presentation contains certain forward-looking statements and information relating to the Company that are based on the beliefs of the Management of the Company as well as assumptions made by and information currently available to the Management of the Company. Such statements reflect the current views of the Company with respect to future events. The Management emphasizes that the assumptions do not in any way imply commitment towards realization. The outcome of which is subject to certain risks and other factors (such as: Currency exposure, material prices, manufacturing partners, global economy), which may be outside of the Company's control. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results or outcomes may vary materially from those described herein as projected, anticipated, believed, estimated, expected or intended.

Payton America Inc. | USA CaPaw 7% Public@ TLV SE Payton Industries Ltd. FIMI 29.85% Public@EuroNext Belgium 33.8% HIMAG Planar Magnetics | UK PCT (HK) David Yativ 29.85% 66.2% 100% 100% 20% SI MANUFACTURING * Payton Planar Magnetics Ltd. Payton Group Structure 40.3%

Payton Planar Magnetics The world leader in Planar Magnetics technology

The only 100% customized solutions provider

Payton in Numbers As of 31.12.2024

37 Years of Innovation and Growth

Company History & Milestones

• Established in 1987
• Publicly traded in Tel Avis since 1993
• Publicly traded in Brussels Euronext since 1998.

Global Presence & Manufacturing

● Fully owned subsidiaries in the USA and the UK ● Manufacturing partners in China and Philippines

Technology & Industry Leadership

• Design manufacture and sell Magnetic components.
• ●World leader in Planar Magnetics Technology.
• Planar technology is widely used in Automotive,
• Defence, Power Electronics and Telecom application.
• Largest R&D HC per revenue in the industry

Innovation & Customer Commitment

● 100% Custom design, Problem solving. ● "Creativity, Innovation and Service" as a driving moto. ● Long term partnership with customers and suppliers. ● Successfully navigated last years challenges.

Planar Transformers

What Is a Planar Transformer?

• Passive Magnetic component that transfer energy
• Build from copper stamping and PCB

Planar Technology Advantages

High Efficiency Easy to cool Good thermal conductivity

Planar Transformers

When can Planar transformer be used?

• High frequency designs
• New design only
• Where there are design challenges such as space/volume/weight/efficiency

Why Payton?

Payton Advantages

• ✓ Largest engineering team in the industry with vast know-how and advanced simulation capabilities.
• ✓ 100% Customization solution
• ✓ In-house PCB factory
• ✓ In-house real operation conditions capabilities
• ✓ Speedy response (48H design and few weeks samples delivery)
• ✓ Best in the industry customer support and service
• ✓ Support for design and manufacturing across all countries USA (East and west coast ("SI"), UK and for Europe and Korea/Japan for Asia.
• ✓ Manufacturing facilities for high volumes in China and Philippines. ✓ Wide range of power level from a single Watt up to 150 kW in one unit

Markets

Payton follows and solves customer design challenges in any market that is relevant. It is helping us to hedge

different markets risks.

Examples of markets served:

Servers, telecom equipment, portable equipment, automotive HEV/EV cars, High-Rel.

Growth Engines and Strategy

Offer The Best Products

• ✓ High Frequency - Now supported also by GaN Semiconductors
• ✓ Size and weight reduction
• ✓ High power density
• ✓ Be first with design and samples
• ✓ 100% customization

Market's Tailwind ✓ Green Energy - look for high efficiency products

✓ Can be used in various industries

Inorganic Growth

• ✓ Strong financial position
• ✓ Strategic M&As with high synergies

Management Overview - M&A at Payton Planar

Global Presence on the west coast (USA) - Located in Anaheim California

Acquiring 100% of SI - \$5.6 Million / deffered concideration up to \$0.5 Million

Acquiring real property (Land 3000 SqM & building 1300 SqM) - USD 4.4 Million Specializing in custom magnetics and sub-assemblies

\$8-10M Sales

Group's Business Strategy Organic growth and acquisitions of synergistics companies

Expand and Strengthen Group's customer base

The Completion of the Transaction is subject to the fulfillment of several conditions, regulatory approvals and certain other third party consents

Dividend split 2022-2025

Cash position 2021-2024

Financial Highlights \$ Thousands, Year End

	2024	2023	2022	2021
Revenues	50,826	54,856	60,270	43,980
Gross profit	22,117	24,103	24,492	17,373
Gross Margin	43.5%	43.9%	40.6%	39.5%
Operating profit	13,333	16,266	17,073	10,250
Operating profit (%)	26.2%	29.7%	28.3%	23.3%
Finance income, net	3,643	1,884	188	(101)
Profit before taxes	17,211	18,368	17,741	10,097
Net Profit	14,401	15,134	13,770	8,275
Net Profit (%)	28.3%	27.6%	22.8%	18.8%

Thank You

Q&A