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Polyram Plastic Industries Ltd. — Investor Presentation 2025
Aug 25, 2025
6993_rns_2025-08-25_cfb56d5d-e1ff-4005-b609-f39689a35979.pdf
Investor Presentation
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Company Presentation
August 2025

Disclaimer

- This presentation was prepared by Polyram Plastic Industries Ltd. (hereinafter: the "Company" and/or "Polyram") as a general presentation about the Company and is not intended to replace the need to review Polyram's full reports to the Securities Authority and the Tel Aviv Stock Exchange. Including, inter alia, Polyram's periodic reports including the Polyram's periodic report for 2024, second quarter of 2025 and immediate reports (hereinafter: "Polyram's Reports") prior to making a decision regarding investment in Polyram's securities.
- The information contained in the presentation does not constitute advice, recommendation, or opinion regarding investment and does not constitute an offer to invest and/or purchase securities of Polyram (and in particular does not constitute an "offer to the public" or "sale to the public" of any kind) and does not replace the independent examination and personal advice according to the unique needs of each investor. Such an offer shall be made only in accordance with the provisions of the law, after obtaining the necessary permits from the Securities Authority and the stock exchange.
- This presentation includes a summary of the issues described in the context in which they are discussed and not the full information available to Polyram in relation to these issues and does not include the full results and financial information of Polyram and the notes to them, and/or Polyram's business plans and/or Polyram's risk factors.
- The presentation includes data on international markets, including growth volumes, penetration rates, sales, statistics, etc. It should be emphasized that this data is based on public data and Polyram's assessments and does not constitute any facts and/or representations.
- This presentation may include forward-looking information as defined in the Securities Law, 1968 (hereinafter: "forward-looking information"), including forecasts, and subjective assessments by Polyram's management as of the date of publication of the presentation, which although Polyram believes are reasonable, which are inherently uncertain, estimates and information regarding future events.
- The forward-looking information is solely aimed at the date to which it relates and is uncertain, unpredictable, and affected by factors beyond the control of Polyram, each of which, or a combination thereof and the realization of which risk factors characterize Polyram's activities, may materially impair results. The activities of Polyram cause the actual results to be materially different from the forward-looking information.
- Except as an undertaking to disclose information as required by the securities laws applicable to Polyram. Polyram does not undertake to update or change any information contained in this presentation in order to reflect events and/or circumstances that will apply after the date of its preparation. It is clarified that Polyram's plans and strategy included in this presentation are correct as of the date of their publication and may and will change in accordance with the decisions of the Company's Board of Directors from time to time.
- Polyram's assessments regarding Polyram's objectives are based, inter alia, on Polyram's assessments regarding trends in the Company's business in particular and trends in the market in which Polyram operates in general, as well as Polyram's management assessments regarding potential and market trends in Israel and international markets as of this report. These assessments may not materialize and/or materialize significantly differently from Polyram's assessments, inter alia, as a result of factors external to Polyram and which are not under control, including, inter alia, changes in the economic situation in Israel and abroad.
- To the extent that there is a conflict between what is stated in this presentation and what is stated in the Company's reports required by law, what is stated in the Company's reports will prevail.
Polyram – Overview
Confidential

| Polyram is a global Leader in developing, manufacturing and marketing of |
Three operating divisions: • Bondyram • Engineering Plastics (EP) • Polytron |
Established in | ||||
|---|---|---|---|---|---|---|
| advanced functional | Financial Data | (ILS | in millions) | |||
| raw materials for | 1,400 products | Q2.2025 | Q1.2025 | Q2.2024 | ||
| the plastic industry | Sophisticated | Revenues | 249 | 247 | 259 | |
| manufacturing processes | Net | 10 | 25 | 28 | ||
| worldwide | Tailor Made solutions | Income EBITDA |
||||
| Over 1,000 customers |
43 | 34 | 46 |
Management



Netanel Guez CFO 8 years

Dror Zur CPO 38 years
Idan Rephaeli COO 6 years
Amit Koren Local Market Manager
3 Years

ZivHerling Bondyram Manager and VP Global Sales 23 years

Eliyahu Katan Bondyram TL Manager 10Years

Gabriela Marziparo Polytron Manager 14Years





Ofir Kayam EP category sales specialist 11Years
YaaraAvrahami Quality Manager 24Years
The Plastic Industry - Value Chain


CEO Highlights

6
Maintaining operational stability and full customer retention, despite a significant market slowdown and a decline in raw material prices
In light of recently signed distribution agreements in Southeast Asia and in response to robust market demand, the company's board of directors has approved the purchase of an additional production line for our manufacturing facility in Thailand. This new line will increase the factory's production capacity by more than 50% and is expected to be operational in approximately one year
The establishment of the new manufacturing facility in Thailand is progressing according to schedule. Key equipment and raw materials have been received, and we remain on track to meet all defined timelines and project objectives
Following recent project wins in the Mexican automotive sector - primarily targeting the U.S. market, and in line with the large-scale expansion of our U.S. facility, we are currently in the process of establishing a subsidiary in Mexico. This new company will commence operations in early 2026 to provide essential support for our activities
Our U.S. manufacturing facility provides the company with a significant competitive advantage over international rivals, particularly given current tariff policies. Consequently, we have observed a notable increase in inquiries from clients prioritizing domestic production
The Board of Directors has approved a dividend distribution of 10 million NIS. Since the beginning of 2021, the company has distributed a total of 250 million NIS to shareholders
We are actively pursuing strategic merger and acquisition opportunities to accelerate growth and enhance our market position
Polyram Thailand

Polyram is establishing a production site in Thailand for Bondyram products, with an investment of approximately \$5 million

The plant is in advanced stages of construction and is expected to begin operations in the second half of 2025
Initially, the site will feature two production lines, with potential for future expansion

The establishment of the plant will shorten the supply chain for Bondyram products in East Asia and allow the company to penetrate to new markets

In response to strong market demand, an additional production line has been commissioned for the manufacturing facility. The new line is expected to be operational in approximately one year

The company has entered into several distribution agreements across new markets, including Indonesia, Malaysia, the Philippines, and Australia


Polyram USA

Polyram USA Expands: Plant Doubled, New Subsidiary formed in Mexico
Polyram identifies the USA as a strategic target and a key growth driver for the coming years

The factory expansion is on track, with completion expected in Q4 2025
Following recent project wins in the Mexican automotive sector, with a primary focus on the U.S. market, and in conjunction with the strategic, large-scale expansion of our U.S. facility, we are currently in the process of establishing a subsidiary in Mexico. This new company will commence operations in early 2026 to provide essential 8 support for our activities

Growth engines of Polyram

As a global company, we ensure business continuity and maximum operational efficiency through decentralized production of all product divisions across at least three strategic manufacturing sites on different continents.
Recycling, innovation, and sustainability are the core values of the firm. The company develops sophisticated recycled raw materials to lead the industry in the coming years through its recycling plants in UK, Germany, and Israel.
Polyram has established its presence in the American market by producing thermoplastic compound products in the USA and building a distribution system.
The company aims to develop synergies in the German market, the most industrialized country in Europe, by distributing Polyram products to MCT customers.
Expanding the market for elastomer products, particularly thermoplastic rubber produced at MCT, throughout Europe using its subsidiaries and the local market.
Intending to penetrate the field of electric vehicles and charging stations by developing advanced materials for new applications.
Innovation-Recycling-Sustainability
Polyram's field of material recycling is regarded as one of the company's primary growth engines
Development and marketing of recycled materials Polyram UK specializes in recycled materials.
Entering to recycling market through the acquisition of MCT-Polyram MCT produces two major products with recycled materials: (1) Polyolefins with minerals and glass fibers (2) Thermoplastic rubber (elastomers).
Dedicated production lines-to meet the increasing demand in the field of recycling, dedicated production lines have been established at a factory in UK and a factory in Israel.
Entering into new projects in the automotive industry-In a bid to improve the sustainability of their operations, more automotive manufacturers are making use of recycled material in vehicle interiors.
Progress in the ESG indicators, environment, Social and Corporate Governance, while building and managing an environmental policy.

Global Footprint


Polyram - Milestones


Strong and Consistent Growth


Diversification and risk reduction


End Markets Product Lines


Geographic Diversification 81% Export

Customer Diversification

Biggest customer < 5% of total revenue
20 of the Biggest customers = only 15% of total revenue
Direct salesto end producers ~ 90%
98% < Of the company's customers are covered by full credit insurance
Sales - ILS (M) & Quantities (K)



Maximum production capacity of ~151,850 Tons
Current exploitation ~65% Capacity
During 2021-2024 investment in increasing production capacity and operational efficiency, in order to meet expected demand in coming years
Polyram is building a new production site in Thailand. The site is expected to begin operations in the second half of 2025 with a production capacity of approximately 10,000 tons
In response to a surge in orders, the company has decided to acquire an additional production line in the United States for the EP sector, which will add approximately 5,000 tons of production capacity
In addition, in response to strong market demand, an additional production line has been commissioned for the Thailand Site. The new line is expected to be operational in approximately one year and will add an additional 5,000 tons of production capacity 9
Bondyram





Products and Applications

Chemicals Packaging
Pharma and Cosmetics Packaging Construction Food Packaging
19

Main customers

Confidential
Growth Engines and Growth potential
Tie Layers
Establishment of a dedicated factory and production lines for the American market.
Penetration into 3 major customers in the US Food sector.
Penetration into other industries such as the water transmission industry for infrastructure and construction.
Expanding marketing and sales channels to increase market share in selected territories such as China, India and Southeast Asia.
The TL market is characterized by high concentration where 80% of the total market is supplied by 5 major global competitors.



Coupling Agents and Impact Modifiers

- Coupling Agents –solutions to couple between different polymers and glass-fibers
- Impact Modifiers –provide compounds with special functionalities
Products and Applications

21
Main customers

Growth Engines and Growth potential
Coupling Agents and Impact Modifiers
Establishment of a dedicated factory and production lines for the American market.
Development of innovative products through the R&D department for unique applications.
The launch of an innovative impact enhancer for the American market, the fruit of a 5-year development process.
Polyram is a market leader in the field.

Engineering Plastics

- We provide customers with special functional raw materials with unique characteristics such as fire resistance, flexibility, UV resistance, and more
- Q1/2023 Establishment of the first EP production line in the US
- Entering the world of recycling engineering materials at the Israeli site, for us and our customers
- Entering the world of thermoplastic rubber by Purchasing MCT plant in Germany
- We have appointed a new manager for the European market for the thermoplastic rubber.
Confidential



Polyram MCT

Belongs to Engineering Plastics Product Line and includes 2 sectors:
- Polyolefins with minerals and glass fibers
- Thermoplastic rubber (elastomer)
Polyram MCT is integral to Polyram's strategy for expanding in the European market, ensuring proximity to customers and establishing production within Europe:
- Polyram MCT manufactures in Europe and leads continentallyenabling competition for large polyolefin projects in Europe and bulk material supply.
- Foundation for market development of Polyram products in Germany – developing the market for the entire portfolio of Polyram products through the company's distribution network.
- Thermoplastic rubber sector – a complementary product to Polyram's portfolio, which the company is beginning to distribute through its group companies in Europe and Israel.
27
• Potential future expansion of the plant.
12


Center console
Springs for an adjustable bed



Key Growth Engines

Geographic expansion – New geographical markets, fast-growing markets such as South East Asia, and traditional markets such as Germany, North America, and more
Execution of acquisitions and mergers strategy of manufacturers of engineering thermoplastic compounds in Europe and the USA.
Development of innovative products - advanced materials with unique properties
Penetrating the carbon fiber market in the field of engineering thermoplastic composites
Penetrating the plastic recycling market through the Company and its UK subsidiary
Global supplier for the European and American markets and supplying from Israel to the local market and the rest of the world

Polytron

- Polytron products mainly serve the Automotive Industry
- Mercedes, BMW, and Ford are among the company's key customers
- Unique qualities of Polytron based products allow the replacement of metal components with light-weight plastic based solutions
- Providing solutions for improving mechanical properties to end products in the automotive industry
- Global automotive supplier, operating in all three major continents of the industry
- Entering the electricity cabinets market in the US
- Establishment of a third production line in the US in Q4 2024
- Winning two major projects in the USA

key features
- Each new car contains 4-6 kg of long-fiber products
- Polytron products serve additional applications in a non-significant way

Main customers
- Diverse certifications from leading OEMs and Tier1 suppliers
- Global manufacturing, supply, and service capabilities

Key Growth Engines

Geographic expansion - further penetration to the US market leveraging newly established plant in the US
Maintaining the status of Polyram, as a leading supplier to the automotive industry, with global distribution channels on three continents
Polyram obtains OEMs and Tier 1 certifications which are a major barrier to market development
Strengthening the company's presence in direct marketing channels to OEM
Innovation – development of new long-fiber-based solutions to the automotive industry
Polyram is one of the top ten suppliers in the global market


Financial Statements
P&L M-ILS

| 2024 | 2025 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| 2020 | 2021 | 2022 | 2023 | 2024 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | |
| E P |
378 | 511 | 651 | 576 | 560 | 146 | 137 | 150 | 127 | 140 | 138 |
| Bondyram | 206 | 306 | 349 | 327 | 338 | 79 | 93 | 89 | 76 | 78 | 88 |
| Polytron | 71 | 90 | 104 | 98 | 103 | 27 | 28 | 27 | 21 | 29 | 24 |
| Sales turnover |
655 | 907 | 1 104 , |
1 001 , |
1 001 , |
252 | 259 | 267 | 224 | 247 | 249 |
| Gross profit |
140 | 201 | 201 | 195 | 214 | 56 | 58 | 55 | 45 | 47 | 55 |
| Gross profit margin |
21 3% |
21 1% |
18 2% |
19 5% |
21 4% |
22 2% |
22 4% |
20 7% |
20 1% |
19 0% |
21 9% |
| R&D expenses |
3 | 3 | 3 | 4 | 5 | 1 | 1 | 1 | 1 | 1 | 1 |
| S&M expenses |
35 | 40 | 46 | 55 | 59 | 15 | 15 | 15 | 13 | 15 | 15 |
| G&A expenses |
13 | 19 | 21 | 22 | 22 | 6 | 6 | 6 | 5 | 6 | 7 |
| Other (income) , net expenses |
3 | - | 3 | - | 0 | - | - | - | 0 | 0 | - |
| Operating profit |
86 | 139 | 129 | 114 | 129 | 34 | 36 | 34 | 25 | 24 | 32 |
| Operating profit margin (w/o other expenses) |
13 1% |
15 4% |
11 9% |
11 4% |
12 8% |
13 3% |
13 9% |
12 6% |
11 4% |
9 8% |
12 8% |
| , net | 11 | 21 | 11 | 19 | 26 | 3 | 3 | 3 | 16 | 20 | |
| Financing (income) expenses Income taxes |
12 | 18 | 13 | 10 | 11 | 3 | 5 | 4 | )3( 3 |
2 | |
| Net profit |
63 | 100 | 104 | 85 | 92 | 27 | 28 | 27 | )1( 10 |
25 | 10 |
| Net profit margin |
9 6% |
11 0% |
9 4% |
8 5% |
9 2% |
10 7% |
10 7% |
10 1% |
4 5% |
10 1% |
10 1% |
| EBITDA | 113 | 166 | 166 | 153 | 168 | 43 | 46 | 44 | 36 | 34 | 43 |
| EBITDA margin |
17 3% |
18 3% |
15 0% |
15 2% |
16 8% |
16 9% |
17 7% |
16 4% |
16 0% |
13 7% |
17 1% |
| CAPEX | 11 | 21 | *33 | 35 | 34 | 4 | 8 | 10 | 13 | 4 | 22 |
* In addition to the MCT acquisition of 89M-ILS. 27
BS M-ILS

| 30.06.2025 | 30.06.2024 | 31.12.2024 | |
|---|---|---|---|
| Inventory | 335 | 305 | 339 |
| Current maturities of borrowings and current borrowings |
276 | 193 | 216 |
| Borrowings from banks | 49 | 66 | 54 |
| Equity | 657 | 658 | 646 |
| 30.06.2025 | 30.06.2024 | 31.12.2024 | |
|---|---|---|---|
| Operating working capital | 456 | 416 | 413 |
| Net debt to EBITDA | 1.70 | 1.17 | 1.29 |

Debt development M-ILS


SUMMARY


Technological leadership, customer loyalty and high quality products

Industry and geographical distribution (a variety of industries such as: irrigation and water supply, packaging and food, vehicles and automotive, using worldwide production and distribution channels)

Significant growth engines in the TL and adhesives divisions, the automotive industry and the plant in the US

Significant growth potential in all product divisions Strength and economic resilience

Entering the recycling engineering materials world, in the Israeli and UK sites

Dividend and cash flow policy in correlation with the company's growth

Powerful platform for mergers and acquisitions


Thank You
