Stabilus SE

Investor Presentation • May 14, 2015

Second quarter results FY2015

Disclaimer

Stabilus S.A. (the "Company", later "Stabilus") has prepared this presentation solely for your information. It should not be treated as giving investment advice. Neither the Company, nor any of its directors, officers, employees, direct or indirect shareholders and advisors nor any other person shall have any liability whatsoever for any direct or indirect losses arising from any use of this presentation.

While the Company has taken all reasonable care to ensure that the facts stated in this presentation are accurate and that the opinions contained in it are fair and reasonable, this presentation is selective in nature. Any opinions expressed in this presentation are subject to change without notice and neither the Company nor any other person is under any obligation to update or keep current the information contained in this presentation. Where this presentation quotes any information or statistics from any external source, you should not interpret that the Company has adopted or endorsed such information or statistics as being accurate. This presentation contains forward-looking statements, which involve risks, uncertainties and assumptions that could cause actual results, performance or events to differ materially from those described in, or expressed or implied by, such statements. These statements reflect the Company's current knowledge and its expectations and projections about future events and may be identified by the context of such statements or words such as "anticipate," "believe", "estimate", "expect", "intend", "plan", "project" and "target". No obligation is assumed to update any such statement.

Agenda

1.	Financial highlights
2.	Business by region
3.	Business by customer market
4.	Outlook
5.	Appendix

Second quarter results FY2015

1. Financial highlights 1.

1. 1. 1. 5.

Highlights Q2 FY2015

Fiscal year-end September

Sales	• Sales up by 21.3% to €157.5mm (+€27.7mm vs. Q2 FY14) • Growth in all regions with NAFTA (+30.0%), Asia / Pacific and RoW (+21.9%) as well as Europe (+15.8%) • Growth in all markets with Powerise (+63.8%), Gas Spring (+17.6%), Swivel Chair (+10.6%) and Capital Goods (+6.3%)
Adj. EBITDA	• Adj. EBITDA up by 17.2% to €29.3mm (+€4.3mm vs. Q2 FY14) • Adj. EBITDA margin at 18.6% (vs. Q2 FY14 margin of 19.3%) • Strong growth in Asia / Pacific and RoW (+52.4%) and NAFTA (+29.0%)
Adj. EBIT	• Adj. EBIT up by 21.1% to €21.8mm (+€3.8mm vs. Q2 FY14) • Adj. EBIT margin at 13.8% (vs. Q2 FY14 margin of 13.9%)
Net debt	• Net financial debt of €233.9mm • Net financial debt / adj. EBITDA LTM decreased to 2.3x (vs. 2.5x as per FY2014)
Outlook	• Full year revenue guidance: €575–585mm at expected average US\$-€ exchange rate of \$1.20 per € • Adj. EBIT margins in line with historic results at 12-13% • Refinancing of senior secured notes on June 16, 2015 will deliver annualized cash interest savings of ~€13mm − New syndicated loan contract signed on December 19, 2014 − Notice of full redemption of senior secured notes issued on May 11, 2015

Stabilus strong operating performance in Q2 FY2015 (y-o-y)

Note: Stabilus fiscal year-end is September

¹ Adj. EBIT/ EBITDA represents EBIT/ EBITDA, as adjusted by management primarily in relation to advisory fees, IPO related costs, restructuring / ramp-up costs and pension interest

²Simplified definition of FCF differs to more detailed presentation in quarterly report

Stabilus strong operating performance in H1 FY2015 (y-o-y)

Note: Stabilus fiscal year-end is September

¹ Adj. EBIT/ EBITDA represents EBIT/ EBITDA, as adjusted by management primarily in relation to advisory fees, IPO related costs, restructuring / ramp-up costs and pension interest

²Simplified definition of FCF differs to more detailed presentation in quarterly report

3.

1.

4.

5.

Second quarter results FY2015

2. Business by region

7

Quarterly revenue and adj. EBITDA growth – by region (y-o-y)

² Adj. EBITDA represents EBITDA, as adjusted by management primarily in relation to advisory fees, IPO related costs, restructuring / ramp-up costs and pension interest

NAFTA – Revenue growth (y-o-y)

• NAFTA car production in Q2 FY15 at 4.3mm units +2.2% vs. previous year
• NAFTA Q2 revenue increased by 30.0% to €57.2mm (36.3% of group revenue vs. 33.9% in Q2 FY14)
• − Revenue in US\$ terms improved +8.1%: \$65.1mm in Q2 FY15 vs. \$60.2mm in Q2 FY14 (underlying FX rate development: \$/€1.13 in Q2 FY15 vs. \$/€1.37 in Q2 FY14)
• − Industrial (incl. Swivel Chair) revenue in Q2 FY15 at €12.3mm (+20.6% vs. Q2 FY14), in H1 FY15 at €23.3mm (+21.4% vs. H1 FY14)
• Mexico: Powerise capacity increase to ~2mm units p.a. for 2016 in execution (4th Powerise production line and cycle time improvements)

Asia / Pacific and RoW – Revenue growth (y-o-y)

• Asia/Pacific car production remained constant at ~11.5mm units vs. previous year
• Strong year-over-year revenue growth of 21.9% in Q2 FY15 mainly driven by automotive gas springs
• China:
• − China Q2 FY15 revenue at €10.6mm (+32.5% vs. Q2 FY14); China H1 FY15 revenue at €21.2 (+24.9% vs. H1 FY14)
• − Industrial: start of production of new line in Jan 2016, 1.3mm units capacity in FY2016, dedicated Industrial Sales and Application team up to 8 employees (from 2 in FY13 and 5 in FY14)
• Korea: new powder coating line installed, start of production July 2015

Europe – Revenue growth (y-o-y)

• Car production in Q2 FY15 at 5.3mm units +2.1% vs. previous year
• European revenue at €81.9mm in Q2 FY15 (+15.8% vs. previous year), thereof €13.0mm Powerise revenue (vs. €4.7mm in Q2 FY14); H1 FY15 Powerise revenue at €24.2mm (H1 FY14: €7.1mm)
• Select European Powerise launches in H1 FY15: Porsche Macan, Porsche Cayenne, Audi A7, Ford S-Max, Mercedes CLA, Mercedes GLA
• Relocation of certain gas spring tube production machines from Germany to Romania
• Powerise production building on track for completion in June 2015 - for the 3rd Powerise line in Romania

2.

1.

Second quarter results FY2015

3. Business by customer market

Revenue growth – by business (y-o-y)

Revenue growth – Automotive business (y-o-y)

Revenue growth – Industrial business (y-o-y)

Second quarter results FY2015

Outlook FY2015: Financial performance

	FY2014 Actual	FY2015 Guidance
Sales	€507mm	€550-560mm
% Growth	10.3%	9-10%
Sales at constant FX rates of €/\$ 1.20 for the year % Growth		€575-585mm 14-15%
% Adj. EBIT margin	12.8%	12-13%

Comments

• On track to deliver another record year, achieving ambitious revenue and EBIT targets
• Strong European results support solid sector outlook
• Powerise continues to be a clear growth driver going forward
• Refinancing of senior secured notes in June 2015 will deliver annualized cash interest savings of ~€13mm

Q&A

Financial calendar

August 17, 2015	• Interim Report Q3 FY2015
December 15, 2015	• Annual Report 2015
Investor Relations Andreas Schröder Phone: +352 286 770 21 E-Mail: anschroeder@stabilus.com
For further information please visit: www.ir.stabilus.com

Second quarter results FY2015

P&L overview

P&L (€mm)
3 months ended		Q2 FY	March 2014 Actual	March 2015 Actual
Revenue			129.8	157.5
COGS			(96.8)	(117.7)
Gross Profit			32.9	39.8
% margin			25.3%	25.3%
R&D			(5.4)	(6.1)
S&M			(9.4)	(10.9)
G&A			(5.0)	(6.1)
Other income/expenses			0.9	1.4
Adjustments			4.0	3.6
Adj. EBIT			18.0	21.8
% margin			13.9%	13.8%
Depreciation & amortization (exc. PPA)			7.0	7.6
Adj. EBITDA			25.0	29.3
% margin			19.3%	18.6%
Advisory 0.6	0.1
Restructuring / ramp-up -	0.1
Pension interest add-back 0.3	0.3
PPA adjustments 3.1	3.1
Total Adjustments 4.0	3.6

Note: Numbers are rounded to one decimal

Balance sheet overview

Balance sheet (€mm)
	September 2014 Actual	March 2015 Actual
Property, plant and equipment	119.6	128.2
Goodwill	51.5	51.5
Other intangible assets	171.0	170.2
Inventories	49.5	57.1
Trade receivables	56.5	75.5
Other assets	38.7	52.0
Cash	33.5	28.3
Total assets	520.3	562.8
Equity incl. minorities	76.1	93.0
Debt (incl. accrued interest)	262.3	262.3
Pension plans and similar obligations	48.4	54.3
Deferred tax liabilities	43.8	44.1
Trade accounts payable	53.7	66.0
Other liabilities	36.0	43.1
Total equity and liabilities	520.3	562.8
Net financial debt	228.9	233.9
Net financial debt / adj. EBITDA LTM	2.5x	2.3x

Note: Numbers rounded to one decimal

Cash flow overview (6M ended March 31, 2015)

Cash Flow Statement (€mm)
6 months ended	H1 FY	March 2014 Actual	March 2015 Actual
Cash flow from operating activities		43.8	24.9
Cash flow from investing activities		(16.8)	(21.6)
Cash flow from financing activities		(13.6)	(10.3)
Net increase / (decrease) in cash		13.4	(6.9)
Effect of movements in exchange rates		(0.2)	1.8
Cash as of beginning of the period		21.8	33.5
Cash as of end of period		35.0	28.4

Comments

• In H1 FY14 begin of sale of receivables program (factoring); €20.2mm trade receivables were sold to a factor, resulting in a cash-in of €19.1mm.

Note: Numbers rounded to one decimal

External sales by region and customer market (6M ended March 31, 2015)

External sales (€mm)
6 months ended	H1 FY	March 2014 Actual	March 2015 Actual
Gas spring		63.7	66.5
Powerise		7.4	24.2
Industrial		48.0	47.7
Swivel chair		10.8	11.5
Europe		129.9	149.9
Gas spring		35.0	44.2
Powerise		30.5	39.2
Industrial		17.7	21.3
Swivel chair		1.5	2.0
NAFTA		84.7	106.7
Gas spring		27.6	32.2
Powerise		-	-
Industrial		3.6	3.8
Swivel chair		0.1	-
Asia / Pacific and RoW		31.3	36.0
Total		245.9	292.6

Note: Numbers rounded to one decimal. Due to rounding, numbers presented may not add up precisely to the totals provided.