Strauss Group — Investor Presentation 2022

Mar 22, 2022

Strauss Group Financial Results

Q4 and YTD 2021 Earnings Presentation | March 22nd , 2022

Disclaimer

GAAP to Non-GAAP Reconciliations

This presentation does not constitute an offering to purchase or sell securities of Strauss Group Ltd. (the "Company") or an offer for the receipt of such offerings. The presentation's sole purpose is to provide information. The information contained in the presentation and any other information provided during the presentation (the "Information") does not constitute a basis for investment decisions and does not comprise a recommendation, an opinion or a substitute for the investor's sole discretion. The Information provided in the presentation concerning the analysis of the Company's activity is only an extract, and in order to receive a complete picture of the Company's activity and the risks it faces, one should review the Company's reports to the Israel Securities Authority and the Tel Aviv Stock Exchange. The Company is not liable, and will not be held liable, for any damage and/or loss that may be caused as a result of use of the Information.

The presentation may contain forward-looking statements as defined in the Israeli Securities Law, 5728-1968. All forward-looking statements in this presentation are made based on the Company's current expectations, evaluations and forecasts, and actual results may differ materially from those anticipated, in whole or in part, as a result of different factors including, but not limited to, changes in market conditions and in the competitive and business environment, regulatory changes, currency fluctuations or the occurrence of one or more of the Company's risk factors. In addition, forward-looking forecasts and evaluations are based on information in the Company's possession while preparing the presentation. The Company does not undertake any obligation to update forward-looking forecasts and evaluations made herein to reflect events and/or circumstances that may occur after this presentation was prepared.

In addition to reporting financial results in accordance with generally accepted accounting principles (GAAP), the Company provides non-GAAP operating results which include the results of jointly controlled entities as if they were proportionately consolidated. Strauss Group has a number of jointly controlled companies: the Três Corações joint venture (3C) - Brazil (a company jointly held by Strauss Group (50%) and by the São Miguel Group (50%) in Brazil), Sabra Dipping Company (a 50%/50% JV with PepsiCo in the U.S. and Canada), Strauss Frito-Lay Ltd. (a 50%/50% JV with PepsiCo Frito-Lay in Israel) and PepsiCo Strauss Fresh Dips & Spreads International (a 50%/50% JV with PepsiCo outside the U.S. and Canada).

In addition, non-GAAP figures exclude any share-based payments, mark to market of commodity hedging transactions as at end-of-period, other expenses or income and taxes referring to these adjustments.

Company Management believes that these measures provide investors with transparency by helping to illustrate the underlying financial and business trends relating to the Company's results of operations and financial position and comparability between current and prior periods. Management uses these measures to establish and monitor budgets and operational goals and to evaluate the performance of the Company. Please see the GAAP to non-GAAP reconciliation tables in the Company's MD&A Report for a full reconciliation of the Company's GAAP to non-GAAP results.

Giora Bardea

Group CEO

Strauss Israel

• Stellar growth of 8.5% during the quarter despite a decline of 5.5% for the F&B market in Israel and a tough comparison with Q4 2020
• Market share up 0.5% to 12.4% YTD(1)
• Gross margin continues to erode as raw materials, particularly raw milk, and other costs continue to rise sharply
• Strong EBIT growth of 12.8% in Q4; margins slightly improve on higher quantities sold and Opex mitigation
• Strong sales in confectionary in Q4 and in dairy both in Q4 &YTD
• AFH and OTG channels continue to improve
• Headwinds of the 5 th wave of Covid during the quarter resulted in large amount of covid cases and quarantine across the business that affected day-to-day operations

• Sales growthwas led by Brazil(1) , up 33.1% in local currency mostly due to price increase
• Brazil (2) EBITwas up 33.9% in local currency to reach 96mm BRL (in 100% terms) during the quarter
• AFH segment continued to improve offset by increased Covid cases due to the Omicron variant across all geographies
• Gross margins continue to erode in Q4 by 290bps on elevated green coffee prices
• Strong sales growth in most European countries in LC
• EBIT increases in Q4 on higher sales offset by lower gross margins
• The Russian invasion into the Ukraine has led to currency devaluations, the secession of activity in the Ukraine as well as supply chain and other headwinds in Russia which could all have a negative impact on the company
• Strauss Coffee won the tenderforthe Israel Trains as ofJanuary 2022

Q4

5

International Dips & Spreads

• Sabra sales were up 1.2% in Q4 in local currency despite continued challenges in supply chain and plant shutdown
• The International Dips & Spreads business in LC grewby 3.0% in Q4
• EBIT decline on soft topline and operational challenges due to plant shutdown, higher manufacturing, RM & freight expenses
• Hummus category declined during 2021 by 0.7% and Sabra's market share is down 40 bps to 61.6%
• Sabra's board approved one-time expenses to adjust the production site as per the FDA letterfrom December 2021
• These costswill result in an operational loss of \$8-13 million during Q1 2022 for Sabra

Strauss Water

• Stellar sales growth up double digit 10.2% for 2021 and 3.7% forthe quarter
• YTD operating profit is up 14.2% (excl. LY one time Chinses government subsidy to HSW)
• Strong sales momentum supported by sale of newly launched Edge Water Barin Israel
• Install base continues to increase across Israel and the UK, reaching 792k in Israel
• Haier Strauss Water(HSW), annual sales growth of 15.3% in local currency to reach ¥ 1,335mm
• Production in the newsite in China continues to expand

7

Growth and Innovation

• Overall equity capital gains in 2021 is NIS 71mm
• Fair value of NIS 375mm as of December 31st 2021
• Largest capital gain of NIS 58mm at the Kitchen from Aleph Farms successful raising of USD 105mm
• The Kitchen Hub currently has 22 companies underits auspices
• Upland launch in the US continues
• During February The Kitchen FoodTech Hub's won the Innovation Authority's tender for tech incubators for the second time

Ariel Chetrit

Group CFO

Financial Highlights Organic Excluding FX Non GAAP

Q4 2021	YTD 2021
Q4'21 Organic Sales growth: 12.6%	YTD Sales organic growth : 7.4%
Q4'21 Organic Gross Profit growth: 3.8%	YTD Organic gross profit growth: 2.1%
Q4'21 Organic EBIT growth: 0.1%	YTD EBIT organic growth: 7.9%; Growth excluding chinese subsidy in Q2 2020: 9.2%
Q4'21 Organic Net Income growth: 23.6%	YTD Net income organic growth: 17.1% Growth excluding chinese subsidy in Q2 2020: 19.4%

Financial Highlights Reported Non GAAP

Q4'21 Sales: NIS 2,262mm; growth: 9.3%

Q4'21 gross margins: 35.1% (down 270 bps vs. Q4'20)

EBIT and EBIT margins: NIS 179mm (down 2.2%); 7.9% (down 90 bps vs. Q4'20)

Net income and net margins: NIS 103mm (up 19.9%); 4.6% (up 40 bps vs. Q4'20)

Q4 2021 YTD 2021

YTD 2021 Sales: NIS 8,752mm; growth: 4.8%

YTD 2021 Gross margins: 36.9% (down 180 bps vs. YTD 2020)

EBIT and EBIT margins: NIS 980mm (up 6%); 11.2% (up 10 bps vs. YTD 2020)

Net income and net margins: NIS 639mm (up 16.1%); 7.3% (up 70 bps vs. YTD 2020)

The group declared a dividend of NIS 290mm (NIS 2.5 per share) to be paid on April 13th

Q4 2021

Q4 2021 Consolidated Sales NIS mm Non-GAAP

Organic Sales Growth excl. FX ⁼

Q4 2021 Sales by Segment

NIS mm; Non-GAAP; % sales contribution

excl. FX

Q4 Sales Bridge NIS mm; Non-GAAP; Q4'20 to Q4' ²¹

%

Channel Quarterly Sales Development

Sales in the retail channel and Away From Home (1) continue to grow faster than Q3 21; AFH positively affected by the opening across geographies

15

(1) Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Reclassification on Other channel that affected both Retail & AFH

Gross Profit

Spreads

Q4 Consolidated Gross Profit and Gross Margins

Organic Gross Profit Growth excl. FX ⁼

Q4 2021 Gross Profit and Gross Margins

Note: excluding Kitchen Hub expenses EBIT was up 2.2% to 183 million NIS

Q4 EBIT Bridge NIS mm; Non-GAAP; Q4'20 to Q4'²¹

Q4 2021 EBIT and EBIT Margins NIS mm; Non-GAAP; % Margin

HQ w.o FoodTech

Overall Group Strauss Coffee Strauss Israel Dips & Spreads Water FoodTech Equity HQ w.o FoodTech

Other

Other

EBITDA

* Note change in EBITDA due to new IFRS16 rules as of 2019

Q

4'20

EBITDA and

Três Corações Alimentos S.A. (Três Corações J.V.)

Q4 Snapshot | BRL mm for 100% ownership and including inter-company sales

Note: Três Corações joint venture (Brazil): a company jointly held by the Group (50%) and by the São Miguel Group (50%) (3C).

Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st , 2021.

Sales322 325 280 269 200 250 300 350 -4.2%

Sabra Q4 Snapshot NIS mm; Non-GAAP; for 100% share

Organic excl. FX +1.2%

23 Note: Sabra Dipping Company ("Sabra") is a company jointly held by PepsiCo (50%) and Strauss Group (50%) .

150

Despite supply

Net Income

Q4 Net Profit (attributed to the Company's shareholders), Net Margins and EPS

NIS mm; Non-GAAP

Growth excl. FX ⁼

Q4 Net Profit (attributed to the Company's shareholders) Bridge

NIS mm; Non-GAAP; Q4'20 to Q4'21

Net Debt and Net Debt / EBITDA (LTM)

Non-GAAP EBITDA, net debt includes partnerships; NIS mm

Q4 GAAP and Non-GAAP Financial Highlights, NIS mm

		Adjusted Non-GAAP
	Q4 2021	Q4 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Sales	1,561	1,454	7.4%	2,262	2,070	9.3%
Gross Profit	594	591	0.4%	795	783	1.6%
GP Margin	0% 38	7% 40		1% 35	8% 37
Operating Profit	162	181	(10.2%)	179	183	(2.2%)
EBIT Margin	10 4%	12 4%		7 9%	8 8%
Net Profit (to SH)	87	83	4.6%	103	87	19.9%
NP Margin	6% 5	7% 5		6% 4	2% 4
Operating Cash Flow	255	78		379	264
Capex (1)	(110)	(83)		(132)	(105)
Net debt	1,511	1,707		1,696	1,878
Change in WC (CF)	117	31		197	177

YTD 2021

NP Margin

		GAAP			Adjusted Non-GAAP
	YTD 2021	YTD 2020	% Chg.	YTD 2021	YTD 2020	% Chg.
Sales	6,074	5,873	3.4%	8,752	8,350	4.8%
Gross Profit	2,422	2,388	1.4%	3,230	3,228	0.0%
GP Margin	9% 39	7% 40		9% 36	7% 38
Operating Profit	921	887	3.9%	980	924	6.0%
EBIT Margin	15 2%	15 1%		11 2%	11 1%

Net Profit (to SH) 609 533 14.4% 639 551 16.1%

Operating Cash Flow 854 610 991 844

Capex (1) (268) (239) (343) (317)

Net debt 1,511 1,707 1,696 1,878

Change in WC (CF) 112 6 19 (7)

9.1%

10.0%

YTD GAAP and Non-GAAP Financial Highlights, NIS mm

7.3% 6.6%

YTD 2021 Consolidated Sales NIS mm Non-GAAP

YTD 2021 Sales by Segment

NIS mm; Non-GAAP; % sales contribution

YTD Sales Bridge NIS mm; Non-GAAP; YTD 2020 to YTD 2021

Gross Profit

YTD 2021 Gross Profit and Gross Margins

Note: excluding Kitchen Hub capital gains EBIT was down 1.8% to 909 million NIS

YTD EBIT Bridge NIS mm; Non-GAAP; YTD 2020 to YTD 2021

YTD 2021 EBIT and EBIT Margins NIS mm; Non-GAAP; % Margin

YTD 2020

'21/'20

Organic

growth

excl. FX

EBIT &

EBIT %

NIS

EBITDA

excl. FX ⁼

* Note change in EBITDA due to new IFRS16 rules as of 2019

(1)Water EBIT includes net profits from HSW; 2020 water EBIT includes Chinese government subsidy of NIS 11m

YTD 2020

EBITDA &

Três Corações Alimentos S.A. (Três Corações J.V.)

YTD Snapshot | BRL mm for 100% ownership and including inter-company sales

Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st , 2021.

38 (*) EBIT before Other Expenses/ Income.

Sabra YTD Snapshot NIS mm; Non-GAAP; for 100% share

-

10

20

8.6%

YTD18 YTD19 YTD20 YTD21

11.5%

9.8%

21

5.8%

0.0% 2.0% 4.0% 6.0% 8.0%

Net Income

41

Growth excl. FX ⁼

YTD Net Profit (attributed to the Company's shareholders) Bridge

NIS mm; Non-GAAP; YTD 2020 to YTD 2021

2020 foodTech equity interest 2021

Currencies

Change in average exchange rate (1 local currency = x NIS)

Strauss Israel Non-GAAP Financial Highlights Q4 and YTD 2021 NIS mm

Strauss Israel (Non GAAP)
	YTD 2021	YTD 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Revenue:
H&W	2,688	2,537	6.0%	680	626	8.7%
F&I	1,149	1,144	0.4%	290	268	8.1%
Total Revenue	3,837	3,681	4.2%	970	894	8.5%
Total Gross Profit	1,513	1,476	2.5%	381	364	4.6%
Gross Margins	4% 39	1% 40	(0 7%)	2% 39	7% 40	(1 5%)
EBIT:
H&W	341	307	11.0%	80	72	12.4%
Margins	12 7%	12 1%	0 6%	11 8%	11 4%	0 4%
F&I	110	111	(0.6%)	21	18	14.5%
Margins	9 6%	9 7%	(0 1%)	7 2%	6 8%	0 4%
Total EBIT	451	418	7.9%	101	90	12.8%
Margins	7% 11	3% 11	0 4%	10 4%	10 0%	0 4%
EBITDA:
H&W	437	403	8.5%	109	99	10.2%
Margins	2% 16	9% 15	3% 0	0% 16	7% 15	3% 0
F&I	174	171	1.9%	36	32	13.8%
Margins	15 2%	15 0%	0 2%	12 7%	12 0%	0 7%
Total EBITDA	611	574	6.5%	145	131	11.1%
Margins	15 9%	15 6%	0 3%	15 0%	14 6%	0 4%

YTD 2021 Strauss Israel Sales

NIS mm; Non-GAAP

YTD 2021 Strauss Israel EBIT & EBIT Margins

NIS mm; Non-GAAP

Target Milk Prices| 2012-2022 (ILS per Liter)

London Sugar Historical & Futures Prices 2015-2022 (\$\T)

London Cocoa Historical & Futures Prices 2015-2022 (GBP\T)

Strauss Coffee Non-GAAP Financial Highlights Q4 and YTD 2021 NIS mm

	YTD 2021	Strauss Coffee (Non GAAP) YTD 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Revenue:
Israel	728	712	2.3%	183	169	8.7%
International	2,771	2,567	7.9%	764	665	14.8%
Total Revenue	3,499	3,279	6.7%	947	834	13.6%
Total Gross Profit	1,093	1,108	(1.4%)	272	264	3.2%
Gross Margins	31 2%	33 8%	(2 6%)	28 7%	31 6%	(2 9%)
EBIT:
Israel	155	158	(2.1%)	35	32	8.0%
Margins	21 3%	22 3%	(1 0%)	19 3%	19 4%	(0 1%)
International	197	196	0.4%	45	39	13.3%
Margins	1% 7	6% 7	(0 5%)	7% 5	8% 5	(0 1%)
Total EBIT	352	354	(0.7%)	80	71	11.3%
Margins	10 1%	10 8%	(0 7%)	8 4%	8 6%	(0 2%)
EBITDA:
Israel	183	197	(7.0%)	43	43	0.0%
Margins	25 1%	27 6%	(2 5%)	23 3%	25 3%	(2 0%)
International	270	269	0.4%	61	56	8.7%
Margins	8% 9	5% 10	(0 7%)	1% 8	5% 8	(0 4%)
Total EBITDA	453	466	(2.7%)	104	9 9	5.0%
Margins	13 0%	14 2%	(1 2%)	11 0%	11 9%	(0 9%)

Note: (1) Três Corações joint venture (Brazil): a company jointly held by the Group (50%) and by the São Miguel Group (50%) (3C).

49 Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st, 2021.

Strauss Coffee Non-GAAP Sales by Geography Q4 and YTD 2021 NIS mm

Strauss Coffee Sales
		% Change					% Change
	YTD 2021	YTD 2020	NIS	Organic change in local Currency	Q4 2021	Q4 2020	NIS	Organic change in local Currency
Israel	728	712	2.3%	2.3%	183	169	8.7%	8.7%
International:
Três Corações Joint Venture (Brazil) (1)	1,698	1,469	15.6%	23.2%	471	385	22.2%	33.9%
CIS	525	536	(2.1%)	5.9%	145	128	13.0%	13.9%
Poland	256	276	(7.1%)	(1.7%)	68	69	(0.2%)	13.2%
Romania	169	165	2.7%	7.9%	44	45	(2.1%)	9.9%
Serbia	123	121	1.6%	5.2%	36	38	(5.8%)	3.8%
Total International	2,771	2,567	7.9%	15.1%	764	665	14.8%	24.4%
Total Coffee	3,499	3,279	6.7%	12.2%	947	834	13.6%	21.1%

Note: (1) Três Corações joint venture (Brazil): a company jointly held by the Group (50%) and by the São Miguel Group (50%) (3C).

Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st, 2021.

YTD 2021 Strauss Coffee Sales

NIS mm; Non-GAAP

81 86 71 80 7.9% 9.1% 8.6% 8.4% 5.0% 7.0% 9.0% 11.0% 13.0% 15.0% 17.0% 19.0% - 10 20 30 40 50 60 70 80 90 100 Q4'18 Q4'19 Q4'20 Q4'21 +11.3% - Q4 2021 Strauss Coffee EBIT & EBIT Margins NIS mm; Non-GAAP Organic Excl. FX +16.1%

YTD 2021 Strauss Coffee EBIT & EBIT Margins

Robusta Historical & Futures Prices 2015-2022 (\$\T)

Data as of 28.2.2022

Arabica Historical & Futures Prices 2015-2022 (Cent\Lb)

International Dips & Spreads

Strauss D&S Non-GAAP Financial Highlights | YTD and Q4 2021 NIS mm; 50% share

Dips & Spreads (Non GAAP)
	YTD 2021	YTD 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Revenue:
Sabra (50%)	595	641	(7.2%)	135	140	(4.2%)
Obela (50%)	85	81	4.9%	22	21	6.5%
Total Revenue	680	722	(5.8%)	157	161	(2.8%)
EBIT:
Sabra (50%)	35	63	(45.0%)	(7)	4	(266.7%)
Margins	5 8%	9 8%	(4 0%)	(5 1%)	2 9%	(8 0%)
Obela (50%)	(6)	(7)	NM	(1)	(2)	NM
Margins	NM	NM	NM	NM	NM	NM
Total EBIT	2 9	56	(47.2%)	(8)	2	NM
Margins	3% 4	7% 7	(3 4%)	(4 6%)	3% 1	(5 9%)
EBITDA:
Total EBITDA	55	83	(32.9%)	(1)	9	(109.6%)
Margins	8 2%	11 4%	(3 2%)	(0 5%)	4% 5	(5 9%)

Humera Sesame Prices 2015-2022 (USD/Metric Ton)

Q4 2021 Strauss Water Non-GAAP Sales

Haier Strauss Water Q4 Snapshot ¥mm; Non-GAAP; for 100% share

Note: (1) Haier Strauss Water (HSW) is a company jointly held by Haier (51%) and Strauss Group (49%)

Haier Strauss Water YTD Snapshot ¥mm; Non-GAAP; for 100% share

Note: (1) Haier Strauss Water (HSW) is a company jointly held by Haier (51%) and Strauss Group (49%)

(2) Q2 2020 net income includes Chinese government subsidy of ¥ 44.5m

Thank You

For further details please contact:

Daniella Finn | Investor Relations Phone: + 972-3-675-2545 Daniella.finn@Strauss-Group.com

www.strauss-group.com

Strauss Group Financial Results

Q4 and YTD 2021 Earnings Presentation | March 22nd , 2022

Disclaimer

GAAP to Non-GAAP Reconciliations

This presentation does not constitute an offering to purchase or sell securities of Strauss Group Ltd. (the "Company") or an offer for the receipt of such offerings. The presentation's sole purpose is to provide information. The information contained in the presentation and any other information provided during the presentation (the "Information") does not constitute a basis for investment decisions and does not comprise a recommendation, an opinion or a substitute for the investor's sole discretion. The Information provided in the presentation concerning the analysis of the Company's activity is only an extract, and in order to receive a complete picture of the Company's activity and the risks it faces, one should review the Company's reports to the Israel Securities Authority and the Tel Aviv Stock Exchange. The Company is not liable, and will not be held liable, for any damage and/or loss that may be caused as a result of use of the Information.

The presentation may contain forward-looking statements as defined in the Israeli Securities Law, 5728-1968. All forward-looking statements in this presentation are made based on the Company's current expectations, evaluations and forecasts, and actual results may differ materially from those anticipated, in whole or in part, as a result of different factors including, but not limited to, changes in market conditions and in the competitive and business environment, regulatory changes, currency fluctuations or the occurrence of one or more of the Company's risk factors. In addition, forward-looking forecasts and evaluations are based on information in the Company's possession while preparing the presentation. The Company does not undertake any obligation to update forward-looking forecasts and evaluations made herein to reflect events and/or circumstances that may occur after this presentation was prepared.

In addition to reporting financial results in accordance with generally accepted accounting principles (GAAP), the Company provides non-GAAP operating results which include the results of jointly controlled entities as if they were proportionately consolidated. Strauss Group has a number of jointly controlled companies: the Três Corações joint venture (3C) - Brazil (a company jointly held by Strauss Group (50%) and by the São Miguel Group (50%) in Brazil), Sabra Dipping Company (a 50%/50% JV with PepsiCo in the U.S. and Canada), Strauss Frito-Lay Ltd. (a 50%/50% JV with PepsiCo Frito-Lay in Israel) and PepsiCo Strauss Fresh Dips & Spreads International (a 50%/50% JV with PepsiCo outside the U.S. and Canada).

In addition, non-GAAP figures exclude any share-based payments, mark to market of commodity hedging transactions as at end-of-period, other expenses or income and taxes referring to these adjustments.

Company Management believes that these measures provide investors with transparency by helping to illustrate the underlying financial and business trends relating to the Company's results of operations and financial position and comparability between current and prior periods. Management uses these measures to establish and monitor budgets and operational goals and to evaluate the performance of the Company. Please see the GAAP to non-GAAP reconciliation tables in the Company's MD&A Report for a full reconciliation of the Company's GAAP to non-GAAP results.

Giora Bardea

Group CEO

Strauss Israel

• Stellar growth of 8.5% during the quarter despite a decline of 5.5% for the F&B market in Israel and a tough comparison with Q4 2020
• Market share up 0.5% to 12.4% YTD(1)
• Gross margin continues to erode as raw materials, particularly raw milk, and other costs continue to rise sharply
• Strong EBIT growth of 12.8% in Q4; margins slightly improve on higher quantities sold and Opex mitigation
• Strong sales in confectionary in Q4 and in dairy both in Q4 &YTD
• AFH and OTG channels continue to improve
• Headwinds of the 5 th wave of Covid during the quarter resulted in large amount of covid cases and quarantine across the business that affected day-to-day operations

• Sales growthwas led by Brazil(1) , up 33.1% in local currency mostly due to price increase
• Brazil (2) EBITwas up 33.9% in local currency to reach 96mm BRL (in 100% terms) during the quarter
• AFH segment continued to improve offset by increased Covid cases due to the Omicron variant across all geographies
• Gross margins continue to erode in Q4 by 290bps on elevated green coffee prices
• Strong sales growth in most European countries in LC
• EBIT increases in Q4 on higher sales offset by lower gross margins
• The Russian invasion into the Ukraine has led to currency devaluations, the secession of activity in the Ukraine as well as supply chain and other headwinds in Russia which could all have a negative impact on the company
• Strauss Coffee won the tenderforthe Israel Trains as ofJanuary 2022

Q4

5

International Dips & Spreads

• Sabra sales were up 1.2% in Q4 in local currency despite continued challenges in supply chain and plant shutdown
• The International Dips & Spreads business in LC grewby 3.0% in Q4
• EBIT decline on soft topline and operational challenges due to plant shutdown, higher manufacturing, RM & freight expenses
• Hummus category declined during 2021 by 0.7% and Sabra's market share is down 40 bps to 61.6%
• Sabra's board approved one-time expenses to adjust the production site as per the FDA letterfrom December 2021
• These costswill result in an operational loss of \$8-13 million during Q1 2022 for Sabra

Strauss Water

• Stellar sales growth up double digit 10.2% for 2021 and 3.7% forthe quarter
• YTD operating profit is up 14.2% (excl. LY one time Chinses government subsidy to HSW)
• Strong sales momentum supported by sale of newly launched Edge Water Barin Israel
• Install base continues to increase across Israel and the UK, reaching 792k in Israel
• Haier Strauss Water(HSW), annual sales growth of 15.3% in local currency to reach ¥ 1,335mm
• Production in the newsite in China continues to expand

7

Growth and Innovation

• Overall equity capital gains in 2021 is NIS 71mm
• Fair value of NIS 375mm as of December 31st 2021
• Largest capital gain of NIS 58mm at the Kitchen from Aleph Farms successful raising of USD 105mm
• The Kitchen Hub currently has 22 companies underits auspices
• Upland launch in the US continues
• During February The Kitchen FoodTech Hub's won the Innovation Authority's tender for tech incubators for the second time

Ariel Chetrit

Group CFO

Financial Highlights Organic Excluding FX Non GAAP

Q4 2021	YTD 2021
Q4'21 Organic Sales growth: 12.6%	YTD Sales organic growth : 7.4%
Q4'21 Organic Gross Profit growth: 3.8%	YTD Organic gross profit growth: 2.1%
Q4'21 Organic EBIT growth: 0.1%	YTD EBIT organic growth: 7.9%; Growth excluding chinese subsidy in Q2 2020: 9.2%
Q4'21 Organic Net Income growth: 23.6%	YTD Net income organic growth: 17.1% Growth excluding chinese subsidy in Q2 2020: 19.4%

Financial Highlights Reported Non GAAP

Q4'21 Sales: NIS 2,262mm; growth: 9.3%

Q4'21 gross margins: 35.1% (down 270 bps vs. Q4'20)

EBIT and EBIT margins: NIS 179mm (down 2.2%); 7.9% (down 90 bps vs. Q4'20)

Net income and net margins: NIS 103mm (up 19.9%); 4.6% (up 40 bps vs. Q4'20)

Q4 2021 YTD 2021

YTD 2021 Sales: NIS 8,752mm; growth: 4.8%

YTD 2021 Gross margins: 36.9% (down 180 bps vs. YTD 2020)

EBIT and EBIT margins: NIS 980mm (up 6%); 11.2% (up 10 bps vs. YTD 2020)

Net income and net margins: NIS 639mm (up 16.1%); 7.3% (up 70 bps vs. YTD 2020)

The group declared a dividend of NIS 290mm (NIS 2.5 per share) to be paid on April 13th

Q4 2021

Q4 2021 Consolidated Sales NIS mm Non-GAAP

Organic Sales Growth excl. FX ⁼

Q4 2021 Sales by Segment

NIS mm; Non-GAAP; % sales contribution

excl. FX

Q4 Sales Bridge NIS mm; Non-GAAP; Q4'20 to Q4' ²¹

%

Channel Quarterly Sales Development

Sales in the retail channel and Away From Home (1) continue to grow faster than Q3 21; AFH positively affected by the opening across geographies

15

(1) Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Reclassification on Other channel that affected both Retail & AFH

Gross Profit

Spreads

Q4 Consolidated Gross Profit and Gross Margins

Organic Gross Profit Growth excl. FX ⁼

Q4 2021 Gross Profit and Gross Margins

Note: excluding Kitchen Hub expenses EBIT was up 2.2% to 183 million NIS

Q4 EBIT Bridge NIS mm; Non-GAAP; Q4'20 to Q4'²¹

Q4 2021 EBIT and EBIT Margins NIS mm; Non-GAAP; % Margin

HQ w.o FoodTech

Overall Group Strauss Coffee Strauss Israel Dips & Spreads Water FoodTech Equity HQ w.o FoodTech

Other

Other

EBITDA

* Note change in EBITDA due to new IFRS16 rules as of 2019

Q

4'20

EBITDA and

Três Corações Alimentos S.A. (Três Corações J.V.)

Q4 Snapshot | BRL mm for 100% ownership and including inter-company sales

Note: Três Corações joint venture (Brazil): a company jointly held by the Group (50%) and by the São Miguel Group (50%) (3C).

Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st , 2021.

Sales322 325 280 269 200 250 300 350 -4.2%

Sabra Q4 Snapshot NIS mm; Non-GAAP; for 100% share

Organic excl. FX +1.2%

23 Note: Sabra Dipping Company ("Sabra") is a company jointly held by PepsiCo (50%) and Strauss Group (50%) .

150

Despite supply

Net Income

Q4 Net Profit (attributed to the Company's shareholders), Net Margins and EPS

NIS mm; Non-GAAP

Growth excl. FX ⁼

Q4 Net Profit (attributed to the Company's shareholders) Bridge

NIS mm; Non-GAAP; Q4'20 to Q4'21

Net Debt and Net Debt / EBITDA (LTM)

Non-GAAP EBITDA, net debt includes partnerships; NIS mm

Q4 GAAP and Non-GAAP Financial Highlights, NIS mm

		Adjusted Non-GAAP
	Q4 2021	Q4 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Sales	1,561	1,454	7.4%	2,262	2,070	9.3%
Gross Profit	594	591	0.4%	795	783	1.6%
GP Margin	0% 38	7% 40		1% 35	8% 37
Operating Profit	162	181	(10.2%)	179	183	(2.2%)
EBIT Margin	10 4%	12 4%		7 9%	8 8%
Net Profit (to SH)	87	83	4.6%	103	87	19.9%
NP Margin	6% 5	7% 5		6% 4	2% 4
Operating Cash Flow	255	78		379	264
Capex (1)	(110)	(83)		(132)	(105)
Net debt	1,511	1,707		1,696	1,878
Change in WC (CF)	117	31		197	177

YTD 2021

NP Margin

		GAAP			Adjusted Non-GAAP
	YTD 2021	YTD 2020	% Chg.	YTD 2021	YTD 2020	% Chg.
Sales	6,074	5,873	3.4%	8,752	8,350	4.8%
Gross Profit	2,422	2,388	1.4%	3,230	3,228	0.0%
GP Margin	9% 39	7% 40		9% 36	7% 38
Operating Profit	921	887	3.9%	980	924	6.0%
EBIT Margin	15 2%	15 1%		11 2%	11 1%

Net Profit (to SH) 609 533 14.4% 639 551 16.1%

Operating Cash Flow 854 610 991 844

Capex (1) (268) (239) (343) (317)

Net debt 1,511 1,707 1,696 1,878

Change in WC (CF) 112 6 19 (7)

9.1%

10.0%

YTD GAAP and Non-GAAP Financial Highlights, NIS mm

7.3% 6.6%

YTD 2021 Consolidated Sales NIS mm Non-GAAP

YTD 2021 Sales by Segment

NIS mm; Non-GAAP; % sales contribution

YTD Sales Bridge NIS mm; Non-GAAP; YTD 2020 to YTD 2021

Gross Profit

YTD 2021 Gross Profit and Gross Margins

Note: excluding Kitchen Hub capital gains EBIT was down 1.8% to 909 million NIS

YTD EBIT Bridge NIS mm; Non-GAAP; YTD 2020 to YTD 2021

YTD 2021 EBIT and EBIT Margins NIS mm; Non-GAAP; % Margin

YTD 2020

'21/'20

Organic

growth

excl. FX

EBIT &

EBIT %

NIS

EBITDA

excl. FX ⁼

* Note change in EBITDA due to new IFRS16 rules as of 2019

(1)Water EBIT includes net profits from HSW; 2020 water EBIT includes Chinese government subsidy of NIS 11m

YTD 2020

EBITDA &

Três Corações Alimentos S.A. (Três Corações J.V.)

YTD Snapshot | BRL mm for 100% ownership and including inter-company sales

Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st , 2021.

38 (*) EBIT before Other Expenses/ Income.

Sabra YTD Snapshot NIS mm; Non-GAAP; for 100% share

-

10

20

8.6%

YTD18 YTD19 YTD20 YTD21

11.5%

9.8%

21

5.8%

0.0% 2.0% 4.0% 6.0% 8.0%

Net Income

41

Growth excl. FX ⁼

YTD Net Profit (attributed to the Company's shareholders) Bridge

NIS mm; Non-GAAP; YTD 2020 to YTD 2021

2020 foodTech equity interest 2021

Currencies

Change in average exchange rate (1 local currency = x NIS)

Strauss Israel Non-GAAP Financial Highlights Q4 and YTD 2021 NIS mm

Strauss Israel (Non GAAP)
	YTD 2021	YTD 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Revenue:
H&W	2,688	2,537	6.0%	680	626	8.7%
F&I	1,149	1,144	0.4%	290	268	8.1%
Total Revenue	3,837	3,681	4.2%	970	894	8.5%
Total Gross Profit	1,513	1,476	2.5%	381	364	4.6%
Gross Margins	4% 39	1% 40	(0 7%)	2% 39	7% 40	(1 5%)
EBIT:
H&W	341	307	11.0%	80	72	12.4%
Margins	12 7%	12 1%	0 6%	11 8%	11 4%	0 4%
F&I	110	111	(0.6%)	21	18	14.5%
Margins	9 6%	9 7%	(0 1%)	7 2%	6 8%	0 4%
Total EBIT	451	418	7.9%	101	90	12.8%
Margins	7% 11	3% 11	0 4%	10 4%	10 0%	0 4%
EBITDA:
H&W	437	403	8.5%	109	99	10.2%
Margins	2% 16	9% 15	3% 0	0% 16	7% 15	3% 0
F&I	174	171	1.9%	36	32	13.8%
Margins	15 2%	15 0%	0 2%	12 7%	12 0%	0 7%
Total EBITDA	611	574	6.5%	145	131	11.1%
Margins	15 9%	15 6%	0 3%	15 0%	14 6%	0 4%

YTD 2021 Strauss Israel Sales

NIS mm; Non-GAAP

YTD 2021 Strauss Israel EBIT & EBIT Margins

NIS mm; Non-GAAP

Target Milk Prices| 2012-2022 (ILS per Liter)

London Sugar Historical & Futures Prices 2015-2022 (\$\T)

London Cocoa Historical & Futures Prices 2015-2022 (GBP\T)

Strauss Coffee Non-GAAP Financial Highlights Q4 and YTD 2021 NIS mm

		Strauss Coffee (Non GAAP)
	YTD 2021	YTD 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Revenue:
Israel	728	712	2.3%	183	169	8.7%
International	2,771	2,567	7.9%	764	665	14.8%
Total Revenue	3,499	3,279	6.7%	947	834	13.6%
Total Gross Profit	1,093	1,108	(1.4%)	272	264	3.2%
Gross Margins	31 2%	33 8%	(2 6%)	28 7%	31 6%	(2 9%)
EBIT:
Israel	155	158	(2.1%)	35	32	8.0%
Margins	21 3%	22 3%	(1 0%)	19 3%	19 4%	(0 1%)
International	197	196	0.4%	45	39	13.3%
Margins	1% 7	6% 7	(0 5%)	7% 5	8% 5	(0 1%)
Total EBIT	352	354	(0.7%)	80	71	11.3%
Margins	10 1%	10 8%	(0 7%)	8 4%	8 6%	(0 2%)
EBITDA:
Israel	183	197	(7.0%)	43	43	0.0%
Margins	25 1%	27 6%	(2 5%)	23 3%	25 3%	(2 0%)
International	270	269	0.4%	61	56	8.7%
Margins	8% 9	5% 10	(0 7%)	1% 8	5% 8	(0 4%)
Total EBITDA	453	466	(2.7%)	104	9 9	5.0%
Margins	13 0%	14 2%	(1 2%)	11 0%	11 9%	(0 9%)

Note: (1) Três Corações joint venture (Brazil): a company jointly held by the Group (50%) and by the São Miguel Group (50%) (3C).

49 Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st, 2021.

Strauss Coffee Non-GAAP Sales by Geography Q4 and YTD 2021 NIS mm

Strauss Coffee Sales
			% Change				% Change
	YTD 2021	YTD 2020	NIS	Organic change in local Currency	Q4 2021	Q4 2020	NIS	Organic change in local Currency
Israel	728	712	2.3%	2.3%	183	169	8.7%	8.7%
International:
Três Corações Joint Venture (Brazil) (1)	1,698	1,469	15.6%	23.2%	471	385	22.2%	33.9%
CIS	525	536	(2.1%)	5.9%	145	128	13.0%	13.9%
Poland	256	276	(7.1%)	(1.7%)	68	69	(0.2%)	13.2%
Romania	169	165	2.7%	7.9%	44	45	(2.1%)	9.9%
Serbia	123	121	1.6%	5.2%	36	38	(5.8%)	3.8%
Total International	2,771	2,567	7.9%	15.1%	764	665	14.8%	24.4%
Total Coffee	3,499	3,279	6.7%	12.2%	947	834	13.6%	21.1%

Note: (1) Três Corações joint venture (Brazil): a company jointly held by the Group (50%) and by the São Miguel Group (50%) (3C).

Source: Três Corações Alimentos S.A. Consolidated Interim Financial Statements as of December 31st, 2021.

YTD 2021 Strauss Coffee Sales

NIS mm; Non-GAAP

81 86 71 80 7.9% 9.1% 8.6% 8.4% 5.0% 7.0% 9.0% 11.0% 13.0% 15.0% 17.0% 19.0% - 10 20 30 40 50 60 70 80 90 100 Q4'18 Q4'19 Q4'20 Q4'21 +11.3% - Q4 2021 Strauss Coffee EBIT & EBIT Margins NIS mm; Non-GAAP Organic Excl. FX +16.1%

YTD 2021 Strauss Coffee EBIT & EBIT Margins

Robusta Historical & Futures Prices 2015-2022 (\$\T)

Data as of 28.2.2022

Arabica Historical & Futures Prices 2015-2022 (Cent\Lb)

International Dips & Spreads

Strauss D&S Non-GAAP Financial Highlights | YTD and Q4 2021 NIS mm; 50% share

Dips & Spreads (Non GAAP)
	YTD 2021	YTD 2020	% Chg.	Q4 2021	Q4 2020	% Chg.
Revenue:
Sabra (50%)	595	641	(7.2%)	135	140	(4.2%)
Obela (50%)	85	81	4.9%	22	21	6.5%
Total Revenue	680	722	(5.8%)	157	161	(2.8%)
EBIT:
Sabra (50%)	35	63	(45.0%)	(7)	4	(266.7%)
Margins	5 8%	9 8%	(4 0%)	(5 1%)	2 9%	(8 0%)
Obela (50%)	(6)	(7)	NM	(1)	(2)	NM
Margins	NM	NM	NM	NM	NM	NM
Total EBIT	2 9	56	(47.2%)	(8)	2	NM
Margins	3% 4	7% 7	(3 4%)	(4 6%)	3% 1	(5 9%)
EBITDA:
Total EBITDA	55	83	(32.9%)	(1)	9	(109.6%)
Margins	8 2%	11 4%	(3 2%)	(0 5%)	4% 5	(5 9%)

Humera Sesame Prices 2015-2022 (USD/Metric Ton)

Q4 2021 Strauss Water Non-GAAP Sales

Haier Strauss Water Q4 Snapshot ¥mm; Non-GAAP; for 100% share

Note: (1) Haier Strauss Water (HSW) is a company jointly held by Haier (51%) and Strauss Group (49%)

Haier Strauss Water YTD Snapshot ¥mm; Non-GAAP; for 100% share

Note: (1) Haier Strauss Water (HSW) is a company jointly held by Haier (51%) and Strauss Group (49%)

(2) Q2 2020 net income includes Chinese government subsidy of ¥ 44.5m

Thank You

For further details please contact:

Daniella Finn | Investor Relations Phone: + 972-3-675-2545 Daniella.finn@Strauss-Group.com

www.strauss-group.com