engineering. tomorrow.

together. Interim report 9 months 2016/2017 October 1, 2016 – June 30, 2017 thyssenkrupp AG

thyssenkrupp in figures

GROUP TOTAL

		9 months ended June 30, 2016	9 months ended June 30, 2017	Change	in %	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	Change	in %
Order intake	million €	28,236	32,673	4,437	16	9,399	10,725	1,327	14
Net sales	million €	29,265	32,013	2,748	9	9,865	10,929	1,064	11
EBIT 1'n	million €	846	205	ň640'n	ň76'n	372	529	158	42
EBIT margin	%	2.9	0.6	ň2.2'n	ň78'n	3.8	4.8	1.1	29
Adjusted EBIT 1'n	million €	1,001	1,376	375	37	441	620	179	41
Adjusted EBIT margin	%	3.4	4.3	0.9	26	4.5	5.7	1.2	27
EBT	million €	445	'n287Ŋ	ň732'n	--	261	293	32	12
Net income/ňloss'n	million €	115	'n721Ŋ	ň836'n	--	124	134	10	8
attributable to thyssenkrupp AG's shareholders	million €	168	'n751Ŋ	ň919'n	--	130	120	ň10'n	ň8'n
Earnings per shareňEPS'n	€	0.30	'n1.33Ŋ	ň1.62'n	--	0.23	0.21	ň0.02'n	ň8'n
Operating cash flows	million €	ň158'n	'n1,338Ŋ	ň1,180'n	--	545	1	ň543'n	ň100'n
Cash flow for investments	million €	ň890'n	'n1,182Ŋ	ň292'n	ň33'n	ň343'n	'n456Ŋ	ň112'n	ň33'n
Cash flow from divestments	million €	35	68	33	96	3	9	6	172
Free cash flow	million €	ň1,014'n	'n2,452Ŋ	ň1,439'n	--	205	'n445Ŋ	ň650'n	--
Free cash flow before M&A	million €	ň1,007'n	'n2,326Ŋ	ň1,318'n	--	205	'n377Ŋ	ň582'n	--
Net financial debtňJune 30'n	million €	4,770	6,311	1,540	32	4,770	6,311	1,540	32
Total equityňJune 30'n	million €	2,723	2,242	ň482'n	ň18'n	2,723	2,242	ň482'n	ň18'n
GearingňJune 30'n	%	175.2	281.5	106.3	61	175.2	281.5	106.3	61
EmployeesňJune 30'n		155,248	161,781	6,533	4	155,248	161,781	6,533	4

¹^{&# of the Brazilian competition authority CADE is not yet final. The transaction meets the criteria of IFRS 5 for reporting the Steel Americas business area as a discontinued operation.}

thyssenkrupp interim report 9 months 2016 / 2017 thyssenkrupp in figures

BUSINESS AREAS

| | Order intake
x27;n See reconciliation in segment reportingňNote 07'n.

thyssenkrupp interim report 9 months 2016/2017 thyssenkrupp in figures

CONTINUING OPERATIONS

		9 months ended	9 months ended June 30, 2016 June 30, 2017	Change	in $%$	3rd quarter ended	3rd quarter ended June 30, 2016 June 30, 2017	Change	in $%$
Order intake	million $\epsilon$	27,372	31,456	4,085	15	9,090	10,213	1,123	12
Net sales	million $\epsilon$	28,430	30,772	2,342	8	9,603	10,437	834	9
EBITr Technology	5,691	6,038	5,526	5,703	569	584	614	662	51,467
Industrial Solutions	2,715	4,149	4,343	4,002	283	48	287	70	19,530
Materials Services	8,891	10,244	8,914	10,185	36	189	66	245	19,623
Steel Europe	6,294	6,692	5,664	6,616	198	347	207	352	27,201
Corporate	173	190	179	195	ň385'n	'n388Ŋ	ň347'n	'n370Ŋ	3,409
Consolidation	ň1,485'n	'n1,594Ŋ	ň1,317'n	'n1,577Ŋ	18	'n10Ŋ	18	'n10Ŋ
Continuing operations	27,372	31,456	28,430	30,772	936	985	1,100	1,222	151,511
Steel Americas	1,040	1,477	1,011	1,483	ň91'n	'n781Ŋ	ň100'n	152	3,737
Consolidation	ň176'n	'n261Ŋ	ň176'n	'n241Ŋ	0	2	0	2	0
Group Total	28,236	32,673	million $\epsilon$	936	985	49	5	318	484
EBIT margin	$\frac{0}{0}$	3.3	3.2	(0.1)	(3)	3.3	4.6	1.3	40
Adjusted EBITes	8,891	10,244	8,914	10,185	36	189	66	245	19,623
Steel Europe	6,294	6,692	5,664	6,616	198	347	207	352	27,201
Corporate	173	190	179	195	ň385'n	'n388Ŋ	ň347'n	'n370Ŋ	3,409
Consolidation	ň1,485'n	'n1,594Ŋ	ň1,317'n	'n1,577Ŋ	18	'n10Ŋ	18	'n10Ŋ
Continuing operations	27,372	31,456	28,430	30,772	936	985	1,100	1,222	151,511
Steel Americas	1,040	1,477	1,011	1,483	ň91'n	'n781Ŋ	ň100'n	152	3,737
Consolidation	ň176'n	'n261Ŋ	ň176'n	'n241Ŋ	0	2	0	2	0
Group Total	28,236	32,673	million $\epsilon$	1,100	1,222	122	11	401	519
Adjusted EBIT margin	$\frac{0}{0}$	3.9	4.0	0.1	3	4.2	5.0	0.8	19
EBT	million $\epsilon$	550	679	129	23	212	396	184	86
Income/(loss) (net of tax)	million $\epsilon$	251	326	75	30	89	268	179	203
attributable to thyssenkrupp AG's shareholders	million $\epsilon$	223	296	73	33	82	254	172	210
Earnings per share (EPS)	€	0.39	0.52	0.13	33	0.14	0.45	0.30	211
Operating cash flows	million $\epsilon$	(68)	(1,256)	(1, 188)	$\overline{\phantom{a}}$	526	24	(502)	(95)
Cash flow for investments	million $\epsilon$	(814)	(1,067)	(253)	(31)	(323)	(432)	(110)	(34)
Cash flow from divestments	million $\epsilon$	33	62	29	86	3	8	5	176
Free cash flow 1)	million $\epsilon$	(849)	(2,261)	(1, 412)	$\overline{\phantom{a}}$	206	(400)	(606)
Free cash flow before M&A 1)	million $\epsilon$	(843)	(2, 190)	(1, 347)		206	(332)	(538)
Employees (June 30)		151,511	157,634	6,123	4	151,511	157,634	6,123	4

^{1)nents Technology | 1,775 | 2,000 | 1,783 | 1,970 | 72 | 93 | 100 | 99 |

| Elevator Technology | 1,867 | 2,024 | 1,906 | 1,954 | 205 | 232 | 225 | 240 |

| Industrial Solutions | 541 | 1,031 | 1,228 | 1,241 | 41 | 15 | 43 | 6 |

| Materials Services | 3,123 | 3,430 | 3,087 | 3,504 | 35 | 57 | 52 | 73 |

| Steel Europe | 2,265 | 2,171 | 2,015 | 2,337 | 92 | 231 | 91 | 232 |

| Steel Americas | 0 | 0 | 0 | 0 | ň1'n | 'n1Ŋ | ň1'n | 'n1Ŋ |

| Corporate | 80 | 97 | 64 | 69 | ň130'n | 'n145Ŋ | ň113'n | 'n131Ŋ |

| Consolidation | ň562'n | 'n539Ŋ | ň481'n | 'n639Ŋ | 4 | 1 | 4 | 1 |

| Continuing operations | 9,090 | 10,213 | 9,603 | 10,437 | 318 | 484 | 401 | 519 |

| Steel Americas | 383 | 605 | 336 | 566 | 53 | 44 | 39 | 100 |

| Consolidation | ň74'n | 'n92Ŋ | ň74'n | 'n73Ŋ | 1 | 1 | 1 | 1 |

| Group Total | 9,399 | 10,725 | 9,865 | 10,929 | 372 | 529 | 441 | 620 |}

^{See reconciliation in the analysis of the statement of cash flows.}

In the context of the Strategic Way Forward, thyssenkrupp reached agreement with Ternium on the sale of the Brazilian steel mill CSA and the signing took place in February 2017. The transfer is to take retroactive effect from September 30, 2016. The competent competition authorities have in the meantime given their approval. The approval of the Brazilian competition authority CADE is not yet final. The transaction meets the criteria of IFRS 5 for reporting the Steel Americas business area as a discontinued operation.

thyssenkrupp interim report 9 months 2016 / 2017 thyssenkrupp in figures

BUSINESS AREAS

	Order intake million €		Net sales million €		EBIT 1Ŋ million €		Adjusted EBIT 1Ŋ million €		Employees
	9 months ended June 30, 2016	9 months ended June 30, 2017	9 months ended June 30, 2016	9 months ended June 30, 2017	9 months ended June 30, 2016	9 months ended June 30, 2017	9 months ended June 30, 2016	9 months ended	June 30, 2017 June 30, 2016 June 30, 2017
Components Technology	5,093	5,738	5,122	5,648	218	216	256	274	30,281	32,469
Elevator Technology	5,691	6,038	5,526	5,703	569	584	614	662	51,467	52,460
Industrial Solutions	2,715	4,149	4,343	4,002	283	48	287	70	19,530	21,678
Materials Services	8,891	10,244	8,914	10,185	36	189	66	245	19,623	19,862
Steel Europe	6,294	6,692	5,664	6,616	198	347	207	352	27,201	27,384
Corporate	173	190	179	195	ň385'n	'n388Ŋ	ň347'n	'n370Ŋ	3,409	3,781
Consolidation	ň1,485'n	'n1,594Ŋ	ň1,317'n	'n1,577Ŋ	18	'n10Ŋ	18	'n10Ŋ
Continuing operations	27,372	31,456	28,430	30,772	936	985	1,100	1,222	151,511	157,634
Steel Americas	1,040	1,477	1,011	1,483	ň91'n	'n781Ŋ	ň100'n	152	3,737	4,147
Consolidation	ň176'n	'n261Ŋ	ň176'n	'n241Ŋ	0	2	0	2	0	0
Group Total	28,236	32,673	29,265	32,013	846	205	1,001	1,376	155,248	161,781

^{1 | TKAMY |
^'n See reconciliation in segment reportingňNote 07'n.}

	Order intake million €		Net sales million €		EBIT 1Ŋ million €		Adjusted EBIT 1Ŋ million €
	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017
Components Technology	1,775	2,000	1,783	1,970	72	93	100	99
Elevator Technology	1,867	2,024	1,906	1,954	205	232	225	240
Industrial Solutions	541	1,031	1,228	1,241	41	15	43	6
Materials Services	3,123	3,430	3,087	3,504	35	57	52	73
Steel Europe	2,265	2,171	2,015	2,337	92	231	91	232
Steel Americas	0	0	0	0	ň1'n	'n1Ŋ	ň1'n	'n1Ŋ
Corporate	80	97	64	69	ň130'n	'n145Ŋ	ň113'n	'n131Ŋ
Consolidation	ň562'n	'n539Ŋ	ň481'n	'n639Ŋ	4	1	4	1
Continuing operations	9,090	10,213	9,603	10,437	318	484	401	519
Steel Americas	383	605	336	566	53	44	39	100
Consolidation	ň74'n	'n92Ŋ	ň74'n	'n73Ŋ	1	1	1	1
Group Total	9,399	10,725	9,865	10,929	372	529	441	620

¹^'n See reconciliation in segment reportingňNote 07'n.

THYSSENKRUPP STOCK / ADR MASTER DATA AND KEY FIGURES

ISIN		Number of sharesňtotal'n		shares 565,937,947
SharesňFrankfurt, Düsseldorf stock exchanges'n	DE 000 750 0001	Closing price end June 2017	€	24.88
ADRsňover-the-counter trading'n	US88629Q2075	Stock exchange value end June 2017	million €	14,080
Symbols
Shares	TKA
ADRs	TKAMY

thyssenkrupp in figures

Interim management report

Report on the economic position
Summary
Macro and sector environment
Group and business area review
Results of operations and financial position
Compliance
Subsequent events
Forecast, opportunity and risk report
2016 / 2017 forecast
Opportunities and risks

Condensed interim financial statements

Consolidated statement of financial position
Consolidated statement of income
Consolidated statement of comprehensive income
Consolidated statement of changes in equity
Consolidated statement of cash flows
Selected notes to the consolidated financial statements
Review report

Our fiscal year begins on October 1 and ends on September 30 of the following year.

Additional information

Contact and 2017 / 2018 financial calendar

Interim management report

Report on the economic position

Summary

After 9 months remaining on growth track with significant progress in earnings

Group and continuing operations with order intake, sales, and adjusted EBIT clearly higher yearon-year
Highest 9-month order intake since start of Strategic Way Forward
Capital goods businesses and materials businesses with double-digit growth rates overall
Components Technology and Elevator Technology with new record highs
Capital goods business overall and all materials businesses with sales growth
Group and continuing operations with adjusted EBIT significantly higher year-on-year:
Elevator Technology with continued earnings and margin improvement
Temporary decline at Industrial Solutions ňlower-margin project milestones and partial underutilization'n
Steel Europe with strong margin expansion
"impact": €670 million EBIT effects increase efficiency in first 9 months. Also:
Further measures of around €400 million to reduce general and administrative costs at Corporate and in all business areas by end of fiscal2019 / 2020
Expansion of efficiency program at Industrial Solutions to lower costs by a three-digit million euro amount on top of measures previously initiated
Group's net income in reporting period impacted by negative income effect in 2nd quarter from sale of CSA; 3rd-quarter net income clearly positive and higher year-on-year
As expected, free cash flow of Group and continuing operations clearly negative in first 9 months due to increase in net working capital
Sale of the Brazilian steel mill CSA to Ternium approved without restrictions by the Brazilian competition authority CADE on August 1, approval not yet legally binding; closing of the transaction expected before end of fiscal year; clearly positive effects on net financial debt and gearing
Sales and earnings forecast for Group and continuing operations affirmed. FCF before M&A now expected to be negative in mid to higher three-digit million euro range
Due to the earlier than expected closing of the sale of CSA to Ternium in the 4th quarter and absence therefore of the anticipated NWC release by CSA towards the end of the fiscal year. The absence of this NWC release results in a correspondingly higher purchase price. This is neutral for expected net financial debt and FCF overall but will burden FCF before M&A
Key milestones in product innovation and digitization support long-term growth prospects
MULTI, world's first rope-free, sideways-moving elevator, unveiled in test tower; first customer order received for MULTI
100,000th MAX unit installed, elevator sector's first predictive maintenance solution
In-house developed IIoTňIndustrial Internet of Things'n platform "toii" connects machinery at Materials Services

Macro and sector environment

Global economy has gained momentum – outlook remains marked by great uncertainty

Compared with start of fiscal year, slight acceleration in global economic growth despite high political uncertainty
Industrialized countries: Continued, faster upturn thanks to continuing expansionary monetary policy and stabilization of economy in the USA and Europe
Emerging economies: Increasing momentum and end of recession in Brazil and Russia; growth in China in 2017 level with prior year
But risks and uncertainties for global economy remain exceptionally highňgeopolitical flashpoints, impact of US economic policy and interest rate liftoff in USA, Brexit negotiations, volatility of oil and raw material prices, high volatility in Chinese financial and real estate sectors'n

GROSS DOMESTIC PRODUCT

Real change compared to previous year in %	2016	20171ŋ
Euro zone	1.7	1.8
Germany	1.9	1.7
Russia	ň0.2'n	1.1
Rest of Central/Eastern Europe	2.4	2.8
USA	1.6	2.2
Brazil	ň3.6'n	0.3
Japan	1.0	1.3
China	6.7	6.7
India	7.0	7.0
Middle East & Africa	2.4	3.0
World	2.9	3.4

¹^'n Forecast

Sources: IHS Markit, Oxford Economics, national associations, own estimates

Automotive

Slight growth in global sales and production of cars and light trucks in 2017 from high prior-year level
Europe: Outlook for 2017 slightly positive in virtually all markets
USA: Significantly weaker production, particularly in car sector, very high inventories
Mexico: Steep increase, among other things ramp-up of new production plants, particularly for exports
Brazil: Economic and political conditions remain uncertain; production at low level
China: Sales and production of cars with double-digit growth in 2016, benefiting in part from pull-forward effects due to reduced tax breaks; further growth expected in 2017 with reduced government incentives
Heavy trucks: Increase in global production expected for 2017, driven mainly by China; Europe stable; NAFTA Class 8 showing first signs of market recovery; Brazil weak

Machinery

Germany: Forecast for 2017 raised significantly, in particular demand from abroad expected to increase
USA: Continued upturn in investment in oil and gas production
China: Growth in 2017 to slow slightly at a higher level than previously expected; lower government fiscal incentives for infrastructure and state-owned companies; however, planned transformation to high-tech nation should keep growth at a solid level

Construction

Germany: Further slight increase in growth expected in 2017; driver remains housing construction, but also public sector and commercial construction
USA: Continued solid growth albeit at lower level, potential additional stimulus from new administration's fiscal measures
China and India: In China government measures to cool down real estate market taking effect in 2017; continuing urbanization to provide further important impetus in India

IMPORTANT SALES MARKETS

	2016	20171ŋ
Vehicle production, million cars and light trucks
World	90.6	92.0
Western Europeňincl. Germany'n	14.5	14.7
Germany	5.9	5.8
USA	12.0	11.2
Mexico	3.5	4.1
Japan	8.8	9.2
China	27.0	27.3
India	4.1	4.3
Brazil	2.0	2.3
Machinery production, real, in % versus prior year
Germany	0.0	3.0
USA	ň2.7'n	2.7
Japan	ň1.0'n	3.9
China	6.5	6.0
Construction output, real, in % versus prior year
Germany	4.0	2.7
USA	3.5	3.8
China	6.7	4.6
India	2.7	5.2

¹^'n Forecast

Sources: IHS Markit, Oxford Economics, national associations, own estimates

Steel

Global finished steel demand rising faster (+3%) than expected at start of year with economic growth accelerating in 2017
EU carbon flat steel market up slightly year-on-year in first six months of 2017 with further pressure from imports: lower volumes from China and Russia but significantly higher imports from other third countries, particularly India and Turkey
Market environment remains extremely challenging, particularly on account of global overcapacities, increasing export risks, and continued highly volatile raw material prices

Group and business area review

ORDER INTAKE BY BUSINESS AREA

million $\epsilon$	9 months ended	9 months ended June 30, 2016 June 30, 2017	Change in %	Change on a comparable basis ¹⁾ in $%$	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	Change in %	Change on a comparable basis ¹⁾ in $%$
Components Technology	5,093	5,738	13	12	1,775	2,000	13	12
Elevator Technology	5,691	6,038	6	5	1,867	2,024	8
Industrial Solutions	2,715	4,149	53	51	541	1,031	90	82
Materials Services	8,891	10,244	15	14	3,123	3,430	10	9
Steel Europe	6,294	6,692	6	6	2,265	2,171	(4)	(4)
Corporate	173	190	10	10	80	97	21	21
Consolidation	(1,485)	(1,594)			(562)	(539)
Order intake of the continuing operations	27,372	31,456	15	14	9,090	10,213	12	11
Steel Americas	1,040	1,477	42	39	383	605	58	54
Consolidation	(176)	(261)			(74)	(92)
Order intake of the Group	28,236	32,673	16	15	9,399	10,725	14	13

¹⁾ Excluding material currency and portfolio effects

Order intake in all capital goods businesses was clearly higher year-on-year in the first 9 months, supported partly by positive exchange-rate effects.

Components Technology

Car components: Growth in particular in axle assembly, damping systems and camshaft modules; positive trend in China and Western Europe more than offset slowdown in the USA and continuing weak demand in Brazil
Components for heavy trucks: Market improvement in China, Europe solid, further upturn in USA in 3rd quarter, Brazil still weak
Industrial components: Growth in demand for construction equipment components against weak prior year, signs of recovery over last two quarters; higher order intake also for wind energy and machinery components

Elevator Technology

Order intake at new record high, driven by major projects; continued high level of orders in hand ň€5.2 billion excl. service'n
Positive trend in the USA, Brazil, and South Korea; major infrastructure projects in Germany and Turkey; China lower year-on-yearňmainly due to negative exchange rate effects and high price pressure'n

Industrial Solutions

Clear year-on-year increase in first 9 months and in 3rd quarter confirms turnaround in order intake and strong project pipeline
Marine Systems: Major submarine order in 2nd quarter; nominated as exclusive strategic partner for Norwegian/German submarine program
Cement: Orders for new plants in Algeria in 1st quarter and Bolivia in 3rd quarter; also various orders for plant expansions and modernizations
Mining: Major orderňship loader and stockyard equipment'nin North America in 3rd quarter and further medium-size and smaller ordersňincl. belt conveyor systems, bucket wheel excavators, and coal handling facility in Asia as well as biomass power plant in Australia'n
Chemical plant engineering: Major projects at advanced stage of negotiation
System Engineering: Orders for battery assembly plant, body-in-white lines and test systems from leading German automakers in Europe and Asia; temporary decline in first 9 months with full-year outlook remaining positive

Orders in the materials businesses Materials Services and Steel Europe were clearly up year-on-year in the first 9 months thanks in particular to higher prices. At Steel Europe orders in 3rd quarter were down from prior year as a result of lower volumes.

Steel Americasňdiscontinued operation) clearly up from prior-year due to higher prices.

NET SALES BY BUSINESS AREA

million €	9 months ended June 30, 2016	9 months ended June 30, 2017	Change in %	Change on a comparable basis1Ŋ in %	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	Change in %	Change on a comparable basis1Ŋ in %
Components Technology	5,122	5,648	10	9	1,783	1,970	10	9
Elevator Technology	5,526	5,703	3	2	1,906	1,954	3	1
Industrial Solutions	4,343	4,002	ň8'n	ň11'n	1,228	1,241	1	ň9'n
Materials Services	8,914	10,185	14	14	3,087	3,504	13	13
Steel Europe	5,664	6,616	17	17	2,015	2,337	16	16
Corporate	179	195	9	9	64	69	8	8
Consolidation	ň1,317'n	'n1,577Ŋ	—	—	ň481'n	'n639Ŋ	—	—
Sales of the continuing operations	28,430	30,772	8	7	9,603	10,437	9	7
Steel Americas	1,011	1,483	47	44	336	566	68	64
Consolidation	ň176'n	'n241Ŋ	—		ň74'n	'n73Ŋ	—
Sales of the Group	29,265	32,013	9	8	9,865	10,929	11	9

¹^'n Excluding material currency and portfolio effects

Overall sales in the capital goods businesses were higher year-on-year.

Rising sales at Components Technology (particularly for auto components) and Elevator Technology (particularly positive trend in the USA and South Korea) outweighed declining sales at Industrial Solutions (lower number of milestone billings in plant engineering; but sales gains at Marine Systems and System Engineering)

The materials businesses Materials Services and Steel Europe increased their sales significantly year-on-year mainly due to higher prices.

Materials Services

Double-digit percentage sales gains year-on-year
Following recovery, prices now declining in almost all product segments; however prices for flat steel products from Asia currently rising again; stainless steel prices remain highly volatile
Overall materials volumes level with prior year (7.3 million tons shipments)
Stable warehousing and service business, particularly due to new service centers in Hungary and Spain; situation in global materials trading likewise stable
Gains at AST due to higher volumes and prices
Raw material trading volumes down from 2.3 million tons to 0.9 million tons; stronger focus on higher-value, higher-margin products

Steel Europe

Higher sales due to higher average net selling prices and rising shipments (8.6 million tons; up 4%), but lower volumes in heavy plate due to market- and production-related factors
Price recovery for all products and business units with exception of Electrical Steel

Steel Americas (discontinued operation) achieved higher sales due to higher prices, with shipments temporarily lower (3.1 million tons; down 5%). Good progress building further long-term customer relationships and increase in local shipment volumes.

ADJUSTED EBIT BY BUSINESS AREA
---------------------------------------	--

million $\epsilon$	9 months ended June 30, 2016	9 months ended June 30, 2017	Change in %	3rd quarter ended	3rd quarter ended June 30, 2016 June 30, 2017	Change in %
Components Technology	256	274	7	100	99	(1)
Elevator Technology	614	662	8	225	240	7
Industrial Solutions	287	70	(76)	43	6	(87)
Materials Services	66	245	273	52	73	39
Steel Europe	207	352	70	91	232	154
Corporate	(347)	(370)	(7)	(113)	(131)	(16)
Consolidation	18	(10)		4
Adjusted EBIT of the continuing operations	1,100	1,222	11	401	519	29
Steel Americas	(100)	152	$^{++}$	39	100	156
Consolidation	$\Omega$	$\overline{2}$
Adjusted EBIT of the Group 1)	1,001	1,376	37	441	620	41

¹⁾ See reconciliation in segment reporting (Note 07).

In the capital goods businesses adjusted EBIT in the first 9 months was lower year-on-year despite sustainable efficiency and cost reduction measures.

■ Continued growth at Components Technology and Elevator Technology could not offset decline at Industrial Solutions

Components Technology

Adjusted EBIT level with prior year in 3rd quarter and higher year-on-year in first 9 months
Improvements in car components outweighed declines in industrial components

Elevator Technology

Adjusted EBIT and margin in 3rd quarter higher year-on-year for the 19th quarter in succession
Margin at 12.3% in 3rd quarter 0.5 percentage points higher year-on-year as a result of performance program

Industrial Solutions

■ Adjusted EBIT down sharply year-on-year, reflecting lower-margin project milestones as well as partial underutilization; partly offset by positive effects from full consolidation of Atlas Elektronik

In the materials businesses Materials Services and Steel Europe adjusted EBIT was significantly higher year-on-year, also supported by cost programs.

Materials Services

Positive price trend particularly in 1st half and continued earnings-securing measures led to strong earnings improvement in all units
AST with significantly higher earnings contribution, reflecting positive price trend and sustainable success of performance programs

Steel Europe

Earnings in 9-month period significantly higher year-on-year, primarily due to higher selling prices, and with clear improvement over course of fiscal year; raw material costs softened in reporting quarter, but now rising again
Correspondingly positive margin trend: Adjusted EBIT margin in 3rd quarter increased to 9.9%, compared with 1.5% and 3.9% in previous two quarters

At Corporate adjusted EBIT was down year-on-year and continues to include project expenditures in connection with the digital initiativesňIT infrastructure standardization and data and process harmonization'n.

At Steel Americasňdiscontinued operation) the positive price trend, cost reduction measures and valuation effects on input tax credits outweighed lower shipments and higher raw material costs and negative cost effects from the stronger Brazilian real.

Earnings impacted by special items

SPECIAL ITEMS BY BUSINESS AREA

million $\epsilon$	9 months ended	9 months ended June 30, 2016 June 30, 2017	Change	3rd quarter ended	3rd quarter ended June 30, 2016 June 30, 2017	Change
Components Technology	38	58	20	28	6	(22)
Elevator Technology	45	78	33	19	8	(12)
Industrial Solutions	4	22	18	$\overline{2}$	(9)	(11)
Materials Services	29	57	27	18	15	(2)
Steel Europe	9	4	(5)	0		1
Corporate	38	18	(20)	17	14	(3)
Consolidation	$\Omega$	$\mathbf{0}$		⁰	0
Special items from continuing operations	164	237	73	84	35	(49)
Steel Americas	(9)	933	942	(14)	56	70
Consolidation	$\Omega$	O		0	0
Total special items	155	1,170	1,015	70	91	21

$\blacksquare$ Main special items in the reporting period:

Components Technology: restructurings and capacity adjustments at Forging & Machining due to weak market and order situation in Brazil, in "heavy crankshafts" in Germany and construction equipment components in Italy, as well as non-period expenses in steering systems business
Elevator Technology: restructuring and reorganization in Europe and the Middle East
Industrial Solutions: restructuring of plant construction and reorganization; positive valuation effects in connection with full consolidation of Atlas Elektronik in 3rd quarter
Materials Services: several restructuring measures; winding-up of railway equipment
Corporate: subsequent expenses from divestment projects
Steel Americas (discontinued operation): updated valuation of a long-term freight contract; negative earnings effect in connection with sale of CSA

Results of operations and financial position

Analysis of the statement of income

Income from operations

Growth in cost of sales of continuing operations slightly higher than growth in net sales; gross profit margin down year-on-year to 17.0%ňprior year: 17.3%'n
Increase in selling expenses of continuing operations mainly due to higher expenses for salesrelated freight and insurance charges and tariffs
Increase in general and administrative expenses of continuing operations resulting mainly from higher personnel expenses, due in part to increased restructuring provisions, and higher consulting and IT costs
Increase in other income of continuing operations mainly due to remeasurement of the investment in Atlas Elektronik in connection with the switch to full consolidation as a result of acquisition of the remaining shares
Increase in other expenses of continuing operations mainly due to higher non-income taxes

Financial income/expense and income tax

Decrease in finance income mainly due to lower exchange rate gains in connection with financial transactions alongside higher income from derivatives in connection with financing
Net decrease in finance expense mainly due to much lower exchange rate losses in connection with financial transactions and lower interest expense for financial debt and pensions alongside higher expenses from derivatives in connection with financing
Increased tax expense on rising profits in the USA and non-recognition of deferred tax assets

Earnings per share

Net income down by €836 million to loss of €721 million; impairment charges in connection with the initiated sale of the Brazilian steel mill CSA to Ternium impacted income from discontinued operations
Improvement in non-controlling interest mainly due to takeover of minority interest in thyssenkrupp CSA in 3rd quarter of fiscal 2015 / 2016
Large decrease in earnings per share to loss of €1.33

Analysis of the statement of cash flows

Operating cash flows

Operating cash flows from continuing operations positive in the 3rd quarter but lower year-onyear mainly due to increase in operating assets and liabilities; clearly negative and likewise lower year-on-year in the first 9 months mainly due to net increase in operating assets and liabilities
Volume recovery and strong rise in materials prices in the materials businesses
Working down of existing orders and temporary shift in payment profile at Industrial Solutions

Cash flows from investing activities

Capital spending at continuing operations higher year-on-year in the first 9 months; share of capital goods businesses in continuing operations 51%
Modernization of IT and harmonization of systems landscape at all business areas and Corporate to enhance efficiency, lower costs and as a basis for Industry 4.0

	INVESTMENTS BY BUSINESS AREA

million $\epsilon$	9 months ended	9 months ended June 30, 2016 June 30, 2017	Change in %	3rd quarter ended	3rd quarter ended June 30, 2016 June 30, 2017	Change in %
Components Technology	296	397	34	133	170	28
Elevator Technology	83	110	34	27	34	27
Industrial Solutions	52	41	(22)	19	8	(55)
Materials Services	72	63	(12)	27	20	(29)
Steel Europe	280	425	51	105	184	75
Corporate	33	36	8	11	11	(5)
Consolidation	(2)	(5)		0	5
Investments of the continuing operations	814	1,067	31	323	432	34
Steel Americas	76	115	51	21	23	11
Consolidation	$\Omega$	n		$\Omega$	$\bf{0}$
Total investments	890	1,182	33	343	456	33

Components Technology

Building of highly automated plants in China following orders by international and Chinese OEMs for electric steering systems, springs and stabilizers
Opening of new development center for drive technology in Dalian/China, focused on custom development of innovative valvetrain products for the Chinese marketExpansion of production in Hungary: cylinder head covers with integrated camshafts, front and rear axle assembly, production of springs and stabilizers and electric steering systems

Elevator Technology

China: Completion of 249 m high test tower in Zhongshan running to plan, commissioning scheduled for late 2017
Germany: MULTI, innovative rope-less elevator system, unveiled in Rottweil test tower in June; first order for a new high-rise in Berlin
Germany: Start of installation of membrane facade as final step in completion of 246 m high test tower in Rottweil

Industrial Solutions

Cement and Mining: expansion of infrastructure and optimization of technology portfolio to strengthen market position
Chemical plant construction: continued investment in optimization of technology portfolio
System Engineering: continued growth and international expansion in forming dies
Marine Systems: further implementation of modernization program at Kiel shipyard ňcurrently mainly IT and infrastructure'n; acquisition of 49% share in Atlas Elektronik formerly held by Airbus completed in April to strengthen competitive position

Materials Services

■ Modernization and maintenance measures at warehousing and service units and AST; at AST also relocation of cold-rolled anneal and pickle line from Turin to Terni

Steel Europe

Reline of blast furnace B at HKMňHüttenwerke Krupp Mannesmann GmbH'n
New ladle furnace at BOF shop 2 to produce high-quality grades, in particular ultrahigh-strength steels for the auto industry; project started last fiscal year
Acquisition of a previously leased CHP plant completed at the end of May

Corporate

Investments for the Carbon2Chem project and at Carbon Components
Centrally pooled property investments and license purchases

At Steel Americasňdiscontinued operation'ninvestments included the insourcing of water and effluent treatment services with the acquisition of two Brazilian companies as well as environmental protection and technical optimization measures.

The slight increase in cash inflows from divestments at the continuing operations was mainly the result of proceeds in the reporting period from the disposal of German property classed as nonoperating real estate.

Cash flows from financing activities

■ Increase in cash flows from financing activities at the continuing operations mainly due to higher proceeds from borrowings in the reporting period; offsetting effects mainly due to increased expenditures for the financing of discontinued operations and higher repayments of currency and cross currency swaps in connection with Group financing

Free cash flow and net financial debt

RECONCILIATION TO FREE CASH FLOW BEFORE M&A

million €	9 months ended June 30, 2016	9 months ended June 30, 2017	Change	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017	Change
Operating cash flows - continuing operationsňconsolidated statement of cash flows'n	ň68'n	'n1,256Ŋ	ň1,188'n	526	24	ň502'n
Cash flows from investing activities - continuing operations ňconsolidated statement of cash flows'n	ň781'n	'n1,005Ŋ	ň224'n	ň320'n	'n424Ŋ	ň104'n
Free cash flow - continuing operationsŊFCFŋ	Ŋ849ŋ	Ŋ2,261ŋ	Ŋ1,412ŋ	206	Ŋ400ŋ	Ŋ606ŋ
–/+ Cash inflow/cash outflow resulting from material M&A transactions	6	71	65	0	68	68
Free cash flow before M&A – continuing operationsŊFCF before M&Aŋ	Ŋ843ŋ	Ŋ2,190ŋ	Ŋ1,347ŋ	206	Ŋ332ŋ	Ŋ538ŋ
Steel Americas	ň165'n	'n136Ŋ	28	ň2'n	'n45Ŋ	ň44'n
Free cash flow before M&A - GroupŊFCF before M&Aŋ	Ŋ1,007ŋ	Ŋ2,326ŋ	Ŋ1,318ŋ	205	Ŋ377ŋ	Ŋ582ŋ

FCF before M&A of continuing operations and of Group as expected down from prior year in the first 9 months mainly due to higher negative operating cash flows
Net financial debt correspondingly up at June 30, 2017 to €6,311 million
Ratio of net financial debt to equity ňgearing'n at 281.5% higher than at September 30, 2016 ň134.2%'n; significant reduction expected at end of fiscal year
Available liquidity of €6.0 billionň€2.2 billion cash and cash equivalents and €3.8 billion undrawn committed credit lines'n
Additional emission volume of €0.4 billion under existing €1.5 billion commercial paper program at June 30, 2017

Financing measure

■ Placement of a €1,250 million bond in March 2017; maturity 5 years; coupon 1.375% p.a.

Rating

RATING

Long-term rating	Short-term rating	Outlook
BB	B	stable
Ba2	Not Prime	stable
BB+	B	stable

Analysis of the statement of financial position

Non-current assets

Increase in intangible assets mainly due to inclusion of preliminary goodwill from the first-time consolidation of Atlas Elektronik in the reporting quarter
Decreases in property, plant and equipment and other non-financial assets mainly due to reclassifications to assets held for saleňclassification of Steel Americas as discontinued operation'n
Decrease in equity method investments mainly due to above-mentioned first-time consolidation of Atlas Elektronik
Decrease in deferred tax assets mainly the result of interest rate changes for pension obligations at June 30, 2017

Current assets

Net increase in current assets mainly due to increase in assets held for sale ňclassification of Steel Americas as discontinued operation'n
Increase in inventories and trade accounts receivable mainly due to significant rise in capital employed at the continuing materials operations and at Industrial Solutions; at the same time decreases mainly due to reclassifications to assets held for sale
Decrease in other non-financial assets mainly due to lower advance payments; in addition lower entitlements in connection with non-income taxes due to reclassifications to assets held for sale
Significant decrease in cash and cash equivalents mainly the result of negative free cash flow from continuing operations in the reporting period and financing of Steel Americas business area classified as a discontinued operation; offsetting effect: proceeds from borrowings

Total equity

Net decrease; besides currency translation and dividend payments mainly due to net loss for the reporting periodňimpairment charges in connection with the initiated sale of CSA'n
At the same time increases due to gainsňafter taxes'nrecognized in other comprehensive income from the remeasurement of pensions and similar obligations as a result of higher discount rates

Non-current liabilities

Decrease in provisions for pensions and similar obligations mainly due to higher discount rates
Increase in financial debt mainly due to placement of a bond in March 2017; in addition decreases due to reclassifications to liabilities associated with assets held for sale

Current liabilities

Increase in current liabilities mainly due to increase in liabilities associated with assets held for saleňclassification of Steel Americas as a discontinued operation'n
Reduction in provisions for current employee benefits mainly due to utilization
Decrease in financial debt mainly reflects repayment of a bond in February 2017 combined with drawings from the existing commercial paper program in the reporting period
Reduction in other financial liabilities mainly due to lower interest liabilities and reclassification of derivatives to liabilities associated with assets held for sale
Increase in other non-financial liabilities mainly in connection with non-income taxes

Compliance

Compliance – a question of mindset

We build on strong values: reliability, honesty, credibility and integrity
Compliance is a must
Our values are anchored in the Group mission statement, Code of Conduct and Compliance Commitment
We investigate reports of violations and clear up the facts; violations are stopped immediately; necessary sanctions are independent of person and function
Public prosecutor's investigation into Atlas Elektronik completed, no fine imposed; for more information see risk report
Israel: state attorney investigations over naval projects, also into local sales agent of thyssenkrupp Marine Systems; according to current knowledge no investigations into thyssenkrupp companies or employees; in-house investigation initiated; we are cooperating with the investigating authorities; where necessary further measures will be taken
More information on compliance at thyssenkrupp in the 2015 / 2016 Annual Report

Subsequent events

The reportable events occurring between the end of the reporting periodňJune 30, 2017'nand the date of authorization for issuanceňAugust 7, 2017'nare presented in Note 10 to the interim financial statements.

Forecast, opportunity and risk report

2016 / 2017 forecast

Overall assessment by the Executive Board

Pleasing progress on transformation of the Group and continuation of good operating performance in the first 9 months:
Sale of Brazilian steel mill CSA to Ternium in 2nd quarter concludes Steel Americas exit
Group and continuing operations with highest order intake since the start of the Strategic Way Forward; sales and adjusted EBIT higher year-on-year
However, also severe dislocations on the raw materials markets, especially for coking coal, with temporary effects on expected costs and net working capital
Sales and earnings forecast for the Group and the continuing operations affirmed; forecast for FCF before M&A of the Group revisedňsee below'n

For key assumptions and expected economic conditions see forecast section and "Macro and sector environment" in the report on the economic position in the 2015 / 2016 Annual Report and this interim report.

2016 / 2017 expectations

Group sales and sales of the continuing operations to increase on a comparable basis in the high single-digit percentage range
Capital goods businesses: on a comparable basis increase in single-digit percentage range for Components Technology and Elevator Technology; decrease in single-digit percentage range for Industrial Solutions
Materials businesses: on a comparable basis Materials Services, Steel Europe and Steel Americas ňdiscontinued operation'nto achieve increase in double-digit percentage range driven by volumes and in particular prices/costs
Adjusted EBIT of the Group expected to be around €1.8 billionňprior year: €1,469 million'n, supported by €850 million planned EBIT effects from "impact"
Adjusted EBIT of continuing operations expected to be around €1.7 billion
Capital goods businesses
Components Technology: improvement in adjusted EBITňprior year: €335 million'nfrom significant rise in sales and slight improvement in marginňprior year: 4.9%'n
Elevator Technology: improvement in adjusted EBITňprior year: €860 million'nfrom slight sales growth and increase in adjusted EBIT margin by 0.5 to 0.7 percentage pointsňprior year: 11.5%'n
Industrial Solutions:
- Short-term focus on reversing trend in orders and cash flow
- Decline in adjusted EBIT due to partial underutilizationňprior year: €355 million'nwith slight decline in sales
- Marine Systems and chemical plant construction with temporary sharp decline in margin and earnings
Overall margin temporarily noticeably below target range of 6 to 7%
Materials businesses
Materials Services: adjusted EBIT significantly higher year-on-yearňprior year: €128 million'n
Steel Europe: adjusted EBIT significantly higher year-on-yearňprior year: €315 million'n
Steel Americas ňdiscontinued operation'n: adjusted EBIT significantly higher year-on-year ňprior year: loss of €33 million'n; no depreciation due to classification as discontinued operation
Net income of the Group: with positive operating earnings and continuing restructuring expense, overall significant net loss expectedňprior year: €261 million net income'nexclusively as a result of negative earnings impact from sale of CSA
tkVA of the Group: clearly positive trend due to good operating performance, but as a result of negative earnings impact from sale of CSA overall significantly lower year-on-yearňprior year: loss of €85 million'n
Capital spending of the Group before M&A: expected around €1.5 billionňprior year: €1,387 million'n
FCF before M&A of the Group: Negative in mid to higher three-digit million euro rangeňprior year: €198 million'n
Due to the significant increase in net working capital at our materials businesses as a result of dislocations on raw materials markets and higher volumes and prices
Due to the earlier than expected closing of the sale of CSA to Ternium in the 4th quarter and absence therefore of the anticipated NWC release by CSA towards the end of the fiscal year. The absence of this NWC release results in a correspondingly higher purchase price. This is neutral for expected net financial debt and FCF overall but will burden FCF before M&A

Opportunities and risks

Opportunities

Strong and stable earnings, cash flow and value added through positioning as diversified industrial group and systematic continuation of "impact" measures as well as utilization of advantages in interplay between business areas, regions, corporate functions and service units
Increasing focus on high-earning capital goods and service businesses
Announced infrastructure programs of new US administration
Strategic and operational opportunities described in 2015 / 2016 Annual Report continue to apply

Risks

No risks threatening ability to continue as a going concern; detailed information on risks described in 2015 / 2016 Annual Report continues to apply
Sale of CSA significantly reduces risks going forward
Economic risks from numerous geopolitical flashpoints; increasing volatility in external environment, among other things due to Brexit negotiations with the UK; increased uncertainty over global economy and effects on the Group's business models
Trade measures of new US administration being continuously monitored
Risks from attacks on IT infrastructure; countermeasure: further expansion of information security management and security technologies
Bremen public prosecutor has ended all proceedings against Atlas Elektronik by issuing a forfeiture order in the amount of approx. €48 million; no fine imposed; support for investigations and improvements made to compliance and risk management structures recognized by the public prosecutor

Condensed interim financial statements

Consolidated statement of financial position
Consolidated statement of income
Consolidated statement of comprehensive income
Consolidated statement of changes in equity
Consolidated statement of cash flows
Selected notes to the consolidated financial statements

Review report

thyssenkrupp AG – Consolidated statement of financial position

ASSETS
million €	Note	Sept. 30, 2016	June 30, 2017
Intangible assets		4,570	4,820
Property, plant and equipment		8,872	7,375
Investment property		66	65
Investments accounted for using the equity method		284	154
Other financial assets		44	52
Other non-financial assets		445	277
Deferred tax assets		2,322	1,886
Total non-current assets		16,604	14,629
Inventories		6,341	7,301
Trade accounts receivable		5,003	6,016
Other financial assets		407	422
Other non-financial assets		2,376	2,218
Current income tax assets		172	233
Cash and cash equivalents		4,105	2,204
Assets held for sale	02	65	2,104
Total current assets		18,468	20,497
Total assets		35,072	35,126

thyssenkrupp interim report 9 months 2016 / 2017

Condensed interim financial statementsōthyssenkrupp AG – Consolidated statement of financial position

EQUITY AND LIABILITIES

million €	Note	Sept. 30, 2016	June 30, 2017
Capital stock		1,449	1,449
Additional paid-in capital		5,434	5,434
Retained earnings		ň5,255'n	'n5,500Ŋ
Cumulative other comprehensive income		474	362
Ŋthereof discontinued operationsŋ		Ŋ—ŋ	ŋ218Ō
Equity attributable to thyssenkrupp AG's stockholders		2,102	1,745
Non-controlling interest		507	497
Total equity		2,609	2,242
Accrued pension and similar obligations	03	8,754	7,950
Provisions for other employee benefits		373	367
Other provisions		589	585
Deferred tax liabilities		33	41
Financial debt	04	6,157	7,049
Other financial liabilities		221	188
Other non-financial liabilities		6	7
Total non-current liabilities		16,134	16,186
Provisions for current employee benefits		408	303
Other provisions		963	986
Current income tax liabilities		279	302
Financial debt	04	1,455	1,248
Trade accounts payable		5,119	5,021
Other financial liabilities		975	839
Other non-financial liabilities		7,130	7,258
Liabilities associated with assets held for sale	02	0	741
Total current liabilities		16,329	16,698
Total liabilities		32,463	32,885
Total equity and liabilities		35,072	35,126

See accompanying notes to consolidated financial statements.

thyssenkrupp AG – Consolidated statement of income

million €, earnings per share in €	Note	9 months ended June 30, 20161Ŋ	9 months ended June 30, 2017	3rd quarter ended June 30, 20161Ŋ	3rd quarter ended June 30, 2017
Net sales	07	28,430	30,772	9,603	10,437
Cost of sales		ň23,523'n	'n25,532Ŋ	ň7,913'n	'n8,554Ŋ
Gross margin		4,907	5,240	1,690	1,883
Research and development cost		ň260'n	'n270Ŋ	ň92'n	'n93Ŋ
Selling expenses		ň2,109'n	'n2,169Ŋ	ň727'n	'n719Ŋ
General and administrative expenses		ň1,709'n	'n1,871Ŋ	ň587'n	'n652Ŋ
Other income		130	210	44	120
Other expenses		ň66'n	'n141Ŋ	ň16'n	'n66Ŋ
Other gains/ňlosses'n, net		12	'n6Ŋ	ň5'n	'n3Ŋ
Income/Ŋlossŋfrom operations		907	993	307	470
Income from companies accounted for using the equity method		38	10	12	12
Finance income		814	631	209	132
Finance expense		ň1,208'n	'n955Ŋ	ň316'n	'n218Ŋ
Financial income/Ŋexpenseŋ, net		Ŋ357ŋ	Ŋ314ŋ	Ŋ95ŋ	Ŋ74ŋ
Income/Ŋlossŋfrom continuing operations before tax		550	679	212	396
Income taxňexpense'n/income		ň299'n	'n353Ŋ	ň124'n	'n128Ŋ
Income/Ŋlossŋfrom continuing operationsŊnet of taxŋ		251	326	89	268
Income/Ŋlossŋfrom discontinued operationsŊnet of taxŋ		Ŋ136ŋ	Ŋ1,047ŋ	36	Ŋ134ŋ
Net income/Ŋlossŋ		115	Ŋ721ŋ	124	134
Thereof:
thyssenkrupp AG's shareholders		168	Ŋ751ŋ	130	120
Non-controlling interest		ň53'n	30	ň6'n	14
Net income/Ŋlossŋ		115	Ŋ721ŋ	124	134
Basic and diluted earnings per share based on	08
Income/ňloss'nfrom continuing operationsňattributable to thyssenkrupp AG's shareholders'n		0.39	0.52	0.14	0.45
Net income/ŊlossŋŊattributable to thyssenkrupp AG's shareholdersŋ		0.30	Ŋ1.33ŋ	0.23	0.21

See accompanying notes to consolidated financial statements.

¹^'n Figures have been adjustedňcf. Note 02'n.

thyssenkrupp AG – Consolidated statement of comprehensive income

	9 months	9 months	3rd quarter	3rd quarter
million €	ended June 30, 2016	ended June 30, 2017	ended June 30, 2016	ended June 30, 2017
Net income/Ŋlossŋ	115	Ŋ721ŋ	124	134
Items of other comprehensive income that will not be reclassified to profit or loss in future periods:
Other comprehensive income from remeasurements of pensions and similar obligations
Change in unrealized gains/ňlosses'n, net	ň978'n	836	ň405'n	205
Tax effect	296	'n232Ŋ	121	'n53Ŋ
Other comprehensive income from remeasurements of pensions and similar obligations, net	ň682'n	604	ň284'n	152
Share of unrealized gains/ňlosses'nof investments accounted for using the equity-method	ň1'n	6	ň2'n	0
Subtotals of items of other comprehensive income that will not be reclassified to profit or loss in future periods	Ŋ683ŋ	610	Ŋ286ŋ	152
Items of other comprehensive income that will be reclassified to profit or loss in future periods:
Foreign currency translation adjustment
Change in unrealized gains/ňlosses'n, net	106	'n121Ŋ	128	'n330Ŋ
Net realizedňgains'n/losses	0	0	0	1
Net unrealizedňgains'n/losses	106	'n121Ŋ	128	'n329Ŋ
Unrealized gains/ňlosses'nfrom available-for-sale financial assets
Change in unrealized gains/ňlosses'n, net	2	2	2	0
Net realizedňgains'n/losses	0	0	0	0
Tax effect	0	0	0	0
Net unrealizedňgains'n/losses	2	2	2	0
Unrealized gains/ňlosses'non derivative financial instrumentsňcash flow hedges'n
Change in unrealized gains/ňlosses'n, net	ň31'n	'n8Ŋ	6	33
Net realizedňgains'n/losses	14	3	ň3'n	'n22Ŋ
Tax effect	18	1	3	'n3Ŋ
Net unrealizedňgains'n/losses	1	'n4Ŋ	6	8
Share of unrealized gains/ňlosses'nof investments accounted for using the equity-method	ň7'n	'n4Ŋ	0	'n7Ŋ
Subtotals of items of other comprehensive income that will be reclassified to profit or loss in future periods	102	Ŋ127ŋ	136	Ŋ328ŋ
Other comprehensive income	Ŋ581ŋ	483	Ŋ150ŋ	Ŋ176ŋ
Total comprehensive income	Ŋ466ŋ	Ŋ238ŋ	Ŋ26ŋ	Ŋ42ŋ
Thereof:
thyssenkrupp AG's shareholders	ň439'n	'n253Ŋ	ň28'n	'n24Ŋ
Non-controlling interest	ň27'n	15	2	'n18Ŋ
Total comprehensive income attributable to thyssenkrupp AG's stockholders refers to:
Continuing operations	ň400'n	773	ň68'n	68
Discontinued operations1'n	ň39'n	'n1,026Ŋ	40	'n92Ŋ

See accompanying notes to consolidated financial statements.

¹^'n Prior-year figures have been adjustedňcf. Note 02'n.

thyssenkrupp AG – Consolidated statement of changes in equity

Equity attributable to thyssenkrupp AG's stockholders

						Cumulative other comprehensive income
million €, 'nexcept number of sharesŊ	Number of shares	outstanding Capital stock	Additional paid-in capital	Retained earnings	Foreign currency translation adjustment	Available-for sale financial assets	Derivative financial instruments 'ncash flow hedgesŊ	Share of investments accounted for using the equity method	Total	Non controlling interest	Total equity
Balance as of Sept. 30, 2015	565,937,947	1,449	5,434	Ŋ4,123ŋ	417	6	Ŋ58ŋ	57	3,182	125	3,307
Net income/ňloss'n				168					168	ň53'n	115
Other comprehensive income				ň683'n	90	1	ň8'n	ň7'n	ň607'n	26	ň581'n
Total comprehensive income				Ŋ515ŋ	90	1	Ŋ8ŋ	Ŋ7ŋ	Ŋ439ŋ	Ŋ27ŋ	Ŋ466ŋ
Profit attributable to non controlling interest									0	ň28'n	ň28'n
Payment of thyssenkrupp AG dividend				ň85'n					ň85'n	0	ň85'n
Changes of shares of already consolidated companies				ň456'n	9				ň447'n	440	ň7'n
Other changes				10					10	ň8'n	2
Balance as of June 30, 2016	565,937,947	1,449	5,434	Ŋ5,169ŋ	516	7	Ŋ66ŋ	50	2,221	503	2,723
Balance as of Sept. 30, 2016	565,937,947	1,449	5,434	Ŋ5,255ŋ	484	6	Ŋ64ŋ	48	2,102	507	2,609
Net income/ňloss'n				ň751'n					ň751'n	30	ň721'n
Other comprehensive income				610	ň105'n	1	ň4'n	ň4'n	498	ň15'n	483
Total comprehensive income				Ŋ141ŋ	Ŋ105ŋ	1	Ŋ4ŋ	Ŋ4ŋ	Ŋ253ŋ	15	Ŋ238ŋ
Profit attributable to non controlling interest									0	ň25'n	ň25'n
Payment of thyssenkrupp AG dividend				ň85'n					ň85'n	0	ň85'n
Other changes				ň19'n					ň19'n	0	ň19'n
Balance as of June 30, 2017	565,937,947	1,449	5,434	Ŋ5,500ŋ	379	7	Ŋ68ŋ	44	1,745	497	2,242

See accompanying notes to consolidated financial statements.

thyssenkrupp AG - Consolidated statement of cash flows

million $\epsilon$	9 months ended June 30, 2016 ¹¹	9 months ended	3rd quarter ended June 30, 2017 June 30, 2016 ¹⁾	3rd quarter ended June 30, 2017
Net income/(loss)	115	(721)	124	134
Adjustments to reconcile net income/(loss) to operating cash flows:
Income/(loss) from discontinued operations (net of tax)	136	1,047	(36)	134
Deferred income taxes, net	44	119	35	48
Depreciation, amortization and impairment of non-current assets	789	799	261	266
Reversals of impairment losses of non-current assets	(3)	$\bf{0}$	(1)	$\bf{0}$
Income/(loss) from companies accounted for using the equity method, net of dividends received	(38)	(10)	(12)	(12)
(Gain)/loss on disposal of non-current assets	142	(1)	158	$\overline{2}$
Changes in assets and liabilities, net of effects of acquisitions and divestitures and other non-cash changes
- Inventories	410	(1, 220)	232	(268)
- Trade accounts receivable	(152)	(999)	(133)	(437)
- Accrued pension and similar obligations	(123)	(132)	(15)	(15)
- Other provisions	(119)	(169)	43	(12)
- Trade accounts payable	(654)	174	27	(196)
- Other assets/liabilities not related to investing or financing activities	(614)	(143)	(156)	381
Operating cash flows - continuing operations	(68)	(1, 256)	526	24
Operating cash flows - discontinued operations	(90)	(82)	19	(23)
Operating cash flows - total	(158)	(1,338)	545	$\mathbf{1}$
Purchase of investments accounted for using the equity method and non-current financial assets	(8)	(60)	$\Omega$	(58)
Expenditures for acquisitions of consolidated companies net of cash acquired	(17)	53	(1)	60
Capital expenditures for property, plant and equipment (inclusive of advance payments) and investment property	(702)	(947)	(289)	(398)
Capital expenditures for intangible assets (inclusive of advance payments)	(88)	(112)	(33)	(36)
Proceeds from disposals of investments accounted for using the equity method and non-current financial assets	$\mathbf 0$	$\overline{2}$	$\mathbf 0$	1
Proceeds from disposals of previously consolidated companies net of cash disposed	8	5	0	$\bf{0}$
Proceeds from disposals of property, plant and equipment and investment property	23	54	$\overline{2}$	$\overline{7}$
Proceeds from disposals of intangible assets	$\overline{2}$	$\bf{0}$	1	$\mathbf{0}$
Cash flows from investing activities - continuing operations	(781)	(1,005)	(320)	(424)
Cash flows from investing activities - discontinued operations	(75)	(109)	(20)	(23)
Cash flows from investing activities - total	(855)	(1, 114)	(340)	(447)

thyssenkrupp interim report 9 months 2016/2017 Condensed interim financial statements | thyssenkrupp AG - Consolidated statement of cash flows

	9 months ended	9 months ended	3rd quarter ended	3rd quarter ended
million $\epsilon$			June 30, 2016 ¹¹ June 30, 2017 June 30, 2016 ¹¹	June 30, 2017
Proceeds from issuance of bonds	850	1,250	$\Omega$	$\bf{0}$
Repayments of bonds	(1,000)	(1,250)	$\Omega$	$\bf{0}$
Proceeds from liabilities to financial institutions	907	2,912	217	760
Repayments of liabilities to financial institutions	(854)	(2,949)	(599)	(955)
Proceeds from/(repayments on) loan notes and other loans	(26)	1,094	(100)	99
Increase/(decrease) in bills of exchange	(2)	4	(1)	(2)
Payment of thyssenkrupp AG dividend	(85)	(85)	0	$\bf{0}$
Profit attributable to non-controlling interest	(28)	(25)	(4)	(1)
Expenditures for acquisitions of shares of already consolidated companies	(6)	$\bf{0}$	$\mathbf 0$	$\bf{0}$
Financing of discontinued operations	(214)	(255)	(44)	(36)
Other financing activities	(114)	(201)	(167)	(49)
Cash flows from financing activities - continuing operations	(572)	495	(698)	(185)
Cash flows from financing activities - discontinued operations	108	121	12	(22)
Cash flows from financing activities - total	(464)	616	(686)	(206)
Net increase/(decrease) in cash and cash equivalents - total	(1, 478)	(1,836)	(482)	(652)
Effect of exchange rate changes on cash and cash equivalents - total	37	(38)	37	(81)
Cash and cash equivalents at beginning of year - total	4,535	4,105	3,539	2,964
Cash and cash equivalents at end of year - total	3,094	2,231	3,094	2,231
[thereof cash and cash equivalents within the discontinued operations]	$[43]$	$[27]$	$[43]$	$[27]$
Additional information regarding cash flows from interest, dividends and income taxes which are included in operating cash flows of continuing operations:
Interest received	67	47	17	12
Interest paid	(307)	(239)	(20)	(25)
Dividends received	59	34	5	34
Income taxes paid	(256)	(287)	(79)	(67)

See accompanying notes to consolidated financial statements.
¹⁾ Figures have been adjusted (cf. Note 02).

thyssenkrupp AG – Selected notes

Corporate information

thyssenkrupp Aktiengesellschaftň"thyssenkrupp AG" or "Company"'nis a publicly traded corporation domiciled in Duisburg and Essen in Germany. The condensed interim consolidated financial statements of thyssenkrupp AG and subsidiaries, collectively the "Group", for the period from October 1, 2016 to June 30, 2017, were reviewed and authorized for issue in accordance with a resolution of the Executive Board on August 7, 2017.

Basis of presentation

The accompanying Group's condensed interim consolidated financial statements have been prepared pursuant to section 37w of the German Securities Trading ActňWpHG'nand in conformity with IAS 34 "Interim financial reporting". They are in line with the International Financial Reporting StandardsňIFRS'nand its interpretations adopted by the International Accounting Standards Board ňIASB'n for interim financial information effective within the European Union. Accordingly, these financial statements do not include all of the information and footnotes required by IFRS for complete financial statements for year-end reporting purposes.

The accounting principles and practices as applied in the condensed interim consolidated financial statements as of June 30, 2017 correspond to those pertaining to the most recent annual consolidated financial statements with the exception of the recently adopted accounting standards. A detailed description of the accounting policies is published in the notes to the consolidated financial statements of our annual report 2015 / 2016.

Recently adopted accounting standards

In fiscal year 2016 / 2017, thyssenkrupp adopted the following amendments to already existing standards that did not have a material impact on the Group's consolidated financial statements:

Amendments to IAS 1 "Presentation of Financial Statements", issued in December 2014. The amendments mainly include clarifications regarding the judgment of materiality of disclosures, explanations how to aggregate and disaggregate line items of the balance sheet and the statement of comprehensive income, the order to the notes and the disclosure to significant accounting policies.
Amendments to IFRS 11 "Joint Arrangements": "Accounting for Acquisitions of Interests in Joint Operations", issued in May 2014
Amendments to IAS 16 "Property, Plant and Equipment" and IAS 38 "Intangible Assets": "Clarification of Acceptable Methods of Depreciation and Amortisation", issued in May 2014
Annual Improvements to IFRSs 2012-2014 Cycle, issued in September 2014
Amendments to IFRS 10, IFRS 12 and IAS 28: "Investment Entities Applying the Consolidation Exception", issued in December 2014

01 Acquisitions

At the beginning of April 2017 thyssenkrupp completed the full takeover of Atlas Elektronik after approval for the acquisition of the 49% share held by Airbus was also given by the German government and the competition authorities. thyssenkrupp already held a 51% share in Atlas Elektronik and managed the company together with Airbus as a joint venture, which was accounted for in the consolidated financial statements using the equity method. Following the full acquisition, the Atlas Elektronik group is now fully consolidated.

The Atlas Elektronik group is an international maritime high-tech supplier of ships' electronic systems and has been a technology partner of thyssenkrupp Marine systems for many years. With the takeover the Marine Systems business of the Industrial Solutions business area is repositioning itself as an integrated system provider and developing strategic advantages in the global market for submarines and naval surface vessels.

Immediately before the acquisition of the remaining share, the value of the investment accounted for using the equity-method amounted to €111 million. Following remeasurement in connection with the acquisition, this increased to €161 million taking into account the purchase price for the 49% share; the resultant profit of €50 million is reported under other income in the consolidated statement of income. The purchase price for the 49% share amounted to €155 million. In the context of the first-time consolidation a preliminary goodwill of €255 million was recognized, which contains assets such as know-how and customer relationships. Currently the purchase price is allocated.

Based on the preliminary values at the time of acquisition, the acquisition affected the consolidated financial statements as follows:

ACQUISITION O F ATLAS ELEKTRONIK GROUP

million €
Goodwill	255
Other intangible assets	12
Property, plant and equipment	67
Other non-current financial assets	3
Other non-current non-financial assets	1
Deferred tax assets	14
Inventories	132
Trade accounts receivable	224
Other current financial assets	16
Other current non-financial assets	30
Current income tax assets	14
Cash and cash equivalents	167
Total assets	935
Accrued pension and similar obligations	176
Deferred tax liabilities	10
Other non-current financial liabilities	2
Other current provisions	96
Current income tax liabilities	8
Trade accounts payable	28
Other current financial liabilities	18
Other current non-financial liabilities	281
Total liabilities	619
Net assets	316
Non-controlling interest	0
Purchase priceŊpaid via cash and fair value of equity-investmentŋ	316
Thereof: paid in cash and cash equivalents	155

Since it was fully consolidated in the Group's financial statements effective April 3, 2017, the Atlas Elektronik group has generated sales of around €119 million and earnings before taxes of around €0.5 million, which are contained in the consolidated income statement for the first 9 months ended June 30, 2017 and for the 3rd quarter ended June 30, 2017. If the acquisition had taken place instead as of October 1, 2016, the Atlas Elektronik group would have contributed additional sales of around €196 million and earnings before taxes of around €ň17'nmillion to the Group.

In the 9 months ended June 30, 2017, the Group acquired furthermore the two Brazilian Ecosteel companies in December 2016 and acquired additional smaller companies that are, on an individual basis, immaterial. Based on the values as of acquisition date, these acquisitions affected in total the Group's consolidated financial statements as presented below:

ADDITIONAL ACQUISITIONS

million €	9 months ended June 30, 2017
Goodwill	11
Other intangible assets	4
Property, plant and equipment	31
Other non-current financial assets	20
Deferred tax assets	1
Trade accounts receivable	3
Current income tax assets	1
Cash and cash equivalents	4
Total assets	75
Deferred tax liabilities	1
Other non-current non-financial liabilities	3
Trade accounts payable	1
Other current financial liabilities	1
Other current non-financial liabilities	3
Total liabilities	8
Net assets	67
Non-controlling interest	0
Purchase prices	67
Thereof: paid in cash and cash equivalents	67

02 Discontinued operation

As part of the Strategic Way Forward, thyssenkrupp reached agreement with Ternium on the sale of the Brazilian steel mill CSA Siderúrgica do Atlantico ňCSA'n at the end of February 2017. As of June 30, 2017 the sale was still subject to the approval of the responsible Brazilian competition authority CADE and is due for completion by September 30, 2017. The transaction meets the criteria of IFRS 5 for presentation of the Steel Americas business area as a discontinued operation. Consequently in the current reporting periods all expense and income of Steel Americas are reported separately in the income statement and all cash flows reported separately in the statement of cash flows; prior-period figures are adjusted accordingly. In the statement of financial position, assets and liabilities attributable to Steel Americas are only reported separately at the current balance sheet date.

In connection with the initiated disposal, the assets and liabilities of the discontinued operation are measured at fair value less costs to sell; this amounted to €1.5 billion ňenterprise value'n. This resulted in a negative earnings effect of €0.9 billion in the 2nd quarter ended March 31, 2017, including an impairment loss of €808 million in accordance with IAS 36 immediately prior to reclassification. Of this €8 million relates to goodwill, €1 million to other intangible assets, €83 million to land and buildings, €555 million to technical equipment and machinery, €1 million to other assets and €160 million to other non-financial assets. In addition, in the 2nd quarter ended March 31, 2017 a €101 million provision has been recognized for an obligation resulting from the sale to Ternium in connection with the slab supply contract, which as a result of further slab supplies increased by €51 million to €152 million in the 3rd quarter ended June 30, 2017. The expenses are included in the consolidated statement of income in the line "Income/ňloss'n from discontinued operationsňnet of tax'n".

The assets and liabilities of the Steel Americas business area classified as a discontinued operation are presented in the following table:

DISCONTINUED OPERATION STEEL AMERICAS

million $\epsilon$	June 30, 2017
Intangible assets
Property, plant and equipment	1,088
Other non-financial assets	119
Deferred tax assets	18
Inventories	489
Trade accounts receivable	169
Other current financial assets	28
Other current non-financial assets	165
Cash and cash equivalents	27
Assets held for sale	2,104
Non-current financial debt	181
Other current provisions	153
Current financial debt	69
Trade accounts payable	194
Other current financial liabilities	88
Other current non-financial liabilities	55
Liabilities associated with assets held for sale	741

The results of the Steel Americas business area are as follows:

DISCONTINUED OPERATION STEEL AMERICAS

million $\epsilon$	9 months ended June 30, 2016	9 months ended June 30, 2017	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017
Net sales	835	1,242	262	493
Other income	206	244	123	61
Expenses	(1, 146)	(2, 451)	(337)	(657)
Ordinary income/(loss) from discontinued operations (before tax)	(105)	(966)	48	(103)
Income tax (expense)/income	(31)	(81)	(12)	(31)
Ordinary income/(loss) from discontinued operations (net of tax)	(136)	(1,047)	36	(134)
Gain/(loss) recognized on measurement adjustments/disposals of discontinued operations (before tax)	0	n	0	n
Income tax (expense)/income	0		0	0
Gain/(loss) recognized on measurement adjustments/disposals of discontinued operations (net of tax)	0		0	0
Income/(loss) from discontinued operations (net of tax)	(136)	(1,047)	36	(134)
Thereof:
thyssenkrupp AG's shareholders	(55)	(1,047)	49	(134)
Non-controlling interest	(80)		(13)	0

03 Accrued pension and similar obligations

Based on updated interest rates and fair value of plan assets, an updated valuation of accrued pension obligations was performed as of June 30, 2017 taking into account these effects.

ACCRUED PENSION AND SIMILAR OBLIGATIONS

million €	Sept. 30, 2016	June 30, 2017
Accrued pension obligations	8,534	7,693
Partial retirement	178	194
Other accrued pension-related obligations	43	63
Total	8,754	7,950

The Group applied the following weighted average assumptions to determine pension obligations:

WEIGHTED AVERAGE ASSUMPTIONS
	Sept. 30, 2016
in %	Germany	Outside Germany	Total	Germany	Outside Germany	Total
Discount rate for accrued pension obligations	1.30	1.78	1.41	2.00	2.08	2.02

04 Issuance of a bond and utilization of the Commercial Paper Program

In March 2017 thyssenkrupp AG issued a bond with a total volume of €1,250 million with a maturity of five years and a coupon of 1.375% p.a. under its €10 billion debt issuance program.

As of June 30, 2017 the existing Commercial Paper Program with a maximum issuing volume of €1.5 billion was utilized with €1.1 billion.

05 Contingencies and commitments

Contingencies

thyssenkrupp AG as well as, in individual cases, its subsidiaries have issued or have had guarantees in favour of business partners or lenders. The following table shows obligations under guarantees where the principal debtor is not a consolidated Group company:

CONTINGENCIES
	Maximum potential amount of future payments as of	Provision as of
million €	June 30, 2017	June 30, 2017
Advance payment bonds	1	0
Performance bonds	2	0
Residual value guarantees	61	12
Other guarantees	7	0
Total	71	12

Compared with September 30, 2016 contingencies decreased significantly by €352 million to €71 million; this is in connection with the first-time consolidation of the Atlas Elektronik group as of April 3, 2017.

The terms of those guarantees depend on the type of guarantee and may range from three months to ten years ňe.g. rental payment guarantees'n. The basis for possible payments under the guarantees is always the non-performance of the principal debtor under a contractual agreement, e.g. late delivery, delivery of non-conforming goods under a contract or non-performance with respect to the warranted quality or default under a loan agreement.

All guarantees are issued by or issued by instruction of thyssenkrupp AG or subsidiaries upon request of the principal debtor obligated by the underlying contractual relationship and are subject to recourse provisions in case of default. If such a principal debtor is a company owned fully or partially by a foreign third party, the third party is generally requested to provide additional collateral in a corresponding amount.

Commitments and other contingencies

Due to the high volatility of iron ore prices, in the Steel Europe and Steel Americas business areas the existing long-term iron ore and iron ore pellets supply contracts are measured for the entire contract period at the iron ore prices applying as of the respective balance sheet date. Compared with September 30, 2016, purchase commitments as of June 30, 2017 are again at the level of €7.1 billion; of this €5.0 billion relates to the discontinued operation Steel Americas.

There have been no other material changes since the end of the last fiscal year.

06 Financial instruments

The following table shows financial assets and liabilities by measurement categories and classes. Finance lease receivables and liabilities, and derivatives that qualify for hedge accounting are also included although they are not part of any IAS 39 measurement category.

FINANCIAL INSTRUMENTS AS O F SEPT. 30, 2016

		Measurement in accordance with IAS 39			Measurement in accordance with IAS 17
million €	Carrying amount on balance sheet as of Sept. 30, 2016	'nAmortizedŊ cost	Fair value recognized in profit or loss	Fair value recognized	in equity Amortized cost	Fair value as of Sept. 30, 2016
Trade accounts receivableňexcluding finance lease'n	5,001	5,001				5,001
Loans and receivables		5,001				5,001
Finance lease receivables	1				1	1
Other financial assets	451	340	60	51		451
Loans and receivables		324				324
Available-for-sale financial assets		16		18		34
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n			60			60
Derivatives qualifying for hedge accounting			0	33		33
Cash and cash equivalents	4,105	4,105				4,105
Loans and receivables		4,105				4,105
Total of financial assets	9,559
thereof by measurement categories of IAS 39:
Loans and receivables	9,431	9,431				9,431
Available-for-sale financial assets	34	16		18		34
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n	60		60			60
Financial debtňexcluding finance lease'n	7,578	7,578				7,919
Financial liabilities measured at amortized cost		7,578				7,919
Finance lease liabilities	33				33	33
Trade accounts payable	5,119	5,119				5,119
Financial liabilities measured at amortized cost		5,119				5,119
Other financial liabilities	1,196	970	165	62		1,196
Financial liabilities measured at amortized cost		970				970
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n			163			163
Derivatives qualifying for hedge accounting			2	62		63
Total of financial liabilities	13,927
thereof by measurement categories of IAS 39:
Financial liabilities measured at amortized cost	13,667	13,667				14,008
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n	163		163			163

FINANCIAL INSTRUMENTS AS O F JUNE 30, 2017

		Measurement in accordance with IAS 39			Measurement in accordance with IAS 17
million €	Carrying amount on balance sheet as of June 30, 2017	'nAmortizedŊ cost	Fair value recognized in profit or loss	Fair value recognized	in equity Amortized cost	Fair value as of June 30, 2017
Trade accounts receivableňexcluding finance lease'n	6,015	6,015				6,015
Loans and receivables		6,015				6,015
Finance lease receivables	1				1	1
Other financial assets	474	361	70	43		474
Loans and receivables		347				347
Available-for-sale financial assets		15		20		35
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n			56			56
Derivatives qualifying for hedge accounting			14	23		37
Cash and cash equivalents	2,204	2,204				2,204
Loans and receivables		2,204				2,204
Total of financial assets	8,694
thereof by measurement categories of IAS 39:
Loans and receivables	8,565	8,565				8,565
Available-for-sale financial assets	35	15		20		35
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n	56		56			56
Financial debtňexcluding finance lease'n	8,267	8,267				8,624
Financial liabilities measured at amortized cost		8,267				8,624
Finance lease liabilities	30				30	30
Trade accounts payable	5,021	5,021				5,021
Financial liabilities measured at amortized cost		5,021				5,021
Other financial liabilities	1,028	898	68	61		1,028
Financial liabilities measured at amortized cost		898				898
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n			58			58
Derivatives qualifying for hedge accounting			10	61		71
Total of financial liabilities	14,345
thereof by measurement categories of IAS 39:
Financial liabilities measured at amortized cost	14,186	14,186				14,543
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n	58		58			58

The carrying amounts of trade accounts receivable, other current financial assets as well as cash and cash equivalents equal their fair values. The fair value of loans equals the present value of expected cash flows which are discounted on the basis of interest rates prevailing on the interim balance sheet date.

Available-for-sale financial assets primarily include equity and debt instruments. They are in general measured at fair value, which is based to the extent available on market prices as of the interim balance sheet date. When no quoted market prices in an active market are available and the fair value cannot be reliably measured, equity instruments are measured at cost.

The fair value of foreign currency forward transactions is determined on the basis of the middle spot exchange rate applicable as of the interim balance sheet date, and taking into account of forward premiums or discounts arising for the respective remaining contract term compared to the contracted forward exchange rate. Common methods for calculating option prices are used for foreign currency options. The fair value of an option is influenced not only by the remaining term of an option, but also by other factors, such as current amount and volatility of the underlying exchange or base rate.

Interest rate swaps and cross currency swaps are measured at fair value by discounting expected cash flows on the basis of market interest rates applicable for the remaining contract term. In the case of cross currency swaps, the exchange rates for each foreign currency, in which cash flows occur, are also included.

The fair value of commodity futures is based on published price quotations. It is measured as of the interim balance sheet date, both internally and by external financial partners.

The carrying amounts of trade accounts payable and other current liabilities equal their fair values. The fair value of fixed rate liabilities equals the present value of expected cash flows. Discounting is based on interest rates applicable as of the balance sheet date. The carrying amounts of floating rate liabilities equal their fair values.

Financial assets and liabilities measured at fair value could be categorized in the following three level fair value hierarchy:

FAIR VALUE HIERARCHY AS O F SEPT. 30, 2016

million €	Sept. 30, 2016	Level 1	Level 2	Level 3
Financial assets at fair value
Fair value recognized in profit or loss
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n	60	0	60	0
Derivatives qualifying for hedge accounting	0	0	0	0
Fair value recognized in equity
Available-for-sale financial assets	18	16	3	0
Derivatives qualifying for hedge accounting	33	0	33	0
Total	111	16	96	0
Financial liabilities at fair value
Fair value recognized in profit or loss
Derivatives not qualifying for hedge accountingňFinancial liabilities held for trading'n	163	0	51	113
Derivatives qualifying for hedge accounting	2	0	2	0
Fair value recognized in equity
Derivatives qualifying for hedge accounting	62	0	62	0
Total	227	0	114	113

FAIR VALUE HIERARCHY AS O F JUNE 30, 2017

million €	June 30, 2017	Level 1	Level 2	Level 3
Financial assets at fair value
Fair value recognized in profit or loss
Derivatives not qualifying for hedge accountingňFinancial assets held for trading'n	56	0	56	0
Derivatives qualifying for hedge accounting	14	0	14	0
Fair value recognized in equity
Available-for-sale financial assets	20	18	3	0
Derivatives qualifying for hedge accounting	23	0	23	0
Total	113	18	95	0
Financial liabilities at fair value
Fair value recognized in profit or loss
Derivatives not qualifying for hedge accountingňFinancial liabilities held for trading'n	58	0	58	0
Derivatives qualifying for hedge accounting	10	0	10	0
Fair value recognized in equity
Derivatives qualifying for hedge accounting	61	0	61	0
Total	129	0	129	0

The fair value hierarchy reflects the significance of the inputs used to determine fair values. Financial instruments with fair value measurement based on quoted prices in active markets are disclosed in Level 1. In Level 2 determination of fair values is based on observable inputs, e.g. foreign exchange rates. Level 3 comprises financial instruments for which the fair value measurement is based on unobservable inputs.

The following table shows the reconciliation of level 3 financial instruments:

RECONCILIATION LEVEL 3 FINANCIAL INSTRUMENTS

million €
Balance as of Sept. 30, 2016ňassets/ňliability'n'n	ň113'n
Changes recognized in profit or loss	38
Reclassification due to the presentation as liabilities associated with assets held for sale	74
Balance as of June 30, 2017Ŋassets/Ŋliabilityŋŋ	0

The financial liability, which is based on individual valuation parameters and recognized at fair value, primarily comprises a freight derivative which was valued according to the contractually agreed minimum volume on the basis of recognized hedge models taking into account the market data prevailing at the closing date. The resulting income effect is recognized in the consolidated statement of income under "Income/ňloss'nfrom discontinued operationsňnet of tax'n".

The notional amounts and fair values of the Group's derivative financial instruments are as follows:

DERIVATIVE FINANCIAL INSTRUMENTS

million €	Notional amount as of Sept. 30, 2016	Carrying amount as of Sept. 30, 2016	Notional amount as of June 30, 2017	Carrying amount as of June 30, 2017
Assets
Foreign currency derivatives that do not qualify for hedge accounting	2,100	41	1,634	32
Foreign currency derivatives qualifying as cash flow hedges	360	14	350	17
Embedded derivatives	70	1	77	4
Interest rate derivatives that do not qualify for hedge accounting	0	0	6	0
Interest rate derivatives qualifying as cash flow hedges1'n	618	9	133	4
Commodity derivatives that do not qualify for hedge accounting	278	18	282	21
Commodity derivatives qualifying as cash flow hedges	64	10	36	2
Commodity derivatives qualifying as fair value hedges	0	0	110	14
Total	3,490	93	2,626	93
Equity and liabilities
Foreign currency derivatives that do not qualify for hedge accounting	2,662	30	1,339	28
Foreign currency derivatives qualifying as cash flow hedges	400	7	363	11
Embedded derivatives	169	2	139	7
Interest rate derivatives that do not qualify for hedge accounting	11	0	15	1
Interest rate derivatives qualifying as cash flow hedges1'n	406	32	204	26
Commodity derivatives that do not qualify for hedge accounting2'n	483	131	368	22
Commodity derivatives qualifying as cash flow hedges	152	23	161	24
Commodity derivatives qualifying as fair value hedges	50	2	158	10
Total	4,332	227	2,747	129

¹^'n Inclusive of cross currency swaps

²^'n Inclusive of freights

07 Segment reporting

Segment information for the 9 months ended June 30, 2016 and 2017, respectively and for the 3rd quarter ended June 30, 2016 and 2017, respectively is as follows:

SEGMENT INFORMATION

million $\epsilon$	Components Technology	Elevator Technology	Industrial Solutions	Materials Services	Steel Europe	Corporate	Steel Americas ¹⁾	Consolidation	Group
9 months ended June 30, 2016
Net sales	5,117	5,524	4,335	8,708	4,718	28	835	$\Omega$	29,265
Internal sales within the Group	4	3	8	206	947	150	176	(1, 493)	0
Total sales	5,122	5,526	4,343	8,914	5,664	179	1,011	(1, 493)	29,265
EBIT	218	569	283	36	198	(385)	(91)	18	846
Adjusted EBIT	256	614	287	66	207	(347)	(100)	18	1,001
9 months ended June 30, 2017
Net sales	5,642	5,699	3,978	9,948	5,498	8	1,242	$\bf{0}$	32,013
Internal sales within the Group	$6\phantom{1}6$	4	24	236	1,119	187	241	(1,818)	$\bf{0}$
Total sales	5,648	5,703	4,002	10,185	6,616	195	1,483	(1,818)	32,013
EBIT	216	584	48	189	347	(388)	(781)	(10)	205
Adjusted EBIT	274	662	70	245	352	(370)	152	(10)	1,376
3rd quarter ended June 30, 2016
Net sales	1,782	1,906	1,226	3,014	1,667	9	262	$\Omega$	9,865
Internal sales within the Group	$\mathbf{1}$	$\mathbf{1}$	3	74	348	55	74	(555)	$\mathbf 0$
Total sales	1,783	1,906	1,228	3,087	2,015	64	336	(555)	9,865
EBIT	72	205	41	35	92	(130)	53	4	372
Adjusted EBIT	100	225	43	52	91	(113)	39	4	441
3rd quarter ended June 30, 2017
Net sales	1,965	1,950	1,228	3,406	1,917	(30)	493	$\bf{0}$	10,929
Internal sales within the Group	5	$\overline{\mathbf{A}}$	13	97	420	99	73	(712)	$\bf{0}$
Total sales	1,970	1,954	1,241	3,504	2,337	69	566	(712)	10,929
EBIT	93	232	15	57	231	(145)	44	$\overline{2}$	529
Adjusted EBIT	99	240	6	73	232	(131)	100	$\overline{2}$	620

¹⁾ Discontinued operation

In the Industrial Solutions business area, average capital employed increased from $E(475)$ million as of September 30, 2016 to €349 million as of June 30, 2017.

Net sales as well as adjusted EBIT and EBIT reconcile to the respective figures as presented in the consolidated statement of income as following:

RECONCILIATION NET SALES

million $\epsilon$	9 months ended June 30, 2016	9 months ended June 30, 2017	3rd quarter ended June 30, 2016	3rd quarter ended June 30, 2017
Net sales as presented in segment reporting	29.265	32.013	9.865	10,929
- Net sales Steel Americas	(835)	(1.242)	(262)	(493)
Net sales as presented in the statement of income	28.430	30.772	9.603	10,437

RECONCILIATION EBIT TO EBT

million $\epsilon$	9 months ended June 30, 2016 ¹⁾	9 months ended June 30, 2017	3rd quarter ended June 30, 2016 ¹⁾	3rd quarter ended June 30, 2017
Adjusted EBIT as presented in segment reporting	1,001	1,376	441	620
Special items	(155)	(1, 170)	(70)	(91)
EBIT as presented in segment reporting	846	205	372	529
+ Non-operating income/(expense) from companies accounted for using the equity method	0	$\Omega$
+ Finance income	913	817	266	195
- Finance expense	(1,368)	(1,280)	(381)	(422)
- Items of finance income assigned to EBIT based on economic classification	38	(50)	(4)	(11)
+ Items of finance expense assigned to EBIT based on economic classification	16	22	8	$\overline{2}$
EBT-Group	445	(287)	261	293
- EBT Steel Americas	105	966	(48)	103
EBT from continuing operations as presented in the statement of income	550	679	212	396

¹⁾ Figures have been adjusted (cf. Note 02).

08 Earnings per share

Basic earnings per share are calculated as follows:

EARNINGS PER SHARE

	9 months ended June 30, 20161Ŋ		9 months ended June 30, 2017		3rd quarter ended June 30, 20161Ŋ		3rd quarter ended June 30, 2017
	Total amount in million €	Earnings per share in €	Total amount in million €	Earnings per share in €	Total amount in million €	Earnings per share in €	Total amount in million €	Earnings per share in €
Income/ňloss'nfrom continuing operationsňnet of tax'n ňattributable to thyssenkrupp AG's shareholders'n	223	0.39	296	0.52	82	0.14	254	0.45
Income/ňloss'nfrom discontinued operations ňnet of tax'n ňattributable to thyssenkrupp AG's shareholders'n	ň55'n	ň0.10'n	'n1,047Ŋ	'n1.85Ŋ	49	0.09	'n134Ŋ	'n0.24Ŋ
Net income/ŊlossŋŊattributable to thyssenkrupp AG's shareholdersŋ	168	0.30	Ŋ751ŋ	Ŋ1.33ŋ	130	0.23	120	0.21
Weighted average shares	565,937,947		565,937,947		565,937,947		565,937,947

¹^'n Figures have been adjustedňcf. Note 02'n.

There were no dilutive securities in the periods presented.

09 Additional information to the consolidated statement of cash flows

The liquid funds considered in the consolidated statement of cash flows correspond to the "Cash and cash equivalents" line item in the consolidated statement of financial position taking into account the cash and cash equivalents attributable to the discontinued operation. As of June 30, 2017 cash and cash equivalents of €18 million ňprior year: €142 million'n result from the joint operation HKM.

Non-cash investing activities: In the 9 months ended June 30, 2017, the acquisition and first-time consolidation of companies created an increase in non-current assets of €418 millionňprior year: €3 million'n.

10 Subsequent event

On August 1, 2017 the Brazilian competition authority CADE approved without restrictions the sale of the Brazilian steel mill CSA to Ternium. The approval is not yet final. All other competent competition authorities had already given their approval.

Essen, August 7, 2017

thyssenkrupp AG The Executive Board

Hiesinger

Burkhard Kaufmann Kerkhoff

Review report

To thyssenkrupp AG, Duisburg and Essen

We have reviewed the condensed consolidated interim financial statements – comprising the consolidated statement of financial position, the consolidated statement of income and the consolidated statement of comprehensive income, the consolidated statement of changes in equity, the consolidated statement of cash flows and selected explanatory notes – and the interim group management report of thyssenkrupp AG, Duisburg and Essen, for the period from October 1, 2016, to June 30, 2017, which are part of the quarterly financial report pursuant to §ňArticle'n37w WpHG ň"Wertpapierhandelsgesetz" German Securities Trading Act'n. The preparation of the condensed consolidated interim financial statements in accordance with the IFRS applicable to interim financial reporting as adopted by the EU and of the interim group management report in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports is the responsibility of the parent Company's Board of Managing Directors. Our responsibility is to issue a review report on the condensed consolidated interim financial statements and on the interim group management report based on our review.

We conducted our review of the condensed consolidated interim financial statements and the interim group management report in accordance with German generally accepted standards for the review of financial statements promulgated by the Institut der WirtschaftsprüferňInstitute of Public Auditors in Germany'n ňIDW'n and additional observed the International Standard on Review Engagements "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" ňISRE 2410'n. Those standards require that we plan and perform the review so that we can preclude through critical evaluation, with moderate assurance, that the condensed consolidated interim financial statements have not been prepared, in material respects, in accordance with the IFRS applicable to interim financial reporting as adopted by the EU and that the interim group management report has not been prepared, in material respects, in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports. A review is limited primarily to inquiries of company personnel and analytical procedures and therefore does not provide the assurance attainable in a financial statement audit. Since, in accordance with our engagement, we have not performed a financial statement audit, we cannot issue an audit opinion.

Based on our review, no matters have come to our attention that cause us to presume that the condensed consolidated interim financial statements have not been prepared, in material respects, in accordance with the IFRS applicable to interim financial reporting as adopted by the EU nor that the interim group management report has not been prepared, in material respects, in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports.

Essen, August 9, 2017

PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft

Prof. Dr. Norbert Winkeljohann Michael Preiß ňGerman Public Auditor'n ňGerman Public Auditor'n

Additional information

Contact and 2017/2018 financial calendar

For more information please contact:

Communications

Phone: +49 201 844-536043 Fax: +49 201 844-536041 E-mail: [email protected]

Investor Relations E-mail: [email protected]

Institutional investors and analysts

Phone: +49 201 844-536464 Fax: +49 201 8456-900702

Private investors

Phone: +49 201 844-536367 Fax: +49 201 8456-900702

Published by

thyssenkrupp AG thyssenkrupp Allee 1, 45143 Essen, Germany Postfach, 45063 Essen, Germany

Phone: +49 201 844-0 Fax: +49 201 844-536000 E-mail: [email protected]

www.thyssenkrupp.com

Forward-looking statements

This document contains forward-looking statements that reflect management's current views with respect to future events. Such statements are subject to risks and uncertainties that are beyond thyssenkrupp's ability to control or estimate precisely, such as future market and economic conditions, the behavior of other market participants, the ability to successfully integrate acquired businesses and achieve anticipated synergies and the actions of government regulators. If any of these or other risks and uncertainties occur, or if the assumptions underlying any of these statements prove incorrect, then actual results may be materially different from those expressed or implied by such statements. thyssenkrupp does not intend or assume any obligation to update any forward-looking statements to reflect events or circumstances after the date of these materials.

2017 / 2018 financial calendar

November 23, 2017

2016 / 2017 Annual ReportňOctober to September'n Annual press conference Analysts' and investors' conference

January 19, 2018 Annual General Meeting

February 14, 2018

Interim report 1st quarter 2017 / 2018ňOctober to December'n Conference call with analysts and investors

May 15, 2018

Interim report 1st half 2017 / 2018ňOctober to March'n Conference call with analysts and investors

August 9, 2018

Interim report 9 months 2017 / 2018ňOctober to June'n Conference call with analysts and investors

This interim report was published on August 10, 2017. Produced in-house using firesys.

Rounding differences and rates of change

Percentages and figures in this report may include rounding differences. The signs used to indicate rates of change are based on economic aspects: Improvements are indicated by a plusň+'nsign, deteriorations are shown in bracketsň'n. Very high positive and negative rates of changeň≥500 % or≤ň100'n%'nare indicated by ++ and – respectively.

Variances for technical reasons

Due to statutory disclosure requirements the Company must submit this financial report electronically to the Federal GazetteňBundesanzeiger'n. For technical reasons there may be variances in the accounting documents published in the Federal Gazette. German and English versions of the financial report can be downloaded from the internet at www.thyssenkrupp.com. In the event of variances, the German version shall take precedence over the English translation.

AI assistant

thyssenkrupp AG — Interim / Quarterly Report 2017

435_10-q_2017-08-11_c0deb7f0-bfb5-42d7-acd2-bd51be7e33de.pdf

engineering. tomorrow.

thyssenkrupp in figures

GROUP TOTAL

thyssenkrupp interim report 9 months 2016 / 2017 thyssenkrupp in figures

BUSINESS AREAS

thyssenkrupp interim report 9 months 2016/2017 thyssenkrupp in figures

CONTINUING OPERATIONS

thyssenkrupp interim report 9 months 2016 / 2017 thyssenkrupp in figures

BUSINESS AREAS

THYSSENKRUPP STOCK / ADR MASTER DATA AND KEY FIGURES

Contents

thyssenkrupp in figures

Interim management report

Condensed interim financial statements

Additional information

Interim management report

Report on the economic position

Summary

Macro and sector environment

Global economy has gained momentum – outlook remains marked by great uncertainty

GROSS DOMESTIC PRODUCT

Automotive

Machinery

Construction

IMPORTANT SALES MARKETS

Steel

Group and business area review

ORDER INTAKE BY BUSINESS AREA

Components Technology

Elevator Technology

Industrial Solutions

NET SALES BY BUSINESS AREA

Materials Services

Steel Europe

Components Technology

Elevator Technology

Industrial Solutions

Materials Services

Steel Europe

Earnings impacted by special items

SPECIAL ITEMS BY BUSINESS AREA

Results of operations and financial position

Analysis of the statement of income

Income from operations

Financial income/expense and income tax

Earnings per share

Analysis of the statement of cash flows

Operating cash flows

Cash flows from investing activities

Components Technology

Elevator Technology

Industrial Solutions

Materials Services

Steel Europe

Corporate

Cash flows from financing activities

Free cash flow and net financial debt

RECONCILIATION TO FREE CASH FLOW BEFORE M&A

Financing measure

Rating

RATING

Analysis of the statement of financial position

Non-current assets

Current assets

Total equity

Non-current liabilities

Current liabilities

Compliance

Compliance – a question of mindset

Subsequent events

Forecast, opportunity and risk report

2016 / 2017 forecast

Overall assessment by the Executive Board

2016 / 2017 expectations

Opportunities and risks

Opportunities

Risks

thyssenkrupp AG Interim / Quarterly Report 2017