WashTec AG — Interim / Quarterly Report 2016

Oct 28, 2016

Conference Call

WashTec AG, Q3 2016 Report

Content

1	Facts & Figures
2	Share Performance
3	Outlook

Highlights Q3 2016

• Successful participation in Automechanika fair, Frankfurt with focus on car dealerships and Export markets
• Strong order intake with all time high order backlog per Sept 2016
• Received first tunnel orders for EU product in North America
• Major employee event with more than 1,900 guests as part of Showroom opening
• Participation in several investment conferences and roadshows
• Share price on all time high
• Year-end estimation of at least 7.5% growth

EBIT after 9 months at €25.2m and thus 8.2% above prior year

* Rounding differences possible

4 | Conference Call, October 28, 2016

17% growth yoy of EU chemical business

In € m, Q3
Rounding differences possible	2016	2015	Change	in %
Equipment & Service	220.2	207.2	13.0	6.3
Chemicals	29.8	28.5	1.3	4.6
Operations & other	9.8	10.1	-0.3	-3.0
Total	259.8	245.8	14.0	5.7

Revenue & EBIT growth driven by Europe & APAC while NA will catch up in Q4

Revenues in €m*:

EPS already 17% up yoy

in €m*	Q3 2016	Q3 2015
Revenues	259.8	245.8
Gross margin	156.0 (60.0 %)	148.2 (60.3%)
Personnel expenses	(90.1) [34.7 %]	(83.6) [34.0%]
Other operating expenses	(38.7) [14.9 %]	(37.7) [15.3%]
EBITDA	32.0	30.5
Depreciation	(6.8)	(7.2)
EBIT	25.2 [9.7 %]	23.3 [9.5%]
Financial result	(0.2)	(0.4)
EBT	25.0	22.9
Tax expenses	(7.6)	(7.5)
Net profit	17.4	15.5
Earnings per share (in €)	1.30	1.11
* Rounding differences possible

7 | Conference Call, October 28, 2016

Inventory increase caused by high number of planned installs for Q4 2016

in €m*	Sept 30, 2016	Dec 31, 2015
Balance sheet total	203.6	190.0
Goodwill	42.3	42.3
Equity	73.8	80.3
Net finance debt	10.3	1.9
Net working capital	80.1	78.1

	Sept 30, 2016	Sept 30, 2015
Net cash flow	28.5	17.6
Cash outflow from investing activities	13.6	(3.7)
Free cash flow	14.2	14.0
* Rounding differences possible 8 Conference Call, October 28, 2016

Content

1	Facts & Figures
2	Share Performance
3	Outlook

Trading volume doubled compared to 2015

Analyst Coverage
Analyst (+ Date)	Recommen dation	Target Price (€)
Hauck & Aufhäuser (09/16)	Buy	51.00
HSBC (08/16)	Hold	34.00
MM Warburg (08/16)	Hold	37.00
Bankhaus Lampe (10/16)	Buy	51.00
	Average	43.25

Trade Volume (Xetra)
	Volume (pcs.)
Period	2016	2015
Jan.- Sept.	2,358,728	2,228,922

Content

1	Facts & Figures
2	Share Performance
3	Outlook

Guidance for the full year and upcoming events

Guidance:

• Strong Q4 2016 with double-digit growth and above average growth in Q1 2017 expected (Mainly due to key account installs)
• EBIT margin 2016 above 2015 level
• Mainly for US significant EBIT improvement in Q4 2016 expected
• Group-wide headcount increase in 2016 will slow down
• Finance offer as part of reload program offered to major key accounts

Upcoming events:

• Ramp up of chemical production in expanded production facility in Grebenau in next two quarters
• Participation in Equity Forum in Frankfurt

Backup

Financial calendar 2017

November 21-23, 2016	Equity Forum Frankfurt
March 22, 2017	Annual Report
May 03, 2017	Q1 Report and Investor Call
May 03, 2017	Annual General Meeting

Disclaimer

No offer:

This document does not constitute or form part of an offer for sale or subscription or an invitation or solicitation of an offer to subscribe for or purchase any securities and neither this document nor anything contained herein shall form the basis of any contract or commitment whatsoever. neither this document nor any copy of it may be taken or transmitted into the united states or provided or transmitted to any U.S. person (within the meaning of regulations under the U.S. securities act of 1933, as amended).

Confidentiality:

This document is strictly confidential to the recipient, is being supplied to you solely for your information, may not be distributed to the press or other media (including information vendors and wire services) and may not be reproduced in any form or redistributed or passed on, directly or indirectly, to any other person or published, in whole or in part, for any purpose.

Cautionary Note Regarding Forward-Looking Statements:

This document refers to statements relating expressly and implicitly to the future. Such forward-looking statements are based on current expectations, estimates, forecasts and prognoses concerning the development of the market as well as management estimates and assumptions. Such forward-looking statements are no guarantee that events or results will actually materialise in the future and are subject to risks, uncertainties, assumptions and other factors that could lead to actual events or results deviating substantially from those anticipated in these forward-looking statements. The company assumes no obligation to update any forwardlooking information.