WashTec AG — Interim / Quarterly Report 2023

May 4, 2023

Dr. Ralf Koeppe | CEO, CTO Andreas Pabst | CFO Board of Management WashTec AG

May 4, 2023

2 | Financial Statement Q1 2023 | May 4, 2023 | WashTec AG

Our Mission: Sustainable Car Wash

Smart Machines

Clean Cars

Water Recycling

Green Chemicals

Digital Platform

WashTec - economic sustainability

Transparent water treatment by digitalization

Wash count analytics

Aqua Pur Modular for Europe and North America

Data:

• Fresh water
• Process water
• Sensor data about the state of process water
• Functions driven by this sensor data

Sustainability Report 2022

We at WashTec are committed to integrate sustainability in the business model of our customers by providing sustainable car wash solutions.

WashTec's second extensive sustainability report to be published in Q2, 2023.

On the road again – WashTec will be at these upcoming fairs

May 8-10, 2023 Die Tankstellenmesse

The Car Wash ShowTM Tankstelle & Mittelstand Las Vegas Nevada June 14-15,2023 | Essen

Come and visit us there!

7 | Financial Statement Q1 2023 | May 4, 2023 | WashTec AG

Q1 2023 at a glance – positive revenue and EBIT development

Q1
		Q1 2023	Q1 2022 Change
				absolute	in %
Revenue	€m	109.2	101.2	8.2	8.1
EBIT	€m	5.5	4.6	0.9	19.6
EBIT margin	%	5.0	4.6	0.4	-
EBT	€m	5.1	4.5	0.6	13.3
Net income	€m	3.5	2.3	1.2	52.2
Employees at reporting date	persons	1,785	1,788	-3	-0.2
Number of Shares	units	13,382,324	13,382,324	0	0.0
Earnings per Share	€m	0.26	0.17	0.09	52.2
Free cash flow	€m	1.9	-3.6	5.5	152.8
Net cash outflow from investing activities	€m	11.1	1.2	9.9	825.0
Equity ratio	%	31.2	36.0	-4.8	-

▪ Group revenue increased in all product segments

WashTec generated revenue of €109.2m in the first three months of the year, a new record for a first quarter and a significant 8.1% increase on the prior year (€101.0m).

▪ Significant increase in Group EBIT

EBIT, at €5.5m, 19.6% higher than prior year due to positive revenue performance and strict cost management (prior year: €4.6m); EBIT margin in traditionally weak first quarter: 5.0% (prior year: 4.6%).

▪ Positive free cash flow

Despite a high level of investment activity, notably including the acquisition of the site occupied by the US subsidiary, the Group generated a positive free cash flow of €1.9m (prior year: €−3.6m).

▪ Full year guidance for 2023 confirmed Revenue on a similar level to the prior year with a significant increase in EBIT.

Revenue Q1 and EBIT Q1 in multi-year comparison in €m

In general, first quarter is the weakest for WashTec.

Q1/23 best first quarter for WashTec.

Revenue:

▪ +18% compared to pre-covid

▪ CAGR of 4.3% since 2019

EBIT:

• EBIT more than doubled compared to pre-covid
• CAGR of 20.6% since 2019

Revenue Q1 by region

Revenue by regions, Q1

in €m	Q1 2023	Q1 2022		Change
			absolute	in %
Europe	86.8	81.6	5.2	6.4
North America	21.5	18.3	3.2	17.5
Asia/Pacific	3.7	3.9	-0.2	-5.1
Consolidation	-2.9	-2.9	0	-
Total	109.2	101.0	8.2	8.1

• Europe stands for 79.5% (Q1/22 80.8%) of groups revenue; revenue increased by 6.4% in Q1/23 after 12.4% in Q1/22. Key account business clearly predominated here. Chemicals revenue also performed positively.
• Revenue in North America was significantly higher than in the prior year, with an increase of 17.5% to €21.5m (prior year: €18.3m). Revenue share of North America is now at 19.7% (Q1/22: 18.1%).
• In the Asia/Pacific region, revenue in the first three months came to €3.7m – a decrease of €0.2m (prior year: €3.9m).

EBIT Q1 by region

EBIT by regions, Q1

in €m	Q1 2023	Q1 2022	Change
			absolute	in %
Europe	5.9	4.4	1.5	34.1
North America	-0.3	-0.3	0	0.0
Asia/Pacific	-0.2	0.4	-0.6	-150.0
Consolidation	0.1	0.1	0	-
Total	5.5	4.6	0.9	19.6

• EBIT in the Europe region increased by a significant 34.1% to €5.9m in the first quarter (prior year: €4.4m). EBIT-Margin is at 6.8% (Q1/22: 5.4%)
• EBIT in the North America region was at the same level as the prior year at €−0.3m (prior year: €−0.3m). In order to sustainably increase profitability, an efficiency program was launched in the first quarter and work has begun on its implementation. The Group expects a positive contribution from this in the current fiscal year
• Due to the decline in revenue in the first quarter, the Asia/Pacific region generated a small loss of €−0.2m (prior year: €0.4m)

Revenue Q1 by product

Revenue by product, Q1
in €m	Q1 2023	Q1 2022		Change
			absolute	in %
Equipment and service	91.1	83.9	7.2	8.6
Chemicals	16.7	15.6	1.1	7.1
Other	1.3	1.5	-0.2	-13.3
Total	109.2	101.0	8.2	8.1

Revenue increased compared to the prioryear quarter in all product segments due to:

• price increases implemented over the course of the last year and at the beginning of this year
• increased number of machines sold
• Good chemical business, especially in Europa and Australia

EBIT-Bridge Q1 in €m

• Gross profit margin fell form 26.8% o 25.5% mainly due to higher material and energy costs compared first quarter 2022
• Functional costs ratio (sum of selling costs, R&D and administrative expenses as percentage of revenue) decreased due to strict cost management from 22.8% to 21.0%
• Increase in selling expenses caused by significant higher outbound freights

High cash outflow from investing activities of 11.1m€ in Q1 is mainly impacted by purchase of the site occupied by the US Subsidiary (USD 10.3m)

Location:

5981 Tennyson Street and 4750 West 60th Avenue

Arvada, CO 80003

App. 313,488 square feet

Industrial, Light District

Financing:

The purchase price of USD 10.3m was financed by a US dollar bank facility in the same amount.

The loan agreements include both fixed and variable components.

	2022	Guidance 2023
Revenue	482.2m€	at prior-year level +/-3%
EBIT	38.0m€	significant increase >= 10%
Free Cashflow	16.2m€	significant increase >= 10%
ROCE	20.2%	>= 1 percentage point

| Financial Statement Q1 2023 | May 4, 2023 | WashTec AG

Financial Calendar 2023

Date	Event
May 15, 2023	Annual General Meeting
June 21, 2023	Sustainability report Press conference
August 3, 2023	Half-yearly financial statement
November 2, 2023	Q3 Statement

Event Calendar 2023

Date	Event
May 16, 2023	Spring Conference, Equity Forum, Frankfurt
June 15, 2023	Warburg Highlights Conference, Hamburg
November 27.-29., 2023	Equity Forum, Frankfurt

Disclaimer

Cautionary note with regard to forward-looking statements: This document contains forward-looking statements and statements of future expectations that reflect management's current views and assumptions with respect to future events. Such statements are subject to known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied and that are beyond WashTec AG's ability to control or estimate precisely. In addition to statements which are forward-looking by reason of context, the words 'may, will, should, expects, plans, intends, anticipates, believes, estimates, predicts, potential, or continue' and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those statements due to, without limitation, (i) general economic conditions, (ii) future performance of financial markets, (iii) interest rate levels (iv) currency exchange rates (v) the behaviour of other market participants (vi) general competitive factors (vii) changes in laws and regulations (viii) changes in the policies of central banks, governmental regulators and/or (foreign) governments (ix) the ability to successfully integrate acquired and merged businesses and achieve anticipated synergies (x) reorganization measures, in each case on a local, national, regional and/or global basis. WashTec AG does not assume any obligation and does not intend to update any forward-looking statements to reflect events or circumstances after the date of these materials.

No obligation to update information: Due to rounding, numbers presented throughout this, and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures. WashTec AG does not assume any obligation and does not intend to update any information contained herein.

No investment advice: This presentation is for information only and shall not constitute investment advice. It is not intended for solicitation purposes but only for use as general information. All descriptions, examples and calculations contained in this presentation are for illustrative purposes only.