WashTec AG — Investor Presentation 2013

Aug 7, 2013

1H 2013 Report

Conference Call

Difficult market conditions in Core Europe stability/growth in other market segments

*Comparative figures adjusted as per IAS 8

1H Facts & Figures

• Lower sales and EBIT mainly driven by slower business in Core Europe
• However, order intake and order backlog per end of June higher than prior year

WashTec 1H13: results

• Decrease in revenues to € 139.9m (1H12: 142,6) due to slower business development in Europe in the first six months; EBIT at € 2.8m (1H12: € 5.8m)
• Strong net Cash flow € 7.7 (1H12: € 11.1m)
• Revenues affected by weak business in Core Europe
• EBIT decrease due to
• Changed regional mix
• Higher personnel costs due to tariff increases
• Lower capitalized R&D costs
• FX effects
• Participation in trade fairs
• Still strong net cashflow; dividend payment of € 8.1m (2012: € 0m)
• Order intake and backlog as of June 30, 2013 above prior year; positive development in H2 expected
• Outlook 2013 revenue at prior year's level, EBIT margin of 5 6%

Lower revenues in Core Europe, positive development in other segments

Consolidation: 2013 = -8.6/2012= -6.1 Rounding differences possible

4 | WashTec 1H Report Conference Call | August 2013

1H Facts & Figures

1H Facts & Figures EBIT decline in Core Europe – EBIT increase in other segments

Consolidation: 2013 = 0.2/2012= 0.2 Rounding differences possible

*Comparative figures adjusted as per IAS 8

1H Facts & Figures Sound balance sheet structure

• Net finance debt increased compared to Dec 31, 2012 mainly due to dividend payment
• Low Gearing

1H Facts & Figures		Profit/Loss Statement 1H 2013		Rounding differences possible * Comparative figures adjusted as per IAS 8
In €m		1H 2013		1H 2012*	comment
Revenues		139.9		142.6
Gross margin		83.6 [59.7%]		82.8 [58.1%]	Different product mix
Personnel expenses		(53.1) [38.0%]		(49.9) [35.0%]	Scaled wage increases
Other operating expenses		(24.9)		(25.0)
EBITDA		7.7		10.7
Depreciation		(4.9)		(4.9)
EBIT		2.8 [2.0%]		5.8 [4.1%]
Financial Result		(0.7)		(0.9)
EBT		2.2		4.9
Taxes		(1.4)		(2.0)
Net income		0.8		2.9
Earnings per share (in €)		0.06		0.21

	Rounding differences possible
In €m	June 30, 2013	Dec 31, 2012
Balance sheet total	184.4	183.6
Equity	77.3	84.4	Equity ratio at 41.9% due to dividend payment
Net finance debt	12.4	8.3	Net finance debt higher due to dividend payment
Net current assets	65.4	73.1

	June 30, 2013	June 30, 2012
Net cash flow	7.7	11.1	Changes due to lower results and higher taxes paid
Cash outflow from investing activities	(2.8)	(2.2)
Free cash flow	4.9	8.9	Decline due to lower net cash flow

Backup

WashTec Share

Analyst Coverage
Analyst (+ Date)	Recommen dation	Target Price (€)
Berenberg (05/12)	Hold	8.40
BHF (02/13)	Overweight	11.70
Hauck & Aufhäuser (07/13)	Sell	8.50
HSBC (07/13)	Overweight	12.00
MM Warburg (08/13)	Hold	10.10
	Average	10.14

	Trade Volume (Xetra)
Sterling Strategic Value Ltd. 15.3 %
Kempen Capital Management N.V. 11.1 %		Volume (pcs.)
Investment AG für langfristige Investoren, TGV 5.4 %	Period	2013	2012
Lazard Frères Gestion S.A.S. 5.0 %
Paradigm Capital Value Fund 3.8 %	Jan. – June	373.597	1,423,694
Setanta Asset Management 3.5%
	SDAX-Ranking	Turnover
Source: Notifications pursuant to WpHG	June	130	111

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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 forward-looking information.