Mutares : Presentation Earnings Call

Earnings Call FY 2023

April 11th, 2024

Company & Business Model

Key Highlights of FY 2023

Financials of FY 2023

Outlook

2

Business marked by outstanding growth and momentum, sustainable value creation and turnaround success

European Focus, with	Four Diversified
Global Expansion	Segments

Helsinki

Stockholm

London	Amsterdam	Warsaw
Frankfurt

Target Company Size	Turnaround
EUR 100-750 m	Hero

Paris

Munich (HQ)

Milan

Madrid

Vienna

3

current office

planned office

Strong financial performance, with direct performance contribution resulting in strong shareholder returns

Both Mutares Group revenue and Holding net income with strong historical growth that is expected to continue

10 bn

	Group Revenues (EUR)
	Holding Net Income (EUR, unconsolidated)			ca.
					ca.	7 bn
				4.7 bn	6 bn
			3.8 bn
		2.5 bn			108 -	125 -		200 m
1.6 bn			103 m	132 m	150 m
		51m	73 m
	33 m
2020	2021	2022	2023	2024	2025	2028
					Target	Target	Target

Strong financial performance continues to translate into sizeable and sustained shareholder returns

Dividend per share (EUR)

Earnings per share (EUR)

				4.84
			3.53
	2.16	2.46		0.25³)
1.50	1.50	1.75
				2.00
	2020	2021	2022	20232)
Market Cap	243	469	371	746
(mEUR) 1)
# of shares	21,058,756
ISIN	DE000A2NB650

1) End of Year (31/12); 2) Minimum dividend of EUR 2.00 per share per fiscal year secured, potential bonus dividend	4
dependent on outperformance, 3) Dividend proposal of EUR 2.25 per share

ROIC target of 7-10x through successful turnarounds with our unique value creation lifecycle

Mutares value creation lifecycle

(avg. holding period 3-5 years)

Acquisition	Realignment	Optimization	Harvesting
Calculated risk taken in loss-	Cash financing provided by	Investment in a successful	Transformation into a
making companies	the seller	turnaround	profitable company

Invested capital totaling	Recurring Holding revenues	Predictable portfolio	Exit proceeds
EUR 353 million	from consulting &	dividends to
(Dec 2023)	management fees	Holding company

5

Well diversified portfolio with 31 companies across fours segments, with annualized revenues of EUR ~6 billion

Automotive &

Engineering &

Goods &

Retail &

Mobility

Technology

Services

Food

Early cyclical,

Late cyclical,

Non-cyclical,

Cyclical,

annual rev. EUR ~2.5 bn

annual rev. EUR ~1.2 bn

annual rev. ~1.2 bn

annual rev. EUR ~1.1 bn

New in FY 2023, including add-ons	Not yet closed	6

Company & Business Model

Key Highlights of FY 2023

Financials of FY 2023

Outlook

7

Key FY 2023 highlights include high transaction activity with focus on sell-side and expansion of the international footprint

Buy-side with record deal volume activity of 16 acquisitions

Sell-side with largest exits ever in Company's history

FRANCE

Capital market milestones reached for both share and bond	Geographical expansion into China and the US (planned)
Bond issue at EUR 250 m (2023/2027)1)	200%
Share price + 96% (Jan - Dec 2023)	150%
	100%		__
Minimum dividend at EUR 2.00/share
	50%		__
Included in SDAX since Dec 2023	0%
	01/23	04/23	07/23	10/23	01/24

1) Most recent tap issue of EUR 100 million in Q1 2024	8

Engineering player with short-term revenue growth potential to ~EUR 300 million, with production ramp-up successfully initiated and cost-realignment on track

Energy

Sector

Porto, PT

Headquarters

1948

Founded

1950

Employees

Geographical presence

Physical: 13 countries

Sales: 86 countries

Leading Portuguese player in the Energy sector

Established in 1948, Efacec is a Portuguese integrated engineering and industrial group, providing a wide range of highly technological products and turnkey solutions in 3 main business areas, Energy Products, Systems Integration and Electric Mobility.

Strong brand name with well established global network

Efacec has a high national as well as international reputation. Core markets such as Europe, North America and Middle East represent ca. 78% of the company's business.

Significant cash dowry and well-balanced indemnity protection

Post closing the company was equipped with EUR 140 million of cash dowry. Mutares provided a EUR 15 million cash equity contribution and a PCG of up to EUR 60 million. An indemnity for existing projects was provided by the seller in the amount of EUR 70 million.

Turnaround in 2024 ongoing, reaching target profitability in 2025

Comprehensive transformation plan was defined which supports ramp-up of operations as well as turnaround to stop the operational losses in 2024. Furthermore, the transformation plan defines Efacec's strategic realignment for all product lines, ensuring clear focus on key competencies and high profitability. For FY2025 the strategic roadmap foresees to reach a market- standard profitability of ~14% at a revenue level of ~ EUR 300 million.

Revenues (EUR million)

		304
	259
145
2023A	2024B	Post
	(Restructuring phase)	restructuring

Adj. EBITDA (EUR million) and margin (%)

-52%	0%	14%
				43
		0
-75
2023A	2024B	Post
	(Restructuring phase)	restructuring

9

Company & Business Model

Key Highlights of FY 2023

Financials of FY 2023

Outlook

10