Slide 1: Capital Market Presentation March 2021
Slide 2: Clarification
Clarification © diani7n The presentation includes the Company's forecasts, estimates and plans regarding its activities, which constitute forward-looking information as defined in the Securities Law, 5728-1968, the realization of which are not certain and which may be influenced by factors that cann
Slide 3: About Hilan
About Hilan ¢ A leading technology services group Over 5,000 customers Approximately 4,000 employees in the Group Years of sustained organic growth beside mergers and acquisitions Two decades of consistent growth in revenues and profitability AA rating: stable horizon Ma‘alot (S&P) ay Payroll and hu
Slide 4: COVID-19 - Impacts on the Group's Business
COVID-19 - Impacts on the Group‘s Business © HILANI7'N @ Payroll and human resources services sector Acustomer profile that has been less affected by the unemployment rates {e) a) Furlough Most Group employees have resumed full-time employment V Diversified business In the overall Group's core busin
Slide 5: 2020 Data at a Glance
2020 Data at a Glance iNIS million © diani7n “@.) Revenues ep Gross profit ® Operating | Net profit 1,627.7 (@) Operating income
Slide 6: Operating income and net profit
2017 2018 2019 2017 2018 2019 Operating income —— Net profit——. Operating income—— Net profit-———
Slide 7: Highlights for Report Period and Afterward
Highlights for Report Period and Afterward © HILAN|7IN lef Ail i Growth of Growth of EBITDA approximately 7.7% approximately 6.6% of 263.3 NIS Million in operating income for 2020 in net profit for 2020 for 2020 S © Coped well In January 2020 the acquisition Completion of acquisition with the COVID-
Slide 8: Activity Sectors
Activity Sectors @ Payroll and human resources services ‘co IT Infrastructures Business process management services in BPO mode Professional service center in ASP mode Solutions for local software on customer premises Payroll Management services T&A Management Human Resources management Pension admi
Slide 9: Digital transformation market 2016-2027
Source : Grand View Research Digital transformation market 2016 – 2027
Slide 10: Digital Acceleration
OQ ann Digital Acceleration Reshaping of Broadening the Availability Information Employees organizational user base and explosion Technology processes flexibility 10
Slide 11: Payroll and Human Resources Services Sector - Results
@ Payroll and Human Resources Services Sector — Results (Nis million © Hiwanien 5 @ 3 ) Revenues Operating Operating Revenues Operating Operating income income income income percentage percentage 22.1% Consolidation of Payday for Continued growth trajectory _ Broadening of the range of & the first t
Slide 12: Digital Acceleration
© diani7n Digital Acceleration Q) @ Regulation Controland Accessibility and Digital employee Analytics convenience experience 12
Slide 13: Product screens: manager dashboard, T&A management
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Slide 14: New Customers
New Customers © diani7n ATVE 30 vimeo «OKLA OOD Keep Looking Ahead Fore Sortaclorer @redhat —ny]]33 W Kenpins Ss tufin avin" SHAMIR = . ALSTOM nnd Siklu Bois Pm houzz y. @ bd pun Sanlakol 63 Lightricks eee onay anyiya DANSHAR 14
Slide 15: Payroll and Human Resources Services Sector
@ Payroll and Human Resources Services Sector ¢ ca ra CO Revenues of Over Approximately approximately Anis 1,500 50 o for 2020 Customers Employees @: © nS Impact of the Covid-19 | Extensive experience Readiness for pandemic on some of in the Payroll and further growth the Company Human Resources cus
Slide 16: Business Solutions Sector - Results
. . HILAN|7‘N r& Business Solutions Sector - Results (NIS millions) © o > ® . > ® Revenues Operating Operating Revenues Operating Operating income income income income percentage percentage 6.0% 246.7 17.2 7.0% ‘Growth th } \ uarter / — Nast year” Net increase of 7 Support and assistance for Broaden
Slide 17: Business Solutions Sector
© HILAN|7'N ec Business solutions sector celeration Customer needs Resiliency and safety Solution for f ray \ the needs , L@ ; > \ y, Cloud and cyber High | Migration to the cloud Testing automation RPA &) Visibility and ClO ease of use i oe Design and MVP services 7
Slide 18: Business Solutions Sector
n=Business Solutions Sector OQ ann s Government and public — P [say mana mw nienvwand Government ministries and municipalities | Nimbus - cloud services | Information backbone - API | Secure identification - |DM | Digital signature f Financial sector mug UNnpO'T ba | wtav'n | System and performance
Slide 19: Computing Infrastructures Sector - Results
@ Computing Infrastructures Sector — Results (Nis Million) Revenues Operating income 168.5 {10%} la Substantial growth in operating income and in profitability @ Operating pe ® income rcentage Revenues Continued trends toward changing revenue mix and transition to cloud-based managed services OQ ann
Slide 20: Software Products Marketing Sector - Results
f Software Products Marketing Sector — Results (Nis Million) © wanizn 53 ©) 3 86D ® Revenues Operating Operating Revenues Operating Operating income income income income percentage percentage 206.9 33.5% \ 21% } \. quarter / Nw “past yoat Support for government Continued allocation of resources Reve
Slide 21: Scaling up hybrid computing, information security, cloud applications
© diani7n Scaling up ybrid Information Cloud computing work security and applications resources solutions cyber solutions 21
Slide 22: Main Data from the Profit and Loss Statement 2020 vs 2019
Main Data from the Profit and Loss Statement 2020 Vs 2019 (NIS million) © HILAN|7N Revenues 1,627.7 1,573.3 3.5% Gross profit 383.4 356.4 1.6% Sales and G&A expenses 198.8 185.0 7.5% Operating income 184.6 171.4 1.7% The Company's share in an included company’s profits 7 ™ 7 Financing expenses, net
Slide 23: Main data from the profit and loss statement, quarter
Main data from the profit and loss statement 2020 Vs 2019 (NIS million) +) HILAN|7IN Revenues 435.7 399.1 9.2% Gross profit 111.0 103.3 7.5% Sales and G&A expenses 50.9 52.2 (2.6%) Operating income 60.1 51.0 17.8% The Company's share in an included company’s profits 7 ths 7 Financing expenses, net 1
Slide 24: Distribution of Operating Income by Activity Sector
Distribution of Operating Income by Activity Sector © HILAN|7IN 31%, atte 28% 27h & Business resources services & Business 2 solutions D> solutions @ (@ Payroll and human resources services Total operating income 184.6 Total operating income 60.1 NIS million NIS million Ry, Th IT 0 GT 0 Infrastructu
Slide 25: 2018 2019 2020 2018 2019 2020 _ Oeste 2018 2019 2018 2019 20 2018
2018 2019 2020 2018 2019 2020 _ Oeste 2018 2019 2018 2019 2020 2018 2019 2020 2018 2019 2020
Slide 26: Holdings Structure
Holdings Structure OQ ann - eee @ = se (oF © Hilan Israel lodangrow 3 wan Groy weiO 3 DDANEL s Optibit 8 moo (7 OMEN 3 oe z OD tivwusa 8 SALTO ES Payday 3 Ge = [eee lik @ | el. E a @ WA ves Minature 26 * The percentages in this slide reflect Hilan’s percentage holding in the respective companies for
Slide 27: 2020 - Summary and Looking Forward
GD HILANI7‘N 2020 - Summary and Looking Forward Operating profit growing continually Growth in all of the Group's business sectors, most of which are organic Coping well with the COVID-19 Pandemic and its implications with minimum negative impact on the Group's business Positioning the Group's statu
Slide 28: Thank you
Hilan Group Thank you