Slide 1: H1 2024 Results
H1 2024 Results August 1, 2024 2024 2021 1
Slide 2: Disclaimer
Disclaimer • This document has been prepared by Wendel S.E. (“Wendel”) solely for use at the 2024 Half Year Results presentation, to be held on August 1, 2024. This document must be treated confidentially by attendees at such presentation and may not be reproduced or redistributed to any other perso
Slide 3: How to ask questions to our speakers?
How to ask questions to our speakers? Over the phone OR From the webcast You can submit your questions in writing directly via the platform 3
Slide 4: H1 2024 key highlights
H1 2024 key highlights Wendel Group Permanent Capital Principal Investment Asset Management Contribution from portfolio: Fee Related Earnings : €29.5m €365m, up 9.4%(1) FPAuM: +16% YTD Restated from Constantia Flexibles €1.7Bn raised in H12024 contribution in H1 2023 €20.4bn of assets managed Fully
Slide 5: H1 2024: major steps towards our new value creating business model
H1 2024: major steps towards our new value creating business model have been executed Acceleration towards permanent capital Principal Investment Asset Management dual model to drive higher performance Value creation(1): • GPs value growth: 1st time consolidation • Listed assets: + 19% Value creatio
Slide 6: 2024 first half-year key highlights perfectly align with our strategy
2024 first half-year key highlights perfectly align with our strategy Principal Investment Asset Management Ambition: double digit IRR Ambition: €150m Pre-tax FRE in 2027 over the long-term • Closing of the sale of Constantia : €1.1bn proceeds received • Acquisition of IK Partners closed on May 14,
Slide 7: Wendel Group now manages €20.4 billion of Assets
Wendel Group now manages €20.4 billion of Assets Principal Investment 3rd Party AM Platform (36%)1 (64%) IK Dry Powder 15% Education 9% €20.4 billion assets managed IK AuM c.280 people in 49% 8 countries Business Services 18% €7.3bn(1) excluding €2.9bn of cash(2) €13.1bn AuM o/w €1.4bn investment In
Slide 8: Capital allocation towards more predictable growth: Globeducate
Capital allocation towards more predictable growth: Globeducate Key terms of Wendel’s investment Founded in 1972 in Spain, Globeducate provides K-12 (primary and secondary) education through a network of 65 Wendel has entered into an agreement with Providence premium bilingual and international to a
Slide 9: Main value creation triggers in H1 2024
Main value creation triggers in H1 2024: Principal investment impacted positively by listed assets share prices △ H1 2024 NAV per share(1) A Principal Investment +€16.4 • + 19% of value of listed assets, mainly Bureau Veritas • - 1% for non-listed assets • Slight negative impact due to transaction f
Slide 10: A - Principal Investment solid value creation
A - Principal Investment solid value creation + 8.6% △ Value creation H1 2024(1) Listed assets Strong share price growth + 22.5% €167.9 € +791m Crystalization of value through the sale of 9% @27.12 (3% discount) Low impact on NAV given size. € -56m Good results for Tarkett. Unlisted assets € -28m Ve
Slide 11: A - Principal investment – listed assets generated good operational performance
A-Principal investment – listed assets generated good operational performance EBITDA/ Sales (m) EBIT for BVI (m) Δ share H1 2023 H1 2024 price H1 2023 H1 2024 Δ post post Δ YTD IFRS 16 IFRS 16 Early impact of the new LEAP 28 strategy boosting €2,904 €3,022 +4.0% €434 €452 +4.1% +22.5% revenue Improv
Slide 12: A - Principal investment – mixed performance of unlisted assets over H1
A- Principal investment – mixed performance of unlisted assets over H1 (in millions) Sales EBITDA Net debt H1 2023 H1 2024 H1 2023 H1 2024 Δ post post Δ IFRS 16 IFRS 16 An excellent start to the year with EBITDA growth of +16%, driven by organic volume growth €443.0 €464.7 +4.9% €92.0 €106.7 +16.0%
Slide 13: B - IK's growth momentum has accelerated since our transaction
B- IK’s growth momentum has accelerated since our transaction with strong value creation for all stakeholders Liquidity for LP >€1 billion 2.8x MM Another semester of net Proceeds generated from 5 exits Average gross MM achieved distributions from 5 exits Deployment €870 million(1) €145 million Cons
Slide 14: B - IK Partners is consistently a net distributor of capital for its LPs
B- IK Partners is consistently a net distributor of capital for its LPs with best-in-class DPI which is key to continue successfully fundraising Exit highlights (1) Invested (€m) 5 exits YTD 2.8x Proceeds (€m) Multiple to date 1 470 1 452 1 401 1 386 1 024 (2) 21% 912 930 Realised IRR to date 858 82
Slide 15: B - H1 2024 Asset Management Activities
B- H1 2024 Asset Management Activities: AuM growth, strong distributions and capital raising have generated strong results despite the tougher environment IK Partners pursues its growth momentum 14000 13.1 +16% 12000 €Bn 11.1 Co-invest • AuM up 18% YTD 10000 Co-invest • Good momentum 1.7 Dry Powder
Slide 16: C & D - Strict cost control, positive carry and accretive share buybacks
C & D – Strict cost control, positive carry and accretive impact of share buybacks results in a combined positive €0.6 impact on fully diluted NAV per share Cash operating costs and Net Financing Results impacted NAV by -€0.7 per share • Operating costs impact of €-0.9 per share, representing less t
Slide 17: Net Asset Value & Earnings
Net Asset Value & Earnings Ny WENDEL
Slide 18: Wendel Group IFRS P&L does not reflect all capital gains and inflows
Wendel Group IFRS P&L does not reflect all the capital gains and inflows from our investment activity H12024 IFRS net income Holding Asset Principal Company Management Investment Total €m (1) Revenue - 33.4 3,870.9 3,904.3 Contribution to net income -32.8 11.6 364.6 343.4 from operations In accordan
Slide 19: E - Fully diluted Net Asset Value of €175.2 per share
E - Fully diluted(1) Net Asset Value of €175.2 per share as of June 30, 2024 (in millions of euros) June. 30, 2024 Listed equity investments Number of shares Share price (2) 3,512 • Bureau Veritas 120.3 million €27.2 3,275 • IHS 63.0 million $3.5 203 • Tarkett €8.8 33 Investments in unlisted assets
Slide 20: Wendel is financed at 2.4% average cost with no maturity until 2026
Wendel is financed at 2.4% average cost with no maturity until 2026 Maturity profile Gross cash: €2.9bn (1) Undrawn credit facility Total liquidity(1): €3.8bn 875 Institutional bonds Gross debt: €2.4bn Exchangeable bonds into in m€ 750 Bureau Veritas’ shares 5.9% LTV ratio (1) Average maturity: 500
Slide 21: Return to shareholders: higher dividend policy and new share buyback programme
Return to shareholders: higher dividend policy and new share buyback programme announced today €4.00 per share dividend paid in May, up +25% vs. last year Representing a yield of 4.8%(1) on share price and 2.5% of NAV(1) c.1.2m Wendel shares repurchased(2) for a total of €100 million since Oct. 2023
Slide 22: Key takeaways
Key takeaways Ny) WENDEL
Slide 23: Wendel's strategy playbook: building a strong value creation dual model
Wendel’s strategy playbook: building a strong value creation dual model based on permanent capital serving the growth of 3rd party Asset Management Principal Investment Asset Management • Investment in BtoB services, Education and • We believe in the benefits of Private Asset Energy Transition (excl
Slide 24: Medium term upsides to Net Asset Value & Share Price
Medium term upsides to Net Asset Value & Share Price Continue to capture discount through a new Share buyback program of €100m announced today Asset Management : • Organic growth • M&A • Synergies Principal investment performance : • Growth, both organic and bolt-on M&A • Operational improvement • P
Slide 25: Q&A session
Q&A session Ny WENDEL
Slide 26: Appendix
Appendix 1 Financial information as of June 30, 2024 26
Slide 27: Fully diluted Net Asset Value up 10.4% restated from dividend
Fully diluted Net Asset Value up 10.4% restated from dividend +10.4% +18.3 -1.1 -0.2 -0.6 -0.1 -0.7 -4.0 +1.3 175.2 +4.0 179.2 IHS Unlisted Asset Tarkett Other assets Management Dividend Dividend Share paid buyback 162.3 paid In euro per share Bureau Veritas NAV fully diluted NAV fully diluted Pro f
Slide 28: IFRS 16 - Summary table of main aggregates before and after application
IFRS 16 - Summary table of main aggregates before and after the application of IFRS 16 (in Sales EBITDA Net Debt Leverage (1) millions) H1 2023 H1 2024 H1 2024 H1 2024 H1 2024 H1 2023 H1 2023 H1 2024 post pre post pre post H1 2024 pre IFRS 16 IFRS 16 IFRS 16 IFRS 16 IFRS 16 IFRS 16 Stahl €443.0 €464
Slide 29: H1 2024 consolidated sales
H1 2024 consolidated sales in millions of euros H1 2023 H1 2024 Δ Organic Δ Bureau Veritas 2,904.2 3,021.7 +4.0% +9.2% Stahl(1) 443.0 464.7 +4.9% +1.0% Scalian(2) n.a 278.2 n.a. n.a. CPI 53.9 61.9 +14.8%. +15.3% ACAMS(3) 42.5 44.5 +4.9% -0.6% IK Partners (4) n.a. 33.4 n.a. n.a. Consolidated sales (5
Slide 30: H1 2024 sales of companies accounted for by the equity method
H1 2024 sales of companies accounted for by the equity method in millions of euros H1 2023 H1 2024 Δ Organic Δ Tarkett(1) 1,608.3 1,558.7 -3.1% -2.2% (1) Selling price adjustments in the CIS countries are historically intended to offset currency movements and are therefore excluded from the “organic
Slide 31: Net income from operations
Net income from operations in millions of euros H1 2023 H1 2024 Total contribution from asset management: IK Partners n.a. 11.6 Bureau Veritas 290.6 302.5 Stahl 41.8 52.6 Constantia Flexibles 68.9 - CPI 1.7 4.8 ACAMS -2.0 -3.0 Scalian n.a. 0.3 Tarkett (equity accounted) 1.1 7.4 Total contribution fr
Slide 32: Consolidated income statement
Consolidated income statement in millions of euros H1 2023 H1 2024 Net sales 3,443.6 3,904.3 Service costs rebilled to clients 88.0 94.9 Net sales and service costs rebilled to clients 3,531.6 3,999.2 Other income from operations 0.3 0.7 Operating expenses -3,151.2 -3,557.0 Net depreciation -7.4 -27
Slide 33: Consolidated balance sheet
Consolidated balance sheet in millions of euros 06/30/2024 12/31/2023 in millions of euros 06/30/2024 12/31/2023 Share capital 177.8 177.8 Goodwill 4,440.5 4,180.5 Premiums 23.4 23.4 Intangible assets. net 1,575.2 1,577.6 Retained earnings & other reserves 2,654.9 2,332.8 Net income for the year - G
Slide 34: Conversion from accounting presentation to economic presentation
Conversion from accounting presentation to economic presentation Third-party Holding asset Portfolio investments companies management Total Group Tarket Wendel and Bureau IK Partners Stahl Scalian CPI ACAMS (equity- holding Veritas In millions of euros accounted) companies Net income from operations
Slide 35: Financial agenda
Financial agenda Ny WENDEL
Slide 36: Financial agenda
Financial agenda Thursday October 24, 2024 Q3 2024 Trading update – Publication of NAV as of September 30, 2024 (post-market release) Thursday December 5, 2024 2024 Investor Day Wednesday February 26, 2025 Full-Year 2024 Results – Publication of NAV as of December 31, 2024, and Full-Year consolidate
Slide 37: For more information, please visit www.wendelgroup.com
For more information, please visit www.wendelgroup.com 37