Slide 1: Presentation of the Results for the First Nine Months 2019
PRESENTATION OF THE RESULTS FOR THE FIRST NINE MONTHS 2019 Bergisch Gladbach, 14 November 2019
Slide 2: Agenda
AGENDA [INDUS] INDUS - OUR DNA PARKOUR - OUR STRATEGY INDUS IN FIGURES - 9M 2019 AND OUTLOOK DIVIDEND AND SHARE APENDIX VurFfwn =
Slide 3: We Are Passionate About SMEs
INDUS BUSINESS MODEL [INDUS] WE ARE PASSIONATE ABOUT SMES Torn \goayne (scuiveRin / WE... SREMEN Oe ee ; : : ( i — are the leading specialist in long-term investment HnaReRAL MEP esa *¥°P —ucoens) sortie and development in the german SME Sector. osiks "BUDE - ~ Meacust ( #052 MIGUA® “avaster 9 /) i
Slide 4: INDUS Investments Are Present in More Than 30 Countries
INDUS BUSINESS MODEL [INDUS] INDUS INVESTMENTS ARE PRESENT IN MORE THAN 30 COUNTRIES GERMANY EUR 878.9 millions 7,789 employees EUROPE EUR 383.5 millions 1,499 employees REST OF THE WORLD EUR 448.4 millions 1,426 employees Sales and employee figures and locations as at 31.12.2018, Europe = EU and Sc
Slide 5: Broad Portfolio as a Core Strategic Element
INDUS BUSINESS MODEL [INDUS] BROAD PORTFOLIO AS A CORE STRATEGIC ELEMENT CONSTRUCTION! AUTOMOTIVE- ENGINEERING MEDICAL ENGINEERING/ METALS- INFRASTRUCTURE TECHNOLOGY LIFE SCIENCE TECHNOLOGY INDUS COMPANIES INDUS COMPANIES INDUS COMPANIES INDUS COMPANIES INDUS COMPANIES BROAD POSITIONING ENSURES GREA
Slide 6: TR Metalltechnik, OFA, PMC de México acquisitions
TR Metalltechnik OFA acquires Trading company for medical aids WIESAUPLAST- PMC de México* Portfolio company Acquires supplier of air-conditioning devices 6
Slide 7: Mesutronic Gerätebau GmbH
MESUTRONIC GERATEBAU GMBH [INDUS] MAY 2019 - INDUS ACQUIRES TECHNOLOGY LEADER IN METAL AND FOREIGN BODY DETECTION TECHNOLOGY — Tailor-made solutions for the integration of inspection systems with high-frequency metal detectors and foreign body detectors based on X-ray technology in complex productio
Slide 8: Dessauer Schaltschrank & Gehäusetechnik GmbH
DESSAUER SCHALTSCHRANK & GEHAUSETECHNIK GMBH [INDUS] OCTOBER 2019 — INDUS ACQUIRES SPECIALIST FOR CONTROL CABINETS AND HOUSING SOLUTIONS — Strengthening of Metals Technology segment — Development, manufacture and sale of high-quality metal and sheet metal parts, components, switch cabinets, machine
Slide 9: Universe of Financial Investors
INDUS BUSINESS MODEL UNIVERSE OF FINANCIAL INVESTORS Short to medium-term return-driven investments — Large Caps: Apax, Blackstone, KKR — Mid Caps: DBAG, 3i, Odewald = Small Caps: MBB Industries Investments in companies in special situations with no long-term intention — Aurelius — Bavaria Industrie
Slide 10: Decentralized Structure
INDUS BUSINESS MODEL [INDUS] DECENTRALIZED STRUCTURE INDUS Holding AG stuncaiceparring _ ) Portfolio companies Portfolio Management Independent operational management of the business — Supporting portfolio companies in strategic issues — Research and development — Promoting portfolio companies in th
Slide 11: Accompanying SME Hidden Champions in the Long Term
INDUS ACCOMPANYING SME HIDDEN CHAMPIONS IN THE LONG TERM ...aS a MAJORITY ...aS a BANK ...aS a CONSULTANT ...aS a FINANZHOLDING SHAREHOLDER — Company acquisitions — long-term holding perspective — Know-how — Financing tasks in shareholder — Investments in property, plant — Operational responsibility
Slide 12: Sustainability Remains Integral Component
INDUS BUSINESS MODEL [INDUS] SUSTAINABILITY REMAINS INTEGRAL COMPONENT SUSTAINABILITY REPORT 2018 CDP CLIMATE SCORING OECOM RATING Third INDUS __ _ INDUS obtained another “A” rating Oekom confirmed “Prime” status Sustainability Report =Qeee in 2018. in 2018. in accordance with Bus the German Sustain
Slide 13: Agenda
AGENDA [INDUS] INDUS - OUR DNA PARKOUR - OUR STRATEGY INDUS IN FIGURES - 9M 2019 AND OUTLOOK DIVIDEND AND SHARE APENDIX urFfwn = 13
Slide 14: We're Going to the Next Level
STRATEGY [INDUS] WE'RE GOING TO THE NEXT LEVEL — The long-term path of "COMPASS 2020" and its core strategy of "Buy, hold & develop" is paying off. We have become bigger, more international and more efficient. — In keeping with our philosophy, the individual portfolio companies retain their independ
Slide 15: Because We Will Be Facing Growing Challenges
STRATEGY BECAUSE WE WILL BE FACING GROWING CHALLENGES — The global environment has become more unpredictable, worldwide competition is growing and digitalization is presenting enterprises with fundamentally new challenges. — In order for our portfolio companies to successfully master these tasks, th
Slide 16: The Name Stands for Greater Agility
STRATEGY [INDUS] THE NAME STANDS FOR GREATER AGILITY EXPANSION IN THE oy, INNOVATION GROWTH INDUSTRIES 2@s uy TECHNOLOGICAL CHANGE + LATS J) 4+ - --\ DIGITALIZATION ~ [OAK: % OPERATIONAL INTERNATIONALIZATION EXCELLENCE
Slide 17: Continue to Develop the Investment Portfolio
OUR GOALS FOR THE NEXT 7 YEARS [INDUS] CONTINUE TO DEVELOP THE INVESTMENT PORTFOLIO INDUS offers its shareholders a managed portfolio of attractive medium-sized companies. We therefore want to further develop the INDUS portfolio to ensure that we will have a sustainable and viable portfolio in the f
Slide 18: Take the Group to the Next Technology Level
OUR GOALS FOR THE NEXT 7 YEARS [INDUS] TAKE THE GROUP TO THE NEXT TECHNOLOGY LEVEL We support the further development of the strategies of our portfolio companies with know-how and capital in the areas of innovation and digitalization, operational excellence and internationalization. 2. DRIVE INNOVA
Slide 19: Continue to Deliver on Our Promises to Our Stakeholders
OUR GOALS FOR THE NEXT 7 YEARS [INDUS] CONTINUE TO DELIVER ON OUR PROMISES TO OUR STAKEHOLDERS PERFORMANCE PROMISE SHAREHOLDERS They have the opportunity to invest in a broadly diversified managed portfolio of German-language SMEs — with a reliable dividend from a stable balance sheet. SELLING ENTRE
Slide 20: Our 7-Point Target for 2025
PARKOUR [INDUS] OUR 7-POINT TARGET FOR 2025 1. 55 to 60 investments with revenues > EUR 2.5 billion. 2. EBIT margin target of 10% reliably reached again. 3. Industries of the future are clearly reflected in the portfolio. 4. Innovation has established itself as a growth engine in the portfolio compa
Slide 21: Agenda
AGENDA INDUS - OUR DNA PARKOUR - OUR STRATEGY INDUS IN FIGURES - 9M 2019 AND OUTLOOK DIVIDEND AND SHARE APENDIX VuirFwn = [INDUS] 21
Slide 22: Overall View of the First Nine Months of 2019
INDUS IN FIGURES [INDUS] OVERALL VIEW OF THE FIRST NINE MONTHS OF 2019 CONSTRUCTION/INFRASTRUCTURE BOOMING — AUTOMOTIVE TECHNOLOGY REMAINS UNDER PRESSURE — Overall performance of the Group in 9M 2019 rather modest — Revenues up by 3.0%; EBIT before and after impairments down by approx. 11% and appro
Slide 23: Statement of Income January 2019 to September 2019
INDUS IN FIGURES STATEMENT OF INCOME 1 JANUARY 2019 TO 30 SEPTEMBER 2019 1,312.8 1274.93 [INDUS] Increase in REVENUES mainly due to Construction! Infrastructure, Engineering and Medical EngineeringJlife Science Negative CHANGE IN INVENTORIES essentially due to intensified working capital management,
Slide 24: 9M 2019 at a Glance
INDUS IN FIGURES 9M 2019 AT A GLANCE [INDUS] EARNINGS FIGURES 9M 2019 9M2018 Ain% CASHFLOW FIGURES 9M 2019 _9M 2018 Ain% Sales 1,312.8 __ 1,274.9 3-0 Operating cashflow 106.5 14.8 >100 EBITDA - - 168.1 165.9 13 Cash flow from operating activity 91.5 0.8 >100 EBIT before impairments 103,1 115,6 -10.8
Slide 25: Statement of Cash Flows January to September 2019
INDUS IN FIGURES [INDUS] STATEMENT OF CASH FLOWS FROM 1 JANUARY 2019 TO 30 SEPTEMBER 2019 -15.0 91.5 -64.1 - 127.6 Mittelabfluss leicht MMM 0:6 109.6 iiber Vorjahresniveau MM arn sing arenes COLE DECLINE despite reduced ABOVE PREVIOUS YEAR pyesimenis In prope chanel repayment of purchase price Signi
Slide 26: Operational Cash Flow January to September 2019
INDUS IN FIGURES OPERATIONAL CASH FLOW FROM 1 JANUARY 2019 TO 30 SEPTEMBER 2019 [INDUS] 35.6 733-3 a ne je zo i 7? 8 106.5 (>100%) Depreciation increased by 50.1 EUR 27.9 million, of which Thereof inventories Thereof trade accounts (-24.9%) EUR 12.5 million for EUR -3.9 million payable and other -<-
Slide 27: Segment Performance in the First Nine Months of 2019
INDUS IN FIGURES [INDUS] SEGMENT PERFORMANCE IN THE FIRST NINE MONTHS OF 2019 EBIT margins EE 318.0 318.6 33 294.9 294.8 271.4 267.8 40.1 47.0 Balt -10.1 Construction/ Automotive Technology Automotive Technology Engineering Medical Engineering! Metals Infrastructure (before impairment) (after impair
Slide 28: Construction/Infrastructure 9M 2019
INDUS IN FIGURES [INDUS] CONSTRUCTION/INFRASTRUCTURE 9M 2019 EXCELLENT EBIT MARGIN OF 15.9% — Strong revenue growth compared to previous year — Growth supported by nearly all portfolio companies — Disproportionate increase in earnings; EBIT margin picks up again — Increased revenues and earnings esp
Slide 29: Automotive Technology 9M 2019
INDUS IN FIGURES [INDUS] AUTOMOTIVE TECHNOLOGY 9M 2019 STRONG DECLINES IN REVENUES AND EARNINGS; SALE OF TKI SUCCESSFULLY CONCLUDED Across-the-board drop in revenues by 20% since August — _ EBIT before impairments down on previous year due to drop in revenues — Meanwhile all segment companies are af
Slide 30: Engineering 9M 2019
INDUS IN FIGURES [INDUS] ENGINEERING 9M 2019 REVENUES AND EARNINGS GROWTH — Increase in segment revenues generated, inter alia, by major plant manufacturers — Nearly all segment companies were able to grow their revenues — Economic slowdown meanwhile leading to a decline in incoming orders at some p
Slide 31: Medical Engineering/Life Science 9M 2019
INDUS IN FIGURES [INDUS] MEDICAL ENGINEERING/LIFE SCIENCE 9M 2019 CONTINUED EARNINGS GROWTH Purely organic revenue growth, especially attributable to orthoses and medical stockings — Disproportionate increase in EBIT — Except for the highly competitive nonwovens operations, all segment companies con
Slide 32: Metals Technology 9M 2019
INDUS IN FIGURES [INDUS] METALS TECHNOLOGY 9M 2019 INDUS ACQUIRES NEW PORTFOLIO COMPANY — Declining revenues especially from carbide tools — Export-oriented segment feels the effects of a weakening world economy and declining demand; China business of the portfolio companies has suffered in particul
Slide 33: Segments
INDUS SEGMENTS CONSTRUCTION/INFRASTRUCTURE — Segment continues to aim for new records; growth limited by shortage of skilled labor — Excellent margins again expected AUTOMOTIVE TECHNOLOGY — Problems in the automotive market persist — Automotive crisis also affects investments before and after series
Slide 34: Outlook for 2019
OUTLOOK FOR 2019 FRAMEWORK CONDITIONS AND INDUS GROUP — The economy continues to slow down; the political and economic international environment is tight — Various risks such as the trade dispute (USA/China), the smoldering conflict in the Middle East and the renewed postponement of Brexit are notic
Slide 35: Guidance for the Group
OUTLOOK FOR 2019 [INDUS] GUIDANCE FOR THE GROUP ENVIRONMENT FOR THE AUTOMOTIVE TECHNOLOGY SEGMENT REMAINS DIFFICULT; REDUCED EXPECTATIONS (BEFORE IMPAIRMENTS) FOR FULL YEAR 2019 CONFIRMED GROUP ACTUAL 2018 PLAN 2019 Sales EUR 1.71 billion EUR 1.72 - 1.77 billion EBIT EUR 134.7 million EUR+56—+62- He
Slide 36: Agenda
AGENDA [INDUS] INDUS - OUR DNA PARKOUR - OUR STRATEGY INDUS IN FIGURES - 9M 2019 AND OUTLOOK DIVIDEND AND SHARE APENDIX uirFfwn = 36
Slide 37: Very Stable Shareholder Base
SHARE AND DIVIDEND VERY STABLE SHAREHOLDER BASE ANCHOR SHAREHOLDERS SUPPORT LONG-TERM COURSE OF BUSINESS WKNIISIN 620010/DE 000 620 010 8 Established/IPO 1986/1995 Fiscal year 01.01. — 31.12. Capital stock EUR 63.6 milion Number of shares 24,450,509 no-name bearer shares increase 02.12.2013 Free flo
Slide 38: Dividend for the Fiscal Year 2018
SHARE AND DIVIDEND [INDUS] DIVIDEND FOR THE FISCAL YEAR 2018 Shareholders regularly A good 50% of profits Up to 50% participate in successful are retained to strengthen of profits business performance the company are distributed 46.4% 9 43.9% 48.0% 3.1% 3.8% 41.9% 42.7% e 2.7% 2.6% 2.5% oe o_“ ~— eo
Slide 39: Fiscal Year 2019: High Pressure on Share Price
SHARE AND DIVIDEND [INDUS] FISCAL YEAR 2019: HIGH PRESSURE ON SHARE PRICE AFTER SIGNIFICANT RECOVERY* Year-end price 5 2018: EUR 39.00 ~ J 20 5 yl f/~F i? aS Wy) l wy, 10 Niro C\ } we 5 ve AS” 5 . > ', | AN As ~~ 3 High (closing price) -10 01.05.2019: EUR 47.45 “15 20 Low (closing price) 14.08.2019:
Slide 40: Coverage
SHARE AND DIVIDEND [INDUS] COVERAGE EQUITY RESEARCH ANALYST ESTIMATES AND RECOMMENDATIONS — Six banks and investment houses are currently watching INDUS shares. commerabank [MMM GIene) 68.00 — The average price targetis currently wc EUR 45.00 (median at EUR 46.00). MLM. Warburg BUY (10/19) €51.00 20
Slide 41: Thank You Very Much for Your Attention
THANK YOU VERY MUCH FOR YOUR ATTENTION! Starting on the left: Dr. Jorn Gro&mann (Board member) Axel Meyer (Board member) Dr.-Ing. Johannes Schmidt (Chairman of the Board) Rudolf Weichert (Board member) 41
Slide 42: Agenda
AGENDA [INDUS] INDUS - OUR DNA PARKOUR - OUR STRATEGY INDUS IN FIGURES - 9M 2019 AND OUTLOOK DIVIDEND AND SHARE APENDIX VrFfwn = 42
Slide 43: Contact
CONTACT CORPORATE COMMUNICATIONS INVESTOR RELATIONS JULIA PSCHRIBULLA & +49 (0) 2204-4000-66 BA investor.relations@indus.de [INDUS] PUBLIC RELATIONS MANDY LANGE & +49 (0) 2204-4000-31 wn presse@indus.de 43
Slide 44: Financial Calendar
FINANCIAL CALENDAR [INDUS] PUBLICATION AND CAPITAL MARKET DATES IN 2019 AND 2020 DATE EVENT VENUE 26 & 27 November 2019 German Equity Forum (German Stock Exchange) Frankfurt/Main 20 February 2020 Publication of the preliminary figures for the 2019 fiscal year Publication 30 March 2020 Publication of
Slide 45: Performance in the Past Five Years
INDUS IN FIGURES [INDUS] PERFORMANCE IN THE PAST FIVE YEARS Sales EBIT and EBIT margin 10.1% 9.8% 10.0% 9.3% 8.8% % 1,640.6 W110.8 o——e——_e—___,, ° 9 1,444.3 ———e 1,388.9 1,255.7 152. L 7.2363 Lb | Li 134.7 2014 2015 2016 2017 2018 2015 2016 2018* eB EAT 100.7 109.3 1234 12902 114.7 tL i ll 63.3 68.
Slide 46: Performance of the Segments in the Past Five Years
INDUS IN FIGURES [INDUS] PERFORMANCE OF THE SEGMENTS IN THE PAST FIVE YEARS CONSTRUCTION/INFRASTRUCTURE AUTOMOTIVE TECHNOLOGY wae 12% 43% Be om 58% SA 52% a cm _—" ———e—_. a ————¢. e 9 ——e—_, . 3961 391.0 391.0 358.7 351-7 367.7 372.2 330-4 4.5 225.41 235.5 l | L | 4.3 (in EUR millions) 2014 2016 20
Slide 47: Portfolio Companies: Construction/Infrastructure Segment
INDUS PORTFOLIO COMPANIES [INDUS] CONSTRUCTION/INFRASTRUCTURE SEGMENT COMPANIES DESCRIPTION LOCATIONS ancotech DiesIdorf (CH), Rossens (CH), Cologne (DE), Lauchhammer Anchoring and reinforcement technology (CH) BETOMAX. . A Anchoring and reinforcement technology Neuss (DE), Halle (DE) Sealants made
Slide 48: Portfolio Companies: Automotive Technology Segment
INDUS PORTFOLIO COMPANIES AUTOMOTIVE TECHNOLOGY SEGMENT COMPANIES DESCRIPTION [INDUS] LOCATIONS VURORA <: » A Seton ” Heating and air-conditioning systems for vehicles Mudau (DE), Grand Rapids (USA), Istanbul (TR), Nuenen (NL), Oettingen (DE), Shanghai (CN), Weert (NL) ausren Co) : : - ae : HEKERMAN
Slide 49: Portfolio Companies: Engineering Segment
INDUS PORTFOLIO COMPANIES [INDUS] ENGINEERING SEGMENT COMPANIES DESCRIPTION LOCATIONS 2ASS< 7 Robotic hands and automation systems for manufacturers Overath (DE), Worth an der Donau (DE), Plymouth (US) BUDDE Bielefeld (DE), Delmenhorst (DE), Murrhardt (DE), ORS ronocrrecirin. Specialist for logistic
Slide 50: Portfolio Companies: Medical Engineering/Life Science
INDUS PORTFOLIO COMPANIES MEDICAL ENGINEERING/LIFE SCIENCE [INDUS] COMPANIES DESCRIPTION LOCATIONS imeco Assembly of non-woven fabric products for medical, cosmetic, cleaning, and personal hygiene products Hdsbach (DE), Kénigswalde (DE), Lubari (PL) mikrcp oe oo ; . Miniaturized precision optics Wit
Slide 51: Portfolio Companies: Metals Technology
INDUS PORTFOLIO COMPANIES [INDUS] METALS TECHNOLOGY COMPANIES DESCRIPTION LOCATIONS Steel and aluminum building modules for the rail industry Reinach (CH) Carbide tools for road construction and mining, tunnel and underground construction, farming, etc. Aichhalden (DE), Charlotte (USA), Taicang (CN)
Slide 52: Disclaimer
INDUS HOLDING AG [INDUS] DISCLAIMER This presentation was prepared by INDUS Holding AG (hereinafter referred to as “INDUS") and is for information purposes only. It does not constitute an offer or a solicitation to buy or sell securities, nor should it be regarded as a sufficient or adequate basis f