Continental Ag · XETR:CON
Continental — Investor Day (December 2023)
28 slides from Continental's investor day presentation, Dec 4, 2023
Slide 1: The Future in Motion - ContiTech Capital Market Day
Q@ntinentals- The Future in Motion ail | Philip Nelles a’ ContiTech CapitalMarketDay /illi/i/ ue - Hanover, December 4
Slide 2: We Connect, We Convey, We Cover
Slide 3: ContiTech at a Glance
ContiTech ata Glance Mixed portfolio with significant Regional balance with significant growth potential in industry growth potential in APAC ~€6.8-7.2 A billion J 19% insales Industry Americas 55% 37% ~42,500 employees ed Automotive 45% First choice for material-driven solutions
Slide 4: What Makes Us Unique?
What Makes Us Unique? We partner with We turn materials customers to drive into solutions technological progress We solve problems for demanding di industries Global expertise in Unmatched rubber & thermoplastics product portfolio We are perfectly positioned to succeed in exciting markets
Slide 5: Our Exciting Markets
Our Exciting Markets Construction Mining Industry & Energy & Home Quarries Management Off-Highway Material Handling & — Printing & Packaging Mobility Manufacturing Technology Commercial Vehicles ICE Passenger Vehicles Electric Passenger Vehicles
Slide 6: 2024+ Era of Execution
2024+ Era of Execution Strengthening industry 2023e Ambition Why do we shift to industry? > High-quality business > > Broader revenue streams Automotive 45% [ema > Longer product life cycles Seca Industry 80% > Less cyclical ndustr Yes > Seizing new growth opportunities Enhancing value creation thro
Slide 7: Industry
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Slide 8: Industry Clear Strategic Direction
Industry Clear Strategic Direction Strengthening industry Ambition How will we do it? Continue to grow > Organically > Increasing market penetration > Expansion of product portfolio > Developing market presence > Diversifying through venture units > Inorganically through M&A Ramping up hydraulic gre
Slide 9: Industry Growth Engines
Industry Growth Engines Trends drive technological progress while fueling growth for our industries ( Resource scarcity ) ( circular economy ) ( Smartmaterials) ( Urbanization ) ( Localization ) ( Digitalization ) ( Industry 4.0 ) ( Sustainability ) Great potential for high-quality business through
Slide 10: Growth Engine Construction & Home
Growth Engine Construction & Home
Slide 11: Industry Growth Engine Construction & Home
Industry Growth Engine Construction & Home Total addressablemarket’ = F xnansion, renewal and upgrade of residential, Value 2023e-2028e €6.5-7 bn commercial and infrastructure Growth CAGR 9 2% Our advantage: Our levers: ContiTech sales: High demand for efficient > Extremely compatible with Sales sha
Slide 12: Growth Engine Energy Management
Growth Engine Energy Management
Slide 13: Industry Growth Engine Energy Management
Industry Growth Engine Energy Management Total addressable market: Value 2023e-2028e €2-2.5 bn Growth CAGR 5% ContiTech sales: Sales share 2023e 7% Growth CAGR 2023e-2028e 5% Transformation towards efficiency, decarbonization and localization Our advantage: Our levers: High demand for collaboration
Slide 14: Growth Engine Off-Highway Mobility
Growth Engine Off-Highway Mobility
Slide 15: Industry Growth Engine Off-Highway Mobility
Industry Growth Engine Off-Highway Mobility Totaladdressablemarket! = [ Yemand for technological upgrades, increasing Value 2023e-2028e €15.5-18 bn efficiency and new materials drives growth Growth CAGR 9 3% Our advantage: Our levers: ContiTech sales: Strong demand for high- > Partnering with OEs to
Slide 16: Our Growth Ambition
Our Growth Ambition CAGR~7% Outperformance Outperformance Short-term Sales 2023e CAGR: Compound annual growth rate
Slide 17: Automotive
AUTOMOTIVE
Slide 18: Automotive Clear Strategic Direction
Automotive Clear Strategic Direction Ambition Increasing profits and selective growth ai . How will we do it? Original Equipment Solutions Short-term performance improvements _ > Customer and product portfolio measures Thermal Precision . Management Sealing > Strict cost management _ ’ > Limited cap
Slide 19: Automotive Growth Engine Electric Vehicles
Automotive Growth Engine Electric Vehicles
Slide 20: Automotive Growth Engine Electric Vehicles
Automotive Growth Engine Electric Vehicles Totaladdressablemarket: = Transition to batteries, new materials and net zero Value 2023e-2028e €5.5-18 bn components Growth CAGR 9g 27% Our advantage: Our levers: ContiTech sales: Strong demand for customized > Technical expertise to offer Sales share 2023
Slide 21: Strong Portfolio Management
Strong Portfolio Management CAGR~2% Growth in selected Growth in selected businesses businesses Sales 2023e
Slide 22: ContiTech
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Slide 23: ContiTech Ensure Success
ContiTech Ensure Success Consolidated Smart Scaling size & Streamlined expertise i organization Automated Green Efficiency & labor Net zero Best-cost independency 2040 business hubs Operational excellence Fixed-cost management Reduce costs by ~2% of sales mid-term
Slide 24: ContiTech Financial Outlook - Mid-term Targets
ContiTech Financial Outlook - Mid-term Targets ~€6.8-7.2 bn Industry/Auto 60/40 Automotive Cost Management v = 2 3 se] 2 2 5 - = Cost Management Industry Adj. EBIT" (%) 2023e (VOLUME —NSEUSHEUPENNNNN Short-term VOLUME —SECSHECPENSSNNNN Mid-term Ambition 1 Before amortization of intangibles from PPA,
Slide 25: ContiTech Mid-term Financial Outlook
ContiTech Mid-term Financial Outlook Sales ROCE2 A/_ ~€8-9 bn 4/® >22% “——— Adj. EBIT’ margin Cash generation? Ail ~9-11% tT®©i >65% Strong ROCE and cash generation pe of consolidation (only 2023e), and special effects, 2 Ratio of EBIT to average operating assets for a fiscal luding major onetime it
Slide 26: ContiTech Continuing Value Creation
ContiTech Continuing Value Creation Strategic capital allocation towards high-quality industry business Stronger industry OE position translates further into profitable replacement business Long-term value creation through market and customer focus Reliable profitability and upside potential through
Slide 27: Disclaimer Capital Market Day 2023
Disclaimer Capital Market Day 2023 This presentation has been prepared by Continental Aktiengesellschaft solely in connection for the Capital Market Day on December 4, 2023, and the subsequent analyst and investor meetings . It has not been independently verified. This presentation as well as remark
Slide 28: The Future in Motion
@ntinentals. The Future in Motion