Fuchs Se · XETR:FPE
Fuchs — Investor Day (December 2024)
135 slides from Fuchs's investor day presentation, Dec 5, 2024
Slide 1: FUCHS Group Capital Market Day 2024
FUCHS GROUP Capital Market Day 2024 | December 5th, 2024
Slide 2: Key Messages
Key Messages FUCHS 01 Capital Unique business model with focus on high performance products Market Day 2024 02 FUCHS – a profitable growth story 03 Digitalization initiatives driving innovation and efficiency 04 Lubricants enabling customer sustainability 05 From FUCHS2025 to FUCHS100 l2
Slide 3: Agenda
Agenda Time Topic Presenter 08:15 – 8:45 Coffee & Snacks 09:00 – 09:15 Welcome from DMG Mori Alfred Geißler 1. Unique business model with focus on high performance products 09:15 – 10:40 2. FUCHS – a profitable growth story FUCHS management 3. Digitalization initiatives driving innovation and effici
Slide 4: Agenda
Agenda Time Topic Presenter 12:15 – 13:00 Lunch 13:00 – 14:30 Factory Tour 14:30 – 14:45 Coffee break DMG MORI & FUCHS Chenyan Zou, Jens Tempel, 14:45 – 15:45 Michael Ziegler, 15:45 – 16:00 Key Messages & Closing remarks Stefan Fuchs l4
Slide 5: Unique business model with focus on high performance products
01 Unique business model with focus on high performance products l5
Slide 6: Keeping Daily Life Moving
Keeping Daily Life Moving Stefan Fuchs
Slide 7: We Keep Daily Life Moving
WE KEEP DAILY LIFE MOVING The world’s population is growing. By 2050, we will be 10 billion. More people than ever before will drive to work, use smartphones, have lunch, require healthcare. Things we all need in our daily lives. It’s a big challenge for the equipment that provides these basics. Tha
Slide 8: Moving Your World
This is how we are MOVING YOUR WORLD We want to keep the world moving. Everyday. With innovative and technological solutions that have a lasting impact on the future. l8
Slide 9: What do Lubricants Actually do?
What do Lubricants Actually do? Protect surfaces from Reduce friction and corrosion and wear wear in moving systems Cool machines Transfer energy and equipment l9
Slide 10: Where do Lubricants Contribute to Daily Life?
Where do Lubricants Contribute to Daily Life? Almost Everywhere … l 10
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Slide 12: Moving Your World
MOVING YOUR WORLD
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Slide 14: Moving Your World
MOVING YOUR WORLD
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Slide 17: No Matter Where: We are always close to our customers
NO MATTER WHERE We are always close to our customers Germany Rest of Europe Asia-Pacific North America Africa South America Total 35 Production locations 55 Operating companies As of December 31, 2023 Incl. Joint Ventures l 17
Slide 18: Three facts about FUCHS
Three facts about FUCHS BROADLY POSITIONED 10,000 products in over 25+ different industries DEVELOPMENT FOCUS More than 10% of our employees work in the field of research and development INDEPENDENT 58% of the FUCHS ordinary shares are held by the FUCHS family, and the company is not vertically inte
Slide 19: Success stories industry
Success stories industry Dr. Ralph Rheinboldt
Slide 20: Focusing on key market segments to accelerate growth
By focusing on key market segments, We are accelerating the lead-to-deal process, driving speed and efficiency, and positioning ourselves for faster, sustainable growth. l 20
Slide 21: Key Elements
KEY ELEMENTS Market Knowledge Doing the right things! Alignment Act as a unified team! Scalability Repeat successes! Communication Speak the customer’s language! l 21
Slide 22: Success Story – Segment Energy Storage
SUCCESS STORY– SEGMENT ENERGY STORAGE From market understanding to customer solutions FUCHS won the current biggest immersion cooling stationary battery energy storage project in China … Market Knowledge Doing the right thing! 400 MWh 400 tons of immersion coolant … by providing a customized product
Slide 23: Success Story – Energy Storage: Importance of approvals
SUCCESS STORY– SEGMENT ENERGY STORAGE China: Importance of approvals Where we started (Global) Supplies today Alignment Act as a unified team! Utilizing One From local networks, approval, to global duplicating global scaling supply business l 23
Slide 24: Success Story – Segment Paper Industry
SUCCESS STORY – SEGMENT PAPER INDUSTRY • Current supply 2 paper mills and 46 Corrugated plants • Scalability potential for 62 Paper Mills and 500+ Scalability converting plants Repeat successes! • Scale to full line product supply plus FUCHS Smart Services • One stop Shop Potential covering all SMUR
Slide 25: Success Story – Segment Food Industry
SUCCESS STORY – SEGMENT FOOD INDUSTRY • Standardized digital Sales & Service approach for audits & plant visits of Global Food Customers, like Scalability Repeat successes! Global potential: > 1000 plants • Conversion rate of switching to FUCHS Products after handing over customized report: > 50% l
Slide 26: Success Story – Segment Basic Metal
SUCCESS STORY – SEGMENT BASIC METAL NUCOR Steel (Several sites) Cross-Regional Exchange. • Learning from market development in Process Oils Scalability in FUCHS companies in Europe and China Repeat successes! Market estimation: > Double Digit M USD/y in rolling and process oils Sales, R&D and Prod.
Slide 27: New Mobility
New Mobility Dr. Timo Reister
Slide 28: E-Mobility Ramp Up Scenario: Europe
E-MOBILITY RAMP UP SCENARIO: EUROPE Car sales 35 mn Annual car sales Car population 1% 13.6 mn • Current regulation in Europe will lead to 12.8 mn sales ban of ICE vehicles in 2035, shift of 13% 242mn 2023 cars legislation to 2040+ in discussion 1% 34% 99% • Overall, the car population expected to b
Slide 29: E-Mobility Ramp Up Scenario: China
E-MOBILITY RAMP UP SCENARIO: CHINA Car sales 35 mn Annual car sales Car population • Strong increase in car sales and car population in China expected 6% 29.0 mn • Openness in technology leading to more 300mn 2023 balanced split between ICE and non-ICE 22.8 mn cars • Pure ICE sales will come to a ha
Slide 30: E-Mobility Ramp Up Scenario: USA
E-MOBILITY RAMP UP SCENARIO: USA Car sales 35 mn Annual car sales Car population • More uncertainties regarding electric 14.5 mn 14.8 mn 6% mobility for the US, slow current demand 290mn leads to adjustments of OEM plans 18% 2023 cars • Moderate growth of overall car 41% 94% population expected over
Slide 31: We support existing and new mobility technologies
WE SUPPORT EXISTING AND NEW MOBILITY TECHNOLOGIES AND DEVELOP SMART SOLUTIONS FOR OUR CUSTOMERS Alt. ICE H2 BEV Fuel Cell Hybrid Fuels l 31
Slide 32: New Mobility a Growth Opportunity
NEW MOBILITY A GROWTH OPPORTUNITY WE ARE THE ENABLER OF MOBILITY Customers increasingly rely on FUCHS to develop customized solutions for them: automotive fluids market becomes more complex and R&D-driven with three main focal points: RANGE / SAFETY / UPTIME / PERFORMANCE RELIABILITY AVAILABILITY Ke
Slide 33: Application and success stories
Application and success stories l 33
Slide 34: Market Potential: Expected Revenue (BEV & FCEV)
MARKET POTENTIAL: EXPECTED REVENUE (BEV & FCEV - OEM FF1) (in € bn) Thermal Fluid (TF) 1.0 0.9 0.7 0.5 0.5 0.4 0.3 0.2 0.2 0.1 0.1 0.0 0.0 2023 2025 2030 2035 2040 Oil Water based Note: (1) OEM FF=OEM First Fill. l 34
Slide 35: Market Potential: Expected Revenue (BEV & PHEV)
MARKET POTENTIAL: EXPECTED REVENUE (BEV & PHEV – OEM FF1 & AAM2) (in € bn) Electric Driveline Fluid (EDF) & Dedicated Hybrid Transmission Fluid (DHTF) 3.0 2.5 2.0 2.0 1.2 1.0 0.5 0.3 0.0 2023 2025 2030 2035 2040 EDF & DHTF Note: (1) OEM FF=OEM First Fill. (2) AAM=Automotive Aftermarket. l 35
Slide 36: FUCHS New Mobility Success Story
FUCHS NEW MOBILITY SUCCESS STORY Mutual EDF development projects for 3 PC OEMs worldwide Targets for a successful transformation of our global strategic accounts: • Product portfolio transformation towards eMobility fluids by increasing share of FUCHS BluEV product line • Creation of globalized cust
Slide 37: FUCHS BluEV Applications for NEV
FUCHS BluEV APPLICATIONS FOR NEV Low noise grease for ventilators and Contact coating for charging socket pumps Noise cancelling Drawing oils for in the interior copperwire Contact grease and cleaners Bearing and sealing for electric connections greases for E-Motors Thermal fluid for power Cleaners
Slide 38: FUCHS BluEV Applications for NEV
FUCHS BluEV APPLICATIONS FOR NEV Cleaners for battery production Drawing oils for Forming oils for copperwire Battery cell cups or battery cases Cutting oil for electrical Thermal fluid and sheets in E-Motor gapfiller for battery Corrosion protection Metal working fluids for for battery housing prod
Slide 39: FUCHS – a profitable growth story
02 FUCHS – a profitable growth story l 39
Slide 40: Financial Targets
FINANCIAL TARGETS (in € mn) 500 Striving towards €500 mn EBIT in 2025 250 0 2005 2010 2015 2020 2025 Mid single-digit Long-term EBIT Average cash Increase of dividend percentage margin conversion rate % € annual sales growth ~15% 0.8x each year l 40
Slide 41: Hightech Lubricants on the Rise
HIGHTECH LUBRICANTS ON THE RISE Market Demand FUCHS Sales (by customer location) -0.04 p.a % +6 p.a % € 3,541 mn 36.0 mn t 35.7 mn t 36% 26% 52% (1,834) 30% 29% 35% 19% €902 mn (683) 44% 59% (531) 29% 29% (1,024) 24% (219) 17% (152) 2000 2023 2000 2023 APAC Americas EMEA l 41
Slide 42: Strong Track Record of Integrating Businesses
STRONG TRACK RECORD OF INTEGRATING BUSINESSES Most important transactions over the last 15 years (GLOBAL) (DE) (SE) (AU) (US) (GER) (SUI) €21 mn €135 mn €140 mn €25 mn €46 mn €40 mn €15 mn 2010 2015 2019 2024 2014 2016 2022 (DE) Food Gr. Lub. Start of (ZA) (GB) (US) (US) business: €15 mn €15 mn €15
Slide 43: Successful Completion of the LUBCON Acquisition
SUCCESSFUL COMPLETION OF THE LUBCON ACQUISITION Family business with a focus on high-performance specialty lubricants Very good market position in the specialties segment Expansion of existing key markets Diversification into new segments Strengthening of global footprint TECHNOLOGIE- Sale
Slide 44: Acquisition of STRUB & Co. AG Completed
ACQUISITION OF STRUB & Co. AG COMPLETED Family business in Switzerland with a focus on industrial lubricants and specialties STRUB has a good market position with production in Reiden, Switzerland STRUB gives FUCHS a basis in Switzerland for bundling existing business (LUBCON, exports etc.) Sa
Slide 45: Investment in the Future: Capex Program
INVESTMENT IN THE FUTURE CAPEX program to accelerate profitable growth successfully finished Five year growth initiative … with a clear investment focus on: 2016 – 2020: €595 mn Capex // €200 mn over “normal level” Growth (in € mn) 154 • Construction of new plants in growth regions • Capacity expans
Slide 46: 3 Main Hubs for Our Customers Worldwide
3 MAIN HUBS FOR OUR CUSTOMERS WORLDWIDE STANDARDISATION OF UNIFORM QUALITY COMPREHENSIVE MANUFACTURING STANDARDS PRODUCT RANGE PROCESSES USA China Germany
Slide 47: FUCHS High-Performance Grease Plant in China Goes into Operation
FUCHS HIGH-PERFORMANCE GREASE PLANT IN CHINA GOES INTO OPERATION • Increasing efficiency through automated production methods • Reducing costs and emissions through energy- efficient design • Strengthening our 3C promise through globally standardized and locally adapted solutions l 47
Slide 48: Long-Term Value Creation Through Balanced Capital Allocation
LONG-TERM VALUE CREATION THROUGH A BALANCED CAPITAL ALLOCATION APPROACH EUR 3.0 bn total cash generation 2004 - 2023 (in € mn) 465 Cash generation 232 238 210 205 186 175 141 150 142 147 132 109 86 90 69 61 19 59 61 14 17 25 37 37 40 63 70 92 98 106 113 123 126 131 134 137 142 144 146 Cash allocatio
Slide 49: Over Two Decades of Dividend Growth
OVER TWO DECADES OF DIVIDEND GROWTH, SIGNIFICANTLY CONTRIBUTING TO SHAREHOLDER VALUE 1.11 • Increasing efficiency through 1.07 22 years 1.03 0.99 automated production methods 0.91 0.95 0.97 0.89 0.82 of consecutive dividend • Reducing costs and 0.77 0.70 increases emissions through energy- 0.65 effi
Slide 50: FUCHS Preference Share Leading Dividend Aristocrat in Germany
FUCHS PREFERENCE SHARE IS THE LEADING DIVIDEND ARISTOCRAT (-CANDIDATE) IN GERMANY FUCHS MDAX 1st Cewe SDAX 2nd 22 Bechtle MDAX 3rd YEARS Brenntag DAX SAP DAX Symrise DAX Nexus PrimeSt Nemetcheck MDAX Adesso SDAX Atoss Software SDAX Mensch und Maschine Open market Deutsche Börse DAX DeFaMa Open marke
Slide 51: Digitalization initiatives driving innovation and efficiency
03 Digitalization initiatives driving innovation and efficiency l 51
Slide 52: FUCHS Goes Digital – Our North Star
FUCHS GOES DIGITAL – OUR ‘NORTH STAR’ New digital technologies will By 2030, we will be the Therefore, we will pursue five change expectations of our digital frontrunner in our key Digital Opportunity Areas customers and offerings of area of expertise. We will (DOAs) as a first priority, our competi
Slide 53: FUCHS Goes Digital – Our North Star
FUCHS GOES DIGITAL – OUR ‘NORTH STAR’ 1 2 3 4 5 Automated ordering & Optimized fluids & Forecasted equipment Smart development & Digital operations fulfillment resource use functionality improved product performance Cost saving & Cost saving & Defensive Offensive New max. efficiency max. efficiency
Slide 54: FluidsConnect
2 Optimized fluids & resource use Web-based management tool FluidsConnect • Individually designed dashboards • Tracking of fluid condition and trends • Scheduling of maintenance activities • Remote access to key operating data • Assists in data-based decision making l 54
Slide 55: Consumption Reporting
2 CONSUMPTION REPORTING Optimized fluids & resource use l 55
Slide 56: Project on Computer Vision to Remove Ambiguity
4 PROJECT ON COMPUTER VISION TO REMOVE Smart development & AMBIGUITY AND ENHANCE ACCURACY improved product performance Corrosion Human evaluation Samples Grade No Differentiation Sample 1 A Sample 2 A Automated visual analysis of test results enhances accuracy, reduces analysis time and mitigates hu
Slide 57: Strategic Partnership with Microsoft
STRATEGIC PARTNERSHIP WITH MICROSOFT l 57
Slide 58: #AskLuci
How do we manage to scale AI solutions globally? #AskLuci • FUCHS and Microsoft signed strategic AI partnership • Target: Foster development and implementation of AI solutions based on (internal) customer and market requirements • FUCHS benefits from the expertise, resources and platforms of Microso
Slide 59: Transform 2 Grow – Leveraging FUCHS Data
TRANSFORM 2 GROW – LEVERAGING FUCHS DATA l 59
Slide 60: Digital Core
DIGITAL CORE FUCHS digital core provides the foundation for user experience, digital innovation and customer success 3rd Party Solutions Customer-centric Services Customer Experience Flexible Customer (e.g. tax determination, compliance, etc.) (e.g. Ticket system, AI, CRM) (e.g. fluids connect, webs
Slide 61: Data Is the New Oil
“DATA IS THE NEW OIL. LIKE OIL, DATA IS VALUABLE, BUT IF UNREFINED IT CANNOT REALLY BE USED.” Clive Humby New opportunities to evaluate data, get insight and recommendations Artificial Intelligence Tools Microsoft Standardized toolset Global data lake to enable Microsoft Power Fabric for Apps, custo
Slide 62: Coffee break
Coffee break
Slide 63: Lubricants enabling customer sustainability
04 Lubricants enabling customer sustainability l 63
Slide 64: The inherent purpose of lubricants is to improve sustainability
The inherent purpose of lubricants is to improve the sustainability of the systems they are applied in. l 64
Slide 65: Lubricants Improve the Sustainability of Systems
LUBRICANTS IMPROVE THE SUSTAINABILITY OF SYSTEMS Protect surfaces from Reduce friction and corrosion and wear wear in moving systems Cool machines Transfer energy and equipment l 65
Slide 66: Lubricants Improve the Sustainability of Systems
LUBRICANTS IMPROVE THE SUSTAINABILITY OF SYSTEMS Protect surfaces from Reduce friction and corrosion and wear wear in moving systems Cool machines Transfer energy and equipment l 66
Slide 67: Protect Surfaces from Corrosion
PROTECT SURFACES FROM CORROSION Increase BEV reliability FUCHS Electric Driveline Fluids (EDFs) Prevent copper corrosion in BEV electric motors to maintain original motor characteristics. Keep electrical resistance constant Prevent excess heat Example for FUCHS BluEV EG EDF 4101 Maintain mecha
Slide 68: Lubricants Improve the Sustainability of Systems
LUBRICANTS IMPROVE THE SUSTAINABILITY OF SYSTEMS Protect surfaces from Reduce friction and corrosion and wear wear in moving systems Cool machines Transfer energy and equipment l 68
Slide 69: Reduce Friction and Wear: More range, less emissions
REDUCE FRICTION AND WEAR More range, less emissions FUCHS Wheel-Hub Bearing Greases Reduce friction by more than 30% in a screening test (MTM) Longer bearing lifetime Extended range for EVs Less energy demand Less emissions in combustion vehicles l 69
Slide 70: Reduce Friction and Wear: Increase BEV range
REDUCE FRICTION AND WEAR Increase BEV range FUCHS Electric Driveline Fluids (EDFs) EDFs cool, lubricate and ensure efficient operation in BEV powertrains. FUCHS BluEV EDF 4101 improves efficiency by 0.2% in WLTC/CLTC Lifecycle: 300,000 km, Consumption: 17.9 kWh/100 km ~107 kWh of energy are bein
Slide 71: Reduce Friction and Wear: Extend wind turbine service life
REDUCE FRICTION AND WEAR Extend wind turbine service life FUCHS Wind Bearing Greases Prevent formation of standstill marks in main bearings 5x longer. Prevent premature and irreversible damage Avoid significant costs due to replacement and downtime l 71
Slide 72: Lubricants Improve the Sustainability of Systems
LUBRICANTS IMPROVE THE SUSTAINABILITY OF SYSTEMS Protect surfaces from Reduce friction and corrosion and wear wear in moving systems Cool machines Transfer energy and equipment l 72
Slide 73: Cool Machines and Equipment: Data Center Efficiency
COOL MACHINES AND EQUIPMENT Data Center Efficiency FUCHS Immersion Cooling Fluids Cooling data center hardware by submerging it in non-conductive liquids. Generated heat is directly and efficiently transferred to the fluid Reducing the energy required for data center cooling by up to ~95% l 73
Slide 74: Lubricants Improve the Sustainability of Systems
LUBRICANTS IMPROVE THE SUSTAINABILITY OF SYSTEMS Protect surfaces from Reduce friction and corrosion and wear wear in moving systems Cool machines Transfer energy and equipment l 74
Slide 75: Transfer Energy: Reduce fuel consumption and emissions
TRANSFER ENERGY Reduce fuel consumption and emissions FUCHS Hydraulic Fluids Transfer energy to highly loaded actuators in stationary and mobile hydraulic systems. FUCHS premium solutions proven to deliver outstanding performance and emission reduction in comparative lifecycle assessment. Saved ~3
Slide 76: Sustainability Strategy
Sustainability Strategy l 76
Slide 77: Sustainability Where Economic, Social and Ecological Targets Overlap
SUSTAINABILITY FOR US IS WHERE ECONOMIC, SOCIAL AND ECOLOGICAL TARGETS OVERLAP Social FUCHS affiliates participate in social projects Economic Sustainability EBIT 2025 target EBIT margin target Av. Cash Conversion Ecological Net Zero Targets for Scope 1, 2 and 3 emissions l 77
Slide 78: Social projects of FUCHS affiliates
In 2023 94% 298 * of all FUCHS affiliates projects globally. contributed to local or regional Mainly supporting the SDGs: social projects * FUCHS affiliates without JVs l 78
Slide 79: Sustainability Journey: Gate-to-Gate to Full Value Chain
OUR SUSTAINABILITY JOURNEY BEGAN WITH A GATE-TO-GATE EMISSION FOCUS AND EXPANDED TO THE FULL VALUE CHAIN FUCHS Exploration Refining/ Processing Design / R&D Manufacturing Distribution Usage/ Consumption Reuse / End of Life GATE-TO-GATE1 CO2-COMPENSATED SINCE 2020 CRADLE-TO-GRAVE2 NET ZERO CO2-NEUTRA
Slide 80: Reporting on GHG Scopes 1, 2 and 3
Going forward we will report on GHG Scopes 1, 2 and 3 covering the whole value chain l 81
Slide 81: Operational Emissions Reduced by 30% in 2 Years
OPERATIONAL EMISSIONS REDCUED BY 30% IN 2 YEARS Operational Emissions (3%): Value Chain Emissions (97%): Scope 1 + 2 in ktCO2e Scope 3* in MtCO2e -30% l 82
Slide 82: Challenges We Faced Along the Way
CHALLENGES WE FACED ALONG THE WAY Transformation Required Complex Availability and Low willingness- speed differs defossilisation regulation hinders competitiveness to-pay for more by country and technologies not agile of high quality, sustainable industry broadly available transformation alternativ
Slide 83: Two Giant Leaps to Net Zero
TWO GIANT LEAPS TO NET ZERO EMISSIONS Main Contributor: Purchased raw materials (fossil-based) -25% Scope 3 Value Chain (97%) Main Contributors: Emissions Heating and Electricity NEAR-TERM GOALS LONG-TERM GOAL -42% Scope 1 + 2* Operational -90% Emissions (3%) 2023 2030 2035 2040 2050 *Base Year 2021
Slide 84: Key Factors to Achieve Net Zero Targets
TO ACHIEVE OUR NET ZERO EMISSION REDUCTION TARGETS, FUCHS RELIES ON SERVERAL KEY FACTORS Green energy Defossilisation Regulation Availability and Willingness to sufficiently technologies are supports fast, competitiveness switch to more available in all broadly available technology- of high quality,
Slide 85: External View & Recognition
External View & Recognition l 86
Slide 86: Our Sustainability Ratings Continue to Improve
OUR SUSTAINABILITY RATINGS CONTINUE TO IMPROVE Continuous FUCHS started FUCHS responds Current Rating “C-” improvement in CDP disclosure in to customer requests (last review from Rating score 2018 on a local basis. October 2022) Following results reflecting mean From “BB” in April Since
Slide 87: Pioneering Climate Strategies
Pioneering Climate Strategies FUCHS SE receives Global Transition Award 2023 l 88
Slide 88: We stay fully committed to our sustainability approach
We stay fully committed to our sustainability approach EMPOWERING ENGINEERING to perform more sustainably to make change happen Efficient lubrication solutions save Transforming our technologies, energy, resources and CO2 processes and raw materials Social projects for education Achieving gr
Slide 89: Success Stories Sustainability
Success Stories Sustainability l 90
Slide 90: FUCHS India Anugrah Vidya Mandir School
FUCHS India Anugrah Vidya Mandir School ANUGRAH VIDYA MANDIR is a special school and home for low-income and marginalized children near Mumbai, India. Here, about 300 students receive education in English language by teachers – one of them is a former student and returned home to give FUCHS Social s
Slide 91: Recognition for social projects in Mannheim
FUCHS Sponsorship Awards Recognition for social projects in Mannheim Support of exemplary initiatives and projects since 2000 in Mannheim provided a stage, recognition and funding. The amount was increased to EUR 75,000 in 2024. FUCHS Supported projects are aimed at a wide variety of Social people
Slide 92: Reducing energy consumption (LEAN)
Energy Reducing energy consumption (LEAN) Example for site in Castellbisbal (Spain): Before After LEAN LEAN measures measures Reducing Scope 1 Emissions 4000 MWh 2500 per year -38% Scope 1 Emissions reduced by 350 t/year with a single measure l 93
Slide 93: Electric heating for thermal oil system
Heating Electric heating for thermal oil system Example for site in Fors (Sweden): Reducing -800 t/year Scope 1 of CO2 emissions Emissions compared to conventional natural gas systems Green energy is used to power the thermal oil system and the geothermal heating system l 94
Slide 94: Power Purchase Agreements based on PV
Electricity Power Purchase Agreements (PPA) based on PV for power supply stability and drastically reduced CO2 emissions Reducing Example for site in Johannesburg (South Africa): Scope 2 Emissions -900 t/year of CO2 emissions by switching from coal-based local grid power supply to rooftop PV-systems
Slide 95: New solar system in Yingkou
Electricity New solar system increases global solar peak power at FUCHS by 46% Example for site in Yingkou (China): Solar panels cover 5616 m 2 Reducing Scope 2 Emissions and have a PEAK power of 1188 kWp Global share of green electricity used >75% at FUCHS l 96
Slide 96: Packaging: Harmonizing steel drum wall thickness
Packaging Harmonizing wall thickness of steel drums across Europe Example for FUCHS in Europe: Reducing Scope 3 -600 t/year Emissions of CO2 emissions for packaging No compromises on stability and quality l 97
Slide 97: Packaging: Recycled materials (PCR)
Packaging Recycled materials (PCR) for FUCHS Automotive bottles Example for FUCHS in Europe: Reducing Scope 3 Emissions 30% 100% Since 2021, May 2024, our automotive in Europe, core our automotive packaging has corebeen smallcontaining packs are at now least made 30%of post-consumer 100% recycled ma
Slide 98: Ops-related Emission Intensity in China
In China, we reduced our emissions by > 1,000 t/year since 2021 160 Ops-related Emission Intensity (kgCO2e/tproduced) 140 135 Switching to 100% green electricity 120 120 incl. the installation of a PV-system 100 88 Selected equipment upgrades, 83 e.g. installation of an electric boiler 80 Reduci
Slide 99: From FUCHS2025 to FUCHS100
05 From FUCHS2025 to FUCHS100 l 100
Slide 100: FUCHS Strategy Cycles
FUCHS Strategy Cycles Stefan Fuchs & Dr. Timo Reister
Slide 101: FUCHS 2025
FUCHS 2025 • Growth mindset • Open feedback culture • Hierarchy free communication • Focus on 3 mega trends • Decentral organization with strong regions and e-mobility, digitalization & sustainability local entities close to our customers • Profitable growth through segmentation • Powerful networks
Slide 102: Structure: FUCHS' Operating Model
STRUCTURE: FUCHS’ OPERATING MODEL l 103
Slide 103: Culture: Experience the FUCHS Spirit
CULTURE: EXPERIENCE THE FUCHS SPIRIT l 104
Slide 104: Marketing Airport campaign Munich
Marketing Airport campaign Munich Munich / Germany l 105
Slide 105: DMG MORI & FUCHS Partnership
DMG MORI & FUCHS PARTNERSHIP 01/2014 l 106 106
Slide 106: Strategic partnership FUCHS Group & Mercedes-Benz
Strategic partnership FUCHS Group & Mercedes-Benz Global Customer Service & Parts Signing of cooperation agreement March 28, 2024 Aims of the partnership Joint promotion of business expansion Sales growth through new developments Increase in brand awareness Joint marketing activities on
Slide 107: From FUCHS2025 to FUCHS100 (2026-2031)
CONTINOUS DEVELOPMENT OF CORPORATE STRATEGY From FUCHS2025 (2019 – 2025) to FUCHS100 (2026-2031) l 108
Slide 108: FUCHS100
FUCHS100 Game Plan for 2031 Where to play & How to win Clear contribution of activities l 109
Slide 109: FUCHS2025 – Strategy Perspective
FUCHS2025 – STRATEGY PERSPECTIVE BUSINESS MODEL MEGATRENDS GROWTH E-MOBILITY LUBRICANTS Significant opportunities Unique FUCHS business for FUCHS in fast model based on strict developing markets application focus and tailormade solutions SUSTAINABILITY GROWTH FUCHS empowers its FUCHS will exploit gr
Slide 110: FUCHS100 Strategy
FUCHS 100 Strategy 100 years FUCHS December 2025 January 2026 December 2031 FUCHS 2025 FUCHS 100 WHO? Timo Reister (sponsor) + strategy department (project lead) WHAT? • Growth strategy (growth through segmentation & efficiency) • Responses to megatrends • Evolution not revolution • Less is more (st
Slide 111: FUCHS100 Strategy 2026-2031
FUCHS100 Strategy 2026-2031 Process consisting of three phases to arrive at FUCHS100 DISCOVERY SELECTION FORMULATION l 112
Slide 112: Factory Tour
Factory Tour
Slide 113: Lunch break
Lunch break
Slide 114: Coffee break
Coffee break
Slide 115: Cooperation – Why FUCHS as Cooperation Partner?
COOPERATION - WHY FUCHS AS COOPERATION PARTNER? “High tech machines need high tech lubricants” Market Presence Sustainability No. 1 33 production sites 55 companies worldwide 2050 Net-Zero Year have the possibility to provide globally representing FUCHS in almost the is supporting DMG MORI, to achie
Slide 116: Cooperation – Major Milestones of the Joint Journey
COOPERATION - MAJOR MILESTONES OF THE JOINT JOURNEY IDM product family: Cooperation Start: Cooperation Extension: Inititation of tailormade China Europe products developed on Focus on turn-key project DMG MORI needs 01/2014 04/2016 09/2017 01/2018 03/2019 09/2019 First DMG MORI approvals for Install
Slide 117: Cooperation – Markets with Cooperation Activities
COOPERATION - MARKETS WITH COOPERATION ACTIVITIES Australia Austria Belgium Brazil Canada China Croatia Czech Republic Denmark Egypt Finland France Germany Greece Indonesia Israel Italy Japan 41 countries worldwide with cooperation Luxembourg activities Malaysia as per 30.11.2024 Mexico New Zealand
Slide 118: Cooperation – The People Behind the Cooperation
COOPERATION - THE PEOPLE BEHIND THE COOPERATION >400 people Involved in daily operation and connected via one joint working platform as per 30.11.2024 l 119
Slide 119: Benefits – Lubricant Standardization at DMG MORI
BENEFITS - LUBRICANT STANDARDIZATION AT DMG MORI Milling / Mill-Turn machine Turning / Mill-Turn machine (e.g. DMC 65 H monoBLOCK) (e.g. CLX 450 TC) Tool Magazine RENOLIT Motor spindle Tool Changer Tool Magazine & Changer LI IDM 000 Motor spindle RENOLIN RENOLIN CLP 150 RENOLIN CLP 150 RENOLIN FF68
Slide 120: Benefits – Reduction of Product Complexity
BENEFITS - REDUCTION OF PRODUCT COMPLEXITY History New Setup Benefits Customer / DMG MORI Company Grease 5 Products + Standardized lubricants within the RENOLIT LI IDM 000 machine independent of the DMG MORI 2 Manufacturer production plant + Lubricants based on state-of-the-art technologies + Compat
Slide 121: How FUCHS Developed Products for DMG MORI
HOW FUCHS DEVELOPED PRODUCTS FOR DMG MORI Efficient From Increased Production to Performance & Operation Productivity Compatible and Secure Supply Chains Harmonized Fluids – Worldwide Production Shipping Machine Set-up Operation by at Customer’s Site Customer One Partner, All Lubrication Needs Susta
Slide 122: Benefits – Jointly Developed Metalworking Fluids
BENEFITS - JOINT DEVELOPED METALWORKING FLUIDS Our goal: enable the customer to achieve best possible performance throughout the process with DMQP metal working fluids Metalworking Origin Materials Specifics Fluid Multifunctional universal product for drilling, turning ECOCOOL AFC IDM Europe semi-sy
Slide 123: Benefits – Jointly Developed Metalworking Fluids: ECOCOOL IDM
BENEFITS - JOINT DEVELOPED METALWORKING FLUIDS Possible achievements with tailormade metalworking fluids Example: ECOCOOL IDM Starting point: Development of a coolant for high performance machining Result: High performance coolant for difficult-to-machine materials such as Titanium, Inconel, or Stai
Slide 124: Example: Semiconductor – holistic process solution
BENEFITS - JOINT DEVELOPED METALWORKING FLUIDS INDUSTRY - TECHNOLOGY COMPETENCE THE RIGHT SOLUTION FOR EVERY INDUSTRY AUTOMOTIVE AEROSPACE DIE & MOLD MACHINERY ENERGY TECHNOLOGY SEMICONDUCTOR Steering knuckle- Chassis component Radiator grille Machine bed Drill head Recording E-motor housing Combust
Slide 125: Semicon | MX
COMPLEX MACHINING EASY, ACCURATE AND FAST. TURKING MILLING 1126
Slide 126: Semicon | Supply Chain
SEMICON | SUPPLY CHAIN Foundries Wafer Fabrication Equipment Sub-Supplier Machine Tools l 128
Slide 127: Semicon | Nano Technology
SEMICON | NANO TECHNOLOGY 0.001 µm = 1 nm 3 nm Smallest size of transistor l 129
Slide 128: Semicon | Nano Technology
SEMICON | NANO TECHNOLOGY Cleanliness requirements Atom model Elements Grade 4 Grade 3 Grade 2 Grade 1 H2O Measuring methods Zn Sn Pb VISUELL In Mn F Cl <1,0at% UV-LICHT S P N/A Si N/A Na Ca N/A Mg N Staining XPS l 130
Slide 129: FUCHS's Offer for Semiconductor Equipment Manufacture and Operation
FUCHS’S OFFER FOR THE MANUFACTURE AND OPERATION OF EQUIPMENT FOR SEMICONDUCTOR PRODUCTION Machining of microchip production Vacuum & Clean Room equipment applications ECOCOOL SCE-IDM * ECOCOOL SCG-IDM NYETORR® ECOCOOL GLOBAL 1000 * NYECLEAN® RENOCLEAN MTS 7001 NYEVAC® * ASML GRADE 2 approval l 131
Slide 130: Tailormade to Perform – Grade 1 / HiO-free Joint Development
TAILORMADE TO PERFORM – GRADE 1 / HIO-FREE JOINT DEVELOPMENT ECOCOOL SCE-IDM ECOCOOL SCG-IDM • Semisynthetic solution - HiO uncritical formulation • Synthetic solution - HiO uncritical formulation • Excellent lubrication and performance • Excellent wetting and cooling performance • Very good compati
Slide 131: Semicon | cleanONE Technology
SEMICON | cleanONE TecHNOLoGy ~~ FUCHS wy \ » reduced DMG MORI yelow-meta amount, etc 1. Machine > > 48h water test » Cleaning & conservation with SCE cooiant with special agents 2. Process 3. Starter Consulting i, #q bn Vn 1133
Slide 132: Success Story – Segment Semiconductor
Success Story – Segment SEMICONDUCTOR From market understanding to customer solutions Market Knowledge Customer MOGEMA (Aalberts Group) Doing the Industry SEMICONDUCTOR right thing! Application EUV / DUV frames for ASML and ZEISS SMT Machines 3x DMG MORI DMC 340 U (new plant) Machines 32 machines (6
Slide 133: Key Messages
Key Messages FUCHS 01 Capital Unique business model with focus on high performance products Market Day 2024 02 FUCHS – a profitable growth story 03 Digitalization initiatives driving innovation and efficiency 04 Lubricants enabling customer sustainability 05 From FUCHS2025 to FUCHS100 l 135
Slide 134: Pictures
PICTURES Please note that photos will be taken during the event and that you may be photographed in a recognizable way. We will use these photos for our corporate communications on the following channels: Website, press release, employee magazine and social media. You can object to the creation and
Slide 135: Disclaimer
DISCLAIMER The information contained in this presentation is for background purposes only and is subject to amendment, revision and updating. Certain statements and information contained in this presentation may relate to future expectations and other forward-looking statements that are based on man