Slide 1: To Create the Perfect Pool & Wellness Experience, Responsibly
TO CREATE THE PERFECT POOL & WELLNESS EXPERIENCE, RESPONSIBLY Investor Relations Materials May 2022
Slide 2: Disclaimer
DISCLAIMER This document is for information purposes only and does not constitute an offer to sell, exchange or buy, or an invitation to make offers to buy, securities issued by any of the companies mentioned. This financial information has been prepared by Fluidra, S.A. ("Fluidra", and with all i
Slide 3: Global Leaders in a Resilient Growth Industry
GLOBAL LEADERS IN A RESILIENT GROWTH INDUSTRY Attractive industry with sustainable growth 1 driven by aftermarket and low price elasticity Global leader based on unique footprint, go to 2 market and offering Track record of growth, margin expansion and 3 value creation for shareholders 3
Slide 4: Step Change in Consumer Trends Accelerating Growth Drivers
STEP CHANGE IN CONSUMER TRENDS ACCELERATING GROWTH DRIVERS Market Dynamics & Drivers Market Step Change Consumer trends Large installed pool base with accelerating growth Flight to suburbs globally and in the USA to the sunbelt Average selling price continues to grow Increasing tendency towards outd
Slide 5: Sustainable Long Term Growth Supported by Increasing Installed Base
SUSTAINABLE LONG TERM GROWTH SUPPORTED BY INCREASING INSTALLED BASE Resiliency driven by large installed base Acceleration in the evolution of the pool base Residential inground pools in millions Split by market type 2020 New Build @ 20 '19 Volumes 21% 15 New Build above '19 10 Volumes 4% 5 Aftermar
Slide 6: Large Global Market – Highly Fragmented & Led by Fluidra
LARGE GLOBAL MARKET – HIGHLY FRAGMENTED & LED BY FLUIDRA NA & Europe make up for the bulk of the large Global market Fluidra is #1 in countries with 40% of global pool base and top 3 in 93% Split by market 2020 Rest of the World 21% Global Pool Europe Market NA 30% 49% €11.5bn Fluidra is the global
Slide 7: Global Industry Leader – Strengthened, and Invested, to Win
GLOBAL INDUSTRY LEADER – STRENGTHENED, AND INVESTED, TO WIN WHY FLUIDRA WINS 2015-19 2020 2021 Medium term growth Assumptions Market growth Broadest geographic footprint – access to all markets for 1 growth & diversification New Build growth Optimal business model and adapted “route to market” - 2 B
Slide 8: Blended Model Adapts & Optimizes Route to Market Across Globe
BLENDED MODEL ADAPTS & OPTIMIZES ROUTE TO MARKET ACROSS GLOBE Fluidra operates across the value chain with Significance of Pool Pro an adapted regional model • Critical route to market > 70% of channel share Fluidra presence • Pool Pro is key decision-maker for product North America: selection and s
Slide 9: Global R&D Leader with Focus on Value Enhancing IoT Ecosystem
GLOBAL R&D LEADER WITH FOCUS ON VALUE ENHANCING IOT ECOSYSTEM IoT benefits the entire pool ecosystem R&D capability with >200 engineers and 1 • Peace of mind >1,400 patents End User • Quality of service • Cost efficiency • 3x more patents than the next industry player 2 • Efficiency Pool Pro’s • P
Slide 10: M&A Track Record: Regular, Systematic Process - Creating Value
M&A TRACK RECORD: REGULAR, SYSTEMATIC PROCESS - CREATING VALUE Clear acquisition parameters Disciplined M&A strategy in a largely fragmented market Opportunity for product range & Culturally aligned • Objective to generate additional annual sales growth of customer expansion c. 1-2% per annum • Larg
Slide 11: Efficient Pool Systems Drive Replacement Cycle
EFFICIENT POOL SYSTEMS DRIVE REPLACEMENT CYCLE Automatically optimizes for peak Uses 70% efficiency Variable-Speed less energy iAquaLink Pumps Reduces chlorine use by Uses less than up to 50% Salt + Mineral Sanitization LED Lighting 50W of power Reduces 50% increase in evaporation by Jandy hydraulic
Slide 12: Proven Track Record of Growth and Margin Expansion
PROVEN TRACK RECORD OF GROWTH AND MARGIN EXPANSION - SET TO CONTINUE A Story of Growth, Accelerated in 2021 Proven Margin Expansion (€bn Sales) (Adjusted EBITDA % Sales) 2.5 27% €2.2bn 25.1% 25% >650 2.0 bps 23% 1.5 €1.3bn 21% 1.0 18.6% 19% 0.5 17% 0.0 15% (1) 2018 2019 2020 2021 2018 2019 2020 2021
Slide 13: High Quality Cash Returns on Investment – Set to Improve Further
HIGH QUALITY CASH RETURNS ON INVESTMENT – SET TO IMPROVE FURTHER Very strong operating, cash conversion and returns dynamics … • Delivering Growth & Avg. FCF conversion1 ROCE2 Quality of Returns 83% FCF conversion at - Fluidra leads a fast-growing normalized 6% sales growth industry 22% >90% 66% - A
Slide 14: Medium-Term Strategic & Financial Objectives Summary
MEDIUM-TERM STRATEGIC & FINANCIAL OBJECTIVES SUMMARY > Industry, leveraging global footprint Operating and financial performance Growth Focus on North America expansion Past Step change Future Drive by innovation, IoT, Commercial Pool Medium 2017-19 20202 20212 2022E Term Continued execution
Slide 15: Appendix
APPENDIX FLUIDRA CAPITAL MARKETS DAY
Slide 16: Responsibility Blueprint: Clear Commitments in Each ESG Vertical
RESPONSIBILITY BLUEPRINT: CLEAR COMMITMENTS IN EACH ESG VERTICAL Environment Social Governance Carbon neutral Zero net wage gap Rating Be a carbon neutral company in Equal pay for equal work Reach a score of 80 in 2027 (Scope 1 & 2) and by 2050 between men and women by S&P in 2030 (Scope 3) 2024 − 2
Slide 17: CMP Acquisition Case Study (Q1 2021)
CMP ACQUISITION CASE STUDY (Q1 2021) – MEETS ALL OUR CRITERIA Our Criteria & CMP Opportunity Fast-growing business - attractive adjacent segment (sales by segment) Expands Group North America Footprint: US 1 manufacturer of solutions for recreational water industry • 2016-20 Sales CAGR of Product ra
Slide 18: S.R. Smith Acquisition (Q3 2021)
S.R. SMITH ACQUISITION (Q3 2021) S.R. Smith Acquisition Rationale Sales by segment Complementary pool deck business accelerates 1 growth in the US Accelerate commercial pool business in North $103m 2 America and provides a start in Australia Significant revenue synergies (>$10M) as well as 3 cost sy
Slide 19: Ownership Structure and Board Composition
OWNERSHIP STRUCTURE AND BOARD COMPOSITION Ownership structure(1) Board Composition(1) 12 members Bárbara Borra Free float 60.4% Eloi Planes Esther Berrozpe (Executive Chairman) Bernardo Corbera Bruce Brooks Jorge Constans (CEO) Bernat Garrigós Steven M. Langman Gabriel López Founding Óscar Serra Jos
Slide 20: US GAAP to IFRS - Key Financial Differences for Fluidra
US GAAP TO IFRS - KEY FINANCIAL DIFFERENCES FOR FLUIDRA €M 2021 Adjusted EBITDA 548.8 Lease expense (29.3) Lease expenses not included in P&L under IFRS 16 R&D expense (12.8) Capitalized R&D expenses Adjusted EBITDA (US GAAP comparable) 506.7 20
Slide 21: Q1 2022 Results
FLUIDRA FLUIDRA BOIMAUPZA NURS May 5% 2022
Slide 22: Key Messages
Q1 RESULTS 2022 Key Messages 1. Solid Q1 results, driven by strong demand, price actions and M&A run rate. 2. Fundamentals of the business remain positive led by New Build activity. 3. Supply chain management and flexibility to adapt and increase capacity enabled Fluidra to service customers and ach
Slide 23: YTD Financial Highlights
Q1 RESULTS 2022 YTD Financial Highlights Solid Cash EPS Growth Despite Inflationary Environment • Solid Sales growth in Q1 over a record Q1 2021, boosted by New Build activity, Evol. Const. FX & price and perimeter expansion, despite YTD €M 2021 2022 22/21 Perimeter supply chain challenges. Sales 50
Slide 24: Highlights of the Quarter
Q1 RESULTS 2022 Highlights of the Quarter ESG “Responsibility Blueprint” Plan for Accretive Capital Allocation Business Evolution 2020-2026 • Earnings growth and cash generation supports • 30%+ capacity expansion to meet customer • Reduction of Scope 2 emissions in 2021 by M&A and increasing shareho
Slide 25: Sales by Geography
Q1 RESULTS 2022 Sales by Geography Strong Organic Demand in Southern Europe Complemented by M&A Contribution • Southern Europe, excellent performance across all regions led by Spain. % % Evol. Const. FX & YTD €M 2021 2022 Sales Sales 22/21 Perimeter • Rest of Europe, difficult Q1 2021 comp and volat
Slide 26: Sales by Business Unit
Q1 RESULTS 2022 Sales by Business Unit Solid Growth Across Segments • Residential Pool performed nicely backed by continuous robust demand and inorganic activity. % % Evol. Const. FX & YTD €M 2021 2022 Solid growth across most large Sales Sales 22/21 Perimeter categories of products (Filters, Pool &
Slide 27: YTD Results
Q1 RESULTS 2022 YTD Results Inflation Impacted Margins and Operating Leverage, Partially Offset by Pricing Initiatives • Solid Sales growth in Q1. % % Evol. • Gross Margin impacted by extraordinary YTD €M 2021 2022 Sales Sales 22/21 inflation and mix, partially compensated by Sales 508.4 100% 666.7
Slide 28: Cash Flow and Net Debt YTD
Q1 RESULTS 2022 Cash Flow and Net Debt YTD Strong Cash Flow Generation Enables Investment in Inventory YTD €M 2021 2022 € Evol. 22/21 Reported EBITDA 127.8 165.6 37.9 • Operating Cash Flow impacted by higher investment in Inventory to Net Interest Expense Paid (8.3) (11.0) (2.7) prepare for the pool
Slide 29: Outlook and 2022 Guidance
Q1 RESULTS 2022 Outlook and 2022 Guidance 1. April delivering in line with expectations, with Company maintains guidance for FY 2022: a difficult comp due to COVID comparison, Texas Freeze and a lower number of working days. 2022 Comments Guidance 2. Positive momentum continues for New Builds + Mid
Slide 30: Conclusions
Q1 RESULTS 2022 Conclusions 1. Solid Q1 results. Builders’ backlog, price actions and run rate of M&A provide solid foundation for 2022. 2. Industry prospects remain strong aided by: • Outdoor living and migration to the south / warmer regions. • Larger number of installed pools will pay-off in the
Slide 31: Appendix
Q1 RESULTS 2022 Appendix Q1 2022 RESULTS 05/05/2022 31
Slide 32: (I) Sales by Geography
Q1 RESULTS 2022 (I) Sales by Geography Constant Const. FX & YTD Evol. 22/21 Const. FX Perimeter Perimeter Southern Europe 25.3% 25.3% 25.0% 25.0% Rest of Europe 5.0% 4.5% 3.8% 3.4% North America 49.3% 38.8% 16.5% 8.3% Rest of the World 29.8% 25.4% 23.4% 19.2% Total 31.1% 26.8% 17.6% 13.9% 05/05/2022
Slide 33: (II) Reported Profit & Loss Account YTD
Q1 RESULTS 2022 (II) Reported Profit & Loss Account YTD €M 2021 % Sales 2022 % Sales Evol. 22/21 Sales 508.4 100% 666.7 100% 31.1% Gross Margin 272.4 53.6% 352.2 52.8% 29.3% Opex before Dep. & Amort. 144.6 28.5% 186.6 28.0% 29.0% Reported EBITDA 127.8 25.1% 165.6 24.8% 29.7% D&A 28.0 5.5% 35.6 5.3%
Slide 34: (III) Reconciliation to Reported EBITDA YTD
Q1 RESULTS 2022 (III) Reconciliation to Reported EBITDA YTD €M 2021 2022 Evol. 22/21 EBITDA 134.8 169.5 25.8% Integration Related Non-Recurring Expense (3.5) (0.6) (81.4%) Other & FX impact on Non-Recurring Expense 0.1 (0.2) (397.2%) Stock Based Compensation (3.6) (3.0) (14.6%) Run Rate Synergies (0
Slide 35: (IV) Reconciliation of Reported to Cash Net Profit and Cash EPS YTD
Q1 RESULTS 2022 (IV) Reconciliation of Reported to Cash Net Profit and Cash EPS YTD €M 2021 2022 Evol. 22/21 Reported Net Profit from Continued Operations 67.3 75.4 12.0% Integration Related & Other Non-Recurring Expense 3.4 0.9 (74.6%) Stock Based Compensation 3.6 3.0 (14.6%) Run Rate Synergies 0.1
Slide 36: (V) Reported Balance Sheet
Q1 RESULTS 2022 (V) Reported Balance Sheet Assets 03/2021 03/2022 Liabilities 03/2021 03/2022 PPE & Rights of Use 254.7 333.7 Share Capital 195.6 195.6 Goodwill 1,218.8 1,330.2 Share Premium 1,148.6 1,148.6 Other Intangible Assets 710.5 902.9 Retained Earnings 303.6 508.7 Other Non-Current Assets 10
Slide 37: Thanks For Your Attention
Thanks For Your Attention +34 93 724 39 00 Investor_relations@fluidra.com Avda. Alcalde Barnils 69 - 08174 Sant Cugat (Barcelona) www.fluidra.com