Slide 1: Q2 2023 Earnings Presentation
THE ORIGINAL Ly! 20 2023 EARNINGS PRESENTATION
Slide 2: Today's Speakers
>L TODAY’S SPEAKERS J 4 me, | | JEAN-CHRISTOPHE FLATIN, CEO CHRISTIAN HANKE, CFO
Slide 3: Legal Disclaimer
LEGAL DISCLAIMER This presentation contains forvard-locking etatenente within the saaning of the Private Securitive Litigation Reform Act of 1995, ny exprese oF implied etatenente contained in thie presentation that are not statesante of historical fact may be deened to be forvard-locking statonante
Slide 4: CEO Update
Slide 5: Key Messages
> Li _KEVMESSAGES J ~ Pn 7 OATLY HAS A SIGNIFICANT AMOUNT OF POTENTIAL - BOTH GROWTH AND PROFITABILITY \ TO REALIZE THIS POTENTIAL, WE NEED TO CONTINUE TO TAKE BOLD ACTIONS LT WE HAVE INITIATED AN IMPROVEMENT PLAN IN ASIA, WHICH WE EXPECT WILL ENABLE US TO ADAPT TO THE EVOLVING LOCAL ENVIRONMENT AND
Slide 6: Oatly Is a Uniquely Exciting Company
OATLY IS A UNIQUELY EXCITING COMPANY HUGE GROWTH OPPORTUNITY Additional foodservice opportunity y Global dairy retail sales SIGNIFICANT MARGIN EXPANSION POTENTIAL 35-40% 19% 11% 2022 20.2023 LONGER-TERM TARGET MISSION- AND PURPOSE-DRIVEN CULTURE I i] I I I i] ; I V DRIVE A FOOD SYSTEM SHIFT ' SET TH
Slide 7: How We Will Realize Our Potential
qe <e<ee HOW WE WILL REALIZE OUR POTENTIAL BALANCE PERFORMANCE AND PURPOSE MUST HAVE A STRONGER BUSINESS BEFORE WE HAVE A SIGNIFICANTLY BIGGER BUSINESS DISCIPLINED RESOURCE ALLOCATION DRIVEN BY RIGOROUS FACT-BASED ANALYSES INCREASED REGIONAL ACCOUNTABILITY AND ALIGNED INCENTIVES
Slide 8: Last Year, We Laid Out a Plan That Started with EMEA
LAST YEAR, WE LAID OUT A PLAN THAT STARTED WITH EMEA AND CORPORATE, AND WE HAVE BEEN EXPANDING INCREASE SIMPLICITY DRIVE PREPARE FOR GROWTH / AGILITY PROFITABILITY CLEAR STRATEGIES ON CONSISTENT GEOGRAPHIES, REDUCED EMEA cues AND MANAGEMENT LAYERS Y eerie WHILE STABILIZED SUPPLY ‘ CO-PACKER CONSOLID
Slide 9: Right-Sizing Cost Structure
RIGHT-SIZING COST STRUCTURE SG&A + R&D TARGETED SAVINGS (INCL. SHARE-BASED COMPENSATION,; EXCL. CUSTOMER DISTRIBUTION AND OTHER OPERATING INCOME AND (EXPENSES), NET) BY SEGMENT LZ} change in estimated SG&A + R&D vs previous forecast $85MM H REDUCTION IN ———— ———eEeE———— FORECASTED | INSimuoNs } ] 20
Slide 10: Updating 2023 Outlook
UPDATING 2023 OUTLOOK PRIOR UPDATED (2) 237, 28% Th-12% REVENUE YOY CONSTANT CURRENCY GROWTH YOY CONSTANT CURRENCY GROWTH ~250 BPS FX HEADWIND ~130 BPS FX HEADWIND SEQUENTIAL 0/0 IMPROVEMENT, SEQUENTIAL 0/0 IMPROVEMENT, GROSS MARGIN REACHING HIGH-2075 IN 40 REACHING HIGH-2075 IN 40 CAPEX $180 - $200
Slide 11: Operational Update
= > OPERATIONAL UPDATE
Slide 12: EMEA Executing Well on All 2023 Priorities
EMEA EXECUTING WELL ON ALL 2023 PRIORITIES STRENGTHEN CORE MARKETS GROW FOODSERVICE CUSTOMERS EXPAND PORTFOLIO BEYOND COFFEE EXPAND TO ADJACENT MARKETS
Slide 13: EMEA Continued to Strengthen Its Core Markets
EMEA CONTINUED TO STRENGTHEN ITS CORE MARKETS AND EXPAND FOODSERVICE CUSTOMER BASE Y/Y RETAIL SALES Y/Y CHANGE IN VALUE SHARE OF | RECENTLY-SIGNED CUSTOMERS GROWTH IN Q2 2023! NON-DAIRY MILK +200 14% i +170 bps H bps ITALY SLOVENIA, SERBIA, Plant-Based Milk Oat bps | CROATIA, HUNGARY of 2 “ SOFT SER
Slide 14: EMEA Expanding Portfolio Beyond Coffee Occasions
EMEA IS MAKING GOOD PROGRESS EXPANDING THE PORTFOLIO BEYOND COFFEE OCCASSIONS MOVING TO HIGHER-MARGIN PORTFOLIO | WHILE STILL EARLY, UK IS FURTHEST ALONG IN THAT BETTER REPLICATES DAIRY “GO BLUE” MIX SHIFT FROM: LIMITED TO: EXPANDED | TOTAL NET GO BLUE VOLUME! PORTFOLIO “60 BLUE® PORTFOLIO | 2 YOY G
Slide 15: EMEA Making Good Progress in Adjacent Markets
EMEA IS MAKING GOOD PROGRESS IN ADJACENT MARKETS a amazon
Slide 16: Americas Summary
AMERICAS SUMMARY SUPPLY CHAIN EXECUTION REMAINS EXCELLENT, AND WE REMAIN ON-TRACK WITH OUR 2023 PRIORITIES OUR COMMERCIAL STRATEGY IS WORKING, BUT IT IS RAMPING SLIGHTLY SLOWER THAN WE EXPECTED WE ARE AGGRESSIVELY PURSUING ADDITIONAL OPPORTUNITIES ACROSS CHANNELS 5G&A RE-SET TO FURTHER FACILITATE SI
Slide 17: Commercial: Americas 2023 Priorities
COMMERCIAL AMERICAS 2023 PRIORITIES to YaYA Foods = <= = cr) 2 a -“ > a“ Expand distribution across all channels Execute transition Consolidate co=packer network Refine in-store promotions Accelerate brand building
Slide 18: YaYa Partnership Progressing Very Well
YAYA PARTNERSHIP PROGRESSING VERY WELL SIGNIFICANT IMPROVEMENT IN OPERATIONAL RELIABILITY AND CAPABILITIES STRONG WORKING RELATIONSHIPS AT A STRATEGIC LEVEL AND AT A DAY-TO-DAY, ON-THE-GROUND LEVEL HIGHLY COLLABORATIVE ON LONGER-TERM PLANNING
Slide 19: Co-Packer Consolidation Drives Simplicity
een CO-PACKER CONSOLIDATION DRIVES SIMPLICITY NORTH AMERICA PRODUCTION NETWORK PRODUCTION FACILITIES* EXITED CO-PACKERS REMAINING DRINKS CO-PACKERS REMAINING FOOD CO-PACKERS * The Dallas-Fort Worth facility is not yet open
Slide 20: Co-Packer Consolidation Leading to Significant Savings
CO-PACKER CONSOLIDATION LEADING TO SIGNIFICANT SAVINGS ~25% REDUCTION ADDITIONAL RUNWAY FOR CONTINUED IMPROVEMENT
Slide 21: Accelerating Brand Building Investments in Q2
ACCELERATING BRAND BUILDING INVESTMENTS IN Q2 Increased Brand-Building Recent Campaigns Driving Significant Buzz Investments In Q2 ecel paig' g Sig MINOR PCF LEAGUE CHALLENGE « BASEBALL AMERICAS ADVERTISING Bhs eda SALES 4474 6% 0422 af23 02°23 CREAM CHEESE ‘THAT TASTES EXACTLY LIKE CREAM CHEESE. EC
Slide 22: Continued Progress Expanding Distribution in the US
CONTINUED PROGRESS IN EXPANDING DISTRIBUTION IN THE US RETAIL DISTRIBUTION HAS GROWN 247 SINCE THE SUPPLY CHAIN STABILIZED TOTAL DISTRIBUTION POINTS (TDP) (ROLLING 4 WEEK PERIODS) OCT. ’ 22: SERVICE LEVELS REACH 902+
Slide 23: Volume Growth Steadily Improving in the US
VOLUME GROWTH STEADILY IMPROVING IN THE US WITH INCREASED PROMOTIONAL SUPPORT Y/Y GROWTH IN UNITS (ROLLING 12 WEEK PERIODS) SECOND WAVE OF PROMOTIONAL SUPPORT Seah advkOoONE SE RARAARARRRAA Sse esseessseSesggggssgssg8 Sssssgsgsgsssgegs8$ $ $ SSgygss ssggges
Slide 24: Asia Summary
ASIA SUMMARY \T ASIA REMAINS A VERY BIG OPPORTUNITY FOR US LT CONSUMERS HAVE CHANGED THEIR BEHAVIOR IN POST-PANDEMIC ERA \T WE ARE ADAPTING TO THE EVOLVING ENVIRONMENT TO STRENGTHEN THE CORE BEFORE MEANINGFULLY ACCELERATING GROWTH
Slide 25: Asia Will Focus on Its Core Business
ASIA WILL FOCUS ON ITS CORE BUSINESS TO DRIVE PROFITABLE GROWTH \ FOCUS ON EXPANDING RAPIDLY ACROSS >» 7 CONTROLLED EXPANSION, PRIMARILY IN CHANNELS CORE BUSINESSES V PILOTING MANY NEW PRODUCTS —_—> \ FOCUS ON CORE SKUS \ HIGH OPERATING COSTS TOSUPPORT ==> \ REDUCED OPERATING COSTS TO ENABLE HIGH LE
Slide 26: Financial Highlights
=a w AMEAD EAT UKE A VEGAN. - ] FINANCIAL HIGHLIGHTS ="
Slide 27: Financial Performance Overview
FINANCIAL PERFORMANCE OVERVIEW 2Q 2023 Y/Y Revenue Growth +10% Y/Y Constant Currency Revenue Growth? +11% Gross Margin 19.2% change vs prior year +340 bps change vs prior quarter +180 bps Adj. EBITDA? $(53) change vs prior year +91
Slide 28: 2023 Revenue Growth
20 2023 REVENUE GROWTH Revenue (USD in millions) % Year-over-year growth +10% +8% Revenue Growth 43% a $196.0 $178.0 a ( 1%) \ J) Y +11% Constant Currency Revenue Growth(2) Q2 2022 Revenue YoY Volume Growth (1) YoY Constant Currency FX Impact Q2 2023 Revenue Price/Mix Growth(2) Notes: ay not add due
Slide 29: 2023 Revenue Bridge
20 2023 REVENUE BRIDGE Constant ; Constant | Revenu Currency’) i Currency) evenue Volume Price / Mix! Growth «| FX Impact Growth EMEA 7h 10% ! 18% ! 0% 18% Americas 2h 18% 19% 0% 19% Asia (5)% (6)% 1 (11)% (4)% (15)% Total 3h 8% ee) (1)% 10% ising 8 non-IFRS measures Please ‘800 appendix for @ 29
Slide 30: Quarter-over-Quarter 2023 Gross Margin Bridge
QUARTER-OVER-QUARTER 20 2023 GROSS MARGIN BRIDGE 2.9% 19.2% 12.4% . Ou | (02) (0.9%) (0.47) 10.2023 COVID-19 EMEA & AMERICAS MIX EFFECT IMPROVING PRODUCTION OTHER, NET 20 2023 RECOVERY IN ASIA PRICE INCREASES, MODEL AND CO-PACKER NET OF TRADE SPEND CONSOLIDATION, NET OF INFLATION
Slide 31: Profit, Cash Flow, and Liquidity
PROFIT, CASH FLOW, AND LIQUIDITY | | (W& Aupreviousty-ANNoUNceD Ws muons 02 ADJ. EBITDA | FINANCING TRANSACTIONS CLOSED EMEA $73 | DURING G2 AMERICAS (34) |W >$340MM OF CASH AND EQUIVALENTS ASIA (219) | ON Q2 BALANCE SHEET CORPORATE (28.4) TOTAL $(52.5)
Slide 32: Updating 2023 Outlook
UPDATING 2023 OUTLOOK PRIOR UPDATED (2) 237 28% Th-12% REVENUE YOY CONSTANT CURRENCY GROWTH YOY CONSTANT CURRENCY GROWTH ~250 BPS FX HEADWIND ~130 BPS FX HEADWIND SEQUENTIAL 0/0 IMPROVEMENT, SEQUENTIAL 0/0 IMPROVEMENT, GROSS MARGIN REACHING HIGH-2075 IN 40 REACHING HIGH-2075 IN 40 CAPEX $180 - $200
Slide 33: Appendix
APPENDIX
Slide 34: Revenue Split by Channel and Region - Q2 2023
~ | Fy REVENUE SPLIT BY CHANNEL - 20 2023 REVENUE SPLIT BY REGION) - 20 2023 6% 19% 34% : 50% 60% 32% Food retail Foodservice!) Other?) {J emea Americas | Asia 34
Slide 35: Revenue Split by Channel - Q2 2023
REVENUE SPLIT BY CHANNEL-20.2023 Hi Food retail Foodservice() | Other(2) Le Feo. 2 other 1 sainly e-Commerce 35
Slide 36: Year-over-Year 2023 Gross Margin Bridge
YEAR-OVER-YEAR 20 2023 GROSS MARGIN BRIDGE (0.92) a (27%)
Slide 37: Reconciliation of Non-IFRS Financial Measures
RECONCILIATION OF NON-IFRS FINANCIAL MEASURES EMEA Americas Asia Total revenue Three months ended Jane 30, $ Change % Change Foreign In Constant 2023 2022 As exchange _ constant As Inconstant Volume currency reported ™ reported currency rene] impact _currency price/mix 96,989 82,485 96,989 30 96,959
Slide 38: Reconciliation of Non-IFRS Financial Measures
RECONCILIATION OF NON- Revenue, Adjusted E] EBITDA Three months ended June 30, 2023 A and FRS FINANCIAL MEASURES (in thousands of U.S. dollars) EMEA Americas Asia Corporate*__Eliminations** Total Revenue Revenue from external customers 96,989 61,832 37,166 _ = 195,987 Intersegment revenue 359 - 1,69