Hgears Ag · XETR:HGEA

Hgears — H1 2022 Earnings Presentation

20 slides from Hgears's earnings presentation, Aug 3, 2022

  1. Slide 1: H1 2022 Results Presentation

    H1 2022 Results Presentation

  2. Slide 2: Disclaimer

    DISCLAIMER This report contains forward-looking statements. These statements are based on current experience, estimates and projections of the Management Board and the information available at the time this financial report was prepared. They are not guarantees of future performance and results and

  3. Slide 3: Agenda

    Agenda • H1 2022 Highlights • Financial Review • Outlook & Closing Remarks • Q&A • Appendix 3

  4. Slide 4: H1 2022 Highlights

    H1 2022 Highlights 4

  5. Slide 5: Performance in line with previously communicated trends

    PERFORMANCE IN LINE WITH PREVIOUSLY COMMUNICATED TRENDS Macroeconomic Challenging New contract wins Full-year 2022 disruptions start to the year, and extension guidance and persisting improvement in Q2 support growth mid-term targets as expected agenda confirmed 5

  6. Slide 6: Continued expansion of customer base in 2022 with two new e-bike customers

    CONTINUED EXPANSION OF CUSTOMER BASE IN 2022 WITH TWO NEW E-BIKE CUSTOMERS New customer contract wins Application Client Contract/Product SOP Estimated Full Revenue • Addition of new blue-chip customer in H1 /Category Ramp Up potential 2022 further strengthens our positioning as the leading European

  7. Slide 7: Stronger integration into the value chain; new exclusive contract for innovative transmission system

    STRONGER INTEGRATION INTO THE VALUE CHAIN; NEW EXCLUSIVE CONTRACT FOR AN INNOVATIVE TRANSMISSION SYSTEM Sourcing Integrated System supplier Integrated Engine- Transmission-System First Tier supplier Drive Belt solution possible e-bikes Assembly and Retail (brand) Derailleur obsolete 7

  8. Slide 8: Co-engineering and support for industrialization of innovative concepts

    CO-ENGINEERING AND SUPPORT FOR INDUSTRIALIZATION OF INNOVATIVE CONCEPTS Sourcing Integrated System supplier First Tier supplier e-bikes Assembly and Retail (brand) Very compact and lightweight design 8 Shaft

  9. Slide 9: Financial Review

    Financial Review the heart of your performance InGears

  10. Slide 10: Acceleration of e-mobility revenues in Q2 2022; revenue stream diversification

    ACCELERATION OF E-MOBILITY REVENUES IN Q2 2022; REVENUE STREAM DIVERSIFICATION PROVIDES SUPPORT IN CHALLENGING TIMES H1 2022 Revenues (EUR million) e-Mobility revenue up 29.3% q-o-q (EUR M) Other 0,9 40,0 Conventional 35,0 22,3 e-Mobility 30,0 + 29.3% 24,4 25,0 20,0 15,0 10,0 5,0 0,0 e-Tools Q1 2022

  11. Slide 11: Profitability reflects inflation-driven cost increases and customer-led delays

    PROFITABILITY REFLECTS INFLATION-DRIVEN COST INCREASES AND CUSTOMER-LED DELAYS, DESPITE PASS-THROUGH CLAUSES In EUR million or % H1 2022 H1 2021 y-o-y Commentary Reflects targeted price increases and lower volumes due to Revenue 70.9 70.5 0.5% customer-led delays Gross Profit 36.8 41.1 -10.4% Impact

  12. Slide 12: H1 2022 free cash flow driven by operating outflow and favorable refinancing

    H1 2022 FREE CASH FLOW DRIVEN BY OUTFLOW FROM OPERATING ACTIVITIES AND FAVORABLE REFINANCING In EUR million H1 2022 H1 2021 y-o-y Commentary Increase of inventory levels as a precautionary measure Net cash flow from operating -3.8 1.3 -5.1 regarding availability and in anticipation of accelerated ac

  13. Slide 13: Outlook & Closing Remarks

    Outlook & Closing Remarks

  14. Slide 14: Ramp-up of new e-mobility customers to drive growth

    RAMP-UP OF NEW E-MOBILITY CUSTOMERS TO DRIVE GROWTH Expected Cumulated Revenue EUR 100M Mid- term 14

  15. Slide 15: Demand for micromobility accelerating – a potential driver for further growth

    DEMAND FOR MICROMOBILITY ACCELERATING – A POTENTIAL DRIVER FOR FURTHER GROWTH 15

  16. Slide 16: FY 2022 and mid-term guidance considerations

    FY 2022 AND MID-TERM GUIDANCE CONSIDERATIONS 01. Current Order Book and Visibility • Well-expanded and reliable customer base • Start of production unchanged and on track for 2022 • Project pipeline offering prospects for further customer acquisitions 02. Installed Capacity • Production capacity sec

  17. Slide 17: Full-year 2022 and mid-term guidance

    FULL-YEAR 2022 AND MID-TERM GUIDANCE Group revenue in EUR million 300 Mid term guidance 250 250 200 FY 2022 Guidance Group revenue to EUR 250 million 150 126 135 e-Moblity to EUR 150 million 122 High Single-Digit Group Revenue Growth 100 50 - FY 2019 FY 2020 FY 2021 FY 2022 Mid-term • Year-on-year g

  18. Slide 18: Q&A

    Q&A sr ee the heart of your InGears | performance x

  19. Slide 19: Appendix

    Appendix the heart of your InGears feta”

  20. Slide 20: Inflation-driven cost increases weigh on LFL EBITDA margin versus first-half 2021

    INFLATION-DRIVEN COST INCREASES WEIGH ON LFL EBITDA MARGIN VERSUS FIRST-HALF 2021; MARGIN ENHANCEMENT POST RAMP-UP Like-for-like¹ reconciliation of margins In EUR million or % H1 2021 y-o-y H1 2022 Inflation adj. H1 2022 Volume/Mix adj. H1 2022 LFL¹ Revenue 70.5 0.5% 70.9 67.5 Gross Profit 41.1 -10.

hGears — H1 2022 Earnings Presentation on 6ix