Draegerwerk Ag & Co. Kgaa · XETR:DRW8

Draegerwerk Ag & Co. Kgaa — Drägerwerk AG & Co. KGaA — Q3 2021 Earnings Presentation

36 slides from Draegerwerk Ag & Co. Kgaa's earnings presentation, October 2021

1. Slide 1: Capital Markets Presentation Drägerwerk AG & Co. KGaA

   Capital Markets Presentation Drägerwerk AG & Co. KGaA October 2021, Lübeck Drägerwerk AGAG © Drägerwerk & Co. KGaA, & Co. 2021 KGaA, 2020

2. Slide 2: Disclaimer

   Disclaimer This presentation does not constitute an offer of securities for sale or a solicitation of an offer to purchase any securities. No money, securities or other consideration is being solicited by this presentation. This presentation contains forward-looking statements regarding the future d

3. Slide 3: Dräger: The Company, Financials, Outlook

   Dräger The Company Financials Outlook Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 3

4. Slide 4: Dräger products protect, support and save lives

   Dräger products protect, lives support and save Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 4

5. Slide 5: Net sales development

   Net sales development Strong growth independent of the global economy COVID-19 4000 pandemic 3500 Debt crisis 3000 Financial Stock- crisis 2500 market Russian 2000 Mexican financial crash peso crisis 1500 crisis 1000 500 0 1990 1992 1993 1994 1995 1996 1997 1998 2000 2002 2003 2004 2005 2006 2007 20

6. Slide 6: Dräger worldwide

   Dräger worldwide Net sales, Employees and sites 18% ~32% Safety Division Net sales: EUR ~68% Medical Division 3.4 billion in 2020* 24% 58% 20% Production, Quality, 15% Logistics & Purchasing 59% Sales & Service 15% 15.657 15,657 10% Mitarbeiter Employeesin R&D in 2020* 2020* 70% 11% Administration H

7. Slide 7: Markets

   Markets Our Customers Hospital Fire services Oil and gas industry Mining Chemical industry Other markets Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 7

8. Slide 8: Medical Division

   Medical Division Hospital wide Intensive Care Operating Room Neonatal Care Solutions Anaesthesiology  Anaesthesia workstations Patient Monitoring & Clinical IT and vaporizers  #1 in Europe and   #2 in the US market  Infinity Acute Care System  Clincal software solutions  Telemetry and IT-solu

9. Slide 9: Safety Division

   Safety Division Fire Service Oil & Gas Chemical Mining Other Markets Breathing Systems  Self-contained Breathing Impairment Check Equipment Appartus for fire fighters  #2 worldwide and       Alcohol- and drug screening #1 in Europe devices  Interlock devices Gas Detection Systems   #1 wor

10. Slide 10: Medical and safety technology providing long-term growth prospects

    Medical and safety technology providing long-term growth prospects Medical division Safety division Attractive growth prospects  Average expected annual market growth for the  Very diversified markets with numerous product and in sizeable markets … global medical equipment market significantly ser

11. Slide 11: Technology and innovation leadership to drive profitable growth

    Technology and innovation leadership to drive profitable growth Strong R&D focus Innovation to enhance future growth (examples)  Approximately 1,514 employees in R&D around the globe.  EUR ~290 million spent for R&D activities in 2020.*  Certified test-center at Lübeck headquarter supports innova

12. Slide 12: Exploit growth potentials in developing countries

    Exploit growth potentials in developing countries  Focus on the specific needs of customer in developing countries  Identify growth potential in strong growing markets like China, Brazil and India Investments in profitable  Capitalize on the significant investments into the Sales & Service infras

13. Slide 13: Service- and consumables business a clear focus of our sales activities

    Service- and consumables business a clear focus of our sales activities Further expansion of  Capitalize on large installed base to expand after sales business service and consumables  Focus on combined sale of equipment and after sales contracts business  Expansion of disposable consumables busi

14. Slide 14: Financials

    Financials Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 14

15. Slide 15: Business development

    Business development Dräger Group 5y view 2016 2017 2018 2019 2020 9M 2021 9M 2020 € million € million € million € million € million € million € million Net Sales 2,523.8 2,572.3 2,595.0 2,780.8 3,406.3 2,402.9 2,290.9 % growth -3.3% 1.9% 0.9% 7.2% 22.5% 4.9% 20.7% % growth (fx adjusted) -1.5% 3.3%

16. Slide 16: Key figures

    Key figures Dräger Group 5y view 2016 2017 2018 2019 2020 9M 2021 9M 2020 Change € million € million € million € million € million € million € million % Cashflow (from operating activities) 195.3 143.3 4.1 164.4 460.0 266.5 93.7 >+100,0 Investments 99.9 106.2 77.8 121.4 178.0 142.5 113.4 25.6 Cash a

17. Slide 17: Outlook

    Outlook Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 17

18. Slide 18: Guidance 2021

    Guidance 2021 2020 2021e -2.0 to -6.0 % Net Sales 25.7 % (fx adjusted) EBIT margin 11.6 % 8.0 to 11.0 % Dräger Value Added EUR 296.9 million EUR 150 to 250 million Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 18

19. Slide 19: Drägerwerk AG & Co. KGaA, 2021

    Drägerwerk AG & Co. KGaA, 2021

20. Slide 20: Expectation for fiscal year 2021

    Expectation for fiscal year 2021 2020 2021 (previous guidance) 2021e (current guidance) -7.0 to -11.0 % -2.0 to -6.0 % Net Sales 25.7 % (fx adjusted) (fx adjusted) EBIT margin 11.6 % 5.0 to 8.0 %1 8.0 to 11.0 % Dräger Value Added EUR 296.9 million EUR 44 to 142 million EUR 150 to 250 million Prior y

21. Slide 21: The Dräger Executive Board

    The Dräger Executive Board Stefan Dräger Gert-Hartwig Lescow Rainer Klug Dr. Reiner Piske Anton Schrofner Chairman of the Deputy Chairman of the Executive Board member Executive Board member Executive Board member Executive Board Executive Board; for Safety Division for Sales & Service and for Medic

22. Slide 22: Shareholder structure

    Shareholder structure 10,160,000 common shares (28.5 % free float) 8,600,000 preferred shares (99.0 % free float) Shareholding* Shareholding* Common shares Dr. Heinrich Dräger GmbH 4.3% 17.6% 28.5% 23,2% 67,2% 59.2% Members of the Dräger family Successors of Dr. Heinrich Dräger Dr. Heinrich Dräger G

23. Slide 23: Business development

    Business development Dräger Group 5y view 2016 2017 2018 2019 2020 9M 2021 9M 2020 € million € million € million € million € million € million € million Net Sales 2,523.8 2,572.3 2,595.0 2,780.8 3,406.3 2,402.9 2,290.9 % growth -3.3% 1.9% 0.9% 7.2% 22.5% 4.9% 20.7% % growth (fx adjusted) -1.5% 3.3%

24. Slide 24: Business development

    Business development Group / Division / Region Dräger-Group 2016 2017 2018 2019 2020 9M 2021 9M 2020 Change Change % fx Net Sales € million € million € million € million € million € million € million % adjusted Medical division 1,647.4 1,668.0 1,643.0 1,741.8 2,302.2 1,505.5 1,531.5 -1.7 0.1 Safety

25. Slide 25: Medical division

    Medical division Business development 12M - 5 year view Medical division 2016 2017 2018 2019 2020 9M 2021 9M 2020 Change Change % fx € million € million € million € million € million € million € million % adjusted Net Sales 1,647.4 1,668.0 1,643.0 1,741.8 2,302.2 1,505.5 1,531.5 -1.7 0.1 Europe 829.

26. Slide 26: Safety division

    Safety division Business development 12M - 5 year view Safety division 2016 2017 2018 2019 2020 9M 2021 9M 2020 Change Change % fx € million € million € million € million € million € million € million % adjusted Net Sales 876.1 904.3 952.0 1,039.1 1,104.1 897.4 759.4 18.2 19.0 Europe 555.0 572.6 598

27. Slide 27: Functional expenses

    Functional expenses Group 5 year view 2016 2017 2018 2019 2020 9M 2021 9M 2020 Change € million € million € million € million € million € million € million % R&D -219.0 -234.7 -252.2 -263.7 -289.6 -230.0 -208.7 10.2 % of Net Sales -8.7% -9.1% -9.7% -9.5% -8.5% -9.6% -9.1% Sales & Marketing -554.7 -5

28. Slide 28: Cash flow statement

    Cash flow statement Group 5 year view 2016 2017 2018 2019 2020 9M 2021 9M 2020 Change € million € million € million € million € million € million € million % Group net profit 81.7 98.5 34.9 33.8 249.9 170.6 135.2 26.2 Change in inventories 17.4 -30.0 -76.9 -24.5 -162.0 -60.6 -245.5 -75.3 Change in r

29. Slide 29: Balance sheet

    Balance sheet Assets June 30, 2021 December 31, 2020 Change € million € million % Intangible Assets 347.1 331.0 4.9 Property, plant and equipment (incl. Right-of-use assets) 583.7 567.0 2.9 Other noncurrent assets 304.5 261.0 16.7 Noncurrent assets 1,235.3 1,159.0 6.6 Inventories 683.3 620.8 10.1 Tr

30. Slide 30: Balance sheet

    Balance sheet Equity and liabilities June 30, 2021 December 31, 2020 Change € million € million % Equity 1,210.7 1,033.8 17.1 Provisions for pensions and similar obligations 379.9 430.1 -11.7 Non-current personnel provisions 37.4 37.2 0.4 Noncurrent interest bearing loans 156.1 157.8 -1.1 Non-curren

31. Slide 31: Simplification of the capital structure: Termination of participation certificates (1 of 2)

    Simplification of the capital structure Termination of participation certificates (1 of 2) Distributable result 32% 100% Participation certificates Common & preferred shares Series A, series K, series D 5 Securities 2 Securities 68% Common & preferred shares Drägerwerk AGAG & Co. KGaA, 2021 © Dräger

32. Slide 32: Simplification of the capital structure: Termination of participation certificates (2 of 2)

    Simplification of the capital structure Termination of participation certificates (2 of 2) Termination of participation certificates Earnings per share In 2020, all 831,951 outstanding participation certificates were cancelled Pro forma as of December 2020, assuming full distribution and including d

33. Slide 33: Innovation share

    Innovation share Share on new products and upgrades medical1 . New products Upgrades 40% 36% 35% 32% 30% 30% 28% 27% 25% 24% 22% 20% 20% 32% 20% 25% 23% 15% 21% 18% 10% 5% 10% 7% 5% 5% 4% 2% 3% 0% 2014 2015 2016 2017 2018 2019 2020 1 Launched in the last 3 years; products are regarded as new, if the

34. Slide 34: Financial calendar

    Financial calendar Dräger publishes preliminary results approximately 2 weeks before the dates of the quarterly reports. Preliminary results for the full year are published in January. - March 4, 2021 Final 2020 figures - Conference call - April 29, 2021 Report for the first three months 2021 Confer

35. Slide 35: Contact

    Contact Drägerwerk AGAG & Co. KGaA, 2021 © Drägerwerk & Co. KGaA, 2020 35

36. Slide 36: Thank you

    Thank you Drägerwerk AG & Co. KGaA Drägerwerk AGAG © Drägerwerk & Co. KGaA, & Co. 2021 KGaA, 2020

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