Slide 1: January - December 2018 Results and Outlook
Vise fan January - December 2018 Results The casing company and Outlook ME iy he 1 March 2019
Slide 2: Moving forward
Moving forward MORE TO BE “a 2018 FY Results Projects and outlook 2019 LLL
Slide 3: Moving forward
Moving forward MORE TO BE “a Vise)fan January — December 2018 Results and Outlook [ESI
Slide 4: A transformation to change the casings industry
MORE TO BE. Moving forward A transformation to change the casings industry The Casing Company Leadership Goals “dididdidddaa Technology Strengthen cellulose leadership V Strengthen collagen leadership VW Cost Achieve fibrous leadership v . Achieve plastics leadership v Service Vischfan January — Dec
Slide 5: Organic investment: taking advantage of future opportunities
MORE TO BE. Moving forward Taking advantage of our knowledge in future opportunities. ORGANIC INVESTMENT Caseda. LLL €265Mn Capex 2016-2018 “2016-2018: All-time high in investments to transform the Group” Europe and Asia Y New collagen capacity in Serbia | Y Efficiency improvement in China oe. North
Slide 6: Inorganic investment: acquisitions
Vise)fan MORE TO BE. Moving forward A transformation to change the casings industry INORGANIC INVESTMENT ——EE——E———EEiYYY 33 ~ “The acquisitions are a drive up to be the benchmark in plastics casings, while expanding our footprint ona geographically basis ” Vector. Oct 2016 Plastics and specialties
Slide 7: Looking beyond: R&D and diversification
MORE TO BE. Moving forward Taking advantage of our knowledge in future opportunities. LOOKING BEYOND : Cardiomesh €4,.2Mn Authorization to carry out the first Ng as clinical trials Bio Engineering 2016-2018 Hydrolysates \ “Steady progress in projects that will lead us to diversify our revenue Progre
Slide 8: Increasing shareholder remuneration
MORE TO BE. Moving forward Increasing shareholder remuneration SHAREHOLDER REMUNERATION —————EEEE_—_E—E——y €220Mn + €5Mn Distributed dividend Share buyback : H - 1.73 . 2016-2018 2016-2018 : e | €0.13 Extraordinary : 1.55 \ é 1.45 1.35 ( ) “... While increasing ‘4 >) shareholder remuneration. 2018 d
Slide 9: 2018 FY Results
2018 FY Results COLL, Vise)fan January — December 2018 Results and Outlook [EN
Slide 10: 2018 FY Results. Main financial figures
2018 FY Results. Main financial figures: a % y-0-y ; € Million 2018 %y-o-y Like-for-tike? Guidance Revenue 786.0 +1.0% 42.9% x Recurring * EBITDA 189.7 -8.2% -1.3% x Recurring * EBITDA margin 24.1% -2.5p.p. -1.1p.p. EBITDA 208.8 -1.2% EBITDA margin 26.6% -0.5p.p. Operating profit 146.3 -5.5% Net pro
Slide 11: Like-for-like growth in all reporting areas
Like-for-like growth in all reporting areas, highlighting the strength in Latam and North America that contrasts with the weakness of its currencies ... croup +1-0% W.2.9.¥ a . 7 li 2 REVENUE 2018. Breakdown by geographical area ' (€ million) vs: 2017 Uke fortike © EUROPE AND ASIA OQ NORTH AMERICA L
Slide 12: Revenue growth contribution 2018 vs 2017
Full year like-for-like and inorganic growth is eroded by an adverse forex environment... REVENUE. Growth contribution (€ million) +1.0% 2018 vs. 2017 415.4MN 213mn _+.1mn (0) [| & 29.90N (7781 28 p-p. +011 p.p. +2.0 p.p. -3.8 p.p. . 4 Change in the Like-for-like Co-generation scope of Forex casings
Slide 13: P&L 2018 year-on-year change
Commercial discipline against a backdrop of higher raw materials and energy costs, and the technological transition that includes the start-up costs of the new plant in Caseda. P&L 2018. % year-on-year change +10.7% +8.0% 11.0% eam +2.6% _. 0.4% 1.2% 1.3% -5.5% Revenue Revenue Cost of Personnel Othe
Slide 14: 2018 non-recurring impacts
Additional positive non-recurring impact thanks to the management discipline in inorganic growth. 2018 NON-RECURRING IMPACTS. Breakdown in € million €8.5 Mn corresponding to the compensation received in 2018 for a dispute against Mivisa Envases 1 Q1 8 > S.A.U. due to patent infringement, netted at €
Slide 15: EBITDA y-o-y bridge
EBITDA performance also affected by forex headwind. EBITDA 2018. y-o-y bridge (€ million) _2.7MN +19-1MN (2068 > TY -0.2MN -14.2MN -1.3 p.p. -O.1p.p. -6.9 p.p. Like-for-like 7 Change in the Non-recurring Casings scope of Forex impacts? consolidation 2017 2018 2018 recurring * recurring? 1 Like-forli
Slide 16: Recurring EBITDA margin
Setting the foundation to boost the growth and profitability of our operations. Recurring’ EBITDA margin -2.5p.p. 2018 vs. 2017 26.6% | -1.5 pp. -O.1 pp. n n Cost of Personnel consumption costs Rawmaterialsand Greater workforce energyinflation -0.0 p.p. rd Other operating costs L) Start-up ofthenew
Slide 17: EBITDA to Net Profit
Forex also negatively impact the Net profit. 2018. EBITDA to Net Profit (€ million) Forex 2018 2017 % y-o-y i EBITDA 208.8 211.2 -1.2% -D&A -62.4 -56.4 +10.7% Operating Profit + Financial income - Financial expenses | +/- Exchange differences and.oth - Taxes (Tax rate) Net profit 123.7 122.0 +1.4% V
Slide 18: Net bank debt bridge
Organic and inorganic investments are financed with operating cash flow while increasing shareholder remuneration. NET BANK DEBT" bridge (€ Million) 78.7 45.3 479.7 +78. : - +411 -189.7 Share buyback 448.2. — -0.7 — #71 — _ Direct Net bank Forex Acquisitions shareholder debt! and remuneration? Dec'1
Slide 19: Quarterly revenue growth contribution
Vise)fan Commercial discipline and volumes improvement in 4Q drive up like-for- like growth... REVENUE. Quarterly growth contribution +2.4 +2.0 42.2 41.8 42.0 pp. 105 101 40.4 40.2 C1 \f eee = = = -0.2 pp a -0.2pp. Change in the 56 Like-for-like" ; scope of -8.0 casings Co-generation consolidation F
Slide 20: Quarterly revenue by geographical area
Growth in all reporting areas, highlighting the strength in Latam and North America and the recovery in Asia. REVENUE 2018. Breakdown by geographical area ' (€ million) © EUROPE AND ASIA O NORTH AMERICA LATAM 56.9% gj) (Rd 285% gues MQ a qe VY ca CY 46% ¥ +12.7% 0% 72% +75% mom oY | & = Le! ar -1.4%
Slide 21: New all-time high in quarterly revenue
New all-time high in quarterly revenue driven by volume growth and the price/mix improvement. REVENUE. Viscofan Group (€ million) CASING SALES (€ million) 186.8 eee eee ene neeneeneeeneneeeeeneneeneneneeneenennenennenenend E az 1773 (abe 178.8 180.3 1979 194.6 eva 195. 190.4 192.2 2Q 3Q 4Q CO-GENERA
Slide 22: Quarterly recurring EBITDA growth contribution
Vise)fan Commercial discipline strategy and cost control together with the improvement of the currency environment contribute to the trend change in Q4 Recurring EBITDA. Quarterly growth contribution st 44.9% W.3.6.¥ vs. 4Q17 Like-for-like! +3.6p.p. ~ +2App. +0.4 | 40.6 40.0 = L_J 0.3 -0.7 pp. 34 56
Slide 23: 4Q18. Main financial figures
4Q18. Main financial figures: € Million 4Q18 _% y-0-y Revenue 208.2 +5.5% Recurring EBITDA 50.3. +4.9% Recurring EBITDA margin 24.2% -0.1p.p. EBITDA 54.8 +18.2% EBITDA margin 26.3% +2.8 p.p. Operating profit 38.8 +20.8% Net profit 35.0 +4175% 1 Like-for-like: For comparative purposes, like-for-like
Slide 24: Capex 2016-2018 by type
In a year of intense operational activity, with investments aimed at taking advantage of the current context and improving the long-term competitive position ... CAPEX 2016-2018. Breakdown by type (€ Million) 107.2 2016 2017 2018 Rest of Europe and Asia = Capacity ™=Others @EHS* Process upgrade *“En
Slide 25: Projects and outlook 2019
Projects and outlook 2019 “mdididddddddddddddddddddés Vise)fan January — December 2018 Results and Outlook [EES
Slide 26: A growing market
MORE TO BE. A growing market. _.Customised casings market. Volume growth in 2018* North America Visc)fan Million of meter. Internal market intelligence Kesultados enero-aiciembre 2018 y
Slide 27: Strong fundamentals for long-term growth
MORE TO BE. Strong fundamentals for the long-term growth. D &) ee) Fifi) * Customized casings market * Population% Meat consumption Customized casings e) North America ~€630Mn ey) a) 6) J < europe ~~ €800Mn wv) we 6 e 4 FE asi (5 oe BG 2) Cm am OD A Fue cm #) OH J Vise)fan * Internal market intellig
Slide 28: Exposure to organic growth opportunities
MORE TO BE: Viscofan is the company with better exposure to organic growth opportunities. Growth opportunities Expense on customised casings per capita/year (€) | €0.0 Africa Asia | <0 Pacific | £05 Latam | fa Europe WEB <3 North America €0.3 Average Vischfan Viscofan’s footprint. Available ca Colla
Slide 29: New technology in Caseda
MORE TO BE: The new technology in Caseda is a drive up in service and cost. NEW CASEDA PLANT W113 of the project in cellulose and circa 80% in fibrous 2019 PLAN , New machinery * New manufacturing module First sales for cellulose to customers . j 2H18 Adapt capacity Start-up * Improve the return of
Slide 30: A more demanding environment in costs
MORE TO BE. A more demanding environment in costs. 2018. COSTS ON REVENUE Cost of > 28.9% consumption Personnel costs > 24.1% Energy costs (opex) Other ~ operating > | 17.2% costs Vise)fan CHANGE 2015-2018 Raw materials inflation +1.5 pp. (Glycerol and Caustic soda in 2018) 2018vs.2015 Start-up and
Slide 31: Main projects in 2019: Europe, Asia Pacific
MORE TO BE. Main projects in 2019. Europe, Asia Pacific New technology development for large caliber inSerbia ¥ 3 » Increase collagen capacity in Spain “¥ 2% (se) “WS _ Improve capacity in Belgium 9 i =) Industry 4.0 projects in the Czech Republic and Spain 34 { Service © Increase productivity in Ch
Slide 32: Main projects in 2019: North America and Latam
MORE TO BE. Main projects in 2019. North America and Latam Orientation of the fibrous production to the US market ## 1 Improve production design. Transform Pack (STT)3 °¥ Increase production capacity in added value products ‘¥ Technology Service & \ Increase speed in collagen} y tegen) Increase conv
Slide 33: Lower investment requirements: capex 2016-2019e
MORE TO BE. Lower investment requirements but with projects to take the most of the market growth. CAPEX 2016-2019e. (€ Million) CAPEX 2019e. Breakdown by type 107.2 AZ he) B67 Process \ upgrade 71.6 N 60 9% 7 2016 2017 2018 2019 e Vise)fan Resultados enero-diciembre 2018 y perspectivas
Slide 34: Operating cash flow expansion
MORE TO BE. A period characterized by cash flow expansion. OPERATING CASH FLOW (€ Million) 208-215 a 4 211 : 209 F H 104 137 107 ‘ T2 ‘ ' 2017 ' 2018 ' £ Operating Cash Flow (Mn €) = Ml EBITDA- 0 CAPEX Vise)fan Resultados enero-diciembre 2018 y perspectivas
Slide 35: An experienced team for the transformation
MORE TO BE: An experienced team for the transformation that will change the industry. 1° COLO, a 6) The global casings leader Vischfan Ay rN The casing company _ € a ih Ci | Cutting edge OY Financial technology strength { 33 % Market \ share — 4,752 people Unique team in the >12,000 iA industry al!)
Slide 36: Unique footprint to grow and optimize operations
MORE TO BE: Unique footprint to grow and optimize our operations. Q Productionplant Q Commercial office Resultados enero-diciembre 2018 y perspectivas Vise)fan
Slide 37: Guidance 2019
GUIDANCE 2019 (€ million) USS/€: 1.13 €833/850Mn +6%/8% Revenue €208/215Mn +10%/13% EBITDA recurring! €117/124Mn +8%/14% Net profit recurring! 1 Recurring results: In 2018, the figure does not include the € 15.4 million impact recorded in Other Operating Income corresponding to the conclusion of the
Slide 38: To wrap-up
To wrap-up Y Within the current strategy plan, Viscofan is carring out a deep transformation while fulfilling main operational milestones. vViscofan is going beyond in geographical and technological terms thanks to Transform Pack Inc, and Globus companies acquisitions. ¥ Reinforcing market leadershi
Slide 39: Appendix. Alternative Performance Measures
Appendix. Alternative Performance Measures The Alternative Performance Measures included in this report are as follows: Vise)fan The EBITDA, or operating profit before depreciation and amortisation, is calculated excluding depreciation and amortisation costs from the operating profit. The EBITDA is
Slide 40: Appendix. Disclaimer
Vise)fan Appendix. Disclaimer This document may include statements about intentions, expectations or forecasts of the Company additional to the mandatory financial reporting whose sole purpose is to provide information more accurately about the perspectives of future behaviours. Such intentions, exp