Slide 1: Austrian Post Investor Presentation H1 2020
AUSTRIAN POST Investor Presentation H1 2020 Walter Oblin, CFO Vienna, 7 August 2020
Slide 2: Highlights and Overview
1. HIGHLIGHTS AND OVERVIEW 2. Strategy Implementation 3. Group Results H1 2020 4. Outlook 2020
Slide 3: Austrian Post at a Glance
AUSTRIAN POST AT A GLANCE New divisional structure enhances transparency Mail Parcel & Logistics Retail & Bank - Letter Mail - Parcels and express - Branch and Financial - Direct Mail - Fulfillment and services - Newspapers and cash transport - Customer services magazines - E-commerce services Reven
Slide 4: COVID-19: Strict Hygienic Measures in the Operating Business
COVID-19: STRICT HYGIENIC MEASURES IN THE OPERATING BUSINESS ‘@ Successfully maintained the nationwide logistics and branch network and universal postal services for the traditional letter and parcel business Comprehensive health and precautionary measures tb, - Hygienic and physical distancing rule
Slide 5: COVID-19 Impacts Revenue and Earnings Development in Q2 2020
COVID-19 IMPACTS REVENUE AND EARNINGS DEVELOPMENT IN Q2 2020 A all =D Letter Mail Direct Mail Parcels About -13% in Q2 About -25% in Q2 >40% in Q2 due to due to loss in public related to decline in intensified online and private mailings non-food advertising volumes because of mailings COVID-19 in A
Slide 6: Stable Revenue Despite COVID-19
STABLE REVENUE DESPITE COVID-19 (+0.1% IN H1, -2.0% IN Q2) KZ Revenue development Group: +0.1% (Q2: -2.0%) Change vs. H1 2019 (EUR m) Strong parcel business compensates for decline in the Mail and Retail & Bank divisions +0.1% ] 981.1 981.9 -69.6 +84.9 -15.1 +0.6 Mo «a ey -10.5% +30.0% -34.6% +10.6%
Slide 7: EBIT Impacted by COVID-19 and the Set-up of bank99
EBIT IMPACTED BY COVID-19 AND THE SET-UP OF BANK99 KZ EBIT development Group: Change vs. H1 2019 (EUR m) Earnings in the logistics business of EUR 76.9m (-27.4%) in H1; COVID-19 impacts earnings in all divisions -55.2% | } Mail: -27.4% Decline in revenue and COVID-19 additional costs lead to EBIT re
Slide 8: Strategy Implementation
1. Highlights and Overview 2. STRATEGY IMPLEMENTATION 3. Group Results H1 2020 4. Outlook 2020 M74
Slide 9: Clear Strategic Priorities
CLEAR STRATEGIC PRIORITIES GT 01 Defending market leadership in the core business 02 Profitable growth in selected markets Focusing and performance enhancement Safeguarding market position in a competitive environment 03 Enhancing efficiency and flexibilisation of the cost structure '@) Customer ori
Slide 10: Letter Mail
01 LETTER MAIL Letter Mail volumes (millions of items) [ @ -4.3% ] [~4-6%] 939° 931-910 833 764 728 723 690 2012 2013 «20141 + 2015 2016' 2017 2018 2019 “| International Letter Mail ‘Adjusted reporting due to automated calculation methodology ‘Austrian Letter Mail INVESTOR PRESENTATION Investor Rela
Slide 11: Postage rate adjustments as at 1 April 2020
Postage rate Letter National in adjustments as at EUR NEW 1 April 2020 (before 1 April 2020) rates Eco Letter Letter S 0.70 0.74 Letter M 1.25 1.30 Packet S 2.50 2.55 Packet M 4.00 4.10 Eco Business Letter Letter S 0.65 0.70 Letter M 1.10 1.15 Packet S 2.25 2.30 Prio Letter Letter S 0.80 0.85 Letter
Slide 12: Direct Mail/Media Post in Austria
01 DIRECT MAIL/MEDIA POST IN AUSTRIA KZ uve 3 Se Direct Mail/Media Post H1 2020 Direct Mail/Media Post (millions of items) | D -1.8% ] Direct Mail/Media Post volumes Austria 2020 5108 3.1%] (on a daily basis) J 4,883 4,816 4,737 4,727 4,765 4,599 4,559 4,417 QI: about -9% Q2: about -25% 4,039 3822 3
Slide 13: Parcel Business in Austria: 150M Parcels Expected in 2020
PARCEL BUSINESS IN AUSTRIA: 150M PARCELS ALREADY EXPECTED IN 2020 . Current Parcel business trends H1 2020 - Unexpectedly strong growth in Q2 of >40%; H1 thus 35% above previous year volumes = =e 6 - Growth includes effects from cooperation with DHL since a August 2019 _ - Forecast of 150m parcels a
Slide 14: Growth in Selected Markets
62 GROWTH IN SELECTED MARKETS Growth focus on Parcel & Logistics GERMANY AEP (51.5% stake, at-equity consolidation) - Pharmaceutical wholesale joint venture - Revenue H1 2020 up by 16% to EUR 272m - Positive EBIT H1 2020 Austrian Post International Germany - Strong competition in the international m
Slide 15: Aras Kargo
Revenue of Aras Kargo (TRY m) [ @ +14.5% 1,370 353 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 INVESTOR PRESENTATION Investor Relations Vienna, 7 August 2020 Profile of Aras Kargo - Turkey's second largest parcel services provider, founded in 1979 - 5,100 employees, 28 hub centres 1,000+
Slide 16: bank99 - The New Bank of Austrian Post
02 BANK99 - THE NEW BANK OF AUSTRIAN POST SINCE 1 APRIL 2020 KZ mig 2 Hil Miastt EE 0 Gl Product offering: Customer ramp-up 27 - Focused proprietary offering (payment transactions, (Number of customers) L current accounts, savings products, consumer financing) - Commission-based partner solutions (p
Slide 17: Roadmap of bank99 in the Austrian Post Branch Network
02 ROADMAP OF BANK99 IN THE AUSTRIAN POST BRANCH NETWORK =‘ Home Loan Student Account Apple Pay Wallet Debit Mastercard AUG 2020 SEP 2020 DEC 2020 INVESTOR PRESENTATION Investor Relations Vienna, 7 August 2020 t Consumer Credit MAR 2021 ? : Business Account DEC 2021
Slide 18: shöpping.at - Austria's Largest Online Shopping Platform
o2 sh&pping.at - AUSTRIA'S LARGEST ONLINE-SHOPPING-PLATFORM °€7 - More than 6.6m visits to the online-shopping- platform in the period January - June 2020 - Shipment of close to 200,000 parcels in H1 2020 - More than 2m products listed, over 900 active retailers - Strong growth due to COVID-19 parce
Slide 19: Drive for Capacity Expansion Based on Growth Forecasts
DRIVE FOR CAPACITY EXPANSION BASED ON GROWTH FORECASTS ‘c” Investment programme will be maintained in 2020 to handle volume growth and enable efficiency improvements in the coming years; CAPEX still at a high level: - Maintenance CAPEX of EUR 20.9m in H1 2020 - Growth CAPEX (incl. properties) in H1
Slide 20: Expansion of the Logistics Infrastructure in Austria
03 EXPANSION OF THE LOGISTICS INFRASTRUCTURE IN AUSTRIA GT 207/208 201920200 te 0 Phase 1 LC Carinthia Q==700_ Wernberg s/h LC Lowe: stria Hagenbrunn 140,000 Constantly increasing sorting capacity (parcels/hour) 100,000 Phase 2 80,000 60,000 P h ase 3 Sorting capacity at Bho end of 2020: a parcel IN
Slide 21: Staff Structure in Austria
STAFF STRUCTURE IN AUSTRIA Le Full-time equivalents in the Austrian core business (average for the period) 21,926 Change H1 2019/H1 2020 -730 Civilservants -219 Employees Old CWA +1,048 Employees New CWA +99 Employees Slight increase in workforce and ongoing structural change New collective wage agr
Slide 22: Self-Service Solutions as a Competitive Advantage
04 SELF-SERVICE SOLUTIONS AS A COMPETITIVE ADVANTAGE KZ H1 2020: >1.9m items H1 2020: >1.9m items H1 2020: >3.4m items 49,505 pick-up boxes 75,984 boxes at pick-up stations 464 drop-off boxes Increased first delivery attempt success rate in recent months: Parcel (94%) Nov.13 Jun.20 Jan.12 Jun.20 @ 1
Slide 23: Crypto Stamp 2.0
04 CRYPTO STAMP 2.0 KL The hunt for the golden unicorn has begun Stamp motive 4 animals, 60,000 each Stamp with the highest nominal value in the Digital twin in 5 colours (EUR 7) world (EUR 500) 600 x Red - Volume: 1,000 items 4,000 x Yellow - Release date 23 July 2020 8,000 x Blue 16,000 x Green 31
Slide 24: Group Results H1 2020
1. Highlights and Overview 2. Strategy Implementation 3. GROUP RESULTS H1 2020 4. Outlook 2020 M74 24
Slide 25: Stable Revenue, EBITDA Margin Down to 11.4%
981.1 981.9 Stable revenue despite COVID-19 16.5 11.4 EBITDA margin down to 11.4% EBIT margin below previous year due to COVID-19: 11.0 4.9/8.1 EBIT margin of the logistics business of 8.1%, Group-EBIT margin of 4.9% 1.17 0.66 Earnings per share EUR 0.52 below H1 2019 99.6 45.3 Operating free cash f
Slide 26: Group Income Statement H1 2020
EUR m H1 2019 H1 2020 % ∆ Q2 2019 Q2 2020 Revenue 981.1 981.9 0.1% 0.8 488.6 479.1 Other operating income 42.2 28.4 -32.8% -13.8 21.2 15.0 Raw materials, consumables, services -218.7 -247.5 -13.1% -28.7 -108.5 -127.2 Staff costs -507.3 -494.7 2.5% 12.6 -255.6 -241.2 Other operating costs -134.7 -156
Slide 27: Mail Division: Revenue Development H1 2020
™ MAIL DIVISION: REVENUE DEVELOPMENT H1 2020 KZ Letter Mail & Mail Solutions (EUR m) Direct Mail/Media Post (EUR m) - Revenue decline of 6.7% in H1 2020 - Revenue decline of 16.7% in H1 2020, (-2.4% in Q1; -11.3% in Q2) volume decrease of about 15% in Austria - Volume decline of about 9% for Letter
Slide 28: Mail Division Financials
EUR m H1 20191 H1 2020 % ∆ Q2 20191 Q2 2020 Revenue 660.2 590.6 -10.5% -69.6 327.3 273.1 • Letter Mail & Mail-Solutions 408.8 381.3 -6.7% -27.5 200.6 178.0 • Direct Mail 186.3 152.8 -18.0% -33.5 92.3 69.0 • Media Post 65.1 56.5 -13.2% -8.6 34.4 26.0 Revenue intra-Group 1.3 1.4 6.1% 0.1 0.6 0.7 Total
Slide 29: Parcel & Logistics Division: Revenue Development H1 2020
ee PARCEL & LOGISTICS DIVISION: REVENUE DEVELOPMENT H12020 ‘e” Revenue development EURm [—— +30.0% — 367.9 2830 Gan CEE/SEE “ Austria +33.1% H1 20191 H1 2020 INVESTOR PRESENTATION Investor Relations Vienna, 7 August 2020 Parcel & Logistics Division: +30.0% (Q2: +36.1%) E-commerce boost due to COVID-
Slide 30: Parcel & Logistics Division Financials
EUR m H1 20191 H1 2020 % ∆ Q2 20191 Q2 2020 Revenue 283.0 367.9 30.0% 84.9 142.0 193.4 • Premium 146.7 212.1 44.5% 65.3 77.9 112.0 • Standard 107.4 122.1 13.6% 14.6 49.4 65.3 • Other Parcel Services 28.9 33.7 16.9% 4.9 14.7 16.1 Revenue intra-Group 0.4 0.5 39.4% 0.1 0.2 0.2 Total revenue 283.4 368.4
Slide 31: Retail & Bank Division: Revenue Development H1 2020
ana RETAIL & BANK DIVISION: REVENUE DEVELOPMENT H1 2020 KZ Revenue development EURm Cash payments for third parties Service fees from 28.6 former banking Income from partner financial services Branch services (retail goods and branch network products) Branch services H1 20191 12020 INVESTOR PRESENTA
Slide 32: Retail & Bank Division Financials
EUR m H1 20191 H1 2020 % ∆ Q2 20191 Q2 2020 Revenue 43.8 28.6 -34.6% -15.1 21.9 15.5 • Branch Services 43.7 22.4 -48.7% -21.3 21.9 11.2 thereof service fees from former banking partner 18.8 - - - 9.3 - thereof cash payments for third parties (e.g. pensions) 4.6 - - - 2.3 - • Income from financial se
Slide 33: Balance Sheet Extension Through New Financial Services Business/bank99
BALANCE SHEET EXTENSION (+5,6%) THROUGH NEW FINANCIAL KZ SERVICES BUSINESS/BANK99 EURm ASSETS 2,157.2 EQUITY & 2,157.2 2,042.9 ; ; LIABILITIES 2042-9 me ee Cash/cash equiv, , concer age ng chert | sop liabilities Other financial assets, investment property 142.4 289.2 29) Financial assets from| 50.9
Slide 34: Cash Flow Table
123.6 0.0 123.6 -21.2 -2.8 99.6 -30.3 -18.4 -4.7 46.2
Slide 35: Outlook 2020
1. Highlights and Overview 2. Strategy Implementation 3. Group Results H1 2020 4. OUTLOOK 2020 M74 35
Slide 36: Outlook for 2020 with Initial Cautious Forecast
OUTLOOK FOR 2020 WITH INITIAL CAUTIOUS FORECAST WY & a Gt Market environment - Assumption of a slow and steady economic recovery during the year - Volatile and reduced volume forecasts for Letter Mail and Direct Mail - Further enhanced positive development in private customer parcels Revenue — Large
Slide 37: Contact
CONTACT Austrian Post Financial calendar 2020/2021 Investor Relations 13 November 2020 Interim Report Q1-3 2020 Rochusplatz 1, 1030 Vienna 12 March 2021 Annual Results 2020 Website: www.post.at/ir 15 April 2021 Annual General Meeting E-mail: investor@post.at 27 April/29 April 2021 Ex-day/Dividend Pa