Mutares SE & Co. KGaA

Good afternoon everyone and welcome to our earnings call for the financial year 2020. On our call today our CFO Mark Friedrich and our CIO Johannes Laumann will present you the results and most relevant events of the financial year 2020. After the presentation we are happy to answer your questions. The presentation shown is available on our website. Before we start I would like to remind you that this call and presentation contains forward-looking statements including projections which may not develop as we currently expect. I therefore kindly ask you to take note of the precautionary warning about forward-looking statements that is included in the materials on our website. Now let me hand over to Johannes Helmer.

Good morning, good afternoon, good evening, everybody. Welcome to our presentation of the annual results of 2020. A warm welcome from my side. Hope you guys had a good Easter break, and we would like to present you shortly and remind you on the business model, our DNA, our guidance, and give you a sniff on our track record, and then followed by developmental financials, which will be presented later on by my three pieces here. Let me remind you on the guidance and where we stand. In October last year, we put out a guidance to the capital market, what are our mid-term targets we want to achieve at Zotaro. So the first one was we want to grow the consolidated revenue to $3 billion in 2023. Coming from last year, where we closed with a billion in sales, In 2019, 2020, we closed with 1.6 billion, which is already an increase of 60%. Coming to the holding revenue and holding profit, which developed in 2019, 22 million to 33 million in 2020, which is an increase of 50%, and we aim to be at 60 million in 2023. We want to deliver a 7 to 10 times return on invested capital on our assets all over the cycle, which we have already proven end of last, beginning of this year, with the exit of Nexiva, with the exit of the Votermuller Group as part of Balcadur, and with the signing of the SDS Group AG transaction, where all of the three transactions were in or above this range which we have set as our target. We want to have a growth in dividend and we want to have a sustainable dividend where we set our target of having one euro of base dividend and additional performance dividend which we fulfill in 2020 by paying out one euro as base and 50 cents performance dividend for the exit of Nixies. And last but not least, we want to be a leading brand in the turnaround industry in Europe And we want to grow our group. We want to grow our consulting business where we have set a target to lead to 140 people in the consulting business in 2023. We increased from 40 people in 2019 to 70 people in 2020. And we have a strong plan to increase further this year to roughly 100 people in this practice. So overall, we are absolutely on the right track concerning our guidance. We have made a big step towards the achievement of the goals, and I think this is a very satisfying outcome of the year 2020. Let me remind you on the basis, on the ground of Mutari. not only being our self-perception of being turnaround heroes, we also have increased our local presence. We opened an office in Madrid and we opened an office in Stockholm, Indiana in 2020, where we already see very good development on the pipeline side, buy side as well as sell side. We extended our... sweet spot coming from a mid-sized company which we focus on 50 to 500 million of turnover, I would define our sweet spot now in the range of 100 million to 300 million sales coming to that. And last but not least, the integration of ESG criteria became more and more in the focus, and we really tried to meet the standard, meet the target for sustainability goals we have set for ourselves, which are beyond minimum standards. Giving you a little sniff on the track record, because I think it's a quite amazing track record of the last 24 months. And I think this is also a good moment to thank our people, to thank the team who made this amazing work and who made this track record happen. And I think I'm speaking here also on behalf of the entire board and the entire senior management here. We had a strong path of success. So we accomplished 21 acquisitions. We were very active on the add-on side. We drove further the diversification of our portfolio, of our assets, and at the same time we also did the risk mitigation by really growing our three pillar automotive engineering and service more or less with the same speed. We exited seven companies. We purchased 1.9 billion euros in revenues in the last 24 months. This 1.9 billion euros came along with almost 10,000 people. We have significantly increased our offices in 2019 and 2020. And by the end of March, we have increased our market cap by more than 200%. And this was the number of the end of March. Today, this is even a little bit higher. And as of today, we are having the all-time high record

in share price.