Safe-Harbor-Statement

Transcription

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2 Safe-Harbor-Statement This presentation includes forward-looking statements based on the beliefs of UNIWHEELS AG management. Such statements reflect current views of UNIWHEELS AG with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially from those projected here, due to factors including changes in general economic and business conditions, changes in currency exchange, the introduction of competing products, lack of market acceptance of new products, services or technologies and changes in business strategy. UHIWHEELS AG does not intend or assume any obligation to update these forward-looking statements. This presentation constitutes neither an offer nor recommendation to subscribe or buy in any other way securities of UNIWHEELS AG or any of the companies that are members of the Group at present or in the future, nor does it form part of such an offer and it should not be understood as such. This presentation does not constitute an offer of sale of securities in the United States of America. Securities may not be offered or sold in the United States of America without registration or exemption from registration in accordance with the U.S. Securities Act of 1933 in its currently valid form. 2

3 AGENDA UNIWHEELS Group Investor Presentation 01 UNIWHEELS AT A GLANCE 02 THE BUSINESS 03 FY 2016 UPDATE 04 FINANCIALS APPENDIX 3

4 01 UNIWHEELS Group Investor Presentation UNIWHEELS AT A GLANCE 4

5 01 UNIWHEELS AT A GLANCE Key Investment Highlights One of Europe s leading alloy wheel suppliers and long term successful track record with long-standing customer relationships Solid market growth: Rising demand from OEMs, increasing automobile production and a higher share of lightweight alloy wheels could lead to capacity shortages in the near future Premium OEM focus in Automotive provides access to global markets and emerging economies, a balanced customer base and less exposure to market volatility. Accessory: Excellent market position with four major brands that address all market segments. Wellestablished for decades in motor sport. Quality leadership and operational excellence: Added value for customers thanks to high-end technologies such as wheel diameters, light-weight solutions and sophisticated surface treatments. Maximum efficiency in the production process Solid financial track record 2012 to 2016: EBITDA tripled and net profit up fivefold. Net debt at a factor of just 0.6 of EBITDA despite capex programme. Strategy 2022: A programme with ambitious financial goals Shareholder orientation: transparency in financial reporting and proactive IR 5

6 01 UNIWHEELS AT A GLANCE Historic and future growth UNIWHEELS historic sales volume development Σ 8,76 Revenue Split 2016 [%] Foundation of ALUTEC Leichtmetallfel gen GmbH by Ralf Schmid Acquisition of RIAL Leichtmetallfel gen GmbH by Ralf Schmid founded 1978 Construction of new ALUTEC/RIAL Production Plant Stalowa Wola, Poland ALUTEC / RIAL starts first OEMsupply to VW / Votex Expansion of production capacities/ start up of new painting facility in polish plant Foundation of corporate group UNIWHEELS United Wheels Group Acquisition of European Business of ATS with production units in Germany and Poland founded 1969 Launch of new alloylightweight technology LightForming Launch of new FlowForming line in German plant Start of new large Painting Line in Polish plant New Central Logistic Centre for Accessory Division UNIWHEELS Holding (Germany) GmbH is converted into the stock company UNIWHEELS AG UNIWHEELS AG conducts IPO and is listed on Warsaw Stock Exchange 6

7 01 UNIWHEELS AT A GLANCE Business model supplier to OEMs and Aftermarket Automotive Business Accessory Business Brands Business Model One of the leading suppliers of alloy wheels to major European car manufacturers (OEM) Wheels are produced with low-pressure die casting technology, test criteria according to OEM standards met without fail -> positioned as quality and innovation leader. Strong and long-established relations with OEMs such as Audi, BMW / MINI, Mercedes / AMG, Jaguar-Land Rover and Volvo. Premium: strong emphasis on premium segment. Direct distribution via key account management to OEMs as Tier-1 supplier, mainly in the premium segment. The market-leading manufacturer of alloy wheels for the accessories market (AM) in Europe Four brands: ATS, RIAL, ALUTEC and ANZIO, covering different customer groups from premium to economy Distribution channel via own trading companies to major tire and wheel distributors, retailers as well as leading car dealers, and UNIWHEELS B2B Webshop Group revenues split per region 7

8 01 UNIWHEELS AT A GLANCE Sales structure Number of wheels sold [m units] Revenue [EUR m] Σ 8, % +3.7% -11.7% -1.5% +7.3% +14.1% +12.1% +10,6% +23.6% +7.8% +6.3% +5.9% 8

9 01 UNIWHEELS AT A GLANCE STRATEGY 2022 COST EFFICIENCY AND SOLID FINANCIAL POSITION PROFITABLE AND SUSTAINABLE GROWTH SALES 700m EBITDA >15 % EBIT >10 % TECHNOLOGY LEADERSHIP EXCELLENT PRODUCT QUALITY AND INNOVATION ROCE >20 % Net debt / EBITDA < 2.0x A TEAM-ORIENTED CORPORATE CULTURE FOSTERING INNOVATION More on Strategy 2022 on -> Investor Relations -> UNIWHEELS Profile -> Strategy 2022: OPERATIONAL EXCELLENCE AND PROCESS INNOVATION 9

10 01 UNIWHEELS AT A GLANCE UNWHEELS AG Executive Board Dr. Thomas Buchholz CEO At UNIWHEELS since: 2015 Areas of responsibility : Strategy & Growth Automotive/OEM Group Technology Group Human Resources Quality Management Dr. Karsten Obenaus CFO At UNIWHEELS since: 2003 Areas of responsibility : Finance/Accounting/Taxes Controlling Investor Relations Legal Compliance Sustainability Risk Management Purchasing IT Dr. Wolfgang Hiller COO At UNIWHEELS since: 2016 Areas of responsibility : Group Operations Group Industrial Engineering Accessory/Aftermarket Group Marketing & E-Commerce Motorsports Environmental Management 10

11 01 UNIWHEELS AT A GLANCE Tender Offer by Superior: Transaction Summarized The Executive Board has been notified today by its major shareholder UNIWHEELS Holding (Malta) Ltd. ("UHM") that UHM has entered into an irrevocable undertaking with Superior Industries International, Inc. ("Superior") to sell all its shares in the Company (representing approximately 61.29% of the current outstanding share capital of the Company) to Superior Industries International AG, a wholly-owned subsidiary of Superior. Superior Industries International AG launched a tender offer to acquire 100% of the Company s shares (including the shares held by UHM). Offer period starts as soon as the regulatory approvals are received. Superior offered a cash consideration of 236,07 PLN per share in the tender offer, equivalent to the 3- Months VWAP of the Company's shares prior to the announcement of the tender offer. 11

12 01 UNIWHEELS AT A GLANCE Tender Offer by Superior: Strategic Rationale - Global No. 2 Transaction creates one of the largest light vehicle OEM aluminum wheel manufacturer in the world by combining the #1 North American and #3 European suppliers with nine manufacturing facilities across Germany, Poland, Mexico and U.S.. Positions the combined company as a leading global partner to automotive OEMs located in both North America and Europe Adds UNIWHEELS s leading European manufacturer of aftermarket aluminum wheels with top brands, including ATS, RIAL, ALUTEC and ANZIO. The trademark rights of these highvalue brands remain with company. 12

13 01 UNIWHEELS AT A GLANCE Tender Offer by Superior: Highly Complementary Businesses Significant opportunities to win new business across customers by leveraging globally competitive manufacturing capacity, and highly complementary product technology and manufacturing process expertise. Highly complementary customers, R&D and engineering capabilities create global scale, positioning the combined business for profitable and sustainable growth. Bolsters combined company s human capital by integrating two highly skilled organizations UNIWHEELS s focus in Germany and Poland and Sapphire s operations in the U.S. and Mexico. With no manufacturing overlap, the combined business will require minimal restructuring actions while creating synergy opportunities and value creation for all stakeholders 13

14 02 UNIWHEELS Group Investor Presentation THE BUSINESS 14

15 02 THE BUSINESS Automotive: diversified and long term relationships OEM segments focus on premium [% of revenues] OEM sales 2016 [% of revenues] BMW-Group BMW 13 years 1-series, M5/M6-series, X3, X6 Mini 5 years One, Clubman, Countryman Ford Ford 34 years Kuga, S-Max Honda Honda 7 years Civic, CR-V JLR-Group Jaguar 15 years XJ, XKR, XF, XK, F-Type, F-Pace Group Brand Relationship Main models supplied Audi Audi 20 years A3, A4, A5, A6, A7, A8, Q2, Q3, Q7, i3 Mercedes- Group Land Rover 10 years Evoque, Range Rover Mercedes 35 years S-class, CLS / CLS shooting break, SL, E-class, C-class, A/B-class, GLA, GLK AMG 30 years C-class, SL-class, SLK-class, G-class Mitsubishi Mitsubishi 10 years Outlander, Colt Nissan Nissan 4 years Qashquai, Juke Opel Opel 30 years Corsa, Astra, Insignia Porsche Porsche 44 years 911, Macan, Panamera, Cayman, Cayenne PSA PSA 14 years DS 5, C4 Picasso, Cactus, 308, 508, 3008 Smart Smart 12 years ForTwo Suzuki Suzuki 1 year SX4 Volvo Volvo 38 years V40, S/V/XC 60, S/V/XC 90 VW-Group VW 23 years Amarok, Golf, Polo, Passat CC, Touareg Bentley 13 years Continental Seat 12 years Leon, Alhambra Skoda 13 years Octavia, Superb 15

16 02 THE BUSINESS Mechanism of price adjustments with OEMs Aluminium (LME) Our contracts with customers include clauses which protect us from losses due to aluminum prices changes to a large extent, including fluctuations in EUR/USD. Price adjustments take place quartely based of the average aluminium prices in the previous three months. See graph below. Alloy Premium (MBI) Indicated at Metal Bulletin Index (MBI) Includes insurance, transport from producer to port warehouse Increasingly, price adjustments quarterly, same pattern as for LME Product Premium Negotiated directly with customers 1x per year Includes specific alloy and transport from warehouse to our plants Example quarterly LME and MBI adjustment scheme Average LME price previous three months Quartely price adjustment with OEMs New alloy component in wheel price for the next quarter Dec Jan Feb Mar Apr May Jun 16

17 02 THE BUSINESS Automotive: project phases of an OEM wheel Example model of project phases of an OEM wheel RFQ Nomination SOP EOP Comment 3-6 months after request for quotation (RFQ) from customers, wheel producer is nominated or not. During this phase, cost calculations and price negotiations take place. At nomination, value-add prices, material costs and life-time reductions (long-term productivity) are finalised. From nomination to start of production (SOP), the wheel is developed and simulated (based on OEM s specifications), mould is constructed and 0-series is tested: this takes years Usually, the wheel life cycle is half a car model s life: most wheels will be replaced after facelift The price effect of new wheels on our revenues comes with a time lag of years. 17

18 02 THE BUSINESS Automotive: revenues are based on a project portfolio Exemplary model of the project portfolio development over years Initial Portfolio New project 1 New project 2 New project 3 New project 4 Initial Portfolio Project 1 Initial Portfolio Project 2 Project 1 Initial Portfolio Project 3 Project 2 Project 1 Init. Portfolio Year 1 Year 2 Year 3 Year 4 Year 5 Comment Our wheel portfolio consists of wheels in different project phases. Portfolio is constantly changing as projects (with price adjustments) are ending are replaced by new projects that did not have reductions yet. 80% of the portfolio is exchanged over a period of 4-5 years. This secures our OEM wheel prices. Price pressures would have a lagged effect coming in phases. OEM revenues are a product of a portfolio of wheels in different project phases 18

19 02 THE BUSINESS Accessory: leadership in the market with 4 strong brands Our four Accessory brands UNIWHEELS portfolio consists of top market brand UNIWHEELS is the leading manufacturer in the European aftermarket with four well known brands covering wide range of segments (premium to entry): RIAL, ALUTEC, ANZIO and ATS Volume of wheels in the EU aftermarket [in m] Complimentary market cycle to OEM business 13,3 12,5 11, ,5 11,6 11,7 11,5 11,5 11,5 11,6 11,6 * * 2016* 2017* 2018* Number of wheels in aftermarket [in m] *forecast complimentary business cycle with OEM market (2010 as an example, weak OEM market, much above average aftermarket) relatively stable market on-going market consolidation (smaller players expected to disappear from the market within the next years) main consumer decision drivers - price - design - logistics (24 hours delivery) USD development makes imports from Asia unattractive 19

20 02 THE BUSINESS ATS exclusive supplier to DTM racing series Comment From 2017, all DTM touring cars (Audi, BMW, Mercedes) will take the starting line with the new ATS forged wheel. The contract will run for at least three years. Aluminum forged wheels made of a high-strength special alloy. UNIWHEELS now a partner to the world's best touring car racing series. We are very proud to be the DTM exclusive supplier. Excellent field of demonstration of the technical expertise of ATS and the entire UNIWHEELS Group. 20

21 02 THE BUSINESS Core competencies: 3 factors driving value added per wheel Not only volumes drive our revenues. We master three additional key characteristics that lead to higher value added: 1 Wheel Size 75 % of our wheels are delivered in diameters of with a rising trend Wheels with up to 23, e.g. for SUVs 2 Complex Surfaces Design and quality requirements and the trend to indivudalized car configurations High-gloss paint Diamond Cut Anti Corrosion Finish 3 Lightweight Technologies Consumer and regualatory trends towards lower CO 2 emissions require weight reductions Flow Forming Undercut 21

22 02 THE BUSINESS Production and process excellence 1 Construction & design Aluminium Low-pressure Machining casting Varnishing & Painting 6 Final Check & Delivery design Spectral analysis Casting Machining Preparation Final check Simulation Melting / Furnace X-Ray Qualitycheck of dimensions Robotic transfer station Packaging tool construction Degasing Heat treatment Degreasing Painting and clear coat process Delivery Wheel development based on the customers' specifications or own design Simulation and analysis of wheel and tool construction Tool construction and manufacturing Feedstock of primary alloys from renowned suppliers only Batches of incoming goods are scanned assuring backtracking Materials are spectral tested guaranteeing highest quality Use of low pressure die casting technology Castings are tested in full detail by fully automated X-Ray Additional tempering via heat treatment machines CNC-machining of the wheels and checks of dimensions and quality Wheels are 100% checked for balancing Degreasing as preparation for later varnishing Chrome free preparation of the wheels Fully automated varnishing and painting Clear coat finishing Optical check before packing Packing on exchange OE-paletts and in boxes Central location assures 24h-72h delivery in whole Europe aluminium price passed-through to OEM customers on the basis of long-term arrangements and short term price adjustments regarding market premium over commodity prices (OEM) or hedged (aftermarket) 22

23 02 THE BUSINESS Production companies, plants and capacities Stalowa Wola, PL Plant name UPP 1 UPP 2 UPP 3 (new) UPG Werdohl, D Plants and distribution companies Capacity Max 2.2m wheels Max 4.7m wheels Max 2.0 m Max 1.8m wheels Wheel dimensions Employees 2, Werdohl UPG Stalowa Wola UPP Strengths Labor cost efficiency combined with automated and flexible robot cells for machining Tax shield due to location in special economic zone New planned plant: most advanced manufacturing facility with latest technology The already world's largest contiguous production site for light-alloy wheels has been extended by another approx. 2 million wheels. Highly skilled for large wheels and complex surfaces Innovation: closeness to R&D used to introduce and optimize new production technologies Bad Durkheim HQ, logistic center Source of the wheels sold (mn pieces) Σ 8,76 Plant 4 Capex and Capacity Schedule Incremental capacity Plant 4 [wheels m /year] Estimated total capacity Plant 4 [wheels m /year] Estimated total capacity group [wheels m /year] Capacity vs production of 7.8m wheels [%] % +25.6% +25.6% 23

24 02 THE BUSINESS New plant is online with second phase Update One year earlier than promised at IPO, the second and final phase of UPP 3. It is the 3 rd plant in Stalowa Wola, and the 4th plant in the group. The already world's largest contiguous production site for light-alloy wheels is now extended by another approx. 2 million wheels. Phase 2 of UPP 3 brought forward by 1 year AUG st Phase 1.2m wheels p.a Incremental capacity [wheels m /year] nd Phase 2.0m wheels p.a Total Stalowa Wola, Poland 5 melting furnances 24 casting machines 3 x-ray facilities 2 heat treatment facilities 11 robot cells for machining 12 deburring plants for finishing Pad Printing 1 painting line of the latest technology Land size: m² Buildings: m² 24

25 02 THE BUSINESS Successful stock listing at WSE since May 2015 Substantial over-subscription at the issue price of PLN 105 Almost all investors seen during roadshow subscribed Balanced allotment to OFEs, TFIs, international funds and private investors Being public means professionalization and an organization ready for further growth. swig 80 inclusion in September 2015, mwig40 ascension in March 2016 Several awards regarding IPO, Reporting and Being Public Current shareholder structure Free Float as of allotment on April 29th % 61.3% 38.7% 0.3% 23.6% 31.5% 39.5% 25

26 03 UNIWHEELS Group Investor Presentation FY 2016 UPDATE 26

27 03 FY 2016 UPDATE Highlights FY 2016: fourth record year in a row Sales EBITDA Margins Another Success Year Outlook FY 2017 Strong volume growth 2016: +12.0% to 8.8 million wheels. New capacity contributes fully now. Demand growth from OEM and AM customers. Revenues up by 6.3 %: higher value added and aluminium price adjustments. Disproportionately high earnings growth despite ramp-up costs for new plant UPP 3. Drop in material costs by 2.4%. EBITDA grows by 19.6% to EUR 70.2 million in Strong aluminium impact in Q2 balances out: EBITDA margin improves to 15.1% from 13.4% in FY EBIT margin improves to 11.2% from 10.1 % in FY Construction of new plant in Poland accelerated, completion ahead of schedule. Record levels in terms of sales volumes, revenues and earnings and guidance exceeded. Low leverage of 0.6x despite capex programme. Strategy 2022 established. Dividend proposal raised to EUR 2.00 (+21.2%) per share, a yield of over 4 %. Sales volume growth of 10-15%. Revenue growth of 14-19%. EBITDA growth of 15-20%. 27

28 03 FY 2016 UPDATE Automotive: demand growth and enhanced customer base Automotive wheels sold [million] Comment +12.1% 6.41 Automotive revenues [EUR m] +5.9% Ongoing demand growth from European OEM customers. Availability of additional capacity in new plant and operational performance increases. Enhancement and diversification of premium-focused OEM customer base. Automotive wheel sales grow by 12.1%. Value-added sales increased by bigger diameters (higher share of >19 wheels) and more complex wheels. Sales growth influenced by lower aluminium price components: revenue growth of +5.9%. 28

29 03 FY 2016 UPDATE Automotive revenue bridge: higher value added Automotive revenue bridge [EUR m] Comment Aluminium Surcharges Aluminium Surcharges Aluminium Surcharges: price component that is quarterly adjusted with OEM customers based on previous LME development. Aluminium Surcharges decreased by EUR 6.3m based on lower LME in full Value Added Value Added Value Added: component of wheel price that is fixed at nomination, depending on product mix (size, lightweight, complex surface). Product mix lead to a positive Value added effect of EUR 3.8m. Value-added revenues increased by 14.0%. 29

30 03 FY 2016 UPDATE Accessory: exports as strong growth contributor Accessory wheels sold [million] Comment +11.7% 1.42 Accesory revenues [EUR m] +6.3% 1.58 Continuation of successful sales activities in a challenging market, expansion of export markets New products and applications successfully placed. Accessory wheel sales up by 11.7%. Sales increase for all brands, especially in premium segment. Accessory revenues grow by 6.3%. Decision of EU Commission to retain Anti-dumping duty by five years

31 03 FY 2016 UPDATE Group P&L: new plant, aluminium price adjustments and margins improvement Consolidated P&L of UNIWHEELS Group in EUR m FY 2016 FY 2015 %Change Q Q %Change Revenue Changes in inventories and work in progress Own work capitalized Total operating performance Other operating income Cost of material Personnel expenses Other operating expenses EBITDA Depreciation, amortization and impairments EBIT April 2017 Interest income Interest expense Other finance revenue/costs Profit or loss before tax Income taxes Net profit or loss Key margins FY 2016 FY 2015 Change pp EBITDA margin 15.1% 13.4% +1.7 EBIT margin 11.2% 10.1% +1.1 Comment Revenues increased by 6.3%, influenced by: Wheels sales increase of 12.0% Product mix with higher value added Aluminium price adjustments Material Costs drop by -2.4%, reflecting lower LME alumium prices Personnel costs impacted by recruitments for new plant, ramp-up costs and wage increases: +15.2% EBITDA increased by 19.6% to EUR 70.2m. Depreciation up by 22.3 % due to PPE in new plant. EBIT up by 18.7% to EUR 52.1m. Net profit +57.5%: includes income from capitalized deferred taxes EBITDA and EBIT margins improved 31

32 03 FY 2016 UPDATE P&L: material costs impacted by LME, personnel expenses by recruitments for new plant Cost of material [EUR m] -2.4% Personnel expenses [EUR m] +15.2% Comment Cost of material is influenced by lower LME aluminium prices in total in 2016, but also prize increases in H1; ratio drops to 55.2%. LME (in EUR) downward trend since 2 nd half of 2015 has ended. Price increases started in autumn. Personnel expenses (+15.2%) are impacted by staff recruitment for new plant, ramp-up costs (mainly costs for new and still unproductive staff) and wage increases in Stalowa Wola. Recruitments also in Werdohl plant (production output increases). Group employees in 2016 at Personnel cost ratio at 16.4%. Other operating expenses (+12.1%): IPO costs in 2015, higher repair and maintenance, selling expenses, losses from the disposal of assets, and R&D costs. Interest expenses (-30%). Reduced interest premium for syn loan from 2.2 % to 0.95%, but also by IKB loan drawn in Q4. 32

33 03 FY 2016 UPDATE P&L: earnings and margins at record levels, dividend raised to EUR 2.00 per share EBITDA [EUR m] Comment +19.6% EBITDA increased by 19.6% to EUR 70.2m EBIT grows by 18.7% to EUR 52.1m EBITDA margin improved to 15.1%, despite ramp-up costs, wage increases and upward LME trend. EBIT margin up to 11.2%. Net Profit [EUR m] +57.5% Net Profit amounts EUR 64.1m, and strongly benefits from a non-cash income from capitalised deferred taxes ( 15.0m). Dividend proposal increased to EUR 2.00 per share from EUR 1.65 for 2015, payout ratio based on net profit w/o non-cash components. Dividend yield at over 4%. 33

34 03 FY 2016 UPDATE Solid financing structure stable net debt and equity ratio despite peak in capex programme Net debt [EUR m] Comment +302% Scheduled repayment of term note of syndicated loan (EUR 5.5m). New loan agreement (IKB) amounting 20m, with a fixed interest rate of 1.0% due in 2024, has been fully drawn in October. Net debt at EUR 42.5m (Sep 30: EUR 60.1m). Net debt/ebitda at 0.6x. Equity ratio [%] Equity ratio: 62.3% - equity mainly influenced by net profit PP Reasonable leverage <2.0x targeted for longterm expansion. 34

35 03 FY 2016 UPDATE Outlook FY 2017: full new capacity and economies of scale 2017 is expected to face an ongoing demand growth from European OEMs. We assume an average LME aluminium price of EUR for Together with the availability of the full capacity of UPP 3, economies of scale should be achieved. We expect: The group targets for 2017 an increase in wheel sales of between 10% and 15%. Wheel sales increase by 10-15% Group revenues are forcasted to grow between 14% and 19%, taking the aluminium price development into account. Revenue growth by 14-19% Ramp-up costs to be concluded in 2016 and economies of scale at new plant: we expect an EBITDA growth of 15% to 20%. EBITDA growth of 15-20% 35

36 04 UNIWHEELS Group Investor Presentation FINANCIALS

37 04 FINANCIALS Key financial indicators Cost ratios Earnings and Margins Financial Position Return on Capital Employed ROCE (Return on Capital Employed) = EBIT / (Equity + Long-term Liabilites Cash) 37

38 04 FINANCIALS Key Financials

39 04 FINANCIALS P/L : growing revenue and margins improvement Consolidated P&L of UNIWHEELS Group in EUR m Actual Actual Actual Actual Actual Revenue Changes in inventories and work in progress Own work capitalized Total operating performance Cost of material Gross profit Other operating income Personnel expenses Other expenses EBITDA Depreciation, amortization and impairments EBIT Interest income Interest expense Other finance revenue/costs Profit or loss before tax Income taxes Net profit or loss Key margins EBITDA margin 7.3% 11.3% 12.6% 13.4% 15.1% EBIT margin 3.2% 6.9% 9.0% 10.4% 11.2% UNIWHEELS GROUP Q RESULTS EBITDA margin = EBITDA/Revenues, EBIT margin = EBIT/Revenues 39

40 THANK YOU FOR YOUR ATTENTION IR Contact: Oliver Madsen Head of Investor Relations +49 (0) / o.madsen@de.uniwheeels.com 40

41 05 UNIWHEELS Group Investor Presentation APPENDIX 41

42 05 APPENDIX Consolidated statement of cash flows 42

43 05 APPENDIX Key Financial Figures FY

44 05 APPENDIX Key Financial Figures FY

45 05 APPENDIX Risk management: raw materials, F/X, prices, interest Main Hedging Instruments Comments Hedging Instruments Hedging Transaction on Aluminium Price adjustments clause: Contracts with car manufacturers for quarterly price indexation Currency Hedging: US Dollar and Polish Zloty IRS Hedging (Syndicated loan) To ensure that changing aluminium prices do not impact Group s margin, contracts with car manufacturers provide for quarterly price indexation. There are also certain arrangements with the OEMs that allow to decrease impact of the cost volatility. Furthermore, the Group enters into swap agreements with banks to hedge itself against the risk of fluctuating aluminium costs. The Group has chosen the Euro as its functional currency, also for UPP Costs for the salaries of its employees, energy costs and transport costs are however incurred in Polish Zloty. Raw materials are paid in Euro. The Group is exposed to exchange rate fluctuations between the Euro and the USD on the one side and Polish Zloty on the other side. These fluctuations are hedged by forward hedging contracts to mitigate the risks involved F/X: 2017: fully hedged, 2018: about 20% hedged, both years at a favourable currency rate The Group uses Interest swaps to minimize the risk of rising interest rates. In an interest swap the Group exchanges fixed and floating interest payments that were calculated on the basis of agreed nominal amounts. 45

46 05 APPENDIX Analyst Coverage, Estimates and Recommendations Institution Analyst Date EBITDA FY2017 e Target Price Recommendation BZ WBK Brokerage Michał Sopiel February 6, m PLN BUY mbank Dom Maklerski Jakub Szkopek October 19, m PLN ACCUMULATE Pekao Trigon Tomasz Kucinski Łukasz Rudnik December 19, 2016 November 29, m PLN 249,30 BUY 83.1 m PLN BUY Wood & Company Maciej Wardejn August 12, m PLN BUY Consensus m

47 05 APPENDIX Financial Calender 2017 & Contact 47