BELL EQUIPMENT LTD RESULTS FOR THE 12 MONTHS ENDED 31 DECEMBER 2017 AND BUSINESS REVIEW

BELL EQUIPMENT LTD RESULTS FOR THE 12 MONTHS ENDED 31 DECEMBER 2017 AND BUSINESS REVIEW

Financial Highlights for 2017 Revenue up 13% to R6,8 billion NPAT up from R39 million to R272 million HEPS per share up from 48 cps to 270 cps Annual dividend up from 15 cps per share to 45 cps Expenses well managed and down 14% 2

The BELL Business Model Global Articulated Dump Truck specialists Full line machinery range for Sub-Saharan Africa Geographic, product and industry diversity Focused on growth 3

Geographic, Product & Industry diversity Global network Full-line product ranges Multiple industries Manufacturing plants in Germany & South Africa Products sold in 80 countries around the world Articulated Truck Range core product Full line Mining and Construction machines distributed in Sub-Saharan Africa Expanding range of Forestry and Agriculture machines Diversified Global Industries Mining and Construction Oil & Gas and Industrial Forestry and Sugarcane 4

Our Global Corporate structure BELL EQUIPMENT LIMITED Headquarters - Richards Bay, South Africa Main factory Richards Bay, South Africa R&D Centre Richards Bay, South Africa European factory Eisenach-Kindel Germany Global Logistics Centre Jetpark, South Africa BBBEE Investors European Logistics Centre Alsfeld, Germany American Logistics Centre North Carolina USA Bell Equipment Sales SA Jetpark, South Africa 5

Distribution Network BELL network management: - BELL Equipment Sales Africa - BELL Equipment European Operations - BELL Equipment North America - BELL Equipment Co SA (dealer mngt) Further growth planned Strategic priority to move to more independent dealers over last 3 years Supporting more than 120 dealer and subsidiary locations around the world Focused on driving dealer performance through training and development and after market support 6

Mining & Construction machinery ranges 7

New product ranges launched 2017/18 KOBELCO NINE MODELS 8-85 TONNE KAMAZ - FOUR MODELS Broadening our product offering to focused industries and existing customers in Sub-Saharan Africa 8

Roadworks, Crushing & Screening 9

Forestry and Agriculture machinery ranges 10

Aftermarket Services (Annuity income) As the global fleet of operational BELL machines increases so does the opportunity to grow aftermarket revenue (annuity income). Average machine life is 12-15 years 11

Industry Sales 2008-2017 Group Sales by Industry (Turnover) 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% CONSTRUCTION MINING PLANT HIRE GOVERNMENT FORESTRY AGRICULTURE INDUSTRIAL QUARRY OTHER 12

Industry Sales 2016-2017 INDUSTRIAL AGRICULTURE 2% FORESTRY4% 4% GOVERNMENT 5% 2016 UNIT TURNOVER QUARRY 1% OTHER 2% CONSTRUCTION 41% AGRICULTURE 3% FORESTRY 3% GOVERNMENT 4% PLANT HIRE 13% 2017 UNIT TURNOVER INDUSTRIAL 1% QUARRY 3% OTHER 0% CONSTRUCTION 42% PLANT HIRE 15% MINING 26% MINING 31% Global mining activity improving (traditionally >50% of business from this sector) 13

Financial Review 14

Positive Increased 13% 604% 463% Financial Highlights for 2017 2016 2017 2016 2017 2016 2017 R6,0bn R6,8bn REVENUE 2016 2017 R38,6m R272,1m NPAT 48c HEPS 270c 2016 2017 2016 2017 14% R1418m R1226m EXPENSES -R62,5m R7,0m NET CASH INFLOW 15c 45c [FINAL + INTERIM] TOTAL DIVIDEND 15

Income statement STATEMENT OF PROFIT OR LOSS Actual Prior R'000 YTD Dec 17 YTD Dec 16 Revenue 6 766 586 6 002 341 Cost of sales (5 328 636) (4 604 486) Gross Profit 1 437 950 1 397 855 GP % margin 21% 23% Other operating income 221 431 168 448 Expenses (1 226 135) (1 418 055) Profit from operating activities 433 246 148 248 Net interest expense (29 888) (32 557) Profit before taxation 403 358 115 691 Taxation (131 308) (77 072) Profit for the year 272 050 38 619 Profit for the year attributable to: - Owners of Bell Equipment Limited 260 209 37 472 - Non-controlling interest 11 841 1 147 16

Balance sheet STATEMENT OF FINANCIAL POSITION Actual Prior R'000 Dec 17 Dec 16 ASSETS Non-current assets 1 111 406 1 029 444 Property, plant and equipment 691 429 704 295 Intangible assets 224 766 216 419 Investments 574 568 Interest-bearing long-term receivables 92 774 16 964 Deferred taxation 101 863 91 198 Current assets 4 246 208 3 477 504 Inventory 3 047 119 2 427 921 Trade and other receivables 778 555 751 672 Current portion of interest-bearing long-term receivables 96 053 56 546 Prepayments 51 912 21 828 Other financial assets 13 139 5 641 Current taxation assets 9 179 29 601 Cash and bank balances 250 251 184 295 TOTAL ASSETS 5 357 614 4 506 948 Actual Prior EQUITY AND LIABILITIES Capital and reserves Dec 17 2 988 602 Dec 16 2 758 247 Stated capital 232 244 232 139 Non-distributable reserves 530 281 553 298 Retained earnings 2 214 236 1 972 810 Attributable to owners of Bell Equipment Limited 2 976 761 2 758 247 Non-controlling interest 11 841 - Non-current liabilities 351 819 321 787 Interest-bearing liabilities 113 183 103 175 Repurchase obligations and deferred leasing income 1 243 2 034 Deferred income 106 568 84 083 Long-term provisions and lease escalation 42 074 47 781 Deferred taxation 88 751 84 714 Current liabilities 2 017 193 1 426 914 Trade and other payables 1 094 742 759 463 Current portion of interest-bearing liabilities 215 414 51 268 Current portion of repurchase obligations and deferred leasing income 746 763 Current portion of deferred income 94 171 82 903 Current portion of provisions and lease escalation 60 825 69 562 Other financial liabilities 20 272 952 Current taxation liabilities 25 675 15 615 Bank overdrafts and borrowings on call 505 348 446 388 TOTAL EQUITY AND LIABILITIES 5 357 614 4 506 948 17

Cash flow statement STATEMENT OF CASH FLOWS Actual Prior R'000 YTD Dec 17 YTD Dec 16 Cash generated from operations before working capital changes 665 069 406 005 Cash utilised in working capital (533 369) (208 338) Cash generated from operations 131 700 197 667 Net interest paid (29 635) (32 377) Taxation paid (112 262) (76 951) Net cash (utilised in) generated from operating activities (10 197) 88 339 Purchase of property, plant and equipment and intangible assets (135 842) (135 453) Proceeds on disposal of property, plant and equipment and intangible assets 7 975 908 (Increase) decrease in interest-bearing long-term receivables (9 303) 17 155 Net cash utilised in investing activities (137 170) (117 390) Interest-bearing liabilities raised 247 316 45 959 Interest-bearing liabilities repaid (73 996) (56 642) Proceeds from share options exercised 105 1 572 Payments to non-controlling interest - (10 086) Dividends paid (19 062) (14 273) Net cash generated from (utilised in) financing activities 154 363 (33 470) Net cash inflow (outflow) 6 996 (62 521) Net bank overdrafts and borrowings on call at beginning of the year (262 093) (199 572) Net bank overdrafts and borrowings on call at end of the year (255 097) (262 093) 18

Net debt and finance cost R million 2017 2016 % Change Net debt - close 584 417 40,1% Net debt - average 500 412 21,4% Net interest costs 30 33 (8,2%) Gearing % (net debt) 19,5% 15,1% 29,1% Net interest cost down 8,2% Gearing up from 15,1% to 19,5% Interest cover and net debt to EBITDA significantly improved Interest cover (times) (underlying EBIT) 10,0 3,1 Net debt to EBITDA (times) 0,9 1,4 Maturity profile of borrowings - 2017 Less than 1 yr 1 to 2 yrs 2 to 3 yrs More than 3 yrs TOTAL R million R million R million R million R million Secured interest-bearing liabilities * 147 47 34 46 274 Unsecured interest-bearing liabilities * 87 - - - 87 Bank overdrafts and borrowings on call * 505 - - - 505 739 47 34 46 866 * Including interest and principal cashflows Percentage of total 85,3% 5,4% 4,0% 5,3% 100,0% 19

Borrowing profile & currency Maturity profile of borrowings R million Borrowings by currency R million 900 1800 800 1600 700 1400 600 500 400 300 200 100 0 Less than 1 yr 1 to 2 yrs 2 to 3 yrs More than 3 yrs Total 1200 1000 800 600 400 200 0 7,9% Euro 4,2% US$ GBP 87,9% ZAR 100% Total Secured Unsecured Bank overdraft Borrowings Facilities 20

Segmental analysis 2017 2016 2015 2014 2013 REVENUE BY REPORTING SEGMENTS R'000 R'000 R'000 R'000 R'000 South African Sales operation 2 976 023 2 718 145 2 392 063 2 845 626 2 777 097 South African Manufacturing and Logistics operation * 725 043 431 099 628 342 834 440 223 463 European operation 1 295 825 1 387 922 1 197 007 1 540 728 1 120 275 Rest of Africa operation 618 845 799 706 1 123 733 1 014 020 1 861 093 North American operation 1 150 850 665 469 560 286 373 731 337 176 TOTAL GROUP 6 766 586 6 002 341 5 901 431 6 608 545 6 319 104 OPERATING PROFIT (LOSS) South African Sales operation 159 513 115 347 70 112 110 591 94 234 South African Manufacturing and Logistics operation 223 581 80 506 148 671 28 107 206 850 European operation 84 913 60 801 65 273 42 892 48 348 Rest of Africa operation -70 000-185 805-1 714 4 229 96 086 North American operation 49 980 49 810 301-15 855-18 940 PROFIT (LOSS) FOR THE YEAR South African Sales operation 76 941 61 946 25 025 62 881 63 120 South African Manufacturing and Logistics operation 169 251 66 756 96 392 3 548 155 160 European operation 45 680 33 782 32 107-2 380 11 779 Rest of Africa operation -90 791-200 354-32 626-34 922 35 038 North American operation 31 525 38 024 2 391-9 103-11 299 * South African Manufacturing and Logistics operation - sales to dealers, John Deere and Hitachi 21

R m Losses per half year R m Rest of Africa operational costs reduced Continued slowdown in mining activity in DRC / Zambia / Zimbabwe / Mozambique during 2017 150 100 R123m Rest of Africa operating losses 2016-2017 Dealer appointed in Mozambique during the year and BELL operations curtailed Further reduction in operational costs in DRC and Zambia implemented Improved economic activity in Zimbabwe and additional cost reductions delivered a much improved and profitable result Recovery in commodity pricing and increased mining activity expected during 2018 50 0 200 150 100 50 R63m R46m R24m 1HALF 2016 2HALF 2016 1HALF 2017 2HALF 2017 Ageing of past due debt (Mostly rest of Africa) R47m R27m 2016 2017 R30m R19m R113m R19m R171m R85m 0 60-90 DAYS 90-120 DAYS 120+ DAYS TOTAL 22

Prospects & Strategy 23

Mining sector indicators continue to improve Commodity pricing generally trending well and supporting improved activity levels from this sector Machinery markets expect 10-12% growth in 2018 Source: 24

Strategic priorities Global ADT specialist Global Truck Volumes Technology leadership Build dealer network No capacity constraints R&D investment and expand BELL Truck range Invest in inventory for rapid market response Manufacture closer to major markets Consolidate alliance product offering Enhance Service Offering Grow annuity income Ring fence all opportunities RSA, European and American distribution centres in place Continuous Improvement Factory positioning Strategic sourcing Cost reduction Volume benefits Rationalise loss making ops Enhance aftermarket and product support offering Customer Financing Solutions Priority Customers Dealers 25

Growing USA dealer network Industry ADT Sales Split Percentage Opportunity to grow dealer network Currently approx. 70% coverage of North America Largest single ADT market in world German factory source Good market recovery Bell Dealer Market Coverage - 2017 Planned market share growth targeted 26

Growing global dealer support INVESTING IN DEALER SUPPORT AND BELL LOGISTICS STRUCTURES Regional parts distribution centres - faster response to customer needs Global Logistics Centre Jetpark South Africa (2008) Global sourcing from most appropriate suppliers with consolidated volumes Cross-dock supply to factories in Germany and South Africa Significant cost reduction opportunities in logistics and combined volumes European Logistics Centre Alsfeld Germany (2017) American Logistics Centre North Carolina USA (2018) 27

Factory expansion Germany RATIONALE FOR INVESTMENT Significant cost benefits arising from: EISENACH-KINDEL FACTORY PHASE II Majority of ADT sales in Northern hemisphere Majority of components and materials from EU Elimination of double logistics costs Completion - 2Q 2019 Reduction of inventory holding costs PHASE I Quicker response to market Elimination of duties on steel and tyres into South Africa 28

Outlook Strongest upswing in global machinery demand since post financial crisis recovery in 2010/2011 29

Outlook 2018 Global mining and construction activities will drive increased BELL equipment demand Improved commodity pricing over the past year will drive higher equipment demand Recent political moves have raised expectations of accelerated growth opportunities in South Africa Well positioned to respond rapidly to Global growth & any domestic (RSA) economic stimulus Inventory levels increased to take advantage of positive global outlook Increased factory throughput drives significant unit cost benefits Factory expansion in Germany to positively impact 2019 costs and volumes New Kamaz trucks and Kobelco excavator range to provide incremental Africa sales volumes for 2018 New Parts distribution centres in Europe and USA will support growth of aftermarket business Rand / US$ and Euro / US$ stronger rates have negative impact on pricing and profitability Diversity strategy for products, industries and geographic regions to minimise cyclicality 30

Leadership changes Leon Goosen to assume the role of CEO of Bell Equipment Limited as proposed on SENS in June 2017 and in terms of the Company s succession plans Gary Bell to step down from the role of CEO on 31 May 2018 and take up the role of nonexecutive chairman of the Group John Barton will step down from his current independent non-executive chairman position and will take up a new role as lead independent non-executive director Above changes ensure adherence to good governance principles and compliance with King IV requirements Gary Bell steps down 31 May 2018 Leon Goosen assumes CEO role 1 June 2018 John Barton Lead Independent Director 1 June 2018 31

www.bellequipment.com Contact Details: Gary Bell BELL the Global Articulated Dump Truck Specialist Chief Executive Tel: 035 9079100 garyb@bell.co.za Leon Goosen CEO designate Tel: 035 9079374 leong@bell.co.za Karen van Haght Financial Director Tel: 035 9079129 karenv@bell.co.za Vanessa Rech Keyter Rech Investor Solutions Tel: 087 3513814 vrech@kris.co.za 32