Applus Services S A : 2021 First Quarter Results Presentation

Applus+ Group

Q1 2021 Results Presentation

Fernando Basabe	Chief Executive Officer
Joan Amigó	Chief Financial Officer

10 May 2021

Disclaimer

This document has been prepared by APPLUS SERVICES, S.A. ("Applus" or the "Company") exclusively for its use during a presentation of financial results; therefore it cannot be disclosed or made public by any person or entity with an aim other than the one expressed above, without the prior written consent of the Company. The information and any opinions or statements made in this document have not been verified by independent third parties, nor audited and no express or implied warranty is made as to the impartiality, accuracy, completeness or correctness of the information or the opinions or statements expressed herein. The information contained in this document on the price at which securities issued by Applus have been bought or sold, or on the performance of those securities, cannot be used to predict the future performance of securities issued by Applus.

This document may contain statements that constitute forward looking statements about Applus. These statements are based on financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations, which refer to estimates on, among others, future growth in the different business lines and the global business, market share, financial results and other aspects of the activity and situation relating to the Company. Although Applus believes that the expectations reflected in such forward-looking statements are reasonable, investors and holders of Applus shares are cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond the control of Applus, that could cause actual results and developments to differ materially from those expressed in or implied or projected by the forward-looking information and statements. Such forward looking statements, by its nature, are not guarantees of future performance and involve risks and uncertainties, and other important factors that could cause actual developments or results to differ from those expressed or implied in these forward looking statements. These risks and uncertainties include those discussed or identified in fuller disclosure documents filed by Applus with the Spanish Market Regulator, the Comisión Nacional del Mercado de Valores. Except as required under applicable law, Applus does not undertake to publicly update or revise these forward-looking statements even if experience or future changes make it clear that the projected performance, conditions or events expressed or implied therein will not be realized. This document contains summarized information or information that has not been audited. In this sense this information is subject to, and must be read in conjunction with other publicly available information including if necessary any fuller disclosure document published by Applus. Nothing in this presentation should be construed as a profit forecast. Results Report includes the list and definition of the Alternative Performance Measures (APMs) used both in this presentation and the Results Report, according to the guidelines published by the European Securities and Markets Authority (ESMA).

Neither this document nor any part of it constitutes a contract, nor may it be used for incorporation into or construction of any contract or agreement. This document does not constitute an offer or invitation to purchase or subscribe shares, in accordance with applicable laws and regulations, nor a request for any vote or approval in any other jurisdiction, nor an invitation or inducement to engage in investment activity. No offering of securities shall be made in the United States except pursuant to registration under the U.S. Securities Act of 1933, as amended, or an exemption therefrom. Nothing contained in this presentation is intended to constitute an invitation or inducement to engage in investment activity for the purposes of the prohibition on financial promotion in the U.K. Financial Services and Markets Act 2000.

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HIGHLIGHTS		FINANCIAL REVIEW		BUSINESS REVIEW		SUMMARY & OUTLOOK

Encouraging start to the year with outstanding Auto and recent acquisitions performance

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HIGHLIGHTS		FINANCIAL REVIEW		BUSINESS REVIEW

Highlights

Encouraging start to the year with Auto and Labs recovered to pre-COVID-19 levels

Some business lines within E&I and IDIADA performing well, partly offsetting the continued impact from COVID-19

Margin on good recovery path

SUMMARY & OUTLOOK

• accretive to financial performance and portfolio evolutionAcquisitions in 2020 significantly

• Leverage and liquidity are comfortably supporting the growth strategy

• Reiterate the outlook

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HIGHLIGHTS		FINANCIAL REVIEW		BUSINESS REVIEW		SUMMARY & OUTLOOK

Highlights

Revenue

Operating profit 2

Operating profit margin 2

€402.1 million down 3.5% (-6.8%organic1)

€35.1 million up 26.7% (+20.5% organic1)

8.7% (6.6% in Q1 2020)

Free cash flow 2

Net debt/EBITDA ratio 3

€13.1 million down 55.6%

2.9x and liquidity of €530 million

1 Organic is at constant exchange rates 2 Adjusted for Other Results and amortisation of acquisition intangibles 3 Excluding IFRS 16

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