Bilfinger SE

2nd Quarter 2021 Results

August 12, 2021

Q2 2021

Continued positive momentum in volumes and earnings

Markets

+16% org.

Orders received

+29% org.

Revenue

€26 million

EBITA adjusted

-€43 million

Free cash flow reported

Outlook 2021

slightly raised

  • Supportive dynamics in most regions
  • Strongest quarter in more than a year
  • With >€1 billion again on very good level
  • Significant contract wins in Technologies and E&M International
  • Strong increase against low prior-year level
  • Significant growth in E&M Europe and Technologies
  • Encouraging development leads to slight increase in full-year expectations
  • Significant reduction in special items
  • Below prior-year after strong first quarter due to growth-related working capital consumption
  • Year-to-dateon prior-year level when correcting for last year's tax deferrals
  • Revenue: Significant growth
  • EBITA margin to exceed 2019 pre-crisis level and reach ~3 percent

Bilfinger SE | Quarterly Statement Q2 2021 | August 12, 2021

page 2

Capital allocation

Balanced and shareholder-friendly approach in line with financial policy

Early debt redemption

€108.5 million

  • Early redemption of promissory note loan (SSD)
    (variable tranches, due April 2022, positive effect on interest: ~€3m p.a.)

Distribution to Shareholders

€250 million

  • Proposal to AGM 2022: Extra dividend of €150m (€ 3.75 per share) on top of floor dividend
  • Share Buyback after AGM 2022: ~€100m
    (max. 10% of shares)

M&A and organic growth

investments

Several hundred million Euros

  • Within the next two to three years
  • Final scope depending on organic progress, M&A valuation multiple and quality of targets

Cash-in of €458m in Apleona proceeds allows for early debt redemption, distribution to shareholders as well as

investments in organic and external growth still confirming investment grade target

Bilfinger SE | Quarterly Statement Q2 2021 | August 12, 2021

page 3

Capital allocation priorities

Financial

Intended

policy

Dividend Policy

M&A Criteria

  • Actual rating S&P:
    BB/outlook stable
  • Policy to maintain conservative level of key financial metrics in the range of an intermediate financial risk profile according to S&P:
    • Adjusted net debt / adjusted EBITDA: 2.0x < target < 2.5x
    • Adjusted FFO / adjusted net debt: 30% < target < 45%
  • Floor of €1.00 is confirmed
  • Sustainable dividend stream going forward: 40 to 60% of adjusted net profit
  • EBITA accretive one year after integration
  • ROCE exceeds WACC two years after integration
  • Asset light with focus on ROCE
  • Immediate start of integration

Mid-term ambition: Investment Grade

Bilfinger SE | Quarterly Statement Q2 2021 | August 12, 2021

page 4

Markets: E&M Europe

Industries

%*

Overall

trend

• Market starts to recover and gains momentum

Chemicals &

40%

• Majority of large investments going forward not impacted by the COVID-19

Petrochem

pandemic

• Deferred work/shutdowns expected to raise activity levels in 2021/22

• ESG climate change drivers still hold, e.g. CO2 limits, emissions,

Energy &

10%

decentralized power generation

Utilities

• Green energy investment projects emerging as anticipated

(e.g. renewables, hydrogen, carbon capture etc.)

• OpEx stabilized and gradual recovery foreseen from a low base

Oil & Gas

20%

• Recovery supported by asset integrity/shutdowns related backlog plus older

asset life extensions

* % of segment revenues FY 2020

Bilfinger SE | Quarterly Statement Q2 2021 | August 12, 2021

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Bilfinger SE published this content on 11 August 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 August 2021 19:35:02 UTC.