Delfingen Industry : Net sales for 2nd quarter 2018

Consolidated sales at the end of June 2018

In millions euros

20181 2017

Published

Net sales

108.1 107.1

0.9 %

In millions euros	20181	2017	Published
Automobile	85.6	83.8	2.1 %
Specialty markets	22.5	23.3	- 3.4 %

1 Unaudited

Organic growth	Exchange rates impact
9.6 %	- 8.7 %

Organic growth	Exchange rates impact
11.0 %	- 8.9 %
4.6 %	- 8.0 %

Automotive market: growth is 11 % in a market that increased by 1.8 %

The net sales at constant exchange rates went up by + 11 % in the first quarter (+ 2.1 % at constant perimeter and constant exchange rates) at a period when the global automotive production went up by + 1.8 %.

Net sales in the "on-board networks protection" business - which account for 60.2 % of overall sales - went up by 6 % at constant exchange rates (- 2.6 % in published data).

The "technical tubing for fluid transfer" business went up by + 50 % at constant exchange rates (+ 37.8 % in published data), with the production of our plant in Celaya (Mexico) that ramp up.

The "mechanical parts assembly" business went down by - 1 % at constant exchange rates (- 5.8 % in published data).

The impact of the exchange rates on - Automotive - sales was unfavorable of - 7.4 M€ at the end of June mainly due to the parity (€/$).

Specialty markets

Sales in the specialty markets went up by + 4.6 % at constant exchange rates. The exchange rates had a negative impact of - 8 % conducting to a sales decrease of - 3.4 %.

This sales growth at constant exchange rates was due to:

• • the sharp growth of Drossbach North America (+ 6.9 %);

• • the growth of non-automotive "electrical and thermal insulation" business (+ 8.8 %);

• • the decrease of the non-automotive "technical textiles" business (- 2.6 %).

The impact of the exchange rates on - Specialty markets - sales was unfavorable of - 1.9 M€ at the end of June mainly due to the parity (€/$).

The sales increase at constant exchange rates in 2018 confirms DELFINGEN growth potential, in line with its strategic plan: leadership in on-board networks protection and diversification in fluid transfer technical tubing.

At constant exchange rates, sales per region evolved as follows:

• • + 8 % in Europe-Africa (37.8 % of - Automotive - sales) in a market that went up by + 2.2 %2;

• • + 14.3 % in Americas (46.9 % of - Automotive - sales) in a market that went down by - 2.9 %2;

• • + 5.5 % in Asia (15.3 % of - Automotive - sales) including + 30.1 % in India and + 4.8 % in China, in a market that went up by + 2.8 %2.

EURONEXT GROWTH Paris ISIN Code: FR 0000054132 Mnemonic: ALDEL

With the increase of media content and safety constraints, the development of hybrid and electric engines along with the advent of connected and autonomous cars, wire harnesses have truly become the nervous system of a vehicle. DELFINGEN mission is to protect it by providing even more innovative solutions and with more added value.

2 Source: IHS July 2018

Next press release: 09/10/2018, Annual results Contact: M. Christophe CLERC: +33 (0)3.81.90.73.00

www.delfingen.com