DMG MORI : Speech & Presentation 119th Annual General Meeting (PDF-Download 3.5 MB)

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E M P LOY E E S

119th Annual

General Meeting

Speech of the Chairman of the Executive Board

Christian Thönes

7th May 2021

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Dear Ladies and Gentlemen,

I am very pleased that you are participating in the virtual 119th Annual General Meeting of DMG MORI AKTIENGESELLSCHAFT. Last year we had hoped to be able to meet in person this year. However, under the given circumstances, it is right to hold the AGM virtually once again. Health and safety have absolute priority.

But now, first of all: welcome - also on behalf of my colleagues on the Executive Board. Today, we are concentrating on what is possible and what matters. What drives us. Today we can proudly say: Our strategic fit of automation, digitization and sustainability is more suitable than ever and fits perfectly into the "Next Normal"! Our strategy is paying off. Especially under extremely difficult conditions, we can see how resilient and powerful DMG MORI is.

We look back on a challenging year 2020. The world has changed rapidly within a very short time. It is clear: Corona was and is a catalyst - the pandemic has released unimagined forces. Many things had to be rethought completely, made more digital and, above all, faster within the shortest time. At DMG MORI, the pandemic has confirmed and accelerated our strategic direction in particular.

119th Annual General Meeting // Speech of the Chairman of the Executive Board Christian Thönes

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A year ago, I said at this point: "2020 will be even more challenging than

2019". This has proven to be true. 2020 was an exceptional year: Corona pandemic plus economic weakness, geopolitical uncertainties, industrial restructuring. Also, DMG MORI could not escape these consequences. Order intake, sales revenues and result were clearly below the record year 2019.

Nevertheless, I can also report many good things today. In view of this exceptional year, we have, on the one hand, achieved a strong result. On the other hand, we have fulfilled our forecasts. We have secured financial stability. And we have significantly increased our resilience!

Times of crisis are times of leadership. Crisis management cannot and must not be delegated. At DMG MORI, we have set two priorities:

• the health and safety of our employees, customers and partners, and
• the health of our company.

We provide our employees with extensive testing options. DMG MORI will also be one of the first companies to offer its employees vaccinations - as soon as this becomes possible.

119th Annual General Meeting // Speech of the Chairman of the Executive Board Christian Thönes

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The negative effects of the crisis could successfully be limited by rapidly introduced and consistently implemented measures to reduce costs, increase flexibility and secure liquidity - while maintaining a stable budget for research and development. We focus on our strengths. We will make

DMG MORI even more innovative, digital and powerful.

As part of "Global One Company", with clearly aligned sales and service structures worldwide, we manage the home market Germany and the EMEA region (Europe, Middle East, Africa) as well as the Chinese and Indian markets. Through DMG MORI COMPANY LIMITED, we are also successful in Japan, North and South America, and other parts of Asia. Together we have 138 sales and service locations all over the world, thereof 15 production plants. Every day we are present for over 100,000 customers from 54 industries in 86 countries.

DMG MORI has a unique position:

• with a broad machine and automation portfolio,
• a global footprint for direct customer contact,
• far-reachingservice offerings and integrated digitization solutions.

Everything end-to-end and sustainable from a single source - worldwide!

119th Annual General Meeting // Speech of the Chairman of the Executive Board Christian Thönes

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Order Intake

Demand for machine tools declined significantly due to the already weak global economy and rapid spread of the corona virus. Under these extremely difficult global market and economic conditions, DMG MORI achieved an order intake of € 1,599.4 million, which, as expected, was significantly below the record year 2019 (-38%; previous year: € 2,563.1 million). In the core business with machine tools and services - excluding the Energy Solutions division - the decline was -34%.

Sales Revenues

The development of sales revenues was also marked by the corona pandemic. As you know, in April 2020, there was a temporary partial shutdown at our European production plants and in some areas of selected sales and service companies for health protection. In addition, the service and spare parts business was affected by increasing travel restrictions over the course of the year. As expected, sales revenues of

• 1,831.3 million were significantly below the previous year (-32%;
• 2,701.5 million).

119th Annual General Meeting // Speech of the Chairman of the Executive Board Christian Thönes

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