Quarterly Statement 2021 Q1-Q3

Quarterly statement as at September 30, 2021

Q3/2021

1 Quarterly results

2 Further information

2

1		2
Quarterly results		Further information
1.1	FUCHS at a glance	3	Financial calendar	13
1.2	Business development in the		Contact and imprint	13
	first nine months of 2021	4
	Development of sales revenues in the Group	4
	Development of sales revenues by regions / segments	5
	Group results of operations	6
	Results of operations of the regions / segments	7
1.3	Employees	8
1.4	Outlook	8
1.5	Balance sheet	9
1.6	Statement of cash flows	11
1.7	Share price development of FUCHS shares	12

1.1 FUCHS at a glance

FUCHS Group

Amounts in € million	Q1 - 3 2021	Q1 - 3 2020	Change in%
Sales revenues 1	2,129	1,740	22
Europe, Middle East, Africa (EMEA)	1,276	1,060	20
Asia-Pacific	637	509	25
North and South America	344	281	22
Consolidation	- 128	- 110	-
Earnings before interest and tax (EBIT)	279	203	37
Earnings after tax	198	142	39
Capital expenditure	45	89	- 49
Free cash flow before acquisitions	44	122	- 64
Earnings per share (in €)
Ordinary share	1.42	1.02	39
Preference share	1.42	1.02	39
Employees as at September 30	5,947	5,751	3

1 By company location.

■ The first nine months confirm the positive busi-	■ Full-year outlook confirmed
ness development even when compared with
pre-crisis year 2019	- Sales revenues at upper end of range,
	between € 2.7 billion and € 2.8 billion
■ Covid-19 pandemic impacts year-on-year
figures	- EBIT: € 350 million to € 360 million
- Sales revenues up 22% or € 389 million year-on-
year to € 2,129 million (1,740) after nine months,
with most of this increase driven by volume
- Overproportional earnings (EBIT) increase by
€ 76 million to € 279 million, with EBIT margin
at 13.1%

3

"In a difficult market environment, FUCHS has performed in line with our expectations in terms of sales revenues and earnings (EBIT) in the past three months. Rising raw material prices have been significantly squeezing our mar- gins, but our sales price increases are steadily taking effect. Despite supply bottlenecks and recently reduced economic growth, in the first nine months we significantly improved our earnings not only on the prior year, that was impacted by the pandemic, but also on 2019, with sales revenues of € 2,129 million and EBIT of € 279 million. The automotive sector in the Asia-Pacific region, especially China, was a major contributor to this performance.

Rising raw material prices, the uncertain supply situation for raw materials and packaging materials, and inflation in our selling prices have been tying up net working capital and hence our free cash flow.

We are confirming our forecast from July this year and are expecting sales revenues of around € 2.8 billion and EBIT between € 350 million and € 360 million."

Stefan Fuchs, Chairman of the Executive Board FUCHS PETROLUB SE

1 Quarterly results	2 Further information

1.2  Business development in the first nine months of 2021

1.2 Business development in the first nine months of 2021

Development of sales revenues in the Group

Development of sales revenues in the Group in € million

2,200

389	13	- 13
(22 %)	(1 %)	(- 1 %)

2,000

1,800

1,600

2,129

(22%)

1,400 1,740

1,200

1,000

Q1 - 3 2020	Organic	External	Currency	Q1 - 3 2021
(Q1 - 3 2019: 1,952)

4

Group sales revenues of € 2,129 million (1,740) after nine months, 22% higher than in the same period of the prior year, which was severely impacted by the Covid-19 pan- demic. Sales revenue growth of 9% compared with the pre-pandemic year 2019.

• All regions with significant year-on-year growth rates, but also with growth compared to the first nine months of 2019
• Growth in the first nine months mainly volume-­driven, but increases in our selling prices gain strongly in impor- tance in the third quarter
• € 13 million external growth largely due to acquisitions in North America in the prior year
• Increasingly positive currency effects mainly from Asia-Pacific

1 Quarterly results

2 Further information

5

1.2  Business development in the first nine months of 2021

Development of sales revenues by regions/segments

Europe, Middle East, Africa (EMEA) in € million

				212		2		2
				(20 %)	(0 %)		(0 %)
1,500
1,200
900											1,276
		1,060									(20 %)
600
300
Q1 - 3 2020	Organic	External	Currency Q1 - 3 2021
(Q1 - 3 2019: 1,201)

Asia-Pacific	North and South America
in € million	in € million

		117	0	11				78	11	- 26
		(23 %)	(0 %)	(2 %)				(28 %)	(4 %)	(- 10 %)
700						400
600
						300
500
					637						344
					200	281				(22 %)
400	509				(25 %)
300						100
	Q1 - 3 2020	Organic	External	Currency	Q1 - 3 2021		Q1 - 3 2020	Organic	External	Currency	Q1 - 3 2021
(Q1 - 3 2019: 535)					(Q1 - 3 2019: 320)

EMEA records sales revenue growth of € 216 million or 20% compared with the first three quarters of 2020, which were heavily impacted by the pandemic. Sales revenues of € 1,276 million (1,060), 6% above the same period in 2019.

• Most countries with significant double-digit growth rates
• Overproportional growth in South Africa, Russia, France, Spain and Italy, which were hit particularly hard by the pandemic in the previous year
• External growth driven by the acquisition of a Swedish trading partner with a specialty business negligible, as well as currency effects

Asia-Pacific after nine months € 128 million or 25% above the prior-year period and € 102 million or 19% above the comparable period in 2019.

• China benefits from high demand in the automotive­ sector
• Other countries in the region also contribute to the increase in sales revenues to above pre-pandemic levels
• Strong positive currency effects from Australia and China more than offset the negative currency trend of the South Asia region

North and South America with sales revenues of

• 344 million (281), around 22% above the prior-year period, which was heavily impacted by the pandemic, and 8% above the first three quarters of 2019.

• Rising momentum over the course of the year
• The acquisition of two specialty lubricants manufacturers in the USA in January and November of last year generates external growth of € 11 million
• Strong negative currency effects from both North and South America come to € 26 million combined