ORIOR : Media release (pdf)

Ad hoc announcement pursuant to Art. 53 LR

ORIOR presents substantial improvement in operating results, in line with expectaions

• - Revenues increased 2.3% to CHF 614.1 million thanks to organic growth of 2.0%.

• - EBITDA increased 21.4% to CHF 64.1 million, which corresponds to an EBITDA margin of 10.4%.

• - Attractive dividend policy with a steady increase in the absolute dividend confirmed: Dividend proposal of CHF 2.40 per share.

• - Plant-based capacity expansion nearing completion.

• - ESG: good progress achieved in all relevant sustainability strategy areas. New 3-stage climate goal formulated.

• - Remo Brunschwiler proposed for election to the Board of Directors of ORIOR AG as an additional director.

• - Outlook for 2022: good and broad-based growth expected, also thanks to further recovery in food service channels and travel gastronomy.

ORIOR, the internationally active Swiss food & beverage group, is pleased to present good results for the past financial year that were in line with its expectations, including best operational result ever.

Challenges brought about by the coronavirus pandemic have not got easier and they continue to im-pact many of the Groupʼs business activities. On top of that, the absence rate increased due to quaran- tined employees. But: "We are moving in the right direction in every respect and delivering the desired results. Besides the substantial improvement in all items of the income statement and the significant strengthening of the balance sheet, we also made future-oriented achievements towards non-financial goals," says Daniel Lutz, CEO of ORIOR Group, commenting on the 2021 annual results. Revenues with customers in the food services industry were still relatively flat but steady. In the travel food business (Casualfood), a clear trend reversal has not yet been observed - despite good results during the sum- mer season. The Convenience segment showed impressive double-digit organic growth, fuelled by a positive trend in fresh pasta and very pleasing growth with plant-based specialities in domestic and especially foreign markets. Expansion of ORIOR's production capacity in this product segment will enable it to meet higher demand for these products over the long term. The International segment also showed good growth, thanks to the very pleasing performance of Culinor Food Group and Gesa. Revenues and earnings at the Refinement segment were temporarily but significantly impacted by the introduction to a new IT system. With respect to ESG, a new three-stage climate goal was formulated and instituted. Important elements of the new climate goal include emissions-reducing and efficien-cy-enhancing projects initiated as part of ORIORʼs site management and development strategy, for example investment projects to expand plant-based production capacity or the closure of two small production sites and their integration into larger production sites.

ORIOR Group generated revenues of CHF 614.1 million in the 2021 financial year, which corresponds to an increase of 2.3% from the previous year (2020: CHF 600.3 million). Reported revenue growth reflects orga- nic growth of 2.0% and a currency translation effect of 0.3%. Gross profit rose 5.6%, primarily fuelled by the good revenue growth of the Convenience segment. The consolidated gross profit margin improved from 43.4 to 44.8%, which is back within the multi-year range. EBITDA surged 21.4% to CHF 64.1 million (2020: CHF 52.8 million), which lifted the EBITDA margin to 10.4% (2020: 8.8%). Key drivers of this pleasing develop- ment were the sales growth of high-margin products, the lasting improvement in cost and process flexibility, Casualfoodʼs new financial basis and pandemic-related aid and relief provided by the German government.

Despite a non-recurring, extraordinary impairment of CHF 1.6 million arising from the closure of production sites, EBIT amounted to CHF 35.4 million (2020: CHF 25.8 million). Net profit attributable to ORIOR AG share- holders is CHF 27.3 million (2020: CHF 21.8 million), which corresponds to an increase of 25.1%.

Operating cash flow for the 2021 financial year amounted to CHF 49.3 million (2020: CHF 52.3 million). This decline is primarily attributed to the pandemic-driven reduction in current assets in the previous financial year and the increase in inventory in 2021. A significant improvement in the Net debt/EBITDA ratio was achieved as planned, from 2.87x to 2.09x, thanks to the good operating results.

ORIOR Convenience segment with double-digit growth

The ORIOR Convenience segment with the Fredag, Le Patron, Pastinella and Biotta competence centres generated revenues of CHF 222.8 million, which represents a strong growth rate of 10.4% from the prior- year figure of CHF 201.8 million. This was mostly fuelled by its expanded range of plant-based products, with double-digit growth in Switzerland and especially abroad - which again strengthened Fredagʼs position as one of the most important plant-based manufacturers in Switzerland - and by very good sales of fresh pasta products as well as good sales of core Biotta products and new juice creations. The food service business (restaurants, wholesale channel, take-away, event catering, canteens, schools and school lunch programmes) showed very divergent trends during the year under review. Business in the take-away channel was strong and even topped pre-pandemic levels, while the classic restaurant, canteens and school lunch channels showed only weak signs of normalisation overall. Event catering revenues remained weak.

ORIOR Refinement segment falls short of expectations

The ORIOR Refinement segment with the Rapelli, Albert Spiess and Möfag centres of competence reported a 7.5% decline in revenues to CHF 246.8 million, which is less than expected. This is partly attributed to unfo-reseen challenges in the migration to a new IT system at Rapelli, which temporarily disrupted its supply chain and led to lost sales. At the same time, performance was affected by shifts in the product mix, also due to weak sales in the traditional restaurant channel, as well as by the high year-ago comparison base. Revenues at Albert Spiess and Möfag were in line with expectations. Innovative snack products, regional specialities and organic products sold very well during the period under review.

ORIOR International segment shows pleasing growth

The ORIOR International segment with the Culinor Food Group and Casualfood competence centres, Biottaʼs subsidiary Gesa, and Spiess Europe, a picking, packing and distribution platform for Group products, reported good growth of 7.9% y-o-y to CHF 167.0 million, which reflects organic growth of 6.8% and a positive currency translation effect of 1.1%. Culinor Food Group was the main driver of this good growth, thanks to new listings of innovative freshly prepared meals and the acquisition of new customers, which more than offset the still sluggish recovery in the restaurant channel. Gesa also performed quite well during the period under review. Casualfood, the competence centre specialising in travel food service, reported an only slight increase in revenues from the prior-year level. Its new financial basis and the aid and relief provided by the German go-vernment clearly supported its operating performance. Particular mention is made of the successful partial opening of the Berlin Airport. Casualfood will become the largest food and beverage operator at the new air-port once Terminal 2 goes into operation.

The ORIOR Responsibility - new climate goal formulated

The decision to switch all of the Group's Swiss competence centres to green hydropower enabled ORIOR to achieve its initial climate goal earlier than expected, and actually exceed it by a significant margin. A new climate goal was developed in collaboration with external specialists, and it consists of three stages: In Stage

• 1, climate-neutral operations is targeted for all competence centres in Switzerland from 2022 on. In Stage

• 2, the operations of the entire ORIOR Group will be certified climate-neutral. Stage 3 underscores ORIORʼs commitment to Switzerlandʼs climate target as well as the Paris agreement and aims to reach net zero emis- sions by 2050. To achieve this 3-stage climate goal, comprehensive efficiency improvement measures will be introduced and proactive, determined efforts will be made to align site development investment projects with a reduction in the company's carbon footprint.

During the year under review, progress was achieved in all areas of activity outlined in ORIORʼs sustainability strategy: The Group-wide Code of Conduct was revised, which included the introduction of a independent complaint system and a Group-wide harmonised and future-oriented talent management system, and ORIOR joined United Against Waste, a non-profit food industry association. The intensification of communications with external ESG rating agencies also produced desirable outcomes. In this context, ORIOR participated in the comprehensive program operated by CDP (formerly Carbon Disclosure Project) and received a good B rating. As for good governance measures, progress was made on several fronts, including the introduction of a Long Term Incentive Plan and of minimum shareholding requirements for members of the Board of Directors and the Executive Committee that strengthen ESG priorities in general and within the framework of short- and long-term variable compensation (e.g. reduction of food waste and lowering of our greenhouse gas emissions and water consumption). Furthermore, the Board of Directors of ORIOR AG will ask share- holders at the upcoming Annual General Meeting to approve several proposals anchoring sustainability and diversity into ORIORʼs Articles of Association. It will also propose reducing and aligning the number of current-ly permitted outside mandates in accordance with comparative data and stakeholder expectations.

Attractive dividend policy with steady increase in the absolute dividend confirmed

The Board of Directors will propose a dividend of CHF 2.40 per share at the Annual General Meeting on 5 April 2022 (previous year: CHF 2.33). The proposed dividend will be paid in equal amounts from retained earnings (ordinary dividend subject to withholding tax) and from capital contribution reserves (withholding tax-free capital dividend).

Key figures for ORIOR Group

in CHF thousand	2021	∆ in %	2020
Net sales	614 109	+2.3%	600 313
EBITDA	64 090	+21.4%	52 803
EBITDA as % of net sales	10.4%	8.8%
EBIT	35 351	+36.9%	25 814
EBIT as % of net sales	5.8%	4.3%
Profit for the period	27 285	+25.1%	21 805
Profit for the period as % of net sales	4.4%	3.6%
Cash flow from operating activities	49 322	- 5.7%	52 290
Net debt / EBITDA ratio	2.09	2.87
Equity ratio	21.3%	18.1%
ROCE	14.2%	10.0%
Dividend per share in CHF	2.40	2.33
Stock market capitalisation 31.12.	588 162	491 419
Av. number of employees (FTE)	1 980	2 028
Outlook

We expect good organic revenue growth of 4.0 to 6.5% in the current financial year. Strong growth is ex- pected from the International segment. At Casualfood, we anticipate a surge in the travel food business - especially from the summer months on - and Culinor Food Group should continue to grow thanks to its new line of freshly prepared meals and expanded customer base. A good course of business is expected at the Convenience and Refinement segments, with corresponding contributions to the Group's revenue growth. Operating profitability (EBITDA margin) should be held at 10%-plus, despite higher input costs, ongoing nor-malisation of the pandemic effects, sustained growth, and productivity gains in the wake of site development efforts and the expansion of plant-based production capacity.

in CHF	Guidance 2022*	2021
Net sales	639 to 654 m	614.1 m
EBITDA margin	10.0 to 10.3%	10.4%
Tax rate	15.0 to 19.0%	15.0%
CapEx	29 to 30 m	21.5 m
* at constant exchange rates
Board of Directors

Rolf U. Sutter, Chairman of the Board of Directors of ORIOR AG, is standing for re-election for his planned last term of office.

Remo Brunschwiler will be proposed for election to the Board of Directors as an additional member at the Annual General Meeting of 5 April 2022 to broaden and strengthen the Board of Directors. Remo Brunschwiler is a remarkable personality with extensive national and international experience at senior management level.

Further information will be provided when the invitation to the Annual General Meeting is sent out.

Annual General Meeting 2022

We are very pleased that pandemic restrictions are now being eased and we can breathe a sigh of relief after long two years, and we hope that this difficult period is about to come to an end. Nevertheless, a large gather- ing of several hundred participants in the form we would like is simply not justifiable for us at the moment. In accordance with the Covid-19 Ordinance 3 of the Federal Council, the Board of Directors of ORIOR AG has therefore decided to hold the Annual General Meeting on 5 April 2022 without the physical presence of the shareholders. From todayʼs standpoint, it is very likely that we will be able to meet in person again at the Annual General Meeting next year and we are looking forward to that.

Thank you

The year 2021 will also go down in history as a year marked by Covid-19. The overall situation has been dis-tressing and demanded patience, resilience and mutual consideration from all of us. Even though life almost came to a standstill at times, the world around us continued to spin - maybe even faster than before. We thank our employees for their tremendous dedication and hard work during the past year and our customers, suppliers and business partners for the good relationships we share with them. We also deeply appreciate the trust our shareholders have placed in ORIOR.

Invitation to video conference

This Wednesday, 2 March 2022, at 3.00 pm CET, CEO Daniel Lutz, CFO Andreas Lindner will hold a Teams video conference to present the 2021 results.

English conference call, 2 March 2022, at 3.00 pm CET:

Join via Teams: >> Click here to participate in the conference << Join via phone: [phone], conference-ID: 288 449 193#

German conference call, 2 March 2022, at 10.00 am CET:

Join via Teams: >> Click here to participate in the conference << Join via phone: [phone], conference-ID: 512 661 956#

If you have any organisational questions regarding the video conference or problems with the link, please contact: Judith Zobrist,[e-mail], direct line [phone]

Download links

• >> Full Year Report 2021

• >> Alternative Performance Measures Full Year 2021

• >> Presentation on Full Year results

• >> Media Image gallery

Contact

Milena Mathiuet, Chief Corporate Affairs Officer, Telefon [phone], E-Mail: [e-mail]

Investor Calendar

5 April 2022: Annual General Meeting ORIOR AG

16 August 2022: Publication half year results and Half Year Report 2022

ORIOR - Excellence in Food

ORIOR is an internationally active Swiss food and beverage group. ORIOR Group represents a family of companies with a strong regional footing and popular brands and products that claim leadership positions in flourishing niche markets at home and abroad. ORIORʼs decentralised business model allows every company in the Group to maintain their specific culture and identity, tailored to their workers and customers, and to create unique product, brand and con- cept worlds. They are joined together by a passion for culinary delights and true craftsmanship, a spirit of innovation directed towards market trends and needs, workforce entrepreneurship and strong common values.

Our management approach combines strategic thought and action at Group level with a high degree of autonomy at each centre of competence. The ORIOR 2025 Strategy with its strategic pillars and the Group-wide key strategic initiatives - the ground-breaking "ORIOR New Normal", the intradisciplinary "ORIOR Champion Model" and the syn- ergistic "ORIOR Bridge-building" initiative - are critical success factors that will ensure steady value creation for all stakeholders.

Motivated employees who enjoy what they do and who assume responsibility for themselves and their work are the catalyst for unlocking the extraordinary. We embrace uniqueness and premium quality in our quest to surprise and thrill our consumers time and again with delightful and delicious creations. Our vision is nothing less than Excellence in Food.

ORIOR is listed on the SIX Swiss Exchange (ORON, ISIN CH011 1677 362, LEI 5067 0020 I84Z A17K 9522). Further information is available atwww.orior.ch.

Note to performance measures

ORIOR uses alternative performance measures in this media release which are not defined by Swiss GAAP FER. These alternative performance measures provide useful and relevant information regarding the operative and financial performance of the Group. The document "Alternative Performance Measures Full Year 2021", which is available onhttps://orior.ch/en/financial-reports,defines these alternative performance measures.