Waberer International : 2024 First Quarter Results - Presentation

WABERER'S GROUP

Q1 2024 results

Budapest, 15 May 2024

BUILDING THE NUMBER ONE COMPLEX LOGISTICS SERVICE PROVIDER IN CENTRAL AND EASTERN EUROPE.

COMPLEXITY I EXPANSION I SUSTAINABILITY I STABILITY I PEOPLE-FOCUSED

Disclaimer

This presentation may contain forward-looking statements. Statements that are not historical facts, including statements

about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefore should not have undue reliance placed upon them. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Forward-looking statements involve inherent risks and uncertainties. We caution you that a number of important factors could cause actual results to differ materially from those contained in any forward-looking

statement. Such factors are described in, among other things the 2023 Annual Report, dated 12 April 2024, and available

on our website at https://www.waberers.com.

2

AGENDA

• Status of strategic projects & outlook for 2024
• Main resolutions of the Annual General Meeting & new shareholder structure
• Group and segment level results
• Reporting of jointly controlled entities

Key messages

1. Record consolidated revenue (EUR 196.7 m) - revenue increase driven segments with higher profitability margin (RCL and insurance segment)

1. EUR 8.5 m quarterly Group level EBIT (in line with the average of the previous quarters; EUR 2.8 m decrease vs. Q1 2023) - further expansion of the Contract Logistics (RCL) and Insurance segments, decrease due to weak demand in Europe and a significant increase in tolls in the Transportation and Freight Forwarding segment (ITS)

1. Milestones of strategic development objectives in Q1 2024 - Waberer's Group has successfully completed the acquisition of 51% of the shares of PSP Group (leading player in rail logistics), and 55% of the shares of MD International (Serbian FMCG distributor company) and the development of the Ecser logistics center development is in the final phase

IV. Unchanged annual EBIT forecast - EUR 40+ m, similar to last year's record result

Delivering Results with Strategy 2027

Contract Logistics (RCL)

International

Transportation &

Freight Forwarding

(ITS)

2023

Focus warehouse logistics

in Hungary

Value added services 38% of revenues

Freight forwarding 26% of revenues

Focus on Road Transportation

2027

Focus: CEE region

Significant in-house and

e-commerceimprovement and powerful

own warehouse capacity

Value added services 60% of revenues

Freight forwarding 35% of revenues

Focus on Multimodal Transportation

Insurance		Generally MTPL and casco
		insurance service portfolio

Expanded non-life insurance service

portfolio

with potentially involving a partner

Strategic milestones of 2024 and outlook

Annual EBIT expectations of more than EUR 40 million, with strong Q3 and Q4 results expected; strategic projects already closed with an expected annualised EBIT potential of EUR 4 - 5 million

Status of Strategic projects

Contract Logistics (RCL)

Transportation & Freight Forwarding (ITS)		Insurance

• MDI (Serbia) acquisition
• • Closing: March 2024
  • P&L impact from Q2 2024
• Ecser warehouse development
• • Launch of operations: Summer 2024
  • P&L impact: from Q3 2024

• PSP (rail logistics) acquisitions
• • Closing: February 2024
  • P&L impact from Q1 2024

• Expected results announcement of the sale of Posta Insurance companies during the summer of 2024

• Debrecen warehouse development
• • Planning phase
  • Completion in 2025

						Consolidated EBIT expectations
			Actuals 2023		Budget 2024			•	Q1 results were affected by a sharp increase in transit
									costs in the ITS segment, which will be reflected in
									service prices from the upcoming quarters
								•	European industrial production and Hungarian
									consumption data may stabilise in the second half of
									the year
			Q1		Q2	Q3	Q4	•	Combined annualized EBIT generation capability of
									MDI, PSP and the Ecser warehouse is EUR 4-5
				2024 annual EBIT expectation: similar to 2023, EUR 40+ m
						million	6

Main resolutions of the AGM and new shareholder structure

Increasing dividend payments, new governing body members, MOL Group's purchase of a 15% stake

Election of new members of the governing bodies

New shareholder structure

Board of Directors:		Supervisory Board:
		3%
Zsolt Barna - chairman		Éva Hegedűs - chairman
Barna Erdélyi		Krisztián Hall	30%				BDPST Group
Szabolcs Tóth - new member		David Thompson	52%		MOL Group
Barlai Róbert		Botond Rencz - new member		Other insitutional and retail investors
György Dr. Bacsa - new, non-		Sándor Székely					Treasury shares and shares owned by the
	15%				ESOP organization
executive member		AttilaVerestóy

Decision on the 2024 dividend

Dividend amount: HUF 120 per share, 20% annual increase

Dividend payment start date: 3. July 2024

MOL Group's acquisition of a 15% stake has been closed

Based on the strategic agreement signed at the time of the acquisition, the range of logistics services provided to MOL Group has been further expanded

Trend of financial performance on quarterly basis

Quarterly EBIT performance in line with the average of the last 3 years, increase in indebtedness due to acquisitions and logistics centre development

Group EBIT (EUR mn)

												12.1			14.3	-24%
										10.3	9.7	11.2			9.3
								8.3						8.0	8.5
						7.7
						6.6
				3.5	4.5			4.6
			1.2
0.1
		-2.7
Q1 20	Q2 20	Q3 20	Q4 20	Q1 21	Q2 21	Q3 21	Q4 21	Q1 22	Q2 22	Q3 22	Q4 22	Q1 23	Q2 23	Q3 23	Q4 23	Q1 24

Group net indebtedness and leverage (EUR mn)

	187	176											164	182	203	214	237
	161							149	145	150
			123	120			122	127
				115	112
	3.2	3.1	2.9	2.2	2.1	1.7	1.6	1.6	1.7	2.0	1.8	1.9	1.9	2.0	2.2	2.2		2.5
	Q1 20	Q2 20	Q3 20	Q4 20	Q1 21	Q2 21	Q3 21	Q4 21	Q1 22	Q2 22	Q3 22	Q4 22	Q1 23	Q2 23	Q3 23	Q4 23	Q1 24

Consolidated quarterly results

Record quarterly revenue, consolidated EBIT in line with the average of previous years

Group revenue (EUR mn)

	+11%
177	197
Q1 23	Q1 24

• Group revenue
• • 11% increase resulted in revenue of EUR 197 m, a record quarterly figure for the Group.
• Group EBIT
• • Similar to the previous quarters' average EBIT, resulting in EUR 8.5 m performance.
  • Further improvement in the contract logistics and the insurance segment's performance, with weak demand in Europe leading to a decrease in the transportation and freight forwarding segment.
• Group Net Income
• • Lower net income due to negative (non-cash,non-realised) FX effects, lower interest income and higher leasing related interest costs.

Group EBIT (EUR mn)

	-24%
11.2
	8.5
Q1 23	Q1 24

Group net income (EUR mn)

					Main drivers:
			-89%		• Change in EBIT: - 2.7 m EUR
				•	FX impact: -3.9 m EUR
	10.4			•	Deferred taxes: - 0.9 m EUR
					• Decreasing interest income &
						increasing lease related
						interest costs: - 1.8 m EUR
				1.1
	Q1 23		Q1 24	9

Quarterly segment results

RCL and insurance (segments with major strategic focus in the Group) have further improved their results, partly offsetting the weaker quarterly performance of the international transportation business that faced market challenges

	ITS (EUR mn)
	+6%		-211%
111	118	1.8
23 Q1	24 Q1		-2.0
Revenue	23 Q1	24 Q1
	EBIT
	RCL (EUR mn)

ITS

• Increasing revenue despite the weak European demand
• Sharp increase in toll fees and transit costs resulted in decreasing EBIT performance

RCL

• 2nd highest EBIT performance in the past three years
• Expanding in the in-house logistics business and acquiring new domestic transportation customers

Insurance

• 15% increase in the contract portfolio
• Record quarterly segment EBIT due to high investment result

Insurance (EUR mn)

	+17%
50	59
23 Q1	24 Q1
Revenue

	+15%
4.0	4.6
23 Q1	24 Q1
	EBIT

	+22%
19	23
23 Q1	24 Q1
Revenue

	+9%
5.4	5.9
23 Q1	24 Q1
	EBIT

Note: ITS: International Transportation and Freight Forwarding segment; RCL: Regional Contract Logistics

10