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Rosenbauer Group

Person

Date

Rosenbauer GroupCapital Markets Day 2018

Dieter Siegel | CEO

Sebastian Wolf | CFO

Andreas Zeller | CSO

Daniel Tomaschko | CTO June 29, 2018

Agenda

1. Rosenbauer Group at a glance

2. Market development and strategic priorities

3. 1Q18 Financial results

4. Focus “Sales”

5. Focus “Manufacturing”

6. Outlook

Rosenbauer Group at a glance

Full-range supplier(product segments and % of Group revenues; as of Dec 31, 2017)

Municipal Vehicles

46%

Industrial Vehicles

4%

ARFF Vehicles

8%

Aerials

18%

Fire & Safety

Equipment

9%

Stationary Fire

Protection

3%

Firefighting

Components

3%

Customer Service

6%

Others 3%

Revenues 2017: € 847.6 million EBIT 2017: € 21.1 million

Global network of production facilities,

sales and service offices

AUSTRIALeonding

Neidling

Graz

Telfs

FRANCEChambéry

GERMANYKarlsruhe

Luckenwalde

Mogendorf &

Gladbeck

Viersen

ITALYRovereto

POLANDWarsaw

RUSSIAMoscow

EUROPESLOVENIARadgona

SPAINMadrid

Linares

SWITZERLANDOberglatt

UKHolmfirth

Lyons / South-Dakota

Fremont / Nebraska

Wyoming / Minnesota

Rosenbauer America

AMERICA

SAUDI-ARABIADschidda

KAEC

Riad

SOUTH-AFRICAHalfway House

MIDDLE EAST/

AFRICA

CHINAKunming

SINGAPORESingapore

PHILIPPINESMandaluyong City

BRUNEI

AUSTRALIABrisbane

ASIA/

AUSTRALIA

Production

Sales / Service

World firefighting vehicle market in 2016

■ Global annual volume € 4,259 million (2015: € 4.353 million)

■ Appr. 19,500 vehicles (2015: appr. 22,000)

■ Buyers are mainly public institutions

■ Rosenbauer Group worldwide No. 1

■ Share of revenues of the top-10-companies appr. 80%

0 100 200 300 400 500 600 700 800 900

Chase Enterprise / Thailand (2016)

Iturri Group / Spain (2015)

Ziegler Group ****) / Germany (2016)

Magirus Group***) / Germany (2016)

Spartan**) / USA (2017)

Naffco / Dubai (2016)

REV Group*) / USA (2016/17)

Morita Corp / Japan (2016/17)

Pierce Oshkosh / USA (2016/17)

Rosenbauer Group / Austria (2017)

Ranking of fire fighting vehicle manufacturer (revenue in € million)

*Owner of E One, KME, Ferrara

** Acqúisition of Smeal inJanuary 2017, annual turnover of approx. 100 m$

*** Owner CNH Industrial Group

**** Owner CIMC / China

Source: Latest annual financial statements / estimates / UNO statistics 2016 (May 2018)

New Board

CTO

Daniel Tomaschko

Supply Chain Mgmt.,

Central Technics,

Center of Competence

Operations,

Stationary Fire

Protection

CFO

Sebastian Wolf

Audit, Controlling,

Accounting/Tax,

Treasury,

Legal & Compliance &

Insurance, Export

Finance, Investor

Relations/CSR,

IT

CSO

Andreas Zeller

Area CEEU

Area NISA

Area APAC

Area NOMA

Area MENA

Customer Service

Sales Administration

CEO

Dieter Siegel

Corporate Development,

Human Resources,

Strategy, Innovation &

Marketing,

Group Communication,

Fire & Safety Equipment

Product Management

Market development and strategic priorities

World firefighting vehicle market 2007-2016

Fire-fighting vehicle

market worldwide

Approximate number

of vehicles in thousands

Fire-fighting vehicle

market worldwide

Global annual volume

in EUR billion

Rosenbauer Group

Revenues

in EUR million

16

2007 0908 1412 201610 1311 15

15-1615-1616 16

15

17

21.5 22

19.5

+2.6%

p.a.

3.7

13082007 09 10

2.8

11

3.12.8

1412 15

4.2

2016

2.8

4.3

3.0 3.0

3.4

+4.9%

p.a.

645.1

201714131211200708

847.6

09 10

541.8

15 16

426.1

500.3

595.7

541.6

737.9

784.9

865.4

870.8+8.3%

p.a.

■ Over the last ten years the global firefighting vehicle market has constantly outperformed world GDP, which

grew at an annual average rate of 3.1%

■ The market has been spared any kind of disruption and showed a stable development instead

■ In recent years customers revealed a strong tendency towards higher quality and more expensive vehicles

Source: Figures published in annual reports / estimates / UN statistics / World Bank

Selected market-driving megatrends

■ Global warming

■ Higher scale of devastation

from hydrological and

meteorological incidents

■ Non-fire emergency calls to

become more relevant

■ Tighter rules on exhaust

emissions, local bans of

diesel cars

■ New materials to be applied in

vehicle construction

Neo ecology / Mobility Urbanisation Silver Society / Gender Shift

■ Since 2007 more than half of

the world population lives in

cities

■ This portion will grow to 60%

by 2030 and to 74% by 2050

according to the UN

■ Traffic density will increase

further

■ Emergency vehicles will need

to have compact dimensions,

high agility and excellent

navigation / communication

tools

■ Demographic development

will significantly influence the

availability of firefighters

■ Demographies to align across

the globe, besides Africa

■ In addition ‘individualisation’

threatens volunteerism and

unpaid work

■ Redefinition of usability and

functionality of fire trucks and

other fire-fighting equipment

Selected market-driving megatrends

Neo ecology / Mobility Urbanisation Silver Society / Gender Shift

… are changing the area of deployment of fire brigades, their

physical environment, their techniques, the composition of personnel

and the requirements of working tools.

Strategic priorities

Extend global technology leadership, needs-oriented innovation■ Anticipating new trends early and integrating them rapidly into product

development

■ Continuous improvement thanks to an open innovation culture

■ Sustainability

Define state-of-the-art and develop customer demand actively■ Transferring new technological solutions to broader model series

■ Functionality / usability, quality, design, brand

■ Create a unique customer experience, lower price sensitivity

Enhance efficiency and optimise the cost structure■ Reducing product complexity, economies of scale

■ Standardisation of components and processes, automatisation

■ Real-time monitoring of manufacturing

Focused growth■ No growth for itself

■ But: Consolidating recent business expansion in order to prepare

for suitable business opportunities

■ Strengthening local market presence

Developing future e-technology

■ CFT - A concept study of the fire truck of the future

■ Low emissions based on alternative driving concept

■ Multi-functionality allows for universal application

■ Ergonomically optimised expansion through new kind of fire truck

architecture

■ Positive feedback from customers

■ New company Rosenbauer E-Technology Development GmbH (RED)

for the development of an e-kit for fire trucks, founded on CFT

concept

■ Series development initiated;

in talks with model regions

Q1 2018 Financial results

Highlights Q1 2018

Vehicles 80% (79%)

Equipment9% (9%)

Customer Service6% (5%)

Other2% (5%) SFP

3% (2%)

CEEU28% (35%)

NISA12% (7%)

MENA11% (8%)

NOMA31% (30%)

APAC15% (18%)

SFP3% (2%)

■ The global economy has carried its

momentum into the new year

■ Correspondingly, the global firefighting

industry has also shown a steady

development

■ Consolidated revenues of Rosenbauer

Group decreased to € 162.4 million in Q1

2018* (Q1 2017: € 181.9 million) mainly due

to the first time application of IFRS 15

■ Higher volumes in Western Europe and the

Middle East, less deliveries in some

Central and Eastern European and Asian

countries

■ Significant improvement of EBIT thanks to

stronger production output compared to

the previous year

■ Dynamic growth of order intake persisting

*) Impact on revenues appr. € 20 million, EBIT appr. € 3 million in Q1 2018

Financial figures (in € million)

€ million 1-3/2016 1-3/2017 1-3/2018

Revenues 172.0 181.9 162.4 *) -10.7%

EBIT 3.4 -3.1 1.1 -

EBIT margin 2.0% -1.7% 0.7% -

EBT 3.6 -2.8 0.9 -

Net profit for the period 2.8 -2.6 0.8 -

Cash flow from

operating activities-53.6 -49.7 -19.9 60.0%

*) First-time application of IFRS 15: switch from recognition of revenues over time (percentage of completion method) to recognition at a specific point of

time (completed contract method); Impact on revenues appr. € 20 million, EBIT appr. € 3 million in Q1 2018

Revenues and EBIT quarterly (in € million)

191,3

225,6210,6

237,9

172,0

211,3219,5

268,0

181,9

211,7 210,9

243,1

162,4

6,0

15,9

5,7

23,0

3,4

15,5

8,5

19,6

5,8

12,1

6,3

1,1

0

5

10

15

20

25

30

0

50

100

150

200

250

300

Q1/1

5

Q2/1

5

Q3/1

5

Q4/1

5

Q1/1

6

Q2/1

6

Q3/1

6

Q4/1

6

Q1/1

7

Q2/1

7

Q3/1

7

Q4/1

7

Q1/1

8

Revenues EBIT

-3.1

Accounting ratios

in € million / % Mar. 31, 2017 Dec. 31, 2017 Mar. 31, 2018

Total assets 678.5 625.4 673.0

Equity ratio 35.1% 38.2% 33.5%

Capital employed (ø) 494.3 472.6 483.6

ROCE -0.6% 4.5% 0.2%

ROE -1.2% 8.8% 0.4%

Net debt 227.4 184.1 211.3

Gearing ratio 95.4% 77.0% 93.6%

Investments and depreciation and

amortization (in € million)

6,2

5,2

6,1

3,7

5,1

2,7

3,4 3,4

3,94,1

Q1 2014 Q1 2015 Q1 2016 Q1 2017 Q1 2018

Investments Depreciation and amortization *)

The focus of investment activity in Q1 2018 was the reorganization of Leonding plant I, robotization of ladder production in Karlsruhe (GER) and the acquisition of the formerly rented production site in Wyoming (MN)

*) refers to property, plant & equipment and rights/licenses (excluding other intangible assets such as goodwill)

Trade working capital and financing(in € million)

262,0

227,4211,3

232,0 238,4225,7

112,9%

95,4% 93,6%

0,0

40,0

80,0

120,0

160,0

200,0

240,0

280,0

Q1 2016 Q1 2017 Q1 2018

Net Debt Equity Gearing Ratio

Financing

High working capital due to contract manufacturing, which is a distinctive

feature of the industry

■ Long throughput times of 8 to 12 months

■ Low prepayments averaging 5% to 10%

■ Average payment term of 57 days

345,6 340,7 343,8

865,4 870,8 847,6

39,9% 39,1% 40,5%

0%

25%

50%

75%

100%

125%

150%

175%

200%

225%

0

250

500

750

1000

2015 2016 2017

Trade Working Capital Annual Revenue Trade Working Capital / Annual Revenue

Trade Working Capital*)

*) Inventories + Construction contracts + Trade Receivables – Advance payments received – Trade payables

Focus “Sales”

General Market Strategies

■ Expanding technological leadership

■ Innovations in the fields of extinguishing systems, telematics, and structural

concepts

■ Development into a system provider

■ Development of key products with launch at the “Interschutz 2020” trade fair

■ Entering international municipal markets

■ Municipal markets require a local presence

■ Increasing world-wide protectionism requires local added value

■ Local finishing provides access to new markets

Local production

■ Concept

■ Loading equipment in the target country

■ Assembly of construction kits on site (SKD / CKD)

■ Optimising transport costs

■ Benefits

■ Development of added value in Austria (!!)

■ Local finishing provides access to new markets

■ Classification as a local producer

■ Flexibility regarding usual local carriages

Order situation

■ Single orders

■ Internationalisation of municipal vehicle marketing leads to a considerable

increase in the basic booking rate thanks to many individual projects

■ Reduced cluster risk

■ Worldwide diversification allows

for mutual compensation of market fluctuations

■ Large orders

■ Oil countries recover

■ Large worldwide replacement purchases in

the coming years

■ Rosenbauer is ready for large orders like no

other producer

■ Can be processed flexibly “on top” within the

overall network

Focus “Manufacturing”

Improving internal earning power

■ New organisational structure

■ New leader, new ideas

■ Simplicity, simple processes

■ SCM professionally organised (material availability +50%)

■ Fast, flexible team structures

■ Project & order centre (offer and order process)

■ Communication/information flow

■ Panther 8x8 and AT/ET production line

■ Key figures system (overview + live KPIs)

■ Efficiency (+5% productivity)

■ 100 new employees (production, logistics)

■ 2-shift operation in plant II Leonding

Vision 2020Schedule for the future (CTO division targets)

20202017 2018 2019

New CTO structure

Communication

Ease processes

Reduce missing parts

Refine planning

Highest cost discipline

Headcount reduction

Liquidation of external

warehouse

Panther 8x8 line

Vision 2020 – CTO

(enthusiastic employees)

CTO KPI-System

Material availability

Production costs

Project & order centre

Efficiency (productivity)

Inventory management

Six Sigma training

ET production line

2-shift operation plant II

New lines in Slovenia

Renovation paint shop

Leonding

Quality management

(warranty costs)

Material availability

Production costs

Supplier management

Inventory management

Robotised welding

Logistics structure plant I

Grow

Invest

Standardise

Automate

CTO KPI-SystemBudget goals, measures

Budget goals Group

Budget discussions

A3 per plant

CTO overview of key figures (annual performance)

A4 classification per plant

Top KPIs (month + trend)

A4 classification per plant

Variance analysis + measures

Business intelligence

“Live” online key figures

Outlook

Order intake/backlog (in € million)

Order backlog as of 31/3

143,40

133,90

211,80

207,90

236,20

1-3/2014

1-3/2015

1-3/2016

1-3/2017

1-3/2018

Order intake

628,2

694,6

861,7

790,6

31.3.2014

31.3.2015

31.3.2016

31.3.2017

31.3.2018 933,8

Outlook

■ Global firefighting market follows encouraging global GDP growth

■ Political risks and FX uncertainty remain

■ Strategy of profitable growth through geographical focus, efficiency

and technology leadership

■ Dynamic growth of order intake in Q1 2018 supports high utilization of

production facilities

■ Higher revenues and significantly better operating earnings in 2018

■ 2018: EBIT margin > 5% targeted; Group revenues > € 900 million

■ Targets of Vision Strategy 2020 (EBIT margin 7%) still in place, after a

turbulent 2017 Group back in corridor

Thank you!

Appendix

Segment reporting by area

NOMA

NISA

CEEU

APAC

MENA

CEEU: Central & Eastern Europe

NISA: Northern Europe, Iberia, South America, Africa

MENA: Middle East & North Africa

APAC: Asia, Pacific, Australia, China

NOMA: North & Middle America

Number of employees (reporting date)

In addition, Rosenbauer employs approximately 240 temporary employees.

Headcount year-on-year stable, German and American manufacturing facilities increase.

1.213

1.322

1.404

1.367

1.379

679

743

744

790

841

582

651

768

848

878

218

285

325

355

392

31.03.2014

31.03.2015

31.03.2016

31.03.2017

31.03.2018

Österreich USA Deutschland International

3.241

3.001

2.692

3.360

3.490

Rosenbauer share

* Rosenbauer Beteiligungsverwaltung GmbH

BVG *

51%Free float

44%

Investor FR5%

1-3/2017 1-3/2018

Highest price € 57.4 57.2

Lowest price € 52.5 50.0

Closing price € 55.3 51.0

Market capitalization€

million 375.7 346.8

Dividend € 1.2 1.0

Earnings per share € -0.7 -0.3

40,0

50,0

60,0

70,0

Jan 18 Feb 18 Mar 18

Rosenbauer EURO ATXPrime index.

Indizes: ATPX, AFA, AIGS, AP8, AXGP, NAP8, NTFA, TAP8, TFA, VOX, WBI

* Rosenbauer Beteiligungsverwaltung GmbH

Disclaimer

This presentation was produced by Rosenbauer International AG(Rosenbauer for short) for informational purposes only. Despite thegreatest care taken by Rosenbauer, no guarantee is given for thecorrectness and completeness of the content.

This presentation may not be reproduced, transmitted, or distributed(neither in its entirety nor in part). Unless otherwise stated, all information(including financial statements and forecasts) is the property ofRosenbauer and may therefore be changed without prior notification byRosenbauer.

All decisions based on information included in the Rosenbauerpresentation are the sole responsibility of the user. Rosenbauer acceptsno liability for the actions and consequences resulting from the use of thepresentation.

None of the information provided in the presentation constitutes, or isintended to be, an invitation to buy or trade in Rosenbauer shares.

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