Announcements

• Purchase order covers total volume in mid-triple-digit million euro range over five year
• Supply of metallic bipolar plates for carmaker's future fuel cell system
• Production to commence in 2026
• EKPO plans substantial double-digit million euro investment

Dettingen/Erms, March 20, 2023 +++ EKPO Fuel Cell Technologies GmbH (EKPO), an entity fully consolidated within the Group of majority shareholder ElringKlinger AG (ISIN DE0007856023, WKN 785602), and operated in partnership with French automotive supplier Plastic Omnium, which holds the remaining ownership interests, secured a contract from a global automotive manufacturer to supply mass-produced bipolar plates for the carmaker's future fuel cell system. The contract covers an initial term of five years as from 2026 and a total volume in the mid-triple-digit million euro range. EKPO intends to invest a figure in the high double-digit million euro range for production at a new site.

Disclaimer
This release contains forward-looking statements. These statements are based on expectations, market evaluations and forecasts by the Management Board and on information currently available to them. In particular, the forward-looking statements shall not be interpreted as a guarantee that the future events and results to which they refer will actually materialize. Whilst the Management Board is confident that the statements as well as the opinions and expectations on which they are based are realistic, the aforementioned statements rely on assumptions that may conceivably prove to be incorrect. Future results and circumstances depend on a multitude of factors, risks and imponderables that can alter the expectations and judgments that have been expressed. These factors include, for example, changes to the general economic and business situation, variations of exchange rates and interest rates, poor acceptance of new products and services, and changes to business strategy.

• Revenue up by 10.7% to record level of EUR 1,798 million
• EBIT before exceptional items at EUR 61.1 million; operating EBIT margin slightly above guidance at 3.4%; EBIT at EUR -42.2 million
• Operating free cash flow at EUR 14.8 million in positive territory yet again
• 2023 Annual General Meeting scheduled as a virtual event

Dettingen/Erms (Germany), February 21, 2023 +++ Based on preliminary and unaudited figures, ElringKlinger AG put in a successful performance in the 2022 financial year and fully met its annual guidance targets published in August. Compared to the previous year, the Group managed to drive revenue forward by 10.7% to EUR 1,798.4 million (2021: EUR 1,624.4 million). Adjusted for currency effects, growth stood at 7.4%, thus slightly outpacing the market as expected. According to industry service provider S&P Global Mobility (Feb. 2023), global automotive production grew by 6.7% in 2022. 

The Group recorded earnings before interest and taxes (EBIT) of EUR -42.2 million in the 2022 financial year (2021: EUR 102.0 million), which corresponds to a margin of -2.3% (2021: 6.3%). This figure includes exceptional items from impairments totaling EUR 103.3 million that are recognized in profit and loss but are non-cash in nature. The impairment of goodwill amounting to EUR 86.1 million at the end of the first half of the year was attributable primarily to the significant increase in interest rates in the second quarter. In addition, the Group recognized impairment losses of EUR 17.2 million relating to property, plant, and equipment as well as intangible assets in the financial year just ended. Adjusted for these exceptional items, consolidated EBIT totaled EUR 61.1 million from an operating perspective, which corresponds to an operating EBIT margin of 3.4%. Thus, the Group slightly exceeded its guidance of around 2 to 3% published in August 2022, while reported EBIT was within the target range of -2 to -3%.

Asked to comment on the preliminary results, Dr. Stefan Wolf, CEO of ElringKlinger AG, said, "The 2022 financial year was dominated by geopolitical conflicts, inflationary pressures, and spiraling commodity and energy prices. Despite these exogenous factors, we recorded a strong final quarter in respect of revenue and earnings. Looking at the year as a whole, we again outperformed the market in terms of revenue growth, while also achieving a satisfactory level of operating EBIT. In a world full of uncertainty, we managed to meet our annual targets. We remain fully focused on pursuing our strategic route and are committed to positioning the Group as best possible for the future of mobility."

Amid difficult market conditions, net debt was scaled back slightly to EUR 364.2 million in the 2022 financial year (2021: EUR 369.2 million). With EBITDA amounting to EUR 174.2 million (2021: EUR 216.1 million), the net debt-to-EBITDA ratio was 2.1 (2021: 1.7). After higher figures recorded over the course of the year (Q1 2022: 2.1; Q2 2022: 2.5; Q3 2022: 2.7), this ratio had returned to the first-quarter level by the end of the financial year and is positioned at the lower end of the guidance range of 2.0 to 3.0. Operating free cash flow was in positive territory, as expected, at EUR 14.8 million (2021: EUR 72.0 million).

In consultation with the Supervisory Board, the Management Board of ElringKlinger AG has decided to hold the 2023 Annual General Meeting on May 16 in a virtual format. The decision was made primarily within the context of the sustainability of corporate events and in acknowledgement of the more flexible options for participation open to domestic and foreign shareholders.

The complete and audited 2022 results, together with the 2022 annual report and the outlook for the current financial year, will be published as planned on March 28, 2023.

Preliminary, unaudited figures for FY 2022 and Q4 2022

Disclaimer

This release contains forward-looking statements. These statements are based on expectations, market evaluations and forecasts by the Management Board and on information currently available to them. In particular, the forward-looking statements shall not be interpreted as a guarantee that the future events and results to which they refer will actually materialize. Whilst the Management Board is confident that the statements as well as the opinions and expectations on which they are based are realistic, the aforementioned statements rely on assumptions that may conceivably prove to be incorrect. Future results and circumstances depend on a multitude of factors, risks and imponderables that can alter the expectations and judgments that have been expressed. These factors include, for example, changes to the general economic and business situation, variations of exchange rates and interest rates, poor acceptance of new products and services, and changes to business strategy.

• EKPO secures contract for development of fuel cell stacks and supply of prototypes for future series production vehicle to be manufactured by a European car manufacturer
• Development of customized stacks for OEM with high peak power in challenging design space
• Initial contract volume in the mid-single-digit million euro range
• Delivery of fuel cell stacks scheduled for as early as 2023

Dettingen/Erms (Germany), February 02, 2023 +++ EKPO Fuel Cell Technologies GmbH (EKPO) has secured a contract from a European car manufacturer for fuel cell stacks to be fitted to a future series production vehicle. The agreement includes the development of a custom-made stack for the global OEM's future mass-produced vehicle that is to be powered by a fuel cell. In addition to development work, the contract also covers the supply of prototypes and has an initial volume in the single-digit million euro range. Delivery of the stacks is scheduled to commence as early as 2023.

Asked to comment on the latest contract, Dr. Gernot Stellberger, Managing Director of EKPO Fuel Cell Technologies, said, "Our customer has exacting quality standards with regard to its vehicles and the associated production conditions. We are all the more delighted that we were able to present a compelling proposition based on our development and technological expertise." EKPO's stacks meet the challenging demands for a durable and compact design combined with high power density, offering the best combination currently available within the market. Achieving in excess of 6.0 kW/l in the cell block, the existing EKPO stack family is seen as a market benchmark. In addition, EKPO already has the necessary facilities at its headquarters in Dettingen/Erms to ensure production of up to 10,000 stacks per year in compliance with automotive standards. This makes EKPO a dependable and innovative partner. One thing is certain, as Dr. Stellberger points out: "Hydrogen plays a key role as an energy carrier on the path to climate neutrality. The latest contract illustrates that hydrogen is also set to become increasingly important when it comes to personal mobility. EKPO's fuel cell technology offers matching solutions for this purpose."

The customer will receive a tailor-made fuel cell stack for use in the vehicle. The challenge with regard to this project is the combination of performance and compact design, as the vehicle's installation footprint for the stack is limited. The combination of a customized bipolar plate and the matching high-power MEA is designed to ensure that the stack delivers an excellent peak performance. The bipolar plate developed and produced by EKPO is to include a seal on the metal plate and a special coating in support of high performance and durability. Initially, the stacks are to be produced at EKPO's headquarters in Dettingen/Erms.

Through its parent company ElringKlinger, EKPO has been actively pursuing fuel cell research and development for around 20 years. The compact stacks are based on proton-exchange membrane (PEM) technology and convert chemical into electrical energy using hydrogen and oxygen. EKPO offers stacks in various configurations for integration into customer systems. Stacks with peripheral components and system functionalities integrated into the media module are also available as an option. These features enable considerable simplification and cost reduction with regard to the fuel cell system. Drawing on the system solutions of its parent company Plastic Omnium, EKPO can cover the entire value chain of a hydrogen-based fuel cell drive. EKPO has an initial production capacity of up to 10,000 stacks per year, which will be gradually expanded in line with its order intake.

• New name reflects evolution of the business unit into a supplier of stamped and formed metal components and assemblies in the field of e-mobility
• Extensive product range for new types of drive system
• Demand in 2022 already centered predominantly on products for all-electric vehicles

Dettingen/Erms (Germany), January 3, 2023 +++ ElringKlinger AG has renamed its "Shielding Technology" business unit "Metal Forming & Assembly Technology." The new name reflects the broad positioning of the business unit, whose portfolio encompasses not only shielding products for combustion engines but increasingly also stamped and formed metal components as well as assemblies targeted at the e-mobility sector. In 2022, demand was already centered mainly on products beyond the market associated with combustion engines.

Asked to comment, Reiner Drews, COO of ElringKlinger AG, said, "The new name is a reflection of the route that ElringKlinger is consistently pursuing. We are helping to shape the process of transformation in the field of mobility and are evolving from a supplier of components used in vehicles with combustion engines into a global provider of e-mobility solutions. In this context, we can draw specifically on our core competencies, such as those relating to forming processes and toolmaking, for the purpose of developing, producing, and marketing components destined for the new generation of drive systems."

The Metal Forming & Assembly Technology business unit will develop and produce stamped and formed metal components and modules as well as assemblies of structural relevance. This will be complemented by established product groups for shielding applications, such as ElroShieldTM or ElroCousticTM. The product portfolio will continue to be consistently targeted at new types of drive systems and will include covers and housings for batteries and drive trains – from stamped parts to assemblies such as battery boxes, battery covers, module covers, module housings, adapter venting, and inverter covers. In addition, the portfolio includes shielding parts such as high-voltage connector caps, brake cover plates, and acoustic and thermal shielding parts.

ElringKlinger has many years of experience in the field of "Metal Forming & Assembly Technology" and has established itself as a full-range supplier at a global level. Drawing on its simulation, tooling, and process expertise developed over decades, the Group is in a position to offer tailor-made solutions for vehicles of all drive types – be it for the classic combustion engine or for hybrid or all-electric vehicles.