Berenberg and Goldman Sachs - ir.stratec.comir.stratec.com/stratec/pdf/pdf_id/476773.pdfBerenberg and Goldman Sachs Sixth German Corporate Conference . SAFE HARBOR STATEMENT Forward-looking

Munich, September 19, 2017

Berenberg and Goldman Sachs

Sixth German Corporate Conference

SAFE HARBOR STATEMENT

Forward-looking statements involve risks.

This company presentation contains various statements concerning the future

performance of STRATEC. These statements are based on both assumptions and

estimates. Although we are convinced that these forward-looking statements are

realistic, we can provide no guarantee of this.

This is because our assumptions involve risks and uncertainties which could result

in a substantial divergence between actual results and those expected.

It is not planned to update these forward-looking statements.

2www.stratec.comBerenberg and Goldman Sachs Sixth

German Corporate Conference -


www.stratec.com 3

AGENDA

OVERVIEW AND BUSINESS MODEL

THE IVD MARKET

FINANCIALS

FUTURE GROWTH

Berenberg and Goldman Sachs Sixth



www.stratec.com 4

OVERVIEW AND

BUSINESS MODEL




Overview & Business Model FinancialsThe IVD Market Future Growth

5

STRATEC AT A GLANCE

Market leader in automation solutions for the

diagnostics industry and translational research

~ 1.000 employees worldwide

More than 13,000 systems with medium to high

throughput installed globally (e.g. DiaSorin’s LIAISON XL |

Hologic/Gen-Probe’s PANTHER | Siemens’ ADVIA Centaur | bioMérieux’s

new VIDAS)

More than 25,000 low throughput systems installed

globally

Revenue € 184.9 million in 2016(CAGR revenues since IPO in 1998: ~18%)

Revenue growth forecasted

to € 205 - € 220 million in 2017

Dividend payments raised over 13 consecutive years

www.stratec.comBerenberg and Goldman Sachs Sixth




6

UNIQUE MARKET POSITION

STRATEC IN THE IVD VALUE CHAIN

DiagnosticCompanies

Blood Banks,Laboratories

Patients

STRATEC develops and manufactures fully automated analyzer systems and disposables focusing on the high growth segments in diagnostics

Partners market systems together with reagents and consumables to laboratories, blood banks and hospitals worldwide

Laboratories performing tests and offering service to doctors and patients using reagents from diagnostic companies

Growth drivers:

• Aging population

• Developing healthcare systems world wide

• High volume of new tests





7

STRATEC provides instrumentation, consumables, software and automation solutions

– OEM development and manufacturing

– More than 7,000 fully automated analyzer systems manufactured in 2016

– Wide range of intellectual property rights

Extensive collaboration with partner during design phase

– STRATEC: Engineering / automation, software, QM

– Partner: System / reagent / market requirements

Systems have long market lifecycles

– Leads to longstanding partnerships

– Expanding installed base of systems

– Product enhancement and extension drives value

BUSINESS MODEL




“Simoa HD-1” for QuanterixConsumable for “Simoa HD-1”


8

Long-term agreements with partners

– Milestone payments during development stage

– Operating sales during series production stage

– Continuous revenues from consumable sales

Minimum volume commitment

– Firm purchase orders

– STRATEC an integral part of partners’ plans

Reliable partnership

– Shortened development time

– Integration of analyzer system and reagents

– Agreed development budget & transfer price

– High commitment by both partners

SECURING RETURN ON INVESTMENT




“LIAISON XL” for DiaSorin

“PANTHER” for Hologic

www.stratec.com 9

THE IVD MARKET





77%

5%15%3%

Reagents / Chemistry

Instrument Services

Instrumentation

Consumables / plastics /

packaging

10

IVD MARKET SEGMENTS / IVD Market: ~ 60 billion USD in 2016

High Throughput

Low Throughput

Total instrumentation

~ 7.5 billion USD

Market by product type

Number of systems




CAGR 2013 - 2018:

IVD Market: 4%

Molecular Diagnostic: 8% Immunodiagnostics: 4%

Hematology: 2% Blood bank: 6%

Source: The worldwide market for In Vitro Diagnostic Tests, 9th Edition.

Market by sector


OUTSOURCED VS IN HOUSE INSTRUMENTATION MARKET

Total

instrumentation

~ 7.5 billion

USD

11

In House

64 %

Outsourced

36 %

In House

73 %

Outsourced

27 %

2010 2015 2020

In House

56 %

Outsourced

44 %

Source: Own estimates based on historical market data and recent industry trends





12

A SELECTION OF STRATEC CUSTOMERS

Source: IVD News / figures adjusted by acquisitions in 2016 / non-public companies estimated / non-reported sector revenues estimated




… AND OTHER

GAME-CHANGING COMPANIES

(acquired by Bio-Rad in January 2017)

GLOBAL TOP 20 IVD COMPANIES Revenues 2016 (USD billion)

1. Roche Diagnostics 9.6

2. Danaher 5.5

3. SIEMENS 5.1

4. Abbott Diagnostics 4.8

5. ThermoFisher 3.3

6. Alere 2.4

7. Sysmex 2.3

8. Ortho Clinical Diagnostics 2.0

9. bioMerieux 1.9

10. BECTON DICKINSON 1.3

11. BIO-RAD 1.3

12. Hologic 1.3

13. CH Werfen 1.0

14. Grifols 0.9

15. Agilent 0.7

16. Diagnostica Stago 0.7

17. QIAGEN 0.7

18. Diasorin 0.6

19. Perkin Elmer 0.6

20. Immucor ~0.4

www.stratec.com 13Berenberg and Goldman Sachs Sixth



FINANCIALS

Overview & Business Model Financials Future GrowthThe IVD Market

14Berenberg and Goldman Sachs Sixth


Munich, September 19, 2017www.stratec.com

FINANCIALS AT A GLANCE

(€ million) June 30, 2017 June 30, 2016 Change

Sales 100.7 78.0 +29.1%

EBITDA1 16.5 15.2 +8.8%

EBITDA margin (%) 1 16.4 19.4 -300 bps

EBIT1 12.9 12.6 +1.9%

EBIT margin (%) 1 12.8 16.2 -340 bps

Cons. net income1 9.9 10.32 -3.5%

Earnings per share (€) 1 0.84 0.872 -3.4%

Key figures after the first six months

1 Figures adjusted for effects from acquisition activities2 Additionally adjusted for non-recurring items arising from the 2016 external tax audit for the assessment periods from 2009 to 2013





6-Months Sales compared to Annual Sales

SALES

€ m

illio

n

60.1 69.1 70.0 78.0100.7

0

20

40

60

80

100

120

140

160

180

200

2013 2014 2015 2016 2017

6-Months Sales as of 06/30

Annual Sales as of 12/31

H1/2017 Sales

• +29.1% to € 100.7 Mio.

• Diatron & STRATEC

Consumables :

• € 25.1 Mio. in H1/2017

128.0

144.9 146.9

184.9





As of June 30

EBIT & EBIT MARGIN

EBIT margin at 12.8%

• H1/2017 organic: 16.0 %

• Dilution through acquisitions

• Recovery expected for

FY 2017

H1 EBIT H1 EBIT margin

EBIT in € million EBIT margin in %

8.4

11.212.6

6%

8%

10%

12%

14%

16%

18%

20%

0

2

4

6

8

10

12

14

2013 2014 2015 2016 2017

Figures adjusted for effects from acquisition activities

12.912.0





• STRATEC Consumables expected to pick up in second half

• Expansion of manufacturing depth

• Increase in gross margin through product mix

• Decline in material intensive launch support activities

MID-TERM EXPECTATION

• Constant margin development forecasted

• Mid-term profitability planned to increase – winning new contracts will

soften positive effects

OUTLOOK PROFITABILITY





Earnings per share as of June 30

0.56

0.82 0.84

0,00

0,10

0,20

0,30

0,40

0,50

0,60

0,70

0,80

0,90

1,00

2013 2014 2015 2016 2017

€

EPS

• Adjusted EPS at € 0.84

(H1/2016: € 0.87)

• Adjusted H1 tax rate at 23.5%

(H1/2016: 16.2%)

• Dividend pay out

per share at € 0.77

(previous year: € 0.75)

0.87

Figures adjusted for effects from acquisition activities

0.83

EARNINGS AFTER SIX MONTHS

www.stratec.com 19

FUTURE GROWTH








FOCUS IN 2017 AND BEYOND

• Improve profitability across business (benefits of scale driven by top-line growth)

• Further realize synergies through development activities across STRATEC businesses

• Expand leading market role

• Facilitate process of instrument/consumables integration for partners

• Achieve milestones & market launches

• Execute important development and supply agreements





• Sales guidance for 2017: € 205 million to € 220 million

– sales expected to significantly exceed the lower end of this range

• Organic double digit top line growth in 2017

• Profitability in 2017 on a broadly stable level

FUTURE GUIDANCE

• Sales and profitability guidance for current years with publication of annual report

• Broader statement regarding medium-term expectation:

• Average annual organic sales growth (CAGR) in the high single-digit or low double-

digit percentage range in the years ahead with a broadly consistent EBIT margin

FINANCIAL GUIDANCE

THANK YOU

FOR YOURATTENTION!

STRATEC Biomedical AGGewerbestr. 37

75217 Birkenfeld

Germany

Tel: +49 7082 7916-0

Fax: +49 7082 7916-999

www.stratec.com

[email protected]

TICKERSymbol: SBS.DE

Bloomberg: SBS:GR

Reuters: SBSG.DE

ISIN: DE000STRA555

WKN: STRA55

CONTACT




APPENDIX




KEY FIGURES AT A GLANCE

IFRS (€ million) 2012 2013 2014 2015 2016

Sales 122.7 128.0 144.9 146.9 184.9

EBIT 15.6 19.5 24.1 26.9 32.31

EBIT margin (%) 12.7 15.2 16.6 18.3 17.51

Consolidated net income 12.5 15.5 19.8 22.1 25.42

Earnings per share (€) 1.06 1.32 1.68 1.87 2.142

Dividend per share (€) 0.56 0.60 0.70 0.75 0.77

No. of employees 533 546 544 583 976

Total assets 108.5 117.8 137.8 158.9 258

Equity ratio (%) 80.7 82.5 81.3 82.0 55.7

Free cash flow 0.4 13.5 32.9 17.3 -70.4

AS OF DECEMBER 31

A1www.stratec.comBerenberg and Goldman Sachs Sixth



1 2016 figure adjusted for one-off items resulting from transaction activities and related reorganization expenses2 2016 figure additionally adjusted for financing expenses and tax expenses in connection with the acquisitions of the Diatron Group and STRATEC Consumables,

for one-off items resulting from the tax audit for the 2009 to 2013 assessment periods, and for tax effects relating to reorganization expenses

SHAREHOLDER STRUCTURE & SHARE

SHAREIPO Aug. 1998

Capital increase < 10%, Mar. 2002

< 10%, Sep. 2005

Number of shares 11,913,445

Share price (09/11/2017) € 51.59

Market capitalization € 615 million

Fixed and family ownership

(incl. investment companies)

Treasury shares

Retail investors incl. not

identified institutional investors

Institutional investors

SHAREHOLDER STRUCTURE(as of: 03/31/2017)

~ 41.5%

~ 21.7%

~ 36.7%

~ 0.1%




INSTITUTIONAL SHAREHOLDERS

Holder Name Holding

OppenheimerFunds, USA 5.2 %

Allianz IARD, FRA 5.1 %

Columbia Threadneedle Investments, GBR 5.0 %

Montanaro Asset Management, GBR 2.8 %

BNP Paribas Investment Partners Belgium, FRA 2.5 %

Deutsche Asset Management Investment, GER 2.5 %

Juno Investment Partners, NED 1.6 %

Comgest, FRA 1.2 %

Wellington Management Company, USA 1.1 %

Lupus alpha Asset Management, GER 1.1 %

Schroder Investment Management North America, USA 1.0 %

Amundi Asset Management, FRA 0.7 %

Credit Suisse, SUI 0.6 %

Royce & Associates, USA 0.5 %

BlackRock Asset Management Deutschland, GER 0.5 %

TOP 15 AS OF DECEMBER 31, 2016

A3Berenberg and Goldman Sachs Sixth



ANALYST COVERAGE

Berenberg Bank

Jakob Berry

Phone: :+44 20 3465-2724

Kepler Cheuvreux

Oliver Reinberg

Phone : +49 69 75696140

METZLER Capital Markets

Alexander Neuberger

Phone: +49 69 2104 4366

Oddo BHF Corporates & Markets

Igor Kim

Phone: +49 69 7183643

Deutsche Bank

Falko Friedrichs

Phone : +49 69 91036270

HSBC Trinkaus & Burkhardt

Phone : +49 211 9102446

Landesbank Baden-Württemberg

Volker Stoll

Phone : +49 711 12770568

Warburg Research

Michael Heider

Phone: +49 40 309537280




FINANCIAL CALENDAR

09/18-20/2017 6th German Corporate Conference, Munich, GER

10/04/2017 dbAccess Small & Mid Cap Corporate Day 2017, London, UK

10/26/2017 Publication of Quarterly Statement 9M|2017

11/16/2017 Jefferies London Healthcare Conference, London, UK

11/23/2017 HSBC Healthcare Day, Frankfurt, GER

11/28/2017 German Equity Forum, Frankfurt, GER

Subject to confirmation and amendments




Documents

Berenberg and Goldman Sachs - ir.stratec.comir.stratec.com/stratec/pdf/pdf_id/476773.pdfBerenberg and Goldman Sachs Sixth German Corporate Conference . SAFE HARBOR STATEMENT Forward-looking