CORPORATE

2021
PRESENTATION
OUR PURPOSE
2

WE ARE UNCONVENTIONAL MAKERS

Comer Industries property

EXECUTIVE 3

TEAM
CEO
Matteo Storchi
CHIEF GLOBAL HR &
FINANCIAL ORGANIZATION
OFFICER DIRECTOR
C. Grillenzoni A. Masucci

GLOBAL BRAND GLOBAL QUALITY &

& INTEGRATION LEAN DEVELOPMENT
DIRECTOR DIRECTOR
R. Benedusi A. Di Matteo

VP SALES & MARKETING VP RESEARCH & PRODUCT DEVELOPMENT VP INDUSTRIAL

M. Zorzi R. Mascii G. Zelano

Comer Industries property

AGENDA 4

1 COMER INDUSTRIES AT A GLANCE

2 KEY SUCCESS FACTORS

3 BUSINESS MODEL

4 MARKET AND STRATEGY

5 CLOSING REMARKS

Comer Industries property

1

COMER INDUSTRIES
AT A GLANCE

Comer Industries property

WHO WE ARE 6

1 Global supplier of engineered transmission system for major vehicle manufacturers in the global
agriculture, industrial and energy sectors.

2 Focus on end-markets with constant growth in global demand for specialty machinery.

3 Solid and flexible business model underpinned by diversified product offering and innovation oriented.

4 Preferred supplier for top manufacturers of agriculture and industrial machinery thanks to long term
partnership with customers and suppliers.

5 Established portfolio of customers providing for visibility on backlog and resilience.

6 Global presence allowing proximity to customers and market trends.

7 Excellent financial results paired with solid financial position.

Comer Industries property

2020 key facts 7

Revenue breakdown by sector Revenue breakdown by geography

14% LATAM 4%

APAC 28%
396,2 m 50% 396,2 m 46% EMEA

36%
NAM 22%

396,2 18,6% €50,1m €26,6m 7 1335

REVENUES ’17-’20 ADJ. EBITDA ADJ.(1) NET DEBT(2) PRODUCTION AVERAGE
EBITDA CAGR AREAS EMPLOYEES
12,65% MARGIN

CONTINUOUS BUSINESS GROWTH COUPLED WITH SOLID FINANCIAL POSITION.

Notes:
(1) Adj. EBITDA excludes the impacts from the application of IFRS 2 standard for stock grant plans and IFRS 16 standard for lease contracts.
(2) Net debt excludes the impacts from the application of IFRS 16 standard for lease contracts.

Comer Industries property

50 YEARS OF HISTORY
KEY MILESTONES
8

The Comer Industries Components

Subsidiaries are set up
in France, Germany, UK
and the United States.
Operating Unit is officially
inaugurated in Matera, Comer
(Shanghai) Trading Co. Ltd. and Re-building of the OUR BRIGHT
Opening of the the Operating Unit Comer Reggiolo Plant and Opening of Comer IMPACT project.
Mechatronics Industries (Shaoxing) Co. Ltd. are opening of Comer Industries (Jiaxing) Our commitment to
Research Centre. also opened in China. Industries India. Co. Ltd. SUSTAINABILITY.

1970 1985 1985 1996 1998 2007 2013 2015 2017 2018 2019 2020
1990

The Storchi family Comer grows both Opening of the Opening of Comer Generational transition Listing on the AIM
founds CO.ME.R organically and through representative office Industries do Brazil, in the fully completed: new Italia segment.
(Costruzioni acquisitions. in Beijing. state of São Paulo. governance in place.
meccaniche
Riduttori).

STORCHI FAMILY STORCHI FAMILY

FIRST GENERATION SECOND GENERATION
SECOND GENERATION

Comer Industries property

2

KEY SUCCESS
FACTORS

Comer Industries property

Key success factors 10

1 4
FLEXIBLE BUSINESS MODEL, RELYING UPON GLOBAL OPERATIONAL
R&D AND NEW PRODUCT DEVELOPMENT FOOTPRINT PROVIDING
IN PARTNERSHIP WITH CUSTOMERS. FOR PROXIMITY TO CUSTOMERS.

2
5
DIVERSIFIED PRODUCTS OFFERING
TO FULFILL CUSTOMERS’ NEEDS.

STRONG FINANCIAL PROFILE WITH

INCREASED PROFITABILITY OVER TIME
AND SOLID FINANCIAL POSITION.

3
ESTABLISHED LONG TERM PARTNERSHIP-LIKE
RELATIONSHIP WITH A DIVERSIFIED CUSTOMER BASE.

Comer Industries property

Flexible business model, relying upon R&D 11

and new product development with customers

Established history of innovation Team of 60+ people dedicated
covered through over 100 patents. to continuous R&D development
in partnership with customers.

Strict control of the supply chain Address customers’ needs timely

to pursue World Class Manufacturing grade. and effectively.

Engineering skills leading to high quality manufacturing.

EXPERTISE AND CAPABILITIES TO COVER THE FULL DEVELOPMENT PROGRAM, FROM THE CONCEPTUAL
AND SIMULATION PHASE TO THE PRODUCTION OF A COMPLETE SYSTEM.
Comer Industries property
PRODUCTS AND APPLICATIONS 12

POWERTRAIN SYSTEMS DRIVESHAFTS PLANETARY DRIVES GEARBOXES

CONSTRUCTION FORAGE & HAY MINING MACHINERY TRACTORS
EQUIPMENT MACHINERY
CRANES COMBINED HARVESTERS
MATERIAL HANDLING AGRICULTURAL & CONSTRUCTION EQUIPMENT & SELF PROPELLED MACHINES
& GARDEN EQUIPMENT
ROAD CONSTRUCTION WIND TOWER AGRICULTURAL MACHINERY
MACHINERY GENERATORS & GARDEN EQUIPMENT

Comer Industries property

Established long term partnership-like 13

relationship with diversified customer base

OUR MAIN CUSTOMERS OUR CUSTOMERS AWARDS
QUALITY & DELIVERY AWARDS SQEP (Supplier Quality Excellence Process) Certification
GOLD CERTIFICATION ITALY AND US 2019
SILVER CERTIFICATION CHINA 2020 (Global Excellence Program)

SUPPLIER OF EXCELLENCE PREFERRED SUPPLIER

SUPPLIER OF THE YEAR SUPPLIER OF THE YEAR

CLASS “A” SUPPLIER INNOVATION AWARD

“GREEN” SUPPLIER NOMINATION FOR

INNOVATION AWARD
AWARD FOR COLLABORATION
PARTNER SUPPLIER 2018
WCM BRONZE LEVEL
WCM BEST SUPPLIER AWARD
BEST SUSTAINABILITY SUPPLIERS (EMEA)
SUPPLIER QUALITY AWARD 2018

STRONG BRAND REPUTATION PROVIDING FOR KEY SUCCESS FACTOR.

Comer Industries property
Global operational footprint SUPPORTING 14

proximity to customers
7
PRODUCTION
AREAS

USA
Charlotte | North Carolina CINA
Pinghu | Zhejiang

BRASILE
Limeira | San Paolo
ITALY
Reggiolo (RE) | R&D CENTER INDIA
Reggiolo (RE) | Assembly Plant Bangalore | Karnataka
Reggiolo (RE) | Machinery Plant
Manufacturing plant
Pegognaga (MN) | Driveshafts
Assembly capability Matera | Comer Industries Components
Comer Industries property
Strong financial profile with increased 15

profitability over time and solid

financial position
REVENUES AND ADJ, EBITDA (€M) NET DEBT (€M) AND LEVERAGE
’17-’20 revenues CAGR: +5%
’17-’20 EBITDA Adj. CAGR: +18,6%

12,65%
Margin(1)
10,2%
v
11,1%
v Leverage(2) 2,6x
v
7,1%
8,8%
v v v
1,4x
1,0x
v
+7%
+13%
+11%
379,0
404,6
-2
396,2 55,3
v 0,1x
v
342,1
303,7 3,2
40,7
36,7
23,4
29,1
26,2 26,6
30,0 38,6 45,0 50,1
21,7
2,9

2016 2017 2018 2019 2020 2016 2017 2018 2019 2020

Net Revenues EBITDA Adj(1) Net Debt exel. IFRS 16 IFRS 16 effect

Notes:
(1) Adj. EBITDA excludes the impacts from the application of IFRS 2 standard for stock grant plans and IFRS 16 standard for lease contracts.
(2) Leverage based on net debt excluding impact from IFRS 16 anche adjusted EBITDA.

Comer Industries property

3

BUSINESS MODEL

Comer Industries property

WHERE WE ARE
IN THE VALUE CHAIN
17

TIER 2 RAW
TIER 1 ORIGINAL EQUIPMENT
MATERIAL CUSTOMERS
SUPPLIER MANUFACTURERS
SUPPLIERS
AGRI
FARMERS
INDUSTRIAL

OIL & GAS

CONSTRUCTION PLAYERS
MINING
Construction

WIND PLANTS
OWNERS
Energy

Comer Industries property

BUSINESS OVERVIEW 18

BUSINESS AREA PRODUCTS LINES REGIONS (1) TECHNOLOGY STRUCTURE

AGRI

GEARBOXES 22% NAM 10 LEGAL ENTITIES

1 in NAM
3 in APAC
50% of 2020 revenues 5 in EU
1 in LATAM

28% APAC

MECHANICAL
PLANETARY DRIVES
6 TRADING COMPANIES
1 in NAM
1 in APAC
INDUSTRIAL

3 in EU
POWERTRAIN SYSTEMS 46% EU 1 in LATAM

36% of 2020 revenues

7 PRODUCTION AREAS
1 in NAM
WHEEL DRIVES 4% LATAM 1 in APAC
3 in EU
1 in LATAM

100% 1335 AVERAGE

14% of 2020 revenues DRIVESHAFTS 89% TOTAL EXPORT EMPLOYEES(1)

Notes: (1) Based on 2020 figures.

Comer Industries property

INDUSTRY 4.0 19

TIME TO MARKET FLEXIBILITY QUALITY PRODUCTIVITY

& LEAD TIME REDUCTION IMPROVE INCREASE INCREASE

1 SHORTER INNOVATION CYCLE 1 VOLATILE MARKETS 1 CLOSED LOOP QUALITY 1 RESOURCES EFFICIENCY
PROCESSES THROUGH AN INTEGRATION
2 MORE COMPLEX PRODUCTS 2 HIGH PRODUCTIVITY PROCESS AS KEY COMPETITIVE
2 TRACEABILITY FACTORS
3 SHORTER PRODUCT 3 INDIVIDUALIZED AND INTEGRATED GENEALOGY
LIFECYCLE MASS PRODUCTION

PRODUCT AND FLEXIBLE FULL PROCESS INTEGRATION

PRODUCTION PRODUCTION TRANSPARENCY OF OVERALL
INTEGRATED RESOURCE

Comer Industries property

INDUSTRY 4.0
SMART FACTORY
20

HORIZONTAL
DEPLOYMENT

SUPPLIERS MANUFACTURING CUSTOMERS

1 SMART SUPPLY
NETWORK 2 NEXT-GEN
MANUFACTURING
SYSTEMS
15 RESPONSIVE
MANUFACTURING

3 CLOUD STORAGE/
PROCESSING 4 DATA ANALYTICS 5 CYBERSECUTITY

6 INTELLIG. SENSORS/
ACTORS
7 CYBER PHYSICAL
SYSTEMS 8 SMART
MAINTENANCE

9 MOBILE
WORKFORCE 10 SELF-DRIVING
VEHICLES 11 INTELLIGENT
PRODUCTS

IoT-related
Not IoT-related
12 ADDITIVE
MANUFACTURING 13 ROBOTICS
14 ADVANCED
MATERIALS
VERTICAL
DEPLOYMENT

Comer Industries property

HOSHIN KANRI 21

WHAT DOES IT MEANS?

ENTERPRISE
MINDSET CHANGING
GOAL
GUARANTEE STRATEGY AND RESULTS THROUGH STRATEGIC
HO SHI HOSHI PLANNING AND PROCESSES BUSINESS IMPROVEMENT
DIRECTION NEEDLE COMPASS

BENEFIT
1 MARKET
RESPONSIVENESS 3 EFFECTIVE USE OF TIME
AND BUDGET

2 SPEED UP
DECISION MAKING 4 ORGANIZATION
ALLIGNEMENT
Comer Industries property
HOSHIN KANRI
DEPLOYMENT FLOW, TEAMS AND TOOLS
22

VISION

STRATEGIC
HOSHIN TEAM
PLAN
OBEYA
X MATRIX
ROOM

STRATEGIC
OBJECTIVES
SS
CE

T
EN
RO

EM
LP

UR
AL

AS
HB

ME
TC
PIS
CA

TACTICS TACTICAL TEAMS

&K

A3

EXECUTION OPERATIVE TEAMS

Comer Industries property

HOW WE DO 23

R&D ENGINEERING AND R&D

MECHATRONICS RESEARCH CENTER 66 54
DESIGN AND TESTING SPECIALIZED
ENGINEERS SALES ENGINEERS

1 Dynamic Multi-body analysis 3 9 Technology awards

2 3D Modeling 4 100+ Patents

2.100m2 ≈25.000/year
FACILITIES TESTINGS HOURS
16 1 18
TEST CELLS CLIMATIC TESTING
CHAMBER ENGINEER

1 Functional 4 Field Load Data Monitoring

2 Crash Test 5 Statistic Overload
3 Endurance 6 Structural Fatigue

Comer Industries property

HOW WE DO
SUSTAINABILITY AND QUALITY HSE
24

MANAGEMENT SYSTEM & CUSTOMER CARE CONSUMED WASTE

ENERGY
2020 VS 2019 2020 VS 2019

CERTIFIED WITH: -4% -5%

ISO 9001 NORM
ISO 14001 NORM
ISO 45001 NORM
WORK RELATED INJURY INDEX
PPAP (Production Part Approval Process)
in compliance with the IATF 16949 automotive requirements 2,0
1,8 1,9
SIX SIGMA 1,8
culture on the basis of total quality management (TQM) standards

FMEA (Failure Mode and Effects Analysis)

2017 2018 2019 2020

Comer Industries property

HOW WE DO
PEOPLE ARE THE FOUNDATION OF OUR COMPANY AND THE REASON
25

FOR OUR PAST, PRESENT AND FUTURE SUCCESS.

EDUCATION 2020

3 394 *

INTERNSHIP COURSES

20.679 18,91
EDUCATIONAL HOURS P/PERSON
HOURS FOR BOTH WHITE
AND BLUE COLLARS

96%
COMER STAFF
INVOLVED IN
TRAINING
ACTIVITIES
Notes: (*) Face-to-face + webinars/online workshops.

Comer Industries property

4

MARKET AND STRATEGY

Comer Industries property

Current addressable market
UNDERPINNED BY SOLID UNDERLYING TRENDS.
“FEEDING THE WORLD”
According to researches,
agricultural outputs need to
grow by 70% by the
middle of century.
3 €B 5 €B 0,5€B “BUY” RATHER
THAN “MAKE”
Major OEM are more and more
focusing on services,
distribution, marketing and sales.
Comer Industries property
27
“MASSIVE
URBANIZATION”
Growth in population to
reach 9,1 billion by 2050,
coupled with migration
from rural areas.
“TECHNOLOGICAL SHIFT”
Electrical vehicles,
autonomous driving etc.
bring new opportunities
for suppliers.
DRIVERS & MEGATRENDS
MEGA TRENDS 28

CLIMATE
CHANGE HEALTHCARE DEMOGRAPHY Urbanisation Sustainability Digitization
GREEN HOUSE EMISSIONS REDUCTION GROWING POPULATION GROWING NUMBER CONGESTION CONNECTED WORLD
GAS REDUCTION AGING SOCIETIES OF MEGA-PROJECT INFRASTRUCTURES

CONSEQUENCES
OFF HIGHWAY

RENEWABLE MKT SHIFTING TO R

INCREASED INCREASE AUTOMATION BIG DATA
TREND

BOOST EMERGING EFFICIENCY AND SAFETY & & ROBOTICS EXPANSION,

ECONOMIES & PRODUCTIVITY COMFORT AUTOMATION,
MIGRATION TO IOT & AI.
MEGALOPOLIS

Comer Industries property

MAIN COMPETITORS BY MARKET 29

BUSINESS AREA MAIN COMPETITORS

And incubant competitors

AGRI
INDUSTRIAL

Comer Industries property

COMER INDUSTRIES 30

STRATEGIC PILLARS
Maintain leadership in the agricultural
business, while growing the positioning in Improve profitability of the business.
the industrial and energy sectors.

Achieve economies of scale driven Simplification and digitization

by size growth. (Internet of Things).

LEVERAGE ON STRONG BALANCE SHEET, PRODUCT QUALITY AND CUSTOMERS RELATIONSHIP TO

PROGRESSIVELY BUILD MARKET SHARE IN BOTH AGRICULTURE AND INDUSTRIAL SEGMENTS.
Comer Industries property
OUR BRIGHT IMPACT 31

IN 2020 COMER INDUSTRIES

HAS LAUNCHED A NEW PROJECT:

OUR BRIGHT IMPACT

An important responsibility towards the environment and the society.

The courage to take on a strong commitment, starting from adherence

to the Global Goals for the sustainable development.

The ambition to leave our positive mark and to create something new,
making “bright” the world around us.

The promise we make to ourselves and to the environment in which we act.

Social responsibility and sustainability policies,

programs and performances available in our Sustainability Report
(www.comerindustries.com/csr)

Comer Industries property

OUR VALUES 32

Comer Industries property

5

CLOSING REMARKS

Comer Industries property

CLOSING REMARKS 34

Flexible business model, driven by R&D and new product development in partnership with customers.

Diversified portfolio of products to fulfill customers’ needs.

Established long term partnership-like relationship with customers.

Global operational footprint providing for proximity to customers.

Strong financial profile with increased profitability over time and solid financial position.

Comer Industries property

THANKS
FOR YOUR
ATTENTION