Mutares SE & Co. KGaA: new medium-term targets for 2028 – growth to EUR 10 billion in consolidated revenues planned

Mutares SE & Co. KGaA: new medium-term targets for 2028 – growth to EUR 10 billion in consolidated revenues planned

• New medium-term Group revenue target for 2028 of EUR 10.0 billion and EUR 200 million net income target for Mutares Holding
• Expansion into China and the USA opens up new, attractive growth opportunities
• Growth-oriented dividend strategy reaffirmed with minimum dividend of currently EUR 2.00 per share

Munich, October 12, 2023 – Mutares SE & Co. KGaA (ISIN: DE000A2NB650) ("Mutares") today presented its updated strategy and formulated new medium-term targets until 2028 during the Capital Markets Day 2023. Detailed insights were also provided by the portfolio companies FerrAl United and Arriva, which are among Mutares' top assets with revenues of EUR 1.3 billion and EUR 300 million respectively. More than 200 investors, analysts and press representatives attended the event in Frankfurt am Main or in virtual form.

Mutares has fixed its ambitious growth plans as the next milestone in new medium-term targets. Based on the communicated target of EUR 4.8 billion to EUR 5.4 billion in consolidated revenues and EUR 92 million to EUR 112 million in net income for the Mutares Holding for the current fiscal year, consolidated revenues are expected to grow to EUR 10.0 billion by 2028. The net income of the Mutares Holding is then expected to be EUR 200 million.

"The past years since I founded Mutares have been a real success story where we have delivered on our growth promises. I am confident that we can successfully continue on this path and reach consolidated revenues of EUR 10.0 billion by 2028. I also see the positive development of the market capitalization still at its early stages and I hope that we will also develop our full potential here," says Robin Laik, founder and CEO of Mutares.

The near doubling of these two targets is based on several key factors: apart from extremely favorable market and economic conditions, Mutares has also taken action to significantly expand its portfolio. First of all, the early refinancing with a new bond maturing in 2027 and its increase to EUR 150 million. Second, Mutares added a fourth segment, Retail & Food, to the existing three segments, Automotive & Mobility, Engineering & Technology and Goods & Services. The third and most important key factor is global expansion: following the expansion into China, the opening of an office in the USA is planned for 2024.

"The global roll-out of our successful business model is the logical next step – and now is the perfect time to do it. We already have China-related targets on the table and are firmly convinced that local deal sourcing in this growth region offers diverse and attractive opportunities," says Johannes Laumann, CIO of Mutares, on the growth opportunities in the newest overseas market China.

The Mutares Management Board also emphatically reaffirmed the recently updated dividend strategy during the Capital Markets Day. The updated dividend strategy provides for a minimum annual dividend of EUR 2.00 per share. In particularly successful years with a high cash surplus, the payment of a bonus dividend will continue to be envisaged after appropriate consideration by the management. The aim is for shareholders to participate in the impressive growth prospects on a sustainable basis. The minimum dividend is expected to increase further over the medium term in line with the Group's growth.

"Two euros minimum – that is our new dividend promise to our shareholders. Moreover, our business model allows us to generate high cash surpluses, as evidenced by our recent record exit of Special Melted Products, which generated proceeds of approximately EUR 150 million after an investment cycle of only one and a half years," says Mark Friedrich, CFO of Mutares.

Company profile of Mutares SE & Co. KGaA

Mutares SE & Co. KGaA, Munich (www.mutares.com), as a listed private equity holding company with offices in Munich (HQ), Amsterdam, Frankfurt, Helsinki, London, Madrid, Milan, Paris, Shanghai, Stockholm, Vienna and Warsaw, acquires medium-sized companies in special situations, based in Europe, which show significant operational improvement potential and are sold again after undergoing a repositioning and stabilization process. For the fiscal year 2023, consolidated revenues of EUR 4.8 billion to EUR 5.4 billion are expected. Based on this, consolidated revenues are to be expanded to approx. EUR 7 billion by 2025 and EUR 10 billion by 2028. As the portfolio grows, so do consulting revenues, which together with portfolio dividends and exit proceeds accrue to the Mutares Holding. Accordingly, net income in the holding company is expected to be in the range of EUR 125 million to EUR 150 million for the fiscal year 2025 and EUR 200 million for the fiscal year 2028. The Management Board and Supervisory Board together hold more than one-third of all Mutares shares with voting rights. The shares of Mutares SE & Co. KGaA are traded on the Regulated Market of the Frankfurt Stock Exchange under the symbol "MUX" (ISIN: DE000A2NB650).

For more information, please contact:

Mutares SE & Co. KGaA
Investor Relations
Phone: +49 89 9292 7760
E-mail: ir@mutares.de
www.mutares.de

Press contact
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Susan Hoffmeister
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E-mail: sh@crossalliance.de
www.crossalliance.de

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