Fuchs (FPE3) Investor presentation summary

Business model and market position

• Leading independent supplier of lubricants with a global presence in over 50 countries and 71 operating companies.

• Full product offering with over 10,000 lubricants and related specialties, serving 25+ industries.

• Strong customer proximity, stable shareholder structure, and no debt.

• Focused on technology and innovation leadership, leveraging R&D hubs in China, Germany, and the US.

• Well-balanced customer structure, with top 20 customers accounting for ~25% of sales.

Financial performance and targets

• Q1 2025 sales rose 5% year-over-year to €924 million, with EBIT up 1% to €108 million.

• Gross margin improved to 34.3%, while EBIT margin slightly decreased to 11.7% due to higher costs.

• Free cash flow before acquisitions increased to €17 million despite higher capex.

• FY 2025 outlook confirmed: sales ~€3.7bn, EBIT ~€460mn, FVA ~€260mn, FCF before acquisitions ~€260mn.

• Long-term targets include mid-single-digit annual sales growth, 0.8x cash conversion, and a 15% EBIT margin.

Strategic growth and M&A

• Completed €595mn capex program (2016-2020) focused on growth, technology, and innovation.

• Recent acquisitions include LUBCON, STRUB, and BOSS Lubricants, strengthening specialty and regional positions.

• Ongoing focus on bolt-on acquisitions to boost organic growth and leverage synergies.

• Balanced capital allocation with high cashflow, continuous dividend increases, and share buybacks.