Unternehmens Invest : Financial report for the first half 2020/21

UNTERNEHMENS

INVEST AG

INTERIM

FINANCIAL REPORT 2020/21

02 CONTENTS

03 Interim group management report

03 Important events in the first half of 2020/21

1. Portfolio status and performance

1. Report on the shareholding

1. Employees

1. Research and development

1. Risk report

08 Shareholder structure

1. Performance of UIAG shares

1. Outlook
2. Consolidated
   interim financial statements

10 Consolidated balance sheet

12 Consolidated income statement

1. Consolidated statement of comprehensive income
2. Consolidated cash flow statement
3. Consolidated statement of changes in equity

16 Segment reporting

18 Notes to the consolidated interim financial statements

18 Accounting and valuation methods

1. Major discretionary decisions and assumptions
2. Scope of consolidation

19 Notes to the consolidated income statement

21 Notes to the consolidated balance sheet

1. Notes to the consolidated cash flow statement
2. Financial instruments
3. Major events after the interim reporting period
4. Related party disclosures
5. Statement of all legal representatives
6. Other information

INTERIM GROUP MANAGEMENT REPORT	03

INTERIM GROUP

MANAGEMENT REPORT

for the first half of 2020/21 of Unternehmens Invest AG

IMPORTANT EVENTS IN THE FIRST HALF OF 2020/21 (1 OCT 2020-31 MAR 2021)

COVID-19 still has a tight hold on the global economy. According to the Oesterreichische Nationalbank (OeNB; Austrian central bank) the economic recovery in the second half of 2020 was better than expected and the data for the first quarter of 2021 indicate a persistent rebound of the global economic activities and international trade.

However, as the global economy recovers from the challenges of the COVID-19 pandemic the suppliers'

delivery times increased particularly in the industrial countries and are currently as long as during the peak of the pandemic in the second quarter of 2020. Continuous supply shortages constitute short-term challenges for production and international trade.

The Eurozone expects another decline of the GDP in the first quarter of 2021 because of the containment measures against the third COVID-19 surge. However, the announced openings and the vaccination progress in recent weeks give reason to hope that the quarterly growth rates will be clearly positive as of the second quarter of 2021.

In the USA, the extensive US fiscal package provided a positive impetus and the vaccination campaigns gaining momentum suggest a strong economic recovery in the second half of 2021. The expected easing of containment measures support US consumption. IMF and Federal Reserve increased their growth rate for the USA significantly and expect a GDP growth of 6.4% for 2021.

China continued to record a strong growth in industrial production and exports. The Chinese economy had already returned to pre-crisis level in the course of 2020 and continued to expand in the first quarter. According to the IMF, an economic growth of 8.4% is expected for 2021.

Source: OeNB Konjunktur aktuell Mai 2021 and WIFO-Monatsberichte 5/2021

Virtual General Meeting

The Annual General Meeting for the business year 2019/20 of Unternehmens Invest AG was held - again virtually - on 24 March 2021.

The remuneration report for the business year 2019/20 was decided unanimously. In addition, paragraph 9

of the UIAG statues were adjusted, whereby Mr. Rudolf Knünz was appointed member of the Management Board until 31 December 2021.

04	INTERIM GROUP MANAGEMENT REPORT

PORTFOLIO STATUS AND PERFORMANCE

As at 31 March 2021, Unternehmens Invest AG had shareholdings in the following companies:

			31 Mar 2021	30 Sep 2020
Pongratz Trailer-Group GmbH¹)		100.00%		100.00%
BEGALOM Guss GmbH		70.08%		70.08%
UIAG Informatik-Holding GmbH		90.95%		90.95%
All for One Group SE²)		25.27%		25.07%
Plastech Holding GmbH		100.00%		100.00%
UIAG Beteiligungs GmbH	100.00%		100.00%
¹)	Thereof 1.0% via UIAG Beteiligungs GmbH
²)	UIAG Informatik-Holding GmbH holds another 25.07% of All for One Group SE

Unternehmens Invest AG has no branch offices.

REPORT ON THE SHAREHOLDINGS OF UNTERNEHMENS INVEST AG

IT segment

All for One Group SE

Despite the COVID-19 pandemic and a clearly noticeable reticence from their customers, the strategy of comprehensively taking customers' competitiveness in the digital world to the next level is driving the growth at All for One Group SE.

Recurring revenues increased from € 91.9m to € 97.5m (+6%) and account for 53% of total sales. Cloud services and support increased by 11% to € 41.9m, software support by 3% to € 55.6m. Licensing revenues decreased

by 24% to € 12.0m as a result both of the pandemic and the cloud transformation, whereas consulting and services revenues increased by 2%. The total revenues in the amount of € 185.5m were 2% above the previous year.

The increase in EBIT was proportionately higher than the sales trend, increasing by 14% to € 10.7m, the EBIT margin is 5.8% (H1 2019/20: 5.2%).

The CONVERSION/4 subscription model to migrate customers to SAP S/4HANA makes good progress.

The announced acquisition of SNP Poland is expected to generate additional growth stimulus while expecting a migration wave to SAP S/4HANA.

All for One Group SE is upholding its guidance of 13 November 2020 for business year 2020/21 and continues to estimate a slight increase in sales and an EBIT of between € 17.5m and € 20.5m.

In December 2020 Unternehmens Invest AG acquired 10,000 shares of All for One Group SE and now holds 25.27%. In March 2021 Unternehmens Invest AG received a dividend payment in the amount of approximately € 1.5m from its shareholding in All for One Group SE.

UIAG Informatik-Holding GmbH

UIAG Informatik-Holding GmbH holds 1,248,873 shares (25.07%) of All for One Group SE. UIAG Informatik-Holding GmbH received a dividend payment in the amount of € 1.5m in March 2021 from All for One Group SE

INTERIM GROUP MANAGEMENT REPORT	05

Plastic segment

Plastech Holding Group

Plastech Beteiligungs GmbH holds 74.95% of Kautex Holding GmbH. In the first half of 2020/21 Plastech Holding GmbH acquired another 3.35% of Kautex Holding GmbH from existing option agreements and now holds 15.10% of Kautex Holding GmbH. In total Unternehmens Invest AG holds directly and indirectly 90.05% of Kautex Holding GmbH. Option agreements for the remaining shares of Kautex Holding GmbH exist.

Kautex Holding Group is a world-wide manufacturer of special-purpose machinery, whose product portfolio includes blow-molding machines in various sizes for different applications in four segments (automotive, industrial packaging, consumer packaging and special applications). As already mentioned in the annual financial report 2019/20 Kautex still intensives its focus on the segments Packaging and Special Applications to further reduce its dependance on the automotive segment.

In the first half of 2020/21 Plastech Holding Group achieved revenues in the amount of 35.0 €m which is about 20.5% below the result for the first half of 2019/20. Plastech Holding Group shows a negative EBIT in the

first half of 2020/21, when the industry was still affected strongly by the COVID-19 pandemic. Although a noticeable brightening of the situation is expected in the second half of 2021, Europe still suffers most from the COVID-19 pandemic. Kautex Holding Group is mainly affected by postponements of machine orders and machine acceptances. Nevertheless, the plant in China now operates at above-average capacity and business in the USA

is also picking up.

With the slogan "be one" Kautex Holding Group supports the implementation of consistent processes and standards and a stronger customer orientation in all segments. The production solutions become more intelligent, more modular and more flexible and are consistently adjusted to the specific customer requirements in the individual segments. With the restructuring and pro-active organization of service and distribution the new products can be launched in the market excellently.

UIAG segment

In December 2020 Unternehmens Invest AG acquired 10,000 shares of All for One Group SE at a price of € 52.00 per share and now holds 25.27%.

Also, in December 2020 the credit lines granted by Knünz GmbH and Nucleus Beteiligungs GmbH were increased by € 1,000k in total. As at 31 March 2021, € 19,420k of the credit lines are used.

Other segment

Pongratz Trailer-Group GmbH

Despite the restrictions caused by the COVID-19 pandemic Pongratz Group achieved record results in the first half of 2020/21 and expanded its market share to 36.1% in Austria. Even in Germany Pongratz could increase the market share. Particularly encouraging is the fact that in both countries the market share of Pongratz Group grew more strongly than the overall market.

The COVID-19 pandemic still causes bottlenecks in material availability from suppliers and consequently material prices, in particular for steel and aluminium, increase.

UIAG Beteiligungs GmbH

UIAG Beteiligungs GmbH holds 1.0% of the shares of Pongratz Trailer-Group GmbH.