2015 Results and

2016 perspectives

Laurent Hebenstreit, CEO

Yann Albrand, CFO

Milano, March 1st 2016

1 SOGEFI GROUP

ENVIRONMENT TRENDS & SOGEFI PRODUCTS

END USERSUSAGE COSTS / BENEFITS

• Vehicle total cost• Fuel economy• Less pollutants• Less green house gases• Car sharing• Autonomous car• Infotainment

MEGAPOLESELECTION & COMMUNICATION

• Clean engines• Promote electric vehicles

STATESHEALTH & SUSTAINABILITY

• Pollutant Emissions Regulations• Green House Gas Emissions

Regulations• Test methods standards

SOGEFI - 3 Business Units

SUSPENSIONS FILTRATIONSPRINGS CABIN AIR FILTERSSTABILIZER BARS

AIR & COOLINGINTAKE MANIFOLDAIR BOX and TUBESWATER PUMPSWATER OUTLETSWATER PIPES

FILTRATIONOIL FILTERSFUEL FILTERSENGINE AIR FILTERSCANISTERSOIL SEPARATORSCAM COVERS

FILTRATIONTRANSMISSION OIL SUMP

VEHICLES MANUFACTURERS

ENGINE

TRANSMISSION

VEHICLE

2 SOGEFI GROUP

FILTRATION PRODUCT PORTFOLIO

METALIC

DIESEL FUEL

FILTERS

PLASTIC

GAZOLINE

FILTERS

PLASTIC

DIESEL FUEL

MODULES

CRANKCASE VENTILATION

BLOW BY

SEPARATORS

CAM-COVER

EVAP

CANISTER

AIR

FILTER

ECO ENGINE

LUBRICATION

MODULES

SPIN ON

LUBRICATION

SYSTEMS

DUAL CLUTCH

TRANSMISSION

FILTER

LUBRIFICATION

FUEL

AIR

ENGINE AIR

BOX

3 SOGEFI GROUP

A&C PRODUCT PORTFOLIO

ENGINE COOLING

WATER

PUMPS

WATER

OUTLETS

WATER

PIPES

MANIFOLD

TOP COVER

ENGINE AIR

INTAKE

SYSTEMS

TUBES

AIR

4 SOGEFI GROUP

SUSPENSIONS PRODUCT PORTFOLIO -

PASSENGER CARS

STABILIZER BARS

TORSION, STRAIGHT BARS

COIL SPRINGS

5 SOGEFI GROUP

SUSPENSIONS PRODUCT PORTFOLIO –

HEAVY DUTY

Leaf Springs

Stabilizer Bars

Antiroll, Straight Bars

Stabilinkers

Track adjusters, Coil Springs

6 SOGEFI GROUP

2015 HIGHLIGHTS AND 2016 PERSPECTIVES

o Revenues up by 11.1% in 2015 at €1,5bn (+9.1% like-for-like)

o Solid organic growth in Europe and North America

o Outperforming market production in all geographical areas

o EBITDA up by €6m despite an €8.3m reduction of capitalized expenses

o Net debt reduced by €17.4m in Q4

o New lean organization to strengthen Sogefi’s competitiveness, leveraging

on quality, cost and innovation

o Planned a € 17m investment for a new plant in Mexico

7 SOGEFI GROUP

SOLID GROWTH IN EUROPE AND NORTH AMERICA

€m Q4 2015 Q4 2014 2015 2014

Europe 226.2 215.4 5.0% 4.1% 943.8 872.1 8.2% 7.1% 7.0% 63.0%

North America 72.6 51.9 39.8% 37.6% 264.1 207.3 27.4% 2.7% 18.8% 17.6%

South America 39.6 45.6 -13.1% 2.0% 174.5 181.4 -3.8% -20.5% 2.8% 11.6%

Asia 32.8 22.9 43.2% 32.7% 111.1 82.7 34.4% 4.5% 18.7% 7.4%

Other 1.2 3.4 -64.9% -65.6% 5.5 5.9 -7.1% -8.9% 0.4%

Total 372.4 339.2 9.8% 10.5% 1,499.1 1,349.4 11.1% 9.1% 100.0%

* Constant exchange rate Source: Sogefi and IHS data

weight

based on

2015

reported

change

like for

like

change*

reported

change

like for

like

change*

reference

market

Sales by Region

8 SOGEFI GROUP

WELL BALANCED CLIENT MIX

Sogefi top 10 clients - in % of total sales

In 2015 Sogefi started Suspensions production for Hyundai and Kia

Autodistribution

Toyota

BMW

Volkswagen/Audi

GM

Daimler

PSA

Renault/Nissan

FCA

Ford

2015 201410% 15%

9 SOGEFI GROUP

POSITIVE CONTRIBUTION FROM ALL BUSINESS UNITS

In € million

Revenue breakdown

by Business Unit

Suspensions37.1%

Filtration35.7%

Air&Cooling27.2%

Business Unit sales

reported

change

like for like

change*

Suspensions 10.1% 9.2%

Filtration 13.2% 10.0%

Air&Cooling 9.3% 7.5%

507 474374

558 536

409

Suspensions Filtration Air&Cooling

2014 2015

10 SOGEFI GROUP

2015 RESULTS – P&L HIGHLIGHTS

2014 % 2015 % vs PY

(in €m)

TOTAL NET SALES 1,349.4 1,499.1 11.1%

GROSS MARGIN 455.5 33.8% 496.1 33.1% 8.9%

PROFIT BEFORE INDIRECT EXPENSES 389.4 28.9% 419.9 28.0% 7.8%

Gross indirect operating expenses (280.3) (294.0) 4.9%

Internally made equipment 38.8 30.5 -8.3

Other Non Operating Costs (13.2) (19.5) -6.3EBITDA PRE- NON RECURRING ITEMS 134.6 10.0% 136.9 9.1% +2.3

D&A (59.9) (64.7)EBIT PRE-NON RECURRING ITEMS 74.7 5.5% 72.2 4.8% -2.5

Non recurring items (26.5) (21.5) +5.0EBIT 48.3 3.6% 50.7 3.4% +2.5Interest (Income) Expenses (26.8) (32.8) -6.0PRE-TAX INCOME (LOSS) 21.5 1.6% 18.0 1.2% -3.5Income Tax (13.1) (12.9) +0.2Minority Interest (4.8) (3.9) +0.9NET INCOME (LOSS) 3.6 0.3% 1.1 0.1% -2.5

EBITDA 109.5 8.1% 115.5 7.7% +6.0

CAPITALIZATION - AMORTIZATION INTANGIBLE 16.1 3.2 -12.9

11 SOGEFI GROUP

CAPITALIZATION / AMORTIZATION OF INTANGIBLES

At constant capitalization in 2015:

• Q4 2015 EBITDA would have been €32.4m or 8.7% of sales, slightly above the 8.5% in Q4 2014

• EBITDA for the year 2015 would have been €123.8m +13.1% versus 2014

Lowest capitalization since Air & Cooling acquisition in July 2011

12,5

18,4

34,139,2 38,8

30,5

10,313,4

18,621,2 22,7

27,3

0

5

10

15

20

25

30

35

40

45

2010 2011 2012 2013 2014 2015

capitalization amortization

12 SOGEFI GROUP

2015 RESULTS – FCF HIGHLIGHTS

€m 2014 2015

NET DEBT 304.3 322.3

Net financial debt was reduced by

€ 17,4m in Q4 2015 to € 322.3m

versus € 339.7m at end September

2015

2015 FCF includes € 18m

advanced payment to the 2 car

manufacturers on warranty claims.

Without this negative impact, the

net debt would have remained

unchanged over the year (€ 304.3m

as of end 2014).

€m 2014 2015

Ebitda w/o non recurring 134,6 136,9

Changes in net working capital 8,0 (2,7)

Capital expenditures (84,4) (81,6)

Other operating asset (liabilities) (2,6) 1,4

OPERATING CASH FLOW 55,6 54,0

Warranty claims (2,9) (20,3)

Restructuring (17,7) (20,0)

Disposal of assets 3,9 4,2

Non recurring items (16,8) (36,1)

Taxes (12,7) (14,3)

Interests (22,3) (28,4)

FREE CASH FLOW 3,8 (24,8)

13 SOGEFI GROUP

UPDATE ON THE QUALITY CLAIMS

Claims by 2 car manufacturers related to Cooling products developed by Systèmes Moteurs (SM) before

its sale to Sogefi (July 2011)

Legal procedure against the supplier of the defective sub-part initiated by SM in 2012 at the Chateauroux

Court in France

In June 2012, the Court has appointed an expert to investigate the technical and financial issues :

• root cause

• technical responsibilities

• assessment of damages

In 2015, the 2 car manufacturers have joined the expertise

Current claims (yet to be assessed) :

• € 122.8m, out of which € 60.4m before the closing € 26.6m in the 7 months after (according to

Sogefi’s estimates)

• € 65.9m for brand damage/ loss on future sales, deemed remote by our lawyer.

The company already has paid € 3.0m via debit notes + € 18.0m of advance payments in H1 2015.

As of June 2015, Sogefi prudently has booked an accrual of € 11.8m

Sogefi has started an arbitration procedure against the seller of SM. A decision is expected in 2016

14 SOGEFI GROUP

FOCUS ON QUALITY: BACK TO BASICS

Action plan for an increased focus on quality

Introduction of a new mindset at all company levels

All managers MBO to include Quality KPIs

All people to get at least one Quality objective at their own level

Increase detection and reactivity for customer claims management. Better tracking of

the problem solving process

Reinforcement of technical expertise of the Group

Simplified process flow

Collection of best practices/lesson learned

Increased involvement of top management and BU general managers

Quick Response Quality Control

15 SOGEFI GROUP

FOCUS ON RAW MATERIALS

1) Action plan for savings on Raw Materials

Use of alternative raw materials

Improve pricing through negotiations

Develop supplier network

Partner with a limited number of suppliers

Low cost / Best cost sourcing

2) Limit and mitigate negative impact of raw materials prices increases in Brazil

and Argentina

3) Capture additional savings opportunities from raw materials prices decreases

16 SOGEFI GROUP

NEW LEAN ORGANIZATION

CEOL. HEBENSTREIT

HumanResources

Finance, I. S. and

Administration

Innovation &Product

Marketing

Finance

InformationSystems

Purchasing

Legal

Engine SystemsProjects Asia

Mergers &Acquisitions

BEFORE OCTOBER 1st 2015

OperationalEfficiency

CEOL. HEBENSTREIT

Central functions are reduced from 7 to 3:

Finance, Information Systems and Administration

Innovation et Product Marketing

Human Resources

“Lean”, therefore lighter, simpler

and less expensive

17 SOGEFI GROUP

NEW PRODUCT ORIENTED ORGANIZATION

Air & CoolingBusiness Unit

SuspensionsBusiness Unit

FiltrationBusiness Unit

North AmericaRegion

CEOL. HEBENSTREIT

OCTOBER 1st 2015

North America Region to support all three business units

Enhance synergies and best practices sharing

Develop new business opportunities

Three product Business units

Direct purchasing within business units

CEOL. HEBENSTREIT

BEFORE

Engine SystemsBusiness Unit

AftermarketBusiness Unit

SuspensionsBusiness Unit

18 SOGEFI GROUP

FOCUS ON INDIRECT COSTS

Structure costs reduction

Cost rationalization

New, lean, product-oriented

organization

New plants designed more

efficiently

Capacity expansion in low cost

countries

Gross indirect costs on sales

In 2015 gross indirect costs were 19.6% of total sales,

the lowest ratio for Sogefi

Action plan for savings on

indirect costs

21,8%

20,1%20,9% 20,7% 20,8%

19,6%

2010 2011 2012 2013 2014 2015

19 SOGEFI GROUP

INVESTING FOR PROFITABLE GROWTH

0,0%

0,5%

1,0%

1,5%

2,0%

2,5%

3,0%

3,5%

4,0%

0

10

20

30

40

50

60

2010 2011 2012 2013 2014 2015

Tangibles % on sales

increase production capacity

industrialize new products

Tangible investments

improve processes

increase productivity

2015 Sogefi investments priorities:

In € million

20 SOGEFI GROUP

INVESTMENTS FOR PROFITABLE GROWTH

NEW PLANT IN MEXICO

€ 17m investment at Monterrey in a new plant

serving all three Business units

Suspensions building

Filtration and A&C building

3D Rendering

Building completion as of mid February

16,000 m2 of total covered surface

€ 60m of additional sales after start up phase

21 SOGEFI GROUP

SOGEFI’S PRODUCTION IN NORTH AMERICA

Sogefi footprint

Target sales in Mexico and United States

Chrysler

Ford (Hermosillo)

Ford

Daimler

80%

20%

BMW

VW

Co-localization of facilities maximizes

synergies in management, back office and

taxes

Possibility to expand the building from

16,000 m2 to 25,000 m2

Total surface of 45,600 m2

Location is about 10 km driving distance

from international airport

Plant is about 20 km from Monterrey center

22 SOGEFI GROUP

2016 OUTLOOK

In 2016 the global car market is expected to increase by 2.5%.

Sogefi expects to continue the positive trends in North America, China and

India.

In Europe after the important business expansion seen in 2015, the company

expects a more modest growth, while in South America market conditions

remain difficult.

23 SOGEFI GROUP

CONTACTS

Yann Albrand, Group CFO

Laura Pennino, Investor Relations

SOGEFI

Via Flavio Gioia, 8

20149 Milano – Italia

Tel: 39 02 4675 0214

Fax: +39 02 43511348

Mail: ir@sogefigroup.com

24 SOGEFI GROUP

DISCLAIMER

• This document has been prepared by SOGEFI S.p.A. for information purposes only and for use in presentations of

the Group’s results and strategies.

• For further details on the SOGEFI Group. reference should be made to publicly available information. including the

Annual Report. the Semi-Annual and Quarterly Reports.

• Statements contained in this document. particularly the ones regarding any SOGEFI Group possible or assumed

future performance are or may be forward looking statements and in this respect they involve some risks and

uncertainties.

• Any reference to past performance of the SOGEFI Group shall not be taken as an indication of future performance.

• This document does not constitute an offer or invitation to purchase or subscribe for any shares and no part of it shall

form the basis of or be relied upon in connection with any contract or commitment whatsoever.