LEADING INNOVATION Annual Profile 2019 Bobst Group SA GUIDED BY KEY FIGURES INNOVATION

BOBST has been continuing its quest for In million CHF 2 018 2 017 2 016 2 015 Assets Non-current assets 501.9 29% 451.3 28% 413.0 29% 419.7 31% innovation and excellence for over 125 years. Current assets 1 219.7 71% 1 142.7 72% 989.7 71% 928.6 69% 1 721.6 100% 1 594.0 100% 1 402.7 100% 1 348.3 100% We are inventors and one of the world leaders Liabilities Equity 553.5 32% 559.4 35% 477.5 34% 421.8 31% Non-current liabilities 405.5 24% 381.7 24% 388.9 28% 391.7 29% in our industrial sector – in packaging and Current liabilities 762.6 44% 652.9 41% 536.3 38% 534.8 40% 1 721.6 100% 1 594.0 100% 1 402.7 100% 1 348.3 100% label solutions. Our expertise is not limited to Net cash/Net debt -20.7 132.9 51.3 -1.7 producing the machines which have made Sales 1 634.5 1 528.6 1 446.6 1 330.9 our reputation. With the same focus on high Operating result (EBIT) 86.5 118.7 103.7 83.9 standards, we have also developed a range As % of sales 5.3% 7.8% 7.2% 6.3%

Net result 50.4 106.9 84.3 6 7.1 of services which cover the entire conversion As % of sales 3.1% 7. 0 % 5.8% 5.0% process and its optimization. As % of equity 9.1% 19.1% 17.7% 15.9% Capital expenditure (CAPEX) 55.2 53.4 2 7. 0 20.9

Return on capital employed (ROCE) 14.2% 23.2% 19.9% 16.0% Contents 04 BOBST at a glance 06 Driving innovation Share income 08 BOBST markets Share price at the end of the year 68.3 129.6 70.8 42.0 10 Innovations Market capitalization 1 128.2 2 140.8 1 169.5 693.0 12 Industrialization 14 Product overview EPS (16 518 478 shares) 3.84 6.93 5.08 4.02 16 New models Price-earnings ratio 17.8 18.7 13.9 10.4 22 Packaging expert and printing expert Dividend paid: 24 Services 30 Competence and Demo Centers – total, in million CHF 24.8 42.9 28.1 20.6 32 Global presence – payout ratio 49.2% 40 .1% 33.3% 30.7% 34 Sustainability – dividend yield 2.2% 2.0% 2.4% 3.0% 36 Agenda 38 Strategy 40 Letter to shareholders Headcount 5 660 5 397 5 055 4 907 44 Consolidated financial statements % change compared (Extracts from Bobst Group Annual report 2018) to previous year 4.9% 6.8% 3.0% 1.4%

Long-term financial targets – Sales (in million CHF) 1700 – 1 800 – Operating result (EBIT) min. 8% – Return on capital employed (ROCE) min. 20% – Payout ratio 30 – 50% – Equity ratio 40 – 45%

2 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 3 BOBST AT A GLANCE INVESTMENT EXPANSION BOBST ORGANIZATION MARKET PENETRATION KEY FIGURES

BOBST provides machines, services, workflows and consumables for packaging IN 2019 and label converters, and brand owners. CHF 1.6 3 billion turnover Business Unit in 2018 SHEET-FED

Business Unit More than 5 600 WEB-FED highly qualified employees worldwide

PACKAGING AND LABEL CONVERTERS BOBST customers Business Unit SERVICES

More than machines1 sold 400 FOLDING in 2018 CARTON BOBST is one of the world’s leading suppliers – Folding carton – Pressure sensitive adhesive – Corrugated board (PSA) tape production of equipment and services to packaging – Flexible materials – Security applications and label manufacturers, providing machinery, – Packaging for liquids – Decorative printing FLEXIBLE solutions and technical expertise to its – Commercial print finishing – Tobacco applications MATERIALS – Label manufacture – Industrial applications MAIN customers in these industries: – Sack & bag production

INDUSTRIES CORRUGATED BOARD BOBST is one of the world’s SERVED leading suppliers of equipment 4with innovative packaging LABEL and services to packaging and label solutions and label manufacturers

4 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 5 DRIVING INNOVATION

BOBST FOCUSES ON A FOUR-STEP APPROACH TO DRIVE AND LEAD INNOVATION IN ITS CORE BUSINESS.

BOBST tracks today’s needs BOBST invests up to 6% BOBST transforms today’s BOBST production lines and packaging trends to of its turnover into R&D packaging trends into are designed to deliver develop innovative solutions every year. We have a global outstanding packaging accuracy, flexibility, for the world market reputation for delivering solutions. For more performance, and ease and create value for its innovations that drive than 125 years we have of use, while the wide customers. performance and quality. successfully taken variety of processes, sizes innovations from and levels of automation prototyping to market available suit the needs of serialization. a huge range of users.

6 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 7 PIONEERING OF ALL GLOBAL PACKAGING SALES ARE ACCOUNTED PACKAGING FOR BY INDUSTRIES 59 % SERVED BY BOBST BOBST IS A LEADING SUPPLIER TO AHEAD OF MARKET TRENDS THE GLOBAL PACKAGING MARKET Functional packaging: a key driver for success Consumers expect packaging to be much more Global Market functional: with 61% of all US households Global packaging industry: comprising of just one or two people, packages $ 828 billion sales in 2016* sized to serve singles or couples have become more commonplace. Such formats The market will reach Flexible plastic include single-serve packaging, meals for $ 980 billion by 2022 two, multi-packs of individual portions, and 15 % re-sealable packaging. * Source: Smithers Pira, 2017, The Future of Global Packaging to 2022 See-through packaging: Flexible foil & flexible paper a good way to value the goods Many consumers are more likely to buy something if they can see it, partly because clear packaging 8 % gives products an aura of being natural. As a result, more and more marketers are putting their products in packages that are see-through or have transparent windows. Corrugated board & folding carton 36 % New package recycling imperatives: improving sustainable practices Millennials want packaging with less waste and more recycling, and are willing to pay a premium for it. They view brands packaged in a carton as healthier, fresher and easier to store and recycle. 90% of corrugated cardboard production comes from recycled materials. VALUE CREATION FROM BRAND OWNER TO CONSUMER On-the-go packaging: BRAND OWNERS MANUFACTURING reaching all segments of society OF GOODS More and more people today eat and drink on the go, demanding higher quality and more PACKING & RETAILERS CONSUMERS choice. As a result, the demand is increasing for LABELING single-serve, ready-to-consume and, most of OF GOODS all, convenient product packaging, which is easy

MACHINES SERVICES WORKFLOWS CONVERTERS PACKAGING AND LABEL to hold, open, use and reseal. MANUFACTURING

BOBST CUSTOMERS OF BOBST

8 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 9 TRAILBLAZING DELIVERING DIGITALIZED SOLUTIONS SOLUTIONS BOBST is investing to enable the digitalization of packaging production, helping brand owners to operate agile facilities. From product A passion for innovation has been encoded design to printing and converting, each of the into BOBST’s DNA for more than 125 years. machines will be connected to exchange digital By continuously moving forward, our information, enabling smart functionalities and remote services capabilities. The Internet 6 % engineers translate today’s packaging trends of Things (IoT) is part of the BOBST digitalization, Investment into outstanding packaging solutions. impacting the way packages will be produced in R&D in the future.

The world’s first BOBST ACCUCHECK­ automatic die-cutter, becomes the first FFG 8.20 EXPERTLINE the BOBST AP 900, To help pharma- built-in zero-fault is the only equipment Mouvent, the enters production BOBST CUBE, an ceutical companies quality control worldwide to offer Digital Printing and revolutionizes operator-machine meet strict new EU system for folder- a fully automated Competence Center the process of interface specially packaging legislation, gluers. BOBST production, from the of BOBST, created cutting and creasing developed by BOBST, BOBST develops the General Hawkeye feeding of the board the MouventTM INVEST FOR carton board. Even provides improved ACCUBRAILLE sys- detects, counts and (pre-feeder) down Installation and start Cluster: a printing today, AP 900 die- signals and informa- tem for fast, accurate categorizes pinholes to the palletizer. Fast, up of the first digital solution for all THE FUTURE cutters are still tion. The screen and reliable rotary and other metallizing effective and highly ­printing presses substrates, in use in parts of makes operating any Braille embossing defects from 0.1 mm capable, the line is for corrugated board applications­ and BOBST invests up to 6% of its the world. machine very easy. onto drug packaging. upwards. truly awe-inspiring. applications. markets. turnover into R&D every year to 580 engineer the solutions that pack­- R&D Employees STRIVING FOR aging and label manufacturers NEW ­PERSPECTIVES need in the future. 580 highly qualified R&D employees at BOBST work steadily on the next generation of innovations.

1940 1942 1992 2000 2008 2010 2011 2012 2013 2015 2017 2018 2019

LEADING INNOVATION Intellectual property­ fosters our ­innovation BOBST launches POWER REGISTER The MASTERFOIL The platform-based Expanding markets From solid board and development. STATE-OF-THE-ART the PCR 382, its first is the only register 106 PR is the first hot F&K 20SIX Cl flexo with nine new up to double wall folder-gluer. Applying system with cut-to- foil stamper with press brings models, including corrugated board COATING SOLUTIONS a range of techno- print capabilities cam driven and Power outstanding print the MW 85F in the boxes, the highly logical solutions, the and no sheet-edge Register technolo- quality. picture. productive and fully To strengthen its leadership in PCR 382 establishes contact registration. gies. MASTERFLUTE automated SPEED- coating, Bobst Technology Center in a trend for innovation It drastically re- is the latest PACK delivers that continues right duces setting times generation Asitrade strapped bundles San Giorgio Monferrato is developing up to the present day. and eliminates high performance in a wide range of a new pilot line, ready in 2019. feed related stops. sheet to web formats. Highest production laminator. guaranteed. 3 150 Filed, registered or granted intellectual property rights

10 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 11 BOBST builds the bridge from prototyping to industrialized series.

PRODUCTION INDUSTRIALIZE ON DEMAND THE ­MANUFACTURING PROCESS IS DESIGNED TO PRODUCE THE FUTURE ON TIME – WITH REQUIRED QUALITY LESS STOCK OUTPUT AND MINIMUM WASTE. NEEDED By hosting R&D, production, lean processes at Redesigning the production process fourteen production sites worldwide, BOBST enables BOBST relies on lean production process. We have the successful launch of new product concepts: successfully redesigned the entire production process building the bridge from a prototype to an industrialized without compromising quality or volume. The result: DEFECT-FREE OUTPUT series and implementing new technologies into the increased efficiency and visible impact on business production of mature products. performance.

Through constantly listening to customers, investing Key success factors for increasing customers’ satisfaction in R&D, and by accumulating unmatched skills and Each machine ordered can be configured with a wide range OPTIMIZED FLOWS EFFICIENT experience among our people, BOBST has been producing of options from our catalog. On top of these, we also TRANSPORT equipment at the forefront of technology for decades in offer bespoke solutions tailored to the specific needs of our converting, coating and laminating, printing, and printing customers. We produce high-quality machines and for MEETING MINIMUM WAITING TIME and converting. us going the extra mile and delivering even more, is part of CUSTOMERS’ EFFICIENT USE EXPECTATIONS OF SKILLS our culture.

12 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 13 Peripherals BREAKER 2 FLAT TRACK SP 162 CER LOADER-AF/ML PALLETIZER

NOVACUT 106 600P/PTD Peripherals FS POLYJOINER SPEEDPACK VISIONCUT STREAMPACK VISIONCUT 106 1.6 400F/FTD CO 750 K4000 CRUCIBLE EXPERTCUT EXPERTCUT VISIONFOIL 104 1.6 LILA II 10 6/14 5 106/145/170 CO 850 Peripherals K5 VISION CARTONPACK 4 EXPERTFOIL 104/142 MASTERCUT 700F/FTD CO 1000 EASYFEEDER/ EXPERTFOLD 1.7/2.1 MASTERCUT BATCH INVERTER 4 145/165 10 6/14 5 SL 850/HP HANDYFEEDER CB K5 EXPERT HANDYPACK GT FC EXPERTFOLD MASTERFOIL 106 CO 5000 SL 1000/HP 170/230/300/350 Extrusion Die-cutting coating & AMBITION Vacuum laminating CL 750D 50/76/106 coating & VISIONFOLD MASTERFOLD CO 8000 50/80/110 Hot foil stamping metallizing 170/230/300/350 CL 850D

EXPERTFOLD B LEMANIC C

Coating CL 850TD 50/80/110 SPEEDFLOW

CL 1000D MASTERFOLD LEMANIC C Folding-gluing 75/110 F SEPARATOR CL 1000TX

Laminating LEMANIC

SHEETER CONVERTING COATING & flexible materials LEMANIC RDC LAMINATING FOLIOSTAR 165 MATIC LEMANIC FCC LEMANIC NOVAFLUTE VISIONFLUTE Carton web-fed EXPERTFLUTE DRIVE/V-DRIVE Litho- LEMANIC converting MASTERFLUTE laminating SLEEVEXPERT TOUCH DREAM Legend FC = Folding carton Flexo printing – CB = Corrugated board flat bed Flexo FM = Flexible materials die-cutting post-printing MACHINES MASTERLINE 1.7/2.1

Narrow and mid- PRINTING & PRINTING MASTERFLEX-HD The BOBST equipment range EXPERTLINE/ web multi-process + THQ FlexoCloud MASTERFLEX-XL Peripherals CONVERTING VISIONLINE 1.6 printing and + THQ FlexoCloud encompasses solutions from BREAKER 2 converting INLINE Flexo printing FLEXO 160-VISION FLAT TRACK inline standalone machines to fully LOADER-AF/ML EXPERTFLEX-NT Peripherals LOADER-AF/ML integrated, tailor-made lines, each PALLETIZER Flexo printing – M9 folding-gluing M6 offering the exacting quality and Rotogravure high performance that packaging Flexo printing – printing M5 M6 rotary M F and label manufacturers need. die-cutting M4 Carton gravure CI flexo

FFG 1228/32 printing & M3 printing FC M5 converting + THQ FlexoCloud – M1 1632/36 NT RS MX RS 4004X HS M4 FFG 1228/32 – 1632/36 NT Mobile M3 LEMANIC DRO 1624/28/32 NT HBL RIVIERA ILS GP 700D FFG 924 NT RS + THQ FlexoCloud LEMANIC 90SIX M1 + THQ FlexoCloud RIVIERA ILS MW 60/MW 80 EXPANDING

MX FFG 924 NT Mobile LEMANIC DELTA DIGITAL­ PRINTING DRO 1624/28/32 NT RS 40SEVEN + THQ FlexoCloud RS 6003 COMPETENCE FFG 8.20 EXPERTLINE LEMANIC DELTA

RS 6002 FFG 8.20 DISCOVERY GP 500L 20SEVEN DRO 1624/28/32 NT Mobile RS 5002 FFG 618 QUATRO Peripherals DRO MULTILOADER Peripherals MW 85 F DRO PALLETIZER FFG MULTILOADER RS 3.0 FFG PALLETIZER PREMIUM GAP CONTROL

14 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 15 EXPANDED PROCESS ­CONSISTENCY

BOBST DELIVERING ON CUSTOMER NEEDS BRIGHT ­STRIKING FAST CHANGE­ MAXIMIZING PROCESS A GAME-CHANGING QUALITY SHIFT COLORS OVERS CONSISTENCY IN PROCESS CONSISTENCY

The very latest press in the range of BOBST CI flexo printing solutions, the 20SEVEN press, sums up the objectives of BOBST’s continuous updating and upgrading of its flexo printing technology, aimed at maximizing process consistency SUPERIOR and delivering solutions which are ready to take on the future triLOCK smartFLO PRINT requirements of packaging. SYSTEM SYSTEM QUALITY

The 20SEVEN press delivers increased efficiency By eliminating manual locking, the triLOCK The features of the smartFLO inking system and with conventional printing, and the notable system avoids process inconsistency and chamber doctor blade deliver predictable, stable improvements in mechanical design and process even the slightest deviation from perfect and controlled printing results. This enables control make the machine a perfect fit for positioning, in addition to making the work users to take full advantage of the opportunities the requirements of the 7-color Extended Color sequences easier and faster for of ECG to reduce manufacturing costs, increase Gamut (ECG) printing process. the operator. consistency, and reduce errors and variables due 20SEVEN to manual setting. CI FLEXO PRESS

EXPANDED PROCESS CONSISTENCY

16 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 17 TRANSFORMING SOLUTIONS

CUSTOMER NEEDS BOBST DELIVERS

Traditional metallization (even with Plasma treatment) BOBST has developed an innovative approach to can result in poor metal to polymer substrate bonding. address this common issue in the packaging industry This produces delamination which leads to packaging through its vacuum metallizers, eliminating the failure. Metal adhesion has long been a challenge need for chemically treated films. in the packaging world due to this interlayer bonding failure.

SURFACE ENERGY Increase dyne level retention RETENTION In addition BOBST AluBond® has also been shown to significantly increase dyne level retention. This is an added benefit to the improved metal bonding strength which translates in improved ink wettability during printing and enhances structure stability during lamination.

HIGH ADHESION ON Increase metal bond strength METALLIZED FILMS BOBST AluBond® has been shown to greatly increase metal bond strength and metal adhesion on the most commonly used substrates (PET, BOPP, CPP and PE) during aluminum vacuum metallization. BOBST AluBond® stimulates the chemical bonding at the interface hence.

ENHANCED BARRIER High barrier on BOPP and CPP Films When AluBond® is applied to BOPP and CPP films it provides enhancement­ of oxygen (OTR) and water vapor (WVTR) barrier performance.

PROCESS KNOW-HOW Training program BOBST AND CONSULTANCY As well as developing and supplying innovative solutions to the AluBond® industry, BOBST is unique in the vacuum metallizing industry as a supplier who can also help customers to optimize processes such as BOBST AluBond® for their own specific film requirements. HYBRID COATING PROCESS

18 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 19 ZERO-FAULT PACKAGING

CUSTOMER NEEDS BOBST DELIVERS

In today’s hectic and time-pressured world, zero-fault packaging is the This in-line inspection system for MASTERFOLD 75 I 110 and EXPERTFOLD 50 I 80 I 110 Holy Grail of packaging production. Most companies no longer have the folder-gluers carefully checks carton blanks for defects and guarantees complete quality luxury of Quality Control personnel carefully checking their packing and consistency. Based on the 25-year experience of BOBST’s Registron technology, this filling process – ever-tighter margins and increasing competition have highly flexible tool allows to inspect different box areas according to various quality criteria, seen to that. So instead, packaging must be – in theory – fault-free while remaining easy and quick to operate. on arrival. The onus for quality assurance has shifted from the goods producers and packer-fillers to the packaging manufacturer.

IMPECCABLE Inspection capabilities RESULTS ––100% quality controlled production. ––Ability to deliver zero-defect products. ––Precise definition of control sensitivity through dedicated zones. Carton ––Inspection capabilities include stable and accurate color measurement damage and enhanced text inspection, regardless of text position or color. ACCUCHECK 2 detection

IN-LINE INSPECTION SIMPLE USE Human Machine Interface SPHERE SYSTEM ––Several operating modes for customized setting and easy operation, to perfectly adapt to the set quality criteria. ––Inspection parameters can be saved and recalled. Color ––Repeat order sets within seconds. measurement ––Automatic ejection of faulty boxes.

HIGH Performance ADAPTABILITY ––In-line system, avoiding an extra step in the production process. ––Cuts running costs of quality checks. ––Highly customized inspection. ––Quality control reporting according to customer validation targets. ––New energy-efficient motors. Text ––Dust elimination device, removes particles to avoid external contamination. control

Print-to-cut register

20 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 21 PACKAGING EXPERT AND PRINTING EXPERT

POWERING PRINTING AND PACKAGING ­ACROSS INDUSTRIES TO HELP SUBSTRATE CONVERTERS AND BRAND OWNERS FLEXIBILITY WORK MORE EFFICIENTLY. CHOICE OF TECHNOLOGIES PRINTING IS A KEY COMPONENT ­ IN PACKAGING PRODUCTION. Labels From 1 to 1 million labels. Access the INNOVATIONS AND ENGINEERING most advanced technologies. Inkjet printing, EXPERIENCE CREATE VALUE FOR Digital REVO Flexo (ECG) and X-Flower™ flexo process answer the needs of the most CONVERTERS, BRAND OWNERS demanding clients. AND CONSUMERS. PRODUCTIVITY

The role of packaging is evolving. The way Flexible materials brands design and distribute products is Cutting edge technologies – gravure and CI changing. BOBST works on new solutions to flexo – combined with high manufacturing support the requirements of converters, standards ensure premium print quality and brands and retailers. long-lasting value for any jobs. COLOR ACCURACY

Folding carton Inkjet, flexo, gravure. Technologies and experience to deliver all jobs – from sampling to long runs with the highest press uptime and best economics. LEADING Corrugated board ECONOMICS Continuous innovations delivering all that corrugated production requires. Unmatched print quality, high productivity, great flexibility and low cost with high flexo process efficiency THQ FlexoCloud, and the forthcoming inkjet direct to board printing.

22 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 23 CUTTING-EDGE

Performance Helpline solutions Field SERVICES technicians Technical Spare parts & coaching Consumables

Tooling Education EXPERT CORE SERVICES SERVICES Apps

Process optimization S Relocation

Boost SERIES Quality

Maintenance Boost Productivity BOOST MAINTENANCE MY BOBST SOLUTIONS Boost Availability

Boost Settings Business optimization Boost Ecofriend- liness Boost Ergo- Boost Inspection & nomics Safety Refurbishing

BOBST’s complete range of services embraces EXPERT CORE MAINTENANCE BOOST the entire conversion process and embodies SERVICES SERVICES SOLUTIONS MY BOBST the quest for excellence and innovation that we As a world leader for decades, BOBST Exceptional services to ensure Preventive maintenance contracts and BOBST has designed and created have pursued for over 125 years. BOBST has acquired unique knowledge of our machines provide extraordinary one-off repair sessions: BOBST places hundreds of ways for its clients to service solutions are all designed to maximize the technology and the market. BOBST performance levels at all times. all its expertise at the client’s disposal extend the lifespan of their machines, clients’ productivity, quality and availability. has used this to develop knowledge This includes remote assistance so that their machines run at peak add features, boost performance transfer services so that clients can and monitoring applications, nearly performance. Today, tomorrow, and and improve their productivity. Some enhance their own knowledge and 1 000 field technicians, a large on into the future. are included as standard, most as skills, helping them to become ever stock of different components and tailor-made solutions. more competitive. efficient logistics services. The Benefits tooling solutions ensure improved ––BOBST experts available at all times. Benefits Benefits productivity and quality. ––Increased equipment availability. ––Longer lifespan, better ROI. ––Process optimization for machine ––Maintenance costs controlled. ––Reduction of production cost. or entire plant. Benefits ––Optimized production quality. ––Better ergonomics and safety. ––Better trained, skilled, motivated ––Top-level performance. ––Extended equipment life ––Performance improvements. and productive personnel. ––Improved uptime. expectancy. ––Reduction of carbon footprint. ––Chosen level of availability, quality ––Enhanced quality. or productivity guaranteed.

24 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 25 SHIFTING PERSPECTIVES

MyBOBST is a new and resourceful client portal. It is the best place to quickly and easily find It is personalized, fast, and open 24/7. information or place an order for the BOBST equipment the client owns.

Real-time machine data Machine upgrade Training Spare parts Technical assistance Documentation manuals MyBOBST provides access to the Catalog of all Boost my BOBST A section grouping all training content The portal offers a spare parts catalog Remote support Access to all machine documentation, Connect portal web application upgrades available, to easily for the BOBST machines owned by with interactive drawings and direct Request telephone assistance constantly updated and enriched, to view and analyze production data identify relevant upgrades, access the client. placement of orders. The progress of or a field service technician with as well as interactive parts drawings. from the machines in real time. information and place orders. the order can be monitored as well one click. as follow-up of previous orders placed and an easy and quick management of repeat orders.

DRIVING DIGITIZATION FOR OUR CUSTOMERS

FULLY CONNECTED

26 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 27 POWERING PRODUCTIVITY

BOBST DIGITAL INSPECTION ­ TABLE – A GAME CHANGING QUALITY ASSURANCE CENTRE

The BOBST Digital Inspection Table is the most rapid and assured way to proof printed sheets and die-cut blanks for quality control. The product sample sheet is placed on the table and the original artwork is projected onto it. The HD digital projectors enable to clearly see – in real-time – FOCUSED ­ exactly how the sample compares to the original, highlighting any discrepancies. When everything is digital there is no QUALITY CHECKS need for storage of tracings.

ENHANCED OPERATOR SKILLS

DATA DRIVEN ­ DECISION MAKING

DIGITAL INSPECTION TABLE­

DEFECTS FOUND ACCURATE WARP DATA GAME CHANGING & CORRECTED ­REGISTRATION ANALYSIS REPORTING QUALITY ASSURANCE

PRINT DEFECTS FOUND FAST, ACCURATE AND INDUSTRY FIRST – FULLY INTEGRATED DATA AND CORRECTED ­PAPERLESS REGISTRATION DIGITAL WARP ANALYSIS ­REPORTING ––Fast and accurate operator Cut-crease side and grip edge. Clear pass / fail indication. Live data feeds to PC and tablet. identification. ––Avoid costly customer rejections.

28 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 29 LEADING COMPETENCE

Demonstrating its commitment to working closely alongside its customers, BOBST operates facilities across the world for its customers to view and trial the advanced technology solutions that are available, as well as furthering the joint development of improved processes.

Competence Center in Lyon, France.

PROXIMITY PERFORMANCE

Ideal locations for training and customer testing, HEYWOOD BIELEFELD BOBST Competence Centers operate primarily REDDITCH MEERBUSCH ROSELAND as laboratories, allowing us to validate materials MEX SAN GIORGO and equipment in real operating conditions while LYON FIRENZE CHANGZHOU integrating the specific workflow requirements of the customer. SHANGHAI PUNE BOBST invests to be Competence Center in Mex, Switzerland. closer to customers and their needs. By the end BOBST experts tailor all visits by customers to their of 2019, eight Competence exact requirements, to generate the best results, Centers will be in operation for both processes and solutions. across the world. These exclusive facilities enable ITATIBA us to demonstrate both our expertise and our innovative approach to customer processes. Competence Center in San Giorgio, Italy. Competence Centers Demo Centers

30 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 31 DELIVERING INNOVATION F S

WORLDWIDE U K G R U S R R F S S I G

U S K I E U E S R E I S

BOBST has production facilities on three continents, as I well as a sales and services network with facilities in more than fifty individual countries. This worldwide coverage is one of the key factors behind BOBST’s position of leader- ship in its industry. By delivering support close to its customers, in their language and with respect to their S customs, BOBST helps customers achieve higher quality, improved productivity and reduced operating costs.

Group production sites Strategic partner: with sales and services BHS Group, Germany

Other subsidiaries: Boxplan GmbH, Germany Number of Group production sites Gordon Ltd, China in the country Mouvent AG, Switzerland

Group companies and representative offices for sales and services

Agencies and representatives for sales and services

32 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 33 EMPOWERING SUSTAINABILITY

SUSTAINABILITY AND MEDIA CREATION As one of the global industry leaders, BOBST is committed to implementing initiatives that advance Educating young people about media project. Bobst UK & Ireland globally relevant sustainability topics. Our sustainability sustainable strategies, nurturing sponsors this competition and their creativity and encouraging thus encourages understanding strategy therefore aims, each year, to support those collaborative work are the goals of the role of design for packaging United Nations sustainable development goals we can. of the Shine School Media Awards, and consideration of a career which reward secondary schools in this area. in the UK for an outstanding

INNOVATIVE, RECYCLABLE AND DURABLE SUBSTRATES The latest state-of-the-art barrier function, to make vacuum metallizers and recycling feasible. In the future, wet coating equipment from the Group will pursue the study BOBST make it possible to of other more environmentally greatly reduce the thickness of friendly production processes aluminum applied to packaging to massively reduce the carbon films, without altering their footprint of packaging.

PRINT THAT RESPECTS THE ENVIRONMENT With less ink, fewer printing offering substantial cost and plates, and reduced color consumables savings. A solution changes, BOBST’s THQ FlexoCloud that respects the environment printing process delivers and is more productive. It the highest print quality while is a win-win across the board.

FOR THE NEXT GENERATION For more information, please read: Sustainable Development Report 2018

34 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 35 INSPIRING MAY JUNE 7– 9 May 16–26 June LABELEXPO DRUPA SOUTH EAST ASIA Düsseldorf, THE FUTURE Bangkok, Germany Thailand MARCH May HIGHLIGHTS AND MILESTONES 28 Feb.–4 March 12–15 March BOBST LYON INDIAPLAST PROPAK AFRICA OPEN HOUSE Delhi, India Johannesburg, Bron, France South Africa 5–8 March EXPOGRAFICA 19–21 March JANUARY Mexico City, Mexico FLEXO & LABELS 2020 São Paulo, Brazil 5–8 Jan. FEBRUARY 12–14 March ARABPLAST ICE EUROPE SEPTEMBER 1–6 Feb. Dubai, United Munich, Germany PRINT PACK INDIA Arab Emirates 13 –17 Sept. Delhi, India SUPERCORREXPO APRIL Orlando, USA 1–5 April 9–13 April OCTOBER BOBST MEERBUSCH PRINT CHINA MASTER DAYS Dongguan city, 20–24 Oct. Meerbusch, Germany China ALL IN PRINT Shanghai, China 1–4 April 15–18 April BOBST FIRENZE GULF PRINT & PACK OPEN HOUSE Dubai, United Firenze, Italy Arab Emirates

MAY FEBRUARY 1–3 May ODYSSEY EXPO PLASTINDIA Atlanta, USA New Delhi, India 21–24 May 2019 CHINAPLAS DECEMBER SEPTEMBER JUNE Guangzhou, China 3–6 Dec. 12–14 Sept. 18–21 June LABELEXPO ASIA ESU TECHNO- ROSUPACK Shanghai, China LOGY FORUM Moscow, Russia OCTOBER Luxembourg, 2021 Luxembourg 2–4 Oct. 16–23 Oct. BOBST ITALIA OPEN K 2019 18–21 Sept. 24–27 Sept. HOUSE Düsseldorf, PACK PRINT LABEL EXPO MARCH San Giorgio, Italy Germany INTERNATIONAL EUROPE ICE USA Bangkok, Thailand Brussels, Belgium DECEMBER USA NOVEMBER 15 Oct. 23–24 Oct. BOBST MANCHESTER BOBST SHANGHAI LABELEXPO MAY 19–22 Nov. OPEN HOUSE OPEN HOUSE ASIA ANDINA PACK Heywood, Shanghai, China Shanghai, China PRINT4ALL Bogota, Colombia United Kingdom Italy

36 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 37 DRIVEN BY INNOVATION

Group Executive Committee

Stephan März Attilio Tissi Jean-Pascal Bobst Philippe Milliet Julien Laran Head of Business Unit Web-fed Chief Financial Officer Chief Executive Officer Head of Business Unit Sheet-fed Head of Business Unit Services since 01.01.2019. since 08.11.2011. since 07.05.2009. since 08.11.2011. since 01.01.2019. 1971, German national. 1968, Swiss and Italian national. 1965, Swiss national. 1963, Swiss national. 1977, French national.

BOBST follows a long-term strategy Values THE BOBST GROUP STRATEGY FRAMEWORK By focusing on our strategic objectives, we aim to be, The phrase that exemplifies BOBST is “People, Knowledge or become, number one or two in the markets we operate and Values”, because it is the people of our Group and in, and to achieve the same in any new markets we enter. the vast technical knowledge they have which translates into STRATEGIC OBJECTIVES MAIN PRIORITIES Delivering these objectives involves a range of initiatives success. The values we aim to hold, both as a Group and as Customer satisfaction covering the quality of our products and services, optimizing individuals, include Trust, Respect, Passion and Performance. our organization, focusing on customers, operational These are the foundation of all collaborations that help us Quality of products excellence, developing new products, and digitalization. achieve our common goals and sustain our future. With these Leading innovation & services Innovation in digital printing solutions will be one of our we aim to ensure, among other things, a life-work balance, main focus points for the years to come. We will continue a pleasant work environment and a higher social responsibility. Optimize to invest in our people, from those focused internally organization Financial targets to those providing market coverage, as well as process Shareholders Be or become specialists who help our customers maximize their We seek to achieve sustainable profitability across Value creation No. 1 or No. 2 Customer focus productivity. New ranges of products and services will be business cycles, ensuring “value creation” for our Group. for each at BOBST launched, including in the area of printing and converting, Our challenge is to be the leading technical innovator ­technology packaging, labels and other printing materials, thus in the packaging and label industry, delivering the highest Operational extending our global offering. This will further contribute quality and productivity. This will involve developing ­excellence to the long-term sustainable development of the Group. even stronger relationships with our customers, partners and suppliers, to ensure both a “common good” and Digitalization & development Values and culture mutual longevity. of new products development Trust, Respect, Passion and Performance

38 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 39 DEAR SHAREHOLDERS

Pleased with the Group’s innovation drive, its overall The EXPERTFOLD 165 with SPEEDPACK automated market and digitalization strategy, but disappointed by packer, a natural extension of a corrugated folder-gluer; the decrease in profitability. This is how we could sum the MASTERCUT 106 PER and 145 PER, the most auto- up the year 2018! mated and productive die-cutters on the market; the EXPERTFOIL 142, the only genuine size VI hot-foil-stamper Bobst Group recorded a strong first half-year and a revenue in the world; the MASTERFOLD 230 with its modular increase of 19% compared to H1 2017. However, the EBIT design, single box set-up and superb reliability; the decrease of CHF 4.6 million to CHF 35.2 million, compared GYROBOX XL for complex designs in a single pass; and a to H1 2017, forced us to issue a release last July stating that LEMANIC® press with in-line M8 flexo printing units. our year 2018 profitability ambitions had to be reduced. Quality issues relating to the new generation of products, We also focused on specific technologies: and pressure on prices and margins of Business Unit ––Printing expert – comprehensive capabilities and pro- Web-fed, extra costs due to the Group expansion in China, cess technologies for printing labels, flexible materials, digital printing activities and Internet of Things (IoT) folding carton and corrugated board packaging, such as investments, created this exceptional and unsatisfactory Extended Color Gamut (ECG) process, THQ FlexoCloud financial situation. technology for post-print flexo on corrugated board, Reinforcing trends over the past few years have been the bringing unmatched quality at lower cost in one pass, increasing demand of the brands for better visibility, and the ECG Center of Excellence in Bielefeld. shorter delays and faster time to market for the launch of ––Automation and sustainability. new products, together with continuous pressure on costs ––Tooling – providing optimized productivity on any and an increased sustainability awareness. In turn, these die-cutter. requirements drive customers to look for more complete ––Digital Inspection Table – a unique system offering integrated solutions, “from PDF file to finished product”, ­designed to drive quality assurance, productivity and generating less waste and protecting their profitability. virtually remove print production errors. Increased digitalization in the packaging supply chain, the In the digital printing area, we have invested heavily in use of connected services (IoT), digital printing machines Mouvent, created in 2017 as our Competence Center for and the production of goods in a more sustainable way are all digital printing activities. In 2018, we put the emphasis becoming priorities, together with the processing of thin- on the stabilization of the technology embedded in the ner and more complex materials. Product packaging is Mouvent™ cluster, software and ink at the heart of the likely to become more functional, convenient, ready-to- technology; we have installed more than ten machines consume, re-sealable and adjusted to households’ size. in the field. Mouvent’s product range comprises highly innovative digi- Breakthrough innovation, always innovation tal label and textile printers: In 2018, BOBST has continued its quest for innovation ––The LB701-UV (170 mm) and the LB702-UV (340 mm) and excellence. Not limited to the production of machines, mini label presses are the smallest high productivity it is also focusing on a range of services, which cover the label presses on the market. entire conversion process and its optimization. ––The LB702-WB (water-based ink) label press, a game-­ Breakthrough innovation implies long-term commitment. changer in digital label production, uses water-based As Jeff Bezos, CEO of Amazon said: “If you are going to Mouvent™ Inks, making it completely free of VOCs do large-scale invention, you have to be willing to do three (volatile organic compounds) and 100% food safe. Jean-Pascal Bobst Chief Executive Officer things: you must be willing to fail, you have to be willing to ––The 8 color multi-pass digital textile printer TX801 had think long term; and you have to be willing to be misunder- a good start, while the TX802 will be launched early 2019. Alain Guttmann stood for long periods of time.” Customers are very satisfied with printing quality and Chairman of the Board Our most innovative solutions to some of the trends facing performance. packaging converters, together with exciting developments in the field of Services, were presented during the year:

40 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 41 Overall, this big investment helped us to master five new ––The integration of Bobst Lyon into the BBS SAP Profitability To support our strategic objectives we remain focused on core competencies over the last eighteen months: work- manufacturing platform, already used by three of the The operating result (EBIT) was CHF 87 million, or 5.3% of the following priorities: flow, digital front end (DFE), raster image process (RIP), Group’s production sites (Bobst India, Bobst Shanghai sales compared to CHF 119 million, or 7.8% of sales in ––As we increase our customer satisfaction, which we water-based ink, and integration of digital heads (DOD), to and Bobst Changzhou). Most of the European sales 2017. Based on the strong sales growth and a good overall measure through the Net Promoter Score methodology build a digital printing culture, service and product range. and service local entities also joined this venture in 2018. market situation, the Group has accelerated measures (NPS), we aim to continuously develop and retain our Innovation is not only about bright ideas coming to life and to launch a range of digital printing products and strength- technicians, while increasing spare parts’ availability being industrialized, it is also about the conservation of The team’s high professionalism proved that we could meet ened its activities in IoT. Quality upgrades on some prod- worldwide thanks to our hub concept. We will keep resources, which is becoming key in terms of sustainability the challenges together and successfully complete this ucts launched in recent years and additional transforma- improving the execution of quality deliveries of our and fully belongs to our guiding principle for the develop- huge program by 2021. tion measures in the Business Unit Web-fed had a signi­- machines and services; ment of production processes and new products. We have On average, industries are less than 40 percent digitalized, ficant negative impact on the operating result (EBIT) of the ––We will continue to expand and invest in China, South an ecological responsibility in the prevention of production despite the relatively deep penetration of these technolo- reporting year. East Asia and the Middle East regions, adapting our waste and the reduction of CO2 emissions. gies in media, retail and high tech. The net result reached CHF 50 million (CHF 107 million offerings for machines and services to markets’ trends; Although our main business will remain focused on machine in 2017). The decrease came from lower operating result, ––The digitalization of our core processes is taking the True customer satisfaction and services development, tightly integrated digital stra­- missing positive one-time favorable tax impact of Group to a higher level of efficiency, integration, and in Our close relationships with customers should bring out tegies will be a big differentiator between companies that CHF 15 mi­llion recognized in 2017 and due to losses, on the mid term, of performance improvement; the best in us and quality challenges are a spur for win and companies that don’t, and the payouts will go to which no deferred tax assets are recognized in 2018. ––The digital printing journey is well underway and we will continuous improvement in all domains. Our core services those that best master the digital disruptions with current The return on capital employed (ROCE) decreased to 14.2% offer to the textile and label sectors a comprehensive provide performance levels at all times, with remote business expertise. in the reporting year, compared to 23.2% in 2017, and the portofolio of products during 2019. This is the start of assistance and monitoring of applications, tooling and shareholders’ equity ratio decreased temporarily to 33.4%, a new venture for BOBST Group and demonstrates its maintenance solutions, with a spare parts portal offering BOBST has developed its vision of the industry for from 35.6% in the previous year, due to the additional ability to reach new market segments. a direct placement of orders and with documentation packaging, which is going to transform the Group’s culture. bond issued in September of the reporting year. manuals. We investigated new opportunities that arise from con- In line with the performance of the Group, the Board of Vision In 2018, our Services business has grown to CHF 486 mil­lion necting to our machines and applying analytics and more Directors proposes to the Annual General Meeting of In this increasingly collaborative and connected world, and the customer satisfaction index has increased for all software capabilities. Under IoT, we understand digitali­ Shareholders a dividend for 2018 of CHF 1.50 per share Bobst Group’s ambition is to be a leading technology com- industries. We are on the way to becoming a benchmark for zation of internal processes, digitally-enabled products, (CHF 2.60 for 2017). pany in the packaging world, bringing to its current and services overall. connected services and business models offered to future customers what they need in terms of quality, inno- customers and to the packaging world. One prominent Group Organization vation, connectivity and global solutions. Growth example of such a service is predictive maintenance, The Business Unit Web-fed faces various challenges Our success will strongly depend on a dedicated and In March 2018, we successfully launched our China 4.0 where a software application predicts when a wearing linked to its strategy implementation, market penetration visionary leadership able to drive change, on how well we strategy, aiming at production made in China for China. Our machine part needs to be replaced before it fails. IoT is and profitability improvement, and the Group is therefore use our available skills and funds to deliver our vision, while ambition is to become a major player in the country over enabling a vast amount of such products and services that implementing executive changes in this Business Unit. instilling value creation into the Group. the coming years with our two brands, BOBST and Eterna will significantly improve the factories of our customers. A warm “thank you” to each and every customer for allowing – which is holding a strong market position in folding The Group Executive Committee is evolving. Erik Bothorel, us to serve you, to our shareholders for your support and carton and corrugated converting. Our key asset in charge of the Business Unit Web-fed, left the Group to our 5 660 employees for your stalwart support, your We opened a third production facility and a Competence Congratulations and thank you to all our employees who Executive Committee at the end of 2018. Stephan März, in dedication and your endeavors to reach high standards of Center in Changzhou to boost industrial capacity in China. come to work every day committed to operational excellence charge of the Business Unit Services, took on responsibility quality and performance. We are committed to further The Group will develop and build machines such as the and customer satisfaction. We owe to them a safe and for the Business Unit Web-fed on 1 January, 2019, while strengthening the position of Bobst Group during the years RS 3.0 gravure printing press and the CL 750D compact rewarding work environment. Our retention, training and Julien Laran, in charge of Supply Chain and Operations to come. multi-technology laminator, designed for the domestic onboarding processes contribute to the development of an within the Business Unit Services, was appointed Head and export markets. inspiring workplace; the Leadership and People Develop- of Business Unit Services as of 1 January, 2019. The main reason behind this investment is the increase ment program strives to improve people management and of our market share and presence in China. By the end of leadership capabilities focusing on the BOBST four values Board of Directors re-election / election

2018, Bobst Changzhou had more than 100 employees. and eight behaviors. The mandates of all the members of the Board of Directors Alain Guttmann Jean-Pascal Bobst become due for renewal for a one-year period. At the Chairman of the Board Chief Executive Officer Digitalization, a journey and a major investment Order Entries forthcoming Annual General Meeting of Shareholders, on for BOBST The Group started 2018 with a more than 20% higher 4 April 2019, Alain Guttmann, Thierry de Kalbermatten, Our digitalization journey has three main dimensions: machine backlog than the year before. 2018 order entries Jürgen Brandt, Gian-Luca Bona and Philip Mosimann will ––The internal standardization of our core processes based were at the same level as the year before, with a small be proposed for re-election for a new period of one year. on a common IT platform (BBS); increase in Business Unit Sheet-fed. ––The increased connected services and use cases offered Patrice Bula will not be standing for re-election due to to our clients (IoT), and; Turnover other commitments. We express our warmest thanks for ––Our digital printing Competence Center based on our For the full year 2018, consolidated sales increased by this various contributions. The Board of Directors wishes to new digital front end (DFE), raster image process (RIP) CHF 106 million, or 6.9%, to CHF 1 635 million. All three propose Alain Guttmann as Chairman. and ink development. Business Units have contributed to the growth in 2018. Business Unit Services is up CHF 33 million, or 7.4%. Outlook and strategy The BOBST Business System (BBS) program once fully Business Unit Web-fed sales increased by CHF 13 million, The consumption level worldwide is still good, supporting deployed will run all our local entities across the world in or 3.9%, and Business Unit Sheet-fed increased its the overall business environment. We expect that political an efficient and harmonized way. It will cover all Business sales by 60 million, or 8.0%. tensions will remain, likely leading to a slow down of the Units and functions. This year we focused on: economy. We prepare the Group to further seize opportuni- ties, and for a potential economic down turn.

42 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 43 CONSOLIDATED PROFIT AND LOSS CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER

31 December 31 December In million CHF 2018 2017 In million CHF 2018 2017 Sales 1 634.5 1 528.6 Intangible fixed assets 41.8 36.5 Tangible fixed assets 264.1 260.6 Other operating income 19.5 23.9 Financial assets other 23.1 23.3 Raw materials and services -1 052.0 -923.9 Investments in associates 53.9 50.2 Changes in inventories 39.3 -0.6 Employer contribution reserves 64.7 25.8 Personnel costs -499.4 -454.3 Receivables 3.6 4.8 Depreciation and amortization -38.3 -41.2 Finance lease receivables 8.4 7. 8 Other operating expenses - 17.1 -13.8 Prepaid expenses and accrued income 1.5 1.4 Operating result (EBIT) 86.5 118.7 Deferred tax assets 40.8 40.9 Non-current assets 501.9 451.3 Share of net result in associates 9.8 10.7 Interest expenses -6.1 -6.1 Inventories 454.4 391.2 Other financial income 3.4 8.0 Receivables 320.9 311.3 Other financial expenses -6.0 -5.5 Finance lease receivables 3.4 2.7 Result before income tax 87.6 125.8 Income tax receivables 18.8 15.8 Prepaid expenses and accrued income 22.7 15.5 Income tax -37.2 -18.9 Derivative financial instruments 3.2 3.4 Net result 50.4 106.9 Cash and cash equivalents 396.3 402.8 Current assets 1 219.7 1 142.7 Attributable: To shareholders 63.5 114.4 Total assets 1 721.6 1 594.0 To non-controlling interest -13.1 -7.5

Earnings per registered share (in CHF) 3.84 6.93 31 December 31 December Diluted earnings per registered share (in CHF) 3.84 6.93 In million CHF 2018 2017 Share capital 16.5 16.5 Reserves 495.4 436.9 Net result 63.5 114.4 Shareholders’ equity 575.4 567.8 Non-controlling interest -21.9 -8.4 Equity 553.5 559.4

Borrowings 287.7 263.1 Provisions 7. 9 9.4 Employee benefits 36.9 41.1 Trade and other payables 29.6 2 7.1 Deferred tax liabilities 43.4 41.0 Non-current liabilities 405.5 381.7

Borrowings 129.4 6.8 Provisions 57.2 54.0 Employee benefits 5.3 5.2 Trade and other payables 433.3 441.7 Accrued expenses and deferred income 112.2 110.8 Income tax payables 1 7.7 20 .1 Derivative financial instruments 7. 5 14.3 Current liabilities 762.6 652.9

Total liabilities and equity 1 721.6 1 594.0

Source: Annual report 2018 – Financial statements 2018 – Consolidated financial statements. Source: Annual report 2018 – Financial statements 2018 – Consolidated financial statements.

44 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 45 CONSOLIDATED CASH FLOW STATEMENT SEGMENT REPORTING

In million CHF 2 018 2 017 In million CHF 2018 2017 Net result 50.4 106.9 Revenue Elimination of net result in associates -9.8 -10.7 Sheet-fed third party sales 804.6 745.3 Elimination of income taxes 37.2 18.9 Sheet-fed inter-segment 24.8 23.0 Elimination of depreciation, amortization and provisions 38.0 38.4 Sheet-fed total revenue 829.4 768.3 Elimination of the result on disposal of assets 1.4 0.5 Elimination of interest expenses/(income) 4.5 3.7 Web-fed third party sales 342.9 330.2 Elimination of derivative financial instruments results 1.5 1.4 Web-fed inter-segment 4.3 4.2 Changes in inventories -72.4 -48.8 Web-fed total revenue 347.2 334.4 Changes in receivables -19.7 -17.2 Changes in employer contribution reserves -39.0 0.0 Services third party sales 486.2 452.5 Changes in payables 2.2 85.1 Paid taxes -40.3 -28.1 Other third party sales 0.8 0.6 Cash flow from (used in) operating activities Total A -46.0 150.1 Eliminations inter-segment -29.1 -27.2

Acquisition of subsidiaries, net of cash acquired 0.0 -1.4 Total third party sales 1 634.5 1 528.6 Acquisition of business activities -1.2 0.0 Purchase of intangible fixed assets -14.6 -14.7 No operating segments were aggregated to form the above reportable operating segments. Purchase of tangible fixed assets -39.4 -39.1 Inter-segment operations correspond to the contribution paid by the Business Unit Purchase of investments in associates 0.0 -1.0 Services to the other Business Units for the right to sell spare parts and services for their Loans and advances made -0.8 -0.4 equipment. These contributions do not generate internal margin. Proceeds from sale of tangible fixed assets 0.9 4.0 Loan repayments and advances received 0.2 0.2 Interest received 1.6 2.4 Dividends received 4.0 3.9 Cash flow from (used in) investing activities Total B -49.3 -46.1 Sheet-fed Web-fed Services Other Total In million CHF 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 Proceeds of non-controlling interest 0.0 0.2 Results Purchase of own shares -0.4 0.0 Total segment operating result Proceeds from borrowings 151.3 0.8 (EBIT) 59.7 64.0 -37.4 -7.1 66.3 63.1 -2.1 -1.3 86.5 118.7 Repayments of borrowings -5.0 -8.0 Share of result of associates 9.8 10.7 9.8 10.7 Interest paid -4.8 -6.1 Financial result -8.7 -3.6 Dividends paid to Group shareholders -43.0 -28.1 Result before income tax 87.6 125.8 Dividends paid to non-controlling interest -0.2 -0.3 Cash flow from (used in) financing activities Total C 97.9 -41.5

Effects of exchange variances Total D -9.1 14.8 Source: Annual report 2018 – Financial statements 2018 – Consolidated financial statements.

Change in cash and cash equivalents A+B+C+D -6.5 77.3

Cash and cash equivalents at beginning of period 402.8 325.5 Cash and cash equivalents at end of period 396.3 402.8 Variance -6.5 77.3

Cash and cash equivalents comprise cash on hand and demand deposits, and other Certain statements in the annual profile, including but not limited to those regarding expectations for general economic development and the market situation, expectations for customer industry profitability and investment willingness, expectations for Company growth, development and profitability short-term highly liquid investments that are easily and quickly convertible to a known amount of cash. and the realization of synergy benefits and cost savings, and statements preceded by “expects”, “estimates”, “forecasts” or similar expressions, are forward-looking statements. These statements are based on current decisions and plans as well as on currently known factors. They involve known and unknown risks and uncertainties which may cause the actual results to materially differ from the results currently expected by the Company. Potential risks and uncertainties include such factors as general economic conditions, foreign exchange rate fluctuations and interest rate fluctuations, Source: Annual report 2018 – Financial statements 2018 – Consolidated financial statements. competitive product and pricing pressures, the Company’s operating conditions, and regulatory developments.

46 Bobst Group SA Annual profile 2019 Bobst Group SA Annual profile 2019 47 Bobst Group SA P.O. Box CH-1001 Lausanne Switzerland Tel. +41 21 621 21 11 Fax +41 21 621 20 70 www.bobst.com

Investor Relations Tel. +41 21 621 25 60 Fax +41 21 621 20 69 E-mail: [email protected]

Security symbols SIX SWISS EXCHANGE: BOBNN or 1268465 ISIN: CH0012684657 SIX Telekurs: BOBNN,4 or 1268465,4 Bloomberg: BOBNN SW Reuters: BOBNN.S

Disclosure of shareholdings Bobst Group SA Share Register P.O. Box CH-1001 Lausanne Switzerland Fax +41 21 621 20 37 E-mail: [email protected]

Website links investors.bobst.com/documents – to reach the Articles of Association of Bobst Group SA, the Organization Regulations of Bobst Group SA, the Worldwide code of employee and business conduct, the Charter of Group policy with regard to health, safety at work and environmental protection. investors.bobst.com/publications – to reach the Annual report, Annual profiles and Sustainable development reports of Bobst Group SA.

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