Investor presentation Second quarter 2020 August – September 2020 Investor presentation Second quarter 2020 Contents Financial Calendar Highlights & guidance 2Q20 results Results by segment – 53 03.11.2020 (17:45 CET) Mail & Retail – 54 & 55 Quarterly results 3Q20 2Q20 Highlights – 4 EBIT bridge – 37 Parcels & Logistics Eurasia – 56 & 57 Outlook 2020 – 5 Key financials – 38 Parcels & Logistics N. America – 58 & 59 Results by segment – 39 Corporate – 60 bpost Group at a glance Mail & Retail – 40 & 41 Cash flow – 61 Investment rationale – 7 Parcels & Logistics Eurasia – 42 & 43 Dividend policy – 8 Parcels & Logistics N. America – 44 & 45 Additional Info Corporate – 46 Overview – 9 Key financials FY19 – 63 Cash flow – 47 LT vision & strategic aspirations – 10 Results by segment FY19 – 64 Balance sheet – 48 Management – 11 Relationship with State – 65 Financing Structure & Liquidity – 49 Sustainability – 12 USO & SGEI – 66 Mail & Retail – 13-21 European mail market – 67 Parcels & Logistics Eurasia – 22-30 1H20 results Key contacts – 68 Parcels & Logistics N. America – 31-35 EBIT bridge – 51 Key financials – 52 More on corporate.bpost.be/investors Disclaimer This presentation is based on information published by bpost Group in its Second Quarter 2020 Interim Financial Report made available on August, 4th 2020 at 5.45pm CET and in its 2019 Annual Report available on corporate.bpost.be/investors. This information forms regulated information as defined in the Royal Decree of 14 November 2007. The information in this document may include forward-looking statements1, which are based on current expectations and projections of management about future events. By their nature, forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other factors because they relate to events and depend on circumstances that will occur in the future whether or not outside the control of the Company. Such factors may cause actual results, performance or developments to differ materially from those expressed or implied by such forward-looking statements. Accordingly, no assurance is given that such forward-looking statements will prove to have been correct. They speak only as at the date of the Presentation and the Company undertakes no obligation to update these forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements. This material is not intended as and does not constitute an offer to sell any securities or a solicitation of any offer to purchase any securities. 1 as defined among others under the U.S. Private Securities Litigation Reform Act of 1995 2 2Q20 Roadshow presentation Highlights 2Q20 Guidance 2020 Highlights of 2Q20 2Q20 Net negative impact of COVID-19, mainly in M&R, is compensated by growth in Parcels and E-commerce logistics next to targeted cost containment actions and cost phasing towards 2H20 2Q20 COVID- Group operating Mail & Retail Parcels & Logistics Parcels & Logistics 19 impact1 on income Eurasia N. Am. Group EBIT € 1,052.7m € 36.0m € 32.4m € 17.6m estimated at 7.7% EBIT margin 11.0% EBIT margin 5.0% EBIT margin € -9.5m • Total operating income at • Total operating income at • Total operating income at € 468.1m (-10.2%) driven by € 294.9m (+46.4%) driven € 353.9m (+48.0%) driven 1 All COVID-19 impacts mentioned in this presentation are best effort COVID-19 impact on mail by positive COVID-19 by E-commerce logistics, in estimates based on actuals and are volumes & on retail and by development in all revenue particular growth at Radial net results of both positive and negative impacts. Group impact deconsolidation of Alvadis lines, especially Parcels from existing customers includes € -2.0m at Corporate. BeNe (+64.2%) and new business signed in • Underlying mail volume Group adjusted decline at -17.7% driven by • Parcels BeNe organic 2019 EBIT COVID-19 lockdown with volumes +78.4% • Adjusted EBIT increase visible catch-up in June (€ +18.1m) driven by • Adjusted EBIT, excl. YoY Initial 2020 € 74.9m • Adjusted EBIT decline negative evolution of positive evolution of E- commerce logistics (mainly Group adjusted 7.1% EBIT margin (-51.9%) from mail evolution terminal dues settlements, amplified by COVID-19. up € +13.0m (+67%) Radial), partially offset by EBIT guidance operationally. margin pressure in • M&R COVID-19 impact1: International mail. range can be € -37.0m • PaLo EA COVID-19 impact1: • 1 reconfirmed € +13.1m PaLo NA COVID-19 impact : € +16.5m 4 2Q20 Roadshow Presentation Initial 2020 Group EBIT outlook reconfirmed Outlook FY20 Based on the current situation and facts, bpost Group reconfirms adjusted EBIT guidance for 2020 in the range of € 240-270m. Group Dividend Assuming no second national or important local lockdown in 2020, nor any The Board will recommend to the Annual Shareholders’ Meeting not to grant a event deriving from COVID-19 uncertainties, the adjusted EBIT between € 240- dividend on the results of FY20 to shareholders. 270m can be reconfirmed. bpost Group remains fully committed to delivering sustainable shareholder Contribution per Business Unit will differ from the initial outlook issued in March. returns. Given the high level of uncertainty that still remains in light of COVID-19 and its impact on the overall economy, bpost Group’s priority is in the current Gross capex of € 150m maximum (vs. up to € 200m pre-COVID-19) circumstances the strength of bpost’s balance sheet, cash reserves and capacity to invest on the long term. A new dividend policy going forward will be decided by the Board when the longer term impact of the COVID-19 crisis becomes more clear. COVID-19 disclaimer Given ongoing limited visibility about the duration and severity of the pandemic and its different impacts across the globe, the reconfirmed outlook could still be impacted by these uncertainties or any event deriving thereof. 5 2Q20 Roadshow Presentation bpost Group at a glance bpost Group offers a strong investment rationale at a glance – Group bpost Group aims at being a responsible company, delivering sustainable returns to its shareholders What? How? We continue to transform the mail and Multiple levers for Experienced Growth in A solid balance proximity business in the home market to transformation of management e-commerce sheet with single sustain solid cashflows the legacy team with logistics & 'A' credit rating business: natural embedded parcels: aspired attrition, financial discipline sizeable share of alternating and a strong revenues distribution business model, stable and transformation predictable track record We develop sustainable activities in the regulation, high growth e-commerce logistics & network parcels business in our optimization,… Belgium/Netherlands home market and key geographies in Europe and North America 7 2Q20 Roadshow presentation We create value for shareholders at a glance – Group Capital allocation and dividend policy are under review Dividend Policy • IPO dividend policy until 2019: Minimum 85% of BGAAP net profit of the mother company bpost SA/NV (unconsolidated). This policy is now suspended. • Dividend on FY19 results limited to interim dividend due to COVID-19 crisis 1.31 1.31 1.31 • Board will recommend not to grant a dividend on FY20 results to preserve 1.26 1.29 the strength of bpost’s balance sheet, cash reserves and capacity to invest on 1.13 0.22 0.24 0.25 0.25 0.25 the long term. 0.20 • Updated dividend policy: A new dividend policy will be decided by the Board when the longer term impact of the COVID-19 crisis becomes clear. 0.62 1.04 1.05 1.06 1.06 1.06 0.93 Dividend is constrained by net results of a given year (in BGAAP) + distributable reserves 20132014 2015 2016 2017 2018 2019 Pay-out ratio Distributable reserves (€ 199m end 2019) 91% 85% 90% 85% 90% 100% 72% built gradually as from 2013, primarily to neutralize the non-recurring impact of exceptional costs Final gross DPS (€) Interim gross DPS (€) 8 2Q20 Roadshow presentation A diversified mail operator with a footprint in at a glance – Group e-commerce logistics Revenues % of total € 3,837.2m1 € 310.8m Transactional mail € 748m 19% Mail & Retail Advertising mail € 236m 6% revenues 8.1% € 1,897m EBIT 49% Press € 344m 9% Proximity and convenience retail network € 465m 12% € 537.0m € 181.2m Value added services € 104m 3% 14.0% net profit EBITDA Parcels & Logistics Parcels Be-Ne € 381m 10% Europe & Asia E-commerce logistics € 133m 3% € 813m 35,377 21% Cross-border € 300m 8% average # FTE & interims Parcels & Logistics North America E-commerce logistics € 1,018m 26% € 1,098m International mail € 87m 2% 29% 2019 figures (adjusted) 1 49.4% Mail & Retail, 21.2% Parcels & Logistics Europe & Asia, 28.6% Parcels & Logistics North America and 0.8% Corporate revenue 9 2Q20 Roadshow presentation Long-term vision & strategic aspirations at a glance – Group ”Beyond mail, be an efficient global e-commerce logistics player anchored in Belgium” 1 2 3 Mail services to citizens and Drive profitable growth in Optimize Radial to deliver in State remain core and will Parcels BeNe and further the promising North continue to generate profit develop e-commerce logistics American e-commerce with a more adapted in Europe market distribution model 10 2Q20 Roadshow presentation Our experienced management team has at a glance – Group responsibilities down to the bottom-line Jean-Paul Van Avermaet Luc Cloet Kathleen Van Beveren Henri de Romrée Group CEO CEO Mail & Retail CEO Parcels & Logistics Europe