Klöckner & Co SE - Q1 2017 Results - Analysts' and Investors' Conference

1. Q1 2017 Results
Analysts’ and Investors’ Conference
April 26, 2017
Gisbert Rühl | CEO
Marcus A. Ketter | CFO
Karsten Lork | Member of the Management Board
Bill Partalis | Member of the Management Board

2. No.2
Disclaimer
This presentation contains forward-looking statements which reflect the current views of the management of Klöckner & Co SE with respect to
future events. They generally are designated by the words “expect”, “assume”, “presume”, “intend”, “estimate”, “strive for”, “aim for”, “plan”,
“will”, “endeavor”, “outlook” and comparable expressions and generally contain information that relates to expectations or goals for economic
conditions, sales proceeds or other yardsticks for the success of the enterprise. Forward-looking statements are based on currently valid
plans, estimates and expectations. You therefore should view them with caution. Such statements are subject to risks and factors of
uncertainty, most of which are difficult to assess and which generally are outside of the control of Klöckner & Co SE. The relevant factors
include the effects of significant strategic and operational initiatives, including the acquisition or disposition of companies. If these or other
risks and factors of uncertainty occur or if the assumptions on which the statements are based turn out to be incorrect, the actual results of
Klöckner & Co SE can deviate significantly from those that are expressed or implied in these statements. Klöckner & Co SE cannot give any
guarantee that the expectations or goals will be attained. Klöckner & Co SE – notwithstanding existing obligations under laws pertaining to
capital markets – rejects any responsibility for updating the forward-looking statements through taking into consideration new information or
future events or other things.
In addition to the key data prepared in accordance with International Financial Reporting Standards, Klöckner & Co SE is presenting non-
GAAP key data such as EBITDA, EBIT, Net Working Capital and net financial liabilities that are not a component of the accounting
regulations. These key data are to be viewed as supplementary to, but not as a substitute for data prepared in accordance with International
Financial Reporting Standards. Non-GAAP key data are not subject to IFRS or any other generally applicable accounting regulations. Other
companies may base these concepts upon other definitions.
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

3. No.3
1. Highlights and update on strategy
2. Financials
3. Outlook
4. Appendix
Agenda
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

4. No.4
Highlights Q1 201701
• Sales increased significantly by 15.6% yoy to €1.6bn mainly due to higher price level
• Shipments with 1.6m to (+1.7 %) slightly above prior year´s level despite sale of Spanish activities end of
January
• Gross profit went up from €304m in Q1 2016 to €367m supported by increasing prices
• Consequently gross profit margin increased to 22.9% after 22.0% in Q1 2016
• Operating result (EBITDA) of €77m more than quadrupled and slightly above guidance range
of €65m to €75m
• Sales share via digital channels continuously increased from 9% in Q1 2016 to 14% in Q1 2017
• Investment in technology startup BigRep – designer of the world’s largest 3D printer for series production
• Maturity profile further improved by extension of syndicated loan facility
• EBITDA in Q2 2017 to between €60m and €70m
• EBITDA for FY 2017 expected to increase noticeably
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

5. No.5
Significant increase of EBITDA in Q1 201701
EBITDA impact: Q1 yoy Comments
77
53
16
Other
effects
-6
One Europe
/ WIN+
Opex
6 3
Q1 2016
5
Volume
Effect
Q1 2017
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE
Price
Effect
Steel price development HRC
• We benefit more strongly than in the past from
rising market prices due to
• Increasing use of digital pricing tools
• Extension of share of value added products and
services
• Change of customer mix by exiting of trader to
trader business in Germany and discontinuing
low margin big account business in France

6. No.6
01
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE
• Becker Aluminum Service Center
to cover increasing automotive
customer demand for light weight
• Slitting line put into operation
with expected sales launch
in May
• Completion of the entire plant
including a complementary
cut-to-length line with total
capacity of 80Tto scheduled for
2018
• 3D Laser number 7 initiated in
Dudley/ UK, which is meanwhile 2nd
largest 3D laser center in UK
• One Europe Organization set into
place
• Additional synergies especially in
procurement and logistics
• Centrally steered implementation of
digitalization and higher value-add
strategy
• Already €3m EBITDA impact in Q1
• Incremental EBITDA contribution of
€10m in 2017 and €30m until 2019
• Sales share via digital channels
increased from 12% in Q4 2016 to
14% in Q1 2017
• Integration of first complementary
distributors to industry platform
planned for the current quarter
• Various pilot projects with producers
regarding a coordinated approach
concerning platform-integration in
the US and Europe underway
• Investment in 3D printer BigRep
• designs the world’s largest 3D printer for
modeling & prototyping
– in the future for series production
• KCO plans to use this 3D printers
in its European and US site
network going forward supporting
KCO 2020 strategy
• Market segment has promising outlook
with 20% annual growth rate
Digitalization Higher value-add One Europe
Further progress of “Klöckner & Co 2020“ strategy

7. No.7
1. Highlights and update on strategy
2. Financials
3. Outlook
4. Appendix
Agenda
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

8. No.8
Shipments and sales02
• Shipments slightly increased yoy despite sale of
Spanish business
• Qoq seasonal increase
• Sales increased yoy and qoq signifcantly more
pronounced than shipments due to higher average
sales prices
1,450
Q3
2016
1,500
Q2
2016
1,643
Q1
2016
1,556
Q4
2015
1,582
Q4
2016
1,535
Q3
2015
Q1
2017
Q2
2015
1,645
Q1
2015
1,661
1,636
Q1
2017
Q4
2016
1,397
Q3
2016
1,430
Q2
2016
1,517
1,602
1,386
Q4
2015
1,456
Q3
2015
Q1
2016
Q2
2015
1,693
Q1
2015
1,697
1,597
+1.7%
+9.1%
+15.6%
+14.6%
Shipments (Tto) Sales (€m)
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

9. No.9
Gross profit and EBITDA02
* Before restructuring cost.
7172
11
30
10
Q1
2015
36
Q1
2017
Q2
2015
Q3
2015
16
Q4
2015
Q1
2016
Q2
2016
Q3
2016
37
77
Q4
2016
2.1
0.6 0.7
1.9
4.8
1.2
2.6
5.0 4.8
Q3
2016
319
Q4
2016
367
Q1
2017
329
310
325
Q1
2015
Q2
2015
362
Q1
2016
311
Q2
2016
304
Q4
2015
Q3
2015
297
19.2
18.2
22.0
20.4
19.4
22.823.0
23.8
22.9
• Margin stable with ~ 23%, 0.9%p above Q1 2016
• Gross profit substantially improved yoy
• EBITDA in Q1 improved yoy by €61m, qoq EBITDA up by
€40m driven by better price environment
• EBITDA margin in Q1 up by 3.6%p yoy to 4.8%
Gross profit* (€m) / Gross margin* (%) EBITDA* (€m) / EBITDA margin* (%)
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

10. No.10
Segment performance Q1 201702
• Europe
• EBITDA up from €11m to €54m
• Volume effect €5m
• Continued positive price effect (€35m)
• KCO WIN+ and One Europe contribute €6m to
EBITDA improvement
Europe (€m)
Americas (€m)
11
1
EBITDA
Q1 2017
30
OPEX
0
KCO
WIN+
effect
0
Price
Effect
18
Volume
Effect
0
EBITDA
Q1 2016
F/X
11
5
6
54
EBITDA
Q1 2016
35
Price
Effect
Volume
Effect
-3
EBITDA
Q1 2017
OPEXKCO WIN+
effect/
One Europe
0
F/X
• Americas
• EBITDA up from €11m to €30m
• Marginal volume effect
• Positive price effect of €18m
Comments
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

11. No.11
Cash flow and net debt development02
36
• NWC build-up of €181m due to seasonally
increased business and higher stock value
• “Other” includes changes in other provisions and
other operating assets/liabilities (mainly cash-in
from vendor bonuses as well as non-cash items)
• Net capex positive due to disposal proceeds from
the sale of Spain business
CommentsCash flow reconciliation 3M 2017 (€m)
• Net financial debt increased due to NWC build-up
partly compensated by disposal proceeds
Net financial debt 03/2017 vs. 12/2016 (€m)
-39
-78
77
Other
35
Taxes
-4
Interest
-5
Change
in NWC
-181
EBITDA
3M 2017
Free cash
flow 3M
2017
Capex
(net)
39
Cash
flow from
operating
activities
39
Net debt
03.2017
475
Other
0
F/X, Swaps
8
Capex (net)
CF from
operating
activities
-78
Net debt
12.2016
444
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

12. No.12
Maturity profile – Syndicated Loan successfully extended until May 202002
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE
Facility Committed (€m)
Drawn amount (€m, IFRS*)
Q1 2017 FY 2016
Syndicated Loan1) 300 0 0
ABS Europe 300 145 115
ABS/ABL USA 514 210 218
Convertible 2016 2) 148 131 131
Bilateral Facilities 3) 319 152 114
Total Debt 1,581 638 578
Cash 163 134
Net Debt 475 444
€m Q1 2017
Adjusted equity 1,155
Net debt 475
Gearing 4)
41%
Maturity profile of committed facilities & drawn amounts (€m)
Left side: committed facilities Right side: utilization (nominal amounts)
ABS/ABL USA BilateralsSyndicated Loan 1) ABS Europe
*Including interest accrued, excluding deferred transaction costs
1) Extended until May 2020, reduction of total commitments from €360m to €300m and ‘Minimum Equity’
covenant from €800m to €600m in April 2017.
2) Principal €148m, equity component €18m at issuance (08.09.2016).
3) Including finance lease.
4) Net debt/Equity attributable to shareholders of Klöckner & Co SE less goodwill from business
combinations subsequent to 23.05.2013.
148
514
3030
61919
81
248
1
1
15
15
663
359
210
148
306
300
6
160
145
315
300
2017 2018 2019 2020 2021 Thereafter
Convertible Bond
Syndicated Loan:
Extension executed
in April 2017

13. No.13
1. Highlights and update on strategy
2. Financials
3. Outlook
4. Appendix
Agenda
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

14. No.14
Shipbuilding
Segment specific business outlook 201703
Energy
industry
Real steel
demand
Europe
~ 1-2%
Construction
industry
Manufacturing,
machinery and
mechanical
engineering, etc.
Automotive
industry
US
~ 3-4%
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

15. No.15
• Announced investments in infrastructure and
military
• Lower unemployment rate and tax reduction
lead to higher private consumption and to an
increasing GDP
• Consulting team of administration with steel
background
• Positive atmosphere and high investment
propensity in the US economy
Impact of new administration on our US business03
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE
Positive impact on steel demand
locallocal
From USA
~ 93%
Imports ~ 7%*
We buy and sell local –
and are seen as a US company
• Anti dumping measures forced but no impact on
KCO due to local sourcing and selling
• Planned import stop will
• strengthen the local steel companies as we are
seen in the US
• cause steel prices to increase within the US
*KCO, Jan- Mar 2017.

16. No.16
Outlook03
Q2 2017
• Seasonally higher sales
• EBITDA anticipated to be between €60m and €70m
FY 2017
• Higher sales anticipated due to better demand and on average higher price level
• EBITDA expected to rise noticeably compared to the 2016 figure of €196m
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

17. No.17
1. Highlights and update on strategy
2. Financials
3. Outlook
4. Appendix
Agenda
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

18. No.18
Quarterly and FY results04
(€m)
Q1
2017
Q4
2016
Q3
2016
Q2
2016
Q1
2016
Q4
2015
Q3
2015
Q2
2015
Q1
2015
Q4
2014*
Q3
2014*
FY
2016
FY
2015
FY
2014
FY
2013
Shipments (Tto) 1,582 1,450 1,500 1,643 1,556 1,535 1,636 1,645 1,661 1,555 1,690 6,149 6,476 6,598 6,445
Sales 1,602 1,397 1,430 1,517 1,386 1,456 1,597 1,693 1,697 1,577 1,675 5,730 6,444 6,504 6,378
Gross profit 367 319 329 362 304 297 311 320 310 309 325 1,315 1,237 1,261 1,188
% margin 22.9 22.8 23.0 23.8 22.0 20.4 19.4 18.9 18.2 19.6 19.4 22.9 19.2 19.4 18.6
EBITDA rep. 77 37 71 72 16 2 28 -17 10 33 61 196 24 191 124
% margin 4.8 2.6 5.0 4.8 1.2 0.2 1.8 -1.0 0.6 2.1 3.6 3.4 0.4 2.9 2.0
EBIT 54 -4 48 49 -8 -297 5 -44 -15 8 38 85 -350 98 -6
Financial result -8 -10 -8 -7 -8 -12 -12 -13 -12 -13 -14 -33 -49 -59 -73
Income before taxes 46 -14 40 42 -16 -309 -7 -56 -27 -4 24 52 -399 39 -79
Income taxes -10 2 -9 -9 2 45 -2 1 6 1 -8 -14 50 -17 -12
Net income 36 -12 31 33 -14 -263 -9 -55 -22 -4 16 38 -349 22 -90
Minority interests 0 0 0 1 0 -1 0 -1 0 -1 0 -1 -2 0 -6
Net income KlöCo 36 -12 31 32 -14 -263 -9 -54 -21 -4 16 37 -347 22 -85
EPS basic (€) 0.36 -0.13 0.31 0.32 -0.14 -2.63 -0.09 -0.54 -0.22 -0.04 0.16 0.37 -3.48 0.22 -0.85
EPS diluted (€) 0.34 -0.13 0.31 0.32 -0.14 -2.63 -0.09 -0.54 -0.22 -0.04 0.16 0.37 -3.48 0.22 -0.85
* Restated due to initial application of IFRIC 21.
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

19. No.19
Segment performance04
926
Q4
2016
867
Q3
2016
873
Q1
2016
950
Q2
2016
903
Q4
2015
891
Q3
2015
931
Q2
2015
970
Q1
2015
979
Q1
2017
985
Q1
2017
Q4
2016
883
Q3
2016
891
Q2
2016
963
Q1
2016
870
Q4
2015
919
Q3
2015
986
Q2
2015
1,054
Q1
2015
1,025 49
1112
21
29
Q3
2015
Q2
2015
Q1
2015
7
36
Q3
2016
55
Q2
2016
Q1
2016
Q4
2015
Q1
2017
54
Q4
2016
627
Q2
2016
693
Q1
2016
652
Q4
2015
644
Q3
2015
Q1
2017
657
Q4
2016
583
Q3
2016
705
Q2
2015
675
Q1
2015
682
Q2
2016
554
Q1
2016
516
Q4
2015
537
Q4
2016
515
Q3
2016
539
617
Q1
2017
672
Q1
2015
639
Q2
2015
611
Q3
2015
3030
Q1
2015
7
Q1
2016
11
Q4
2015
3
Q3
2015
14
Q2
2015
13
22
11
Q2
2016
Q1
2017
Q4
2016
Q3
2016
+2.4%
+0.7%
+13.3%
+19.5%
EuropeAmericas
Restructuring costs (€m)* Q2 2015 Q3 2015 Q4 2015
Europe 52 2 2
Americas 2
Shipments (Tto) Sales (€m) EBITDA before restructuring (€m)
Shipments (Tto) Sales (€m) EBITDA before restructuring (€m)
* €4m are reported in HQ in Q4 2015.
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

20. No.20
Strong balance sheet04
• Equity ratio further healthy at 38%
• Net debt of €475m
• Gearing* at 41%
• NWC increased from €1,120m to €1,296m
* Gearing = Net debt/Equity attributable to shareholders of
Klöckner & Co SE less goodwill from business
combinations subsequent to May 23, 2013.
Comments
Assets Equity & liabilities
39% 39%
654 851
134 95206
897
888
2,897
Dec 31, 2016
1,135
1,006
Non-current assets
Mar 31, 2017
163
3,132
Trade receivables
Liquidity
Inventories
Other current assets
279
540
571
Equity 1,148
Financial liabilities
Pensions
Trade payables
Other liabilities
1,183
Dec 31, 2016
359
2,897
Mar 31, 2017
3,132
632
349
690
278
40%
38%
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

21. No.21
Sales by markets, products and industries04
As of December 31, 2016.
Sales by markets Sales by industry
Sales by product
5%
UK
10%
France/
Belgium
16%
Switzerland
27%
Germany
37%
USA
3%
Netherlands
2%
Spain
5%
Tubes
8%
Aluminum
9%
Quality steel/
Stainless steel
22%
Long products
44%
Flat products
12%
Others
12%
Automotive
industry
7%
Miscellaneous6%
Local dealers
31%
Machinery/mechanical
engineering
37%
Construction
industry
7%
Household appl./
Consumer goods
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

22. No.22
Current shareholder structure04
Geographical breakdown of identified
institutional investors
• Identified institutional investors account for 78%
• German investors incl. retail dominate
• Top 10 shareholdings represent around 52%
• Retail shareholders represent 17%
Comments
As of February 2017.
6% Rest of EU
36% US
3% Rest of world
2% Switzerland
5% UK
48% Germany
Q1 2017 Results | Analysts’ and Investors’ Conference | Klöckner & Co SE

23. Financial calendar
Christina Kolbeck
Head of Investor Relations & Sustainability
Phone: +49 203 307 2122
Fax: +49 203 307 5025
Email: christina.kolbeck@kloeckner.com
Internet: www.kloeckner.com
May 12, 2017 Annual General Meeting 2017,
Düsseldorf
July 26, 2017 Q2 interim report 2017
October 25, 2017 Q3 interim statement 2017
Contact details