First quarter 2020 results Analyst call Jean-Paul V an Avermaet, - PowerPoint PPT Presentation

First quarter 2020 results Analyst call Jean-Paul V an Avermaet, CEO Leen Geirnaerdt, CFO 5 May 2020

Investor presentation 1Q20 Interim financial report 1Q20 Financial Calendar Disclaimer 13.05.2020 This presentation is based on information published by bpost Group in its First Quarter 2020 Interim Financial Report, made available on May, 4th 2020 at 5.45pm CET 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 Ordinary General Meeting of Shareholders forward-looking statements 1 , 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, 04.08.2020 (17:45 CET) 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 Quarterly results 2Q20 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. 03.11.2020 (17:45 CET) Quarterly results 3Q20 More on corporate.bpost.be/investors 1 as defined among others under the U.S. Private Securities Litigation Reform Act of 1995 2 1Q20 Analyst Presentation

Highlights of 1Q20 1Q20 1Q20 above expectations excluding COVID-19 1Q20 COVID- Group operating Mail & Retail Parcels & Logistics Parcels & Logistics 19 impact 1 on income Eurasia N. Am. Group EBIT € 934.6m € 65.2m, € 16.9m € -7.4m estimated at 13.0% EBIT margin 7.9% EBIT margin -2.8% EBIT margin € -16.7m • T otal operating income at • T otal operating income at • T otal operating income at € 500.0m (-5.2%) driven by € 213.5m (+8.5%), mainly € 261.3m (+14.3%) fully COVID-19 impact on driven by Parcels BeNe driven by E-commerce Advertising Mail & on retail (+19.8%). Significant logistics, in particular and by deconsolidation of negative impact in Cross- growth at Radial from Alvadis border of COVID-19. existing customers and new Group adjusted 2020 outlook business signed in 2019 • Underlying mail volume • Parcels BeNe organic EBIT decline at -9.9% driven by volumes +20.5% • Adjusted EBIT increase overruled by cancelled advertising (€ +0.4m) driven by positive • Adjusted EBIT, excl. 1Q19 € 75.6m COVID-19 campaigns (COVID-19) evolution of E-commerce VAT recovery, YoY negative logistics (mainly Radial), to a 8.1% EBIT margin • Adjusted EBIT decline evolution of terminal dues large extent offset by (-29.6%) from COVID-19 settlements & COVID-19, up continued margin pressure mail evolution and € +4.5m (+31%) in International mail. PaLo additional opex. M&R operationally. PaLo EA NA COVID-19 impact: 1 All COVID-19 impacts mentioned COVID-19 impact: € -14.4m COVID-19 impact: € -1.8m in this presentation are best effort € -0.3m estimates based on actuals 3 1Q20 Analyst Presentation

COVID-19 drove 1Q20 EBIT decline through significant 1Q20 Advertising Mail drop and Group-wide additional costs € million 95.8 5.5 -20.2 -27.4 75.6 4.6 8.0 -1.2 0.4 90.4 71.0 Adjusted 1 Reported EBIT Mail & PaLo PaLo Corporate EBIT 1Q19 Retail Eurasia N. America 1Q20 1 Adjusted previously called Normalized, change of terminology “Adjusted” in order to align the label of this APM to the ESMA guidelines, definition and approach remain unchanged. Adjusted excludes items that are non-recurring in nature and significant (> € 20m). All profits or losses on disposal of activities are adjusted whatever the amount they represent, as well as the amortization and impairment on the intangible assets recognized throughout the Purchase Price Allocation (PPA) of the acquisitions. Reversals of provisions whose addition had been excluded from income are also adjusted whatever the amount they represent. 4 1Q20 Analyst Presentation

Key financials 1Q20 1Q20 Reported Adjusted € million 1 Amortization of intangibles recognized 1Q19 1Q20 1Q19 1Q20 % ↑ during PPA is adjusted, leading to increase in EBIT (€ +4.6m) and income tax expense (€ +0.2m) Total operating income 906.8 934.6 906.8 934.6 3.1% Operating expenses 755.7 797.4 755.7 797.4 5.5% EBITDA 151.1 137.2 151.1 137.2 -9.2% Adjusted FCF excludes the cash Radial 2 receives on behalf of its customers for Depreciation & Amortization 60.7 66.1 55.3 61.5 11.3% performing billing services EBIT 90.4 71.0 95.8 75.6 -21.0% 1 1 Margin (%) 10.0% 7.6% 10.6% 8.1% Financial result -7.5 -4.3 -7.5 -4.3 Profit before tax 81.5 71.5 86.9 76.1 -12.4% Income tax expense 31.3 23.6 31.8 23.8 1 1 Net profit 50.2 47.9 55.1 52.2 -5.1% FCF 186.1 194.2 195.4 246.2 26.0% 2 2 Net Debt at 31 March 613.1 619.9 613.1 619.9 1.1% Capex 15.7 20.5 15.7 20.5 31.0% Average # FTEs and interims 33,966 34,695 33,966 34,695 2.1% 5 1Q20 Analyst Presentation

Results by segment 1Q20 1Q20 € million M&R PaLo Eurasia PaLo N. Am. Corp Eliminations Group External operating income 457.8 210.5 259.9 6.4 0.0 934.6 Intersegment operating income 42.2 3.0 1.4 90.4 -137.1 0.0 Total operating income 500.0 213.5 261.3 96.8 (137.1) 934.6 Operating expenses 413.8 192.2 250.9 77.5 -137.1 797.4 EBITDA 86.1 21.3 10.4 19.3 137.2 Depreciation & Amortization 21.6 5.1 21.2 18.3 66.1 Reported EBIT 64.6 16.2 -10.8 1.0 71.0 Margin (%) 12.9% 7.6% -4.1% 1.1% 7.6% Adjusted EBIT 65.2 16.9 -7.4 1.0 75.6 Margin (%) 13.0% 7.9% -2.8% 1.1% 8.1% 6 1Q20 Analyst Presentation

T op-line decrease driven by COVID-19 impacts on Advertising 1Q20 – M&R Mail and on retail and by deconsolidation of Alvadis M&R external operating income, € million Domestic Mail Transactional Proximity and convenience retail network Operating income decline at € -17.6m i.e. -8.8% underlying volume decline of which: 1Q19 486.5 € +1.0m working days impact, € -29.1m -8.1% YTD Feb-20: no change in structural Decrease mainly driven by: volume (-9.9% underlying volume decline, trends, i.e. continued e-substitution by big - the deconsolidation of Alvadis i.e. -7.1% YTD Feb-20, -15.6% Mar-20), senders and SMEs, higher acceptance of (€ -7.6m) as of September 2019 and € +10.5m price/mix. Transactional -2.2 1 e-documents at the receivers’ side and - COVID-19 impact on Ubiway retail digitization of C2B communication revenues through smartphone apps. - Decline in banking & finance -13.1 Advertising -10.2% Mar-20: impact from COVID-19 on 2 revenues from low interest rate smaller administrative mail volumes and environment 1 2 3 1 4 registered letters. Press -2.3 3 Advertising Press Value added services Proximity and 4 convenience -13.2 -16.5% underlying volume decline: -5.2% underlying volume decline driven by Higher revenue from fines and document retail network e-substitution and rationalization. management. -3.9% YTD Feb-20, better than FY19 at Value added -4.7%, driven by dedicated marketing & 2.2 5 services sales efforts to re-boost advertising mail. -39.4% Mar-20 driven by cancelled campaigns from COVID-19 ban on 1Q20 457.8 promotions and enforced closure of all -28.7 2 3 5 non-essential items stores. 7 1Q20 Analyst Presentation