Roadshow Presentation OSRAM delivers on profitability targets, - - PowerPoint PPT Presentation

SLIDE 1

www.osram-licht.ag

Roadshow Presentation OSRAM delivers on profitability targets,

OSRAM Licht AG January 2015

dividend proposed for the first time

SLIDE 2

Safe Harbor Statement

This presentation may contain forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described

• herein. Forward-looking statements may include, in particular, statements about future events, future

financial performance, plans, strategies, expectations, prospects, competitive environment, regulation and supply and demand. OSRAM Licht AG has based these forward-looking statements

• n its views and assumptions with respect to future events and financial performance. Actual

financial performance could differ materially from that projected in the forward-looking statements due to the inherent uncertainty of estimates, forecasts and projections, and financial performance

Roadshow Presentation (preliminary, unaudited figures) | January 2015 2 2

due to the inherent uncertainty of estimates, forecasts and projections, and financial performance may be better or worse than anticipated. Given these uncertainties, readers should not put undue reliance on any forward-looking statements. The information contained in this presentation is subject to change without notice and OSRAM Licht AG does not undertake any duty to update the forward- looking statements, and the estimates and assumptions associated with them, except to the extent required by applicable laws and regulations. Due to rounding, numbers presented throughout this and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

SLIDE 3

OSRAM: THE global lighting brand

Only global lighting pure play World class portfolio of lighting products and solutions From "Analogue" to "Digital" Lighting market set for growth Integrated lighting expert with trusted brand,

Roadshow Presentation (preliminary, unaudited figures) | January 2015 3

Strong technology focus Well positioned Integrated lighting expert with trusted brand, excellent channel access and technology leadership Structures, processes, product pipeline and technology in place Committed management Diverse, entrepreneurial, motivated and incentivized management team

3

SLIDE 4

Revenue by Segment1) FY14 Revenue by Region2) FY14

OSRAM is the largest, pure play global lighting company

Opto Semiconductors

• comp. 12% nom. 10%

Specialty Lighting

• comp. 10% nom. 7%

Classic Lamps & Ballasts

• comp. (10)% nom. (15)%

Luminaires & Solutions

• comp. (14)% nom. (16)%

OSRAM is the clear global #2 lighting player 4)

LED Lamps & Systems

• comp. 57% nom. 53%

20% 28% 35% 8% 9%

Customer reach across all channels 3)

9% 13% 40%* 8%* 30%* AFTM 3) Retail Trade Electronic distributors OEM

*Professional lighting: 78% Roadshow Presentation (preliminary, unaudited figures) | January 2015 4

Revenue by Region2) FY14

32%

~34k employees 6) 8.7%

• adj. EBITA Margin

36% LED share5) 6.4% R&D of sales €5.1bn sales

1) Based on sum of segments’ revenue, without considering corporate items and consolidation 2) Based on location of customers 3) Excluding the supply to competitors and to the other Business Units; as of FY12 4) OSRAM estimate based on company publications 5) As % of sales 6) FTEs as of 30.09.2014 Source: OSRAM data

APAC Americas EMEA

44%

OSRAM is the clear global #2 lighting player 4)

41% 35%

EMEA APAC 2nd 3rd Americas 2nd

• comp. 2% nom. 0%
• comp. (2)%
• nom. (7)%
• comp. 2% nom. (2)%

24%

FY14

SLIDE 5

Segment overview

Specialty Lighting

(SP)

Opto Semiconductors (OS) Luminaires and Solutions (LS) Classic Lamps and Ballasts (CLB) LED Lamps and Systems (LLS)

Roadshow Presentation (preliminary, unaudited figures) | January 2015 5 − Automotive (forward, rear, signal & interior lighting) − Display / Optic (e.g. special lamps for medicine, industry, entertainment and projection) − OLED − LED (e.g. General lighting, automotive headlamps and mobile flashes) − Infrared emitters, detectors, sensors and power lasers (e.g. for mobile phones, CCTV, automotive safety) − Lasers − Luminaires for professional applications − Light management systems − Dynamic lighting (e.g. architectural lighting) − Lighting solutions & projects − Thermal lamps (Halogen and Incandescent lamps) − Energy saving lamps − Low-pressure discharge lamps − High-pressure discharge lamps − Electronic control gears − LED retrofit lamps − Light engines − Drivers

SLIDE 6

LED Lamps and Systems (LLS)

Focus areas: Key financial figures

• LED based lamps, light engines and

drivers

• LED share: 100%

Values in € mn FY13 FY14 Total revenue 298 454

• Adj. EBITA

Margin (95) (31.9)% (84) (18.5)% CAPEX 7 24 Free Cash Flow (98) (161)

Roadshow Presentation (preliminary, unaudited figures) | January 2015 6

Segment highlights: Quarterly development

• Continued strong growth
• Further investment in drivers and light

engines

• Technological change towards LED

based products

• Global mega trends, e.g. digitalization of

light

Key topics

67 78 69 84 95 105 110 144

(34.6%) (27.7%) (38.5%) (28.4%) (25.7%) (13.5%) (20.3%) (16.0%)

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Quarterly sales [EUR mn]

• Adj. EBITA margin [%]

FY13 FY14

SLIDE 7

Classic Lamps and Ballasts (CLB)

Focus areas: Key financial figures

• Halogen-, Compact

Fluorescent-, Low Pressure Discharge-, High Pressure Discharge – Lamps, Electronic Control Gears

• LED share: 0%

Values in € mn FY13 FY14 Total revenue 2,302 1,963

• Adj. EBITA

Margin 222 9.6% 172 8.7% CAPEX 80 54 Free Cash Flow 139 163

Roadshow Presentation (preliminary, unaudited figures) | January 2015 7

Segment highlights:

• Positive Free Cash Flow
• Stable pricing environment
• Successful management of market transition to LED
• Strong growth of Halogen in the US

Key topics

627 590 535 549 548 511 431 472

8.7% 11.9% 10.4% 7.6% 12.3% 9.0% 6.1% 6.7%

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Quarterly sales [EUR mn]

• Adj. EBITA margin [%]

Quarterly development

FY13 FY14

• Successful ramp down of business, continuous focus
• n complexity reduction and pricing discipline
• Continuous improvement in asset management
• Pays for its own restructuring; delivers surplus cash

SLIDE 8

Luminaires and Solutions (LS)

Three focus areas: Key financial figures

• Indoor-/Outdoor Luminaires for street-,
• utdoor lighting and office buildings
• Integrated Soft- and Hardware portfolio

with scalable solutions for i.e. architectural lighting

• Lighting performance and efficiency

upgrade projects and solutions Values in € mn FY13 FY14 Total revenue 561 469

• Adj. EBITA

Margin (65) (11.5)% (60) (12.8)% CAPEX 10 10 Free Cash Flow

• 76
• 81

Roadshow Presentation (preliminary, unaudited figures) | January 2015 8

Segment highlights: Quarterly development

• Trough reached in Q2 FY14
• Restructuring well progressed
• Industry leading LED share

(Q4 FY14: 56%)

• New, focussed and experienced

management driving business

• Focus on profitable core
• Set for future profitable growth

Key topics

148 128 131 155 135 101 110 124

(9.1%) (16.5%) (15.1%) (6.7%) (8.0%) (24.7%) (14.9%) (6.7%)

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Quarterly sales [EUR mn]

• Adj. EBITA margin [%]

FY13 FY14

SLIDE 9

Specialty Lighting (SP)

Focus areas: Key financial figures

• Automotive (forward, rear, signal &

interior lighting)

• Display / Optic (special lamps for

medicine, industry, entertainment and projection)

• OLED

Values in € mn FY13 FY14 Total revenue 1,456 1,551

• Adj. EBITA

Margin 246 16.9% 246 15.9% CAPEX 38 40 Free Cash Flow 242 204

Roadshow Presentation (preliminary, unaudited figures) | January 2015 9

Segment highlights: Quarterly development

• No. 1 position in AM business
• World's first supplier for automotive

laser light module

• OSRAM XBO lamp in every 3rd cinema
• Outgrowing global automotive production
• OLED to enter automotive market
• More than 200 light sources per vehicle

Key topics

359 369 359 369 376 393 378 404

19.9% 16.3% 15.8% 15.5% 16.4% 16.3% 15.2% 15.5%

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Quarterly sales [EUR mn]

• Adj. EBITA margin [%]

FY13 FY14

SLIDE 10

Opto Semiconductors (OS)

Focus areas Key financial figures

• LED e.g. for General lighting,

automotive headlamps and mobile flashes

• Infrared emitters, detectors, sensors

and power lasers e.g. for mobile phones, CCTV, automotive safety

• Lasers

Values in € mn FY13 FY14 Total revenue 1,018 1,125 EBITA Margin 124 12.2% 194 17.2% CAPEX 63 98 Free Cash Flow 239 180

Roadshow Presentation (preliminary, unaudited figures) | January 2015 10

Segment highlights Quarterly development

• Global no. 2 LED manufacturer with

>40 years of experience

• Highly diversified product portfolio
• Excellent market access with long term

customer relationships

• World class IP position and innovation

strength

Source: Audi

230 241 279 268 270 270 286 299

9.8% 10.2% 13.5% 14.6% 13.2% 19.2% 19.8% 16.7%

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Quarterly sales [EUR mn] EBITA margin [%]

FY13 FY14

• Maintain strong market position
• Investment in profitable growth

Key topics

SLIDE 11

OSRAM Push Phase II ambition: Cumulative gross savings of €1.3bn (2015-2017)

200 260 Transformation

Key characteristics Phase II

Key data until FY17: Total gross savings: €1.3bn Headcount1) reduction: ~7,800

• Exp. transformation costs2):

~€0.45bn Transformation part includes…

• increased restructuring in Germany

Gross savings

in €m

Roadshow Presentation (preliminary, unaudited figures) | January 2015 11

Operational Push Phase II 2015-2017 1,040 Push Phase I 2012-2015 1,000

• increased restructuring in Germany
• higher share of indirect functions
• aspiration to delayer and de-matrix

1) Full-time equivalent 2) Including €29m already booked in FY14

Project progress

• Implementation of transformation measures as

scheduled

• Negotiations with labor unions well progressed
• Agreement of social plan for the transformation

measures in Germany signed in Q1FY15

• Bulk of planned FY15 transformation costs booked

accordingly

SLIDE 12

Profitable growth Achieve medium-term an EBITA margin of >8% as average over the cycle1) ROCE clearly above WACC1) 1 2 3

Commitment to our investors

Roadshow Presentation (preliminary, unaudited figures) | January 2015 12

ROCE clearly above WACC1)

Competitive profitability profile in the lighting industry

3 Clear defined Dividend Policy: 30-50% payout ratio of net income2) 4

1) EBITA margin and ROCE for FY15 are expected to be lower than the respective targets due to high transformation costs. 2) Based on IFRS Group Net Income, payout ratio will take into account exceptional non-cash effects within income.

SLIDE 13

Q4 FY14 Management Presentation

Roadshow Presentation (preliminary, unaudited figures) | January 2015 13 13

Q4 FY14 Management Presentation (preliminary and unaudited)

SLIDE 14

OSRAM delivers on profitability targets

Successful finish of OSRAM Push Phase I Further increase of LED sales share Growth in more than half of the businesses

OSRAM strengthens technology leadership

Automotive business extends market leadership

Group highlights FY14

Roadshow Presentation (preliminary, unaudited figures) | January 2015 14

Successful shift from 4’’ to 6’’ wafer at OS Stable investments in R&D

OSRAM plans dividend for the first time

Board proposes dividend of €0.90 per share Dividend proposal corresponds to payout ratio of 50%1) OSRAM intends stable dividend for the fiscal year 2015

1)

• f net income post minorities

SLIDE 15

Segment highlights FY14

Transformation pays off – majority of businesses are growing

Specialty Lighting (SP)

Strengthened cost and technology leadership in Automotive Exceeds global car production growth since 19 quarters Clay Paky acquisition strengthens growth area Display / Optics

Opto Semiconductors (OS)

OS back to double digit growth rate in the fourth quarter New factory in Wuxi builds basis for future growth Productivity improvements overcompensated price decreases

Roadshow Presentation (preliminary, unaudited figures) | January 2015 15

LED Lamps and Systems (LLS)

Continued strong growth Very good development of drivers and light engines Break-even target LEDr lamps Q1 FY15 on track

Classic Lamps and Ballasts (CLB)

Successful management of market change challenges Focus on pricing discipline Strong growth of halogen in the US

Luminaires & Solutions (LS)

2015 break-even target confirmed Luminaires with strong growth in LED Leadership team strengthened

SLIDE 16

OSRAM Push on track: Targets of Phase I accomplished – Phase II started

OSRAM Push Phase I execution track record

As of FY 14 Target Progress Transformation costs (€m) (FY12 – 14) 599 ~600 Plant reductions 11 11

• 100%
• 100%

Successful finish of OSRAM Push Phase I

Roadshow Presentation (preliminary, unaudited figures) | January 2015 16

Plant reductions (FY12 – 14) 11 11 Headcount reduction (‘000) (FY12 – 14) 8.7 8.7 OSRAM Push gross savings, cum. (€m) (FY13 – 15) 871 1,200

• 100%

100%

~400 €m in FY15

OSRAM Push Phase II started!

SLIDE 17

Modest revenue growth (comp.) LED continues to gain ground

Comments Q4 y-o-y Revenue development1)

Quarterly revenue

Comp. growth (%) Revenue (in €m)

Group (€m)

1,203 1,278 1,326 1,332 1,335

(1) 1 4 1 2

FY14 and Q4 FY14 revenue up by 1% comp. LED share at 39% (31% in prior year quarter) LLS boosts revenue (72% comp. y-o-y), decline

• f CLB at -13% comp. y-o-y

OS and SP show continued strong performance, both on new quarterly revenue highs LS with industry-leading LED-share of 56%

Roadshow Presentation (preliminary, unaudited figures) | January 2015 17 Nom. Growth (%) (6) (2) (3) (3)

Q3 FY14 Q2 FY14 Q1 FY14 Q4 FY13 Q4 FY14

Revenue by Region Q4 Revenue by Segment2) Q4

Americas

33%

APAC

25%

EMEA

42%

• nom. 1%
• comp. 2%
• nom. (4)%
• comp. (3)%
• nom. 6%
• comp. 5%

Specialty Lighting

• comp. 10% nom. 9%

28%

Opto Semiconductors

• comp. 11% nom. 11%

21%

Luminaires & Solutions

• comp. (20)% nom. (20)%

9%

LED Lamps & Systems

• comp. 72% nom. 72%

10%

Classic Lamps & Ballasts

• comp. (13)% nom. (14)%

33%

(1)

LS with industry-leading LED-share of 56% APAC with clear growth driven by SP; Americas

• nly down due to exit of traditional maintenance

business

1)

• nom. (nominal growth) / comp. (comparable growth), adjusted for FX and portfolio effects

2) based on sum of Segments' revenue, w/o considering corp. items & consolidation

SLIDE 18

Adjusted EBITA margin with 8% on prior year level

EBITA development Comments Q4 y-o-y Group (€m)

• Adj. EBITA

Margin1) (%)

Gross margin increased on lower transformation costs Push measures and functional cost control mostly compensated negative mix effects and price decline EBITA includes transformation costs of €66m, with €29m attributable to OSRAM Push Phase II

6.4 8.5 6.7 2.7 8.6 9.3 9.1 8.0 8.1 Roadshow Presentation (preliminary, unaudited figures) | January 2015 18

2013 2014 Q4 FY Q1 Q2 Q3 Q4 FY EBITA reported (24) 99 112 81 81 36 310 therein: OSRAM Push transformation costs

• incl. personnel restructuring

(110) (300) (10) (34) (20) (66)(130) Total Special items (133) (310) (11) (35) (23) (70)(139)

EBITA Margin (%)

Special items1)

EBITA (€m)

36 81 81 112

• 24

Q3 FY14 Q4 FY14 Q2 FY14 Q1 FY14 Q4 FY13

€29m attributable to OSRAM Push Phase II FY14 net income €193m translates into basic EPS

• f €1.80; dividend of €0.90 proposed

(1.8)

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters

SLIDE 19

Revenue and EBITA margin development Comments Q4 y-o-y

Growth pace remains high (72% comp. y-o-y), driven by LED lamps and drivers Profitability improvements due to productivity and volume Margin held back by supply chain inefficiencies LED lamps spots reached break-even in Q4 FY14 EBITA includes €5m special items

EBITA Margin (%)

144

(20.3) (25.7) (13.5) (28.4) (19.5) (16.0)

LED Lamps & Systems (LLS): Continued y-o-y improvement

• Adj. EBITA

Margin1) (%) Roadshow Presentation (preliminary, unaudited figures) | January 2015 19

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand- alone-related costs and substantial legal and regulatory matters 2) Last twelve months

EBITA includes €5m special items

Revenue (€m)

144 110 105 95 84

Comp. growth (%) Nom. Growth (%)

Q4 FY14 Q3 FY14 Q2 FY14 Q1 FY14 Q4 FY13

68 38 48 40 21 42 60 35

LLS Gross Margin LTM2) (adj.)

72 72

Q4 FY14 +370bps Q3 FY14 Q2 FY14 Q1 FY14 Q4 FY13 Q3 FY13 Q2 FY13 Q1 FY13

SLIDE 20

Revenue and EBITA margin development Comments Q4 y-o-y

EBITA Margin (%)

• Adj. EBITA

Margin1) (%)

548 549

3.5 11.9 3.6 6.1 9.0 (1.2) 7.6 12.3

LED transition leads to revenue reduction (-13% comp. y-o-y); CLB value initiative supported again stable prices Again strong growth of HAL Classic business in Americas OSRAM Push measures and value initiative can mostly offset negative margin effects from volume decline; profitability also benefitted

6.7 (1.8)

Classic Lamps & Ballasts (CLB): Considerable cash generation

Roadshow Presentation (preliminary, unaudited figures) | January 2015 20

Special items1)

Q4 FY13 FY 13 Q4 FY14 FY 14 EBITA reported (7) 42 (8) 90 therein: Total Special items (48) (179) (40) (81)

472 431 511 548 549

(11) (13) (19)

Q3 FY14 Q4 FY14 Q2 FY14 Q1 FY14 Q4 FY13

(14) (2) (8) (8) (13)

volume decline; profitability also benefitted from functional cost control Free Cash Flow of €67m vs. €31m in prior year quarter Comprehensive asset management program started with focus on inventories

(13) (14)

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters

Nom. Growth (%) Revenue (€m) Comp. growth (%)

SLIDE 21

Luminaires & Solutions (LS): Restructuring well progressed

EBITA Margin (%)

• Adj. EBITA

Margin1) (%)

155

(16.1) (11.2) (41.7) (25.9) (6.7) (8.0) (14.9) (24.7)

Again sequential growth LED share at 56%, up from 34% in PYQ Significant revenue decline y-o-y (-20% comp.) mainly due to exit of traditional maintenance business and luminaire portfolio adjustments Continued profitability improvement with restructuring showing effect

(9.1) (6.7)

Revenue and EBITA margin development Comments Q4 y-o-y

Roadshow Presentation (preliminary, unaudited figures) | January 2015 21

Special items1)

Q4 FY13 FY13 Q4 FY14 FY14 EBITA reported (65) (128) (11) (70) therein: Total Special items (54) (64) (3) (10)

124 110 101 135 155

(9) (21) 1 (16)

Q4 FY14 Q3 FY14 Q2 FY14 Q1 FY14 Q4 FY13

(13) 4 (6) (19)

restructuring showing effect LS businesses under common management to drive further synergies, profitability and growth

(20) (20)

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters

Revenue (€m) Comp. growth (%) Nom. Growth (%)

SLIDE 22

Specialty Lighting (SP): Top line growth and profitability remain on high level

EBITA Margin (%)

• Adj. EBITA

Margin1) (%) 15.5 15.8 14.5 13.0 16.4 16.0 15.2 16.3

Automotive business once more driver of revenue growth (10% nom. y-o-y) with growth in LED as well as traditional business Volume holds adjusted EBITA margin on prior year level despite mix effects including significantly increasing LED components sourced from OS Clay Paky to strengthen Display / Optics

14.7 15.5

Revenue and EBITA margin development Comments Q4 y-o-y

Roadshow Presentation (preliminary, unaudited figures) | January 2015 22 5 5 7 2

Q4 FY13 FY13 Q4 FY14 FY14 EBITA reported 48 219 60 237 therein: Total Special items (9) (27) (3) (10)

Special items1)

Margin (%)

404 378 393 376 369 Q4 FY14 Q3 FY14 Q2 FY14 Q1 FY14 Q4 FY13

Clay Paky to strengthen Display / Optics business in FY15 (with ~€60m revenue and

• perational margin on SP level)

OLED technology expected to enter automotive market; OLED reported within SP starting Q1 FY15

8 11 10 9 10 9

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters

Nom. Growth (%) Revenue (€m) Comp. growth (%)

SLIDE 23

Opto Semiconductors (OS): Back to double digit growth

EBITA Margin (%)

299

19.2 14.6 19.8

Quarterly revenues reach new peak level with €299m benefitting from seasonality; again new revenue high Growth across all regions EBITA margin y-o-y on high level based on improved product mix and operational performance

13.2 16.7

Revenue and EBITA margin development Comments Q4 y-o-y

Roadshow Presentation (preliminary, unaudited figures) | January 2015 23 2 17 12 10

299 286 270 270 268 Q4 FY14 Q3 FY14 Q2 FY14 Q1 FY14 Q4 FY13

5 20 14 13 11 11 Nom. Growth (%) Revenue (€m) Comp. growth (%)

SLIDE 24

Margin 7.7% Margin 6.0% €438m Margin 8.7%

Reported EBITA burdened by transformation costs, Push more than compensates pricing pressure and mix

Roadshow Presentation (preliminary, unaudited figures) | January 2015 24

EBITA FY14 adjusted1) EBITA FY14 as reported Cost Reduction Measures (OSRAM Push) Volume / Degression / Product Mix / Others Inflation Customer Price Change EBITA FY13 adjusted1) EBITA FY13 as reported Margin 1.9%

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters

SLIDE 25

Our global SG&A program drives competitiveness through lean structures

OSRAM SG&A Program

Lean HQs GSS & Process Excellence GI Sales Streamlining

• Secure future competitiveness for SSL
• Lean organization & efficient processes
• Sustainable structural improvements

Roadshow Presentation (preliminary, unaudited figures) | January 2015 25

Lean HQs

• Efficient HQ setup, increased

flexibility

• Clear responsibilities BUs /

service providers GSS & Process Excellence

• Align business processes

globally

• E2E-Process transformation

to provide cost efficient & effective services for businesses GI Sales Streamlining

• Optimize Sales functions &

channels cross BUs and regions

• De-layer and de-matrix

+ additional €160m from footprint measures with an incremental profit upside in case of improved market outlook Sustainably margin-accretive savings: €100m

SLIDE 26

Net Debt bridge Capital Expenditure

ROCE and FCF FY14 targets achieved

Group (€m)

34 15 27 29 18 13 7 4 Q4 FY13 90 3 4

• 13

Q4 FY14 77 8 5 Other LS LLS CLB OS SP

Net Debt bridge

28 17 113 Net

• 3

∆ non-

487

• 11

CAPEX Other

• 77

Other ∆ EBITDA

Net 420

Mainly

FCF €51m

Roadshow Presentation (preliminary, unaudited figures) | January 2015 26

1) Defined as revenue (last twelve months) divided by working capital

Capex as % of revenue 5.8 Group WC Turns1)

Operating Working Capital

216 284 FY14 FY13 Q4 FY13 Q4 FY14 Other

• 677
• 799

857 853 968 Trade receivables Trade payables +66 Inventories Q4 FY14 1,211 1,152 Q4 FY13 1,145

Free Cash Flow

6.7

Net Liquidity Q4 FY14

current assets and liabilities Invest./ Fin. activities income / expense NWC

Net Liquidity Q3 FY14

taxes paid

4.6 4.2

ROCE

1.9% FY14 9.3% FY13

SLIDE 27

Key financial metrics

Q4 FY13 Q4 FY14 Change (y-o-y) FY13 FY14 Change (y-o-y) Revenue 1,332 1,335 Nom: 0% Comp: 1% 5,289 5,142 Nom: (3)% Comp: 1% Gross Margin 27.2% 28.9 % 170bps 28.2% 31.4% 320bps R&D (86) (85) 1 (341) (331) 10 SG&A (315) (265) 50 (1,103) (985) 118 EBITDA 55 113 58 414 556 142 EBITA (24) 36 60 99 310 211 EBITA Margin (1.8)% 2.7% 450bps 1.9% 6.0% 410bps

• Adj. EBITA

108 106 (2) 410 449 39

• Adj. EBITA Margin

8.1% 8.0% (10)bps 7.7% 8.7% 100bps

Group (€m)

Roadshow Presentation (preliminary, unaudited figures) | January 2015 27

1) Pro forma

• Adj. EBITA Margin

8.1% 8.0% (10)bps 7.7% 8.7% 100bps Financial result

(incl. at-equity results)

(10) (13) (3) (22) (5) 17 Income before Taxes (44) 17 61 50 279 229 Taxes 16 (5) (21) (17) (86) (69) Net Income (29) 12 41 34 193 159 Basic EPS (in €) (0.28)

1)

0.10 0.38 0.26 1.80 1.54 Free Cash Flow 85 51 (34) 284 216 (68) CAPEX (90) (77) 13 (207) (243) (36) Employees (in thousands) 35 34 (1) 35 34 (1) Net Debt (Liquidity) (172) (487) (315) (172) (487) (315)

• Adj. Net Debt (Liquidity) / EBITDA

0.5 (0.1) 0.5 (0.1) Equity Ratio 49% 51% 200bps 49% 51% 200bps

SLIDE 28

For FY15 we expect revenue on FY14 level on a comparable basis 1

Outlook 2015

2 We expect the adjusted1) EBITA margin to be at FY14 level 3 OSRAM Push Phase II in FY15 with gross savings of roughly €400m

Roadshow Presentation (preliminary, unaudited figures) | January 2015 28

4 Biggest yearly share of transformation costs in FY15 will lead to a sharp decrease in net income and ROCE 5 Free Cash Flow for FY15 expected to come in with a positive triple- digit €m amount, but below FY14 level

• Based on 2015 outlook and OSRAM’s midterm prospects we

intend dividend continuity with €0.90 per share also for FY15

1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters

SLIDE 29

Financial Calendar and Investor contacts

Upcoming events

• January 13/14, 2015

Commerzbank Investment Seminar, New York

• February 4, 2015

Preliminary figures 1st quarter FY 2015

• February 5, 2015

Bankhaus Lampe – German Equity Forum, London

• February 6, 2015

Roadshow, Paris

Roadshow Presentation (preliminary, unaudited figures) | January 2015 29

Investor Relations contact Boris Tramm + 49 89 6213 4686 Munich Office + 49 89 6213 4875 Internet http://www.osram.com/ir Email: ir@osram.com

Roadshow, Paris

SLIDE 30

Income statement

OSRAM Licht Group

Consolidated Statement of Income (preliminary) For the three months ended September 30, 2014 (unaudited) and 2013 and for the fiscal years ended September 30, 2014 (unaudited) and 2013 (in € million) 2014 2013 2014 2013 Revenue 1,334.8 1,332.0 5,142.1 5,288.7 Cost of goods sold and services rendered

• 949.5
• 970.1
• 3,528.8
• 3,797.2

Gross profit 385.4 361.9 1,613.4 1,491.5 Research and development expenses

• 84.6
• 86.2
• 331.4
• 341.2

Marketing, selling and general administrative expenses

• 265.5
• 315.3
• 985.3
• 1,102.8

Other operating income 1.3 8.6 40.6 65.6 Other operating expense

• 6.9
• 3.4
• 53.2
• 40.6

Three months ended September 30

Consolidated Statement of Comprehensive Income (preliminary) For the three months ended September 30, 2014 (unaudited) and 2013 and for the fiscal years ended September 30, 2014 (unaudited) and 2013 (in € million) 2014 2013 2014 2013 Net income (loss) 12.0

• 28.6

193.1 33.6 Items that will not be reclassified to profit or loss Remeasurements of defined benefit plans

• 28.5

28.0

• 29.0

75.9 Items that may be reclassified subsequently to profit or loss Currency translation differences 82.0

• 36.1

65.7

• 71.5

Available-for-sale financial assets

• 0.1
• 0.1

0.5

• Derivative financial instruments
• 1.3

0.1

• 2.2

0.2 Three months ended September 30

Roadshow Presentation (preliminary, unaudited figures) | January 2015 30

Income (loss) from investments accounted for using the equity method, net 1.1 0.4 35.9 13.6 Interest income 0.7 1.1 3.2 5.9 Interest expense

• 13.5
• 8.7
• 40.8
• 32.0

Other financial income (expense), net

• 0.8
• 2.6
• 3.2
• 9.9

Income (loss) before income taxes 17.1

• 44.2

279.2 50.1 Income taxes

• 5.1

15.6

• 86.1
• 16.5

Net income (loss) 12.0

• 28.6

193.1 33.6 Attributable to: Non-controlling interests 1.1 1.2 5.2 6.0 Shareholders of OSRAM Licht AG 10.9

• 29.8

187.9 27.6 Undiluted earnings per share (in €) 0.10

• 0,28 1)

1.80 0.26 Diluted earning per share (in €) 0.10

• 0,28 1)

1.79 0.26 Percentages and numbers may contain rounding differences. (1) Pro forma Derivative financial instruments

• 1.3

0.1

• 2.2

0.2 subtotal 80.6

• 36.1

64.0

• 71.3

Other comprehensive income (loss), net of tax (1) 52.1

• 8.1

35.0 4.6 Total comprehensive income (loss) 64.1

• 36.7

228.1 38.2 Attributable to: Non-controlling interests 3.3 0.7 6.9 5.8 Shareholders of OSRAM Licht AG 60.8

• 37.4

221.2 32.4 Percentages and numbers may contain rounding differences. (1) Other comprehensive income (loss), net of tax includes income (losses) of €-0.1 million and €0.3 million, respectively, from investments accounted for using the equity method in the three months ended September 30, 2014 and for the fiscal year 2014 (for the previous year: €-0.1 million and €-2.5 million, respectively), of w hich €0.0 million and €0.0 million, respectively, is attributable to items that w ill not be reclassified to profit or loss (for the previous year: €0.0 million and €-4.2 million, respectively).

SLIDE 31

Cash Flow

OSRAM Licht Group

Consolidated Statement of Cash Flow (preliminary)

For the fiscal years ended September 30, 2014 (unaudited) and September 30, 2013 (in € million) 2014 2013 Cash flows from operating activities Net income (loss) 193.1 33.6 Adjustments to reconcile net income (loss) to cash provided (used in)

• perating activities

Amortization, depreciation and impairments 272.1 341.1 Income taxes 86.1 16.5 Interest (income) expense, net 37.6 26.1 2014 2013 Cash flows from investing activities Additions to intangible assets and property, plant and equipment

• 243.2
• 207.4

Acquisitions, net of cash acquired

• 0.5

Purchases of investments

• 0.3
• 38.9

Proceeds and (payments) from sales of investments, intangible assets and property, plant and equipment 86.8 17.3 Proceeds and (payments) from the sale of business activities

• 0.5

23.4 Net cash provided by (used in) investing activities

• 157.2
• 205.1

Cash flows from financing activities Purchase of common stock

• 9.2

Roadshow Presentation (preliminary, unaudited figures) | January 2015 31

Interest (income) expense, net 37.6 26.1 (Gains) losses on sales and disposals of businesses, intangibles and property, plant and equipment, net 5.2 0.4 (Gains) losses on sales of investments, net

• 32.0
• (Income) loss from investments
• 4.8
• 13.7

Other non-cash (income) expenses

• 4.8

36.5 Change in current assets and liabilities (Increase) decrease in inventories

• 146.8

13.3 (Increase) decrease in trade receivables 18.6

• 77.7

(Increase) decrease in other current assets

• 17.7
• 10.4

Increase (decrease) in trade payables 83.8 74.1 Increase (decrease) in current provisions 26.6 8.2 Increase (decrease) in other current liabilities

• 61.0

154.8 Change in other assets and liabilities 24.6

• 41.5

Income taxes paid

• 28.4
• 77.1

Dividends received 2.3 6.3 Interest received 4.6 1.2 Net cash provided by (used in) operating activities 459.1 491.7 Purchase of common stock

• 9.2

Proceeds from re-issuance of treasury stock

• 3.3

Proceeds from issuance of long-term debt

• 300.0

Transaction costs related to unused credit facilities

• 21.1

Repayment of long-term debt

• 160.0
• Change in short-term debt and other financing activities
• 11.8

18.7 Interest paid

• 13.4
• 8.2

Dividends paid to non-controlling interest shareholders

• 2.7
• 5.6

Profit and loss transfer with Siemens Group

• 336.6

Interest paid to Siemens Group

• 3.8

Other transactions / financing with Siemens Group 11.8

• 397.2

Net cash provided by (used in) financing activities

• 176.1

213.5 Effect of exchange rates on cash and cash equivalents 19.8

• 9.2

Net increase (decrease) in cash and cash equivalents 145.6 490.9 Cash and cash equivalents at beginning of period 522.1 31.2 Cash and cash equivalents at end of period 667.7 522.1 Cash and cash equivalents at end of period (Consolidated Statements of Financial Position) 667.7 522.1 Percentages and numbers may contain rounding differences.

SLIDE 32

Balance sheet

OSRAM Licht Group

Consolidated Statement of Financial Position (preliminary)

As of September 30, 2014 (unaudited) and September 30, 2013 (in € million) As of September 30 As of September 30 2014 2013 Assets Current Assets Cash and cash equivalents 667.7 522.1 Available-for-sale financial assets 1.4 0.8 Trade receivables 857.5 853.4 As of September 30 As of September 30 2014 2013 Liabilities and equity Current liabilities Short-term debt and current maturities of long-term debt 43.6 55.9 Trade payables 798.6 677.0 Other current financial liabilities 46.3 39.2 Current provisions 123.5 93.9

Roadshow Presentation (preliminary, unaudited figures) | January 2015 32

Trade receivables 857.5 853.4 Other current financial assets 64.9 58.2 Inventories 1,152.1 968.3 Income tax receivables 29.2 50.0 Other current assets 91.3 93.6 Noncurrent assets held for sale 2.9 47.0 Total current assets 2,867.0 2,593.4 Goodwill 37.7 35.1 Other intangible assets 105.6 119.5 Property, plant and equipment 1,137.1 1,132.7 Investments accounted for using the equity method 62.3 57.7 Other financial assets 12.3 18.8 Deferred tax assets 425.0 397.1 Other assets 62.7 71.0 Total assets 4,709.5 4,425.3 Current provisions 123.5 93.9 Income tax payables 90.1 66.8 Other current liabilities 466.2 530.8 Total current liabilities 1,568.3 1,463.6 Long-term debt 138.2 295.0 Pension plans and similar commitments 444.4 358.5 Deferred tax liabilities 1.0 1.3 Provisions 14.9 16.2 Other financial liabilities 0.3 0.4 Other liabilities 141.6 121.0 Total liabilities 2,308.7 2,256.0 Equity Common stock, no par value 104.7 104.7 Additional paid-in capital 2,026.2 2,022.9 Retained earnings 190.4 31.5 Other components of equity 57.4

• 4.9

Treasury shares, at cost

• 2.9
• 5.6

Total equity attributable to shareholders of OSRAM Licht AG 2,375.8 2,148.6 Non-controlling interests 25.0 20.7 Total equity 2,400.8 2,169.3 Total liabilities and equity 4,709.5 4,425.3 Percentages and numbers may contain rounding differences.

SLIDE 33

Segments

OSRAM Licht Group

Notes to the Consolidated Financial Statements - Segment Information (preliminary)

For the three months ended September 30, 2014 (unaudited) and 2013 and for the fiscal years ended September 30, 2014 (unaudited) and 2013 (in € million)

2014 2013 2014 2013 Segments Three months ended September 30 Three months ended September 30 Total revenue EBITA (1) 2014 2013 2014 2013 Total revenue EBITA (1)

Roadshow Presentation (preliminary, unaudited figures) | January 2015 33

Percentages and numbers may contain rounding differences.

(1) (2) (3) (4) (5) (6) Segment information data for comparison periods has been adapted to the new composition of segments. EBITA is earnings before financial results (Income (loss) from investments accounted for using the equity method, net; Interest income; Interest expense and Other financial income (expense), net), Income taxes and Amortization as defined below . Assets of the segments and corporate items and pensions are defined as Total assets, less financing receivables and tax related assets as w ell as noninterest-bearing provisions and liabilities other than tax liabilities (e.g. trade payables). Free cash flow constitutes net cash provided by (used in) operating activities less additions to intangible assets and property, plant and equipment. For the segments, it primarily excludes income tax-related and financing interest payments and proceeds. Amortization represents amortization and impairments of goodw ill and intangible assets, net of reversals of impairments. Depreciation represents depreciation and impairments of property, plant and equipment, net of reversals of impairments. The nine months ended June 30, 2014 include impairment losses on property, plant and equipment used for the production of prematerials of €6.2 million related to the reassessment of the strategic business prospects and mainly affecting the CLB segment.

Segments LED Lamps & Systems (6) 144.0 83.8

• 28.1
• 23.8

Classic Lamps & Ballasts (6) 472.3 549.5

• 8.3
• 6.5

Luminaires & Solutions 124.1 154.8

• 11.2
• 64.6

Specialty Lighting 403.6 369.1 59.5 47.9 Opto Semiconductors 299.3 268.4 49.8 39.1 Total Segments 1,443.3 1,425.7 61.7

• 7.9

Reconciliation to consolidated financial statements Corporate items and pensions 5.3 4.4

• 25.3
• 16.2

Eliminations, corporate treasury and other reconciling items

• 113.8
• 98.1
• 0.3
• 0.3

OSRAM Licht Group 1,334.8 1,332.0 36.2

• 24.3

Segments LED Lamps & Systems (6) 454.3 297.8

• 89.2
• 95.1

Classic Lamps & Ballasts (6) 1,962.6 2,302.1 89.9 42.5 Luminaires & Solutions 469.2 561.3

• 70.0
• 128.3

Specialty Lighting 1,551.0 1,455.8 236.5 218.8 Opto Semiconductors 1,124.5 1,018.0 193.8 123.8 Total Segments 5,561.6 5,635.0 361.0 161.7 Reconciliation to consolidated financial statements Corporate items and pensions 17.4 17.8

• 49.8
• 61.5

Eliminations, corporate treasury and other reconciling items

• 436.8
• 364.2
• 0.9
• 0.7

OSRAM Licht Group 5,142.1 5,288.7 310.4 99.5

SLIDE 34

Impact of OLED integration into Specialty Lighting (SP)

Group (€m)

Q1 FY14 Q2 FY14 Q3 FY14 Q4 FY14 FY 14 SP ex. OLED (as reported) Revenue 376 393 378 404 1,551

• adj. EBITA

62 64 58 63 246

• adj. EBITA margin

16.4% 16.3% 15.2% 15.5% 15.9% OLED Revenue EBITA

• 2
• 4
• 3
• 3
• 12

Roadshow Presentation (preliminary, unaudited figures) | January 2015 34

EBITA

• 2
• 4
• 3
• 3
• 12

SP incl. OLED Revenue 376 393 378 404 1,551

• adj. EBITA

59 61 54 60 234

• adj. EBITA margin

15.7% 15.4% 14.4% 14.9% 15.1%

1) 1) Restated pro forma figures

SLIDE 35

Disclaimer

This presentation contains certain non-IFRS measures. FCF, EBITDA, EBITA, EBITA margin, capital expenditures, capital expenditures as percentage of revenues and other operating income, net financial debt, net working capital and certain other items included herein are not recognized measures in accordance with IFRS and should not be considered as an alternative to the applicable IFRS measures. We have provided these measures and other information in this presentation because we believe they provide investors with additional information to measure our performance. Our use of the terms FCF, EBITDA, EBITA, EBITA margin, capital expenditures, capital expenditures as percentage of revenues and other operating income, net financial debt, net working capital varies from others in our industry and should not be considered as an alternative to net income (loss), cash flows from operating activities, revenues or any other performance measures derived in accordance with IFRS as measures of operating performance or to cash flows as measures of liquidity. FCF, EBITDA, EBITA, EBITA margin, capital expenditures, capital expenditures as percentage of revenues and other operating income, net financial debt and net working capital have important

Roadshow Presentation (preliminary, unaudited figures) | January 2015 35

expenditures as percentage of revenues and other operating income, net financial debt and net working capital have important limitations as analytical tools and should not be considered in isolation or as substitutes for analysis of our results as reported under IFRS. Certain numerical data, financial information and market data (including percentages) in this presentation have been rounded according to established commercial standards. As a result, the aggregate amounts (sum totals or interim totals or differences or if numbers are put in relation) in this presentation may not correspond in all cases to the amounts contained in the underlying (unrounded) figures appearing in the consolidated financial statements. Furthermore, in tables and charts, these rounded figures may not add up exactly to the totals contained in the respective tables and charts.