#1wirecard 3 Investor Presentation H1 2019 results, 7 August 2019 ADVER BENN#2O Wirecard 2019 € 77.3 bn Transaction volume H1 2019 301 k Merchants Highlights Wirecard is one of the fastest growing financial commerce platforms that offers merchants and consumers a continuously expanding payment access system over an integrated B2B2C approach. ६. 2#3Global Megatrends Driving Wirecard's Strategy 6 Global payment megatrends... Cashless World the shift from cash to plastic and virtual money - driven by regulators, supply and demand Artificial Intelligence the first ever possibility to derive actionable insights from big data O Wirecard 2019 Internet Technology & IOT taking over new areas such as production and retail Borderless Payments driven by global trade, travel and politics Financial Inclusion Increasing demand and supply for unbanked and underbanked people Frictionless Customer Experience driven by convergence of payment channels and customer expectations ... driving our strategy 3 1 Globalization of own footprint, customers and services 2 Driving convergence between online, mobile and POS front- ends using innovative internet technology W Constantly extend value chain with innovative value adding solutions 3#4Value-added services in digital banking Credit O Wirecard 2019 Transaction/ Mobile banking DA Peer-to-peer/B2B Financial Platform boon. White label/ Co-branding Call center C Artificial intelligence Issuing CAMERSRAN EXENET mastercard. VISA UATP WeChat Pay Alipay PayPal Big data Mobile wallet Acquiring wirecard White label/ Co-branding h Analytics / RFM analysis ol % Loyalty/Couponing/ Dynamic pricing Risk management ६. Value-added services to increase topline 4#5Transaction Volume in EUR billion 56.2 H1 2018 196.2 37.5% yoy H1 2018 Operating Cash Flow (adjusted) in EUR million 77.3 44.8% yoy H1 2019 284.0 H1 2019 Key Figures 885.2 H1 2018 161.4 Revenues in EUR million H1 2018 36.7% yoy Free Cash Flow in EUR million 1,209.8 48.5% yoy H1 2019 239.6 H1 2019 252.0 H1 2018 EBITDA in EUR million 35.8% yoy 342.1 Some of the amounts disclosed for 2018 differ from the figures in the Interim Report as of 30 June 2018 due to adjustments made in accordance with IAS 8. O Wirecard 2019 H1 2019 EBITDA guidance of EUR 765 815 m for FY 2019 W 01 5#6■ Transaction Volume in EUR billion 56.2 H1 2018 Organic and M&A Related Growth 32.9% organic 2.6 74.7 H1 2019 ▪ Total transaction volume is up EUR 21.1 bn, representing 37.5% of growth yoy Strong organic growth of 32.9% yoy, up EUR 18.5 bn ▪ Total M&A added EUR 2.6 bn - merchant acquiring services of Citigroup in APAC added EUR 2.6 bn (India, Australia & New Zealand) 885.2 ■ H1 2018 Revenue in EUR million 34.6% organic 18.5 1,191.3 H1 2019 ▪ Total revenue is up EUR 324.6 m, representing 36.7% of growth yoy Strong organic growth of 34.6% yoy, up EUR 306.1 m ▪ Total M&A added EUR 18.5 m - merchant acquiring services of Citigroup in APAC added EUR 18.5 m (India, Australia & New Zealand) 252.0 H1 2018 EBITDA in EUR million 35.4% organic 0.8 341.3 Some of the amounts disclosed for 2018 differ from the figures in the Interim Report as of 30 June 2018 due to adjustments made in accordance with IAS 8. O Wirecard 2019 H1 2019 ▪ Strong organic growth of 35.4% yoy, up EUR 89.3 m ▪ Total EBITDA is up EUR 90.1 m, representing 35.8% of growth yoy ६. M&A Organic ▪ Total M&A added EUR 0.8 m merchant acquiring services of Citigroup in APAC added EUR 0.8 m (India, Australia & New Zealand) 6 CO#7Merchant View Transaction volume¹ by geographies2 and industry H1 2019 Transaction volume by geographies € 36.0 bn EUROPE € 41.3 bn OUTSIDE EUROPE Transaction volume industry allocation Consumer goods 47.1% up EUR 9.3 bn 34.2% yoy growth 1 Transaction volume: mainly acceptance and issuing means of payment along with associated value added services 2 Geographic view: based on merchant location O Wirecard 2019 Digital goods 36.4% up EUR 9.4 bn 50.4% yoy growth Travel & mobility 16.6% up EUR 2.4 bn 22.9% yoy growth ६. 7#8الأنصاري للصرافة ALANSARI EXCHANGE BJ 1903 Customer Gains and Partnerships GONG CHA tea.coffee.juice blutv mBills PETROL الخطوط الملكية المغربية royal air maroc O Wirecard 2019 Examples of customer gains, business extensions and new partners ALDI ALDI SÜD CREDIT PILOT WH 1930 lastminute.com SEGMÜLLER Tirol twisto Amway ANA APOLLO Ctrip doka IKEA RBL BANK MERLIN LEROY O,oney ak Orange Money ELUSH RETAIL GROUP EMAG getnow.de KaDeWe Käfer S Sisal Shopee united 联合货币 AUTO 1 GROUP P.F.C. uti PRINTEMPS 1-BASF The Chemical Company KAREN MILLEN XBN STOCKMANN Swatcha TALLINK RENGANA YES BANK NEW SIGNINGS with a potential transaction volume of (in EUR bn) 30.0 H1 2018 15.3% yoy 34.6 H1 2019 W 8#9boon. Planet Hey, Stephan 246.39 € Bite Selaburs De + ■ 9,886.45 Value-added services in digital banking O Wirecard 2019 Product Innovations Credit Transaction/ Mobile banking D Peer-to-peer/B2B Goon White label/ Co-branding B2C: Boon Planet Complete banking and payment ecosystem Digital credit card and bank account via a single app Pilot stage entered, complete launch in October 2019 ▪ To be expanded to include value added features such as mobile infrastructure and loyalty functions Artificial intelligence Suinssi Call center VISA UATP P Alipay Big data IB Mobile wallet Acquiring wirecard White label/ Co-branding Analytics / RFM analysis 10⁰ Loyalty/Couponing/ Dynamic pricing Risk management 回 0 Value-added services to increase topline ६. B2B: Next Generation Financial Commerce Platform Online business account with payment acceptance for merchants Instant payout Immediate availability of credit via bank transfer or debit card ▪ Additional liquidity at any time via credit line linked to payment volume 9#10O Wirecard 2019 Product Innovations Smart Mirror The Wirecard Smart Mirror uses RFID technology and a touch screen integrated in the mirror to improve the shopping experience of customers at retail stores. Key feature: easy checkout with own device and getting access to a wide range of information directly through the mirror. Biometric Terminal Payment, loyalty and access with a wave of your palm Biometrics can be utilized to reduce friction and increase security. A one-time registration of a single encrypted biometric key connects users to: ६. ▪ access control systems ▪ payment options I loyalty programs - ticket redemption ■ time and attendance systems via one network 10#11Description Volumes as of 31 March 2019 as of 30 June 2019 ■ O Wirecard 2019 Overview: Value Added Services Digital Lending Different Lending Products Fintech Loan Support Fintechs with liquidity for their own products Offered as service in addition to WD platform, banking license, etc. ■ Access to liquidity for merchants Customized credit based on historical and future expected transactions, as well as other scoring models EUR 330m Digital Credit EUR 335m I 1 I 1 I I ■ ■ Merchant Cash Advance Early settlement to the merchant to improve liquidity Scoring based on historic. transactions and other scoring models ~EUR 400m ~EUR 370m ६. 11#12O Wirecard 2019 Outlook ६. 12#13Generating New Business Models... by combining digital acquiring, issuing and financial services Customer touchpoints At the cashier Open- and closed loop acceptance, DCC, tax free, loyalty, soft terminals & integration In the aisle Self-checkout, mobile POS, App checkout, digital store assistant On the net & mobile Checkout pages, API & seamless payment, shop plugins O Wirecard 2019 Payment acceptance Fintech Access to market through international license network, open banking ecosystem Integrated payment and data streams wirecard Business models in B2C, B2B and B2B2C evolve towards a unified view on the transaction Payment issuance Customer engagement channels Payment instruments Prepaid or credit, mobile money, closed loop / gift / loyalty cards ६. Consumer accounts Bank accounts, credit solutions, personal finance management Real-time engagement Big data analytics and targeting, personalized offers and pricing, interactive mobile channels Financial licenses Banks Operation of licensed and regulated banking back-end, technology enablement 13#14Smart terminals Card schemes Wirecard's omnichannel offering to further increase conversion rates M-POS solution O Wirecard 2019 Data Driven Services T. Location Algorithmic Layer Data Source Artificial Intelligence 300 Alternative payments ooooo oooo DOD O Cashier In store tablets L ६. E-Commerce 14#15Market Environment Cashless payments expected to grow by around 14 percent per year up to 2021¹ 1 Capgemini: World Payments Report 2018 O Wirecard 2019 Ongoing digitalisation Convergence of all sales channels Real-time payments Transition from cash to electronic payments ६. 15#16O Wirecard 2019 Company Guidance Guidance is based on ▪ Increase in cashless payments globally ▪ Growth of the global e-commerce market and continuing trend towards digitalisation ▪ Increase of processed transaction volume with existing and new clients ▪ Economies of scale ■ Contribution from recent acquisitions EBITDA guidance of EUR 765 815 m for FY 2019 - ६. 16#17Our Visionary Playing Field 80-85% cash transactions worldwide ... Vision 2020 old Vision 2020 new Vision 2025 whereas only 15-20% of all transactions are electronic ... Enormous market potential for Wirecard Transaction volume > EUR 215bn > EUR 230bn > EUR 710bn Revenues > EUR 3bn > EUR 3.2bn > EUR 10bn EBITDA (margin) 30-35% 30-35% > EUR 3.3bn 000 with only 8-10% of all electronic transactions being fully digitized. FCF conversion > 65% > 65% > 65% ६. 17#18Softbank partnership announced 24 April 2019 O Wirecard 2019 SoftBank Timeline AGM approval 18 June 2019 l MR Completion of authorised capital registration August 2019 Signing of contracts and issuance of convertible bond September 2019 ६. 18#19O Wirecard 2019 Financial Data ६. 19#20Governance adjusted structure for sustainable growth in place O Wirecard 2019 Task Force Led by the Wirecard Board Key Results Adjustment of global compliance structures Global enforcement of rules and stronger governance Clear allocation of responsibilities and high transparency High investment in compliance FTE: + 30 W 20#21in EUR million Revenues EBITDA EBIT adjusted* EBIT Income tax expenses Earnings after taxes Earnings per share (basic and diluted) in EUR Cash flow from operating activities (adjusted)** Total equity*** Total equity and liabilities*** Employees as of 30 June 2019 and 30 June 2018 there of full-time employees thereof part-time employees * Adjusted for amortisation (M&A related) **Consolidated cash flow from operating activities (adjusted) *** 2018 figures as of 12/31/2018 Financial Data Financial highlights H1 2019 1,209.8 342.1 294.8 277.1 30.2 237.5 1.92 284.0 2,145.1 6,697.6 5,743 5,420 323 H1 2018 885.2 252.0 219.5 200.1 31.1 157.6 1.27 196.2 1,922.7 5,854.9 5,064 4,741 323 Some of the amounts disclosed for 2018 differ from the figures in the Interim Report as of 30 June 2018 due to adjustments made in accordance with IAS 8. O Wirecard 2019 Change 36.7% 35.8% 34.3% 38.5% -2.9% 50.7% 51.2% 44.8% 11.6% 14.4% 13.4% 14.3% 0.0% W 21#22in EUR million Revenues Own work capitalised Cost of materials Gross profit Personnel expenses Other operating expenses Impairment losses of financial assets Other operating income Share of profit or loss from associates (at equity) EBITDA Amortisation and depreciation EBIT Financial result Earnings before taxes Income tax expenses Earnings after taxes EBITDA Amortisation and depreciation (M&A adjusted) EBIT adjusted** Amortisation and depreciation (M&A related) EBIT * Taxes on income and profit with regards to Earnings before Taxes (EBT) ** Adjusted by amortisation (M&A related) Financial Data Consolidated income statement H1 2019 1,209.8 22.2 652.3 579.7 140.7 100.5 1.6 5.3 -0.2 342.1 65.0 277.1 -9.4 267.7 30.2 237.5 342.1 47.2 294.8 17.7 277.1 in % of revenues* 53.9% 47.9% 11.6% 8.3% 0.1% 0.4% 0.0% 28.3% 5.4% 22.9% 11.3% 19.6% 28.3% 3.9% 24.4% 1.5% 22.9% Some of the amounts disclosed for 2018 differ from the figures in the Interim Report as of 30 June 2018 due to adjustments made in accordance with IAS 8. O Wirecard 2019 H1 2018 885.2 20.7 474.0 431.9 112.0 68.1 4.3 4.8 -0.4 252.0 51.9 200.1 -11.4 188.7 31.1 157.6 252.0 32.5 219.5 19.4 200.1 in % of revenues* 53.6% 48.8% 12.7% 7.7% 0.5% 0.5% 0.0% 28.5% 5.9% 22.6% 16.5% 17.8% 28.5% 3.7% 24.8% 2.2% 22.6% W 22#23Assets in EUR million Goodwill Customer relationships Internally-generated assets Other intangible assets Property, plant and equipment Investments (equity method) Fin. and other assets Deferred tax assets Total non-current assets Inventories and work in progress Receivables of acquiring business Trade and other receivables Tax credits Interest bearing securities Cash and cash equivalents Total current assets Total assets O Wirecard 2019 Financial Data 30 June 2019 713.5 438.4 146.7 114.6 109.8 13.9 372.7 13.1 1,922.7 7.6 786.5 393.3 24.0 515.8 3,047.7 4,774.9 6,697.6 Balance sheet 31 Dec 2018 705.9 452.1 138.2 113.3 81.5 14.0 413.6 10.8 1,929.4 10.6 684.9 357.4 13.1 139.6 2,719.8 3,925.5 5,854.9 Equity and liabilities in EUR million Total equity Non-current interest-bearing liabilities Other non-current liabilities Deferred tax liabilities Total non-current liabilities Liabilities of the acquiring business Trade payables Interest bearing liabilities Other provisions Other liabilities Customer deposits bank Tax provisions Total current liabilities Total liabilities Total equity and liabilities 30 June 2019 2,145.1 1,594.6 156.3 79.0 1,830.0 708.9 65.9 123.0 27.9 207.5 1,559.1 30.1 2,722.5 4,552.5 6,697.6 W 31 Dec 2018 1,922.7 1,348.7 163.8 80.1 1,592.6 651.9 63.4 117.4 18.5 186.6 1,263.0 38.9 2,339.6 3,932.2 5,854.9 23#244,500 4,000 3,500 3,000 2,500 2,000 1,500 1,000 500 0 3,048 Cash and cash equivalents 2 Interest bearing securities O Wirecard 2019 1,180 Net cash bridge H1 2019 (in EUR million) Receivables of acquiring business & Trade and other receivables * Customer deposits bank break down in EUR million Customer deposits - balance sheet amount Financial Data thereof in long-term interest bearing securities thereof in interest bearing securities and fixed-term deposits Customer deposits relevant for net cash calculation -331 Current interest bearing liabilities/other liabilities Customer deposits bank* 30 June 2019 -1,038 1,559 -5 -516 1,038 -775 Liabilities of acquiring business and trade payables 2,086 Net cash position short term - Wirecard 365 Non-current financial assets -1,751 Non-current interest bearing liabilities other liabilities 700 Net cash position long term - Wirecard W 24#25Financial Data Cash flow and income tax analysis in EUR million (except where stated) Cash flow from operating activities (adjusted)* Operative capex Free cash flow Earnings after taxes Cash conversion in % * Consolidated cash flow from operating activities (adjusted) in EUR million Earnings before taxes Income tax expenses there of deferred tax expenses/income thereof effective tax expenses Net cash outflow arising from income tax thereof income tax thereof capital gain tax on dividends H1 2019 267.7 -30.2 0.0 -30.2 -42.5 -42.5 0.0 H1 2019 284.0 -44.5 239.6 237.5 100.9 in % of EBT 11.3% 0.0% 11.3% H1 2018 196.2 -34.8 161.4 157.6 102.4 H1 2018 188.7 -31.1 -12.4 -18.7 -34.5 -34.5 0.0 Change Some of the amounts disclosed for 2018 differ from the figures in the Interim Report as of 30 June 2018 due to adjustments made in accordance with IAS 8. O Wirecard 2019 44.8% 27.8% 48.5% 50.7% in % of EBT 16.5% 6.6% 9.9% W 25#26Investor Relations Iris Stöckl VP Corporate Communications/Investor Relations [email protected] T: +49 (0) 89 4424 1788 Susanne Herrle Principal Investor Relations [email protected] T: +49 (0) 89 4424 1223 Katharina Wilhelm Assistance IR/ PR [email protected] T: +49 (0) 89 4424 191596 O Wirecard 2019 [email protected] Stephanie Malgara Senior Manager Investor Relations [email protected] T: +49 (0) 89 4424 191348 Kristin Kleine Beerink Investor Relations Manager [email protected] T: +49 (0) 89 4424 1734 ६. 26#27Disclaimer Σ. This presentation contains explicit and implicit forward-looking statements concerning Wirecard AG, its affiliated companies and their business. These statements are subject to various known and unknown risks, uncertainties and other factors due to which the actual events, financial conditions, performances and achievements of Wirecard AG may differ substantially from those expressed in such explicit or implicit statements. Wirecard AG makes these statements at the time of the publication of the presentation and is under no obligation to update the forward-looking statements in this presentation including on receipt of new information or on occurrence of future events or for other reasons. However, Wirecard AG, may change in its own free discretion any forward-looking statements should relevant factors change. The forward-looking statements from third parties' surveys, in particular without being limited to research reports and analysts' statements, may prove to be incorrect. Reference to such third parties' surveys is provided for information only and does not imply any agreement with or consent to the content of such surveys or the information, opinions or conclusions contained therein. Wirecard AG accepts no liability for the selection, completeness or correctness of third parties' studies. O Wirecard 2019 Wirecard AG mostly publishes its figures in millions of euro (EUR m). The use of rounding means that it is possible that some figures do not add up exactly to form the totals stated, and that the figures and percentages do not exactly reflect the absolute values on which they are based. This presentation is no offer for the sale and no invitation for offers of purchase or for subscription to of shares of Wirecard AG but is provided for information only. Financial data (IAS/IFRS) refers to the Reports of Wirecard AG published on our website: ir.wirecard.com 27