Melrose Mergers and Acquisitions Presentation Deck

Automotive: highlights Melrose Strong underlying demand continues to be constrained by industry supply issues Sales continue to be constrained by ongoing supply chain shortages; significant level of pent-up demand remains Demand volatile in H1 with OEM changes at short notice; customer cancellations 'in-month' reducing going into H2 Strong bookings with £2.6 billion of lifetime revenue new business wins in H1 - 19% higher than H1 2021 Well positioned to capture incremental electrification growth Substantial market share gains in core Driveline products on electric vehicles and hybrids - promising future mix Next generation high voltage inverter developed - offers increased efficiency, performance and sustainability Increasing proportion of new business wins in EVS - including eDrive components and systems Actively managing inflation impacts and demand fluctuations with operational agility Addressing issues from raw material, freight and labour shortfalls (e.g. Covid China lockdown) Decisive actions being taken to offset inflation through further cost reductions, procurement initiatives and pricing recoveries Time lag effect means that financial performance will be second half weighted Transforming the business with a clear path to 10%+ target operating margin Ongoing cost saving actions with new global indirect cost projects initiated and closure of Birmingham plant completed in H1 Business well placed to achieve target operating margin once supply constraints ease Driving a cleaner, more sustainable world ▪ Leading technology contributes to the electrification and decarbonisation of the industry Intensive efforts to make products lighter and more efficient to reduce environmental impact I ■ ■ I I I ■ ■ ■ ■ ■ ■ Buy Improve Sell 31

View entire presentation