Pia Brantgärde Linder, Group Vice President and President business area FoodTech

Climate solutions & Digital Solutions

for livestock farming and greenhouses, software for controlling theentire food production value chain

Leading positionin markets representing majority of FoodTech net sales

30% of Group net sales
in 20202

For Customer Success and a Healthier Planet3

3

We reduce the usage of feed by offering
better climate and thereby lower the feedneeded to produce meat

We reduce energy consumption by better
designed ventilation systems and moreefficient equipment

We reduce usage of antibiotic by providing
better indoor climate for chickens andswine

We increase traceability and biosecurity
through data collected throughout thevalue chain

We improve animal welfare by tracking thehealth and status of animals with oursensors

We reduce waste and transportations by
predicting the outcome from farms in realtime

FoodTech – Overview
Geographical split of Sales by end-customer, 2020

A global organization•••~900 employees whereof 160 in our software business4 production sites worldwide, sales offices in 14 countries, 3
software development centers
Distributors in all major markets with livestock production

Making progress on sustainability KPIs:
88% of renewable energy share in 2020*
90% of waste recycle*-47% in incident rate vs. 2019 (TRIR**)
26% of women leaders

Sales per customer segment, 2020
2%
4% 4%Broiler
Swine

14%
45%

Layer
Greenhouse
Dairy

31%

4*Measured for production locations**Total recordable incident rate

Other

MSEK
2200

APAC
35%

EMEA
34%

Americas
31%

Solid growth and profitability

MSEK
350
300

2000

250

1800

200

1600

150

1400

100

1200
1000

50
2016

2017

2018

Net Sales2019
Adj EBITA20200FoodTech has a dual offering to our customers
Products (examples)a dualoffering

Typical customers

AMINO software

Integrators

TRIO controller

Farmers / Dealers

SATURN fanFarmers / Dealers

Today, as well as in the future, FoodTech stands on two pillars, climate solutions and digital solutions

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The FoodTech WorldBroiler example

Integrators

Software for managing andoptimize operations

Feed mills
SoftwareBreeder farms

Full solutions for climate control,
Connected controllers, Software

Hatcheries
SoftwareProcessing plants
Software for planning

Broiler farms
6

Full solutions for climate control,
Connected controllers, Software

Sonar – Our software solution for connected farms
Movie: Sonar (1:41 min)

FoodTech Strategy - With a leading position in both digital and climate solutions,
we will be able to establish a vertical position that creates unique customer value
In a vertical position we will…
Connect equipment
Connect integratorswith softwarewith farmers

Connect tocreate value
Build a unique‘vertical’ position

8

Connect the whole
supply chain

Create unique customer value•

Improved animal welfare
through fact-based climatesolutions•

Improved feed conversion
rate•

Reduced carbon footprint
through optimized logistics
and reduced waste•

Improved Food Safety
through end-to-end
traceability

FoodTech Strategy - To make it happen we address 4 areas
Our Offering

Our Strategic direction
Lead the software market

Connect the World’s farms

Grow through climate
solutions
Strengthen our equipment
position

9Accelerate Growth
Utilize first mover advantage, accelerate roll out
and build installed base of connected farms

Strengthen & Develop
Strengthen current position in equipment andgrow through connected climate solutions

Example how we: Grow through Climate Solutions
We optimize the climate in Asian farms• One of Asia’s largest producer of chicken
products with head quarter in China

Our climate solutions
Challenge• Unique size of houses and request for high air flow

• This customer used to buy from EPC vendor
who is a dealer of other brands but not
specialized within climate solutions
SolutionBenefits

10• Customer had limited knowledge about climate control
but required high standards for their breeders• Application engineer designed customized climate
control solution for the customer• A complete Munters solution including fans, inlets,cooling, and connected controllers• Optimized indoor climate even during summer time
which create excellent production performance• Customer has decided to build more farms withsame solution

Example how we: Lead the software market
We help JBS to leverage AI to improve operations• JBS, the largest animal protein producing
company in the world, partner with MTech
Systems/Munters

Artificial intelligence in action at JBS
Challenge• JBS hatch 40 million eggs per week,
hatchability can vary with several percent
Solution• MTech to provide an Artificial Intelligence (AI)supply chain platform for improving end-to-end
planning of the live supply chain• The platform will provide a centralized end-toend planning, starting with day old pullets all
the way to the delivery to the customer
12Benefits• Hatchability of eggs vary and without accurate
forecasting lead to a surplus or deficit of day oldchickens• Large amount of data is used by the MTech AI
platform, e.g., temperature, breed, parent information,
farm factors, farm and hatchery equipment, etc.
• The AI platform can predict hatchability to levels thathave never been seen before• With more precise forecasting, JBS will be able toproduce an optimal amount of eggs and chickens,
reducing waste and use of resources

More to come…
Strengthened footprint and offering•

Better coverage in fast growing region New distribution hub in South-East Asia•

More products launched based on themodular fan platform•

Ongoing project to streamline productportfolio and increase efficiency

More farms connected

Accelerated software development•

Next generation IoT offering forconnected farms being launched during
2021•

Ongoing recruitments of softwaredevelopers to speed up the digitaljourney•

A strengthened organization forConnected farms to be launched in2021•Launch of next generation software forlarge customers, Amino, during 2021

Supported by investments to realize the market potential•1313

FoodTech has launched an initiative including investments and one-time costs that are expected to generate increased margins in the equipment
business, to increase the number of connected farms and accelerate the growth in software sales – the pillars of our strategy