Ad hoc announcement pursuant to Art. 53 LR – Press release

LEM announces record financial results for full year 2022/23
Geneva, Switzerland, 25 May 2023 – LEM (SIX: LEHN), a leading global company in electricalmeasurement for renewable energy, automation, power network and e-mobility applications,announces full year results for 2022/23 (April-March) compared to 2021/22:•

Bookings decreased by 19.3% to CHF 465.2 million (CHF 576.4 million)•Sales increased by 8.8% to CHF 406.4 million (CHF 373.4 million); at constant exchange rates,sales increased by 12.6%•

The company benefits from a diverse global distribution of sales, led by China and EMEA:– China CHF 157.9 m (38.9% of total)– EMEA CHF 127.7 m (31.4% of total)– Rest-of-Asia CHF 71.0 m (17.5% of total)– Americas CHF 49.8 m (12.3% of total)•R&D investments of CHF 32.2 million (CHF 29.4 million), or 7.9% of sales•

EBIT increased by 4.3% to CHF 92.2 million (CHF 88.4 million); the EBIT margin decreased to22.7% (23.7%)•Net profit for the period increased to CHF 75.3 million (CHF 72.4 million)•Operating cash flow increased to CHF 87.0 million (CHF 50.4 million)•

Proposed dividend increased to CHF 52 per share (CHF 50 for 2021/22)

Frank Rehfeld, Chief Executive Officer, said: “We are delighted to again report record annual results.
Our revenues demonstrated the fundamental demand for our products and the strengths of thecompany operationally.
We thank our teams around the world for their flexibility and determination to find innovative solutions.
Their ingenuity led to 9 product launches and 21 patents granted. Another milestone was our move toour new headquarters in Meyrin, Geneva, in April 2022. At headquarters, LEM's innovative spirit isvisible, and collaboration between teams is facilitated.
Our record performance once again is evidence of our positive outlook for the long-term growth of ourcompany. The mega trends of electrification and decarbonization that drive our business areaccelerating, offering many opportunities to capture growth. However, in the short term we remain
vigilant, as growth may be affected in some businesses and regions by market adjustments andcomponent shortages. Nevertheless, we see our orderbook normalizing towards the 3-4 month visibility
that we had before the supply chain challenges started.”
Andrea Borla, Chief Financial Officer, remarked: “Top-line growth of 8.8% and an EBIT margin of
22.7% are indeed pleasing. Without the foreign exchange impact, sales would have increased by12.6%. We achieved this despite lockdowns in China, supply chain difficulties, and geopoliticalchallenges. We congratulate our employees for this year’s record performance, and are proud to invest
in their development, new skillsets, and technological expertise.”

LEM Holding SA

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Performance by businesses
in CHF millions
Businesses
Automation

Automotive

Renewable Energy
Energy Distribution& High Precision
Track
Total

Scope
drives, robots, toolingmachines, elevators,
HVAC
battery (EV & CE), motor
control, onboard
charging
solar, windcharging stations, smart
grid, energy storage,
high precision
trains, metro, trackside

2022/232021/22

Change

136.3

130.3

+4.6%

100.7

85.8

+17.4%

67.0
59.4

66.0
48.6

+1.6%
+22.3%

43.0
406.4

42.8
373.4

+0.4%
+8.8%

Automation
We have seen strong demand for our products in manufacturing equipment such as tooling machines,
robotics, and conveyor belts. Extreme weather conditions caused by global climate change are driving
demand for sensors in applications such as coolers and heat pumps.
Automotive
Our Automotive business, which is driven by sensors for battery management and motor control,
showed impressive results for both Q4 and full year, despite lockdowns and supply constraints.
Leading OEMs strengthened their market positions, while Chinese newcomers struggle to maintainmomentum. The global fundamental demand for EVs remains strong, and we deliver to most players
in the market.
Renewable Energy
Sales increased only slightly due to component shortages. We had good demand for our products,
with China as the major market for our solar products. The prospects for Renewable Energy remain
promising. The global trend of decarbonization continues to drive growth, and supply chain constraints
are expected to ease.
Energy Distribution & High Precision
We gained many new customers signing orders for products in EV charging stations and energy grid
applications. Global investments in e-mobility infrastructure drive the strong performance of our DC
meter product, with Europe and the US contributing to major growth. Our high precision solutions fortest benches and MRI scanners continue to develop well.
Track
Our traction business, with its project-based long investment horizons, remains stable. We saw extra
demand coming from the EU, which is renewing energy meters in various countries.

LEM Holding SA

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Performance by regionsin CHF millions
Regions
China
Rest-of-Asia
EMEA
Americas2022/232021/22

Change

157.9
71.0

143.8
67.4

+9.8%
+5.3%

127.7

124.7

+2.4%

49.8

37.5

+32.9%

406.4

373.4

+8.8%

Scope
Japan, South Korea,India, Southeast Asia
Europe, Middle East &Africa
NAFTA & Latin
America

Total

China
We grew despite Covid challenges and component shortages. At constant exchange rates, growth was12.7%. Markets for electric vehicles and solar combined with energy storage continued
to grow; however, the EV market started to slow down at the end of Q4. The Automation business wasrelatively flat.
Rest-of-AsiaOur business in Japan benefited from strong demand for EV sensors and an improved supply chain.
South Korea showed robust performance with strong demand for EV and hybrid cars, and record salesin March. In India the supply chain for the traction business is improving, and the comparatively smaller
Automotive business continues to grow.
EMEA
The fundamental megatrends driving our businesses continue to gain momentum in Europe. Our DC
meter showed strong sales in Germany and the rest of Western Europe. In Track, the German railway
market is booming, which led to high demand for our locomotive products. Our EMEA sales
performance was held back by our decision to stop our activities in Russia, by the strong Swiss Franc,and component shortages.
Americas
The US showed very strong performance in the Automotive and Automation business. The
government’s commitment to sustainable energies continues to benefit our growth drivers. Our DC
meter, recently certified for the US and Canada, performed very well. In Automation, we experienced
a high demand for sensors for automated processing lines for the food and beverage industry.
Profitability remains robust
Gross profit was up by 8.4% at CHF 192.2 million (CHF 177.3 million), while the gross profit margindecreased slightly to 47.3%, sales price increases being offset by purchase price increases.
SG&A costs were up by 14.1% to CHF 68.1 million (CHF 59.7 million) and accounted for 16.8% ofsales (16.0%). This increase reflects our digitalization projects (investment in software and hardware),external consulting support for several key initiatives, and recruitment of additional talent. We continue
with our long-term investment in future applications, with R&D up in absolute terms by 9.5% to CHF
32.2 million (CHF 29.4 million), or flat at 7.9% of sales.
EBIT increased by 4.3% to CHF 92.2 million from CHF 88.4 million, primarily due to improved sales.
Our reported EBIT margin was down, at 22.7% compared with 23.7% last year.
The negative impact of foreign exchange translations was CHF 1.9 million, compared to CHF 2.7
million last year, mainly due to depreciation of the EUR. The Group tax expenses of CHF 13.6 million
represent a tax rate of 15.3%.

LEM Holding SAPage 3/7

Net profit increased to CHF 75.3 million, while the net profit margin decreased to 18.5% compared with
19.4% last year.
Strong cash flow and balance sheet
Cash flow from operating activities was CHF 87.0 million (CHF 50.4 million), and free cash flow was
CHF 60.5 million (CHF 29.4 million). This reflects the healthy financial situation. Our balance sheet
remains strong with limited net debt of CHF 21.8 million. As of 31 March 2023, total assets increased
to CHF 327.5 million. Shareholders’ equity reached CHF 173.6 million, representing an equity ratioof 53.0% (53.5% as of 31 March 2022).
Outlook
Our businesses have proven successful and will benefit as the mega trends of decarbonization andelectrification continue to be fundamental growth drivers. For the mid and long term, we are confident
about our company’s growth. Demand remains high for our products, as they play an important role in
the acceleration of the shift towards sustainability. We see many opportunities to capture future growth.
In the short term, however, growth may be affected in some businesses and regions by market
adjustments and component shortages. There may be slowdowns resulting from geopolitical tensions
as well. Therefore, we will remain vigilant for the next 12 months.

Media, investor, and analyst conference and webcast
Andreas Hürlimann, Chairman of the Board of Directors, Frank Rehfeld, CEO, and Andrea Borla, CFO,
will present the results for the financial year 2022/23 and the outlook for the financial year 2023/24
today at 10:30 CET at a conference for investors, analysts, and media at the Widder Hotel inZurich.
Listen to the conference call and live webcast
https://media.choruscall.eu/mediaframe/webcast.html?webcastid=n4sNF3QS
The press release, Annual Review, Financial Report, investor presentation, and the link to thewebcast will be available from today, 25 May 2023, on the Investor Relations section of the LEM
website (http://www.lem.com/en/investors), where the webcast will later also be archived.
Dial-In Numbers
Switzerland & Europe:
UK:
USA:
Other countries:+41 (0)58 310 50 00+44 (0) 207 107 06 13+1 (1) 631 570 56 13
https://services3.choruscall.ch/NUMBERS/Attended_Dial_In_Numbers.pdf

LEM Holding SA

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Annual General Meeting
The Annual General Meeting of Shareholders on 29 June will take place in Geneva, allowing
shareholders to attend in person. The formal invitation with proposed resolutions is published today on
the company’s website.
Financial calendar
The financial year runs from 1 April to 31 March
29 June 2023
Annual General Meeting for the financial year 2022/23
4 July 2023
Dividend ex-date
6 July 2023
Dividend payment date
27 July 2023
First quarter results 2023/24
10 November 2023 Half year results 2023/24
2 February 2024
9 months results 2023/24
28 May 2024
Full year results 2023/24
27 June 2024
Annual General Meeting for the financial year 2023/24
2 July 2024
Dividend ex-date
4 July 2024
Dividend payment date

LEM – Life Energy Motion
A leading company in electrical measurement, LEM engineers the best solutions for energy andmobility, ensuring that our customers’ systems are optimized, reliable and safe.
Our 1,700 people in 17 countries transform technology potential into powerful answers. We developand recruit the best global talent, working at the forefront of megatrends such as renewable energy,mobility, automation, and digitization. With innovative electrical solutions, we are helping our customers
and society accelerate the transition to a more sustainable future.
Listed on the SIX Swiss Exchange since 1986, the company’s ticker symbol is LEHN.
www.lem.com

Contact: Investment community
Andrea Borla, Chief Finance Officer
Phone: +41 22 706 1250
Email: investor@lem.com

LEM Holding SA

Contact: MediaCabinet Privé de Conseils s.a. (CPC)
Michael Füglister: fuglister@cpc-pr.com, mobile: +41 78 839 07 62
Etienne Vioget: vioget@cpc-pr.com, mobile: +41 79 560 54 83

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Appendix
Consolidated income statement
April to March2022/23

In CHF thousands

2021/22

ChangeSales

406 350373 395+8,8%

Cost of goods sold
Gross profit(214 156)
192 194(196 116)
177 279

+8,4%

47,3%

47,5%

Sales expense(29 124)(28 909)

Administration expense(38 950)(30 778)

Research & development expense(32 174)(29 392)

Other income
EBIT

234
92 180158
88 358EBIT margin (in %)

22,7%

23,7%

Financial expense(1 719)(650)

Financial income

392269Foreign exchange effectProfit before taxes(1 928)88 925(2 700)85 277

Income taxes(13 585)(12 910)

Net profit

75 34072 367

Net profit margin (in %)

18,5%

19,4%

Gross profit margin (in %)LEM Holding SA

+4,3%

+4,3%

+4,1%

Page 6/7

Key Figures
2022/23in CHF millions

Orders received
Total LEM

2021/22

Change

Q1

Q2

Q3

Q4

FY

Q1

Q2

Q3

Q4

FY

Q4 - Q4

FY - FY

158,1

112,092,1

103,0465,2

146,4

153,7

136,7139,5576,4-26,2%-19,3%

Book-to-bill ratio

Q1Q2

Q3

Q4FYQ1Q2Q3Q4FY

Q4 - Q4

FY - FY

Total LEM

1,741,040,890,98

1,141,571,70

1,491,421,54-31,0%-25,8%FY - FYSales

Q1Q2Q3Q4FY

Q1Q2Q3Q4FY

Q4 - Q4Automation

30,536,934,434,5136,333,332,131,233,7130,3+2,3%+4,6%

Automotive

21,828,425,225,4100,720,120,022,523,385,8+9,1%+17,4%

Renewable Energy

15,418,016,816,767,017,016,715,716,566,0+1,4%+1,6%

Energy Distribution & High Precision

13,814,114,916,659,412,410,712,213,248,6+25,2%+22,3%

Track
Total LEM

9,390,710,0107,312,2103,511,6104,743,0406,410,593,310,990,410,291,811,397,942,8373,4+3,1%+7,0%+0,4%+8,8%

EBIT

Q1Q2Q3Q4FY

Q1Q2Q3Q4FY

Q4 - Q4

FY - FY

Total LEM

19,526,322,623,892,221,220,922,024,288,4-1,5%+4,3%

Net profit

Q1Q2Q3Q4FY

Q1Q2Q3Q4FYQ4 - Q4FY - FY

Total LEM

14,720,520,120,175,317,317,918,518,672,4+7,6%+4,1%

LEM Holding SA

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