1

Automotive industry: transformation & challenges

Jaume Prat, Business Unit Director

2

Group HighlightsCompany Headquarters and

R&D center in Barcelona (Spain)

€ 1,15b sales 10,000 employees In 19 countries

Automotive Tier 1

Established in 1949 in Barcelona

Decades of experience supplying all major OEMs

Global company

6.5% of sales invested in R&D

Global partners with Panasonic

Sour

ce: F

Y-20

16 co

nsoli

dated

data

€ 36m

à

€ 195m € 593m

1949 – 1986Local player

1987 – 1995European market

1996 – 2001Global market

2002 – TodayGlobal organization

€ 1,15b

àà

3

Automotive industry is having … and it will have

The biggest transformation since last 50 years

Connected• To the cloud .. To the environment … To each other … Within vehicle• Personal devices integrated in infotainment systems• Partnerships with consumer electronics• Exponential growth on number of apps & services

• Many autonomous car features already available in ADAS• Driver assistance and connectivity coming together to enable higher level of

autonomous driving

• Cost, internet and social networks culture will booster car sharing initiatives.• New mobility services will change the car ownership attitude.• Optimization of vehicles and infrastructure.

• Urban emission regulations & need for zero emissions cars will increase• Growth rate will depend on segment. location and external factors

Autonomous

Shared mobility

Electrified

4

Cellular Technologies in AutomotiveConnected

From 27% vehicles equipped with embedded modem to 67% in 2023

75M cars / year shipped with integrated connectivity

Regulations: Automatic emergency call will boost growth of integrated connectivity platforms (ecall Europe, ERA GLONASS Rusia, …)

5

We do not know when & how much

… but it happens

Many level 3 features already available on upcoming new vehicle introductionsBiggest uncertainty on level 4 & level 5.

AV will drive a paradigm change in the ride sharing industry

Autonom

ylevel

Already announced Autonomous driving features by OEM

Autonomous

6

Autonomous Driving Pillars

“See around”

“Where I am”“Informed”

“Talk with others”

Autonomous

7

Autonomous driving capabilities will accelerate blurring the lines between today´s mobility business models and use cases

Shared mobility

8

Evolution of energy density & battery cost

Battery technology and lower complexity electrical vehicles technology (-70% parts) will provide space for Autonomous Vehicles features at constant sales Price.

25% electric cars on 2025

From a complex combustion engine to a complex “IT on wheels system”.

Electrified

9

Key trends evolution …

10

From consumer

to auto

Connected

Autonomous

Shared mobility

Electrified

New interiors concept designs

Focus on infotainment

Growth of displays and new passenger interface technologies

Personal and auto devices integration

11

Company evolution

2000

2010

2012

2021Ficosa sets the innovation division to diversify its traditional business

Acquisition of the electronics manufacturing and engineering assets of Sony Spain

Successful development and production launch of latest technology generation electronics programs

2015Business alliance with

The car of the future

2013Pillars: Safety [Vision System], Efficiency and Connectivity

12

Facing the challenges of the new automotive industry

2010 2016Product portfolio Mirrors

ShiftersMirrors Shift by WireTelematicsBMSADAS

Commitment to R&D 3%/sales 6,7%/ sales

R&D capabilities 240 engineersMainly MEs

1120 engineers80% SW & EE

Innovation model 100% in house design Partnerships & “open innovation” approach

Capital structure Two founder families Alliance with Panasonic

Operations (vertical integration) Assembly, Injection, paint shops.

… SMT & clean rooms for sensors assy.

Safety / Vision

Efficiency

Connectivity

13

Vitality index

0%10%20%30%40%50%60%70%80%90%100%

2015 2016 2017 2018 2019 2020

New products

Production

65% of future sales driven by new projects and technologies not in production

From 1,1M Sales 2016 to 1,5M 2020