TÜV SÜD Corporate presentation 2017 online version

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Inspiring trust in a changing world Solutions that ensure quality, safety and sustainability for future generations

TÜV SÜD Slide 1

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TÜV SÜD Corporate presentation


TÜV SÜD at a glance

150+

1,000

€2.3

YEARS OF QUALITY, SAFETY & SUSTAINABILITY

LOCATIONS WORLDWIDE

BILLION IN ANNUAL REVENUE

24,000 EMPLOYEES

574,000

100%

CERTIFICATES

INDEPENDENT & IMPARTIAL

Note: Figures have been rounded off. TÜV TÜVSÜD SÜDSlide 2

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TÜV SÜD Corporate presentation

43% OF REVENUE OUTSIDE GERMANY

1

-STOP

SOLUTIONS PROVIDER


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End-to-end solutions for the entire business lifecycle g urin act

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Testing & product certification Inspection Auditing & system certification Knowledge services

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isat tim Op

TÜV SÜD Slide 3

Training

i


Technical expertise & broad industry knowledge

Testing & product certification Beyond testing for compliance with directives, we issue TÜV SÜD certifications based on standards set according to internationally recognised benchmarks.

Inspection We independently verify that at every stage your systems, processes and procedures comply with the relevant codes, requirements, regulations and standards.

Auditing & system certification We audit and certify management systems for virtually all industries, ensuring your value chain complies with requirements for quality, performance and IT security according to international, national and other relevant standards.

Knowledge services We provide knowledge services on diverse topics ranging from quality, safety and risk to environmental protection, regulatory requirements and process optimisation.

Training We support people and organisations to enhance performance through a wide range of work safety, technical, management systems, executive training programmes and certified qualifications. TÜV SÜD Slide 5

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Delivering real business benefits across industries

AUTOMOTIVE AND ROAD SAFETY SECTOR

CONSUMER PRODUCTS AND FOOD SECTOR

ENERGY AND PROCESSING SECTOR

HEALTHCARE AND MEDICAL DEVICE SECTOR

INDUSTRIAL MANUFACTURING SECTOR

REAL ESTATE AND INFRASTRUCTURE SECTOR

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Key services for the Automotive, Road Safety and e-Mobility industries

AUTOMOTIVE AND ROAD SAFETY SECTOR  Car dealership and fleet management  Component and full-vehicle testing  International regulatory compliance (Homologation)  Periodic technical inspection  Road safety and traffic solutions

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Key services for the Electrical & Electronics, Food, Softlines and Toys & Children’s Products industries

CONSUMER PRODUCTS AND FOOD SECTOR  Auditing and management system certification  Inspection  International compliance solutions  Product testing / certification TÜV SÜD Slide 8

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Key services for the Chemical, Oil & Gas, Conventional Power, Renewable Energy and Nuclear industries

ENERGY AND PROCESSING SECTOR  Engineering and knowledge services  Life testing and maintenance services  Product certification  Project development and design review  Risk-based inspection and maintenance

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Key services for the Healthcare and Medical Device industries

HEALTHCARE AND MEDICAL DEVICE SECTOR  Clinical services  Market approval and certification  Quality management auditing and certification  Testing and assessment

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Key services for the Steam & Pressure and Components & Equipment Manufacturing industries

INDUSTRIAL MANUFACTURING SECTOR  Component testing / certification  Failure analysis  Periodic inspection  System certification  Training

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Key services for the Rail Systems, Real Estate, Roads & Bridges and Water industries

REAL ESTATE AND INFRASTRUCTURE SECTOR  Due diligence  Engineering and knowledge services  Inspection, testing and certification  Property management and valuation  Quality and process optimisation

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Enabling access to global markets: Over 1,000 locations in 60 countries

EUROPE Germany (Global HQ) United Kingdom (Western Europe HQ) Czech Republic (Central and Eastern Europe HQ) Armenia Austria Belarus Belgium Bosnia & Herzegovina Croatia Denmark Finland France ASIA Greece China (Greater China HQ) Hungary India (South Asia HQ) Ireland Japan (Japan HQ) Italy Singapore (ASEAN HQ) Macedonia South Korea (Korea HQ) Netherlands Australia Portugal Bangladesh Poland Cambodia Romania Hong Kong Russia Indonesia Serbia Kazakhstan Slovakia Kyrgyzstan Slovenia Malaysia Spain Philippines Sweden Sri Lanka Switzerland Taiwan Turkey Thailand Ukraine Vietnam

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MIDDLE EAST / AFRICA South Africa (Africa HQ) UAE (Middle East HQ) Egypt Iran Oman Qatar Saudi Arabia

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AMERICAS Brazil (South America HQ) USA (North America HQ) Argentina Canada Chile Mexico

TÜV SÜD Corporate presentation


Inspiring trust yesterday, today and tomorrow

Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation As we look to tomorrow, we have identified four strategic themes that we believe will shape the narratives of commerce and society in the decades to come.

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Slide 14


Instilling confidence across global supply chains Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Consumer Protection In our increasingly commoditised, connected world, consumers are choosing to trust brands that are dedicated to realising a greater quality and safety objective that goes well beyond just meeting standards. As the world leader in quality, safety and sustainability, we have been in the business of protecting consumers from technology-related risks since 1866.

TÜV SÜD

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Case study: Meiji Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Food safety TÜV SÜD provided certification and auditing services to help Meiji achieve a GFSI benchmarked food safety standard, increasing the marketability of its confectionary products and enabling international access to new distribution channels in the U.S. TÜV SÜD

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Slide 16


Case study: Big Ass Solutions Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Global Market Access TÜV SÜD’s unique partnership with Big Ass Solutions has helped this innovative manufacturer of industrial, commercial and residential fans, and lighting products to reduce duplicate testing and streamline the product approval process, enabling faster access to new markets. TÜV SÜD

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Ushering in the fourth technological revolution Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Digital Transformation Homes, phones, factories, energy grids – it seems everything has the potential to be ‘smart’. Industry 4.0 is creating intelligent networks by enabling interconnected components, machines and systems to communicate autonomously. For the experts at TÜV SÜD, the future is already here. We are giving people the confidence to trust in these new technologies. TÜV SÜD

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Case study: Honeynet Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Infrastructure security In an eight-month honeynet project, TÜV SÜD simulated the critical infrastructure of a municipal waterworks network. Our IT Security experts detected and analysed a total of 60,000 unauthorised access incidents and attacks from over 150 countries. TÜV SÜD

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Case study: Expedia Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Secure online transactions TÜV SÜD’s S@fer Shopping Certification has given Expedia a clear advantage in the competitive online travel category. In addition to closing the ‘trust gap’ between Expedia and its customers, the S@fer Shopping Certification process provides a data security framework for Expedia websites worldwide.

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Managing growth for the good of all Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Sustainable Development Our wants are infinite. Unfortunately, our resources are not. Current projections put the world’s population at 9.6 billion by 2050. Our ability to meet the needs of tomorrow comes down to the decisions we make today. That is why we are helping businesses meet their responsibilities to employees, customers and the environment through a balanced, sustainable approach. TÜV SÜD

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Case study: BMW AG Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Energy Efficiency To support the BMW Group’s ambitious targets for economical energy use, the energy efficiency analyses we undertook at its manufacturing plant in Rosslyn, South Africa, identified 28 potential areas for energy savings that were organised in a catalogue of proposed actions. TÜV SÜD

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Case study: Nordsee One GmbH Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Offshore wind energy From monitoring of manufacturing, transport, erection / installation and commissioning of the entire offshore wind farm to operational release approval from the responsible German authority, our experts ensured that all components conform to given requirements in order to mitigate operational risk in the certification of a new offshore wind farm, Nordsee One.

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Solving complex challenges for growing cities Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Urbanisation The world’s urban population is on the rise. For the first time in history, more of us live in cities than rural areas. Cities present immense challenges in terms of energy, water, housing, safety and transportation. With decades of experience in automotive, rail, safety and security solutions, we are uniquely placed to help solve the challenges of our urban future.

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Case study: MTR Corporation Ltd. Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Public Transportation Our rail safety experts are ensuring Hong Kong’s commuters arrive safely and on time by performing Independent Safety Assessments of the MTR’s new eight-car metro train sets C-type, focussing on safety-related subsystems such as interfaces including train-borne signalling equipment.

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Case study: Morgenstadt (City of the Future) Consumer Protection | Digital Transformation | Sustainable Development | Urbanisation

Smart Cities Building on the Morgenstadt (City of the Future) Initiative and the Triangulum European lighthouse project, we developed a smart city assessment checklist to measure how ‘smart’ a city is and prepare an action plan for improvements.

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Slide 26


The sure sign of trust

Click icon to add picture

500,000

54,000

20,000

product certificates

system certificates

personnel certificates

TÜV SÜD Slide 27

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TÜV SÜD Corporate presentation


Our heritage: 150+ years of business success

1866

1906

1938

1964

1991

2006

On 6 January, 22 industrialists united to establish the Steam Boiler Inspection Association Baden in Mannheim.

Our first vehicle periodic technical inspection was carried out.

The launch of a standardised nationwide system created 14 regional inspection associations named TÜV.

Expansion beyond Europe began with a cable car accident investigation in Cape Town, South Africa.

Asian subsidiaries launched in Hong Kong then Japan, Taiwan and China, with North American subsidiaries set up around the same time.

Singapore’s PSB Group is acquired, with TÜVTÜRK launched the following year and our largest acquisition to date, ATISAE, in 2016.

1881

1921

1951

1989

1996

Today

The first binding standards related to boiler safety were agreed, paving the way for uniform technical inspections.

Environmental advocacy began with our publication of a report addressing dust pollution.

TÜV organisations were tasked with performing regular inspections of all motorised vehicles.

TÜV Product Service GmbH was launched, pioneering the concept of worldwide approvals.

The TÜVs from Germany’s southern states united to form TÜV SÜD.

TÜV SÜD has been inspiring trust for more than 150 years and remains committed to shaping the future of commerce and society.

TÜV SÜD Slide 28

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Video: A heritage of business success

TÜV SÜD Slide 29

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Discover the advantages of partnering with TÜV SÜD

Contact us: www.tuv-sud.com info@tuv-sud.com

Follow us on social media: instagram.com/tuvsud linkedin.com/company/tuv-sud twitter.com/tuvsud xing.com/companies/tuvsud youtube.com/tuvsudgroup

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Appendix: Additional TÜV SÜD facts and figures

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TÜV TÜVSÜD SÜDSlide 31

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TÜV SÜD Overview – Facts & figures

1

One-stop technical solution provider

150+

years of experience

1,000

locations worldwide

2,340

million Euro in sales revenue 2016

24,000

employees worldwide*

Note: Figures have been rounded off and percentages may differ due to rounding differences. *As of 31.12.2016 TÜV SÜD Slide 32

Sales revenue (2012 - 2016) Euro 2,340 million 43% outside Germany 1,820

1,940

▲ 5.5% 2,220

2,060

2,340 43%

2012

2013

2014

2015

2016

▲ 28.7%

No. of employees* (2012 - 2016) ▲ 7.3% 24,000 headcount

2012 21,100 2013 22,000 2014 22,400 2015 24,000 2016 18,800

▲ 27.9% 01.07.2017

TÜV SÜD Corporate presentation


Robust growth above industry average

Sales revenue

▲ 5.5%

Euro 2,340 million 1,820

2012

1,940

2013

2,060

2014

2,220

2015

2,340

2016

▲ 28.7%

e: Figures have been rounded off and percentages may differ due to rounding differences. TÜV TÜVSÜD SÜDSlide 33

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24,000 dedicated employees collaborating with clients worldwide

No. of employees* 24,000 headcount

18,800

2012 *As of 31.12.2016

▲ 7.3%

21,100 22,000 22,400

2013

2014

2015

24,000

2016

▲ 27.9%

te: Figures have been rounded off and percentages may differ due to rounding differences. TÜV TÜVSÜD SÜDSlide 34

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Increasing international performance

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International sales revenue 43% of consolidated sales revenue generated 43% outside Germany 38%

2012

40%

39%

2013

2014

42%

2015

2016

Note: Figures have been rounded off. TÜV TÜVSÜD SÜDSlide 35

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Financial results of strategic business segments* 2016

 Employees: 6,118

CERTIFICATION

 Sales Revenue: € 586.8 million  Product Service: 75.4%  Management Service: 24.6%

 Employees: 8,834

INDUSTRY

 Sales Revenue: € 961.1 million  Industry Service: 61.9%  Real Estate Service & Infrastructure: 38.1%  Employees: 6,235

MOBILITY

 Sales Revenue: € 703.9 million  Auto Service: 100.0%

*As of 31.12.2016 TÜV SÜD Slide 36

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Independence and impartiality

TÜV TÜV SÜD SÜD e.V. e.V.

TÜV TÜV SÜD SÜD Foundation Foundation

74.9%

25.1%

Gesellschafterausschuss Gesellschafterausschuss GbR GbR (Shareholder (Shareholder committee) committee) TÜV SÜD AG AUTO SERVICE

BUSINESS ASSURANCE

INDUSTRY SERVICE

PRODUCT SERVICE

REAL ESTATE & INFRASTRUCTURE

Subsidiaries in: AMERICAS AMERICAS

NORTH NORTH ASIA ASIA

CENTRAL CENTRAL & & EASTERN EASTERN EUROPE EUROPE

SOUTH SOUTH & & SOUTH SOUTH EAST EAST ASIA, ASIA, MIDDLE MIDDLE EAST, EAST, AFRICA AFRICA

GERMANY GERMANY

WESTERN WESTERN EUROPE EUROPE

*As of 01.07.2017 TÜV SÜD Slide 37

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Corporate structure*: Driving business growth worldwide

BOARD OF MANAGEMENT AXEL STEPKEN

DIGITAL DIGITAL SERVICE SERVICE

AUTO AUTO SERVICE SERVICE

MATTHIAS J. RAPP ISHAN PALIT

BUSINESS BUSINESS ASSURANCE ASSURANCE

INDUSTRY INDUSTRY SERVICE SERVICE

AMERICAS CENTRAL & EASTERN EUROPE GERMANY NORTH ASIA SOUTH & SOUTH EAST ASIA, MIDDLE EAST, AFRICA WESTERN EUROPE

*As of 01.07.2017 TÜV SÜD Slide 38

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PRODUCT PRODUCT SERVICE SERVICE

REAL REAL ESTATE ESTATE & & INFRASTRUCTURE INFRASTRUCTURE


TÜV SÜD is the largest TÜV company worldwide, and ranks sixth among the biggest global players in the field of technical safety

Sales revenue in Euro million (figures are based on available public data)

6,000

5,490

5,000

4,549

4,000 3,143

3,000

2,904

2,537

2,343

2,330

2,000

1,918

1,587

1,424

1,000 -

TÜV SÜD Slide 39

SGS

BV

Intertek

Dekra

Eurofins

TÜV SÜD

(2016)

(2016)

(2016)

(2016)

(2016)

(2016)

01.07.2017

DNV GL TÜV Applus+ Rheinland (2016) (2016) (2016)

TÜV SÜD Corporate presentation

UL (2015)


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