PressRelease

January29,2021

Signifyreportsfullyear2020salesofEUR6.5billion,anAdj.EBITAmarginof10.7%andafreecashflowofEUR817million

Fourthquarter20201

• SalesofEUR1,878million;7.4%nominalsalesgrowthandCSGof-5.9%• Adj.indirectcostsdownEUR18million,or-3.9%excl.FXeffects,changesinscope2andprovisionsforthe

reimbursementofemployeecontributions• Adj.EBITAmarginimprovedby20bpsto13.4%• Netincomeincreasedby39.4%toEUR137million• FreecashflowofEUR332million(Q419:EUR308million)

Fullyear2020• Signify’sinstalledbaseofconnectedlightpointsincreasedfrom56millionatYE193to77millionatYE20• SalesofEUR6,502million,nominalsalesgrowthof4.1%andCSGof-12.7%• LED-basedsalesrepresented80%oftotalsales(FY19:79%4)• Adj.indirectcostsdownEUR166million,or-9.1%excl.FXeffectsandchangesinscope2

• Adj.EBITAgrewby7.2%toEUR695million• Adj.EBITAmarginimprovedby30bpsto10.7%• Netincomeincreasedby25.4%toEUR335million(FY19:EUR267million)• FreecashflowamountedtoEUR817million(FY19:EUR529million),representing12.6%ofsales• Netdebtpositionof1,275millionatyear-end2020withanetdebt/EBITDAratioof1.7x• CooperLightingandKliteintegrationandsynergiesaheadofplan• SuccessfulcompletionofBrighterLives,BetterWorld2020sustainabilityprogramandachievementof

carbonneutralityforalloperationsacrosstheworld

Dividend• Proposaltopayextraordinarycashdividendof1.35pershare,announcedonJanuary13,2021• ProposaltopayregularcashdividendofEUR1.40pershareover2020

Eindhoven, the Netherlands – Signify (Euronext: LIGHT), the world leader in lighting, today announced thecompany’s2020fullyearresults.

“While our industry was severely impacted by the pandemic, we managed to strengthen our financialperformance.Ourgrossmarginincreasedduetorigorouspriceandcostmanagement,resultinginourseventhconsecutive yearofAdjustedEBITAmargin improvement. From the start of the crisis,weweredisciplined inworkingcapitalmanagement,allowingustogeneratearecord-highfreecashflowofEUR817million.Asperourstrategy,thecontributionfromourdigitaldivisionsincreasedsubstantiallyin2020.Inlinewithourgovernanceprinciples,wedecidedtopaybackbothouremployeesandourshareholders,whohavesupportedussincethebeginningof the crisis.At the same time,weconfirmeda continueddeleveraging commitment. Itwasalsoayear inwhichwe increased the installedbaseof connected lightpoints to77million, illustrating thegrowinginterest for connected lighting. Lastly, we overachieved on our 2020 sustainability goals, including carbonneutrality,”saidCEOEricRondolat.

¹Thispress releasecontains certainnon-IFRS financialmeasuresand ratios, suchas comparable salesgrowth,EBITA,adjustedEBITAand freecash flow,andrelatedratios,whicharenotrecognizedmeasuresoffinancialperformanceorliquidityunderIFRS.Forareconciliationofthesenon-IFRSfinancialmeasurestothemostdirectlycomparableIFRSfinancialmeasures,seeappendixB,Reconciliationofnon-IFRSfinancialmeasures,ofthispressrelease.2ChangesinscoperelatetotheconsolidationofCooperLightingandKlite.32019includespro-formaCooperLightingandWiZ.42019includespro-formaCooperLighting.

“Theongoingnatureofthepandemicmeansweremaincautiousaboutmarketdevelopmentsin2021butweareconfidentinourabilitytofurtheradapt,asdemonstratedthroughout2020.AsoutlinedduringourCapitalMarketsDayinDecember,weareoptimizingourcostsinseveralwaystoenhanceourcompetitivenessinarapidlytransformingLightingindustry.Wearemakingourcentralorganizationleanerinordertoreduceourindirectcostsasapercentageofsales,whichhaveincreasedduetotheCOVID-19pandemic.Regrettably,thesechangeswillresultinanumberofpositionsbeinglostandwewillsupportimpactedemployees.Atthesametime,wewillcontinuetoinnovateanddevelopourgrowthplatformstocapturenewbusinessopportunitiesinlinewithourstrategy.IseethefurtherintegrationsofCooperandKlitepositivelyimpactingourperformance.2021isalsothefirstyearofournewsustainabilityprogramandmarksagreatopportunitytoembarkontheexcitingjourneytodoubleourpositiveimpactontheenvironmentandsocietyinthenextfiveyears.”

Environment,Society&Governance

SustainabilityiscentraltoSignify'sstrategy.Itisthecompany'spurposetounlocktheextraordinarypotentialoflightforbrighterlivesandabetterworld.In2020,SignifysuccessfullycompleteditsBrighterLives,BetterWorld2020sustainabilityprogram,evenoutperformingonmanyofitsambitiouscommitments.

Sustainablerevenues:• 84.1%ofrevenuesfromaportfolioofsustainableproducts,systemsandservices,exceedingthe2020

targetof80%• 2.9billionLEDlampsandluminairesdeliveredsince2015comparedtoatargetofmorethan2billion

Sustainableoperations:• Carbonneutralityforalloperationsacrosstheworld• Usageof100%renewableelectricity• Zerowastetolandfillacrossallmanufacturingsites• Best-eversafetyperformance(TotalRecordableCaserateof0.22,target<0.35)• 99%performancerateinsuppliersustainability(target90%)• Litthelivesof5millionpeoplethroughexpansionofsolarlighting

InSeptember2020,Signifyembarkedonacoursetohavedoubleditspositiveimpactontheenvironmentandsocietyin2025withthefollowingambitions:

• Doublethepaceatwhichweachievethe1.5CscenariooftheParisAgreement• DoubleourCircularrevenuesto32%• DoubleourBrighterLivesrevenuesto32%• Doubleour%ofwomeninleadershipto34%

Signify’scommitmentisrecognizedintheDowJonesSustainabilityWorldIndexandtheCDPA-ListforClimate.

Outlook

Signifyiscommittedtothefollowingmedium-termguidancefortheperiod2021-2023:• Yearlycomparablesalesgrowthof0%to5%• Adj.EBITAmarginof11%to13%in2023• Freecashflowabove8%ofsalesfortheperiod2021-2023• ROCEofatleast11%fortheperiod2021-2023

For2021,Signifyexpectspositivecomparablesalesgrowth,thelevelofwhichwilldependontherecoverypatterninitsmarkets.Inaddition,thecompanyexpectstocontinueitssteadyprogresstowardsitsmedium-termAdj.EBITAmarginobjective.Cashflow,followingtwoyearsofsignificantstructuralworkingcapitalimprovements,isexpectedtoexceed8%ofsales.Asguidedforthemid-term,thisincludesahigherinitialcashoutflowforcostrestructuringandcontinuedpost-mergerintegrationactivities.

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Capitalallocation

Signify remains focused onmaintaining a robust capital structure and is committed to an investment graderating.Thecompanyplanstopayanincreasingannualdividendpershareincashyear-on-yearandwillcontinuetoprioritizedeleveragingtostrengthen itsbalancesheetandreturntoa leverageratioof reportednetdebt/EBITDA of less than 1x by the end of 2022. Signify will also continue to invest in R&D and other growthopportunities,whilepursuingselectiveM&Aopportunitiesinlinewithitsstrategicpriorities.

In linewith its commitment to its shareholders, Signify proposes to declare a cash dividendof EUR 1.40 persharefor2020.ThisisinadditiontothepreviouslyproposedextraordinarycashdividendofEUR1.35pershare,announcedonJanuary13,2021.TheamountofextraordinarydividendisinlinewiththedividendproposalofEUR 1.35 for 2019, whichwaswithdrawn to ensure the company's resilience and to strengthen its financialpositionduringtheCOVID-19crisis.BothdividendproposalswillbesubjecttoapprovalattheAnnualGeneralMeetingofShareholders(AGM)tobeheldonMay18,2021.FurtherdetailswillbeprovidedintheagendafortheAGM.

Inadditiontothis,thecompanyannouncedonJanuary13,2021,thatitintendstorepayaminimumofEUR350millionofdebtin2021,therebyconfirmingitscommitmenttofurtherdeleverage.

Financialreview

Fourthquarter Twelvemonths2019 2020 change inmillionsofEUR,exceptpercentages 2019 2020* change

-5.9% Comparablesalesgrowth -12.7%-4.8% Effectsofcurrencymovements -2.2%18.0% Consolidationandotherchanges 19.0%

1,750 1,878 7.4% Sales 6,247 6,502 4.1% 661 755 14.2% Adjustedgrossmargin 2,360 2,556 8.3%

37.8% 40.2% Adj.grossmargin(as%ofsales) 37.8% 39.3%

-389 -458 Adj.SG&Aexpenses -1,544 -1,695 -68 -76 Adj.R&Dexpenses -270 -287 -457 -534 -16.7% Adj.indirectcosts -1,813 -1,982 -9.3%

26.1% 28.4% Adj.indirectcosts(as%ofsales) 29.0% 30.5%

232 251 8.3% AdjustedEBITA 648 695 7.2%13.2% 13.4% AdjustedEBITAmargin 10.4% 10.7%

-67 -66 Adjusteditems -148 -159 164 185 12.8% EBITA 500 536 7.1%

138 155 11.8% Incomefromoperations(EBIT) 401 416 3.6% -11 -12 Netfinancialincome/expense -43 -54 -29 -6 Incometaxexpense -93 -27 98 137 39.4% Netincome 267 335 25.4%

308 332 Freecashflow 529 817 0.74 1.05 BasicEPS(€) 2.08 2.58 32,005 37,926 Employees(FTE) 32,005 37,926

*ForcomparabilitypurposespleasenotethatFY2020includesonly10monthsofCooperLightingperformance

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FourthquarterSalesamountedtoEUR1,878million,anominalincreaseof7.4%.Adjustedfor18.0%changesinconsolidationandother changesand4.8%negativecurrencyeffects, comparable salesdecreasedby5.9%. LED-based salesaccountedfor82%oftotalsales.Theadjustedgrossmarginincreasedby240bpsto40.2%largelydrivenbyarobustperformanceintheconnectedhomecategory,rigorouspricemanagement,procurementsavingsandtheconsolidationofCooper Lighting. Theadjusted indirect costs increasedby EUR77million. Excluding currencyeffects,changesinscope,andprovisionsforthereimbursementofsolidaritycontributionstoitsemployees,theadjustedindirectcostsdecreasedbyEUR18million,or-3.9%.AdjustedEBITAamountedtoEUR251million,an8.3%increasecomparedtothesameperiodlastyear.TheAdjustedEBITAmarginimprovedby20bpsto13.4%,mainlydrivenbygrossmarginimprovement.

TotalrestructuringcostswereEUR43millionandacquisition-relatedchargesandotherincidentalswereEUR22million.NetincomeincreasedfromEUR98millionlastyeartoEUR137millioninQ420,drivenbyhigherEBITandlowerincometaxexpenseduetoaone-timenon-cashtaxbenefitresultingfromtherevaluationofdeferredtax assets. Free cash flow amounted to EUR 332million, reflecting profitability improvements and structuralworkingcapitalimprovement.

FullyearSalesamountedtoEUR6,502million,anominalincreaseof4.1%.Adjustedfor19.0%changesinconsolidationandotherchangesand2.2%negativecurrencyeffects,comparablesalesdecreasedby12.7%.LED-basedsalesrepresented80%ofsalescomparedwith79% in2019.Adjustedgrossmargin improvedby150bps to39.3%,drivenbytheconsolidationofCooperLighting,astrongperformanceinconnectedhomelightingandrigorouspriceandcostmanagement.AdjustedindirectcostsincreasedbyEUR169million,or150bpsasapercentageofsales.Excludingcurrencyeffectsandchangesinscope,adjustedindirectcostsdecreasedbyEUR166million,asaresultofcontinuedimplementationofcostreductioninitiatives.AdjustedEBITAamountedtoEUR695millioncomparedwithEUR648millionlastyearandwasnegativelyimpactedbyEUR38millionofcurrencyeffects.TheAdjusted EBITA margin improved by 30 bps to 10.7%, including an adverse currency effect of 30 bps. ThisimprovementwasmainlydrivenbyDigitalProductsandDigitalSolutions,asbothdivisionsarematuringtheirprofitmarginprofile.

Total restructuring costswereEUR83million, acquisition-related chargeswereEUR63millionand incidentalitemswereEUR13million.Net incomewasEUR335millioncomparedwithEUR267million lastyear, largelydriven by lower income tax expense, primarily due to a one-time non-cash tax benefit from changes in theorganizationalstructureaswellasfromtherevaluationofdeferredtaxassets.FreecashflowamountedtoEUR817million compared with EUR 529million last year, largely driven by a second year of structural workingcapitalimprovementandlowerrestructuringpayout.Freecashflowwas12.6%ofsalesin2020.

DigitalSolutions

Fourthquarter Twelvemonths

2019 2020 change inmillionsofEUR,unlessotherwiseindicated 2019 2020* change

-10.2% Comparablesalesgrowth -14.4%

720 917 27.3% Sales 2,649 3,252 22.8% 92 105 15.1% AdjustedEBITA 265 330 24.6%

12.7% 11.5% AdjustedEBITAmargin 10.0% 10.2% 71 75 4.9% EBITA 222 230 3.5% 49 47 -4.1% Incomefromoperations(EBIT) 133 119 -10.4%

*ForcomparabilitypurposespleasenotethatFY2020includesonly10monthsofCooperLightingperformance

FourthquarterSales amounted to EUR 917million, a nominal increase of 27.3%, as a result of the consolidation of CooperLighting,while comparable salesdeclinedby10.2%, reflecting thecontinuedmarketweakness,particularly intheAmericas,partsofEuropeandSoutheastAsia. LED-basedsalesaccounted for89%of total sales includingCooper Lighting. Connected-based sales represented 22% of total sales excluding Cooper Lighting. AdjustedEBITAamountedtoEUR105million,resultinginanAdjustedEBITAmarginof11.5%.

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FullyearSalesamountedtoEUR3,252million,anominal increaseof22.8%,asaresultof theconsolidationofCooperLighting. Comparable sales declinedby 14.4%due to the impact of theCOVID-19pandemic. LED-based salesaccounted for 91% of total sales including Cooper Lighting. Connected-based sales represented 22% of totalsales excluding Cooper Lighting. Adjusted EBITA amounted to EUR 330 million. The Adjusted EBITA marginimproved by 20 bps to 10.2%, with a positive impact from the consolidation of Cooper Lighting as well assynergyrealization.

DigitalProducts

Fourthquarter Twelvemonths2019 2020 change inmillionsofEUR,unlessotherwiseindicated 2019 2020 change

2.5% Comparablesalesgrowth -8.3%

731 711 -2.8% Sales 2,412 2,288 -5.1% 115 128 11.0% AdjustedEBITA 260 295 13.4%

15.7% 18.0% AdjustedEBITAmargin 10.8% 12.9%

104 122 17.9% EBITA 222 277 24.8%

101 121 19.1% Incomefromoperations(EBIT) 215 269 25.3%

FourthquarterSalesamountedtoEUR711million,anominaldecreaseof2.8%.Onacomparablebasis,salesimprovedby2.5%,with a robust performance particularly in the connected home category. Connected-based sales represented30%oftotalsales.AdjustedEBITAamountedtoEUR128million,resulting inanimprovement intheAdjustedEBITAmarginof230bpsto18.0%,mainlydrivenbypositivemiximpactfromhigherconnectedhomesales,solidpricemanagementandprocurementsavings.

FullyearSalesamountedtoEUR2,288million,adecreaseof8.3%onacomparablebasis.Overall,salesintheconsumerchannelhaveshownasolidperformanceinweakmarketconditions,specificallyonlinesales.Connected-basedsalesrepresented21%oftotalsales.AdjustedEBITAamountedtoEUR295million.TheAdjustedEBITAmarginimprovedby210bpsto12.9%,asignofDigitalProductsmaturingitsprofitmarginprofile.

ConventionalProducts

Fourthquarter Twelvemonths

2019 2020 change inmillionsofEUR,unlessotherwiseindicated 2019 2020 change

-11.6% Comparablesalesgrowth -16.5%

290 242 -16.7% Sales 1,159 943 -18.7% 50 46 -8.9% AdjustedEBITA 222 170 -23.7%

17.3% 18.9% AdjustedEBITAmargin 19.2% 18.0% 17 30 80.8% EBITA 168 149 -11.4% 17 30 80.8% Incomefromoperations(EBIT) 168 149 -11.2%

FourthquarterSales amounted to EUR 242million, a comparable decrease of 11.6%. Despite the impact of the pandemic,Conventional Products showed a solid performance mainly as a result of strong demand for UV-C andhorticulturelighting.Thedivisioncontinuestodeliveronits‘lastcompanystanding’strategy,whichresultedinfurthermarketsharegainsandsolidfreecashflowgeneration.TheAdjustedEBITAmarginimprovedby160bpsto18.9%,drivenbyadjustedindirectcostsavingsandhigherproductivity,offsettinglowervolume.

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FullyearSalesamountedtoEUR943million,acomparabledecreaseof16.5%.TheAdjustedEBITAmargindecreasedby120bpsto18.0%,mainlyduetolowervolume.

Other

Fourthquarter'Other'representsamountsnotallocatedtotheoperatingsegmentsandincludescertaincostsrelatedbothtocentralR&Dactivitiestodriveinnovationandtogroupenablingfunctions.AdjustedEBITAamountedtoEUR-28million(Q419:EUR-26million).EBITAamountedtoEUR-42million(Q419:EUR-28million).RestructuringcostsandotherincidentalswereEUR-14million(Q419:EUR-2million)duringthequarter.

FullyearAdjustedEBITAamountedtoEUR-100million in2020(2019:EUR-100million).EBITAamountedtoEUR-120million (2019: EUR -112million), including restructuring costs andother incidentals of EUR -20million (2019:EUR-13million).

Salesbymarket

Fourthquarter Twelvemonths

2019 2020 Change CSG inmillionsofEUR,exceptpercentages 2019 2020 change CSG

652 630 -3.5% -1.8% Europe 2,238 2,060 -7.9% -6.8%

452 656 44.9% -11.5% Americas 1,747 2,414 38.1% -15.9%500 450 -9.9% -3.9% RestoftheWorld 1,855 1,500 -19.1% -16.3%145 143 -1.6% 0.3% Globalbusinesses 406 528 29.8% -7.3%

1,750 1,878 7.4% -5.9% Total 6,247 6,502 4.1% -12.7%

In2020AmericasincludesCooperLightingandGlobalbusinessesincludesKlite

FourthquarterEuropesawasequentialrecoverywithacomparablesalesdeclineof1.8%,withpositivedevelopments intheBenelux,Nordics andGermany. In theRest of theWorld, China and theMiddle East show signsof recovery,despitecontinuedsoftnessinIndia,IndonesiaandSoutheastAsia.Americasexperiencedcontinuedchallengingmarketconditionswithacomparablesalesdeclineof11.5%.

FullyearComparablesalesinEuropedecreasedby6.8%,reflectingchallengingmarketconditions,particularlyinFrance,the UK, Spain and Italy. Comparable sales in Americas decreased by 15.9% with a negative impact from allmarkets. In the Rest of the World, comparable sales declined by 16.3%, particularly due to China, India,SoutheastAsiaandIndonesia.

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Workingcapital

inmillionsofEUR,unlessotherwiseindicated 31Dec,2019 30Sep,2020 31Dec,2020

Inventories 874 1,000 885

Tradeandotherreceivables 1,223 1,155 1,140

Tradeandotherpayables (1,684) (1,749) (1,731)

Otherworkingcapitalitems (25) 37 19

Workingcapital 388 443 313

As%ofLTM*sales 6.2% 7.0% 4.8%*LTM:LastTwelveMonths

6,614 6,336 6,275

FourthquarterInthefourthquarter,workingcapitaldecreasedbyEUR130milliontoEUR313million,representing4.8%ofsales,mainlydrivenbyseasonallylowerinventories.

FullyearWorkingcapitaldecreasedbyEUR75milliontoEUR313millionyear-on-year, reflectingstructuralchanges inreceivables and other working capital items, and higher payables, notwithstanding the addition of CooperLighting'sworkingcapital.Workingcapitalrepresented4.8%ofsalesattheendofDecember2020,comparedwith6.2%attheendofDecember2019.Workingcapitalimprovedby130bpsto4.7%ofsaleswhenincludingpro-formalasttwelve-monthssalesforbothCooperLightingandKlite.

Cashflowanalysis

Fourthquarter Twelvemonths2019 2020 inmillionsofEUR 2019 2020

138 155 Incomefromoperations(EBIT) 401 416

77 86 Depreciationandamortization 288 332 65 75 Additionsto(releasesof)provisions 178 172 -69 -59 Utilizationsofprovisions -246 -197 152 119 Changeinworkingcapital 110 239 -4 -6 Netinterestandfinancingcostspaid -17 -33 -26 -23 Incometaxespaid -90 -73 -26 -27 Netcapex -70 -75 1 13 Other -26 37 308 332 Freecashflow 529 817

FourthquarterFree cash flow amounted to EUR 332 million, as a result of higher income from operations and structuralworkingcapitalimprovement.FreecashflowincludedarestructuringpayoutofEUR10million(Q419:EUR25million).

FullyearFreecashflowamountedtoEUR817million,or12.6%ofsales,anincreaseofEUR288millioncomparedwith2019. The improvement in free cash flow is largely driven by a second year of structural working capitalimprovementandlowerrestructuringpayout.

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InmillionsofEUR FreecashflowFY2019 FY2020

DigitalSolutions 319 436DigitalProducts 240 406ConventionalProducts 222 188Other* -252 -213Signifytotal 529 817

*Non-allocatedfreecashflowitems(e.g.tax,interest)

In2020, the freecash flowofDigitalSolutionsandDigitalProductscombinedaccountedfor82%ofcompanyfreecashflowexcluding'other',whichshowsthematuringcashprofilesofDigitalSolutionsandDigitalProductsandthelowerdependencyonConventionalProducts.FreecashflowofDigitalSolutionssignificantlyincreasedbyEUR117milliontoEUR436million.FreecashflowofDigitalProductsalmostdoubledtoEUR406million,anincreaseofEUR166millionoverlastyear.InConventionalProducts,freecashflowremainedrobustatEUR188million,adecreaseofEUR34millionoverlastyear.

Netdebtandtotalequity

inmillionsofEUR 31Dec,2019 30Sep,2020 31Dec,2020

Short-termdebt 96 100 86

Long-termdebt 1,369 2,251 2,221Grossdebt 1,465 2,351 2,307

Cashandcashequivalents 847 762 1,033

Netdebt 618 1,589 1,275Totalequity 2,324 2,295 2,321

FourthquarterOurcashpositionincreasedbyEUR271milliontoEUR1,033millioncomparedwiththeendofSeptember2020.NetdebtamountedtoEUR1,275million,adecreaseofEUR314millioncomparedwiththeendofSeptember2020.Net leverage reduced from2.2x at the end of September 2020 to 1.7x at the end of December 2020,whichisinlinewithourdeleveragingstrategy.TotalequityincreasedtoEUR2,321millionattheendofQ4(Q320:EUR2,295million),primarilyduetonetincomeandadjustmentsinpensionpositionsrecognizedinequity,offsetbycurrencytranslationresults.

FullyearComparedwiththeendof2019,netdebtincreasedbyEUR657milliontoEUR1,275million,mainlyduetoanincreaseinlong-termdebtrelatedtotheacquisitionofCooperLighting,partlyoffsetbyanincreaseinthecashposition.TotalequityremainedbroadlystableatEUR2,321millionattheendof2020(2019:EUR2,324million),as the impact of currency translation results and the purchase of treasury shares for employee long termincentiveplanswereoffsetbynetincome.

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Otherinformation

AppendixA–SelectionoffinancialstatementsAppendixB–Reconciliationofnon-IFRSfinancialmeasuresAppendixC–FinancialGlossary

ConferencecallandaudiowebcastEric Rondolat (CEO) and Javier van Engelen (CFO) will host a conference call for analysts and institutionalinvestorsat9:00a.m.CETtodiscussthefourthquarterandfullyear2020results.AliveaudiowebcastoftheconferencecallwillbeavailableviatheInvestorRelationswebsite.

Financialcalendar2021February23,2021 AnnualReportpublicationApril30,2021 Firstquarterresults2021May18,2021 AnnualGeneralMeetingMay20,2021 Ex-dividenddateMay21,2021 DividendrecorddateJune1,2021 DividendpaymentdateJuly23,2021 Secondquarterresults2021October29,2021 Thirdquarterresults2021

Forfurtherinformation,pleasecontact:

SignifyInvestorRelationsThelkeGerdesTel:+31618017131E-mail:thelke.gerdes@signify.com

SignifyCorporateCommunicationsElcovanGroningenTel:+31610865519E-mail:elco.van.groningen@signify.com

AboutSignifySignify (Euronext: LIGHT) is theworld leader in lighting for professionals and consumers and lighting for theInternetofThings.OurPhilipsproducts,Interactconnectedlightingsystemsanddata-enabledservices,deliverbusinessvalueandtransformlifeinhomes,buildingsandpublicspaces.With2020salesofEUR6.5billion,wehave approximately 38,000 employees and are present in over 70 countries. We unlock the extraordinarypotentialoflightforbrighterlivesandabetterworld.Weachievedcarbonneutralityin2020,havebeenintheDowJonesSustainabilityWorldIndexsinceourIPOforfourconsecutiveyearsandwerenamedIndustryLeaderin 2017, 2018 and 2019. News from Signify is located at the Newsroom, Twitter, LinkedIn and Instagram.InformationforinvestorscanbefoundontheInvestorRelationspage.

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ImportantInformation

Forward-LookingStatementsandRisks&UncertaintiesThis document and the related oral presentation contain, and responses to questions following the presentation maycontain,forward-lookingstatementsthatreflecttheintentions,beliefsorcurrentexpectationsandprojectionsofSignifyN.V.(the“Company”,andtogetherwithitssubsidiaries,the“Group”),includingstatementsregardingstrategy,estimatesofsalesgrowthandfutureoperationalresults.

Bytheirnature,thesestatementsinvolverisksanduncertaintiesfacingtheCompanyanditsGroupcompanies,andanumberofimportantfactorscouldcauseactualresultsoroutcomestodiffermateriallyfromthoseexpressedinanyforward-lookingstatementas a resultof risks anduncertainties. Such risks, uncertainties andother important factors includebut arenotlimitedto:adverseeconomicandpoliticaldevelopments,theimpactsofCOVID-19,rapidtechnologicalchange,competitionin the general lighting market, development of lighting systems and services, successful implementation of businesstransformationprograms,impactofacquisitionsandothertransactions,reputationalandadverseeffectsonbusinessduetoactivitiesinEnvironment,Health&Safety,compliancerisks,abilitytoattractandretaintalentedpersonnel,adversecurrencyeffects,pensionliabilities,andexposuretointernationaltaxlaws.Pleasesee“RiskFactorsandRiskManagement”inChapter12oftheAnnualReport2019fordiscussionofmaterialrisks,uncertaintiesandotherimportantfactorswhichmayhaveamaterial adverseeffecton thebusiness, resultsofoperations, financial conditionandprospectsof theGroup. Such risks,uncertainties andother important factors should be read in conjunctionwith the information included in theCompany’sAnnualReport2019.

Additional risks currently not known to the Group or that the Group has not consideredmaterial as of the date of thisdocumentcouldalsoprovetobeimportantandmayhaveamaterialadverseeffectonthebusiness,resultsofoperations,financialconditionandprospectsoftheGrouporcouldcausetheforward-lookingeventsdiscussedinthisdocumentnottooccur.TheGroupundertakesnoduty toandwillnotnecessarilyupdateanyof the forward-lookingstatements in lightofnewinformationorfutureevents,excepttotheextentrequiredbyapplicablelaw.

MarketandIndustryInformationAllreferencestomarketshare,marketdata,industrystatisticsandindustryforecastsinthisdocumentconsistofestimatescompiledbyindustryprofessionals,competitors,organizationsoranalysts,ofpubliclyavailableinformationoroftheGroup’sownassessmentofitssalesandmarkets.Rankingsarebasedonsalesunlessotherwisestated.

Non-IFRSFinancialMeasuresCertainpartsofthisdocumentcontainnon-IFRSfinancialmeasuresandratios,suchascomparablesalesgrowth,adjustedgrossmargin, EBITA, adjusted EBITA, and free cash flow, andother related ratios,which are not recognizedmeasures offinancialperformanceorliquidityunderIFRS.Thenon-IFRSfinancialmeasurespresentedaremeasuresusedbymanagementtomonitortheunderlyingperformanceoftheGroup’sbusinessandoperationsand,accordingly,theyhavenotbeenauditedorreviewed.Notallcompaniescalculatenon-IFRSfinancialmeasuresinthesamemanneroronaconsistentbasisandthesemeasures and ratiosmaynot be comparable tomeasures usedby other companies under the sameor similar names. Areconciliationofthesenon-IFRSfinancialmeasurestothemostdirectlycomparableIFRSfinancialmeasuresiscontainedinthis document. For further information on non-IFRS financial measures, see “Chapter 18 Reconciliation of non-IFRSmeasures”intheAnnualReport2019.

PresentationAllamountsareinmillionsofeurosunlessotherwisestated.Duetorounding,amountsmaynotadduptototalsprovided.Allreporteddataareunaudited.Unlessotherwiseindicated,financialinformationhasbeenpreparedinaccordancewiththeaccountingpoliciesasstatedintheAnnualReport2019andsemi-annualreport2020.

ChangeinreportingsegmentsEffective Q2 2020, to further adapt to the industry transition and strengthen customer centricity, Signify changed theorganizationalstructure,whichincludedchangingthepreviouslyfourbusinessgroups(BG’s)tothreedivisions.

• Division Digital Solutions (formerly BG Professional, including Cooper Lighting Solutions) offers luminaires, lightingsystemsandservicesfortheInternetofThingstothecustomersintheprofessionalsegment;

• Division Digital Products (combines BG LED and BG Home). This division offers LED lamps, LED luminaires andconnected products, including Hue and Wiz, and LED electronics to professional customers, OEM partners andconsumers.BybringingtogetheritsentireconsumerLEDportfolio,Signifycanbettermanagethislightingcategoryforitschannelpartners;and

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• Division Conventional Products (formerly BG Lamps) continues to focus on conventional lamps and electronics forprofessional customers,OEMpartnersandconsumers. It isorganized separately tobringa cleardistinctionbetweenconventionalanddigitalofferings.

In line with this change, effective Q2 2020, Signify's operating segments are Digital Solutions, Digital Products, andConventionalProducts.The segmentsareorganizedbasedon thenatureof theproductsandservices. ‘Other’ representsamounts not allocated to the operating segments and includes certain costs related to central R&D activities to driveinnovationaswellasgroupenablingfunctions.

MarketAbuseRegulationThispressreleasecontainsinformationwithinthemeaningofArticle7(1)oftheEUMarketAbuseRegulation.

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AppendixA–Financialstatementinformation

A.Condensedconsolidatedstatementofincome

InmillionsofEURunlessotherwisestatedFourthquarter JanuarytoDecember2019 2020 2019 2020

Sales 1,750 1,878 6,247 6,502Costofsales (1,121) (1,148) (3,940) (4,004)Grossmargin 629 730 2,307 2,499Selling,generalandadministrativeexpenses (418) (485) (1,637) (1,781)Researchanddevelopmentexpenses (76) (91) (283) (307)Otherbusinessincome 5 3 22 12Otherbusinessexpenses (1) (2) (8) (7)Incomefromoperations 138 155 401 416Financialincome 5 5 17 18Financialexpenses (16) (17) (60) (72)Resultsrelatingtoinvestmentsinassociates 0 0 1 0Incomebeforetaxes 127 143 360 362Incometaxexpense (29) (6) (93) (27)Netincome 98 137 267 335

Attributionofnetincomefortheperiod:Netincome(loss)attributabletoshareholdersofSignifyN.V. 93 132 262 325Netincome(loss)attributabletonon-controllinginterests 5 5 5 9

Earningsperordinaryshareattributabletoshareholderscalculation(inthousands):Basic 125,937 125,577 126,028 126,223Diluted 127,594 129,247 127,626 129,692NetincomeattributabletoshareholdersperordinaryshareinEUR:Basic 0.74 1.05 2.08 2.58Diluted 0.73 1.02 2.06 2.51

Amountsmaynotaddupduetorounding

11

B.Condensedconsolidatedstatementofcomprehensiveincome

InmillionsofEURFourthquarter JanuarytoDecember2019 2020 2019 2020

Netincome(loss) 98 137 267 335Pensionsandotherpost-employmentplans:Remeasurements 9 17 6 11Incometaxeffectonremeasurements (3) (1) (3) (1)

Totalofitemsthatwillnotbereclassifiedtoprofitorloss 6 16 4 11

Currencytranslationdifferences:Netcurrentperiodchange,beforetax (53) (143) 38 (395)Incometaxeffect — — (1) —

NetinvestmenthedgeNetcurrentperiodchange,beforetax — 20 — 42Incometaxeffect — 1 — 1

Cashflowhedges:Netcurrentperiodchange,beforetax 7 7 1 31Incometaxeffect (1) (2) 1 (7)

Totalofitemsthatareormaybereclassifiedtoprofitorloss (47) (118) 39 (328)

Othercomprehensiveincome(loss) (41) (102) 42 (318)Totalcomprehensiveincome(loss) 57 35 309 17

Totalcomprehensiveincome(loss)attributableto:ShareholdersofSignifyN.V. 55 34 304 16Non-controllinginterests 3 1 6 1

Amountsmaynotaddupduetorounding.

12

C.Condensedconsolidatedstatementoffinancialposition

InmillionsofEURDecember31,

2019December31,

2020Non-currentassetsProperty,plantandequipment 644 708Goodwill 1,943 2,251Intangibleassets,otherthangoodwill 443 775Investmentsinassociates 14 12Financialassets 49 55Deferredtaxassets 384 473Otherassets 64 60Totalnon-currentassets 3,541 4,334

CurrentassetsInventories 874 885Financialassets — —Otherassets 161 171Derivativefinancialassets 16 104Incometaxreceivable 48 39Tradeandotherreceivables 1,223 1,140Cashandcashequivalents 847 1,033Assetsclassifiedasheldforsale 4 3Totalcurrentassets 3,174 3,376Totalassets 6,715 7,710

EquityShareholders’equity 2,181 2,196Non-controllinginterests 142 124Totalequity 2,324 2,321

Non-currentliabilitiesDebt 1,369 2,221Post-employmentbenefits 437 390Provisions 216 224Deferredtaxliabilities 28 22Incometaxpayable 52 108Otherliabilities 135 159Totalnon-currentliabilities 2,236 3,123

CurrentliabilitiesDebt,includingbankoverdrafts 96 86Derivativefinancialliabilities 20 44Incometaxpayable 22 20Tradeandotherpayables 1,684 1,731Provisions 149 172Otherliabilities 183 213Liabilitiesfromassetsclassifiedasheldforsale 2 —Totalcurrentliabilities 2,155 2,266Totalliabilitiesandtotalequity 6,715 7,710

Amountsmaynotaddupduetorounding.

13

D.Condensedconsolidatedstatementofcashflows

InmillionsofEUR

Fourthquarter JanuarytoDecember

2019 2020 2019 2020

Cashflowsfromoperatingactivities

Netincome(loss) 98 137 267 335

Adjustmentstoreconcilenetincome(loss)tonetcashprovidedbyoperatingactivities: 182 183 586 606

•Depreciation,amortizationandimpairmentofnon-financialassets 77 86 288 332

•Impairment(reversal)ofgoodwill,othernon-currentfinancialassetsandinvestmentsinassociates — — — —

•Netgainonsaleofassets (3) — (13) (1)

•Netinterestexpenseondebt,borrowingsandotherliabilities 4 7 15 31

•Incometaxexpense 29 6 93 27

•Additionsto(releasesof)provisions 59 70 154 152

•Additionsto(releasesof)post-employmentbenefits 6 4 24 20

•Otheritems 10 9 25 46

Decrease(increase)inworkingcapital: 152 119 110 239

•Decrease(increase)intradeandotherreceivables 42 (4) 83 211

•Decrease(increase)ininventories 170 96 35 44

•Increase(decrease)intradeandotherpayables (17) 28 21 (50)

•Increase(decrease)inothercurrentassetsandliabilities (44) (1) (30) 35

Increase(decrease)inothernon-currentassetsandliabilities 1 9 (11) 15

Utilizationsofprovisions (56) (48) (189) (162)

Utilizationsofpost-employmentbenefits (13) (11) (57) (35)

Netinterestandfinancingcostspaid (4) (6) (17) (33)

Incometaxespaid (26) (23) (90) (73)

Netcashprovidedby(usedfor)operatingactivities 334 359 599 891

Cashflowsfrominvestingactivities

Netcapitalexpenditures: (26) (27) (70) (75)

•Additionsofintangibleassets (7) (9) (29) (32)

•Capitalexpendituresonproperty,plantandequipment (22) (23) (58) (67)

•Proceedsfromdisposalofproperty,plantandequipment 4 4 16 25

Netproceedsfrom(cashusedfor)derivativesandotherfinancialassets 6 26 5 (4)

Purchasesofbusinesses,netofcashacquired (71) (17) (95) (1,303)

Proceedsfromsaleofbusinesses,netofcashdisposedof 10 — 15 2

Netcashprovidedby(usedfor)investingactivities (81) (19) (145) (1,379)

Cashflowsfromfinancingactivities

Dividendpaid — (17) (165) (17)

Proceedsfromissuanceofdebt — 7 12 3,744

Repaymentofdebt (31) (34) (127) (2,932)

Purchaseoftreasuryshares — — (6) (38)

Netcashprovidedby(usedfor)financingactivities (31) (44) (286) 757

Netcashflows 223 297 168 269

Effectofchangesinexchangeratesoncashandcashequivalentsandbankoverdrafts (14) (23) 7 (80)

Cashandcashequivalentsandbankoverdraftsatthebeginningoftheperiod1 631 756 664 840

Cashandcashequivalentsandbankoverdraftsattheendoftheperiod2 840 1,030 840 1,030

1ForQ42020andQ42019,includedbankoverdraftsofEUR6millionandEUR7million,respectively.ForJanuarytoDecemberof2020and2019,includedbankoverdraftsofEUR7millionandEUR12million,respectively.

2IncludedbankoverdraftsofEUR3millionandEUR7millionasatDecember31,2020and2019,respectively.Amountsmaynotaddupduetorounding.

14

AppendixB-Reconciliationofnon-IFRSfinancialmeasures

Changeinreportingsegments

AsindicatedintheImportantInformationsection,SignifychangeditssegmentreportinginQ22020.Themainchange relates to combiningBGLEDandBGHome intodivisionDigitalProducts. The comparatives2019 inbelowtableshavebeenupdatedtoreflecttheupdatedsegmentstructure.

Salesgrowthcompositionperbusinessin%

FourthquarterComparable

growthCurrencyeffects

Consolidationandotherchanges

Nominalgrowth

2020vs2019DigitalSolutions (10.2) (4.8) 42.3 27.3DigitalProducts 2.5 (4.8) (0.6) (2.8)ConventionalProducts (11.6) (4.9) (0.2) (16.7)Total (5.9) (4.8) 18.0 7.4

JanuarytoDecemberComparable

growthCurrencyeffects

Consolidationandotherchanges

Nominalgrowth

2020vs2019DigitalSolutions (14.4) (2.1) 39.3 22.8DigitalProducts (8.3) (2.3) 5.5 (5.1)ConventionalProducts (16.5) (2.0) (0.2) (18.7)Total (12.7) (2.2) 19.0 4.1

Salesgrowthcompositionpermarketin%

FourthquarterComparable

growthCurrencyeffects

Consolidationandotherchanges

Nominalgrowth

2020vs2019Europe (1.8) (1.8) 0.2 (3.5)Americas (11.5) (6.8) 63.2 44.9RestoftheWorld (3.9) (6.1) 0.2 (9.9)Globalbusinesses 0.3 (2.6) 0.7 (1.6)Total (5.9) (4.8) 18.0 7.4

JanuarytoDecemberComparable

growthCurrencyeffects

Consolidationandotherchanges

Nominalgrowth

2020vs2019Europe (6.8) (1.0) (0.2) (7.9)Americas (15.9) (2.7) 56.8 38.1RestoftheWorld (16.3) (3.0) 0.1 (19.1)Globalbusinesses (7.3) (1.6) 38.8 29.8Total (12.7) (2.2) 19.0 4.1In2020AmericasincludesCooperLightingandGlobalbusinessesincludesKliteAmountsmaynotaddupduetorounding.

15

AdjustedEBITAtoIncomefromoperations(orEBIT)inmillionsofEUR

SignifyDigital

SolutionsDigital

ProductsConventional

Products OtherFourthquarter2020AdjustedEBITA 251 105 128 46 (28)Restructuring (43) (12) (3) (14) (15)Acquisition-relatedcharges (16) (16) — — —Incidentalitems (6) (3) (2) (2) 1EBITA 185 75 122 30 (42)Amortization1 (30) (28) (2) — 0Incomefromoperations(orEBIT) 155 47 121 30 (43)

Fourthquarter2019AdjustedEBITA 232 92 115 50 (26)Restructuring (42) (6) (3) (31) (2)Acquisition-relatedcharges (11) (8) (3) — —Incidentalitems (15) (6) (6) (3) —EBITA 164 71 104 17 (28)Amortization1 (26) (23) (3) — —Incomefromoperations(orEBIT) 138 49 101 17 (28)

1Amortizationandimpairmentsofacquisitionrelatedintangibleassetsandgoodwill.

SignifyDigital

SolutionsDigital

ProductsConventional

Products OtherJanuarytoDecember2020AdjustedEBITA 695 330 295 170 (100)Restructuring (83) (30) (10) (23) (19)Acquisition-relatedcharges (63) (62) (1) — —Incidentalitems (13) (8) (6) 3 (1)EBITA 536 230 277 149 (120)Amortization1 (120) (111) (8) — (1)Incomefromoperations(orEBIT) 416 119 269 149 (122)

JanuarytoDecember2019AdjustedEBITA 648 265 260 222 (100)Restructuring (99) (22) (19) (44) (14)Acquisition-relatedcharges (13) (9) (3) — —Incidentalitems (36) (11) (16) (10) 1EBITA 500 222 222 168 (112)Amortization1 (99) (90) (7) — (2)Incomefromoperations(orEBIT) 401 133 215 168 (114)

1Amortizationandimpairmentsofacquisitionrelatedintangibleassetsandgoodwill.

Amountsmaynotaddupduetorounding.

16

Fourthquarter2020IncomefromoperationstoAdjustedEBITAinmillionsofEUR

Reported Restructuring

Acquisitionrelatedcharges

Incidentalitems2 Adjusted

Fourthquarter2020Sales 1,878 — — — 1,878Costofsales (1,148) 18 4 2 (1,124)Grossmargin 730 18 4 2 755

Selling,generalandadministrativeexpenses (485) 9 13 5 (458)Researchanddevelopmentexpenses (91) 15 — — (76)Indirectcosts1 (577) 25 13 5 (534)Impairmentofgoodwill — — — — —Otherbusinessincome 3 — (1) (1) 1Otherbusinessexpenses (2) — — — (2)Incomefromoperations 155 43 16 6 220Amortization (30) — — — (30)Incomefromoperationsexcludingamortization(EBITA) 185 43 16 6 251

Fourthquarter2019Sales 1,750 — — — 1,750Costofsales (1,121) 31 2 (1) (1,089)Grossmargin 629 31 2 (1) 661Selling,generalandadministrativeexpenses (418) 4 9 17 (389)Researchanddevelopmentexpenses (76) 8 — — (68)Indirectcosts (494) 11 9 17 (457)Impairmentofgoodwill — — — — —Otherbusinessincome 5 — — (1) 3Otherbusinessexpenses (1) — — — (1)Incomefromoperations 138 42 11 15 206Amortization (26) — — — (26)Incomefromoperationsexcludingamortization(EBITA) 164 42 11 15 232

1 Adj. indirectcosts includedapositivecurrencyimpactofEUR17millionandchangesinscopeofEUR96millioninQ420.Adjustingforthecurrencyandchangesinscope,indirectcostsreducedbyEUR3milliononacomparablebasis.Thisindirectcostsreductionincludesprovisionsforthereimbursementofemployeecontributions.

2 Incidental itemsarenon-recurringbynatureandrelatetoseparation,companynamechange,transformation,environmentalprovisionfor inactivesitesanddiscountingeffectoflong-termprovisions.

Amountsmaynotaddupduetorounding.

17

JanuarytoDecember2020IncomefromoperationstoAdjustedEBITAinmillionsofEUR

Reported Restructuring

Acquisitionrelatedcharges

Incidentalitems2 Adjusted

JanuarytoDecember2020Sales 6,502 — — — 6,502Costofsales (4,004) 41 21 (4) (3,946)Grossmargin 2,499 41 21 (4) 2,556Selling,generalandadministrativeexpenses (1,781) 23 44 20 (1,695)Researchanddevelopmentexpenses (307) 20 1 — (287)Indirectcosts1 (2,088) 42 45 20 (1,982)Impairmentofgoodwill — — — — —Otherbusinessincome 12 — (2) (2) 8Otherbusinessexpenses (7) — — — (7)Incomefromoperations 416 83 63 13 575Amortization (120) — — — (120)Incomefromoperationsexcludingamortization(EBITA) 536 83 63 13 695

JanuarytoDecember2019Sales 6,247 — — — 6,247Costofsales (3,940) 50 2 1 (3,887)Grossmargin 2,307 50 2 1 2,360Selling,generalandadministrativeexpenses (1,637) 36 11 47 (1,544)Researchanddevelopmentexpenses (283) 13 — — (270)Indirectcosts (1,920) 50 11 47 (1,813)Impairmentofgoodwill — — — — —Otherbusinessincome 22 — — (13) 9Otherbusinessexpenses (8) — — 1 (7)Incomefromoperations 401 99 13 36 549Amortization (99) — — — (99)

Incomefromoperationsexcludingamortization(EBITA) 500 99 13 36 648

1.Adj.indirectcostsincludedapositivecurrencyimpactofEUR26millionandchangesinscopeofEUR361millionin2020.Adjustingforthecurrencyandchangesinscope,indirectcostsreducedbyEUR166milliononacomparablebasis.

2Incidentalitemsarenon-recurringbynatureandrelatetoseparation,companynamechange,transformation,environmentalprovisionforinactivesitesand

discountingeffectoflong-termprovisions.

Amountsmaynotaddupduetorounding.

18

AppendixC–Financialglossary

Acquisition-relatedchargesCoststhataredirectlytriggeredbytheacquisitionofacompany,suchastransactioncosts,purchaseaccounting related costs and integration-relatedexpenses

AdjustedEBITAEBITA excluding restructuring costs, acquisition-relatedchargesandotherincidentalcharges

AdjustedEBITAmarginAdjusted EBITA divided by sales to third parties(excludingintersegment)

AdjustedgrossmarginGross margin, excluding restructuring costs,acquisition-related charges and other incidentalitemsattributabletocostofsales

AdjustedindirectcostsIndirect costs, excluding restructuring costs,acquisition-related charges and other incidentalitemsattributabletoindirectcosts

AdjustedR&DexpensesResearch and development expenses, excludingrestructuring costs, acquisition-related chargesandotherincidentalitemsattributabletoresearchanddevelopmentexpenses

AdjustedSG&AexpensesSelling, general and administrative expenses,excluding restructuring costs, acquisition-relatedchargesandother incidental itemsattributabletoselling,generalandadministrativeexpenses

ChangesinscopeConsolidation effects related to acquisitions(mainlyCooperLighting)

Comparablesalesgrowth(CSG)Theperiod-on-periodgrowthinsalesexcludingtheeffects of currency movements and changes inconsolidationandotherchanges

EBITIncomefromoperations

EBITAIncome from operations excluding amortizationand impairment of acquisition related intangibleassetsandgoodwill

EBITDAIncome from operations excluding depreciation,amortization and impairment of non-financialassets

EffectsofchangesinconsolidationandotherchangesIn the event a business is acquired (or divested),the impact of the consolidation (or de-consolidation) on the Group’s figures is included(orexcluded)inthecalculationofthecomparablesales growth figures. Other changes includeregulatory changes and changes originating fromnewaccountingstandards

EffectsofcurrencymovementsCalculated by translating the foreign currencyfinancials of the previous period and the currentperiod into euros at the same average exchangerates

EmployeesEmployeesofSignifyatperiodendexpressedonafull-timeequivalent(FTE)basis

FreecashflowNet cash provided by operating activities minusnet capital expenditures. Free cash flow includesinterestpaidandincometaxespaid

GrossmarginSalesminuscostofsales

IncidentalchargesAnyitemwithanincomestatementimpact(lossorgain)thatisdeemedtobebothsignificantandnotpart of normal business activity. Other incidentalitemsmayextendoverseveralquarterswithinthesamefinancialyear

IndirectcostsThe sum of selling, general and administrativeexpensesandR&Dexpenses

NetcapitalexpendituresAdditionsofintangibleassets,capitalexpenditureson property, plant and equipment and proceedsfromdisposalofproperty,plantandequipment

NetdebtShort-term debt, long-term debt minus cash andcashequivalents

19

NetleverageratioThe ratio of consolidated reported net debt toconsolidated reported EBITDA for the purpose ofcalculatingthefinancialcovenant

R&DexpensesResearchanddevelopmentexpenses

RestructuringcostsThe estimated costs of initiated reorganizations,themostsignificantofwhichhavebeenapprovedby the group, and which generally involve therealignment of certain parts of the industrial andcommercialorganization

SG&AexpensesSelling,generalandadministrativeexpenses

WorkingcapitalThe sum of inventories, trade and otherreceivables, other current assets, derivativefinancialassetsminusthesumoftradeandotherpayables, derivative financial liabilities and othercurrentliabilities

20