Laird PLC

Espirito Santo UK Mid Cap Conference September 2012

1

Breadth is strength

* excluding Handset Antennae and Mechanisms

BY PRODUCT SEGMENT* (%)

H1 2012 REVENUE £249.6m

BY MARKET SEGMENT* (%)

30%

22% 21%

12%

10%

5%

IT / Datacom Transportation

Industrial/Medical/Military Handsets

Other Consumer

41%

23%

14%

8%

8%

6%

EMI Shielding Telematics / Wireless Modules

Thermal Wireless & Automation Controls

Other Antennae Signal Integrity

2

Segmental Analysis - Half Year to 30 June

† before exceptionals, amortisation of acquired intangibles, gain or loss on disposal of businesses, deferred tax on acquired intangible assets and goodwill, fair valuing of financial instruments and acquisition transaction costs

Actual 2012 £m

Actual 2011 £m

%

Δ Actual 2012 US$m

Actual 2011 US$m

%

Δ

Performance Materials (PM)

Revenue 152.2 150.4 +1% 240.0 243.4 (1)%

Operating profit† 21.7 21.4 +1% 34.2 34.6 (1)%

Wireless Systems (WS)

Revenue 97.4 92.7 +5% 153.6 149.9 +2%

Operating profit† 12.6 10.9 +16% 19.8 17.7 +12%

Unallocated costs (3.3) (3.8) (5.2) (6.2)

Total continuing

Revenue 249.6 243.1 +3% 393.6 393.3 -

Operating profit† 31.0 28.5 +9% 48.8 46.1 +6%

3

Divisions

4

Performance Material products: Growth drivers:

Key Characteristics: Our businesses:

Performance Materials Division Overview

EMI: board level shields, fabric over foam, fingerstock, conductive elastomers

Thermal: thermal interface materials, thermoelectric assemblies

Signal integrity: ferrite cable cores, chip inductors

Increased electronic content in devices requiring more EMI and Thermal

“Green” markets e.g. electric vehicles, LED market, rechargeable lithium batteries

More complex heat and EMI management required as devices get smaller, faster and more powerful

Critical for efficient performance of electronic devices

Materials, components, sub-systems and systems

Specified with OEMs

Invisible to the end-market user

Short life cycles

Developed with Corporate Research Laboratory

Well established across Asia, the US and Europe

Strong customer relations sometimes supplying “next generation” products on sequential programmes

Leading positions in EMI and Thermal

5

$(2)m

EMI

SIP

$243m

$240m

-2%* -16%*

$(9)m

Thermal

0

10

20

30

2009 2010 2011 2012

0

20

40

60

80

2009 2010 2011 2012

0

100

200

2009 2010 2011 2012

H1 2012 Performance Materials – revenue bridge (US$m)

• Revenue 5% lower on an organic basis

• Shielding for smartphones, tablets and laptops growing in EMI

• Reduction in EMI shielding for plasma display panel TVs

• Weaker telecom market impact on both EMI and Thermal

EMI

Thermal

Signal Integrity Products

$m

$m

$m

* year on year growth in US$ including organic growth of acquired businesses † 2012 revenue from acquisitions

+1%*

H1 revenue

$3.7m EMI

$3.9m Thermal

Thermal

†Acquired

EMI

$8m

6

H1 2012 - Performance Materials (US$m)

• Improvement in EMI margins offsets reduction in Thermal to hold margins flat

† before exceptionals, amortisation of acquired intangibles, gain or loss on disposal of businesses, deferred tax on acquired intangible assets and goodwill, fair valuing of financial instruments and acquisition transaction costs

2012 2011

US$m H1 H1 FY

Revenue 240.0 243.4 489.5

Operating profit† 34.2 34.6 69.0

Return on sales 14.3% 14.2% 14.1%

-1%

-1%

7

BY PRODUCT SEGMENT*

BY MARKET SEGMENT*

• Revenue up 1% YoY • Good demand from IT, smartphone, tablet and automotive customers offset by lower demand in telecoms • Capacity expansion well underway to support growth • Emerson & Cuming integration proceeding well Supplying the IT, telecoms, consumer, automotive and military sectors

67%

24%

9% EMI

Thermal

Signal Integrity

Performance Materials benefiting from strength in key markets

H1 2012 REVENUE £152.2m

* excluding Handset Antennae and Mechanisms

• Revenue down 9% YoY • Telecoms infrastructure sales remain subdued • IT market showing signs of improvement • ‘Green’, energy & medical markets held up

Supplying the IT, telecoms, automotive, consumer, medical & military sectors

EMI Shielding

• Revenue up 1% YoY • Good level of demand from IT markets

Supplying the IT, consumer & automotive sectors

Thermal Solutions

Signal Integrity 41%

19% 6%

34%

IT/Datacom

Handset

Consumer

Other

$ 161m £102m

$ 57m £36m

$ 22m £14m

8

Our businesses

Wireless Systems Division Overview

Components or comprehensive solutions

Solutions sold direct to OEM, end users or distribution

Long life cycles

Enable connectivity for wired, wireless and remote control systems

Developed within businesses, with service and aftermarket support

Telematics/M2M : antennae systems and M2M modules and solutions

Wireless Automation and Control Solutions: remote control systems

Infrastructure Antennae: wireless (WLAN), RFID

Proliferation of connectivity and requirement for wireless infrastructure.

Increasing bandwidth

“Green” markets e.g. Smart meters

Increased connectivity and data transmission for information flows

Customers requiring more “value add” in solutions and ease of use

Leading presence across North America and growing presence in Asia and Europe

Increasing abilities to produce combined software and hardware systems, offering two-way information flows and manipulation

Leading positions in Telematics/M2M and Wireless remote control and Antennae systems

Wireless Systems products: Growth drivers:

Key Characteristics: Our businesses:

9

0

20

40

2009 2010 2011 2012

0

40

80

120

2009 2010 2011 2012

0

10

20

30

40

2009 2010 2011 2012

H1 2012 - Wireless Systems – revenue bridge (US$m)

* year on year growth in US$ including growth of acquired business † 2012 revenue from acquisitions

Infrastructure Antennae

Telematics/M2M

Wireless Automation & Control Solutions

$m

$m

$m

• Revenue 2% lower on an organic basis

• Rationalisation of low margin tracking range reducing Telematics

• Robust auto demand in Telematics

• Increase in demand for IAS solutions in public safety market and gaming

• Deferred industrial and railroad spend impacting WACS business

$(6)m TELE/M2M

$150m

$153m

-7%* +20%*

$(1)m

WACS $5m

IAS

-4%*

H1 revenue

$5m TELE/M2M

† Acquired

10

H1 2012 - Wireless Systems (US$m)

57 PM • ROS increases to 12.9% from 11.8%

• Vertical integration contributes to Telematics margin improvement

† before exceptionals, amortisation of acquired intangibles, gain or loss on disposal of businesses, deferred tax on acquired intangible assets and goodwill, fair valuing of financial instruments and acquisition transaction costs

2012 2011

US$m H1 H1 FY

Revenue 153.6 149.9 299.1

Operating profit† 19.8 17.7 36.4

Return on sales 12.9% 11.8% 12.2%

+12%

+2%

11

• Revenue flat YoY • Strong demand from automotive market in N America • New long-term business won with auto customers • Lower asset tracking sales reflecting move to exit lower margin products • Bluetooth held up despite lower demand from European customers • Summit integration proceeding well Supplying the automotive, infrastructure & retail sectors

• Revenue down 4% YoY • Industrial and rail market spend being deferred • After-sales service strong

Supplying the rail, industrial & mining sectors

• Revenue up 20% YoY • Continued demand for portable radio solutions from public safety market • Good consumer demand for gaming consoles antennae systems

Supplying the infrastructure, municipal, telecoms/data & security sectors

49%

30%

15% 6% Automotive

Industrial

IT/Datacom

Other

H1 2012 REVENUE £97.4m

BY MARKET SEGMENT*

58% 21%

21%

Telematics & "M2M"

WACS

Infrastructure & other antennae

BY PRODUCT SEGMENT*

Continued growth in Wireless Systems

* excluding Handset Antennae and Mechanisms

Telematics / M2M

Wireless Automation & Control Solutions

Infrastructure Antennae

$ 89m £56m

$ 33m £21m

$ 32m £20m

12

Growing the business

13

0

100

200

300

400

500

2012 2013 2014 2015 2016

0

100

200

300

400

2012 2013 2014 2015 2016

MEDICAL EQUIPMENT OEM REVENUE MEDIA TABLET SHIPMENTS

0

20

40

60

80

2012 2013 2014 2015 2016

Units (m)

Source: iSuppli, June 2012 Source: iSuppli, June 2012

CAGR 20%

CAGR 6%

SMARTPHONE SHIPMENTS

0

400

800

1200

1600

2012 2013 2014 2015 2016

Units (m)

Source: iSuppli, June 2012

CAGR 14%

NOTEBOOK/PCs & PRINTER SHIPMENTS

TELEMATICS/INFOTAINMENT OEM REVENUE

0

10

20

30

40

50

2012 2013 2014 2015 2016

Source: iSuppli, March 2012

CAGR 9%

Source: iSuppli, June 2012

Units (m)

75

80

85

90

95

100

105

2012 2013 2014 2015 2016

WLAN SHIPMENTS

Units (m)

Source: iSuppli, June 2012

Well positioned in structural growth markets

CAGR NOTEBOOK/PCS 5% PRINTERS 1%

Notebook/PCs Printers

Revenue ($bn)

Revenue ($bn)

CAGR 3%

14

Delivering on our targets: our opportunity

15

Incr

easi

ng

nee

d f

or

ener

gy m

anag

emen

t

• Well positioned to benefit from anticipated growth

LAIRD – Innovating in high-growth

markets

“Green” technologies

Increased demand for EMI shielding

More wireless connectivity solutions

More hardware & software combined solutions

Incr

easi

ng

co

nn

ecti

vity

More thermal management

Average compound growth of 24% from 2010

to 2013

Targets for the medium to long-term of:

- Organic revenue growth averaging 10% per annum

- Underlying return on sales margin of 15%

Delivering on our targets

16

Organic revenue growth Return on Sales Dividend

2013 FY FY 12.0p – to be recommended

2012 FY FY 10.0p – to be recommended

2012 H1 (4)% H1 12.4% H1 3.4p

2011 FY 12% FY 11.9% FY 8.0p

2011 H1 H1 11.7%

Target average 10% p.a. on a rolling basis

Target 15%

= 10% p.a.

from start of

2011

Well positioned for the increase in connected devices

Confident of delivering on our growth targets over time

Market improvements expected in near-term

Planned new product introductions

Well positioned in structural growth markets

Good improvement in margins

Ongoing innovation

Capacity expansion progressing

Strong customer base

17

• Benefiting from strength of our customer’s key markets

• Global capabilities

• Breadth and strength reduces operational risk of over dependence on one market

• In high-growth markets with good prospects for future growth

• Well positioned to provide an array of solutions

• Innovation at the heart of what we do

18

Insatiable demand for greater connectivity will drive Laird forward

Serving industry leaders

Financials

19

Operating Cash Flow

• Strong operating cash conversion of 117% from continuing operations

£m Half Year to 30 June

2012

Half Year to 30 June

2011

Full Year to 31 December

2011

Discontinued Continuing Total Total

Operating profit 3.4 31.0 25.4 59.4

Depreciation - 6.8 9.3 17.0

Amortisation of capitalised development - 1.8 4.0 6.4

Other and non-cash - 1.0 0.7 1.3

3.4 40.6 39.4 84.1

Decrease in working capital 6.4 5.3 (1.0) (0.3)

Capitalised development - (4.1) (4.5) (9.1)

Capital expenditure (0.3) (5.6) (7.7) (12.0)

Operating cash flow 9.5 36.2 26.2 62.7

Total 45.7 26.2 62.7

20

Balance Sheet

† minimum of 3.0 times required by Group’s loan facilities †† maximum of 3.5 times required by Group’s loan facilities

• Healthy financial position

• Market expectation for FY 2012 of 1.3 x Net debt: EBITDA

£m 30 June 31 December

2012 2011

Shareholders’ equity 442.2 443.8

Net borrowings 135.1 117.7

Capital employed 577.3 558.1

Interest cover (covenant basis) † 10.0 10.0

Net borrowings / EBITDA†† 1.5 1.4

21

Earnings, Tax & Dividend

• Dividend increased by 26%

• Low tax rate maintained

• Full year 2012 dividend of 10 pence to be recommended

• Full year 2013 dividend of 12 pence to be recommended

† before exceptionals, amortisation of acquired intangibles, gain or loss on disposal of businesses, deferred tax on acquired intangible assets and goodwill, fair valuing of financial instruments and acquisition transaction costs

Pence per share Half Year to 30 June 31 Dec

2012 2011 2011

Earnings per share† 8.6 7.9 16.2

Underlying tax rate 16.5% 17.5% 17.1%

Dividend per share 3.4 2.7 8.0

Average number of shares (million) 265.7 265.4 265.4

22

Appendix

23

Need for increased connectivity drives our growth • IT/Datacomm/Telecomm

– Connectivity for laptops, netbooks, tablets, PCs and servers – Routers for internet applications – Telecomm base stations

• Transportation – Antennae for automotive electronics e.g. AM/FM radio,

satellite radio, cellular – Tracking devices for haulage, GPS – Intelligent transportation systems & infotainment

• Industrial & Instrumentation – Wireless control systems – Remote data handling

• Consumer – Electronic devices e.g. iPad, Gaming consoles – Flat screen TVs

• Infrastructure & Medical – Public safety – Remote diagnostics

• Handsets

– Smartphones

• “Green” markets – electric vehicles, rechargeable lithium batteries, LED lighting,

smart meters

Requiring our EMI & Thermal solutions

Requiring our EMI & Thermal solutions

Requiring our M2M products

Requiring our Telematics solutions

Requiring our EMI solutions

Requiring our M2M & wireless products

Requiring our Thermal solutions 24

PBIT 12

PBIT 20

IO 26

IO 31

Rev 100

Rev 133

Margin trajectory model

ASSUMPTIONS

• No change in product mix

• 70% of costs variable, 30% fixed

• Variable moves with revenue, fixed with inflation

MODEL OUTPUT

• Profit drop through 25% on incremental revenue

• Revenue growth >30%; PBIT growth >60%

REV: Revenue IO: Indirect overheads PBIT: Profit before interest & tax

12.0% RoS 15.0%

Economies of scale from organic revenue growth

I N

D E

X

25

Margin performance and results translated in US$m

† before exceptionals, amortisation of acquired intangibles, gain or loss on disposal of businesses, deferred tax on acquired intangible assets and goodwill, fair valuing of financial instruments and acquisition transaction costs

Performance Materials & Wireless Systems

Half Year to 30 June

2012

Half Year to 30 June

2011

US$m US$m

Revenue 393.6 393.3

Cost of sales (240.7) (244.4)

Gross margin 152.9 148.9

SG&A (80.9) (80.2)

Gross R&D (26.8) (24.9)

Net capitalised development 3.6 2.3

Operating profit† 48.8 46.1

38.8%

12.4%

37.9%

11.7%

26

H1 2012 - Discontinued Operations (US$m)

• Overheads substantially reduced to bring business back to profit in exit phase

† before exceptionals, amortisation of acquired intangibles, gain or loss on disposal of businesses, deferred tax on acquired intangible assets and goodwill, fair valuing of financial instruments and acquisition transaction costs

2012 2011

US$m H1 H1 FY

Revenue 29.5 73.0 152.0

Operating profit† 5.4 (5.1) 1.6

27