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2© SGS SA 2017 ALL RIGHTS RESERVED

FULL-YEAR RESULTS PRESENTATION 23 JANUARY 2017

DISCLAIMER

Certain matters discussed in this presentation may constitute forward-looking

statements that are neither historical facts nor guarantees of future performance.

Because these statements involve risks and uncertainties that are beyond control or

estimation of SGS, there are important factors that could cause actual results to differ

materially from those expressed or implied by these forward looking statements.

These statements speak only as of the date of this document. Except as required by

any applicable law or regulation, SGS expressly disclaims any obligation to release

publicly any updates or revisions to any forward looking statements contained

herein to reflect any change in SGS Group’s expectations with regard thereto or

any change in events or conditions on which any such statements are based.

HIGHLIGHTS FINANCIAL REVIEW

BUSINESS REVIEW

OUTLOOK Q&A APPENDIX

SGS SERVICE

> Productivity Management Services

CONSUMER BENEFIT

> Lower prices at the checkout


1. Constant currency basis – 2. Before amortisation of acquisition intangibles, restructuring and other non-recurring items – 3. Profit for the period / (Non current assets + Net Working Capital).

2016 HIGHLIGHTS

6.0% 1

CHF 6.0 BNFX (1.2)%

15.4%

CHF 919 MIO2.4% 1

19.3%

19.7% CHF 1.0 BN

5.7%

CHF 70

CHF 68

REVENUE GROWTH

RESTRUCTURING

ADJUSTED OPERATING INCOME MARGIN2

CASH FLOW FROM OPERATIONS

ROIC3 IN %

PROPOSED DIVIDEND


CHF 49 MIO

CHF 64 MIO



2016 ACQUISITIONS AND STRATEGIC PARTNERSHIPS

ACCUTEST LABORATORIES(ASSETS)USA

CARGO COMPLIANCE COMPANYNETHERLANDS

THE LAB (ASIA)(51% STAKE)HONG KONG

MATROLAB GROUPSOUTH AFRICA

CYBERMETRIXUSA

BATEMAN PROJECTS(ASSETS)SOUTH AFRICA

SUZHOU SAFETY-TECH (51% STAKE)CHINA

FIRSTRANK (75% STAKE)CHINA



1. Minority equity stake.


EECOLABCHILE

AGFLOW 1(15% STAKE)SWITZERLAND

UNIGEO AGRICULTURA DE PRECISÃO(75% STAKE)BRAZIL

COMPLIANCE CERTIFICATION SERVICESTAIWAN

LABORATORIOS CONTECON URBARCOLOMBIA AND PANAMA

IPS TESTINGUSA

TRANSPARENCY-ONE 1 (20% STAKE) USA

SPECHUB PANAMA




BIOPREMIER(70% STAKE)PORTUGAL

C-LABS SASWITZERLAND

LAAGRIMAMOROCCO

ROOS+BIJLNETHERLANDS

AXYS ANALYTICAL SERVICESCANADA



SUBSEQUENT EVENTS

SENSIMA INSPECTION(CHF 3 MIO LOAN)SWITZERLAND

BF MACHINERY AND CBF ENGINEERINGAUSTRALIA

LABORATOIRE LCAMOROCCO


EUROPE, AFRICA AND MIDDLE EAST

AMERICAS

ASIA PACIFIC

1. End of period.

92 300 EMPLOYEES1 AND 2 000 OFFICES & LABORATORIES AROUND THE GLOBE ENABLING REACH AND LOCAL SUPPORT

450

22 100

1 150

37 900

400

32 300

Offices, Labs & Multi-labs

Employees



BUSINESS REVIEW


CONSUMER BENEFIT

> A more secure internet

SGS SERVICE

> Digital Services



1. Before amortisation of acquisition intangibles, restructuring and other non-recurring items – 2. Constant currency basis.

2016 FINANCIAL HIGHLIGHTS

(CHF million) DECEMBER 2016DECEMBER 2015

PRO-FORMA2 DECEMBER 2015

REVENUE 5 985 5 644 5 712Change in % 6.0 4.8

ADJUSTED OPERATING INCOME1 919 898 917Change in % 2.4 0.2

ADJUSTED OPERATING INCOME MARGIN1 15.4 15.9 16.1

OPERATING INCOME (EBIT) 816 803 822Change in % 1.6 (0.7)

OPERATING INCOME (EBIT) MARGIN 13.6 14.2 14.4

PROFIT FOR THE PERIOD 586 561 584Change in % 4.5 0.3

PROFIT ATTRIBUTABLE TO EQUITY HOLDERS OF SGS SA 543 527 549Change in % 3.0 (1.1)

BASIC EPS (CHF) 71.54 69.17 71.99

ADJUSTED BASIC EPS (CHF)1 83.00 79.07 81.95

REVENUE

ADJUSTED OPERATING INCOME

BALANCE SHEET

CASH FLOW

CURRENCY

SECOND HALF 2016


BUSINESS REVIEW


SGS SERVICE

> Digital Services

CONSUMER BENEFIT




2016 REVENUE GROWTH COMPOSITION

REVENUE DECEMBER 2015

CHF MIO

2015

ORGANIC

2.0%

ACQUISITIONS

1.6%

DISPOSALS

0.0%

CURRENCY IMPACT

(6.5)%

REVENUE DECEMBER 2016

(2.9)%

5 712

203

139

(1) (68)5 985

2.5% 0.0%3.5% (1.2)% 4.8%

Constant currency growth: 6.0%



2016 BUSINESS PORTFOLIO

4.6%GIS

0.2% 0.0% 15.6%AFL

18.3%OGC

10.6%MIN

8.2%TRP

0.5%(0.4)%

7.8%EHS

1.2%

(1.6)%14.9%IND

(0.1)%

5.4%CBE

0.1% 0.1% 14.6%CRS

2016 REVENUE

Change1 Change1

1. Constant currency basis.


2.9%

0.4%

16.7%



2016 REVENUE GROWTH1 BY BUSINESS

AFL

MIN

OGC

CRS

CBE

IND

EHS

TRP

GIS

TOTAL

Organic Acquisitions Disposals

8.1%

3.5%

5.0%

1.6%

(0.2)%

(2.5)%

1.6%

(2.6)%

4.5%

(0.1)%

4.7%

9.1%

6.9%

7.9%

10.0%

2.5%

GROWTH

2016 2015

6.1%

2.6%

(2.1)%

6.3%

9.1%

5.5%

23.6%

12.9%

10.0%

6.0%

8.2%

(1.8)%

(2.6)%

2.9%

7.3%

(0.8)%

17.4%

13.5%

12.0%

3.6%



2016 REVENUE GROWTH1 BY REGION

EUROPE / AFRICA / MIDDLE EAST

AMERICAS

ASIA / PACIFIC

TOTAL GROUP

9.5%

3.5%


Revenue %


3.3%

0.1%

1.3%3.2%

2.5%

1.9%

2016 2015

GROWTH

5.2%

9.6%

4.5%

6.0%

5.0%

4.6%

0.8%

3.6%



EVOLUTION OF HEADCOUNTS

HEADCOUNT END OF PERIOD

2 188 3 074 (955)

HEADCOUNT AVERAGE

2015

2015

2016

2016

85 90387 962

89 62692 269

89 62692 269

HEADCOUNT AVERAGE HEADCOUNT % REVENUE %

Europe/Africa/ Middle East

2 097 6.0 5.2

Americas 1 559 7.8 9.6

Asia/Pacific 67 0.2 4.5

TOTAL 3 723 4.3 6.0

BY REGION

3 723 INCREASE4.3%

4 307 INCREASE4.9%

GROUP HEADCOUNT END OF PERIOD

ORGANIC BUSINESS GROWTH ACQUISITIONS

DISPOSALS AND RESTRUCTURING

GROUP HEADCOUNT AVERAGE

APPENDIX

REVENUE


BALANCE SHEET

CASH FLOW

CURRENCY

SECOND HALF 2016


BUSINESS REVIEW

OUTLOOK Q&A

SGS SERVICE

> Digital Services

CONSUMER BENEFIT




1. Before amortisation of acquisition intangibles, restructuring and other non-recurring items.

2016 ADJUSTED OPERATING INCOME1 GROWTH

ADJ. OP. INC. DECEMBER 2015

2015

ORGANIC

1.2%

ACQUISITIONS

2.0%

DISPOSALS

0.0%

CURRENCY IMPACT

(6.4)%

ADJ. OP. INC. DECEMBER 2016

(3.2)%

917

20

2

- (20)

919

0.2% 0.0%2.2% (2.2)% 0.2%


CHF MIO




2016 ADJUSTED OPERATING INCOME1 PORTFOLIO

Change 2 Change 2

7.2%GIS

0.7% 0.0% 16.0%AFL

12.7%OGC

9.9%MIN

8.5%TRP

(0.5)%0.3%

6.0%EHS

0.7%

(1.4)%9.1%IND

(1.4)%

6.3%CBE

0.9% 0.7% 24.3%CRS



ADJUSTED OPERATING MARGIN1 BY BUSINESS

30%

25%

20%

15%

10%

5%

0%

AFL CRSMIN CBE TRPOGC IND GISEHS

16.3%

14.0%

11.3%

25.8%

16.2%

11.1%12.8%

18.5%

23.2%

15.7%14.3%

10.6%

25.6%

17.7%

9.4%

11.8%

16.0%

24.2%

20152 2016



PROCUREMENT EFFICIENCY

PROCUREMENT SAVINGS BY REGION PROCUREMENT SAVINGS BY NATURE

57 5760

50

40

30

20

10

0

Americas Asia Pacific EAME

TARGET 2016

17

18

19

22

18

20

ACTUAL 2016


19%OPEX cost avoidance

16%CAPEX

65%OPEX P&L



2016 RESTRUCTURING

CHF 49 MIO IN RESTRUCTURING

RESTRUCTURING BY BUSINESS RESTRUCTURING BY REGION

24.7%Asia / Pacific

9.6%Americas

65.7%Europe / Africa / Middle East

15.2%AFL

59.0%OGCTOTAL

6.9%MIN

10.1%TRP

0.9%EHS

6.2%IND

0.8%CBE

0.9%CRS

54.7%OGCASSET WRITE-DOWN

4.3%OGCOTHER

REVENUE


BALANCE SHEET

CASH FLOW

CURRENCY

SECOND HALF 2016


BUSINESS REVIEW


SGS SERVICE

> Digital Services

CONSUMER BENEFIT




1. Restated figures (cf note 2 of the 2016 annual report) – 2. Profit for the period / (Non current assets + Net Working Capital).

2016 CONSOLIDATED BALANCE SHEET

(CHF million) DEC 2016 DEC 20151

Land, buildings and equipment 972 964Goodwill 1 195 1 088Intangible assets 246 218Other Long-term assets 325 347

NON-CURRENT ASSETS 2 738 2 617

Unbilled revenues and inventories 290 288Trade accounts and notes receivable 997 917Other receivables and prepayments 340 338Marketable securities 9 244Cash and cash equivalents 975 1 490CURRENT ASSETS 2 611 3 277

TOTAL 5 349 5 894

ROIC2 19.3% 19.7%


Share capital 8 8Reserves 1 765 1 898SHAREHOLDERS’ EQUITY 1 773 1 906

NON-CONTROLLING INTERESTS 80 75

Long-term loans1 1 719 1 723Provisions and other liabilities 289 338NON-CURRENT LIABILITIES 2 008 2 061

Accounts payable 641 526Other creditors and accruals 846 832Loans1 1 494

CURRENT LIABILITIES 1 488 1 852

LIABILITIES 3 496 3 913

TOTAL 5 349 5 894

ASSETS SHAREHOLDERS’ EQUITY AND LIABILITIES

NET DEBT (736) (482)

REVENUE


BALANCE SHEET

CASH FLOW

CURRENCY

SECOND HALF 2016


BUSINESS REVIEW


SGS SERVICE

> Digital Services

CONSUMER BENEFIT



2016 CONDENSED CASH FLOW


PROFIT FOR THE PERIOD 586 584Non-cash items 560 541(Increase)/decrease in working capital 75 160Taxes paid (207) (223)CORE OPERATING CASH FLOW1 1 014 1 062Pension funds special contribution - (103)CASH FLOW FROM OPERATING ACTIVITIES 1 014 959Net (purchase) of fixed assets (276) (286)Net (acquisition) of businesses (172) (104)Decrease/(increase) in marketable securities and other 247 (235)CASH FLOW FROM INVESTING ACTIVITIES (201) (625)Dividends paid to equity holders of SGS SA (517) (522)Dividends paid to non-controlling interests (39) (34)Transaction with non-controlling interests (4) (2)Net cash received on treasury shares (161) (147)(Reimbursments)/Proceeds of corporate bonds (491) 549Interest paid (58) (55)Net flows on interest rate swaps - 16(Decrease)/increase in borrowings (3) (15)CASH FLOW FROM FINANCING ACTIVITIES (1 273) (210)Currency translation (55) 25INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS (515) 149

FREE CASH FLOW2 738 658

1. Before cash flows related to pension fund special contribution – 2. Cash flow from operating activities net of capital expenditures.



2016 NET WORKING CAPITAL MOVEMENT

AVERAGE 2010 – 2014 2015 2016

CHF 75 MIO

CHF 160 MIO

CHF (66) MIO

TOTAL 2015 – 2016 IMPROVEMENT

CHF 235 MIO




2016 OPERATING CASH FLOW

1. Cash flow from operating activities less net Capex – 2. Operating cash flow / Adjusted EBITDA.

1 200

1 100

1 000

900

800

700

600

500

400

300

200

100

0

2012

67.6%

2013

75.8%

2014

74.4%

2015

80.5%

2016

84.6%

948798 912 959 1 014

Net CAPEX in CHF MIO

Free cash flow1 in CHF MIO

Operating cash flow in % of revenue

20%

18%

16%

14%

12%

10%

8%

6%

4%

2%

0%

386

357 305301 276

412591 607 658 738

ADJ. CASH CONVERSION RATIO2



2016 CAPITAL EXPENDITURE

CAPEX BY REGION

ANNUAL CAPEX CHF MIO

400

300

2002011 20152012 20162013 2014

Capital Expenditure

Depreciation and amortisation

CHF 288 MIO

CHF 288 MIO

4.0%GIS

15.0%TRP

6.8%EHS

12.2%IND

1.3%CBE

17.3%AFL

17.0%OGC

7.4%MIN

19.0%CRS

CAPEX BY BUSINESS

33.9%Asia / Pacific

19.4%Americas

46.7%Europe / Africa / Middle East



1. Net Capex.

CASH SOURCES AND USES IN 2016

SOURCES USES

CHF 1.0 BN

CHF 1.1 BN

ORGANIC CASH FLOW GENERATION COVERING 90% OF USES

OPERATING CASH FLOW GENERATION

GROWTH OPPORTUNITIES• Organic growth1

• M&A

SHAREHOLDERS RETURNS• Dividends paid• Share buy-back programme

CHF 0.4 BN

CHF 0.7 BN

REVENUE


BALANCE SHEET

CASH FLOW

CURRENCY

SECOND HALF 2016


BUSINESS REVIEW


SGS SERVICE

> Digital Services

CONSUMER BENEFIT




2016 FOREIGN CURRENCY REVENUES

MAJOR CURRENCIES

26.6%OTHER

2.3%HKD

2.4%AUD

2.7%BRL

3.1%GBP

3.1%CLP

3.3%CAD

25.9%EUR

14.4%USD

12.8%CNY

3.4%TWD


EUR USD CNY TWD CAD CLP GBP BRL AUD HKD20162015

CHANGE


FOREIGN CURRENCY AVERAGE RATE CHANGE FY 2016 VERSUS FY 2015 RATE

4%

2%

0%

(2)%

(4)%

(6)%

(8)%

(10)%

2.0% 2.3%

(3.2)%

0.7%

(1.4)% (1.3)%

(9.2)%

1.1%

(3.4)%

2.2%

1.09011.06912.0%

0.98490.96262.3%

0.14830.1532(3.2)%

0.03050.03030.7%

0.74360.7545(1.4)%

0.00150.0015(1.3)%

1.33601.4719(9.2)%

0.28380.2937(3.4)%

0.73270.72441.1%

0.12690.12422.2%

REVENUE


BALANCE SHEET

CASH FLOW

CURRENCY

SECOND HALF 2016


BUSINESS REVIEW


SGS SERVICE

> Digital Services

CONSUMER BENEFIT




H2 2016 FINANCIAL HIGHLIGHTS


(CHF million) 2016 H22015 H2

PRO-FORMA2 2015 H2

REVENUE 3 084 2 932 2 960Change in % 5.2 4.2

ADJUSTED OPERATING INCOME1 508 497 505Change in % 2.2 0.6

ADJUSTED OPERATING INCOME MARGIN1 16.5 17.0 17.1

OPERATING INCOME (EBIT) 422 480 489Change in % (12.1) (13.7)

OPERATING INCOME (EBIT) MARGIN 13.7 16.4 16.5

PROFIT FOR THE PERIOD 309 337 353Change in % (8.1) (12.4)

PROFIT ATTRIBUTABLE TO EQUITY HOLDERS OF SGS SA 289 320 335Change in % (9.7) (13.7)



H2 2016 REVENUE GROWTH COMPOSITION

REVENUE H2 2015

CHF MIO

H2 2015

ORGANIC

2.2%

ACQUISITIONS

1.6%

DISPOSALS

0.0%

CURRENCY IMPACT

(7.6)%

REVENUE H2 2016

(3.8)%

2 960

107

46

(1) (28)3 084

1.6% 0.0%3.6% (1.0)% 4.2%



4.0%


H2 2016 REVENUE GROWTH1 BY BUSINESS


AFL

MIN

OGC

CRS

CBE

IND

EHS

TRP

GIS

TOTAL


7.7%

3.6%

16.1%

3.6%

2.8% 1.2%

(0.2)%

(2.9)% 0.4%

2.9%3.9%

7.5%

(4.8)%

4.4%

8.3%

11.7%

1.6%

(0.1)%

GROWTH

2016 2015

4.0%

3.7%

(2.5)%

6.8%

7.5%

2.9%

20.5%

11.9%

11.7%

5.2%

10.4%

(1.6)%

(4.8)%

2.6%

8.4%

1.5%

11.0%

14.6%

15.5%

3.8%




H2 2016 ADJUSTED OPERATING MARGIN1 BY BUSINESS

30%

25%

20%

15%

10%

5%

0%

AFL CRSMIN CBE TRPOGC IND GISEHS

18.9%

14.9%

12.0%

26.8%

17.3%

11.3%12.6%

20.1%

23.5%

17.2%15.6%

11.3%

26.6%

20.2%

9.3%

13.0%

16.1%

28.4%

H2 20152 H2 2016



FINANCIAL SUMMARY

1. Before amortisation of acquisition intangibles, restructuring and other non-recurring items – 2. Profit for the period / (Non current assets + Net Working Capital).

· Revenue growth of 6.0% of which 2.5% organic

· Increase in Adjusted Operating Income1 on a constant currency basis by 2.4%

· Investment of CHF 448 million in Capex and Acquisitions

· Operating cash flow of 1.0 billion

· Return on Invested Capital (ROIC2) of 19.3%

· Proposed dividend of CHF 70


BUSINESS REVIEW


SGS SERVICE

> Polymer Testing

CONSUMER BENEFIT

> More responsive carbon fibre products


1. Before amortisation of acquisition intangibles, restructuring and other non-recurring items – 2. Constant currency basis – 3. Restated figures due to the change in business structure.

AGRICULTURE, FOOD AND LIFE (AFL)

(CHF million)

20162015

PRO-FORMA2, 3 20153

REVENUE 934.9 880.9 892.4 Change in % 6.1 4.8ADJUSTED OPERATING INCOME¹ 147.2 144.0 146.8

Change in % 2.2 0.3MARGIN %¹ 15.7 16.3 16.5

OVERVIEW · Solid growth from Food, Life and Trade activities · Strong testing services drove Food in Asia and high demand for certification · Slow input market impacted Seed & Crop · Double-digit growth in Life laboratories · Strategic investment in Transparency One and AgFlow

OUTLOOK · Recent investments and strong demand for food safety will drive growth · Strong organic growth expected in Life laboratories · Acquisition of Unigeo along with new services will benefit Seed and Crop portfolio · Trade activities to remain strong



MINERALS (MIN)


OVERVIEW · Double-digit growth from high sample volumes in Geochem laboratories · Energy performed well, particularly in Russia, Colombia and Vietnam · Solid results in Trade services from steel and raw materials and fertilizer activities · Reduced exploration spend impacted Metallurgy

OUTLOOK · Commodity prices expected to stabilise · Increased interest to continue in on-site laboratories activities · More opportunities expected for new mine and plant services · Well positioned to benefit from expected market improvement

(CHF million)

20162015

PRO-FORMA2

2015


Change in % 5.0 1.5MARGIN %¹ 14.3 14.0 14.2




OIL, GAS AND CHEMICALS (OGC)

OVERVIEW · Trade-related activities remained flat · Solid results in Sample Management segment and Oil Condition Monitoring · Plant and Terminal Operations (PTO) remained stable · Upstream services continued to be impacted by market conditions

OUTLOOK · Oil and Gas market expected to stabilise · Price volatility and increased trade volume to benefit Trade-related activities and PTO · Non-Inspection-related testing to remain flat · Upstream services to focus on production market

(CHF million)

20162015

PRO-FORMA2, 3 20153

REVENUE 1 098.4 1 122.2 1 126.4 Change in % (2.1) (2.5)ADJUSTED OPERATING INCOME¹ 116.4 126.5 128.6

Change in % (8.0) (9.5)MARGIN %¹ 10.6 11.3 11.4



CONSUMER AND RETAIL (CRS)


OVERVIEW · Solid results from Central and Eastern Europe and Asia · Strong growth in Softlines and Hardlines · Cosmetics, Personal Care and Household performs well in China, Germany and North America · Robust performance in Electrical & Electronics despite challenges in Wireless testing market

OUTLOOK · Strong performance in most regions despite impact of Wireless activity · Strong growth to continue in Softlines and Hardlines · Significant growth in Restriction of Hazardous Substance testing

(CHF million)

20162015

PRO-FORMA2, 3 20153


Change in % 5.5 3.7MARGIN %¹ 25.6 25.8 26.1


CERTIFICATION AND BUSINESS ENHANCEMENT (CBE)



OVERVIEW · Strong organic growth driven by all activities · High demand for ISO 9001:2015 and ISO 14001 standards · Solid growth in industry-specific technical training and new on-line courses · Double-digit growth in performance management · Germany returns to growth and profitability

OUTLOOK · Performance to remain healthy across portfolio · Training activities to deliver double digits · Management System Certification to get boost from new ISO 2015 standard

(CHF million)

20162015

PRO-FORMA2, 3 20153


Change in % 19.3 18.1MARGIN %¹ 17.7 16.2 16.3


INDUSTRIAL (IND)



OVERVIEW · Acquisitive growth drives revenues offsetting weak organic performance · Double-digit growth in laboratory testing with added capabilities in construction and calibration testing · Low capital investment and spending affected Energy and Construction activities impacting organic growth

OUTLOOK · Energy sector to remain challenging · Low investment and high competition expected in Infrastructure and Construction · Manufacturing sector to grow in single digits · Laboratory services will maintain single-digit growth trend, both organically and acquisitively

(CHF million)

20162015

PRO-FORMA2, 3 20153


Change in % (11.0) (12.5)MARGIN %¹ 9.4 11.1 11.2


ENVIRONMENT, HEALTH AND SAFETY (EHS)



OVERVIEW · Strong results in Europe from high volume/high margin laboratory contracts · Acquisitions strengthen presence and global service portfolio in the USA · High single-digit growth in South America with strong demand for dioxins testing · Margin pressure continued in Australia

OUTLOOK · Continued focus on Health & Safety and Testing services · New regulations to accelerate Marine services revenue · Optimisation of Accutest network will improve margins · New opportunities for drones in field services

(CHF million)

20162015

PRO-FORMA2, 3 20153


Change in % 14.4 14.4MARGIN %¹ 11.8 12.8 12.8


TRANSPORTATION (TRP)



OVERVIEW · Solid performance in Regulated services particularly in Vehicle Inspection services · Strong performance in commercial inspection activities · Growth in testing services with solid results from China, France, India and USA · Successful replication of services from acquisitions

OUTLOOK · Tightening of exhaust emissions regulations will drive growth · Shift to connectivity and digitalisation will support solid supply chain solutions growth · Positive outlook for Regulated services in Africa and South America · Focus on acquisitions in the Aerospace sector

(CHF million)

20162015

PRO-FORMA2, 3 20153


Change in % (2.4) (4.4)MARGIN %¹ 16.0 18.5 18.3


GOVERNMENTS AND INSTITUTIONS (GIS)



OVERVIEW · Growth in PCA with two new programmes in Cameroon and Gabon · Enhanced e-Gov programme deployed in Ghana · 100% scanning programme using SGS Dtect® deployed in Cameroon · High import volumes drove Single Window solutions performance

OUTLOOK · Improved cost control measures and modernisation of inspection services · Reinforcement of centralised solutions · Extension of Single Window in Ghana · Good prospects for SGS Dtect® · New innovative services: SGS e-waste monitoring solutions, SGS e-tax solution, SGS land management solution

(CHF million)

20162015

PRO-FORMA2 2015


Change in % 14.8 6.9MARGIN %¹ 24.2 23.2 24.0



BUSINESS REVIEW


CONSUMER BENEFIT

> Trusting that purchases made online are up to scratch

SGS SERVICE

> E-Commerce Quality Control Service


SOLID ORGANIC REVENUE GROWTH

HIGHER ADJUSTED OPERATING INCOME ROBUST CASH FLOW


GUIDANCE 20171

1. At stable market conditions.



OUTLOOK 2020

· Mid single digit organic growth on average with improvement over the period supported by the new focused structure and new strategic initiatives

· Accelerating M&A activities with acquired revenue over the period in the range of CHF 1 billion

· Adjusted Operating Income Margin of at least 18% by end of the period supported by the new focused structure, new strategic and efficiency improvement initiatives

· Strong cash conversion

· Solid returns on invested capital

· Solid dividend distribution, in line with improvement in net earnings



UPCOMING EVENT DATES

ANNUAL GENERAL MEETING OF SHAREHOLDERS

Tuesday, 21 March 2017

Geneva, Switzerland

2017 HALF YEAR RESULTS

Monday, 17 July 2017

INVESTOR DAYS (IN ASIA)

Thursday and Friday

26 and 27 October 2017

DIVIDEND PAYMENT DATES

Ex-Date: 23 March 2017

Record data: 24 March 2017

Payment date: 27 March 2017



SGS SA CORPORATE OFFICE

1 place des Alpes P.O. Box 2152 CH – 1211 Geneva 1 t +41 (0)22 739 91 11 f +41 (0)22 739 98 86 e [email protected] www.sgs.com

CORPORATE DEVELOPMENT, COMMUNICATIONS & INVESTOR RELATIONS

Jean-Luc de Buman SGS SA 1 place des Alpes P.O. Box 2152 CH – 1211 Geneva 1 t +41 (0)22 739 93 31 f +41 (0)22 739 92 00 www.sgs.com

STOCK EXCHANGE TRADING

SIX Swiss Exchange

COMMON STOCK SYMBOLS

Bloomberg: Registered Share: SGSN.VX Reuters: Registered Share: SGSN.VX Telekurs: Registered Share: SGSN ISIN: Registered Share: CH0002497458 Swiss security number: 249745

STOCK EXCHANGE LISTING

SIX Swiss Exchange, SGSN

INVESTOR RELATIONS INFORMATION

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WWW.SGS.COM

www.sgs.com

Date post:	17-May-2018
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