Mahle Metal Leve : Release - 2nd Quarter 2017

Mogi Guaçu (SP), August 10, 2017 - MAHLE Metal Leve S.A. (B3: LEVE3), a Brazilian autoparts company that manufactures and sells components for internal combustion engines and automotive filters, announces today its results for the second quarter of 2017. The Company's operating and financial information, unless otherwise indicated, is presented on a consolidated basis in BRL according to Brazilian Corporation Law.

Conference call and Webcast of Results:

Date: August 11, 2017

15:00 (Brasília time),

14:00 (Eastern time)

Phone numbers: Brazil: +55 11 3193-1001

Webcast: http://cast.comunique- se.com.br/MAHLE/2Q17

Website RI: http://ri.mahle.com.br/

• Net Sales Revenue2 of R$ 576.3 million in the 2Q17, 3.2% higher than that of the 2Q16 and adjusted Ebitda margin of 19.2% (17.3% in the 2Q16), and a volume growth of 9.0%;

• On June 30, 2017 MAHLE Metal Leve S.A. completed the sale of 60% of the its stake in subsidiary MAHLE Metal Leve Miba Sinterizados Ltda.;

• The Board of Directors Meeting held on August 8, 2017 approved distribution of Interest on Equity of R$ 51.0 million referring to the period between January 1, 2017 to July 31, 2017.

• The Net Debt /Ebitda ratio at the end of the 2Q17 was 0.24 times, while at the end of the 2Q16 the ratio was 0.68 times;

• Newspaper Valor Econômico annual publication Valor Inovação Brasil announced Brazil's 150 most innovative companies and MAHLE Metal Leve ranked second in the Automotive and Heavy Vehicle category and 38th in the overall classification.

Website MAHLE: http://www.br.mahle.com/pt/

1 Adjustment in the 2Q17 due to the provision of R$ 3.2 million related to discontinuance of subsidiary MAHLE Hirschvogel Forjas S.A.

2 For purposes of comparison between the periods, the results of subsidiary MAHLE Metal Leve Miba Sinterizados LTDA are excluded from these financial statements since it was sold on June 30, 2017. Additional information is available in note 34 to the Interim Financial Information as of June 30, 2017.

TABLE OF CONTENTS

1. MANAGEMENT'S COMMENTS 3
2. ABOUT MAHLE METAL LEVE 4
3. PERFORMANCE OF THE AUTOMOTIVE INDUSTRY 5

4. Performance of the Brazilian automotive industry 5

5. Performance of the Argentinean automotive industry 6

6. Vehicle production in the main export markets 6

7. ECONOMIC AND FINANCIAL PERFORMANCE 7

8. Net sales revenue and market share by segment 7

9. OEM (original equipment manufacturer) sales 8

10. Aftermarket sales 9

11. Consolidated exports by region 9

12. Net sales revenue by segment 10

13. Net sales revenue by product 10

14. Gross margin 10

15. Selling, general and administrative expenses 11

16. Technology and product development expenses 11

17. Other operating income (expenses), net 11

18. Operating income measured by EBITDA 12

19. Net financial income (expenses) 12

20. Income and social contribution taxes 13

21. Net income 13

22. Capital expenditures 14

23. Indebtedness 14

24. INVESTOR RELATIONS AND CAPITAL MARKETS 15

25. Performance of the Company shares and free-float shares 15

26. Shareholders' profile 15

27. INDEPENDENT AUDITORS 16
28. REPRESENTATION BY THE EXECUTIVE BOARD 16
29. ACKNOWLEDGEMENTS 16 MANAGEMENT 16
30. EXHIBITS 17

31. Balance sheet 17

32. Income statement 17

33. Cash flow statement 18

34. 1 Management's Comments

    Analyzing the country's economic situation in the recent months, Brazil is in a better condition to respond positively to short-term economic challenges mainly because of lower inflation rates, a more vigorous trade balance supported by more consistent economic policies despite the political scenario still uncertain.

    Having a cycle of cut in the base interest rate as the beginning of this more reliable scenario, which, besides turning credit cheaper, can bring a relief to the financial situation of families and companies by reducing debt expenses, this change to a certain extent has slightly increased consumers' confidence thus positively impacting demand for durable goods, including vehicles. Accordingly, the Brazilian economy appears to be more resilient and able to face current difficulties to support its growth in long term.

    MAHLE Metal Leve performed evenly in the 2Q17 compared to the 2Q16 mainly due to a growth, in term of volumes, in domestic in both the OEM and aftermarket sales (+15.1% and +9.3%, respectively). The increase in domestic OEM sales results from a 56.7% increase in exports of vehicles produced in Brazil in the first quarter of 2017.

    OEM and aftermarket exports also grew 3.4% and 24.0%, respectively, in terms of volume. The OEM exports growth is mainly due to an increase in the light segment exports to automakers in Europe, while aftermarket exports increased because almost all the South America countries to which the Company exports performed positively between the periods.

    In the 2Q17 the Company reported net sales revenue of R$ 576.3 million (a growth of 3.2% in relation to the 2Q16) due to a growth in domestic OEM sales (+14.8%) and in the aftermarket sales (+5.9%), partially offset by the drop in OEM exports (-4.8%), mainly because of the exchange variation between the periods. The opposite graph shows revenue distribution for the 1H17 and the 1H16 in the markets where the Company operates:

    In the 2Q17, operating income measured by adjusted EBITDA was R$ 110.9 million, with EBITDA margin of 19.2%. In the 1H17 adjusted EBITDA was R$ 192.1 million, with EBITDA margin of 17.6%.

    The Net Debt/Ebitda ratio at the end of the 2Q17 was 0.24 times, while at the end of 2016 the ratio was 0.56 times.

    MAHLE Metal Leve has just been awarded by annual publication "Inovação Brasil" for the quality of its products. On July 3, 2017, newspaper Valor Econômico, in partnership with Strategy & PwC, announced Brazil's 150 most innovative companies in the third edition of annual publication Valor Inovação Brasil, and for the third time MAHLE Metal Leve S.A. was included in this ranking. Despite the harsh time the Brazilian automotive industry is facing, the Company keeps standing out in the national scenario. In this edition, the Company once again ranked 2nd in the Automotive and Heavy Vehicle category and 38th in the overall classification. This ranking results from a survey among companies of different industries and took into account investments in innovation, best practices, creation of new products, solutions and strategies, and other indicators. The ranking survey also takes into account innovation chain items such as intention, efforts and results. The purpose is to find out how each item is managed by the company and how it reflects on its innovation. Based on qualitative and quantitative indicators, the edition points out the companies that adopt the best innovation policies, their investments in the local market and the results achieved.

    For MAHLE Metal Leve, innovation means actually to do. Transforming a new concept into a product requires much discipline and hard work. For this reason, we keep investing in research and development (in the 1H17, the R&D expenditures accounted for 3.9% of net sales revenues) since we believe this is one of the main competitiveness drivers. To that end, working together with several players is the key to increasingly prospect new state-of-the-art technologies and thus strength our business opportunities.

    Still there are important challenges to be overcome. However, we will face them with constant engagement of our employees, with focus on innovation and cost management, always committed to developing products and solutions seeking to maintain a long-term relationship with our stakeholders.

    2 About MAHLE Metal Leve

    We are a Brazilian autoparts company that manufactures and sells components for internal combustion engines and automotive filters. We manufacture products with state-of-the-art technology and the highest quality, and we continuously invest in the research and development of new products and production processes.

    We have developed activities in Brazil since the 50's and have a broad portfolio of products and integrated solutions that in most cases have been customized jointly with our major customers. We operate in the OEM (Original Equipment Manufacturers) and aftermarket segments, serving automakers and large autoparts distributors and engine overhaul enterprises.

    Our products are manufactured and sold in Brazil and Argentina, and also exported to over 60 countries, among USA, Germany, Mexico, Portugal and Spain, for a diversified portfolio of customers including General Motors, Volkswagen, Fiat, Ford, Daimler MBB, Opel, International, Cummins, Volvo, PSA Peugeot, John Deere, Renault, Scania, Caterpillar, Honda, Hyundai and others.

    We own five industrial plants, four of which are located in Brazil, in the cities of Mogi Guaçu (two units), São Bernardo do Campo, all in the State of São Paulo, and in Itajubá, State of Minas Gerais. Our sixth plant is located in the city of Rafaela, Argentina. We have two distribution centers: one in the city of Limeira, State of São Paulo, and one in Buenos Aires, Argentina. We have a technology center located in the city of Jundiaí, State of São Paulo, which we believe is one of the largest and most well-equipped technology centers in Latin America for development of components and solution packages for internal combustion engines. This center allows us to add value to and meet the requirements of our customers in a customized and efficient manner, and develop innovative new product technologies and processes.

    We belong to the German autoparts group MAHLE, or MAHLE Group, which was established in 1920 and is one of the most traditional groups in the autoparts industry in the world. MAHLE Group, including the Company, currently has more than 170 industrial plants in 35 countries on five continents, 15 research and development centers and approximately 77 thousand employees.

    As part of the MAHLE Group, a group with global operations, we are able to exchange knowledge, have constant access to the latest technology and develop new products together with our customers, which we believe are key factors to the high level of market penetration and customer loyalty that we have achieved.