Fiera Capital Corporation Class A · TSX:FSZ
Fiera Capital Corporation Class A — Q1 2020 Earnings Presentation
27 slides from Fiera Capital Corporation Class A's earnings presentation, May 15, 2020
Slide 1: Q1 2020 Results
May 15, 2020 Q1 2020 Results JEAN-GUY DESJARDINS Chairman of the Board and Chief Executive Officer VINCENT DUHAMEL Vice Chairman of the Board JEAN-PHILIPPE LEMAY Global President and Chief Operating Officer LUCAS PONTILLO Executive Vice President and Global Chief Financial Officer
Slide 2: Forward-Looking Statements
Forward-Looking Statements The accompanying Investor Presentation contains forward-looking information within the meaning of Canadian securities laws and regulations. Forward-looking information may include comments with respect to Fiera Capital Corporation's ("Fiera Capital") objectives, strategies
Slide 3: AUM of $158.1B as at March 31, 2020
AUM of $158.1B as at March 31, 2020 AUM down $11.6B from December 31, 2019 Q1 2020 (in $ millions) $1.7B in gross new clients in Q1 2020 ▪ $600M+ from Institutional across global and Canadian equity mandates, private alternative investment strategies and other ▪ $650M+ from Private Wealth clients ▪
Slide 4: Increasing Asset Class Diversification of AUM
Increasing Asset Class Diversification of AUM As of Dec 31, 2019 As of March 31, 2020 As of April 30, 2020 - PRELIMINARY $169.7B $158.1B >$167B* Equity 44% Equity 42% Equity 44% Fixed income 46% Fixed income 47% Fixed income 46% Alternatives and Alternatives and Alternatives and 10% 11% 10% asset al
Slide 5: Agility and Resiliency
Agility and Resiliency In the face of COVID-19 PEOPLE Communicating with our teams on a weekly basis Creation of a Task Force (multi divisions, multi sectors) to review the Business Continuity Plans of each division Two virtual town halls held where almost 700 employees attended Surveys conducted to
Slide 6: Investment Performance Update
Investment Performance Update As of March 31, 2020 % of firmwide AUM: Equity outperformance in a difficult investment environment ✓ Global Equity - continued outperformance across the board ✓ Canadian Equity - continued outperformance across the board Equities ✓ Growth Equity - general outperformanc
Slide 7: Regional Overview
Regional Overview Canada U.S. Strong relative investment performance further With the exception of Emerging Markets, all major supported our distribution activities strategies beat their benchmarks in Q1 ▪ Global and Canadian equity continued to ▪ Emerging Markets trending above benchmark outperform
Slide 8: AUM and Revenues Breakdown – by Geography
AUM and Revenues Breakdown – by Geography AUM as of March 31, 2020 Historical revenue breakdown Canada 56% U.S. 30% Europe and other 14% Canada U.S. Europe and other 50% of revenues generated outside of Canada, compared to 30% in 2015 8
Slide 9: Revenue Trend
Revenue Trend Revenue (in $ millions) Last twelve months Quarterly Year-over-year double-digit revenue growth 9
Slide 10: Q1 2020 Financial Results
Q1 2020 Financial Results Net earnings (loss) attributable to Company Adjusted net earnings1 ($M) shareholders ($M) Net earnings (loss) per share ($) Adjusted net earnings per share1 ($) 1) Earnings before interest, taxes, depreciation and amortization (EBITDA), Adjusted EBITDA and Adjusted EBITDA p
Slide 11: Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA1 and Adjusted EBITDA Margin1 Quarterly Last twelve months LTM Adjusted EBITDA trending upward 1) Earnings before interest, taxes, depreciation and amortization (EBITDA), Adjusted EBITDA and Adjusted EBITDA per share, Adjusted net earnings and Adjusted net earnings per share (adjusted
Slide 12: Outlook
Outlook Economic environment unusually cloudy ▪ Coronavirus transmission still progressing globally Canadian economy has suffered a setback amid the pandemic and the severe rout in energy markets ▪ Bank of Canada and the government have been quick to respond, unveiled a wide range of policies aimed
Slide 13: Question Period
<> FIERACAPITAL Question Period
Slide 14: Appendix A: Additional Financial Information
Appendix A Additional Financial Information 14
Slide 15: Reconciliation of Net Earnings to Adjusted Net Earnings
Reconciliation of Net Earnings1 to Adjusted Net Earnings1,2 (in $ millions) Q1 2020 1 1,2 3 1) Attributable to the Company’s shareholders 2) Earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted EBITDA and adjusted EBITDA per share, adjusted net earnings and adjusted net
Slide 16: Average LTM BPS Evolution vs AUM
Average LTM BPS Evolution vs AUM1 Q1 2020 average: 37.3 bps LTM average basis points trending upward 1) Average basis points calculated as a function of base management fees. 16
Slide 17: Alternative Investments
Alternative Investments Total alternative LIQUID PRIVATE investment strategies as at March 31, 2020 1 $15.6B1 (in $ billions) (in $ billions) FIERA PRIVATE ALTERNATIVE INVESTMENTS AUM $13.3B As at March 31, 2020, total committed, undeployed capital of: >$1.4B 1 17 1) Includes $1.6B of infrastructure
Slide 18: Appendix B: Investment Performance
Appendix B Investment Performance 18
Slide 19: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Traditional Strategies – Fixed Income Annualized Rates of Return 5 YEARS OR BENCHMARK 1 YEAR INCEPTION YEAR SINCE INCEPTION1 NAME Return (%) Added Value (%) Return (%) Added Value (%) FIXED INCOME Integrated Fixed Income Credit 1.28 -0.02 2.79 0.26 2012 FTSE C
Slide 20: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Traditional Strategies – Fixed Income Annualized Rates of Return 5 YEARS OR BENCHMARK 1 YEAR INCEPTION YEAR SINCE INCEPTION1 NAME Return (%) Added Value (%) Return (%) Added Value (%) FIXED INCOME Canadian Total Return Fixed Income 3.41 -1.05 3.28 0.62 2001 FT
Slide 21: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Traditional Strategies – Balanced and Equity Annualized Rates of Return 5 YEARS OR BENCHMARK 1 YEAR INCEPTION YEAR SINCE INCEPTION1 NAME Return (%) Added Value (%) Return (%) Added Value (%) BALANCED Balanced Core -1.00 2.38 4.80 1.51 1984 Balanced Core Blende
Slide 22: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Traditional Strategies – Equity Annualized Rates of Return 5 YEARS OR BENCHMARK 1 YEAR INCEPTION YEAR SINCE INCEPTION1 NAME Return (%) Added Value (%) Return (%) Added Value (%) EQUITY INVESTMENT STRATEGIES Apex Large Cap Growth2 1.96 1.05 10.81 0.45 2007 Russ
Slide 23: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Liquid Alternative Strategies Annualized Rates of Return 5 YEARS OR INCEPTION BENCHMARK 1 YEAR SINCE INCEPTION1 YEAR NAME Return (%) Return (%) North American Market Neutral Fund -4.93 0.36 2007 Absolute Return Long / Short Equity Fund -12.03 0.06 2010 Absolut
Slide 24: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Private Alternative Strategies Annualized Rates of Return 5 YEARS OR INCEPTION BENCHMARK 1 YEAR SINCE INCEPTION1 YEAR NAME Return (%) Return (%) PRIVATE DEBT Diversified Lending Fund 7.45 6.83 2008 Absolute Return Global Diversified Lending Master Fund, L.P. 8
Slide 25: Investment Performance (March 31, 2020)
Investment Performance (March 31, 2020) Private Alternative Strategies Annualized Rates of Return 5 YEARS OR INCEPTION BENCHMARK 1 YEAR SINCE INCEPTION1 YEAR NAME Return (%) Return (%) REAL ESTATE Fiera Real Estate CORE Fund L.P. 7.92 8.05 2013 Absolute Return Fiera Real Estate Small Cap Industrial
Slide 26: Mariem Elsayed, Director, Investor Relations and Public Affairs
Mariem Elsayed Director, Investor Relations and Public Affairs melsayed@fieracapital.com T 514 954-6619 26
Slide 27: fiera.com
fiera.com > FIERA