Slide 1: LHV Group Third quarter 2016 results
LHV Group Third quarter 2016 results 25 October 2016
Slide 2: Productive third quarter
Productive third quarter • • • • 2
Slide 3: LHV Banking
LHV Banking Deposits increased 71 EURm QoQ 08-14 03-14 414 Q4-14 Corporate loans Deposits +27% 754 artg 2-15 Q3-18 Q415 ar-16 (2-16 Q3-16 Demand deposits "Term deposits Loans (net) (net) +21% 478 393 _ = = o oo @ & - = = o & | aris Q2-15 Q3-15 Q4-15 ar-i6 a2-16 a3-16 = Retail loans = Loans to relate
Slide 4: LHV Banking: Strong results in banking, Net profit 3,706 EURt and ROE 20%
LHV Banking Strong results in banking, Net profit 3,706 EURt and ROE 20% 9 quarters Financial results, EURt Net interest income Net fee and commission income ss salllel Other income | Total revenue PTL ELL] Total operating expenses PEELE LL Earnings before impairment anloon Impairment losses on loan
Slide 5: LHV Asset Management
LHV Asset Management Asset under management increased by 46 EURm FURm Assets under management and customers customers (th.) + Assets under management increased m wt® 337 pn by 46 EURm and reached 987 EURm A — 800 180 600 543 — 160 + The number of Pension II Pillar funds o = = 7 FT 140 active clients
Slide 6: LHV Asset Management: Higher business volumes and significantly higher profits
LHV Asset Management Higher business volumes and significantly higher profits in the short term Financial results, EURt Total revenue Selling expenses Other operating expenses Total operating expenses EBIT Net financial income Net profit Business volumes, EURt Pillar | pensionfunds Pillar Ill pensio
Slide 7: Mokilizingas: Changes in regulations affects new sales
Mokilizingas Changes in regulations affects new sales EURn Loans (net) 36 36 1% “ | a ro Ss 03-14 yer aris 02-15 03-15 O45 at-16 a2-16 03-16 Hire purchase ™ Consumer loans = Leasing EURm New sales 13 , mf = = : 0 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q2-16 Q3-16 Hire purchase = Consumer loans Ne
Slide 8: Mokilizingas: Smaller profit and business volumes, ROE satisfactory
Mokilizingas Smaller profit and business volumes, ROE satisfactory Financial results, EURt Net interest income Net fee and commission income & Total revenue 9 quarters oon Total operating expenses J Earnings before impairment Impairment losses on loans Income tax . Net profit Business volumes, EURt
Slide 9: Strong quarter, growth of business volumes shifts profit to 5,792 EURt
LHV Group Strong quarter, growth of business volumes shifts profit to 5,792 EURt Financial results, EURt Net interest income Net fee and commission income Other income LJ -- Total revenue Total operating expenses 9 quarters Earnings before impairment onlan Impairment losses on loans == ie Income tax
Slide 10: Stock information
LHV Group Stock information SUR LHV stock price and turnover mms LHV daily turr LAV stock cl his tee Mine atead acca ott tee ate aber af tbe Jul Aug Sep ll La uh Ih May Jun Dynamics of LHV stock price and comparison indexes 115% = LHV stock (LHV1T) OMX Tallinn index (OMXTGI) 110% OMX Baltic index (O
Slide 11: Annexes
Annexes
Slide 12: Loan to deposit ratio 65%, capital adequacy strong
LHV Group Loan to deposit ratio 65%, capital adequacy strong 12 LCR 260 Q3 04 at a2 Q3 04 ai a2 03 2015 2c16 CT1 capital adequacy 16.3 a3 a at cz c @ at a a 2015 2016 ——LHV internal Tier 1 ratio limit 80 Loan-deposit ratio % 40 20 ° 3 GM OF @ a a a @ @ 2015 2018 Loans (net) mmm Unissued deposits. ©
Slide 13: Asset quality remains at a good level
LHV Group Asset quality remains at a good level % Corporate loans by ratings 30 2 20 15 10 Titan ° - 138046 7 8 9 1012 13 03-15 #0216 =03-16 Mokilizingas loans overdue porfolio a ‘ pooe Pate a 4 2 36 ° 4 a a4 G1 g2 08 4 a O 2015 2016 = loan impairments = over 90 days or contract cancelled © up to 90
Slide 14: AS LHV Group Tartu mnt 2, Tallinn
AS LHV GROUP TARTU MNT 2, TALLINN 6 802 670 INFO@LHV.EE LHV.EE