Multitude Ag · XETR:MULT
Multitude — EKF – Frankfurt (November 2024)
22 slides from Multitude's conference presentation, Nov 25, 2024
Slide 1: Multitude Group
Multitude Group Creating success stories in fintech EKF – Frankfurt Antti Kumpulainen (CEO of Multitude Group from 1st January 2025 onwards) 25.11.2024
Slide 2: Important notice
Important notice This presentation contains, or may be deemed to All forward-looking statements included herein are based contain, forward-looking statements. These statements on information presently available to Multitude and, relate to future events or future financial performance of accordingly,
Slide 3: We have been creating success stories in fintech for the last two decades
We have been creating success stories in fintech for the last two decades Founded in Finland in 2005 “Since foundation, we have focused on helping customers who are overlooked EU wide banking licence by traditional banks, with amazing and fully digital customer experience.” Listed on the Frankfurt S
Slide 4: Our vision is to build the most valuable financial platform for overlooked customers
Our vision is to build the most valuable financial platform for overlooked customers VISION MISSION OUR VALUES Building the most Democratise financial Customer centricity, valuable financial services through Entrepreneurial spirit, platform digitalisation, Candour, Respect, for overlooked making the
Slide 5: Multitude’s Growth platform
Multitude’s Growth platform Our three independent business units focus on sales and customer experience The growth platform makes sure that the other operations and processes work seamlessly 5
Slide 6: Aiming for stable profitable growth, ESG values, and dividend distribution
We are aiming for stable profitable growth, commitment to ESG values, and dividend distribution to shareholders ESG Emissions reduced and increases in Responsible lending index, NPS and eNPS GROWTH Scaling current business units and adding new businesses FUTURE PROFIT UPSIDE 2.5x Net profit growth*
Slide 7: Growth built on organic development, partnerships and acquisitions
Our growth is built on three fundamentals: Organic development, partnerships and acquisitions • Enhance customer-facing and internal processes ORGANIC DEVELOPMENT • Product and country portfolio expansion • Bolster our unique selling points (USP) for customers • With sales allies PARTNERS • With whi
Slide 8: Significant growth potential for all our business units
Significant growth potential for all our business units* EUR EUR EUR 24.9 bn Total Outstanding Portfolio 14.8 bn 15.7 bn Total Outstanding Portfolio Total Outstanding Portfolio Our Current Share-% Our Current Share-% Our Current Share-% *Total 8 Addressable Market; Full Potential For The Products an
Slide 9: Multitude Group's relocation of registered seat to Switzerland
Multitude Group's relocation of registered seat to Switzerland Multitude SE from Multitude p.l.c. from Finland Multitude p.l.c. to Multitude AG to Malta - Temporary EGM 1 / EGM 2 EGM 3 EGM 4 EGM 5 21 Mar 30 June 21 Aug 5 Sep 23 Oct Dec As of 2024 2024 2024 2024 2024 2024 31 Dec 2024 Transfer Convers
Slide 10: Multitude Bank acquired a strategic stake in Lea Bank ASA
Multitude Bank acquired a strategic stake in Lea Bank ASA - Great strategic fit with complementary offering and attractive financial return Transaction breakdown Strategic investment • Lea Bank represents an ideal strategic fit with its complementary product offerings Stake 1 • This transaction is e
Slide 11: New CEO appointment 1st of January 2025 – Antti Kumpulainen
New CEO appointment 1st of January 2025 – Antti Kumpulainen Why this change? Antti Kumpulainen The founder seeks to reduce time spent on • Nine successful years in Multitude from which first years daily operations, focusing fully on high-impact as country manager, followed by commercial leader strat
Slide 12: Multitude group highlights 9M 2024
Multitude group highlights 9M 2024 – Increasing revenue and strong EBIT growth Highlights 9M 2024 Focus going forward • Both revenue and EBIT growing strongly • Focus on 3 growth initiatives: Organic, Partnerships and M&A • All 3 business units growing • Enhance risk management and AI investments to
Slide 13: Consumer Banking highlights 9M 2024
Consumer Banking highlights 9M 2024 – Strong performance continues Highlights 9M 2024 Focus going forward Targets 2024 • Improved marketing bidding process in • Continue integrating SweepBank banking Our target for 2024 is to achieve 5% higher further countries products to Ferratum offering in other
Slide 14: SME Banking highlights 9M 2024
SME Banking highlights 9M 2024 – Strong growth and credit risk provisions decreasing according to plan Highlights 9M 2024 Focus going forward Targets 2024 • Focus on retention of customers: Multi- • Integrate SweepBank account and credit card Our original target for 2024 was to achieve EUR product o
Slide 15: Wholesale Banking highlights 9M 2024
Wholesale Banking highlights 9M 2024 – Strong profitable growth with carefully selected institutional clients Highlights 9M 2024 Focus going forward Targets 2024 • Increased expertise and reduced deal • Emphasizing smart risk-taking and On our way to achieving our 2024 target origination time: core
Slide 16: Strong asset quality - impairment losses down to 2.8%
Strong asset quality - impairment losses down to 2.8% on quarterly basis Impairment losses / NAR Balanced growth strategy drives asset quality improvements: 12.0% 2019 2020 2021 2022 2023 2024 • Long-term trend: Continuous improvement in impairment 9.7% 10.0% losses over net accounts receivable 2.2
Slide 17: Solid cash balance
Solid cash balance Cash to Deposits in % Cash in EURm 500 100% 90.6% 450 90% 86.2% 82.9% 400 382 80% 73.5% 70.1% 66.9% 70.1% 350 69.9% 312 66.8% 63.5% 70% 75.6% 65.1% 63.0% 299 302 300 64.2% 63.1% 284 62.3% 267 265 50.7% 267 60% 53.0% 238 250 227 225 219 50% 213 213 38.7% 35.1%33.6% 30.6%197 167 200
Slide 18: Funding structure and cost of debt capital
Funding structure and cost of debt capital Financing mix at 30 September 2024 Financing mix at 30 September 2023 Deposits 1% 7% Multitude p.l.c. 5% 8.90% + 3-month Euribor perpetual (IFRS Equity) 9% 7% Multitude Bank p.l.c. 6% fixed rate Tier 2 bond 2032 (Reg. Capital) EUR 3m EUR 3m EUR 773m EUR 46m
Slide 19: Financial targets: Net Profit expected to increase significantly
Financial targets: Net Profit expected to increase significantly Multitude Group Net Profit Our Guidance framework • EBIT up by 50% each year from EUR 20m in 2021 35.0 to 67.5m in 2024 (expected range 66.5m-68.5m) • EBIT guidance achieved in each period 30.0 30.0 • Net profit introduced as new guida
Slide 20: Consensus estimate for Multitude share is EUR 9.73 vs current price of EUR 4.74
Consensus estimate for Multitude share is EUR 9.73 vs current price of EUR 4.74 (19.11.2024) Details of the share Current Analyst views of the share Company: Multitude p.l.c. ISIN: MT0002810100 WKN: A40G1Q Ticker: E4I Mkt Cap: EUR 103m Share price performance (12 M) 20
Slide 21: Key takeaways
Key takeaways • Strong performance continues during 9M 2024: Revenue up 15.1% to EUR 193.9m y-o-y and EBIT up 42.2% to EUR 47.2m y-o-y as planned, thanks to credit loss improvements • Multitude Bank acquires a strategic stake in Lea Bank ASA in October 2024 • Antti Kumpulainen appointed as CEO of Mu
Slide 22: Thank you !
Thank you ! ir@multitude.com MULTITUDE p.l.c.