Cembra Money Bank Ag · SIX:CMBN
Cembra Money Bank — Investor Presentation (September 2021)
31 slides from Cembra Money Bank's investor presentation, September 2021
Slide 1: Cembra Investor presentation September 2021
Cembra A leading player in financing solutions and services in Switzerland Investor presentation September 2021 Cembra
Slide 2: Agenda
Agenda 1. Cembra at a glance 2. H1 2021 results 3. Outlook Appendix 2 September 2021 Investor presentation Cembra
Slide 3: Cembra at a glance
Cembra at a glance Cembra at a glance A leading player in financing solutions and services in Switzerland Who we are Key figures Net revenues FY 2020 (CHF) ■ Independent consumer finance specialist exclusively operating in Switzerland 2% ■ Serving more than 1 million customers through diversified di
Slide 4: Market positions
Cembra at a glance Market positions Serving more than 1 million customers in Switzerland Personal loans: 41% market share Auto business: 21% market share Credit cards: 13% market share 30 June 2021 personal loan receivables 30 June 2021 leasing receivables (ZEK, estimates) 30 June 2021 credit cards
Slide 5: Credit cards
Cembra at a glance Credit cards Continued attractive business, with opportunities for profitable growth 79% of revenues not related to Migros Termination of partnership: manageable impact Opportunities for profitable growth Share of net revenues as % of total (in CHF m) Time plan ■ Significant Cumul
Slide 6: Long-term risk performance
Cembra at a glance Long-term risk performance High quality of assets – loss performance stable over the long term Loss rate NPL and delinquencies Reported Adjusted for one-off 3% 30+ days past due 2% 1.0 1.1 1.0 1.0 1% Non-performing loans (NPL)¹ 0.8 0.9 0.9 0.7 0.5 0% Jun’08 Jun’12 Jun’09 Jun’20 Ju
Slide 7: Capital management
Cembra at a glance Capital management Effective use of capital with continuous dividend payouts since the IPO Capital position Dividends Tier 1 capital ratio as % CHF per share Extraordinary dividend 4.45 from excess capital 22% 20.6% 19.8% 20.0% 3.75 3.75 3.75 20% 19.7% 19.2% 19.2% 3.35 3.55 18.3%
Slide 8: Sustainability
Cembra at a glance Sustainability ESG recognition considerably improved ESG performance External recognition “Low ESG risk” rating2 confirmed in April 2021, and Cembra Governance ■ Strong and consistent governance structure since the IPO, with an independent and diverse board 1 ranked Top 12% in the
Slide 9: Agenda
Agenda 1. Cembra at a glance 2. H1 2021 results 3. Outlook Appendix 9 September 2021 Investor presentation Cembra
Slide 10: H1 2021 performance
H1 2021 results H1 2021 performance Robust business performance Highlights Net income Net financing receivables Net revenues in CHF m in CHF m in CHF m ■ Net income of CHF 78.7 million (+6%) Net Interest Income ■ Resilient net financing receivables +6% -1% Commission and fees -5% (-1%), with gradual
Slide 11: H1 2021 products and markets
H1 2021 results H1 2021 products and markets Overall resilient performance in a tough market environment Personal loans Auto loans and leases Credit cards Consumer loans market, in CHF bn Leasing market, in CHF bn Transaction volumes, in CHF bn (first five months) Market environment 0% +8% -1% 8.66
Slide 12: H1 2021 Card transaction volumes and revenues
H1 2021 results H1 2021 Card transaction volumes and revenues Strong volume recovery since May Annual growth Monthly volume In CHF m In CHF m +11% 520 533 Transaction volumes 490 503 491 510 479 468 480 470 456 471 452 417 391 372 377 319 2,508 2,773 H1 2020 H1 2021 1st lockdown 2nd lockdown -2% 77
Slide 13: H1 2021 Trend in net financing receivables
H1 2021 results H1 2021 Trend in net financing receivables Receivables 1% lower, with positive trend since the second quarter Net financing receivables (month-end period, month by month) Comments in CHF m 6,300 -1% Cembra 6,200 6,206 • Slight decrease of assets driven by Covid-19 restrictions with g
Slide 14: H1 2021 Funding
H1 2021 results H1 2021 Funding Well-balanced and diversified funding profile Funding mix Funding programmes In CHF m1 6,145 AT1 subordinated One issuance, remaining term to first 5,849 5,809 150 call of 3.4 yrs. at a rate of 2.50%4 Non-Deposits – 43% 250 150 150 250 250 1,725 Convertible bond One i
Slide 15: H1 2021 Provision for losses
H1 2021 results H1 2021 Provision for losses Excellent underlying loss performance Provision for losses 30+ days past due/NPL In CHF m 30.2 3% 30+ days past due 23.9 22.6² Reported 1.9% 2.0% 2.1% 21.1 22.0¹ 1.9% 1.8% Adjusted for one-off¹,² 2% Non-performing loans (NPL)4 1% 0.6% 0.7% 0.7% 0.4% 0.5%
Slide 16: Agenda
Agenda 1. Cembra at a glance 2. H1 2021 results 3. Outlook Appendix 16 September 2021 Investor presentation Cembra
Slide 17: Our focus areas going forward
Outlook Our focus areas going forward Strategic assessment Trends and implications Building on our strengths ■ Ambition – Define proper ambition as playmaker, given our market position ■ Attractive market … consumer needs for credit remains. Cembra has an edge ■ Customer obsession –Leverage deep cus
Slide 18: Outlook
Outlook Outlook Resilient business performance expected in 2021 – mid-term targets confirmed Business priorities H2 2021 Outlook 20211 ■ Accelerate recovery ■ In 2021, Cembra currently expects to deliver a resilient business • Capitalise on economic rebound performance with revenues being impacted b
Slide 19: Agenda
Agenda 1. Cembra at a glance 2. H1 2021 results 3. Outlook Appendix 19 September 2021 Investor presentation Cembra
Slide 20: Macroeconomic outlook
Appendix Macroeconomic outlook Swiss economy expected to rebound by 3.6% in 20211 GDP in Switzerland CHF interest rates Unemployment rate in Switzerland Change vs. previous period as % End-of-period 3-year swap rates as % As %, average per period 4 3.6 3.3 3.0 2 1.7 0.5 5 1.1 0 4 0.0 3.1 3.1 3.1 3 2
Slide 21: H1 2021 P&L
Appendix H1 2021 P&L In CHF m H1 2021 H1 2020 as % Comments Interest income 191.2 203.0 -6 1 Lower interest income largely driven by the 5 Provision for losses including a one-time Interest expense -13.2 -13.7 -4 impact of Covid-19-related restrictions on effect of CHF 8.2m for a sale of loss Net in
Slide 22: H1 2021 Net revenues by source
Appendix H1 2021 Net revenues by source In CHF m Revenues by source Personal loans Auto leases and loans Credit cards Net financing receivables Net financing receivables Net financing receivables -5% -1% 249 -4% 2,853 +6% 2,816 2,823 2,531 2,408 2,303 983 970 1,025 236 60 58 30.06.20 31.12.20 30.06.
Slide 23: H1 2021 Operating expenses
Appendix H1 2021 Operating expenses . In CHF m H1 2021 H1 2020 as % Comments Compensation and benefits 1 68.5 65.8 4 1 Driven mainly by higher average salaries, 6 Lower amortisation driven by ending useful Professional services 2 7.9 9.4 -17 accruals for variable compensation, and life of assets rel
Slide 24: H1 2021 Balance sheet
Appendix H1 2021 Balance sheet In CHF m Assets 30.06.21 31.12.20 as % Comments Cash and equivalents 553 599 -8 1 Lower net financing receivables mainly driven by 2 Funding in line with financing receivables Net financing receivables 1 6,206 6,293 -1 the extended impact of Covid-19 on consumer financ
Slide 25: H1 2021 Capital position
Appendix H1 2021 Capital position 18.3% Tier 1 ratio Tier 1 capital walk1 Risk-weighted assets In CHF m In CHF m 18.3% -1% 17.7% 55 1.028 1.000 63 20 5,662 5,620 31.12.2020 Statutory Dividend 2 Goodwill & other 30.06.2021 31.12.2020 30.06.2021 net income intangible assets Per share data H1 2021 FY 2
Slide 26: History
Appendix History Foundation –“Banque Launched credit Launched saving First public IPO at SIX Launched eny Finance Launched commerciale et agricole cards through products for retail Auto ABS Swiss FNAC cards transaction IKEA cards E. Uldry & Cie” in Fribourg Migros partnership and institutions in CH
Slide 27: Key figures over 10 years
Appendix Key figures over 10 years US GAAP 2012 IPO 2013 2014 2015 2016 2017 2018 2019 2020 H1 2021 Net revenues (CHF m) 356 355 379 389 394 396 439 480 497 236 Net income (CHF m) 133 133 140 145 144 145 154 159 153 79 Cost/income ratio (%) 46.2 50.5 42.5 41.5 42.5 42.4 44.0 48.3 49.8 52.6 Net fin r
Slide 28: Glossary of key figures
Appendix Glossary of key figures including alternative performance measures To measure its performance, Cembra uses some key figures that are not defined under US GAAP. This glossary provides definitions of alternative performance measures (APM) and other key figures Key figures (including APM) Defi
Slide 29: The Cembra share
Appendix The Cembra share Shareholder structure: 98% free float Institutional owners by domicile1 Based on nominal share capital of CHF 30m, as %, 30 June 2021 Others Own shares UK 7% 2% 8% 18% ~14,000 registered private shareholders EU 10% 55% Switzerland 20% 80% US incl. CND ~1,100 institutional i
Slide 30: Cautionary statement regarding forward-looking statements
Appendix Cautionary statement regarding forward-looking statements This presentation by Cembra Money Bank AG (“the Group”) includes forward-looking statements that reflect the Group’s intentions, beliefs or current expectations and projections about the Group’s future results of operations, financia
Slide 31: Calendar and further information
Calendar and further information Visit us at www.cembra.ch/investors Corporate events Investor conferences, roadshows and calls TBA December 2022 Investor day, Zurich 16 September 2021 UBS Best of Switzerland conference, Zurich 16 February 2022 Publication 2021 full-year results 20 September 2021 Ba
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