Lhv Group As · OMXTSE:LHV1T
Lhv Group As — Q4 2018 Earnings Presentation
16 slides from Lhv Group As's earnings presentation, Jan 29, 2019
Slide 1: LHV Group Q4 2018 results
LHV Group Q4 2018 results January 29, 2019
Slide 2: Greeting the new year with strong capitalization and growth
Greeting the new year with strong capitalization and growth For customers Other * Baltic shares trading in mobile bank * Intent of acquiring Versopank loan portfolio * Car insurance for leasing customers * Moody’s assigned investment grade rating to Bank * Change in regulation of investment funds *
Slide 3: Quarter with record loan growth and solid profit
LHV Group Quarter with record loan growth and solid profit Financial results, EURt Net interest income Net fee and commission income Other income Total revenue Total expenses Earnings before impairment Impairment losses on loans Income tax expense Net income Business volumes, EURm Deposits from cust
Slide 4: Comparison with financial plan
LHV Group — comparison with financial plan Net profit compared to financial plan +1.1 EURm Financial results, EURt 13 months Dec-18 YTD18 YTD17 FPYTD AYTDFP . Revenues are outperforming financial Total revenue, incl. A 5,775 70,024 67,675 +2,349 plan by 2.3 EURm and expenses by Net interest income v
Slide 5: LHV Banking: Strong year end in loan issuing
LHV Banking Strong year end in loan issuing EURm 1900 1450 1000, 550, 100 -350 FURm Q4-16 QT 2-17 © Regular customers’ deposits Q1-17 Q217 © Corporate loans Deposits 1,550 7% | 1,448 | | Q3-17 Q4-17 Q1-18 Q2-18 3-16 4-18 ® Financial intermediaries’ deposits Loans (net) Q3-17 Q417 1-18 02-18 Q3-18 04
Slide 6: LHV Banking: All business lines showed good revenue growth
LHV Banking All business lines showed good revenue growth Financial results, EURt 9 quarters Q4-18 Q3-18 A quarter * No exceptional revenues or Net interest income scueeneel 10,580 9,646 expenses affecting the quarter Net fee and commission income 2,465 2,587 result Other income 353 823 Total revenu
Slide 7: LHV Banking — comparison with financial plan
LHV Banking — comparison with financial plan Net profit ahead of updated financial plan by +1.0 EURm Financial results, EURt Total revenue, incl. Net interest income Net fee and commission income Total operating expenses Earnings before impairment Impairment losses on loans Income tax Net profit Bus
Slide 8: LHV Asset Management: LHV funds protected customer assets during rough year
LHV Asset Management LHV funds protected customer assets during rough year EURm Assets under management and customers 1500 AUM +10% 1214 4200 1103 — —— 900 600 300 0 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Pillar lI pensionfunds = Other funds — Active customers of Pillar II pensionfund
Slide 9: Financial reporting is subject to IFRS 15 starting from FY 2018
• • • • 9 Financial reporting is subject to IFRS 15 starting from FY 2018, historic periods presented without changes
Slide 10: Financial reporting is subject to IFRS 15 starting from FY 2018
• • • 10 Financial reporting is subject to IFRS 15 starting from FY 2018, historic periods presented without changes
Slide 11: Stock information
LHV Group Stock information EUR LHV stock price and tumover EUR 12 sm LHV daily turnover (EUR) 41 WVstock closing price (EUR) |ubdavuauhullus bhidesntllss lly, Vata Ao16 Jult6 = Cot 16 Jan 17, Apr 17, Jul?) Oct 17, Jan 18 Apr 18 = Jul 18 Oct 16 " isbaale lll eein Dynamics of LHV stock price and comp
Slide 12: 27.2 EURm Net profit; Best bank in Estonia
27.2 EURm 21% Net profit Pre-tax ROE Best bank in Estonia 27,700 Euromoney award Bank customer increase 12
Slide 13: Annexes
Annexes
Slide 14: Strong liquidity and capitalization
LHV Group Strong liquidity and capitalization % LCR 300 240 160 152 120 60 0 a af @ O38 a ai a a3 a 2017 2018 % CT1 capital adequacy 2 6 13.7 oo oe ee ee 124 a4 a1 @ aR of Of a oR ae 2017 2018 = LAV internal Tier 1 ratio limit 14 Loan-deposit ratio % 100 co I I | 40 20 0 04 Ot a aR a4 a1 @ aa as 201
Slide 15: Loan portfolio quality influenced by loans to a few specific customers
LHV Group Loan portfolio quality influenced by loans to a few specific customers % Corporate loans by ratings 30 2 20 15 10 : I 0 i 1900 460«7 a 9 1012 13 OMT 03-18 504-18 EURm LHV Finance loans overdue porfolio 18 02 = _-= = eee e 12 06 g a4 Qt a2 03 G4 at a2 a3 a4 2017 2018 loan impaiments = over
Slide 16: AS LHV Group contact details
AS LHV GROUP TARTU MNT 2, TALLINN 6 802 670 INFO@LHV.EE LHV.EE