33 slides from Fiera Capital Corporation Class A's earnings presentation, Aug 12, 2021
Slide 1: Q2 2021 Results
August 12, 2021 Q2 2021 Results
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements within the meaning of applicable Canadian securities legislation. These forward-looking statements relate to future events or future performance, and reflect management’s expectations or beliefs regarding future events,
Slide 3: Conference Call Participants
Conference Call Participants Jean-Guy Desjardins Chairman of the Board and Chief Executive Officer Jean-Philippe Lemay Global President and Chief Operating Officer Lucas Pontillo Executive Vice President and Global Chief Financial Officer 3
Slide 4: Topics for Discussion
Topics for Discussion Q2 2021 highlights AUM Business performance Financial performance Investment performance Partnership with StonePine Asset Management 4
Slide 5: Q2 2021 Highlights
Q2 2021 Highlights AUM $6.6B increase ( 3.8%) in Q2 2021 $179.5B as at $7.2B increase ( 4.2%) over the last twelve months June 30, 2021 Basic Adjusted EPS of $0.39 per share Compared to $0.38 in Q2 2020 Adjusted EBITDA of $52.7M Financial Performance Compared to $51.9M in Q2 2020 ( 1.5 %) E
Slide 6: AUM of $179.5B as at June 30, 2021
AUM of $179.5B as at June 30, 2021 LTM June 30, 2021 Flows ($B) Total AUM increased by $7.2B, or 4.2%, compared to June 30, 2020, as a result of: FX-adjusted market impact of $20.1B Net organic growth of $2.2B Inclusion of the Fiera Atlas team’s AUM of $0.9B Partly offset by The sale of Bel
Slide 7: Q2 2021 Organic Growth Update
Q2 2021 Organic Growth Update Q2 Net Sales and Net New Subscriptions Expected to Contribute ~$2.8M to Annualized Revenues Flows by Distribution New Mandates Net New Lost Contributions from Net Channel ($B) Subscriptions1 Mandates Existing Clients Organic Growth Institutional 1.3 - (0.4) (1.1) (0.3)
Slide 8: Estimated Organic Revenue Growth
Estimated Organic Revenue Growth Net Organic Growth ($B) Q2 2021 Q1 2021 H1 2021 LTM June 30, Committed Data presented excluding AUM and revenues 2021 undeployed related to dispositions1 Capital2 Institutional AUM (0.3) 0.9 0.7 2.1 1.2 Financial Intermediaries AUM (1.4) 1.6 0.1 (0.4) 0.0 Private Wea
Slide 9: Focused on Global Equity and Private Markets Solutions To Drive Future Growth
Focused on Global Equity and Private Markets Solutions To Drive Future Growth Global Equity Update Private Markets Update Public Markets AUM of $165.5B, as at June 30, 2021, Private Markets AUM of $14.0B, an increase of $0.4B an increase of $6.2B compared to March 31, 2021 in Q2 2021 Fiera Atlas g
Slide 10: Total Revenues up $0.5M Year Over Year
Total Revenues up $0.5M Year Over Year Excluding the Impact of 4 Dispositions1, Y-o-Y Revenues up $27.6M, or 20% Revenues ($M) Excluding the impact of divestitures 137.0 143.5 169.1 150.1 164.6 Last twelve months (“LTM”) ($M) 693.0 703.9 695.1 699.1 699.7 LTM Excluding the impact of 567.2 581.8 579.
Slide 11: Selling, General and Administrative Expenses (SG&A)
Selling, General and Administrative Expenses (SG&A) SG&A ($M) SG&A ($M) – Excluding Dispositions1 Q2 2021 vs Q2 2020 0.3% 20.1% 2.1% 16.7% SG&A ($M) SG&A ($M) – Excluding Dispositions1 Q2 2021 vs Q1 2021 1.1% 9.7% 1.2% 6.3% SG&A Total Revenues 1) Dispositions include: the sale of the
Slide 12: Net Earnings & Adjusted Net Earnings
Net Earnings1 & Adjusted Net Earnings1,2 Reconciliation of Q2 2021 Adjusted net earnings1,2 ($M) $0.13 per share basic $0.39 per share basic ($0.12 diluted) ($0.36 diluted) 1) Attributable to Company shareholders 2) Earnings before interest, taxes, depreciation and amortization (EBITDA), Adjusted EB
Slide 13: Adjusted EBITDA and Adjusted EBITDA Margin
Adjusted EBITDA1 and Adjusted EBITDA Margin1 Quarterly Last Twelve Months 2 2 LTM Adjusted EBITDA margin trending above 30% 1) Earnings before interest, taxes, depreciation and amortization (EBITDA), Adjusted EBITDA and Adjusted EBITDA per share, Adjusted net earnings and Adjusted net earnings per s
Slide 14: Financial Leverage trending downward; Funded Debt at Lowest Three-Year Level
Financial Leverage trending downward Funded Debt at Lowest Three-Year Level Net Debt1 ($M) Funded Debt2 ($M) Leverage Ratios Net Debt3 Funded Debt4 1. Represents the carrying amounts of long-term debt, net and convertible debt, net, net of cash and cash equivalents, as reported in the condensed cons
Slide 15: Committed to Returning Value to Shareholders
Committed to Returning Value to Shareholders YTD 2021 – $50.7M Returned to Shareholders Dividends $43.6M dividends paid to shareholders in H1 2021 On August 11, 2021, dividend declared of $0.21/share (payable in September 2021) Normal Course Issuer Bid (“NCIB”) 620,263 class A shares subordina
Slide 16: Investment Performance Update
Investment Performance Update1 96% of equity AUM and 97% of fixed income AUM beating benchmarks over 3 years2 Key Public Market Q2 2021 1-Year 3-Year Investment Strategies1 Added Added Added Return Return Return value Value Value Equity Investment Strategies Atlas Global Companies 11.77% 5.62% 31.09
Slide 17: Investment Performance Update: Select Private Markets Investment Strategies
Investment Performance Update1 Select Private Markets Investment Strategies Return2 Gross IRR3 1-YR Q2 2021 Absolute (since inception) Absolute Return4 Return4 Real Estate Fiera Real Estate CORE Fund L.P. 8.59% - 4.82% 14.75% Fiera Real Estate Small Cap Industrial Fund L.P. 13.95% - 4.79% 21.34% Inf
Slide 18: Sub-Advisory Partnership with StonePine
Sub-Advisory Partnership with StonePine On August 11, 2021, announced sub-advisory partnership with StonePine, led by Nadim Rizk, head of Fiera Capital’s Montreal-based Global Equity team Partnership is the outcome of thorough strategic planning and risk management by Fiera Capital Designed to pre
Slide 19: Benefits of the Sub-Advisory Partnership
Benefits of the Sub-Advisory Partnership 19
Slide 20: APPENDIX A Who We Are
<> FIERACAPITAL APPENDIX A Who We Are
Slide 21: Fiera Capital: A Values-Driven, Leading Independent Asset Manager
Fiera Capital A Values-Driven, Leading Independent Asset Manager FOUNDED 2003 ASSET MANAGER RANKING (by AUM) AUM C$179.5 billion1 SYMBOL (TSX) FSZ.TO 3rd 62nd 142 nd MARKET CAP C$1,149 million4 Canada2 North America3 Global3 Leading, independent asset management firm with a growing global presence a
Slide 22: Growing our Portfolio Through a Competitive Investment Offering
Growing our Portfolio Through a Competitive Investment Offering AUM ($B) LTM Revenues ($M) 1) Dispositions include: the sale of the rights to manage the retail mutual funds of Fiera Investments LP in June 2020; the sale of WGAM in December 2020; the sale of Bel Air in March 2021; and the termination
Slide 23: Expanding our Global Footprint
Expanding our Global Footprint APPROXIMATELY 810 employees INCLUDING SOME 250 INVESTMENT PROFESSIONALS Calgary Halifax London Toronto Montreal Frankfurt Boston Dayton New York Hong Kong Singapore As at June 30, 2021 23 23
Slide 24: Revenue Diversification
Revenue Diversification Q2 2021 Total Revenues – $167.4M By Geography By Distribution Channel By Asset Class1 Canada 57% Institutional 47% Equity 68% U.S. 26% Financial intermediaries 30% Fixed income 16% Europe and other 17% Private wealth 13% Private alternatives 15% Other 10% Liquid alternatives
Slide 25: Underpinned by a Diversified Asset Base
Underpinned by a Diversified Asset Base AUM as at June 30, 2021 – $179.5B By Geography By Distribution Channel By Asset Class Canada 64% Institutional 51% Equity 51% U.S. 24% Financial intermediaries 41% Fixed income 40% Europe and other 12% Private wealth 8% Private alternatives 8% Liquid alternati
Slide 26: Committed to Responsible Investing
Committed to Responsible Investing 2002 2009 2014 2016 2017 2018 2019 2020 New Global Signatory of Proxy Voting Launched our Established Member of the Subscribed to Updated Proxy Established the United Policy first Impact Proxy Voting Canadian MSCI ESG Voting Policy & Global ESG Nations Fund and Pol
Slide 27: Our Strategy – Investment Approach
Our Strategy – Investment Approach We differentiate ourselves by 1 2 3 Offering Delivering True Leading Customized Alpha in Alternatives Solutions 27
Slide 28: Breadth of Innovative Investment Solutions
Breadth of Innovative Investment Solutions ASSET ALLOCATION BALANCED MANDATES OVERLAY STRATEGIES ADVISORY Public Markets Private Markets Large Cap Equity strategies $5.5B Real Estate $91.6B Small Cap, Emerging and Frontier Strategies $4.7B Private Debt $165.5B Canadian Active Universe Strategies $14
Slide 29: Committed to Long-Term Investment Excellence
Committed to Long-Term Investment Excellence Over 90% of AUM Beating Benchmarks1 Equity Fixed Income 1) Percentages exclude AUM in segregated accounts managed on behalf of private wealth clients, discretionary accounts, Asia-based accounts, private alternative investment strategies and accounts for
Slide 30: APPENDIX B Returning Value to Shareholders
APPENDIX B Returning Value to Shareholders 30
Slide 31: Rewarding Shareholders
Rewarding Shareholders ($ per share) 1,2 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 EPS) as well as non-cash items are not standardized measures prescri
Slide 32: Thank You
Thank You Investor Relations Contact: Mariem Elsayed Director, Investor Relations melsayed@fieracapital.com T 514 954-6619 32
Slide 33: Important Disclosures
Important Disclosures Fiera Capital Corporation is a global asset management firm with affiliates in various jurisdictions (collectively, “Fiera Capital”). The information and opinions expressed herein are provided for informational purposes only. It is subject to change and should not be relied upo