Slide 1: Review of Q1 2016
Evli Bank Plc Review of Q1 2016 Maunu Lehtimäki, CEO Juho Mikola, CFO 21.4.2016
Slide 2: Evli in brief
Evli in brief 3 business areas WEALTH MANAGEMENT MARKETS CORPORATE FINANCE over 200 investment specialists EUR EUR 9.5 25.1 % billion client assets under 15.4 return on equity management million revenue (1-3/2016 annualized) (3/2016) (Q1/2016) 1
Slide 3: Evli's key figures
Evli’s key figures Revenue (EURm) Return on Equity % (ROE) 64.2 25.1% 59.7 55.5 21.8% 48.3 20.2% 15.2% 11.5% 15.4 16.2 4.3% 2012 2013 2014 2015 2016Q1 2015Q1 2012 2013 2014 2015 2016Q1 2015Q1 Revenue split, 2016 Q1 Operating profit (EURm) & profit margin 13.3 Wealth Management (66%) 9.8 23% 21% 20%
Slide 4: Market development 2005-2016 Q1
Market development 2005-2016 Q1 Growth in fund assets in Finland 12/2005–3/2016 (EUR billion) Growth p.a. 12/05-3/16 Short term fixed Long term fixed Other funds +7,7% income Funds income Funds 105 Cumulative net +3,1% Balanced Funds Equity Funds subscriptions 90 +1,5% +10,1% 75 +12,6% 60 +7,5% 45 3
Slide 5: Clientele development
Clientele development Split of Evli’s clients based on the assets under management** 2012 – 2016 Q1 Evli has a strong presence among institutional investors A majority of Evli’s assets 24% 21% 22% 22% 22% under management are from institutional investors Evli’s clientele is focused on institut
Slide 6: Largest owners in Evli 31.3.2016
Largest owners in Evli 31.3.2016 Shareholders A Shares B Shares Shares total % of all shares % of votes 1. Oy Prandium Ab 3 803 280 950 820 4 754 100 20,39 22,29 2. Oy Scripo Ab 3 803 280 950 820 4 754 100 20,39 22,29 3. Oy Fincorp Ab 2 319 780 580 115 2 899 895 12,44 13,59 4. Ingman Group Oy Ab 1 8
Slide 7: Products and services
EVLI Products and services
Slide 8: Development of assets in Evli funds
Development of assets in Evli funds Development of assets in Evli’s mutual funds, Division of assets in Evli’s mutual funds, 2012 – March 31, 2016 (EUR billion) March 31, 2016 Growth, p.a. Amount Fund type 5.2 +14% 5.1 0.7 4.4 0.8 +12% 4.1 0.9 Fixed Income 0.7 64% 3.4 Fund 0.5 4.3 4.5 +14% 3.4 3.5 2
Slide 9: Performance of Evli's funds
Performance of Evli’s funds* 1 year 3 year 10 year net subscriptions, performance performance performance Morningstar- Fund fund size, m€ m€ (p.a.) (p.a.) (p.a.) rating* Fixed-income funds 3 359,3 30,7 Evli Taktinen Alfa-Korko 35,5 -60,9 -0,8 % 2,2 % 0,0 % Evli Yrityslaina 250,6 -21,2 -0,6 % 3,7
Slide 10: Evli's market share in mutual funds
Evli’s market share in mutual funds* Net Subscriptions Company Total Assets MEUR Market Share Rank Change YTD Unit holders YTD MEUR Nordea Funds Oy 36 816,17 38,4 % 1 0,6 % 1 267 646 500,10 OP-Rahastoyhtiö Oy 20 618,06 21,5 % 2 -0,8 % 638 032 -644,20 Danske Invest Rahastoyhtiö Oy 11 109,85 11,6 % 3
Slide 11: Composition of Evli's Assets under management
Composition of Evli’s Assets under management 9.4 9.5 0.4 0.4 1.4 1.4 7.4 Growth, p.a. 6.9 1.0 (2012 to 2016 Q1) 6.0 1.1 3.4 3.5 1.1 3.1 Direct investments in Evli 2.8 16% funds 2.2 4.1 4.1 2.7 3.0 3.2 Discretionary asset 14% management 2012 2013 2014 2015 2016 Q1 Discretionary asset management NHC
Slide 12: Brokerage revenues
Brokerage revenues 100% 90% 41% 42% 80% 44% 45% 45% 45% 45% 48% 50% 50% 50% 54% 54% 56% 56% 58% 60% 70% 60% 50% 40% 59% 58% 30% 56% 55% 55% 55% 55% 52% 50% 50% 50% 46% 46% 44% 44% 42% 40% 20% 10% 0% 1Q2012 2Q2012 3Q2012 4Q2012 1Q2013 2Q2013 3Q2013 4Q2013 1Q2014 2Q2014 3Q2014 4Q2014 1Q2015 2Q2015 3Q2
Slide 13: Evli Corporate Finance – chosen references
Evli Corporate Finance – chosen references
Slide 14: Financial data
Financial data EVLI
Slide 15: Profit and loss statement
Profit and loss statement EURm 2016 Q1 2015 Q1 2015 2014 2013 2012 Net interest 0,5 0,3 1,4 1,0 0,5 3,1 Net commissions 13,5 14,1 57,2 53,1 49,5 43,3 Net income from securities trading and FX 1,5 1,8 5,4 5,2 5,2 1,2 Other operative income 0,0 0,1 0,2 0,4 0,4 0,7 NET REVENUE 15,4 16,2 64,2 59,7 55,5
Slide 16: Balance sheet
Balance sheet ASSETS, EURm 31.3.2016 31.3.2015 31.12.2015 LIABILITIES, EURm 31.3.2016 31.3.2015 31.12.2015 Liquid assets 67,1 411,2 128,0 Liabilities to credit institutions and central banks 8,8 5,0 5,5 Debt securities eligible for refinancing with central Liabilities to the public and public sector
Slide 17: Key ratios
Key ratios un-audited audited 2016 Q1 2015 Q1 2015 2014 2013 2012 Return on equity-% (ROE) 25,1 % 21,8 % 20,2 % 15,2 % 11,5 % 4,3 % Cost-income ratio 0,80 0,77 0,79 0,84 0,88 0,93 Core BIS capital adequacy, % 17,4 % 14,0 % 19,2 % 15,2 % 13,9 % 14,6 % Earnings/Share, diluted (IFRS)* 0,17 0,12 0,53 0,
Slide 18: Segment profitability
Segment profitability Net revenue Profit before allocations 16.2 15.4 1.1 3.7 1.2 0.9 0 1.3 1.4 3.6 3.1 2.7 0.4 0.5 5.3 3.7 10.3 10.6 -1.6 -3 2016 Q1 2015 Q1 2016 Q1 2015 Q1 Wealth Management Corporate Finance Group operations Capital Markets and eliminations 17
Slide 19: Strategic KPI figures in line with targets
Strategic KPI figures in line with targets Assets under Management (Billion €) Recurring revenues to operational costs 10.0 9.4 9.5 0.4 0.4 9.0 100% 1.4 1.4 93% 8.0 89% 7.4 83% 6.9 79% 7.0 1.0 6.0 1.1 70% 6.0 1.1 5.0 4.0 7.6 7.7 3.0 6.3 5.9 4.9 2.0 1.0 - 2012 2013 2014 2015 2016Q1 2012* 2013* 2014 2
Slide 20: Strategic KPI figures in line with targets
Strategic KPI figures in line with targets Net fee income (M€) Return on Equity % (ROE) 57.2 25.1 % 53.1 49.5 20.2 % 15.2 % 11.5 % 13.5 4.3 % 2013 2014 2015 2016Q1 2012 2013 2014 2015 2016Q1 Net fee income Target rate for return on Return on Equity - (M€) Equity -% % 19
Slide 21: Cornerstones of Evli strategy – Simply Unique
Cornerstones of Evli strategy – Simply Unique EVLI’s core strenghts and uniqueness are built around: 1) a very strong customer experience (including offering, service and culture) and 2) product excellence, based on innovative spearhead ”institutional investor quality” products, supported by 3) stro
Slide 22: Themes for 2016
Themes for 2016 • Streamlining of core investment processes • Digitalization and client experience • Alternative investment products • International sales 21
Slide 23: Outlook for 2016 unchanged
Outlook for 2016 unchanged “Evli’s business performance has been strong in recent years, and interest in Evli’s services and products is expected to remain stable. In the Corporate Finance business, substantial fluctuations in annual profits are possible. The unit’s mandate base is at a healthy leve
Slide 24: Contact information
Contact information Evli Bank Plc Investor contacts Aleksanterinkatu 19, 4th floor Juho Mikola, CFO P.O. Box 1081 juho.mikola@evli.com 00101 Helsinki Tel. +358 9 4766 9871 www.evli.com Sari Paronen, IR Manager sari.paronen@evli.com Tel. +358 9 4766 9515 23