12 slides from Agf Management Limited Class B's earnings presentation, Jun 24, 2020
Slide 1: AGF Management Limited Earnings Conference Call Q2 2020
AGF Management Limited Earnings Conference Call Second Quarter 2020 June 24th, 2020
Slide 2: Caution Regarding Forward-Looking Statements
Caution Regarding Forward-Looking Statements The forward looking information is provided as of June 24th, 2020. Certain information presented in these remarks and in this presentation that is not historical factual information may constitute forward-looking information within the meaning of securiti
Slide 3: Conference Call Participants
Conference Call Participants Presenting Kevin McCreadie, CFA, MBA Chief Executive Officer & Chief Investment Officer Adrian Basaraba, CPA, CA, CFA Senior Vice-President & Chief Financial Officer Available for questions Judy G. Goldring, LL.B, LL.D, ICD.D President & Head of Global Distribution 3
Slide 4: Today's Discussion
Today’s Discussion • Smith & Williamson and Tilney Merger • Highlights of the 2nd Quarter of Fiscal 2020 • Business Updates • Financial Results • Capital & Liquidity • Focus & Priorities 4
Slide 5: Q2 2020 Highlights
Q2 2020 Highlights Continued progress toward stated objectives EIF II achieved Private Alternatives final close AUM reaches USD $1.2 billion $2.9 billion Supported clients Finalist for four in navigating SG&A efficiency Wealth Professional unprecedented initiative on track market conditions Awards 5
Slide 6: Line of Business Performance
Line of Business Performance ($ millions) Q2 2019 Q2 2020 Change Mutual funds 18,725 18,259 (2%) Institutional, Sub-advisory & ETF 11,712 9,591 (18%) Private Client 5,722 5,624 (2%) Private Alternatives 2,179 2,862 31% Total 38,338 36,336 (5%) 6
Slide 7: Mutual Fund Business Review
Mutual Fund Business Review IFIC Industry Net Sales ($B)1 AGF Retail Mutual Fund Net Sales ($M)2 2.9 0.5 (93) (141) (169) (15.1) Q2 2018 Q2 2019 Q2 2020 Q2 2019 Q1 2020 Q2 2020 (1) Industry long-term funds net sales per IFIC. (2) Retail mutual fund net sales (redemptions) calculated as reported mutu
Slide 8: Financial Results
Financial Results Adjusted for one-time items noted in the MD&A and restated for IFRS 161,2 Sequential Quarter Year Over Year Continuing Operations ($ millions, except per share amounts) Q2-20 Q1-20 Variance Q2-20 Q2-19 Variance Revenue 89.0 106.7 (16.6%) 89.0 109.8 (18.9%) SG&A 40.2 45.3 11.3% 40.2
Slide 9: Financial Results – BPS Detail
Financial Results – BPS Detail1,2 (bps of average AUM) Q2-20 TTM Average AUM excl. Private Alternatives ($B)3 32.8 35.1 Average Mutual Fund 17.4 18.7 Average Institutional, Sub-Advisory, ETFs & 15.4 16.4 Private Client Revenue (bps)4 108 109 Less: Trailer Fees (bps) 33 34 SG&A (bps)5 49 51 EBITDA be
Slide 10: Capital & Liquidity
Capital & Liquidity 60 4 4 50 54 53 51 51 3 49 40 3 ($ millions) 2 30 2 20 1 46% 49% 47% 49% 51% 1 10 0 - (1) TTM Q2-FY19 TTM Q3-FY19 TTM Q4-FY19 TTM Q1-FY20 TTM Q2-FY20 TTM FCF TTM Dividend to FCF % 10
Slide 11: 2020 Focus & Priorities
2020 Focus & Priorities Deliver Position AGF Meet expense Drive the to reach guidance of consistent and repeatable organization to $5 billion $180 million sustainable in private while continuing investment net inflows alternative to invest in key performance assets growth areas 11
Slide 12: Thank You!
Thank You! To learn more about AGF’s history visit: www.agf.com/ca/en/about- agf/our-story