Slide 1: 2019 Preliminary results
ferratum 2019 Preliminary results IFRS unaudited financial results for the full | year 2019 ended 31 December 2019 18 March 2020
Slide 2: Forward-looking statements disclaimer
This presentation contains, or may be deemed to identify forward-looking statements. contain, forward-looking statements. These By their nature, forward-looking statements involve statements relate to future events or future financial risks and uncertainties because they relate to events Nothing in
Slide 3: Highlights 2019 & Overview
ferratum Highlights 2019 & Overview s
Slide 4: Fast, easy & digital financial solutions
Years of profitable Countries growth Consumer Business Mobile Bank Loans loans (incl. Primeloan) 89% of revenues 10% of revenues 1% of revenues Founded EU Banking Frankfurt Fast, easy & Helsinki 2005 Licence Prime Standard digital financial solutions • Guidance achieved: EBIT at EUR 45.5m (y-o-y + 2
Slide 5: Management focus and key priorities in 2019
Management focus and key priorities in Highlights 2019 Focus on profitability: • EBIT up by +20.5% to EUR 45.5 million (margin: 15.5%) and EBT grew at +23.3% to EUR 27.5m (margin: 9.4%). Strong EBIT and EBT growth in 2019 Management attention on operating • Profit before risk reserve up by +23% to E
Slide 6: Products and average loan value
Average Average Revenue 2019 Revenues by Active Products Loan Comments Loan Value Share Product (€,000) Markets Term Primeloan 2018 1 468 (incl. Mobile Bank) +241% y-o-y • Primeloan in the ramp-up phase with focus on €6,624 5.3 years 1.2% 2019 4 (4) €3,000 – €20,000 / 3 543 product and risk optimiza
Slide 7: Business lending: established in 2016
Profitable revenue growth CAGR (16-19) by 59% Revenue performance (EUR) +32% Business lending: established in 2016 27,8 30 25 59% Six markets FI, SE, DK, NL, UK, LT CAGR +60% 21,0 20 Loan Amount + EUR 2K - 250K (Avg. c. EUR 13K); 6– +205% 13,1 Terms 24 months (Avg. c. 15) 15 10 5 4,3 0 2016 2017 201
Slide 8: Leadership team changes
Pieter van Groos • The former Chairman of the Board of the Group, was appointed as Ferratum Bank CEO (subject to MFSA approval) in April 2019. Pieter has stepped down from this position and the related approval process. The daily oversight and lead of operations of Ferratum Bank continue to be with
Slide 9: Financial Highlights
ferratum Financial: Highlights ferratum §&
Slide 10: Revenue growth and profit development
in EUR m 2019 2018 % change ▪ Revenue growth at 11.8%, main growth drivers Credit Limit and Business Lending Revenue 293.1 262.1 11.8% ▪ Strong profit growth driven by scale effects and cost discipline: EBIT 45.5 37.8 20.5% EBIT +20.5 %, EBT +23.3% and EPS by +22.7% y-o-y in% of Revenue 15.5% 14.4%
Slide 11: Net loans to customers and impairments
in EUR m 2019 2018 % change ▪ Net loans to customers up by +20.4% (EUR 65m) mainly related to growth in Credit Limit and Business Lending Net loans to customers 386.2 320.5 20.5% ▪ Impairment on loans in% of net loans to customers were stable at 27.4% and increased by Profit before loan losses 162.0
Slide 12: Operating expenses
in EUR m 2019 2018 % change ▪ Total operating expenses were stable at EUR Revenue 293.1 262.1 11.8% 131.2m. Major drivers have been: Personnel Expenses 43.9 43.8 0.3% • Increased marketing efficiency and focus in% of Revenue 15.0% 16.7% on sales related campaigns decreased Selling and marketing expe
Slide 13: Product segment results
▪ Microloan: decreasing in EUR ‘000 Mobile Bank and Microloan PlusLoan Credit Limit SME Primeloan Total absolute and relative terms as per strategy FY 2019 FY 2018 FY 2019 FY 2018 FY 2019 FY 2018 FY 2019 FY 2018 FY 2019 FY 2018 FY 2019 FY 2018 Revenue 36,974 41,709 65,711 65,641 159,035 132,321 27,8
Slide 14: Balance sheet
14 EUR ‘000 31 Dec 2019 31 Dec 2018 % Change EUR ‘000 31 Dec 2019 31 Dec 2018 % Change Assets Equity and liabilities Non-current assets 60,512 54,902 +10.2% Equity 129,138 107,380 +21.0% Accounts receivable – customer loans Non-current liabilities 174, 236 138,276 +26.1% 386,167 320,538 +20.5% (net)
Slide 15: Funding and debt maturities
10 €25M €100M 9 €100M €80M 8 €40M €40M 7 6 €20M €30M 5 €183.4M €242M 4 3 2 1 0 2015 2016 2017 2018 2019 Ferratum Capital Germany 4.875% 2019 Nordea Credit Line (of which 7,6 (repaid in June 2019) million used at December 31, 2019) Ferratum Bank 6.25% + 3m Euribor 2020 Deposits Ferratum Capital Germa
Slide 16: Outlook 2020
ferratum Outlook 2020 ~
Slide 17: Well positioned to face new challenges; early actions
Payment behaviour and impairments Ferratum is well positioned to face new challenges • Payment behaviour of existing customers • The group has a strong liquidity and equity level may deteriorate in the near future, implying • Actions to increase operational efficiency started in 2019 an additional i
Slide 18: Covid-19 outbreak likely to impact 2020 performance
The global Covid-19 outbreak will most likely impact Ferratum’s business performance in 2020 • The Board expects revenue and EBIT to materially decrease compared to 2019. • Taking into consideration the current macro-economic uncertainty, impairment levels are expected to increase during 2020. An ex
Slide 19: Contacts and financial calendar
Date Financial Calendar Events Bernd Egger Jochen Reichert 26.03.2020 Ferratum Group: full year 2019 results Chief Financial Officer Advisor, Investor Relations 23.04.2020 Ferratum Group: Annual General Meeting Telephone: + 49 173 7931235 e-Mail: jochen.reichert (at) ferratum.com 28.04.2020 Ferratum
Slide 20: Shareholder structure
Jorma Jokela Universal Investment Gesellschaft mbH Ferratum Oyj* Dorval AM 31.52% Total Free Float** Other shareholders 55.05% 7.67% 5.09% 0.67%* All information of shareholders holding based on the latest shareholder notifications received * Treasury shares held by Ferratum Oyj (no voting right and