Slide 1: Instabank Interim Presentation Q2/2018
Instabank Interim Presentation – Q2/2018 – August 13 th 2018 instabank.no www.instabank.no
Slide 2: Important information and disclaimer
Important information and disclaimer THIS PRESENTATION (THE “PRESENTATION”) HAS BEEN PRODUCED BY INSTABANK ASA (THE “COMPANY” OR “INSTABANK”), SOLELY FOR USE AT THE PRESENTATION TO INVESTORS AND IS STRICTLY CONFIDENTIAL AND MAY NOT BE REPRODUCED OR REDISTRIBUTED, IN WHOLE OR IN PART, TO ANY OTHER PE
Slide 3: Key highlights & developments Q2-2018
Key highlights & developments Q2-2018 Q2 profit of NOK 6.7 million Q1 profit was NOK 4.0 million Continued high loan growth NOK 266 million during Q2 Successful Private Placement Private placement with gross proceeds of 62,4 MNOK Launched new sales finance product New sales finance product (
Slide 4: Key figures Q2-2018
Key figures Q2-2018 Quarterly growth in net loans of NOK 266 million Outstanding net loans of NOK 1,835 million Customer deposits of NOK 1,945 million Total income of NOK 44.8 million Net profit after tax of NOK 6.7 million Total equity of NOK 379 million Operating expenses & loan loss
Slide 5: Product portfolio | Transparent and simple
Product portfolio | Transparent and simple Unsecured consumer loans Deposit accounts Insurance products Point of sales financing ▪ Offered to private consumers older ▪ Offered to private individuals in Norway ▪ Offered to private individuals in Norway ▪ Complete offering already in place: than 23 ye
Slide 6: Distribution channels | Several customer in-roads
Distribution channels | Several customer in-roads Brand distribution Agent distribution Partner distribution + potential new partners Brand Agent Partner distribution volume as of Q2-18 40% distribution volume as of Q2-18 57% distribution volume as of Q2-18 3% 6 DRAFT
Slide 7: Geographical presence | Gradual expansion strategy
Geographical presence | Gradual expansion strategy Cross-boarder expansion strategy Illustration of geographical presence Net loans distribution (%) * ▪ Operational platform capable of fast, agile and cost-efficient cross-boarder CURRENT FOOTPRINT expansion already in place 6,0 % POTENTIAL MARKETS ▪
Slide 8: Continued high loan growth
Continued high loan growth Net loans to customers Number of loan customers Key comments MNOK # 18 000 ▪ Strong emphasis on 16 000 2 000 1 835 16 000 marketing to strengthen brand awareness and to 1 800 1 569 14 000 boost sales 1 600 1 400 1 318 12 000 11 000 1 093 ▪ Strong focus on sales 8 475 1 200
Slide 9: Continued profitability
Continued profitability Total income Net result after tax MNOK MNOK 6,7 50 8 44,8 45 6 40 38,0 4,0 4 2,2 2,1 35 32,1 1,2 30,5 2 30 0 25 23,7 -2 20 15,0 -4 -3,2 15 -6 6,0 10 -8 5 -8,0 -10 0 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 9
Slide 10: Disciplined cost control
Disciplined cost control Operating expenses by category Key comments MNOK ▪ Operating expenses developing 26,0 according to plan 25,4 25,0 1,2 1,4 ▪ Increased «Other administrative Depreciation and amortisation 20,0 20,5 6,1 expenses» due to investments in 18,8 7,1 20,0 0,7 0,9 point of sales produc
Slide 11: Well balanced credit risk management
Well balanced credit risk management Impairment losses Past due days at end of quarter 30,0 % MNOK 26,5% 26,3% 12,0 3,5% 23.7% 25 .0 % 23.7% 25 .0 % 22.9% 22.9% 9,8 25,0 % 23,7% 22,9% 23,7% 3.5 % 5,5% 18.9% 6,1% 10,0 3,0% 4.7 % 4.7 % 4.3% 4.3% 18.9% 4,7 % 20 .0 % 20 .0 % 3.0 % 7,6 7,9 18,8% 4,3% 1,0
Slide 12: Balance sheet structure
Balance sheet structure Assets and liabilities & equity Key financial ratios MNOK 2 394 2 111 2 229 100% 160% Other assets 2500 90% 146% 140% 2000 137% Certificates and bonds 80% 1 323 118% 120% 1500 70% 115% 1 011 106% Loans to customers 68% 97% 97% 100% 845 60% 1000 527 50% 59% 80% Loans and depos
Slide 13: Funding costs and yields
Funding costs and yields Development in yields and funding costs Key comments 17,0% ▪ Attractive interest rate, affected by mix of products, distribution 13,6% 13,4% 13,2% 13,0% 12,9% 12,0% 12,8% 12,8% channel, and risk assessment ▪ Stable funding cost 7,0% ▪ Low yield on liquidity, reflecting 1,9%
Slide 14: Instabank outlook
Instabank outlook Strategy ▪ Exploring opportunities for further geographical expansion ▪ More products to diversify and attract new retail & online partners ▪ Continued focus on data insight, operational efficiency and optimal credit decision processes Continued strong profitable growth Near term f
Slide 15: Appendix
Appendix Instabank 15
Slide 16: Financial summary
Financial summary P&L (NOK ‘000) Balance sheet (NOK ‘000) Items Q2-18 Q1-18 FY 2017 Q4-17 Q3-17 Q2-17 Items Q2-18 Q1-18 Q4-17 Q3-17 Q2-17 Operating income Assets Interest income 49 926 42 323 97 536 36 416 29 074 20 939 Loans and deposits with credit institutions 116 521 127 704 40 929 46 456 50 887
Slide 17: Share price and ownership
Top 20 shareholders as of 20.07.2018 1,00 1,50 2,00 2,50 3,00 3,50 okt.16 Share price and ownership Share price (NOK) okt.16 nov.16 nov.16 des.16 des.16 jan.17 feb.17 feb.17 mar.17 mar.17 apr.17 mai.17 jun.17 jul.17 aug.17 aug.17 sep.17 okt.17 nov.17 nov.17 des.17 jan.18 feb.18 Share price developme
Slide 18: Thank You
Thank You instabank.no www.instabank.no