Slide 1: Financial Results 2015
Financial Results 2015 Frankfurt, February 25, 2016
Slide 2: Agenda
Agenda 1. Business Development 2015 Dr. Uwe Schroeder-Wildberg, CEO 2. Financials 2015 Reinhard Loose, CFO 3. Strategy, Outlook and Summary Dr. Uwe Schroeder-Wildberg, CEO 4. Questions & Answers Seite 2
Slide 3: Growth in virtually all fields of consulting
Growth in virtually all fields of consulting Old-age provision Wealth Non-life insurance Health insurance Loans Other commissions management and fees - 10 % + 13 % + 59 % + 6% + 19 % + 86 % 250 239,7 180 60 50 18 16 15.6 166 54.9 45.9 16.2 215,7 43.5 147 13.6 34.6 8.4 125 90 30 25 9 8 0 0 0 0 0 0 20
Slide 4: Key facts on business development
Key facts on business development In 2015 MLP profited from the broadening of the revenue basis more than ever before. Growth in virtually all consulting fields – old-age provision remains very difficult due to market conditions. MLP generates solid profits despite challenging framework condit
Slide 5: Difficult market environment in old-age provision persists
Difficult market environment in old-age provision persists Percentage of people who make no monthly savings for old-age provision: in percent 40 40 35 32 30 20 20 18 10 2011 2012 2013 2014 2015 Source: Deutscher Sparkassen- und Giroverband financial group, Wealth Barometer 2011–2015 Seite 5
Slide 6: Strategic portfolio significantly broadened
Strategic portfolio significantly broadened Real estate Expansion of Occupational pension provision Clear business model Wealth management non-life insurance 2004 2005 2006 2011 2015 Foundation of Occupational Sale of own MLP buys shares in FERI AG Start of real estate portfolio Acquisition of DOMCU
Slide 7: Financial Results 2015
Financial Results 2015 1. Business Development 2015 Dr. Uwe Schroeder-Wildberg, CEO 2. Financials 2015 Reinhard Loose, CFO 3. Strategy, Outlook and Summary Dr. Uwe Schroeder-Wildberg, CEO 4. Questions & Answers Seite 7
Slide 8: FY 2015: Total revenue rises to € 557.2 million
FY 2015: Total revenue rises to € 557.2 million Total revenue FY € million 600 545.5 568.0 557.2 531.1 499.0 Revenue Commission income 400 498.5 518.0 486.9 457.7 514.3 526.7 544.6 535.7 Revenue from the 509.7 480.5 interest rate business Other revenue 200 28.2 26.6 22.8 22.9 21.4 18.8 23.5 18.5 21.
Slide 9: Growth in virtually all consulting areas
Growth in virtually all consulting areas Revenue € million ∆ 2014/2015 in % 2015 2014 Q4 2015 Q4 2014 ∆ in % Old-age provision -10.0 215.7 239.7 87.8 106.6 -17.6 Wealth management 12.9 166.0 117,9 147.0 44.7 41.3 8.2 Health insurance 5.5 45.9 43.5 9.2 13.9 -33.8 Non-life insurance 58.7 54.9 34.6 21.
Slide 10: Assets under management continue to grow
Assets under management continue to grow Wealth management Old-age provision Assets under management, MLP Group Premium sum of MLP's new business € billion € billion 30,0 29.0 4,5 4.12 27.5 3.62 3.47 25,0 24.5 3 21.2 19.8 20.2 20,0 17.0 1,5 15,0 14.0 12.7 10,0 0 2007 2008 2009 2010 2011 2012 2013 20
Slide 11: Number of consultants rises slightly
Number of consultants rises slightly Client consultants New clients, gross 30000 2000 1,952 27,900 27,500 1,935 1,913 1,914 25000 1750 20000 15000 1500 10000 Dec 31, 2014 Q230, Jun 2015 2015 Sep 30, 2015 Dec 31, 2015 2014 2015 Total clients: 847,600 858,700 Seite 11
Slide 12: Client counting method will reflect the Group structure in a better way
Client counting method will reflect the Group structure in a better way Presentation of client numbers as of Q1 2016 • Combined individuals: Partner relationship or parents-child unit and Private clients (families) allocated to the same client consultant • System applies for MLP and the relevant Num
Slide 13: FY 2015: Pro forma EBIT amounts to € 32.5 million
FY 2015: Pro forma EBIT amounts to € 32.5 million Income statement € million Q4 2015 Q4 2014 2015 2014 Net profit 2015 based on an assumed Total revenue 187.7 186.4 557.2 531.1 acquisition of DOMCURA with effect from Jan 1, 2015: € 23.3 million Pro forma EBIT* 24.2 29.6 32.5 39.0 EBIT 23.3 29,6 30.7
Slide 14: Own funds ratio of 14.3 %
Own funds ratio of 14.3 % € million Dec 31, 2015 Dec 31, 2014 Intangible assets 174.5 156.2 Core capital ratio: 14.3 % (15.6 %) Financial assets 147.9 145.3 Equity ratio: 22.0 % (23.2 %) Cash and cash equivalents 77.5 49.1 Other receivables and assets 112.5 117.7 Return on equity: 5.1 % (7.7 %
Slide 15: Executive Board proposes dividend of 12 cents – dividend yield: 3.3 %
Executive Board proposes dividend of 12 cents – dividend yield: 3,3 % Dividend per share Dividend yield* euro cent in % 20 5 4.6 17 Distribution rate: 56 %** 16 15 At the same time, capital is required for: 3.3 3,5 12 3.1 - acquisitions - capital expenditure 10 2,5 - capital management (Basel II
Slide 16: Financial Results 2015
Financial Results 2015 1. Business Development 2015 Dr. Uwe Schroeder-Wildberg, CEO 2. Financials 2015 Reinhard Loose, CFO 3. Strategy, Outlook and Summary Dr. Uwe Schroeder-Wildberg, CEO 4. Questions & Answers Seite 16
Slide 17: Strategic agenda 2016
Strategic agenda 2016 Strategic focus Implementation 1 • MLP Group open to acquisitions in two areas: Inorganic growth • In FERI market segment • In MLP private client business Making MLP more independent 2 • Previously started growth initiatives will be continued: of short-term Organic growth • Bro
Slide 18: Strategic agenda 2016
Strategic agenda 2016 Strategic focus Implementation 1 • MLP Group open to acquisitions in two areas: Inorganic growth • In FERI market segment • In MLP private client business Making MLP more independent 2 • Previously initiated growth initiatives will be continued: of short-term Organic growth • B
Slide 19: Significant increase in consolidation within the market due to Life Insurance Reform Act (LVRG)
Significant increase in consolidation within the market due to Life Insurance Reform Act (LVRG) Number of insurance intermediaries Effects of the Life Insurance Reform Act in Germany (LVRG) 280.000 , 260.000 , • Quality of consultancy and 240.000 , portfolio is even more important 220.000 , 200.000
Slide 20: Strategic agenda 2016
Strategic agenda 2016 Strategic focus Implementation 1 • MLP Group open to acquisitions in two areas: Inorganic growth • In FERI market segment • In MLP private client business Making MLP more independent 2 • Previously initiated growth initiatives will be continued: of short-term Organic growth • B
Slide 21: DOMCURA acquisition: targeted further development within the MLP Group
DOMCURA acquisition: targeted further development within the MLP Group New solution for MLP clients in the non-life insurance sector: complete protection with liability insurance, accident insurance, etc. RT 1 RT 2 RT 3 RT 4 RT 5 Private product bundle Liability Contents Accident Buildings Legal wit
Slide 22: Strategic agenda 2016
Strategic agenda 2016 Strategic focus Implementation 1 • MLP Group open to acquisitions in two areas: Inorganic growth • In FERI market segment • In MLP private client business Making MLP more independent 2 • Previously initiated growth initiatives will be continued: of short-term Organic growth • B
Slide 23: Even more balanced revenue basis in the medium term
Even more balanced revenue basis in the medium term Development of revenue distribution Proportion of recurring revenue 2005 2015 2019e Old-age provision incl. occupational pension provision Wealth management 2% 1% 3% 3% 3% 3% Non-life insurance 4% 11% 34% Health insurance 80% 42% 21% Loans and mort
Slide 24: Recruiting offensive to be continued
Recruiting offensive to be continued Further training grants and allowances for easing Master of Financial Planning transition to self-employment are bearing fruit Steinbeis School of Management and Innovation (SMI) • Widespread recognition of MLP training Further measures: • Very high level of flex
Slide 25: Online strategy contributes to personal consulting
Online strategy contributes to personal consulting Digital services Personal consulting • Range of information (mlp-financify.de, mlp.de) • Online sale of basic products 65 % across the market want consulting on complex products in 27% the branch or at home* only online • Digital (self-)services, e.
Slide 26: New kinds of support through expansion of Customer Service Centre (CSC)
New kinds of support through expansion of Customer Service Centre (CSC) Now Client is supported by consultant Future Consultant chooses type of support Support by consultant Temporary support by CSC Direct support by CSC Active and reactive Consultant entitled to Consultant not entitled to Commissio
Slide 27: Strategic agenda 2016
Strategic agenda 2016 Strategic focus Implementation 1 • MLP Group open to acquisitions in two areas: Inorganic growth • In FERI market segment • In MLP private client business Making MLP more independent 2 • Previously initiated growth initiatives will be continued: of short-term Organic growth • B
Slide 28: Cost management tightened further
Cost management tightened further Administrative expenses* 2008 – 2017 (planned) in € million Incl. DOMCURA- 350 administrative expenses One-off- Total administrative 314 expenses expenses 300 273 280,5 Saving*** 15 Saving*** 262 3,5 11,5 265,5 11 23 250 As of August 200 2015 150 100 2008 2015 2016*
Slide 29: Outlook
Outlook Qualitative assessment of the development of sales revenues 2016 2017 Revenue from old-age provision 0 0 Revenue from health insurance + 0 Revenue from wealth management + + Revenue from non-life insurance ++ + very positive: ++, positive: +, neutral: 0, negative: -, very negative: -- (in ea
Slide 30: Summary
Summary In view of the external conditions the year 2015 is additional proof that the further development of the business model is increasingly taking effect. MLP will further accelerate the transformation in 2016. The Group's cost management will be tightened even further to this end. Alongside
Slide 31: Financial Results 2015
Financial Results 2015 1. Business Development 2015 Dr. Uwe Schroeder-Wildberg, CEO 2. Financials 2015 Reinhard Loose, CFO 3. Strategy, Outlook and Summary Dr. Uwe Schroeder-Wildberg, CEO 4. Questions & Answers Seite 31
Slide 32: Financial Results 2015
Financial Results 2015 Frankfurt, February 25, 2016
Slide 33: Contact
Contact Jan Berg Head of Corporate University / Corporate Communications MLP AG Frank Heinemann Alte Heerstr. 40 Head of External Communications 69168 Wiesloch Andreas Herzog Germany Head of Investor Relations and Tel.: +49 (0) 6222 • 308 • 8310 Financial Communications Fax: +49 (0) 6222 • 308 • 113