Evli Plc Class B · OMXHEX:EVLI

Evli Plc Class B — Evli Bank — Q3 2018 Earnings Presentation

27 slides from Evli Plc Class B's earnings presentation, Oct 30, 2018

  1. Slide 1: Interim Report January–September 2018

    Interim Report January –September 2018 Evli Bank Plc 30.10.2018 Maunu Lehtimäki, CEO & Juho Mikola, CFO

  2. Slide 2: Evli in Brief – Strong AUM Growth

    Evli in Brief – Strong AUM Growth Growth p.a.  Evli is a Wealth Management Bank that helps Net Assets Under Management +15.1% institutions, corporations and private persons EUR 12.3 bn increase their wealth 12.3 0.7  Two client segments supported by Group 11.2 10.6 0.7 Operations. 0.6 0.5 0.8 + 9.

  3. Slide 3: Two Client Segments – Diversified Client Base

    Two Client Segments – Diversified Client Base Wealth Management & Investor Clients Advisory & Corporate Clients  Product and service offering:  Corporate Finance - Private Banking to high net worth individuals - Independent financial advisor in financial - Evli Digital to private clients and insti

  4. Slide 4: Wealth Management at the core of Evli's services

    Wealth Management at the core of Evli’s services Incentive plans Evli’s business model is built around: Structured Corporate  Scalability: products Finance Growth in AUM translating into superior Operating profit, ROE and High scalability Wealth Management  Strategic positioning: Proprietary know

  5. Slide 5: Growth in AUM, High scalability and Strong branding

    Growth in AUM, High scalability and Strong branding AUM growth translating to superior Operating profit and ROE Proprietary know how enables higher margins Stewardship oriented Net Revenue & Total costs (M€) Return on Equity (%) 26.8% 71.4 25.5% 64.2 20.2% 59.7 60.0 55.5 15.2% 48.3 14.3% 48.8 50.0 5

  6. Slide 6: Agenda

    5 Agenda 1 Highlights 1-9/2018 2 Financial Figures 3 Strategy & Key Focus Areas 2018 4 Outlook for 2018 specified

  7. Slide 7: Highlights 1-9/2018

    HIGHLIGHTS 1-9/2018

  8. Slide 8: Assets under Management at an all time high

    Assets under Management at an all time high Continued strong fee income development  Net commission income grew 9.1% Strategic KPI  Net profit grew 25.4%. Positively affected by the non- recurring exit fees received by the associated company. Return on Equity (Target 15.0%) 26.8% (1-9/2017: 23.9%)

  9. Slide 9: Wealth Management & Investor Clients

    Wealth Management & Investor Clients Continued growth in number of clients Net revenue (M€)  Net revenue increased 7.6% 55.4  Operating profit (before allocations) increased 21.7% 42.8 42.5 39.9 42.9 37.4  AUM grew to a new record of EUR 12.3 billion  Growth in traditional and digital asset mana

  10. Slide 10: Advisory & Corporate Clients

    Advisory & Corporate Clients Stable development Net revenue (M€)  Net revenue increased by 14.3% 9.9  Operating profit (before allocations) increased 56.8% 6.6 6.5  Corporate Finance 5.5 4.8 5.7 - Lead Manager in Fellow Finance’s EUR 20 million IPO - Activity on the M&A market has remained strong

  11. Slide 11: Financial Figures

    FINANCIAL FIGURES FINANCIAL FIGURES

  12. Slide 12: Financial Development 2014-Q3/2018

    Financial Development 2014-Q3/2018 Net fee income (M€) Net revenue (M€) Operating profit (M€) ja profit margin (%) 65.2 21.3 71.4 57.2 64.2 53.1 54.3 59.7 60.0 49.4 45.3 50.4 51.0 15.3 14.8 13.3 29.3% 30.0% 11.1 29.8% 9.8 20.7% 16.3% 18.5% 2014 2015 2016 2017 1-9 1-9 2014 2015 2016 2017 1-9 1-9 2017

  13. Slide 13: Profit and Loss Statement

    Profit and Loss Statement M€ 7-9/2018 7-9/2017 Change, % 1-9/2018 1-9/2017 Change, % 2017 2016 Net interest 0.2 0.1 78% 0.5 0.7 -27% 0.9 1.6 Net commissions 15.1 14.7 3% 49.4 45.3 9% 65.2 54.3 Net income from securities trading and FX 0.7 1.5 -52% 1.1 4.4 -75% 4.9 4.0 Other operative income 0.0 0.0

  14. Slide 14: Balance Sheet

    Balance Sheet 30.9. 30.9. 31.12. 30.9. 30.9. 31.12. ASSETS, M€ 2018 2017 2017 LIABILITIES, M€ 2018 2017 2017 Liabilities to credit institutions 138.4 127.8 383.2 17.2 17.9 31.7 Liquid assets and central banks Debt securities eligible for refinancing Liabilities to the public and 31.2 36.3 36.3 483.4

  15. Slide 15: Key figures

    Key figures 1-9/2018 1-9/2017 2017 2016 2015 Profitability key figures Return on equity (ROE), % 26.8 23.9 25.5 14.3 20.2 Strategic KPI 26.8% Return on assets (ROA), % 2.1 1.8 2.0 1.4 2.2 Return on Equity Balance sheet key figures (Target 15.0%) (1-9/2017: 23.9%) Equity-to-assets ratio, % 8.2 7.0 7.

  16. Slide 16: Share Price Development and Trading Volume

    Share Price Development and Trading Volume Share price development and trading volume** 2.12.2015–30.9.2018 Breakdown of shareholdings by owner group 30.9.2018 Daily turnover, pcs Closing price, € Non-profit 140 000 11,00 institutions; Foreigners; 0,9 % 1.3% Households 120 000 ; 25.6% 10,00 100 000

  17. Slide 17: Strategy & Key Focus Areas 2018

    Strategy & Key Focus SIMPLY Areas UNIQUE 2018

  18. Slide 18: Growth Strategy

    Growth Strategy Megatrends Attifical Intelligence Robotization Cyber risks Big data Digitalization Increased competition Blurring industry boundaries Empowerment of customers Globalization Business environment Consolidation Increased regulation and control Societal Aging of the population transition

  19. Slide 19: Key Focus Areas 2018

    Key Focus Areas 2018 New products Growth and services International growth with corporate bond and New private market funds global equity funds  Evli Residential, Evli Healthcare and Evli Rental  Product requirements: Long return history, good Income ranking, large enough size  Increasing the siz

  20. Slide 20: Key Focus Areas 2018

    Key Focus Areas 2018 Customer Digitalization experience Development of digital service models Creating a superior customer experience  Redesigning Evli’s online services including  Dynamic measurement of customer My Evli and www.evli.com experience for Private Banking and institutional clients  D

  21. Slide 21: Outlook for 2018 specified

    OUTLOOK FOR 2018 SPECIFIED OUTLOOK 2018 UPDATED

  22. Slide 22: 2018 Result estimated to be at the same level as in 2017

    2018 Result estimated to be at the same level as in 2017 New outlook: Because of successful and stable performance at the beginning of the year, we estimate that our profit for the 2018 financial year, excluding non-recurring costs from restructuring, will be at the same level as in the previous yea

  23. Slide 23: Contact information

    Contact information Evli Bank Plc Aleksanterinkatu 19, 4th floor P.O. Box 1081 00101 Helsinki Tel. +358 9 476 690 (switchboard 8.30 am. – 5.00 pm.) Fax +358 9 661 387 www.evli.com 22

  24. Slide 24: Information set above is not intended as investment recommendation

    23 Information set above is not intended as investment recommendation. This report is based on sources that Evli Bank Plc considers to be correct and reliable. Evli Bank Plc. nor its employees give any guarantee concerning the correctness, accuracy or completeness of any information, views, opinions

  25. Slide 25: Appendices

    L — _-Aependisies EVLI

  26. Slide 26: Executive Group

    Executive Group Maunu Lehtimäki, born 1967 Mari Etholén, born 1973 Panu Jousimies, born 1969 Janne Lassila, born 1965 Chief Executive Officer HR and Legal Affairs Execution and Operations Institutional clients M.Sc. (Econ.) LLM M.Sc. (Econ.) M.Sc. (Econ.) Joined Evli Bank Plc in 1996 Joined Evli Ban

  27. Slide 27: Board of Directors

    Board of Directors Henrik Andersin, born 1960 Robert Ingman, born 1961 • Chairman of the Board of Directors • Member of the Board of Directors of • Member of the Board of Directors of Evli Evli Bank Plc since 2010 Bank Plc since 1985 • Chairman of the Boards of Directors of (excluding 2002-2006) Ing

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