Euroz Hartleys Group Limited · ASX:EZL

Euroz Hartleys — Investor Presentation (May 2018)

20 slides from Euroz Hartleys's investor presentation, May 11, 2018

  1. Slide 1: Investor Presentation

    Investor Presentation May 2018

  2. Slide 2: Company Snapshot

    Company Snapshot Euroz is a growing and diversified financial services company Group FUM Market capitalisation $1.435b1 $189m1 $196m Cash & investments increasing $126.2m1 fully franked dividends in 18 years A strong platform for future diversification and growth Note 1: As at 30 April 2018 Investor

  3. Slide 3: Group Structure

    Group Structure Investor Presentation – May 2018 3

  4. Slide 4: Euroz Limited Ownership

    Euroz Limited Ownership Ice Cold Investments 6%  Staff ownership of 38% Institutions Retail 16%  Increasing institutional ownership 40%  Improving liquidity Directors  Performance Rights Plan = ongoing capital 25% management Staff 13% As at 9 May 2018 High staff ownership = strong alignment with

  5. Slide 5: Historical Share Price/NTA

    Historical Share Price/NTA $3.00  Strong balance sheet/zero debt  Defensive in difficult markets $2.50  Historical leverage in good markets $2.00  Western Australia and commodity prices continue to improve NTA (A$) $1.50  Increasingly diversified $1.00 $0.50 $0.00 2006 2007 2008 2009 2010 2011

  6. Slide 6: Audited Half Year Results

    Audited Half Year Results Profitability driven by increases in WIC and OZG share prices, equity capital markets activity and growth in group FUM Euroz Securities WIC investment 22% performance OZG investment equity raisings performance $270m 29.3% Group FUM up Net profit after tax $1.4 billion 16.5%

  7. Slide 7: Dividend History

    Dividend History Euroz has paid $196 million fully franked dividends over 18 years A$m Annual Dividend Paid Cumulative Dividend paid 220 200 180 Past: 160  Paid $196m dividends over 140 35 consecutive half year periods 120  High payout ratio 100 Future: 80  Aim to increase the base 60 level of di

  8. Slide 8: Stockbroking & Corporate Finance

    Stockbroking & Corporate Finance Euroz Securities - 18 year history of partnering and supporting clients through research, dealing and corporate finance services oz Securities  Quality equities research is the foundation of our business Research  Highly rated research from our team of seven analys

  9. Slide 9: Wealth Management

    Wealth Management Entrust Private Wealth Management - 15 year track record  Combines its deep knowledge of managed financial planning, discretionary advice and portfolio management with its portfolio administration service to create a comprehensive wealth management solution for each individual cli

  10. Slide 10: Funds Management

    Funds Management Westoz Funds Management – Western Australian connected investment opportunities  Westoz Funds Management (WFM) is a 100%-owned subsidiary of Euroz Limited established in 2005  WFM manages portfolios of Australian equities on behalf of two listed investment companies, Westoz Invest

  11. Slide 11: Funds Management

    Funds Management Prodigy Investment Partners – boutique funds management joint venture  Prodigy Investment Partners (Prodigy) is an 80% – owned joint venture between Euroz Limited and former MLC CEO Steve Tucker  The first of these new boutique fund management partnerships was announced in July 20

  12. Slide 12: Euroz Strategy

    Euroz Strategy Business attributes Base Dividend Dividend Market Upside Rating/EV Stockbroking and Corporate Finance  Daily brokerage turnover provide a base of revenues  High impact (but cyclical) transactional fee upside (ECM/M&A)   Wealth Management  Growing recurring base fee revenue as fun

  13. Slide 13: Euroz Strategy

    Euroz Strategy  The major driver of past dividends have been Corporate Finance fees (equity capital market and M&A) and Funds Management performance fees (WIC and OZG)  ECM and performance fees have typically occurred together in strong resource markets (2007, 2008, 2010 and 2011) Strategy: Grow t

  14. Slide 14: Euroz Balance Sheet

    Euroz Balance Sheet  Strong balance sheet/zero debt  Deploying modest capital into Prodigy Investment Partners  Market Valuation: $55 - $63m enterprise value. Cost Market Look through value1 Westoz $39.0m $40.4m $43.3m Ozgrowth $27.7m $26.2m $31.3m Flinders Investment Partners $6.1m $8.3m $8.3m D

  15. Slide 15: Funds Under Management

    Funds Under Management Strong organic FUM growth from a diverse range of businesses $1,500 $1,435m $1,403m Funds Management WIC ($171m) $1,250 $1,205m $348m $1,143m OZG ($79m) $1,000 $962m $923m Flinders ($16m) Entrust Wealth $750 Management $794m Dalton Street ($82m) $500 Entrust ($794m) $250 Euroz

  16. Slide 16: Trading Update

    Trading Update Euroz Group Summary  An improved second half driven by strong ECM activity in Euroz Securities  Wealth Management FUM now over $1.087 billion/slower second half FUM growth  Solid Dalton Street Capital investment performance and FUM growth Euroz Securities  Positive resource sentim

  17. Slide 17: Trading Update (cont’d)

    Trading Update (cont’d) Prodigy Investment Partners  Sales team making good inroads into retail platform market  Excellent Dalton Street Capital progress / strong investor interest  Building good relationships with consultants and platforms Flinders Investment Partners  Improved investment perfo

  18. Slide 18: Summary

    Summary Euroz is a growing and diversified financial services company Modest six WA & Ranked #1 month result / commodity in WA based stronger prices volatile equity capital second half but improving raisings1 A robust & Established track growing balance Diversification record provides sheet strategy

  19. Slide 19: Disclosure

    Disclosure Disclaimer & Disclosure Euroz Limited (EZL) and its related entities and each of their respective directors, officers and agents (together the Disclosers) have prepared the information contained in these materials in good faith. However, no warranty (express or implied) is made as to the

  20. Slide 20: Thank you

    Thank you Euroz Limited Level 18 Alluvion 58 Mounts Bay Rd Perth Western Australia 6000 euroz.com

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