Avanza Bank Holding Ab · OMXSTO:AZA
Avanza Bank Holding Ab — Q1 2024 Earnings Presentation
20 slides from Avanza Bank Holding Ab's earnings presentation, Apr 19, 2024
Slide 1: Avanza's first quarter 2024 Results presentation
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Slide 2: Continuing to report strong growth figures
Continuing to report strong growth figures Net inflow for the quarter in line with the full year 2022 100,0 SEK 22.0 bn 90,0 net inflow in Q1 2024 80,0 17.0 bn in Q1 2023 70,0 60,0 SEK bn 50,0 49,800 customers 40,0 30,0 acquired in Q1 2024 20,0 41,100 in Q1 2023 10,0 0,0 2
Slide 3: Net inflow to Avanza corresponded to 100% of total net inflow to Swedish savings market
Net inflow to Avanza corresponded to 100% of the total net inflow to the Swedish savings market in Q423 100% Avanza's market share of the savings capital Avanza's market share of the net inflow Avanza's market share of the net inflow, R12m 80% 60% 22,5% market share of net inflow to be compared to t
Slide 4: 33% share of the net inflow to the Swedish fund market
33% share of the net inflow to the Swedish fund market Avanza's market share of the net inflow to Fund capital at all time high the Swedish fund market 60 300 000 280 800 Decrease driven by market decline 50 250 000 45% 40 200 000 33% SEK m 30 26% N/A 150 000 % 20% 20 100 000 10 50 000 0 0 Q1-23 Q2-
Slide 5: Largest Swedish participant in stock market transactions and turnover
5 0% 3% 6% 9% 12% 15% 18% 21% Q4-16 Q1-17 Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 SHB Q3-22 Avanza Transactions – market share of 20.3% Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Nordea Carnegie Q1-24 0% 2% 4% 6% 8% 10% 12% Q4-
Slide 6: Increased optimism in the stock market in Q1
Increased optimism in the stock market in Q1 Still a wide gap between equity holding customers Low volatility is still affecting trading activity and activity 300,0 300 000 1 200 000 250,0 250 000 1 000 000 200,0 200 000 800 000 150,0 150 000 600 000 100,0 100 000 400 000 50,0 50 000 200 000 0,0 0 0
Slide 7: Stable share of deposits of total savings capital over time
7 15% 20% 25% 0% 5% 10% Jan-17 Mar-17 May-17 Jul-17 Sep-17 Nov-17 Jan-18 Mar-18 May-18 Jul-18 Sep-18 Nov-18 Jan-19 Mar-19 May-19 Jul-19 Sep-19 Including external savings accounts Nov-19 Jan-20 Mar-20 May-20 Jul-20 Sep-20 Nov-20 Jan-21 Mar-21 May-21 Jul-21 Sep-21 Nov-21 Jan-22 Mar-22 May-22 Jul-22 Se
Slide 8: Making progress within our focus areas for 2024
Making progress within our focus areas for 2024 Improvements for our Activating new Improved pension most active customers customers offering Internal Ensuring a stable efficiency platform 8
Slide 9: Several improvements made for trading active customers during the first quarter
Several improvements made for trading active customers during the first quarter • Possibility to add push notifications for news alerts for stocks • Percentage stop loss trigger • Average purchase price shown in original currency for foreign stocks • New and improved list for options and futures • O
Slide 10: Working with improving stability on the platform
Working with improving stability on the platform • Early adopters into modern technology • Continuously modernising our tech stack • Organisational changes to be done – creating a pure technology unit • High stability in the quarter 10
Slide 11: Well positioned for the future
Well positioned for the future Continuous growth Customer satisfaction Strong innovation • Strong net inflows and • Sweden’s most satisfied • Unique culture customer intake savings customers for 14 • Comprehensive data platform • Well diversified income mix consecutive years with long time series wi
Slide 12: Financials – Q1 results
12 Financials — Q1 results AVANZA ull
Slide 13: Income in line with the record start of 2021
Income in line with the record start of 2021 Q1 24 Q4 23 ∆% Q1 23 ∆% Operating income, SEK m 951 882 8 868 10 Operating expenses, SEK m -303 -306 -1 -289 5 Operating profit, SEK m 647 580 12 579 12 Net profit, SEK m 555 499 11 501 11 Operating margin, % 68 66 2 67 1 ROE, % 36 36 0 38 -2 EPS, SEK 3.5
Slide 14: Trading activity picked up
Trading activity picked up 1 000 957 951 900 868 882 824 847 833 854 800 754 767 768 740 Revenue, SEK m 700 618 600 500 400 300 200 100 0 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Total income Net brokerage income Income from mutual funds, net Currency-related inc
Slide 15: NII still on a high level
NII still on a high level 431 409 Average interest rates +8 -5 404 Q4 23 Q1 24 Internally financed Internally financed 390 lending: 4.59% lending: 4.66% 349 Deposits: 1.76% Deposits: 1.86% 485 480 428 356 279 Volumes, SEK bn SEK million 195 204 224 233 176 Surplus-liquidity Surplus-liquidity -5 of S
Slide 16: Cost guidance for the full year remains
Cost guidance for the full year remains 289 306 303 300 287 272 273 253 266 249 250 238 Operating expenses, SEK m 212 216 192 200 150 100 50 0 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Total expenses Non-reccuring items Personnel Marketing Depreciation Other expen
Slide 17: Internal efficiency is a prioritised area
Internal efficiency is a prioritised area • Reduced manual processes in onboarding corporate customers • Forced sales for overleveraged customers have been automated • Freed up time in operating units makes it possible to further strengthen development resources • Estimated cost increase of 9.5% for
Slide 18: Strong capital position
Strong capital position Quarterly results have not been audited, because of which generated profit has not yet been added to own funds 31 March 2024 31 December 2023 Consolidated situation % SEK m % SEK m Total capital ratio / Own funds 24.3 3,594 24.7 3,574 Total capital requirement1) 18.2 2,694 18
Slide 19: Well positioned for the future
Well positioned for the future • Strong results once again proving the resilience of our well diversified income model • Growth figures keeping steady at a high level • Focus on internal efficiency to facilitate continued innovation • Carefully maintaining our low-risk balance sheet 19
Slide 20: Opening up for questions
20 Opening up for questions ‘Avanza impact by Circulus CD Detaljer Nyheter < Historisk utveckling God morgon Spara eller slésa? Idag ar det léning! VVardepappersuv dag +7234 kr © Avonza Bank Holding AB_ 10.842 © Sophirs Bioinc 5 567 kr Insikter om ditt sparande Din mina AVANZA ull