Vz Holding Ag · SIX:VZN

Vz — H1 2013 Earnings Presentation

21 slides from Vz's earnings presentation, Aug 15, 2013

  1. Slide 1: 1H 2013 Results and Outlook

    VZ Holding Ltd Beethovenstrasse 24 VZ Group CH-8002 Zurich Telephone: +41 44 207 27 27 1H 2013 Fax: +41 44 207 27 28 vermoegenszentrum.ch vzfinanzportal.ch Results and Outlook Zurich, 15 August 2013

  2. Slide 2: Disclaimer

    Disclaimer Forward-looking statements This presentation contains forward-looking statements that involve known and unknown risks, uncertainties or other factors that may cause the actual results to be materially different from any future results, performance, or achievements expressed or implied by

  3. Slide 3: Content

    Content 1. Facts & figures 2. Financials 3. Outlook Page 2

  4. Slide 4: Summary 1H 2013

    Summary 1H 2013 Business development Financials • Continued growth in 1H13 • Top line +18.2% to CHF 84.5 million yoy − despite challenging market environment − management fees +21.7% − clients less reluctant − banking revenues +12.9% • Undiminished client demand and satisfying − consulting fees +0.1

  5. Slide 5: Revenues: Sustained growth momentum

    Revenues: Sustained growth momentum in CHF million 84.5 • Management fees +21.7% yoy 81.7 7.7 − AuM +20.3% yoy 71.0 72.5 71.5 8.6 8.1 11.0 − portfolio management mandates +19.5% 7.0 7.7 11.7 10.0 11.0 9.8 • Banking revenues +12.9% yoy − increased number of clients − persistently low interest margin

  6. Slide 6: Net profit: margin normalised in 1H13

    Net profit: margin normalised in 1H13 in CHF million 30.5 29.8 25.9 • Net profit +25.2% yoy 25.1 23.8 • Operating margin (EBITDA) at 44.9% vs 42.8% yoy − revenues +18.2% − operating expenses +13.9% • Net profit margin at 35.3% vs 33.3% yoy (long-term target: 35%) 1H11 2H11 1H12 2H12 1H13 Page 5

  7. Slide 7: Financial Consulting: satisfying NNM inflow

    Financial Consulting: satisfying NNM inflow Net new money (NNM) in CHF million 1H 2H Capacity growth Consulting revenues 1’327 1’185 in FTE in CHF million 1H 2H 989 940 730 14.4 590 13.5 13.3 461 ca. 103 11.1 530 90 7.4 79 7.2 6.9 67 5.6 840 60 595 528 597 410 6.3 6.4 7.0 7.0 5.5 2009 2010 2011 2012

  8. Slide 8: Wealth Management: continued AuM growth

    Wealth Management: continued AuM growth in CHF million 30.6.11 31.12.11 30.6.12 31.12.12 30.6.13 since 31.12.12 AuM total 8’117 8’432 9’149 10’082 11’002 +920 +9.1% - PM mandates 5’585 5’595 6’000 6’531 7’169 +638 +9.8% Share of total AuM 68.8% 66.4% 65.6% 64.8% 65.2% - Others* 2’532 2’837 3’149 3’5

  9. Slide 9: Branch offices

    Branch offices Switzerland Germany Schaffhausen Basel Rheinfelden Winterthur Liestal Baden Zürich St. Gallen Aarau Rapperswil Zug Solothurn Meilen Luzern Horgen Neuchâtel Chur (1.5.) Bern Thun Düsseldorf Fribourg (1.2.) Lausanne Frankfurt Genève Nürnberg München branches satellites VZ financial port

  10. Slide 10: Content

    Content 1. Facts & figures 2. Financials 3. Outlook Page 9

  11. Slide 11: Income statements – unaudited (1)

    Income statements – unaudited (1) in CHF million* yoy 1H 11 2H 11 1H 12 2H 12 1H 13 1H 13 Consulting fees 6.9 7.7 7.5 8.2 7.5 +0.1% Management fees 53.9 53.5 54.0 61.4 65.8 +21.7% Banking revenues 10.0 10.9 9.8 11.8 11.0 +12.9% Other operating revenues 0.2 0.3 0.2 0.3 0.2 – Total operating revenues

  12. Slide 12: Income statements – unaudited (2)

    Income statements – unaudited (2) in CHF million* yoy 1H 11 2H 11 1H 12 2H 12 1H 13 1H 13 EBITDA 32.3 33.7 30.6 39.2 37.9 +24.0% Depreciation and amortisation 1.4 1.5 1.7 1.7 1.9 +15.3% EBIT 30.9 32.2 28.9 37.5 36.0 +24.5% Net finance income -0.1 +0.1 +0.1 +0.3 +0.0 – Profit before income tax 30.8 3

  13. Slide 13: Personnel expenses

    Personnel expenses in CHF million* 42.7% 40.4% 40.4% 40.5% • +12.2% yoy 38.8% • Personnel development 34.3 30.5 31.7 28.6 29.3 30.06.12 31.12.12 30.06.13 HC** 555 603 617 FTE** 490.0 529.8 547.1 • 2H12: +39.8 FTE 1H13: +17.3 FTE • Personnel expense ratio stable at around 40% 1H11 2H11 1H12 2H12 1H13

  14. Slide 14: Other operating expenses

    Other operating expenses in CHF million* 14.2% 14.5% 14.5% 13.0% 13.2% 12.3 10.4 10.8 • +18.7% yoy 10.1 9.4 − increased capacity − new branch offices opened in 2013 − investments in online platform • Other operating expense ratio stable between 13-15% with half-year cyclical pattern 1H11 2H11 1H12 2

  15. Slide 15: EBITDA and margin

    EBITDA and margin in CHF million* 48.0% 45.5% 46.6% 44.9% 42.8% 39.2 37.9 32.3 33.7 30.6 • EBITDA +24.0% yoy • Margin in line with long-term expectation (45%) 1H11 2H11 1H12 2H12 1H13 EBITDA EBITDA margin (EBITDA / revenues) * numbers may differ slightly from the published income statements due to r

  16. Slide 16: EBIT and margin

    EBIT and margin in CHF million* 45.9% 43.5% 44.4% 42.6% 40.5% 37.5 36.0 30.9 32.2 28.9 • EBIT +24.5% • Margin in line with long-term expectation (43%) 1H11 2H11 1H12 2H12 1H13 EBIT EBIT margin (EBIT / revenues) * numbers may differ slightly from the published income statements due to rounding differ

  17. Slide 17: Profit before income taxes and C/I ratio

    Profit before income taxes and C/I ratio in CHF million* 59.5% 57.4% 56.6% 55.4% 53.9% 37.8 36.0 30.8 32.4 29.0 • Cost/income ratio according to financial industry standards (IFRS) • Long-term target 56% 1H11 2H11 1H12 2H12 1H13 Profit before income taxes cost/income ratio (expenses + depreciation a

  18. Slide 18: Balance sheets

    Balance sheets in CHF million* 30.6.12** 31.12.12** 30.6.13 Cash & cash equivalents 235.8 233.2 268.0 • Financial investments: Short-term investments 275.4 219.2 243.4 − low risk profile − average time to maturity Swiss prime residential mortgages 381.1 401.7 449.7 1.6 years (unchanged) CHF bonds, m

  19. Slide 19: Equity & payout ratios

    Equity & payout ratios Payout ratios 2010 2011 2012 Equity ratios 30.06.12* 31.12.12* 30.06.13 in CHF million Net profit 49.3 51.0 54.3 Total equity 202.6 233.6 245.1 (in CHF million) Retained earnings 31.2 32.1 33.5 Equity ratio 19.5% 22.5% 20.9% Dividend total 18.1 18.9 20.8 BIS Tier I 25.1% 29.3%

  20. Slide 20: Content

    Content 1. Facts & figures 2. Financials 3. Outlook Page 19

  21. Slide 21: Outlook

    Outlook • Well positioned in current market environment − steady inflow of new clients − no off-shore client exposure − attractive new wealth management services • Business development − increase front-end consulting capacities − evaluate new branch offices and financial portal lounges for 2014 − br

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