Agf Management Limited Class B · TSX:AGF.B
Agf Management Limited Class B — Q1 2019 Earnings Presentation
14 slides from Agf Management Limited Class B's earnings presentation, Mar 27, 2019
Slide 1: AGF Management Limited Earnings Conference Call First Quarter 2019
AGF Management Limited Earnings Conference Call First Quarter 2019 March 27th, 2019
Slide 2: Caution Regarding Forward-Looking Statements
Caution Regarding Forward-Looking Statements The forward looking information is provided as of March 27th, 2019. Certain information presented in these remarks and in this presentation that is not historical factual information may constitute forward-looking information within the meaning of securit
Slide 3: Conference Call Participants
Conference Call Participants Presenting Kevin McCreadie, CFA, MBA Chief Executive Officer & Chief Investment Officer Adrian Basaraba, CPA, CA, CFA Senior Vice-President & Chief Financial Officer Available for questions Judy G. Goldring, LL.B, ICD.D President & Chief Administration Officer 3
Slide 4: Today’s Discussion
Today’s Discussion • Highlights of the 1st Quarter of Fiscal 2019 • Business Updates – Retail – Investment Management – Institutional – Alternatives • Financial Results • Capital & Liquidity • Focus & Priorities 4
Slide 5: Q1 2019 Highlights
Q1 2019 Highlights Continued progress toward stated objectives AUM increased 5% Among top 5 Institutional year over year to independents in mutual fund net sales of $38.8 billion net new money1 $76 million2 Alternatives AUM Adjusted diluted SG&A efficiency initiative on track doubles to EPS 27% high
Slide 6: Line of Business Performance
Line of Business Performance ($ millions) Q1 2018 Q1 2019 Change Mutual funds 19,056 19,028 0% Institutional, Sub-advisory & ETF 11,545 12,023 4% Private Client 5,471 5,633 3% Alternatives 902 2,140 137 % Total 36,974 38,824 5% 6
Slide 7: Retail Business Review
Retail Business Review IFIC Industry Net Sales ($B)1 AGF Mutual Fund Net Sales ($M)2 Q1 TTM 15.3 99 12.7 (68) (119) (104) (354) (4.4) (918) FY2017 Q1 FY2018 Q1 FY2019 Q1 FY2017 Q1 FY2018 Q1 FY2019 Q1 (1) Industry long-term funds net sales per IFIC; based on AGF fiscal Q1 (Dec/Jan/Feb). (2) As report
Slide 8: Investment Management
Investment Management All seven AGF Global AGF Global AGF Total Canadian ETFs Convertible Select Fund Return Bond with two year Bond Fund (Series F) best Fund (Series F) track records received performing upgraded to ranked above FundGrade fund in its five stars by median1 A+® Award2 category on a Mo
Slide 9: Financial Results – Continuing Operations
Financial Results Adjusted for one-time items noted in the MD&A and restated for IFRS 151 Sequential Quarter Year Over Year Fav / Fav / ($ millions, except per share amounts) Q1-192 Q4-183 Q1-19 Q1-184 (Unfav) (Unfav) Revenue 105.0 104.0 1.0% 105.0 108.3 (3.0%) SG&A 48.0 45.8 (4.8%) 48.0 50.5 5.0% C
Slide 10: Financial Results – BPS Detail
Financial Results – BPS Detail1 (bps of average AUM) Q1-19 TTM Average AUM ($B)2 36.0 36.6 Average Mutual Fund 18.6 19.0 Average Institutional, Sub-Advisory, ETFs & 17.4 17.6 Private Client Revenue (bps)3 104 108 Less: Trailer Fees (bps) 33 34 SG&A (bps)4 55 54 EBITDA before commissions (bps) 17 21
Slide 11: Capital & Liquidity
Capital & Liquidity1 Dividend payout ratio, excluding one-time items, of 49% on a trailing twelve months basis 400% 20 350% 300% 15 16.1 16.6 250% ($ millions) 200% 12.8 10 150% 10.5 100% 107% 5 5.9 50% 60% 49% 39% 37% 0% - -50% Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Adjusted free cash flow Dividend % of adj
Slide 12: 2019 Focus & Priorities
2019 Focus & Priorities Position AGF Maintain Leverage the to reach Above median trajectory of investment $5 billion improvement in private performance in retail and platform alternative institutional assets 12
Slide 13: Thank You!
Thank You! To learn more about AGF’s history visit: www.agf.com/ca/en/about- agf/our-story
Slide 14: Disclaimer
Disclaimer AGF Global Convertible Bond Fund FundGrade A+® is used with permission from Fundata Canada Inc., all rights reserved. The annual FundGrade A+® Awards are presented by Fundata Canada Inc. to recognize the “best of the best” among Canadian investment funds. The FundGrade A+® calculation is