20 slides from Fiera Capital Corporation Class A's earnings presentation, Aug 10, 2018
Slide 1: 2018 Q2 Results
AUGUST 10, 2018 2018 Q2 Results VINCENT DUHAMEL JOHN VALENTINI Global President and EVP, Global Chief Financial Officer and Chief Operating Officer President of the Private Alternative Investments division
Slide 2: Forward-Looking Statements
Forward-Looking Statements The accompanying Investor Presentation contains forward-looking information, including future-oriented financial information and financial outlooks within the meaning of Canadian securities laws and regulations. Forward-looking information may include comments with respect
Slide 3: Business Overview
Business Overview $1.8B in new client AUM in the quarter. Closing of CGOV Asset Management and Clearwater Capital Partners acquisitions. City National Rochdale Emerging Markets Fund now offered as the Fiera Capital Emerging Markets Fund. Record net inflows of $800 million for Bel Air in Q1 and Q2. C
Slide 4: Quarterly Financial Highlights: Quarter-over-Quarter
Quarterly Financial Highlights: Quarter-over-Quarter AUM of $ 139.4 billion, up 6%. Base management fees of $117.9 million, up 5%. Adjusted EBITDA1 of $32.7 million, an increase of 13%. Adjusted EPS1 of $0.26 compared to $0.24. Net earnings (loss) per share of ($0.02), compared to ($0.02). 1 Adjuste
Slide 5: Financial Highlights: Quarter-over-Quarter
Financial Highlights: Quarter-over-Quarter Q2-2018 Q1-2018 Variation $ $ $ Total AUM 139.4B 131.4B 8.0B Total Revenues 126.2M 120.0M 6.2M Base Management Fees 117.9M 112.2M 5.7M Total Performance Fees 2.7M 1.5M 1.2M Other Revenues 5.6M 6.3M (0.7M) Adjusted EBITDA1 32.7M 28.8M 3.9M Net Earnings (Loss
Slide 6: Financial Highlights: Year-over-Year
Financial Highlights: Year-over-Year Q2-2018 Q2-2017 Variation $ $ $ Total AUM 139.4B 125.7B 13.7B Total Revenues 126.2M 109.3M 16.9M Base Management Fees 117.9M 102.4M 15.5M Total Performance Fees 2.7M 1.2M 1.5M Other Revenues 5.6M 5.7M (0.1M) Adjusted EBITDA1 32.7M 28.5M 4.2M Net Earnings (Loss) (
Slide 7: Revenue Trend – Quarterly & Last Twelve Months
Revenue Trend – Quarterly & Last Twelve Months $M $M 478.5 495.4 160 438.1 459.1 500 412.8 378.5 344.1 142.0 400 140 297.2 300 121.0 126.2 120.0 200 120 109.3 107.1 100 100.6 100 0 81.9 -100 80 -200 60 -300 -400 40 -500 -600 20 -700 0 -800 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017 Q1-2018 Q2-2
Slide 8: Adjusted EBITDA ($) & Margin (%) Trend
Adjusted EBITDA ($) & Margin (%) Trend $M 50 45% 40 41.6 34.4% 31.4% 31.7% 35% 26.0% 26.0% 25.2% 25.4% 36.1 25.1% 25.9% 24.0% 32.7 25% 30 28.5 28.8 28.5 25.9 27.0 25.2 15% 23.5 20 5% 10 -5% 0 -15% Q2-2016 Q2-2017 Q3-2016 Q3-2017 Q4-2016 Q4-2017 Q1-2017 Q1-2018 Q2-2017 Q2-2018 Adjusted EBITDA 1 (Prio
Slide 9: Average BPS Evolution vs AUM
Average BPS Evolution vs AUM $B BPS 150 40 139.4 128.9 131.4 122.1 125.9 123.0 125 116.9 112.5 100 34.2 35 33.5 32.6 75 31.5 30.4 50 30 28.6 27.2 25 26.5 0 25 Q3-2016 Q4-2016 Q1-2017 1 Q2-2017 Q3-2017 Q4-2017 Q1-2018 Q2-2018 AUM - End of Period ($ Billion) Average BPS - LTM 9
Slide 10: LTM EBITDA, LTM Adjusted EBITDA and Margin Trend
LTM EBITDA ($), LTM Adjusted EBITDA ($) and and Margin (%) Trend $M 140 80% 121.2 122.3 124.6 116.8 120.4 120 116.2 70% 107.2 60% 100 91.4 84.8 81.2 78.1 81.3 50% 80 71.7 71.3 66.5 69.1 40% 60 30.7% 31.1% 30.7% 29.4% 27.9% 25.4% 25.2% 25.2% 30% 40 20% 20 10% 0 0% Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2
Slide 11: Rolling LTM Dividends, Adjusted Net Earnings Per Share and Net Earnings Per Share
Rolling LTM Dividends, Adjusted Net Earnings Per Share and Net Earnings Per Share $ 15.3% CAGR 1.4 Adjusted EPS Since Q4-2010 1.2 1.25 1.23 1.21 1.17 1.19 1.18 1.13 1.0 1.08 0.74 0.76 0.8 0.70 0.72 0.66 0.68 0.62 0.64 0.6 0.36 0.4 0.29 0.24 0.19 0.2 0.14 0.13 0.06 0.03 0.0 Q3-2016 Q4-2016 Q1-2017 Q2
Slide 12: AUM and Revenues Breakdown – by Geography
AUM and Revenues Breakdown – by Geography AUM as of June 30, 2018 Revenues Q2 2018 Canada 60% Canada 49% U.S. 32% U.S. 38% Europe and other 8% Europe and other 13% 12
Slide 13: Investment Performance (June 30, 2018)
Investment Performance (June 30, 2018) Traditional Strategies – Fixed Income and Balanced Annualized Rates of Return 5 YEARS OR INCEPTION BENCHMARK 1 YEAR SINCE INCEPTION1 YEAR NAME Return (%) Added Value (%) Return (%) Added Value (%) FIXED INCOME Integrated Fixed Income Universe 1.38 0.62 4.01 0.5
Slide 14: Investment Performance (June 30, 2018)
Investment Performance (June 30, 2018) Traditional Strategies – Equity Annualized Rates of Return 5 YEARS OR INCEPTION BENCHMARK 1 YEAR SINCE INCEPTION YEAR NAME Return (%) Added Value (%) Return (%) Added Value (%) Canadian Equity 9.27 -1.14 12.1 2.85 2013 S&P/TSX Composite Canadian Equity Core 9.5
Slide 15: Investment Performance (June 30, 2018)
Investment Performance (June 30, 2018) Alternative Strategies Annualized Rates of Return 5 YEARS OR INCEPTION BENCHMARK 1 YEAR SINCE INCEPTION1 YEAR NAME Return (%) Return (%) North American Market Neutral Fund 2.56 5.67 2007 Absolute Return Long / Short Equity Fund 3.31 12.64 2010 Absolute Return D
Slide 16: Outlook
Outlook Released an updated outlook of the Global Financial Forecast 2018-2025: Inflation fears and rising rates pave way for recession. 2022 Strategic Plan to be finalized in Q3. Increase scale of our U.S. platform. Enhancing private alternatives offering. Focus on efficiencies. Adjusted margin tar
Slide 17: Question Period
Question Period 17
Slide 18: Daniel Richard
Daniel Richard Senior Vice President, Global Human Resources and Corporate Communications drichard@fieracapital.com T 514 954-6456 18
Slide 19: Thank You
Thank You 19
Slide 20: fieracapital.com
fieracapital.com