AGF Management Limited Class B · TSX:AGF.B
AGF Management Limited Class B — Q2 2019 Earnings Presentation
15 slides from AGF Management Limited Class B's earnings presentation, Jun 26, 2019
Slide 1: AGF Management Limited Earnings Conference Call Q2 2019
AGF Management Limited Earnings Conference Call Second Quarter 2019 June 26th, 2019
Slide 2: Caution Regarding Forward-Looking Statements
Caution Regarding Forward-Looking Statements The forward looking information is provided as of June 26th, 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 securiti
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 2nd Quarter of Fiscal 2019 • Business Updates – Retail – Investment Management – Institutional – Private Alternatives • Financial Results • Capital & Liquidity • Focus & Priorities 4
Slide 5: Q2 2019 Highlights
Q2 2019 Highlights Continued progress toward stated objectives Product enhancements Two new Finalist for four AGF Global Real U.S.-listed Wealth Professional Assets Class and Fund AGFiQ ETFs Awards Private alternatives Adjusted diluted SG&A efficiency AUM reaches initiative on track EPS 17% higher $
Slide 6: Line of Business Performance
Line of Business Performance ($ millions) Q2 2018 Q2 2019 Change Mutual funds 19,118 18,725 2% Institutional, Sub-advisory & ETF 12,823 11,712 9% Private Client 5,521 5,722 4% Private Alternatives 1,009 2,179 116 % Total 38,471 38,338 0% 6
Slide 7: Retail Business Review
Retail Business Review IFIC Industry Net Sales ($B)1 AGF Retail Mutual Fund Net Sales ($M)2 Q2 TTM Ending May 31 41.5 85 32.4 4 (107) (169) (436) (12.0) (894) TTM Ending TTM Ending TTM Ending May 31, 2017 May 31, 2018 May 31, 2019 FY2017 FY2018 FY2019 (1) Industry long-term funds net sales per IFIC.
Slide 8: Investment Management
Investment Management 49% 71% AGF Global Select AUM above median of Canadian ETFs and AGF U.S. Small- over one year1 with two year track Mid Cap Funds records ranked ranked in top five above median1 percentile over two, three and five years1,2 (1) Source: Morningstar, as at May 31, 2019. (2) See dis
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) Q2-19 Q1-192 Q2-19 Q2-183 (Unfav) (Unfav) Revenue 109.8 105.0 4.6% 109.8 111.6 (1.6%) SG&A 48.6 48.0 (1.3%) 48.6 52.6 7.6% Co
Slide 10: Financial Results – BPS Detail
Financial Results – BPS Detail1,2 (bps of average AUM) Q2-19 TTM Average AUM excl. Private Alternatives ($B)3 36.3 36.2 Average Mutual Fund 18.5 18.4 Average Institutional, Sub-Advisory, ETFs & 17.8 17.8 Private Client Revenue (bps)4 111 109 Less: Trailer Fees (bps) 34 34 SG&A (bps)5 54 53 EBITDA be
Slide 11: Capital & Liquidity
Capital & Liquidity1 60 4 4 50 54 51 3 46 45 40 42 3 ($ millions) 2 30 2 20 60% 1 55% 55% 49% 46% 1 10 0 - (1) TTM Q2-FY18 TTM Q3-FY18 TTM Q4-FY18 TTM Q1-FY19 TTM Q2-FY19 TTM Adjusted FCF TTM Dividend to FCF % (1) Q2-2018 adjusted for one-time restructuring costs of $3.8m (net of tax). Q4-2017 adjus
Slide 12: 2019 Focus & Priorities
2019 Focus & Priorities Position AGF Maintain Leverage the to reach Above median trajectory of investment $5 billion improvement in private performance in retail and platform alternative institutional assets 12
Slide 13: Appendix: Historical P&L excluding One-time Items and Restated for IFRS 15
Appendix: Historical P&L excluding One-time Items and Restated for IFRS 151 From continuing operations adjusted for one-time items and restated for IFRS 15 ($M, except per share data) Q1'18 Q2'18 Q3'18 Q4'18 Q1'19 Q2'19 Total Average AUM excluding Private Alternatives 2 35,811 36,110 37,073 36,353 3
Slide 14: Thank You!
Thank You! To learn more about AGF’s history visit: www.agf.com/ca/en/about- agf/our-story
Slide 15: Disclaimer
Disclaimer Annualized Performance CAD as of May 31, 2019 YTD 1 Year 3 Years 5 Years 10 Years PSD AGF Global Select (Series F – Net) 14.37% 6.81% 18.88% 16.47% 14.71% AGF Global Select (MF Series - Net) 13.76% 5.33% 17.11% 14.59% 13.20% 6.77% MSCI All Country World Index 8.29% 3.46% 10.83% 10.55% 12.