Slide 1: eQ Plc – result 2021 result presentation 4 February 2022
eQ Plc – result 2021 result presentation 4 February 2022
Slide 2: 2021 highlights
2021 highlights Asset Management eQ is the leading Finnish institutional asset manager. According to the 2021 SFR research, 70% of the largest Finnish institutional investors use eQ’s services and eQ has been ranked as No.1 in overall quality. Traditional asset management: – Performances of the
Slide 3: eQ Group – Key figures
eQ Group – Key figures MEUR 1-12/2021 1-12/2020 Change Net revenue 78.9 56.7 39% Operating profit 47.7 30.8 55% Profit for the period 38.1 24.8 55% Earnings per share (EUR) 0.97 0.64 51% Cost/income -ratio, % 39.5 45.6 -13% Liquid assets 56.0 36.3 54% Investments in PE and RE funds 18.8 15.7 20% Div
Slide 4: eQ Group – Rolling 12 months
eQ Group – Rolling 12 months Net revenue development, rolling 12 months, MEUR Operating profit development, rolling 12 months, MEUR 88,0 57,0 78,9 77,9 47,7 78,0 46,5 69,6 47,0 40,2 68,0 62,8 56,7 35,3 58,0 52,2 37,0 51,6 30,8 50.6 51.1 27,6 47.8 49.7 47.3 27.0 45.4 48,0 42.344.5 25.3 27,0 40.7 40.9
Slide 5: eQ Group – Balance sheet
eQ Group – Balance sheet ASSETS LIABILITIES AND EQUITY (MEUR) 12/2021 12/2020 (MEUR) 12/2021 12/2020 Liquid assets 0.1 0.0 Other liabilities 6.3 5.2 Claims on credit institutions 35.1 21.4 Accruals and deferred income 19.1 15.0 Lease liabilities 1.2 2.0 Financial assets Income tax liabilities 4.2 1.
Slide 6: Asset Management
Asset Management
Slide 7: SFR-research 2021
SFR-research 2021 Most used institutional asset managers Quality ratings (1-5) 0% 20% 40% 60% 80% 3,50 3,70 3,90 4,10 eQ 70% eQ 4,03 2 67% 3 60% 2 3,95 4 53% 5 49% 3 3,87 6 46% 7 45% 4 3,87 8 38% 9 26% 5 3,81 10 20% 11 6 3,69 20% 12 15% 7 3,64 13 15% 14 13% 8 3,63 15 11% Source: SFR 2021 7
Slide 8: Asset Management – Income statement
Asset Management – Income statement MEUR 1-12/2021 1-12/2020 Change NET REVENUE 64.9 52.8 23% Personnel expenses -21.2 -17.4 22% Other administrative expenses -1.6 -1.5 12% Depreciation -0.8 -0.8 -3% Other operating expenses -0.9 -1.0 -4% OPERATING PROFIT 40.3 32.1 26% Cost/income -ratio, % 37.7 39.
Slide 9: Asset management – Fee income, change
Asset management – Fee income, change Asset management fee income change, MEUR PE Real estate 4,5 MEUR / 36 % Traditional 4,9 MEUR / 16 % 2,7 MEUR / 25 % Total 12.2 MEUR / 23 % 9
Slide 10: Asset Management – Fee income and Aum
Asset Management – Fee income and Aum MEUR 1-12/2021 1-12/2020 Change Management fees Traditional asset management 10.6 8.1 30 % Real estate asset management 29.1 2.6 14 % Private equity asset management 13.9 12.5 11 % Management fees total 53.6 46.3 16 % Performance based fees Traditional asset man
Slide 11: Asset Management – Rolling 12 months
Asset Management – Rolling 12 months Net revenue development, rolling 12 months, MEUR Operating profit development, rolling 12 months, MEUR 66,7 64,9 41,5 40,3 61,0 37,5 56,3 34,5 52,8 32,1 47,1 45,3 46,1 44,3 28,0 41,6 26,5 27,0 40,0 25,4 38,4 37,3 23,3 35,4 36,7 33,9 34,4 21,8 20,0 20,5 30,5 18,8
Slide 12: Asset Management – Traditional AM mutual funds
Asset Management – Traditional AM mutual funds Traditional funds managed by eQ Gross returns 31 Dec 2021 12 months 3 years p.a. Morning- Funds that have exceeded the comparison index Return Diff. Comparison Return Diff. Comparison star Fixed Income Funds eQ Euro Short Term -0,37 % -0,20 % eQ Floatin
Slide 13: Asset Management – eQ Real Estate funds
Asset Management – eQ Real Estate funds eQ Community Properties eQ Commercial Properties eQ Residential Invests in modern care properties Invests in commercial real estate Closed-end fund only for professional investors – Avg. lease maturity: 9 years, vacancy 2% Avg. lease maturity: 6 year
Slide 14: Asset Management – Private Equity
Asset Management – Private Equity Private equity and private credit funds – AUM EUR 2.2 bn PE AM programmes – AUM EUR 1.0 bn Vintage Fund Size Stage Investors Manages private equity operations of clients 2022 eQ PE SF IV 85 MEUR 1. close 8 2022 eQ PE XIV North 196 MEUR 1. close 47 2021 eQ VC 56 MUSD
Slide 15: Corporate Finance
Corporate Finance
Slide 16: Corporate Finance
Corporate Finance Advium Corporate Finance Leading Finnish Corporate Finance advisor Over 200 transactions with value of approx. EUR 20 billion 15 professionals with experience from Corporate Finance, Private Equity and Real Estate transactions Mergers & acquisitions Real estate transactions L
Slide 17: Corporate Finance – Latest transactions
Corporate Finance – Latest transactions M&A Transactions and Equity capital markets Real estate transactions 17
Slide 18: Corporate Finance – Key figures
Corporate Finance – Key figures Net revenue development, rolling 12 months, MEUR Operating profit development, rolling 12 months, MEUR 9,7 5,0 9,1 9,1 4,6 4,5 7,9 7,7 7,7 3,7 3,6 7,0 7,1 7,1 6,9 3,6 6,8 6,9 3,4 6,3 6,2 3,2 3,3 3,2 3,2 5,9 2,9 5,4 5,3 5,3 2,7 2,7 5,2 5,0 2,6 4,8 4,8 4,7 4,8 4,5 4,5 4
Slide 19: Investments
Investments
Slide 20: Investments – Key figures
Investments – Key figures EUR million 1-12/2021 1-12/2020 Returned capital (excl. profit) 3.5 1.8 Distribution of profits 3.2 0.3 Capital calls -2.6 -1.6 Net cash flow 4.1 0.6 Market value 18.8 15.7 Investment commitments 7.2 7.1 Profit and loss Distribution of profits 3.2 0.3 Value changes recogniz
Slide 21: eQ’s share, outlook and summary
eQ’s share, outlook and summary
Slide 22: Share price development and market cap
10,00 15,00 20,00 25,00 30,00 35,00 0,00 5,00 01.01.2019 01.02.2019 01.03.2019 01.04.2019 01.05.2019 01.06.2019 01.07.2019 01.08.2019 01.09.2019 01.10.2019 01.11.2019 01.12.2019 01.01.2020 01.02.2020 01.03.2020 01.04.2020 the turnover was EUR 48.9 million (EUR 35.8 million). 01.05.2020 01.06.202
Slide 23: Shareholders 31 December 2021
Shareholders 31 December 2021 Shares % of shares The number of shareholders 1 Fennogens Investments S.A. 7 953 766 20,07 9 000 2 Anchor Oy Ab 6 106 706 15,41 3 Chilla Capital S.A. 6 055 904 15,28 8 000 4 Teamet Oy 4 200 000 10,60 7 000 5 Oy Cevante Ab 1 419 063 3,58 6 Fazer Jan Peter 1 302 484 3,29
Slide 24: Outlook
Outlook As for sales, the year 2021 was very good for eQ Asset Management. In January 2022, the eQ PE XIV North and eQ PE SF IV private equity funds raised a record amount of EUR 281 million in the first closings of the funds, and the eQ VC Fund grew to USD 56 million. This strengthens our view that
Slide 25: Performance based fees of the PE-funds
Performance based fees of the PE-funds Based on the strong value creation of the private equity funds managed by eQ, eQ will begin to accrue the catch up share of private equity funds’ performance fee (carried interest) in the income statement in 2022. After the catch up stage, the performance f
Slide 26: Summary and next financial reporting
Summary and next financial reporting MEUR 1-12/2021 1-12/2020 Change Net revenue 78.9 56.7 39% Operating profit 47.7 30.8 55% Profit for the period 38.1 24.6 55% Earnings per share (EUR) 0.97 0.64 51% Cost income -ratio, % 39.5 45.6 -13% Liquid assets 56.0 36.3 54% Investments in PE and RE funds 18.