Afp Habitat Sa · BCS:HABITAT

Afp Habitat Sa — HSBC Latin American Investment Summit 2015

45 slides from Afp Habitat Sa's conference presentation, April 2015

  1. Slide 1: Company Presentation 2014 Results

    Company Presentation 2014 Results April 2015

  2. Slide 2: Agenda

    Agenda 2015 Highlights Appendix 2

  3. Slide 3: Agenda

    Agenda 2015 Highlights Appendix 3

  4. Slide 4: Key Indicators

    Key Indicators Monthly Contributors Average Monthly Salary Base Contributors Mkt % Total CLP th TOTAL AUM1 APV AUM1 CAV AUM1 Source: AFP Habitat. (1): Figures in CLP converted to USD at average transactional Fx rate on previous business day (CLP/USD) 617.67 as of February 27th, 2015. 4

  5. Slide 5: Consolidated Income Statement

    Consolidated Income Statement CLP MM Dec-14 Dec-13 Var 14/13 Var 14/13 % Revenues 140,504 129,379 11,125 8.6% Remuneration and Employee Related Expenses (29,543) (26,180) (3,363) 12.8% Other Operating Expenses (28,246) (25,183) (3,063) 12.2% Operating Expenses (57,789) (51,363) (6,426) 12.5% Depreci

  6. Slide 6: Peru Operation Pro-Forma Adjustment

    Peru Operation Pro-Forma Adjustment CLP MM Consolidated IS Perú Effect Adjusted IS Adj Var 14/13 Adj Var 14/13% Revenues 140,504 2,885 137,619 8,240 6.4% Remuneration and Employee Related Expenses (29,543) (2,565) (26,977) (798) 3.0% Other Operating Expenses (28,246) (4,535) (23,711) 1,472 -5.8% Ope

  7. Slide 7: Revenues Breakdown

    Revenues Breakdown CLP MM Dec/2014 % Dec/2013 % Var 14/13 Var 14/13 % Revenues From Fees (Chile) Mandatory (CCICO) 127,782 93.7% 119,865 94.1% 7,917 6.6% APV 4,226 3.1% 3,641 2.9% 586 16.1% CAV 2,425 1.8% 2,153 1.7% 272 12.6% Pensions 1,835 1.3% 1,626 1.3% 209 12.9% Other Fees 109 0.1% 29 0.0% 80 27

  8. Slide 8: Operating Expenses Breakdown

    Operating Expenses Breakdown CLP MM Dec/2014 % Dec/2013 % Var 14/13 Var 14/13 % Administrative Employees Remuneration (15,939) 54.0% (14,783) 56.5% (1,155) 7.8% Sales Employees Remuneration (6,646) 22.5% (5,967) 22.8% (679) 11.4% Employee Short-Term Benefits (4,695) 15.9% (3,492) 13.3% (1,203) 34.4%

  9. Slide 9: Differentiated Service Offering

    Differentiated Service Offering Habitat Móvil 13 Branches opening 22 mobile branches on Saturday mornings Coverage: 186 comunas and 188 localidades New web services for Website chat service voluntary savings Business hours extension Online Appointment in the call center Reservation Friday afternoon

  10. Slide 10: 2014 Consolidated Balance Sheet

    2014 Consolidated Balance Sheet CLP MM Dec/2014 Dec/2013 Var % Cash and Equivalents 44,321 63,159 -29.8% Other Current Assets 8,534 3,459 146.7% Total Current Assets 52,855 66,617 -20.7% Reserve Requirements 256,879 220,867 16.3% Other Non Current Assets 18,075 20,923 -13.6% Total Non Current Assets

  11. Slide 11: Consolidated Results Evolution

    Consolidated Results Evolution Revenues EBITDAR CLP MM CLP MM 160,000 100,000 140,504 140,000 85,648 87,260 129,379 84,225 121,301 79,692 120,000 114,486 80,000 100,000 60,000 80,000 60,000 40,000 40,000 20,000 20,000 0 0 2011 2012 2013 2014 2011 2012 2013 2014 EBITDA / Reserve Requirement Net Profi

  12. Slide 12: AFP Habitat: Return on Investment

    AFP Habitat: Return on Investment 1st 2nd 3rd 4th 5th 6th Ac c ount 12 Mont hs (%) 36 Mont hs (%) 60 Mont hs (%) St at ement A B C D E A B C D E A B C D E Dec - 14 8.81 8.27 9.01 7.85 6.95 7.32 5.91 6.19 5.82 6.95 4.42 4.34 4.96 5.05 5.45 Aug- 14 21.73 17.55 15.50 12.39 9.06 8.19 6.52 6.43 6.04 5.07

  13. Slide 13: Return on Investment (Cont'd)

    AFP Habitat: Return on Investment (Cont’d) 1st 2nd 3rd 4th 5th 6th AF P CAPIT AL_Ranking AF P CUPRUM_Ranking Ac c ount s 12 Mont hs (%) 36 Mont hs (%) 60 Mont hs (%) Ac c ount s 12 Mont hs (%) 36 Mont hs (%) 60 Mont hs (%) AF P MODELO_Ranking St at ement A B C D E A B C D E A B C D E St at ement A B

  14. Slide 14: Agenda

    Agenda 2015 Highlights Appendix 14

  15. Slide 15: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 15

  16. Slide 16: Stock Performance

    Stock Performance 1985-2015YTD 2010-2015YTD Price (Base 100, Volume Traded CLP 31 Dec-2010) (CLP MM) 1000 April 14th, 2014: share price of CLP 930 900 2013: Habitat entered MSCI LATAM Small Cap Index, reaching historical high 800 share price of CLP 1,010 2010: CChC purchases Citigroup’s shares 700 a

  17. Slide 17: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 17

  18. Slide 18: Mandatory Products Indicators

    Mandatory Products Indicators Affiliates Total Contributors Affiliates (MM) MS (%) Total Contributors (MM) MS (%) AUM* Contributors / Affiliates MS (%) Percentage AUM (USD bn) Source: Superintendencia de Pensiones as of Feb-2015 Fx (CLP/USD) 617.67. 18

  19. Slide 19: Mandatory Products Indicators (Cont'd)

    Mandatory Products Indicators (Cont’d) Average Monthly Salary Monthly Salary Base USD FX (Pesos/Dollar) UF MM 9.5%  Average Monthly Salary 9.5% higher than  Salary Base has grown at: industry average, as of Feb-2015  8.2% per year since Feb-04  8.2% per year since Feb-09 Source: SP as of Feb-201

  20. Slide 20: Market Share by Salary Base

    Market Share by Salary Base MS (%) Monthly Contributors 30% 26,5% 26,4% 25,2% 24,2% 25% 22,5% 19,5% 20% 17,0% 15% 10% 5% 0% (CLP th) 0 - 200 200 - 400 400 - 650 650 - 850 850 - > 1,000 Total 1,000 Dec-2006 Dec-2007 Dec-2008 Dec-2009 Dec-2010 Dec-2011 Dec-2012 Dec-2013 Dec-2014  AFP Habitat´s overal

  21. Slide 21: Affiliates, Contributors & Salary Base

    Affiliates, Contributors & Salary Base Contributors & Affiliates Contributors & Salary Base 35% 35% 30% 30% Provida Provida MS (%) Contributors (Avg. LTM Feb-2015) MS (%) Contributors (Avg. LTM Feb-2015) 25% 25% 20% 20% Capital Capital 15% 15% Modelo Modelo Cuprum 10% 10% Cuprum 5% 5% Planvital Plan

  22. Slide 22: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 22

  23. Slide 23: Voluntary Products Indicators

    Voluntary Products Indicators # of APV Accounts AUM APV # of accounts MS (%) USD th MS (%) # of CAV Accounts AUM CAV # of accounts MS (%) USD th MS (%) Source: SP as of Feb-2015. 23

  24. Slide 24: AFP Habitat: Voluntary Products

    AFP Habitat: Voluntary Products CLP MM 1.400.000 1.342.353 1.367.025 1.200.000 1.000.000 800.000 583.553 600.000 523.002 400.000 200.000 33.709 14.986 - Habitat Capital Cuprum Modelo Planvital Provida  Voluntary Products = CAV & APV AUM  The regulator as well as industry players are constantly see

  25. Slide 25: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 25

  26. Slide 26: AFP Industry Overview

    AFP Industry Overview 1980 Chilean legislation (Law Decree 3500) established a compulsory individual capitalization system with privately-managed pension funds (AFP) New AFP system launched with 12 players 1981 1985 AFPs authorized to invest in corporate stocks 2000 In accordance with regulatory mod

  27. Slide 27: AFP Industry Composition: 1981 – 2015

    AFP Industry Composition: 1981 – 2015 1981 1990 1994 1995 1998 2004 2008 2015 (12) (14) (21) (15) (8) (6) (5) (6) HABITAT HABITAT HABITAT HABITAT HABITAT HABITAT HABITAT HABITAT CUPRUM CUPRUM CUPRUM CUPRUM CUPRUM CUPRUM CUPRUM CUPRUM ALAMEDA Since 1981, Habitat is one UNION UNION UNION of only two A

  28. Slide 28: AFPs Product Offering

    AFPs Product Offering CCICO (Mandatory Contribution Account) Pensions (RP, Programmed Withdrawals)  Compulsory savings = 10% of gross  Pension payment alternative whereby salary base1 affiliate maintains pension account with  Fees: 0.47%-1.54% of salary base the AFP (Habitat = 1.27%)  Fee: 0.95%

  29. Slide 29: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 29

  30. Slide 30: Company Overview

    Company Overview Snapshot Key Figures  AFP Habitat was founded in 1981, by the  Market Capitalization: USD 1.5 bn5 Chilean Construction Chamber (Cámara  Employees: 1,5611 Chilena de la Construcción, or CChC)  27 branches, 6 service centers, 22 mobile  CChC controls AFP Habitat through branches

  31. Slide 31: Revenues from Fees Breakdown

    Revenues from Fees Breakdown Dec-11 Dec-14 1.8% 1.8% 1.7% 1.3% 2.6% 3. 1% 2.3%1.8%1.6% 93.7% 93.8% Dec-11 Dec-14 1.2% 1.9% 2.1% AFP 94.2% Industry (exc. Habitat) 94.7% CCICO APV CAV Pensions Other Source: SP. AFPs’ financial statements. 31

  32. Slide 32: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 32

  33. Slide 33: Operating Costs Structure

    Operating Costs Structure Current Commissions All Commissions =1.27% 110% 100% 90% 80% 70% 13,6% 60% 1,3% 50% 27,9% 1,8% 27,6% 40% 1,2% 13,7% 30% 0,6% 17,2% 14,7% 20% 0,4% 33,9% 29,9% 13,4% 31,0% 10% 19,6% 17,5% 8,4% 0% 1 3 2 1 4 3 2 4 Habitat Capital Cuprum Modelo Planvital Provida As of Q4-2014 AF

  34. Slide 34: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 34

  35. Slide 35: Operation in Peru

    Operation in Peru • AFP Habitat was awarded the first new affiliates auction in Peru to receive all new entrants for a 2-year period (starting June, 2013-ending May, 2015) • In upcoming May 2015 it will have been two years since our Commercial launch took place on June 1st, 2013 • In December, 2014

  36. Slide 36: Peruvian Operations (Cont'd)

    Peruvian Operations (Cont’d) Affiliates Anual Return on Investment Affiliates (MM) MS% 500,000 8% 7% 450,000 7% 3/31/2015 12M 400,000 6% Habitat Integra Prima Profuturo 400,388 6% Fondo 1 10.04% 9.23% 9.72% 350,000 4% 341,969 5% Fondo 2 12.78% 11.31% 11.14% 11.44% 300,000 Fondo 3 8.46% 8.68% 9.39% 2

  37. Slide 37: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 37

  38. Slide 38: Contact with our Customers

    Contact with our Customers We serviced over 300th customer visits in our branches Branch until March 2015 Offices Nationwide coverage currently includes 26 branches, 6 service centers, 22 mobile branches and 3 stands in malls Up until March 2015, our website visits totaled 3 MM Internet and over 4.1

  39. Slide 39: Contact with our Customers (Cont'd)

    Contact with our Customers (Cont’d) This online chat assistance service allowed over 22 Website thousand contacts from Jan-Mar 2015 Chat Up until February 2015 over 556th transactions were Habi-Express serviced through the self-service Habi-Express machines (Self-Service) 64 self-service machines lo

  40. Slide 40: Contact with our Customers (Cont'd)

    Contact with our Customers (Cont’d) Account In February,2015 over 1.9 MM account statements Statements were sent to our affiliates 43% of these were emailed Social As of March, 2015 we had over 82,019 followers on Facebook and Twitter Networks First AFP to use social networks As of March, 2015 Habit

  41. Slide 41: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 41

  42. Slide 42: AFP Habitat Funds Breakdown

    AFP Habitat Funds Breakdown Fund A: USD 7.1 bn Fund B: USD 7.7 bn Fund C: USD 16.3 bn Fund D: USD 6.4 bn E: USD 6.2 bn Total: USD 43.6 bn Source: SP as of Feb-2015. Fx (CLP/USD): 617.67. 42

  43. Slide 43: Appendix

    Appendix 1. Stock Performance 2. Mandatory Products 3. Voluntary Products 4. AFP Industry Overview 5. AFP Habitat Overview 6. AFPs Operating Cost Structure 7. Operation in Peru 8. Contact with our Customers 9. AFP Habitat Funds Breakdown 10. AFP Habitat Dividend Policy 43

  44. Slide 44: Dividend Policy

    Dividend Policy AFP Habitat’s Dividend Policy  Distribute a minimum of 90% of “distributable net income” (DNI): o Annual net income, minus the financial gains on the required reserve in the event that it is positive, and minus net reserves purchased in the period  Policy of interim dividends: twic

  45. Slide 45: Company Presentation

    Company Presentation 2014 Results April 2015

AFP Habitat — HSBC Latin American Investment Summit 2015 on 6ix