Cembra Money Bank Ag · SIX:CMBN

Cembra Money Bank — Credit Suisse Mid-Cap Conference 2018

18 slides from Cembra Money Bank's conference presentation, Nov 15, 2018

  1. Slide 1: Cembra Money Bank

    Cembra Money Bank Credit Suisse Mid-Cap Conference, 15 November 2018 Page Cembra Money Bank

  2. Slide 2: A leading player in consumer finance in Switzerland

    A leading player in consumer finance in Switzerland Personal loans Auto leases & loans Credit cards Market (Dec’17) Market (Dec’17) Market (Dec’17) 34% Captives Independent Cembra • Bank-now • Swisscard (CS) • AMAG Leasing • Bank-now Money Cembra • Cashgate Bank • Viseca (Aduno) 2017 • BMW 2017 • Ca

  3. Slide 3: A proven track record of performance

    A proven track record of performance IPO targets 2014 2015 2016 2017 H1’18 (Oct. 2013) Net customer loan growth to Asset growth be moderate and in line 2.1% (0.3)% 0.9% 12.0% 4.0% with Swiss GDP growth Organic: 4.0% Profitability RoE target of at least 15% 17.0% 17.7% 17.4% 16.7% 17.8% Target Tier 1

  4. Slide 4: A clear strategy

    A clear strategy  Defend the core   Gain size through Build the future external growth & business diversification  Asset growth through  Robust IT investment plan  M&A transactions  Strong performance  Simplify customer  Swissbilling  Cross sell / upsell onboarding  EFL Autoleasing  New

  5. Slide 5: A strong value proposition

    A strong value proposition  Independent consumer finance specialist  Diversified distribution through own branches, independent credit agents, car dealers and retailers combined with a strong online presence  Premium price supported by superior personalized and flexible service in personal loans,

  6. Slide 6: H1 2018 market update

    H1 2018 market update Markets Cembra’s performance Personal loan market turned  Volumes in line with H1 2017… maintaining market share positive in 2017 (+2%)  Vast majority of the book repriced  4% increase of assets – lower attrition  Eny cooperation performing well Credit card market up 3% vs

  7. Slide 7: Key financials

    Key financials P&L (in CHF mn) H1’18 H1’17 Balance sheet as per 30 June 2018 Interest income 162.2 151.1 (in CHF mn) Assets Liabilities & Equity Interest expense (10.1) (12.6) Cash 5,312 mn Net interest income 152.1 138.6 Insurance 9.8 11.9 1,856 Credit card fees 43.2 34.5 Personal loans 2,750 Depos

  8. Slide 8: Diversified funding

    Diversified funding Diversified, local funding sources Funding programs (in CHF mn) 4,3011 Senior  Eight issuances of between CHF 50mn to CHF 200mn each 3,8781 4,0521 unsecured Non-Deposits – 36% 3,660  Avg. remaining term of 5.1 yrs / avg. rate of 0.49%3 IPO 1,102 ABS  Two AAA-rated issuances of

  9. Slide 9: Stable loss performance

    Stable loss performance Provision for losses (in CHF mn) 30+ days past due / NPL 4% 43.6 44.6 3% 30+ days past due 2.0% 2.0% 1.9% 1.9% 2% 24.0 23.9 Non-performing loans (NPL)² 21.1 1% 0.5% 0.4% 0.4% 0.5% 0% Jun'15 Jun'16 Jun'17 Jun'18 FY'15 FY'16 H1'17 H2'17 H1'18 Write-off performance³ 5% 2010 1.1%

  10. Slide 10: Strong capital position

    Strong capital position Tier 1 capital walk (in CHF mn)1 Comments 19.2% 18.9% Tier 1 ratio  Excess capital stood at CHF 39mn as of 30 June 2018  RWA increased by 4% in line with net financing receivables 789.7 (54.4) 810.4 growth 76.0 (0.9) 39 Excess capital 18% minimum target 11.2% regulatory req

  11. Slide 11: Outlook and guidance for 2018

    Outlook and guidance for 2018 Medium-term targets H1’18 Outlook for full-year 2018 Revenues Net customer loan growth to  Additional revenues from credit cards growth and Asset growth be moderate and in line 4.0% with Swiss GDP growth acquisitions expected to be partially offset by lower interest in

  12. Slide 12: Appendix

    Appendix Page 12 Cembra Money Bank

  13. Slide 13: Auto leases & loans: Prudent risk approach

    Auto leases & loans: Prudent risk approach Geographical diversification No brand concentration High quality assets Auto: 30+ days past due Other Top 3 Auto: Non-performing loans (NPL) brands brands 39% 31% Central 30% East 36% South West 7% 30% 27% Top 4-10 brands Prudent Residual Value (RV) setting

  14. Slide 14: P&L Income statement

    P&L Income statement (in CHF mn) H1’18 H1’17 V% Comments Interest income 162.2 151.1 7 1  Higher interest income driven by 2017 initiatives partially Interest expense (10.1) (12.6) (20) offset by the repricing of the personal loan back book  Lower interest expense primarily driven by lower debt fi

  15. Slide 15: Operating expenses

    Operating expenses Income statement (in CHF mn) H1’18 H1’17 V% Comments Compensation and benefits 1 52.8 49.2 7 1  Increase in FTE driven by the acquisition of EFL Autoleasing AG and Swissbilling growth Professional services 2 7.4 5.3 40 3 2  Professional services increased due to several initiati

  16. Slide 16: Balance sheet

    Balance sheet Assets (in CHF mn) 30-06-18 31-12-17 V% Comments Cash and equivalents 1 440 418 5 1  Stable cash level to manage upcoming maturities Net financing receivables 2 4,742 4,562 4 Personal loans 1,856 1,782 4 2  Strong originations across all products in H1 2018 Auto leases and loans 1,97

  17. Slide 17: Cautionary statement regarding forward-looking statements

    Cautionary statement regarding forward- looking statements This presentation by Cembra Money Bank AG (“the Group”) includes forward-looking statements that reflect the Group‘s intentions, beliefs or current expectations and projections about the Group’s future results of operations, financial condit

  18. Slide 18: Calendar and further information

    Calendar and further information Calendar 10 January 2019 Baader Swiss Equities Conference, Bad Ragaz 18 January 2019 Octavian Seminar, Flims 21 February 2019 2018 full-year results 22 February 2019 Roadshow Zürich 26 February 2019 Roadshow Frankfurt 27 February 2019 Roadshow London Visit us on cemb

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