Delfingroup As · OMXRSE:DGR1R
Delfingroup As — Q1 2023 Earnings Presentation
28 slides from Delfingroup As's earnings presentation, Mar 31, 2023
Slide 1: Financial report: Unaudited results for 3 months ending 31 March 2023
Financial report Unaudited results for 3 months Ending 31 March 2023
Slide 2: Company highlights, Business performance, Appendix
Financial report Company highlights Business performance Appendix
Slide 3: Key characteristics
Financial report Key characteristics +46% +53% +16% Q1 profit before +53% Q1 net loan portfolio growth Q1 revenue growth y-o-y Q1 EBITDA growth y-o-y taxes growth y-o-y y-o-y 13 58k+ active clients 90+ 350+ years profitable operations branches employees 50k+ 49% 6k+ shareholders 6 dividend payments
Slide 4: Recent highlights
Financial report Recent highlights 1 2 OPENING OF BANKNOTE XL DIGITALISATION OF SERVICES The largest store of pre-owned goods was Introduction of Smart ID and digital opened in Riga with an area of 300 m2. signature for remote identification of There are more than 4 500 new and pre- clients to recei
Slide 5: Business performance
Financial report Company highlights Business performance Appendix
Slide 6: Key results
Financial report Key results Total loans issued Net loan portfolio m€ Q1 y-o-y Q1 y-o-y m€ Q1 y-o-y Q1 y-o-y +15.0 +46% +25.5 +53% +5.7 +60% +8.9 +59% 24.0 73.5 22.2 22.6 67.5 20.4 60.5 Strong new loan issuance in Q1 54.5 14.4 14.7 15.1 43.8 48.0 2023 secured a stable loan portfolio 11.1 32.9 33.9 3
Slide 7: Consumer loans
Consumer loans Financial report Consumer net loan portfolio Average loan* m€ Q1 y-o-y Q1 y-o-y € Q1 y-o-y Q1 y-o-y +15.5 +55% +24.2 +56% +280 +29% +411 +33% 67.7 1669 1533 61.2 1432 54.9 1337 43.5 49.3 1027 1090 1182 1258 Eminent growth of consumer 39.7 978 30.4 34.9 lending segment. The net loan 28
Slide 8: Age analysis of consumer lending portfolio
Financial report Age analysis of consumer lending portfolio* 1.7% 1.9% 3.8% 2.8% 6.9% 6.4% Loan portfolio quality remains solid with slight improvements in Q1 2023. 87.6% 88.9% Improved underwriting processes and risk policy. 31.12.2022. 31.03.2023. Loans not due yet Outstanding 1-30 days Outstandin
Slide 9: Pawn loans
Pawn loans Financial report Pawn net loan portfolio* Average pawn loan amount m€ € Q1 y-o-y Q1 y-o-y Q1 y-o-y Q1 y-o-y +0.8 +46% +1.1 +44% +10 +15% +12 +16% 4.0 3.8 3.6 92 89 3.4 84 85 74 76 77 67 70 2.4 2.5 2.6 2.1 1.8 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2021 2022 2023 2021 2022 2
Slide 10: Retail of pre-owned goods
Retail of pre-owned goods* Financial report Sale of pre-owned goods** m€ Q1 y-o-y Q1 y-o-y +0.1 +5% +1.0 +43% 3.3 3.2 3.3 2.6 2.3 2.4 2.3 2.2 2.1 43% growth in Q1 2023 year on year. Q1 2021 Q2 Q3 Q4 Q1 2022 Q2 Q3 Q4 Q1 2023 Sales remain stable over the last 3 quarters as the segment has become Gross
Slide 11: Sales split by product category
Financial report Sales split by product category Sales split by product category (3M 2023) Clients have access to a wide range of pre-owned goods at Banknote online store and branch network. The most demanded product categories are electronics, such as smartphones, computers, TVs and jewelry.
Slide 12: Consolidated income statement
Consolidated income statement Financial report 2023 2022 Change INCOME STATEMENT, EUR’000 Q1 Q1* % Total revenue 11,082 7,586 +46% Cost of sales -1,443 -780 +85% Credit loss expense -2,145 -1,410 +52%** Interest expenses and similar -1,792 -689 +160%*** expenses Gross profit 5,702 4,707 +21% Selling
Slide 13: Consolidated balance sheet
Consolidated balance sheet Financial report BALANCE SHEET, EUR’000 31.03.2022 31.12.2022* Change % Fixed and intangible assets 1,595 1,470 +8% Right-of-use assets 2,698 2,636 +2% Net loan portfolio 73,453 67,518 +9% Inventory and scrap 3,909 2,290 +71% Other assets 1,042 875 +19% Cash 2,398 2,369 +1
Slide 14: Financial ratios
Financial ratios Financial report EBITDA margin* Equity ratio ROE** 33.5% 32.3% 42.6% 40.3% 39.6% 44.5% 37.6% 37.5% 37.4% 36.6% 36.9% 25.4% 23.7% 23.5% 37.0% 40.0% 38.7% 37.8% 20.4% 18.5% 22.2% 34.9% 31.4% 29.1% Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2021 2022 2023 2
Slide 15: Capital structure
Financial report Capital structure Capital structure 31.03.2023 Bond financing track record 10.0 m€ 8.5 * 24% 30% 5.0 5.0 5.0 5.0 3.5 3.5 46% 2013 2014 2016 2019 2020 2021 2021 2022 Secured Unsecured Unsecured Secured Unsecured Unsecured Unsecured Unsecured 14% 15% 14% 14% 12% 9.75% 8% 8.75% + Equit
Slide 16: Diversification
Financial report Diversification Revenue by business segments 3M 2023 21% Banknote consumer loans Although the most significant part of the VIZIA consumer loans revenue stream comes from the 46% consumer loan segment, we see great Pawn loans 14% potential in gradually growing other DelfinGroup segme
Slide 17: Dividends
Financial report Dividends Dividend yield of 6.4%* Unique dividend distribution proposal in Baltics Dividend Dividend payment Payout EUR/share EUR total period date ratio*** Upon shareholders Q1 2023 0.0177** 802 157** 49.73%** approval** Quarterly dividends Q4 2022 17.04.2023 0.0185 839 560 49.93%
Slide 18: Share performance
Financial report Share performance Share price, € Share dynamics compared to indexes 1.6 110% 1.55 105% 1.5 100% 1.45 95% 1.4 90% 1.35 85% 1.3 1.25 80% 1.2 75% 03.01.2022 03.05.2022 03.09.2022 03.01.2023 03.05.2023 03.01.2022 03.05.2022 03.09.2022 03.01.2023 03.05.2023 DGR1R – DelfinGroup Financial
Slide 19: Follow our news in e-mail and social networks
Financial report Follow our news in e-mail and social networks Visit our website to subscribe to the newsletter www.delfingroup.lv
Slide 20: Appendix
Financial report Company highlights Business performance Appendix
Slide 21: Consolidated income statement
Consolidated income statement Financial report 2020* 2021* 2022* 2023 BALANCE SHEET, EUR’000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Total revenue 5,877 5,028 5,605 6,782 5,890 5,765 6,335 7,199 7,586 8,440 9,432 10,318 11,082 Cost of sales -1072 -794 -810 -903 -620 -862 -721 -955 -780 -1,080 -1,179
Slide 22: Consolidated balance sheet
Consolidated balance sheet Financial report 2020* 2021* 2022* 2023 BALANCE SHEET, EUR’000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Fixed and intangible assets 748 859 927 1,038 864 818 789 1,201 1,301 1,351 1,387 1,470 1,595 Right-of-use assets 1,950 3,056 2,927 3,194 3,281 3,145 3,013 2,973 2,915 2,7
Slide 23: Sustainability
Financial report DelfinGroup ESG report for 2021/2022 available here. Sustainability Promotion of circular economy Inclusive society Sustainable corporate governance • Prolonged life-cycle of consumer • The most geographically available financial • 3 independent members of the goods. institution in
Slide 24: Historic timeline
Financial report Historic timeline Received ISO Initial Public 9001 and 50001 Offering at certification Corporate identity Nasdaq Riga 50 branches First 100 000 changed to opened in major customers Online lending First ESG report cities of Latvia registered rebranding started published 2009 2010 201
Slide 25: Highly appreciated company
Financial report Highly appreciated company CV-Online Latvia State Revenue Service Latvian Traders The Society Latvian Corporate Institute for Corporate Association Integration Foundation Governance Advisory Sustainability and Board Responsibility Top employer In-Depth Best Trader of Latvia Family-F
Slide 26: Definitions for Alternative Performance Measures
Financial report Definitions for Alternative Performance Measures EBITDA Earnings before interest, taxes, depreciation and amortization = (Profit before tax) + (Interest Return on Equity (ROE) expenses and similar expenses) + (Rights of used assets depreciation) + (Depreciation of fixed Net profit f
Slide 27: Disclaimer
Financial report Disclaimer This presentation is of selective nature and is made to provide an overview of the Company’s (AS DelfinGroup and its subsidiaries) business. Unless stated otherwise, this presentation shows information from consolidated perspective. Facts and information used in this pres
Slide 28: AS DelfinGroup
AS DelfinGroup Skanstes street 50A Riga, Latvia, LV-1013 IR@delfingroup.lv (+371) 26 18 99 88 www.delfingroup.lv