We are Avida. Company presentation

Transcription

1 We are Avida Company presentation

2 Who we are We are not like everybody else in this business, we will always go that extra mile to help our customers turn their plans into reality. We promise that we always give our customer the proper attention and the chance to get the financing they need. We have a clear set of principles how we operate and run our business

3 What we do Avida is a diversified lender focusing both on Business and Consumer finance with offices in Finland, Norway and Sweden We will only ever do one thing, lend money, and be the best in each of our markets We have ambitious plans for building a high growth and high quality Business and Consumer Finance business that will not tail off in growth. Avida has a growth target of SEK10bn+ loan book and SEK400m+ pre-tax profit in 2020

4 Avida in short Established 1983 Changed name 2010/2011 to Avida Finans New owners end of 2015 Regulated by the Swedish FSA Stock listed on NOTC, Oslo stock exchange 120 employees Offices in Stockholm, Oslo & Helsinki Turnover 2017 appr. SEK400m Handled invoice value during 2017: SEK4.1bn

5 Significant investments have been made to facilitate a long term growth journey Trøim, Midelfart, Ubon Partners and Icon acquired 100 % of the shares in Avida. SUCCESSFUL PLACEMENT OF NEW SHARES - ~SEK60m - SUCCESSFUL PLACEMENT OF NEW SHARES - ~SEK80m - SUCCESSFUL PLACEMENT OF NEW SHARES - ~SEK150m - Investments in Business Finance results in significant growth OCTOBER 2015 Q Q Q Q Q Q Q Q Significant investments in personnel to improve credit risk management as well as distribution capabilities. Launch of consumer finance in Norway. Positive effects materializing across the Avida platform due to investments in -15 and Q1-16. SUCCESSFUL PLACEMENT OF NEW SHARES - ~SEK125m - First day of trading on the Norwegian OTC market on 10 April 2017 (ticker: AVIDA ).

6 Diversified, scalable and set for high growth 1 Diversified business - well positioned to capture large opportunity in the SME market in the Nordics 2 Reshaped, automated platform - well set up for growth across the Nordics 3 Scalable model targeting SEKbn 10 loan book by Renewed, strong management team that has done this before set to do it even better this time 5 Shareholder friendly set up with long-term and active key shareholders

7 Financial targets I II Growth Return on equity Significant growth opportunity; realistic target of SEK10Bn+ loan book by 2020 by pursuing opportunities in both consumer and business Based on volume growth trajectory we expect a pre-tax profit 2020 of SEK400m+ Dynamic allocation of capital to products/segments with best risk/reward Target return on equity of more than 25% in line with industry average Lower ROE in the short term due to investment in organization and infrastructure III Capital ratios Current CET1 ratio target of ~13% Current total capital ratio target of % Will leverage capital markets for both debt and additional equity to grow intelligently IV Dividend policy Target dividend payout ratio of 35% No dividend payments in short / medium term due to growth focus

8 Q Finacial Highlights I Portfolio growth YoY growth in net loans of 85% - Total outstanding loans of SEK3,407m II Net interest margin Net interest margin of 14.2% III Cost / net interest income ratio Cost / Income ratio of 62.2% IV Loan losses Annualized loan losses of 2.3% V Profits Pre-tax profits of SEK16.7m VI Return on equity ROE of 10.7% - Return on required capital of 17.6% VII CET1 ratio CET1 ratio of 15.8% - Well above regulatory minimum requirements of 9.6%

9 Continued strong growth Net interest income (SEKm) Rolling 12 month Operating profit / EBT* (SEKm) 70,8 171% growth 75,4 84,7 88,8 95,8 251% growth 60,3 55,9 63,7 67,5 35,9 41,2 35,3 41,1 20,2 16 Q1 16 Q2 16 Q3 16 Q4 17 Q1 17 Q2 17 Q3 17 Q4 18 Q1 Continued strong growth in Net interest income in Q Q1 17 Q2 17 Q3 17 Q4 18 Q1 Continued significant growth in rolling EBT * Adjusted EBT in Q4 for one offs of total SEK12m

10 Continued positive development in net loans Products and geographic exposure Net loans to customers (SEKm)* PRODUCTS GEOGRAPHY Business Finance Consumer Finance % 27% % % Net interest income 41% Net interest income Consumer Business SWE NOR FIN 16 Q1 16 Q2 16 Q3 16 Q4 17 Q1 17 Q2 17 Q3 17 Q4 18 Q1 Continued strong growth in number of customers in Q Significant volume growth during Q * Excluding external commission

11 Nordic footprint Strong platform for further growth. Diversified across geographies and sectors. Geographical overview Geographical distribution Avida Footprint = Current Office The loan portfolio continues to evolve in a diversified shape Finland has seen the strongest growth from small numbers Sweden is now less dominant NET INTEREST INCOME 27% 41% 32% Sweden Norway Finland Key comments OSLO HELSINKI I Avida is headquartered in Stockholm and has centralised key functions such as IT, HR, risk management and finance STOCKHOLM II Healthy distribution of business between three geographic markets provides diversification and expansion opportunities III Proven key infrastructure / systems, with support for simultaneous multi country operations

12 Global presence We follow our clients wherever their business takes them.

13 Seasoned and diligent Board of Directors Stefan Alexandersson Chairman of the Board Christian Bjørnstad Board Member (Icon Capital) Chairman in Avida since June 2017 Board Member in Avida since October ,000 shares Selected experience: CEO, Senior Executive Vice President, CFO and CIO in Collector Bank between 2005 and 2017 M. Sc. In Accounting, Finance and Marketing from Umeå University 11,720,988 shares *** Selected experience: Partner in Icon Capital, Partner in McKinsey, VP in Merrill Lynch International and Associate in Credit Suisse First Boston B. Sc. In Business Administration from University of Denver and MBA from Kellogg Graduate School of Management Geir Olsen Board Member (Ubon Partners) Celina Midelfart Board Member Board Member in Avida since August 2016 (prior Chairman) Board Member in Avida since October ,188,259 shares * Selected experience: Partner in Ubon Partners, Board Member in PRA Group, Board Member in Acano, CEO in Aktiv Kapital, VP of Telepresence Sales in Cisco, President of EMEA in Tandberg and Manager in McKinsey M. Sc. in Economics and Business from Norwegian School of Economics 4,825,507 shares Selected experience: Owner, CEO, Executive Chairman and Board Member of several companies within the Midelfart conglomerate B. Sc. in Finance from the London School of Economics as well as Stern School of Business at New York University Håkon Fure Board Member (Magni Partners) Board Member in Avida since August 2016 Selected experience: Board Member in Storebrand, Partner in Magni Partners and Head of Bank and Insurance Research in DNB Markets 12,347,371 shares ** M. Sc. in Finance from Norwegian School of Management (BI) and Università Commerciale 'Luigi Bocconi (Milan, Italy) Note(*): indirectially through Ubon Partners/Whiteout Note(**): and direct through Magni Partners/Taran Holdings Note(***): indirectly through Icon Capital/IC Financials AS

14 Experienced and hands-on management team Tord Topsholm Chief Executive Officer Started in Avida April 2018 Selected experience: CEO in Catella Bank, Head of Sales & Service Swedbank, COO EnterCard B. Sc. in Electrical Engineering and Economics from the Royal Institute of Technology, Stockholm Pehr Olofsson Chief Financial Officer Starts in Avida August 2018 Selected experience: CFO Bankgirot, dpt. CFO Klarna, CFO Swedbank Baltic, CFO EnterCard Master of Laws, University of Stockholm Jenny Larsson Chief Information Officer Started in Avida February 2018 Selected experiencei: IT Leader GE Europe, IT Programme Director GE Europe M. Sc. in Industrial Engineering from the Royal Institute of Technology, Stockholm Frederick Sheppard Chief Legal Officer Started in Avida September 2016 Selected experience: Legal Counsel at Lindorff Sverige AB & Santander Consumer Bank AS, Legal Officer at the Swedish Enforcement Authority Master of Laws, University of Stockholm Martin Ahlberg Head of Consumer Finance Started in Avida May 2016 Selected experience: Risk Director in Santander Consumer Bank (Sweden), Head of Credit & Risk in Marginalen Bank, Head of Credit & Risk in Citibank Consumer Bank and Manager in KPMG B. Sc. in Public Administration from the University of Stockholm Linda Viberg Chief HR Officer Started in Avida February 2017 Selected experience: Head of HR & Finance Svea Exchange (Svea Ekonomi), HR Manager Svea Exchange, HR Manager Exchange F. AB Bachelor of Laws, University of Stockholm Jessica Sparrfeldt Head of Business Finance Started in Avida March 2017 Selected experience: Head of Corporate in Collector Bank as well as Head of Products within Corporate Banking in Marginalen Bank Several courses within Business, Strategy, Management and Marketing from IHM Business School, UC Business School and ESI International Torbjörn Jacobsson Chief Risk Officer Started in Avida June 2017 Selected experience: CRO, CIO, CFO Marginalen Bank M. Sc. in Business Administration, Stockholm Business School

15 Meet Norsk Gjenvinning Factoring 100% financing of all recievibles Factoring limit of 45 MEUR Number of invoices/year: Countries: Norway, Sweden

16 Meet Puumerkki Carve-out deal Factoring 100% financing of all receivables Give the target company immediate liquidity Mimir does not have to invest in working capital Wins for our client: Better and easier cash flow planning Reduces AR-management costs Reduced credit loss, collection process is managed by Avida Improved financial key figures Frees up capital for other uses such as new acquisitions

17 STOCKHOLM Visiting address: Södermalmsallén 36 Postal address: Postbox Stockholm Contact information: Phone: HELSINKI Visiting address: Linnoitustie 6 b Postal address: Linnoitustie 6 b Espoo Contact information: Phone: luotto@avidafinans.fi OSLO Visiting address: Fredrik Selmersvei 6 Postal address: Postbox 6134 Etterstad 0602 Oslo Contact information: Phone: info@avida.no