Agf Management Limited Class B · TSX:AGF.B
Agf Management Limited Class B — Q1 2012 Earnings Presentation
13 slides from Agf Management Limited Class B's earnings presentation, Mar 28, 2012
Slide 1: AGF Management Limited Q1 2012 Earnings Conference Call
Independent. Strong. Focused. AGF Management M Limited Li i d Q1 2012 Earnings Conference Call March 28, 2012
Slide 2: Caution Regarding Forward-Looking Statements
CAUTION REGARDING FORWARD‐LOOKING STATEMENTS The forward looking information is provided as of March 28, 2012. Certain information presented in these remarks and in this presentation that is not historical factual information may constitute forward‐looking information within the meaning of securitie
Slide 3: Conference Call Participants
CONFERENCE CALL PARTICIPANTS • Blake C. Goldring, M.S.M., CFA, Chairman & Chief Executive Officer • Robert J. Bogart, g CPA, Executive Vice‐President & Chief Financial Officer • Mario Causarano, CA, President & Chief Operating Officer, AGF Trust Company AGF Management Limited 3
Slide 4: AGF Management Limited: Overview of Q1 2012
AGF MANAGEMENT LIMITED: OVERVIEW OF Q1 2012 • AUM to $47.8 billion; an increase of 3.9% relative to last quarter; decrease of 8.8% vs. Q1 Q1‐11 11 • Retail gross sales were down, but redemptions have flattened • Institutional channel had positive net sales; strong pipeline • Consolidated revenue was
Slide 5: Retail Business Segment: Q1 2012 Overview
RETAIL BUSINESS SEGMENT: Q1 2012 OVERVIEW Overall industry sales for the RRSP season have been flat Flows Fl going i tto B Balanced l d and d Fi Fixed d Income; I Equities E iti in i outflow tfl AGF gross sales were down 39% over the quarter relative to last year, driven largely by the weak RR
Slide 6: Institutional Business Segment: Q1 2012 Growth & Pipeline for 2012
INSTITUTIONAL BUSINESS SEGMENT: Q1 2012 GROWTH & PIPELINE FOR 2012 $1,000 $913 $900 $800 $700 $600 ns) ($ million $ $500 $400 $294 $300 $200 $100 $0 Net Sales Committed Pipeline Robust and large pipeline of opportunities and wins for 2012 Expanding AGF sales force and exposure through consultant
Slide 7: AGF Management Limited: Q1 2012 vs. Q1 2011 Results
AGF MANAGEMENT LIMITED: Q1 2012 vs. Q1 2011 RESULTS ($ millions) Q1 2012 Q1 2011 Change Revenue $155.5 $162.2 (4.1%) SG&A Expense $52.8 $50.4 4.8% EBITDA $64.5 $64.1 0.6% EBITDA Margin 41.5% 39.5% 5.1% EBITDA per Share $0.67 $0.70 (4.3%) EBITDA (adjusted) ( dj t d) $64 5 $64.5 7(1) $69.7 $69 (7 5%)
Slide 8: Investment Management: Revenue, EBIT & EBITDA
INVESTMENT MANAGEMENT: REVENUE, EBIT & EBITDA Revenue EBITDA SG&A Expense $180 $158.7 $160 $151.6 $138.7 $138.1 $140 $132.1 $120 ($ millions) $100 $80 $66.8 $61.8 $54.7 $56.1 $52.6 $ $60 $46.0 $39.7 $43.9 $44.1 $43.1 $40 $20 $0 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 EBITDA Margin 39.4% 42.1% 40.8% 40.6% 39.8
Slide 9: AGF Trust: Improvement in Gross Loan Originations & Losses
AGF TRUST: IMPROVEMENT IN GROSS LOAN ORIGINATIONS & LOSSES Loan Originations Loan Loss Provisions RSP & Investment Loans Mortgages & HELOC $200 $3.4 177 2 177.2 $180 $2.9 $2.9 $160 $2.5 $140 $ 133.7 ($ millions) ($ millions) $120 112.3 142.7 $1.8 $100 87.0 $80 126.7 $60 49.4 56.0 109.5 $40 32.5 $20
Slide 10: AGF Trust: Revenue, Operating Expenses
AGF TRUST: REVENUE, OPERATING EXPENSES Revenue Operating Expenses EBITDA $25 $ $22.6 $22.0 $21.1 $21.4 $19.8 $20 $14.1 ($ millions) $15 $12.6 $11.9 $11.8 $11.5 $10 $10 5 $10.5 $9.4 $8.6 $8.5 $8.1 $5 $0 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 EBITDA Margin 38.1% 40.3% 43.9% 40.9% 47.7% AGF Management Limited 1
Slide 11: AGF Management Limited: Free Cash Flow Generation
AGF MANAGEMENT LIMITED: FREE CASH FLOW GENERATION Free Cash Flow Dividend/Buyback as % of Free Cash Flow 60 80% 74% 72% 52.4 70% 50 61% 60% 45.2 60% 41.3 41.7 40 37.5 47% 50% ($ millions) 30 40% 30% 20 20% 10 10% 0 0% Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 AGF Management Limited 11
Slide 12: AGF Management Limited: Dividend & Yield
AGF MANAGEMENT LIMITED: DIVIDEND & YIELD Dividends Paid per Share Current Yield: 6 9%(1) 6.9% $1.20 $1.07 $1.08 $1.04 $1.00 $1.00 $0.95 $0.78 $0.80 $0.69 $ /share) $0.60 $0.56 ($ $0.41 $0.40 $0.30 $0.26 $0.22 $0.18 $0 20 $0.20 $0 15 $0.15 $0.13 $0.09 $0.00 1997 1998 1999 2000 2001 2002 2003 2004 200
Slide 13: Questions
Independent. Strong. Focused. QUESTIONS