Swissquote Group Holding Ltd. · SIX:SQN
Swissquote — 9M 2009 Earnings Presentation
30 slides from Swissquote's earnings presentation, Oct 27, 2009
Slide 1: Results for the first nine month of 2009
Results for the first nine month of 2009 Zurich, 27 October 2009 1
Slide 2: Agenda
Agenda • Forex Trading • Business Development • Development of Services • Balance Sheet • Key Figures 2
Slide 3: Forex Trading (eForex)
Forex Trading (eForex) @ SWISSQUOTE
Slide 4: eForex
eForex CHF m illion 16'000 14'000 Forex (Trading) • Growth of eForex business Revenue 12'000 • 9 month revenues yoy doubled 10'000 8'000 • Currently 42 currency pairs including 6'000 gold and silver at narrow spreads 4'000 • Over 1‘200 active clients 2'000 0 • Strong marketing push in October 9m 200
Slide 5: Brand New eForex Platform
Brand New eForex Platform (=) https://trade. swissquote. ch/eforex-secure/eforex,jsp WIEUR / CHF. 90’ SELL 1000007 BIEUR/JPY © Peaie (One Click 94° BUY (Clone Click (348 Quote Pane! |_ Quote List | aeo] WorkSpace 1 ©X) +] aco EUR/CHF [el BS ES |Z aL. irate BE x nee x vey 74 EUR/ CHF 1 minute Bolling
Slide 6: eForex
eForex USD billion 20 1400 18 Forex Turnover 1200 16 Clients 14 1000 • 1‘271 active clients 12 800 10 • Quarterly volume : USD 18.4 billion 8 600 6 400 • Targeting institutional clients 4 200 2 0 0 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 6
Slide 7: Business Development
Business Development @ SWISSQUOTE
Slide 8: Client Growth
Client Growth 150'000 140'000 Saving Increase 130'000 Trading Increase 120'000 Saving 110'000 Trading 100'000 90'000 80'000 70'000 60'000 50'000 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 • 136‘984 clients • 5‘150 net new clients in third quarter 2009 • Saving accounts :
Slide 9: Client Growth
Client Growth Total Accounts [T,C,M] Target Requests 140000 240 138000 220 136000 134000 200 132000 180 130000 160 128000 126000 140 124000 120 122000 100 120000 118000 80 116000 60 114000 40 112000 110000 20 108000 0 01.mai 01.mars 01.juil 01.juin 01.août 01.sept 01.oct 01.avr 01.janv 01.nov 01.déc
Slide 10: Strong Growth in Client Assets
Strong Growth in Client Assets CHF m illion 7'000 6'500 Net Assets Inflow 6'000 5'500 5'000 4'500 4'000 3'500 3'000 2'500 2'000 1'500 Q1-05 Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • Recovering from the financial crisis • 517.7 Mio.
Slide 11: Trading Volumes in third quarter 2009
Trading Volumes in third quarter 2009 12'000 35.0 darts tpcpy 10'000 30.0 25.0 8'000 20.0 6'000 15.0 4'000 10.0 2'000 5.0 0 0.0 Q3-03 Q4-03 Q1-04 Q2-04 Q3-04 Q4-04 Q1-05 Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • Trading activity rec
Slide 12: Commission, Interest and Trading Revenues in third quarter
Commission, Interest and Trading Revenues in third quarter CHF '000 35'000 30'000 Interest Trading 25'000 Commission 20'000 15'000 10'000 5'000 0 Q1-05 Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • Aggregate commission and trading reven
Slide 13: Daily Net Interest Revenues Since 1st October 2008
Daily Net Interest Revenues Since 1st October 2008 140'000 Daily Interest Revenue 120'000 100'000 80'000 60'000 40'000 20'000 0 01.mai 01.mars 01.juil 01.juin 01.oct 01.août 01.sept 01.oct 01.avr 01.nov 01.déc 01.janv 01.nov 01.déc 01.févr • Interest revenues cut by 4/5 over the last 12 months while
Slide 14: Costs and Revenues per Client and Quarter
Costs and Revenues per Client and Quarter Costs Marketing Revenues 450 400 350 300 250 200 150 100 50 0 Q1-04 Q2-04 Q3-04 Q4-04 Q1-05 Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • Revenues per client recovering (CHF 205) • Control over
Slide 15: Trend in Revenues and Operating Profit
Trend in Revenues and Operating Profit 32'500 30'000 Operating P ro fit 27'500 Quarterly Revenues 25'000 22'500 20'000 17'500 15'000 12'500 10'000 7'500 5'000 2'500 0 Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • 5.2 % qoq revenues grow
Slide 16: Net Profit
Net Profit CHF '000 18'000 60% Operating Profit 16'000 Net Profit OP M argin 50% 14'000 12'000 40% 10'000 30% 8'000 6'000 20% 4'000 10% 2'000 0 0% Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • Resilient net profit of 10,9 Mio. in Q3-200
Slide 17: Asset Margin: 1.8% in third quarter 2009
Asset Margin : 1.8% in third quarter 2009 Assets under Custody Asset Margin 7'000 300 6'000 250 5'000 200 4'000 150 3'000 100 2'000 1'000 50 0 0 Q2-05 Q3-05 Q4-05 Q1-06 Q2-06 Q3-06 Q4-06 Q1-07 Q2-07 Q3-07 Q4-07 Q1-08 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 17
Slide 18: Key Figures (yoy)
Key Figures (yoy) 9M-2009 9M-2008 Revenues 74.7m -7.4m -9.1% Operating profit 32.5m -9.8m -23.1% Net profit 26.9m +2.8m +11.9% Clients 136’984 +26’431 +23.9% Assets u. Custody 6’378m +1’179m +22.7% Equity 165.5m +34.8m +26.6% 18
Slide 19: Key Figures (qoq)
Key Figures (qoq) Q3-2009 Q2-2009 Revenues 26.4m +1.4m +5.5% Operating profit 12.2m +1.5 m +13.8% Net profit 10.9m +2.5m +29.8% Clients 136’984 +5’150 +3.9% Assets u. Custody 6’378m +893.0 +16.3% Equity 165.5m +13.1m +8.6% 19
Slide 20: Development of New Services
Development of New Services 20
Slide 21: Dynamic Saving Account
Dynamic Saving Account Saving [S] Accounts Requests 7000 90 6000 75 5000 60 4000 45 3000 30 2000 1000 15 • 188,1 Mio. AUC 0 01.mai 0 • 6‘339 clients at 30 September 2009 01.juil 01.mars 01.oct 01.août 01.sept 01.juin 01.avr 01.nov 01.déc 01.janv 01.févr (+ 1‘454 in Q3-2009) CHF' External Internal Sa
Slide 22: iPhone Application
iPhone Application • Swissquote iPhone application ranks No1 in Switzerland (leads ahead of Bloomberg and CNBC) • Release 3 allows direct access to the account and hence to all trading functionalities. • Mobile Internet trading will grow in importance in the future. All Swissquote services will be m
Slide 23: Swissquote ePrivate Banking Magazine
Swissquote ePrivate Banking Magazine • Swissquote will launch an investment magazine • Content will be developed in cooperation with LargeNetwork • Containing approximately 90 pages, the magazine will appear every two months, the first time on the 19th of February. The initial print run will be 60’0
Slide 24: Swissquote ePrivate Banking Magazine
Swissquote ePrivate Banking Magazine 24
Slide 25: Balance Sheet
25 Balance Sheet @ SWISSQUOTE
Slide 26: Balance Sheet at 30 September 2009
Balance Sheet at 30 September 2009 CHF m Structure in % 30.09.2009 31.12.2008 Change 30.09.2009 31.12.2008 Assets Cash & balance with Central Bank 761.6 293.2 468.4 42.0% 21.8% Loans & advances to banks 591.3 764.7 -173.4 32.6% 56.8% Investment securities 299.9 165.9 134.0 16.5% 12.3% Loans & advanc
Slide 27: Balance Sheet at 30 September 2009
Balance Sheet at 30 September 2009 Structure of Assets 299.9; 17% 591.3; 33% 88.8; 5% 31.5; 2% 761.6; 43% Cash & balance with Central Bank Loans & advances to banks Investment securities Loans & advances to customers Immobilisations Structure of Liabilities & Equity 175; 10% 41; 2% 165.5; 9% 1432.5;
Slide 28: Trend in Balance Sheet total and Equity
Trend in Balance Sheet total and Equity CHF m illion 7'000 Assets under Custodz Total Balance Sheet 6'000 5'000 4'000 3'000 2'000 1'000 • Growth of Balance Sheet supported by strong equity 0 Q2-08 Q3-08 Q4-08 Q1-09 Q2-09 Q3-09 • Surplus equity of over 100 CHF m illion Mio. reflects situation in the
Slide 29: Key Figures
29 Key Figures @ SWISSQUOTE
Slide 30: Key Figures for the first nine month of 2009
Key Figures for the first nine month of 2009 Comparison with Previous Year Comparison with Previous Quarter CHF'000 9M-2009 9M-2008 Change Change [%] Q3-2009 Q2-2009 Change Change [%] Net Fee & Commission Income 53'828.4 50'925.5 2'902.9 5.7% 20'021.1 18'322.8 1'698.3 9.3% Interest Income, net 7'475
Swissquote Group Holding — 9M 2009 Earnings Presentation on 6ix