MLP SE

Earnings Release • Aug 14, 2014

Financial results H1/Q2 2014

Reinhard Loose, CFO

August 14, 2014

• Highlights H1/Q2 2014
• Key financial figures H1/Q2 2014
• Consultants and clients
• Outlook and summary
• Questions and Answers

Highlights H1/Q2 2014

• H1: Total revenue rises to € 227.9 million (€ 224.3 million)
• EBIT climbs by 12 percent to € 5.5 million (€ 4.9 million)
• New business in old-age provision around 8 percent above the previous year – despite market-slowdown
• Growth initiative runs according to plan
• Continuingly difficult market conditions particularly in health insurance
• Outlook 2014: EBIT expected to be between the lower and the base forecast scenario

• Highlights H1/Q2 2014

• Key financial figures H1/Q2 2014

• Consultants and clients
• Outlook and summary
• Questions and Answers

H1: Total revenue rises to € 227.9 million

Total revenue in Q2 and H1

[in € million]

Increases in old-age provision, wealth management and non-life insurance

Revenue

[in € million]

	Q2 2014	Q2 2013	Δ in %	H1 2014	H1 2013	Δ in %
Old-age provision	44.1	44.6	-1	84.3	83.5	1
Wealth management	34.4	33.6	2	67.0	65.3	3
Health insurance	9.7	11.7	-17	21.1	25.6	-18
Non-life insurance	5.3	4.3	23	24.1	22.5	7
Loans and mortgages*	3.0	3.0	0	5.9	6.0	-2
Other commissions and fees	1.8	1.0	80	3.1	1.7	82
Interest income	5.6	5.6	0	11.4	11.5	-1

*excluding MLP Hyp

Assets under Management rise significantly to € 25.3 billion

Premium sum: old-age provision

[in € billion]

[in € billion]

Expanded real estate becomes increasingly evident in other commissions and fees

Revenue

[in € million]

	Q2 2014	Q2 2013	Δ in %	H1 2014	H1 2013	Δ in %
Old-age provision	44.1	44.6	-1	84.3	83.5	1
Wealth management	34.4	33.6	2	67.0	65.3	3
Health insurance	9.7	11.7	-17	21.1	25.6	-18
Non-life insurance	5.3	4.3	23	24.1	22.5	7
Loans and mortgages*	3.0	3.0	0	5.9	6.0	-2
Other commissions and fees	1.8	1.0	80	3.1	1.7	82
Interest income	5.6	5.6	0	11.4	11.5	-1

*excluding MLP Hyp

MLP benefits from broadened revenue base

Revenue from commissions and fees H1 2014: € 205.4 million (€ 204.5 million)

H1: EBIT climbs by 12 percent

Income statement

[in € million]

	Q2 2014	Q2 2013	H1 2014	H1 2013
Total revenue	108.1	107.9	227.9	224.3
EBIT	1.1	0.9	5.5	4.9
Finance cost	-0.1	0.0	-0.1	0.0
EBT	1.0	0.9	5.4	5.0
Taxes	0.2	0.2	-0.9	-0.7
Net profit	1.1	1.1	4.5	4.2
EPS in € (diluted)	0.01	0.01	0.04	0.04

• Administration costs of 124.6 million in H1 – € 2.4 million above the previous year
• Reasons: an one-off exceptional cost in Q1 and announced one-off expenses for the growth initiave

Strong balance sheet

MLP Group

[in € million]	30/06/2014	31/12/2013
Intangible assets	156.5	155.3
Financial investments	163.8	146.1
Cash and cash equivalents	31.6	46.4
Other receivables and other assets	93.6	109.2	• Core capital ratio:
			13.7%
Shareholders' equity	359.3	374.5
Equity ratio	23.1%	24.4%
Other liabilities	82.8	106.6
Total	1,556.0	1,536.9

• Highlights H1/Q2 2014
• Key financial figures H1/Q2 2014
• Consultants and clients
• Outlook and summary
• Questions and Answers

New client acquisition up 5 percent on previous year

Consultants New clients (gross)

• Highlights H1/Q2 2014
• Key financial figures H1/Q2 2014
• Consultants and clients
• Outlook and summary
• Questions and Answers

Life Insurance Reform Act : The changes at a glance

	• Modification of policyholders' participation in the valuation
	reserves
	• Increase in the minimum participation in the risk surplus from
Changes	75% to 90%
	• Reduction in the guaranteed interest rate from 1.75% to 1.25%
	• Reporting of the effective costs on the yield
	• Reduction of the maximum zillmerisation rate from 4% to 2.5%

Selection of an insurance company gains in importance

Growth initiatives for the future

EBIT expected to be between € 50 and 65 million – strong growth even in the lower scenario

Outlook

• After some positive signals in the first months MLP starts cautiously optimistic into the second half-year
• Market conditions remain challenging in old-age provision and in health insurance
• As is usual with the MLP business model, the second half-year and in particular the final quarter is crucially important to our full year performance
• It remains our goal to achieve significant growth in revenue and earnings

• Outlook 2014: EBIT expected to be between the lower and the base forecast scenario

• Highlights H1/Q2 2014

• Key financial figures H1/Q2 2014
• Consultants and clients
• Outlook and summary
• Questions and Answers

Contact

MLP Corporate Communications Alte Heerstr. 40 69168 Wiesloch Germany

• Jan Berg, Head of Corporate Communications
• Andreas Herzog, Teamhead Investor Relations and Financial Communications

Tel.: +49 (0) 6222 308 8310

Fax: +49 (0) 6222 308 1131

investorrelations@mlp.de www.mlp-ag.com