Delfin Group

Earnings Release • May 11, 2017

Disclaimer

• This document (the "Presentation'') has been prepared for the sole purpose of providing an overview of 2017Q1 results of SIA ExpressCredit, which, together with its subsidiaries, is further referred to herein as "ExpressCredit" or the "Company", to current and prospective investors in bonds issued by the Company.
• This Presentation is of selective nature and is made to provide an overview of the Company's business, based on 2017Q1 results. Unless stated otherwise, the information in this Presentation is provided from consolidated perspective.
• This Presentation does not purport to contain all the information that a current or prospective investor may require in evaluating the Company. Investors should read publicly available information regarding the Company as well as the full prospectus describing a particular bonds issue ("the Prospectus''). Investors' attention is drawn to the risk factors described in the section "Risk Factors'' of the Prospectus.
• This Presentation contains forward-looking information that may involve risks and uncertainties concerning the Company's growth and profitability in the future. No reliance should be placed on any statements, estimates and projections regarding future performance or developments, including, without limitation, in relation to expected market developments, estimated financial figures of the Company, or any other forward-looking statements. Actual events or results may materially differ from those described in this Presentation. No one should therefore unduly rely on these forward-looking statements as they reflect only the judgment of the Company's management at the date of this Presentation and are not intended to give any assurances or comfort as to future results. The facts and information contained in the Presentation might be subject to revision in the future. Neither the delivery of this Presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date.
• None of the Company or any of its parents or subsidiaries or any of their directors, officers, employees and advisors nor any other person (i) accepts any obligation to update any information contained herein or to adjust it to future events or developments; (ii) makes any representation or warranty, express or implied, as to the accuracy or completeness of the information contained in this Presentation; (iii) shall have any liability whatsoever, in negligence or otherwise, for any loss howsoever arising, directly or indirectly, from the use of this Presentation.
• This Presentation does not constitute an offer or an invitation for the sale or purchase of securities or assets in any jurisdiction, and neither this document, nor anything contained herein, shall form the basis of, or be relied upon in connection with any contract or commitment whatsoever.

Snapshot as at 31 March 2017

2017Q1 highlights

Banknote awarded for Best customer service in Latvian Financial Services industry by brand care agency VUCA (Latvia)

ExpressCredit recognised among TOP 50 Top-Of-Mind Employers 2016 by CV Online Latvia, #1 among non-bank consumer lenders

Further development of MoneyMetro brand by positioning it as a long-term consumer lender

Substantial growth in loan portfolio, EBITDA and profitability

Introduced advanced credit scoring, new models implemented

2017Q1 highlights: Consumer loans

1) Share of loans issued (by value) during the two preceding quarters which are more than 90 days overdue as at the end of the respective quarter 2) Average loan tranche size per issue transaction during the period 3) Average loan size per customer in the portfolio as at the end of the period 4) Weighted average term of loans issued during the period

2017Q1 highlights: Pawn loans

1) Includes car title loan and mortgage loan legacy portfolios

6 2) Items being redeemed or extended within 3 months since issuance, by value of loans issued excl. item purchasing 3) Average loan size per issue transaction during the period

Loan portfolio cash flow

Financing structure

Interest-bearing debt	2016Q41 , EUR'000	2017Q11 , EUR'000	Interest rate, %	Maturity
 Secured bonds	2,000	1,750	14.0%	11.2018
 Unsecured bonds	3,250	3,300	15.0%	12.2020
 Unsecured notes	974	1,574	14.0%	10.2021
 Peer-to-peer lending platform	4,227	5,178	11.0%-13.5%	Mimicking term structure of underlying loans
 Private loans	1,748	1,548	12.9%-14.0%	Up to 05.2018
 Leases	165	138	3.5%+EURIBOR	Up to 3 years
 Accrued interest and bonds commissions	8	(5)
TOTAL	12,372	13,483

Key financials

Income statement, EUR'000	2016Q11	2017Q11	%, y-o-y
Interest and similar income	1,811	3,077	69.8%
from sale of goods2 Gross profit	487	531	9.0%
Gross profit	2,298	3,607	56.9%
Selling expense	(1,013)	(1,835)	81.1%
Administrative expense	(524)	(485)	(7.4%)
Net other income / (expense)	(228)	36	(115.8%)
EBITDA	534	1,323	148.1%
Depreciation	(54)		(42) (22.2%)
Interest and similar expense	(242)	(399)	65.2%
Taxes	(40)	(200)	396.2%
NET PROFIT	197	681	245.9%

Balance sheet, EUR'000	2016Q1	2017Q1	%, y-o-y
Fixed and intangible assets	621	580	(6.6%)
Loans to related parties	1,074	1,312	22.2%
Net loan portfolio	8,429	13,776	63.4%
Inventory and scrap	1,005	584	(41.9%)
Other assets	278	672	141.8%
Cash	265	1,022	285.9%
TOTAL ASSETS	11,672	17,945	53.7%
Share capital and reserves	427	1,500	251.4%
Retained earnings	1,900	1,306	(31.3%)
Profit/loss for the current year	197	681	245.9%
Equity	2,524	3,487	38.2%
Interest-bearing debt	8,451	13,483	59.5%
Trade payables and other liabilities	697	974	39.8%
Liabilities	9,148	14,458	58.0%
TOTAL EQUITY AND LIABILITIES	11,672	17,945	53.7%