Delfin Group

Earnings Release • Aug 4, 2017

INVESTOR PRESENTATION FOR 2017Q2 RESULTS

August 2017

Disclaimer

• This document (the "Presentation'') has been prepared for the sole purpose of providing an overview of 2017Q2 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 2017Q2 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 30 June 2017

2017Q2 highlights

1

EBITDA EBITDA margin

Launch of new TV advertisements, featuring client stories of their experience with Banknote consumer loans

New MoneyMetro branch opened in Riga

Quarterly EBITDA more than doubled y-o-y

EURm

2017Q2 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 5

2017Q2 highlights: Pawn loans

1) Includes car title loan and mortgage loan legacy portfolios

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 6

Loan portfolio cash flow

Cash outflow Cash inflow

Financing structure

Interest-bearing debt	2017Q11 , EUR'000	2017Q21 , EUR'000	Interest rate, %	Maturity
 Secured bonds	1,750	1,500	14.0%	11.2018
 Unsecured bonds	3,300	3,200	15.0%	12.2020
 Unsecured notes	1,574	1,574	14.0%	10.2021
 Peer-to-peer lending platform	5,178	5,800	11.0%-13.5%	Mimicking term structure of underlying loans
 Private loans	1,548	1,500	12.9%-14.0%	Up to 05.2018
 Leases	138	140	3.5%+EURIBOR	Up to 3 years
 Accrued interest and bonds commissions	(5)	(17)
TOTAL	13,483	13,697

Key financials

Income statement, EUR'000	2016Q21	2017Q21	%, y-o-y
Interest and similar income	2,385	3,204	34.3%
from sale of goods2 Gross profit	271	579	114.0%
Gross profit	2,656	3,783	42.4%
Selling expense	(1,218)	(975)	(19.9%)
Administrative expense	(516)	(581)	12.6%
Net other income / (expense)	(319)	(904)	183.3%
EBITDA	604	1,324	119.3%
Depreciation	(63)	(41)	(35.7%)
Interest and similar expense	(359)	(418)	16.4%
Taxes	(44)	(104)	137.4%
NET PROFIT	138	762	453.0%

Balance sheet, EUR'000	2016Q2	2017Q2	%, y-o-y
Fixed and intangible assets	527	569	8.1%
Loans to related parties	1,135	1,263	11.3%
Net loan portfolio	10,021	15,182	51.5%
Inventory and scrap	892	686	(23.0%)
Other assets	342	442	29.3%
Cash	690	842	22.0%
TOTAL ASSETS	13,606	18,985	39.5%
Share capital and reserves	427	1,500	251.4%
Retained earnings	1,900	1,306	(31.3%)
Profit/loss for the current year	335	1,443	331.1%
Equity	2,662	4,249	59.6%
Interest-bearing debt	10,328	13,697	32.6%
Trade payables and other liabilities	617	1,039	68.3%
Liabilities	10,945	14,736	34.6%
TOTAL EQUITY AND LIABILITIES	13,606	18,985	39.5%

1) Part of Interest income reclassified as Gross profit from sale of foreclosed items for comparability with historic data 2) Sale of foreclosed items