Delfin Group

Investor Presentation • Nov 3, 2017

INVESTOR PRESENTATION FOR 2017Q3 RESULTS

November 2017

Disclaimer

• This document (the "Presentation'') has been prepared for the sole purpose of providing an overview of 2017Q3 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 2017Q3 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 September 2017

2017Q3 highlights

Agreement signed for scoring and data analytics for consumer lending upgrade

Initiated and in October concluded process of management quality certification under ISO 9001:2015 and ISO 50000:2012 standards

More stringent application rules introduced for consumer loans reaching acceptance rates of 26% for new clients and 82% for repeat customers

2017Q3 highlights: Market overview latest update

Source: Consumer Rights Protection Centre

1) Based on loan portfolio as at the end of 2016

2) Loan portfolio data based on SIA ExpressCredit standalone net consumer and pawn loan portfolio excl. accrued interest

2017Q3 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 6

2017Q3 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 7

Loan portfolio cash flow

Cash outflow Cash inflow

Financing structure

Interest-bearing debt	1 2017Q2 , EUR'000	2017Q31 , EUR'000	Interest rate, %	Maturity
 Secured bonds	1,500	1,250	14.0%	11.2018
 Unsecured bonds	3,200	3,423	15.0%	12.2020
 Unsecured notes	1,574	2,326	14.0%	10.2021
 Peer-to-peer lending platform	5,800	7,770	11.0%-13.5%	Mimicking term structure of underlying loans
 Private loans	1,500	1,500	12.9%-14.0%	Up to 05.2018
 Leases	140	126	3.5%+EURIBOR	Up to 3 years
 Accrued interest and bonds commissions	(17)	0
TOTAL	13,697	16,396

Key financials

Income statement, EUR'000	2016Q31	2017Q31	%, y-o-y
Interest and similar income	2,491	3,384	35.9%
from sale of goods2 Gross profit	589	644	9.5%
Gross profit	3,079	4,029	30.8%
Selling expense	(1,602)	(1,781)	11.2%
Administrative expense	(560)	(619)	10.4%
Net other income / (expense)	(147)	(61)	(58.5%)
EBITDA	771	1,568	103.5%
Depreciation	(46)	(36)	(22.6%)
Interest and similar expense	(340)	(480)	41.0%
Taxes	(61)	(255)	314.5%
NET PROFIT	323	798	147.2%

Balance sheet, EUR'000	2016Q3	2017Q3	%, y-o-y
Fixed and intangible assets	586	567	(3.2%)
Loans to related parties	1,294	1,238	(4.4%)
Net loan portfolio	9,879	16,545	67.5%
Inventory and scrap	1,092	709	(35.1%)
Other assets	849	484	(42.9%)
Cash	445	3,119	601.5%
TOTAL ASSETS	14,144	22,663	60.2%
Share capital and reserves	427	1,500	251.4%
Retained earnings	1,200	1,306	8.8%
Profit/loss for the current year	657	2,241	240.9%
Equity	2,284	5,047	120.9%
Interest-bearing debt	11,106	16,396	47.6%
Trade payables and other liabilities	754	1,220	61.8%
Liabilities	11,860	17,616	48.5%
TOTAL EQUITY AND LIABILITIES	14,144	22,663	60.2%

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