Evli Oyj — Earnings Release 2017

Jan 25, 2018

Evli Bank Plc's Financial Statements Bulletin 2017

Evli Bank Plc's Financial Statements Bulletin 2017

EVLI BANK PLC STOCK EXCHANGE RELEASE JANUARY 25, 2018, AT 3.00 PM

Evli Bank Plc's Financial Statements Bulletin 2017: Operating profit nearly
doubled

* The operating profit of the Wealth Management and Investor Clients segment
rose almost 130 percent as a result of increased fees from fund management
* The operating profit of the Advisory and Corporate Clients segment increased
over 80 percent and the market position improved
* In the Group Operations segment, return from investment activities improved
nearly 25 percent on the comparison period.
January-December 2017

* The Group's net revenue increased 19 percent to EUR 71.4 million (1-
12/2016: EUR 60.0 million)
* The Group's operating profit was EUR 21.3 million (EUR 11.1 million)
* Evli's diluted earnings per share were EUR 0.69 (EUR 0.40) and return on
equity was 25.5 percent (14.3%)
* A dividend of EUR 0.52 per share is proposed (EUR 0.40 per share)
* Net assets under management totaled EUR 11.2 billion (EUR 10.6 billion) at
the end of December
* The proportion of recurring revenue to operating costs improved to 113
percent (94%).
October-December 2017

* The Group's net revenue was EUR 21.0 million (EUR 15.9 million)
* The Group's operating profit almost doubled to EUR 6.5 million (EUR 3.3
million)
* Earnings per share amounted to EUR 0.21 (EUR 0.07).

Outlook for 2018

The risks associated with the general trend in the equity and fixed income
markets have increased along with high valuation levels especially in US
equities and corporate bonds with a lower rating. A decline in equity prices or
a weakening of investors' risk appetite would have a negative impact on the
company's performance. Demand for Evli's products has remained stable and assets
under the Group's management have grown substantially in recent years, softening
the result-impact of any reversal of the market.

The performance of the Advisory and Corporate Clients segment has been positive
and the outlook for 2018 is stable. Investment activities through Evli's own
balance sheet and lending have been increased in 2017 according to plan. In the
advisory business and in own investment activities, substantial fluctuations in
annual returns are possible.

Thanks to successful and stable development in 2017, we estimate that our result
for the financial year 2018 will be clearly positive.

KEY FIGURES 10-12/ 10-12/ 1-12/ 1-12/
2017 2016 2017 2016

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Sales, M€ 21.6 16.4 73.3 62.1

Net revenue, M€ 21.0 15.9 71.4 60.0

Operating profit/loss, M€ 6.5 3.3 21.3 11.1

Profit / Loss for financial year, M€ 5.7 1.8 17.5 9.7

Operating profit/loss % of net revenue 30.9 20.7 29.8 18.5

Earnings/share (EPS) 0.21 0.08 0.72 0.42

Diluted earnings/share IFRS 0.20 0.07 0.69 0.40

Return on equity % (ROE)* - - 25.5 14.3

Recurring revenue ratio, % - - 113 94

Dividend/share** - - 0.52 0.40

Shareholders' equity per share - - 3.10 2.81

Market value, M€*** - - 224.9 157.4

Share price in end of period - - 9.60 6.75

Personnel in end of period - - 240 244

* Annualized
**Dividend for 2017, proposal by the Board of Directors
***Series A shares are valued at the closing value of the series B shares.

Maunu Lehtimäki, CEO

The year 2017 and its final quarter were excellent for Evli. Our revenue and
operating profit grew strongly and there was growth in all target client
segments and almost all product and service areas. The international sales of
our investment products also developed very positively.

During the last quarter of the year our revenue grew as much as 30 percent on
the comparison period and the operating margin also exceeded 30 percent. As in
the previous year, performance-based fees were allocated to the final quarter as
a result of very successful portfolio management, in addition the Corporate
Finance unit executed several orders. Assets under management also developed
favorably and were EUR 11.2 billion at the end of the year. With the increase in
client assets under management, the ratio of our recurring revenue in relation
to the Group's total costs, a strategic indicator, exceeded the targeted level
of 100 percent and came to 113 percent.

Evli has made increasing international sales one of its strategic priorities.
The strategy targets especially institutional investors. At the end of the year,
the company's selected funds were available to institutional investors in Spain,
France, Italy and Latin America in addition to the domestic markets of Finland
and Sweden. Of our EUR 7.7 billion fund capital, as much as EUR 1.7 billion is
already from outside Finland.

For the Advisory and Corporate Clients segment, customer activity accelerated
significantly towards the end of the year and as a result, the segment's income
doubled compared to the final quarter of 2016. Evli has been targeting a larger
share of the issue market and brought two new interesting companies to the
Helsinki stock exchange at the end of the year. In addition to all the
executions, the unit also secured new orders and its mandate base is at a good
level. The incentive program administration business continued to perform well
and there was positive development in the sale of research services to listed
companies, which was launched in 2016.

In the final quarter we continued to focus on developing digital services and
increasing the efficiency of processes and systems. Earlier in the fall we
introduced a new digital asset management concept called Evli Digital, and at
the end of the year we renewed our online trading system. We are continuing
development work on both of these services and will add new functions to them in
the near future. There are also other new digital service solutions on the way.
With regard to process and system efficiency we continued the development of our
application systems. We also carried out the first successful tests with robotic
automation and artificial intelligence. We intend to expand these experiments
significantly in the future.

The end of the year was marked by the forthcoming entry into force of the MiFID
II regulations, which took place at the beginning of 2018. This introduced
substantial changes to our practices and processes and has meant major
investments in system development. Much of the changes have taken place inside
the company, but the regulatory changes will also be visible to our clients as
more detailed reporting and more comprehensive assessment of the investors
experience and knowledge.

Because of successful development the outlook for 2018 is very promising. We
will focus on our strategic priorities and concentrate on achieving stable and
profitable growth. We expect that on this basis, the result for 2018 will be
clearly in the positive.

EVLI BANK PLC

For additional information, please contact:

Maunu Lehtimäki, CEO, Evli Bank Plc,  tel. +358 (9) 4766 9304 or +358 (0)50
553 3000, maunu.lehtimaki@evli.com
Juho Mikola, CFO, Evli Bank Plc, tel. +358 (0)9 4766 9871 or +358 (0)40
717 8888, juho.mikola@evli.com

Evli Bank Plc

Evli is a bank specialized in investments that helps institutions, corporations
and private persons increase their wealth. The product and service offering
includes mutual funds, asset management and capital markets services,
alternative investment products, investment research, administration of
incentive programs and Corporate Finance services. The company also offers
banking services that support clients' investment operations. Evli is the
highest ranked and most used institutional asset manager in Finland*.

Evli has a total of EUR 11.2 billion in client assets under management (net
12/2017). The Evli Group's equity capital totals EUR 72.5 million and its BIS
capital adequacy ratio is 15.0 percent (December 31, 2017). The company has more
than 200 employees. Evli Bank Plc's B shares are listed on Nasdaq Helsinki Ltd.

* TNS Sifo Prospera External Asset Management Finland 2017, SFR Scandinavian
Financial Research Institutional Investment Services, Finland 2017 (shared first
place).

Distribution:
Nasdaq Helsinki Ltd, main media, www.evli.com

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