Market announcement

Title

LHV Group results in November 2023

Message

In November, LHV Group's business activities were characterised by active
lending activities and the growth of fixed-term deposits.

The consolidated deposits of AS LHV Group increased by EUR 183 thousand in
November. Fixed-term deposits increased by 13%, i.e., EUR 208 million compared
to October (EUR 83 million of which was increased through deposit platforms),
while demand deposits decreased by EUR 208 million. The consolidated loan
portfolio of the Group increased by EUR 113 million in November. Retail loans
increased by EUR 16 million, and corporate loans by EUR 97 million. The volume
of funds managed by LHV increased by EUR 36 million over the month. 4.9 million
payments from financial intermediary clients were processed in the course of the
month.

The consolidated net profit of AS LHV Group was EUR 13.3 million in November. In
November, AS LHV Pank earned EUR 12.2 million in net profit, the net profit of
AS LHV Varahaldus was EUR 211 thousand, the net profit of AS LHV Kindlustus was
EUR 84 thousand, and the net profit of LHV Bank Limited was EUR 1.2 million. The
Group's return on equity was 30% in November.

The number of clients of LHV Pank increased by 3,400 in November, and the
increased loan activity of both private and business clients stood out. Fixed-
term deposits are becoming increasingly popular, especially for longer periods
in order to get the most out of high interest rates. The quality of loan
portfolios is still good, but from a forward-looking perspective, discounts have
been made to individual clients.

The results of Varahaldus were influenced by the markets that turned upwards, as
a result of which all LHV pension funds had a positive rate of return in
November. The highest rates of return were shown by the higher-risk funds Indeks
and Roheline, while the largest funds L and XL were also in a slight plus.

The business activities of LHV Kindlustus also continued in a positive trend.
The number of clients, as well as valid insurance contracts, increased.
According to the autumn weather, there were more than average loss events, with
a total of 6,900 new loss events. A total of 14,400 insurance contracts were
concluded, with a volume of EUR 2.5 million. With this, the number of valid
policies increased to almost 229 thousand. The premiums earned continue to
increase steadily.

In November, LHV Bank continued to grow the deposits of retail clients and the
loan volumes of companies. The deposits of financial intermediaries increased by
EUR 8 million, and the deposits of retail clients from the Raisin platform by
EUR 36 million. In addition, LHV Bank recently joined Flagstone's deposit
platform and received full membership of MasterCard and Visa. In the last month
of the year, the launch of the service of receiving payments awaits.

The Group's financial plan remains as planned, but higher expenses are expected
in December. In addition to interest income, fee and commission income accounted
for a larger share in the monthly results. Other income and expenses were in
line with the financial plan in November.

To access the reports of AS LHV Group, please visit the website at
https://investor.lhv.ee/en/reports/.

LHV Group is the largest domestic financial group and capital provider in
Estonia. LHV Group's key subsidiaries are LHV Pank, LHV Varahaldus, LHV
Kindlustus, and LHV Bank Limited. The Group employs over 1,060 people. As at the
end of October, LHV's banking services are used by 415,000 clients, the pension
funds managed by LHV have 125,000 active clients, and LHV Kindlustus protects a
total of 164,000 clients. LHV Bank, a subsidiary of the Group, holds a banking
licence in the UK and provides banking services to international financial
technology companies, as well as loans to small and medium-sized enterprises.



Marthi Lepik
Communication Specialist
Phone: +372 5666 2944
Email: marthi.lepik@lhv.ee (mailto:marthi.lepik@lhv.ee)