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AS LHV Group
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23.07.2024 08:00:00
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LHV Groupi 2024. aasta II kvartali ja 6 kuu auditeerimata majandustulemused
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LHV Groupi jaoks iseloomustas 2024. aasta II kvartalit jõudus laenuportfelli kasv, mis väljendus ka tugevas finantstulemuses. AS LHV Group teenis II kvartalis 38,6 miljonit eurot puhaskasumit ehk 2,1 miljonit eurot vähem kui esimeses kvartalis (-5%), kuid 3 miljonit eurot enam kui samal ajal aasta tagasi (+8%). LHV Groupi aktsionäridele kuuluva omakapitali tootlus oli II kvartalis 25,8%. Kvartali lõikes olid kasumlikud kõik grupi tütarettevõtted. AS LHV Pank teenis II kvartalis 34,8 miljonit eurot, LHV Bank Ltd 0,9 miljonit eurot, AS LHV Varahaldus 0,7 miljonit eurot ja AS LHV Kindlustus 0,4 miljonit eurot puhaskasumit. Konsolideerimisgrupp teenis 2024. aasta II kvartalis netotulusid kokku 87,3 miljonit eurot ehk 2% enam kui I kvartalis ja 17% enam kui II kvartalis aasta tagasi. Kvartalituludest moodustas neto intressitulu 70,4 miljonit eurot ning 16,3 miljonit eurot neto teenustasutulu. Grupi konsolideeritud tegevuskulud ulatusid II kvartalis 37,6 miljoni euroni, mida on 6% enam kui I kvartalis ja 14% rohkem kui 2023. aasta II kvartalis. Juuni lõpuks oli LHV Groupi konsolideeritud varade maht 7,33 miljardit eurot. Kvartaliga vähenes varade maht 40,8 miljoni euro võrra ehk 1%. Konsolideeritud laenuportfell kasvas kvartaliga 246 miljoni euro võrra 3,89 miljardi euroni (+7%; +83 miljonit eurot I kvartalis). Grupi konsolideeritud hoiused kahanesid kvartaliga 150 miljoni euro võrra 5,78 miljardi euroni (-3%; +203 miljonit eurot I kvartalis). Seejuures tavaklientide hoiused kasvasid. LHV poolt juhitud fondide koondmaht vähenes kvartaliga 11 miljoni euro võrra ja oli juuni lõpus 1,53 miljardit eurot (-1%; +21 miljonit eurot I kvartalis). Finantsvahendajatest klientidega seotud töödeldud maksete arv oli II kvartalis 18,3 miljonit makset (+3% võrreldes 17,8 miljoni maksega I kvartalis). AS-i LHV Group 2024. aasta 6 kuu konsolideeritud netotulud moodustasid 172,7 miljonit eurot (+21% võrreldes 2023. aastaga) ning kulud kokku ulatusid 73,1 miljoni euroni (+15% võrreldes 2023. aastaga). Grupi 6 kuu konsolideeritud puhaskasumiks kujunes 79,3 miljonit eurot, mis on aastatagusega võrreldes 10,6 miljoni euro võrra ehk 15% suurem. AS LHV Pank teenis 6 kuuga 71,6 miljonit eurot puhaskasumit, LHV Bank Ltd 5,8 miljonit eurot, AS LHV Varahaldus 0,5 miljonit eurot ja AS LHV Kindlustus 0,7 miljonit eurot puhaskasumit. LHV Groupi ROE oli esimesel poolaastal 27,6%. II kvartali lõpuks edestab LHV Group kehtivat finantsplaani puhaskasumi osas 16,2 miljoni euroga. Kasumiaruanne, tuhandetes eurodes II kv 2024 I kv 2024 II kv 2023 ------------------------------------------------------------------------------- Neto intressitulu 70 424 68 918 62 900 ------------------------------------------------------------------------------- Neto teenustasutulu 16 262 15 543 12 352 ------------------------------------------------------------------------------- Neto finantstulud -37 536 -547 ------------------------------------------------------------------------------- Muud tegevustulud 638 418 197 ------------------------------------------------------------------------------- Tulud kokku 87 287 85 415 74 902 ------------------------------------------------------------------------------- Personalikulu -21 108 -20 275 -15 851 ------------------------------------------------------------------------------- Kontorikulud -609 -572 -982 ------------------------------------------------------------------------------- IT kulud -3 471 -3 100 -3 747 ------------------------------------------------------------------------------- Turunduskulud -973 -658 -1 087 ------------------------------------------------------------------------------- Muud tegevuskulud -11 426 -10 924 -11 373 ------------------------------------------------------------------------------- Kulud kokku -37 587 -35 528 -33 040 ------------------------------------------------------------------------------- Ärikasum 49 700 49 888 41 862 ------------------------------------------------------------------------------- Kasum enne allahindlusi 49 700 49 888 41 862 ------------------------------------------------------------------------------- Laenude allahindlus -5 043 -2 851 -809 ------------------------------------------------------------------------------- Tulumaksukulu -6 071 -6 335 -5 422 ------------------------------------------------------------------------------- Puhaskasum 38 586 40 702 35 631 ------------------------------------------------------------------------------- Vähemusosaluse osa 300 158 278 ------------------------------------------------------------------------------- Emaettevõtte aktsionäride osa kasumist 38 286 40 544 35 353 ------------------------------------------------------------------------------- ------------------------------------------------------------------------------- Puhaskasum aktsia kohta, eurodes 0,12 0,13 0,11 ------------------------------------------------------------------------------- Lahustatud puhaskasum aktsia kohta, eurodes 0,12 0,12 0,11 Bilanss, tuhandetes eurodes juuni.24 märts.24 juuni.23 --------------------------------------------------------------------- Raha ja raha ekvivalendid 3 217 448 3 402 338 2 604 108 --------------------------------------------------------------------- Finantsvarad 157 131 249 968 369 289 --------------------------------------------------------------------- Laenud klientidele 3 925 877 3 676 442 3 272 084 --------------------------------------------------------------------- Laenude allahindlus -35 333 -31 843 -18 588 --------------------------------------------------------------------- Nõuded klientide vastu 15 919 22 934 28 199 --------------------------------------------------------------------- Muud varad 48 681 50 733 52 223 --------------------------------------------------------------------- Varad kokku 7 329 723 7 370 572 6 307 315 --------------------------------------------------------------------- Nõudmiseni hoiused 3 882 999 3 926 714 4 005 191 --------------------------------------------------------------------- Tähtajalised hoiused 1 900 930 2 007 628 1 057 177 --------------------------------------------------------------------- Saadud laenud 735 281 568 355 510 934 --------------------------------------------------------------------- Võlgnevused klientidele 6 519 211 6 502 697 5 573 302 --------------------------------------------------------------------- Muud kohustused 100 710 141 573 120 896 --------------------------------------------------------------------- Allutatud laenud 107 521 127 568 131 301 --------------------------------------------------------------------- Kohustused kokku 6 727 441 6 771 838 5 825 499 --------------------------------------------------------------------- Omakapital 602 282 598 734 481 816 --------------------------------------------------------------------- sh vähemusosaluse osa 7 695 7 394 7 287 --------------------------------------------------------------------- Kohustused ja omakapital kokku 7 329 723 7 370 572 6 307 315 Kuigi majandusolukord on endiselt keeruline, püsis LHV laenuportfelli kvaliteet heal tasemel ja laenumahud kasvasid planeeritust kiiremini. Intressitulusid toetas ka kõrgemate intressimäärade püsimine. Klientide arv grupiüleselt kasvas ja tagasilööke ei esinenud ka heal tasemel aktiivsuses. LHV Panga klientide arv suurenes 5400 võrra, aastaga on pangaklientide arv suurenenud 33 tuhande võrra ehk 8%. Klientide igapäevapanganduse teenuste kasutamisel oli aktiivsus hea. Kvartali jooksul ületas aga investeerimisvaradega klientide arv 100 000 piiri. Jõudsalt suurenes laenumaht: jaelaenude maht kasvas kvartaliga 94 miljoni euro võrra ja ettevõtete laenude maht 100 miljoni euro võrra. Aktiivne oli kvartal kodulaenude vaates, kuna lisaks uutele laenudele tõstsid mahtu refinantseerimised. LHV turuosa kodulaenude väljastamises ulatus maikuus 24 protsendini. Fookuses olid ka hoiused. Tavaklientide hoiused kasvasid II kvartalis 137 miljoni euro võrra. Samas vähendati finantsvahendajate hoiuseid 176 miljoni euro võrra ja platvormihoiuseid 180 miljoni euro võrra. Laenuportfelli kvaliteet tervikuna on püsinud plaanitust tugevamana ja maksetähtaja ületanud laenude osakaal on jätkuvalt madal. Ettevaatavaid allahindlusi tehti nii üksikutele klientidele kui ka mudelipõhiselt. Investeerivatele klientidele tõime Eestis esimesena turule võlakirjadega automaatse kauplemise. Kvartali jooksul alustas pank uue tootena ka LHV osamakse pakkumist, mis võimaldab kaupmeestel pakkuda oma klientidele paindlikumaid maksevõimalusi. Mai lõpus alustasime koostöös EIFiga korteriühistutele ja väikeettevõtetele soodsate jätkusuutlikke investeeringuid kannustavate laenude pakkumist. Samuti muutus soodsamaks liising elektriautode ostmiseks. Juunis alustasime koostööd Boltiga ja Snabbiga, et pakkuda soodustusi LHV pangakaardi omanikele. Ühendkuningriigis tegutseva LHV Banki laenuportfelli kasv, aga ka hoiuste kaasamine on hoo sisse saanud. Laenuportfell suurenes kvartaliga 52 miljoni euro võrra, heaks kiidetud, ent veel väljastamata laene on 141 miljoni euro mahus. Jaehoiuste maht kasvas kolme hoiuseplatvormi vahendusel kvartaliga 119 miljoni euro võrra. LHV Bank jätkab jaepanganduse pakkumise ettevalmistamist, aga ka pangakanalite arendamist ja brändi tuntuse edendamist. Käesoleva aasta lõppu on plaanitud uue mobiilipanga avamine klientidele. Kui juuli alguses liitus LHV Bank euro tavamaksete skeemiga, siis aasta lõpuks on plaanis ka reaalajas maksete skeemiga liitumine. LHV Varahalduse jaoks iseloomustas II kvartalit pensionifondide hea tootlus. LHV pensionifondide M, L ja XL tootluseks kujunes kvartalis vastavalt 2,2%, 2,8% ja 2,2%. Konservatiivsemate fondide XS ja S tootlus oli 1,2% ja 1,4%. Pensionifond Indeks tõusis kvartaliga 4,7%, pensionifond Roheline langes 0,4%. Varahalduse äritulud olid sarnased eelmisele kvartalile, tegevuskulud veidi madalamad. Puhaskasum on plaanitust mõnevõrra ees tänu fondide tootlusest tingitud finantstulule. II samba mahtu mõjutasid klientide liikumised mai alguses ning II sambast väljumine. Aktiivsete, igakuiselt pensionifondi sissemakseid tegevate klientide arv oli kvartali lõpuks 118 000. LHV Kindlustuse müügitulemused olid II kvartalis kooskõlas finantsplaaniga, toodete osas oli suurimat kasvu näha reisi- ja kodukindlustuse osas. Kindlustuse kasumlikkus on tänu tulude kasvule heal tasemel, sõlmitud lepingute preemiad on aastases võrdluses kasvanud 12%. Juuni lõpu seisuga omasid LHV Kindlustuse 168 tuhat klienti kokku 241 tuhat kehtivat kindlustuslepingut. Poolaasta lõpu seisuga on LHV Group hästi kapitaliseeritud. II kvartalis korraldas LHV Group 300 miljoni euro mahus esimese suurema MREL võlakirjade emissiooni rahvusvahelistele turgudele. Investoritele maksti tagasi AT1 võlakirjaga kaasatud kapital mahus 20 miljonit eurot. Groupi sisemine kapitali genereerimise võime ületab laenukasvu. LHV Groupi juhatuse esimehe Madis Toomsalu kommentaar: "LHV jaoks oli tegemist ajaloo kõige suurema laenumahtude kasvuga poolaastaga. Oleme käesoleval aastal väljastanud Eesti inimestele ja ettevõtetele uusi laene üle 770 miljoni euro. Lisaks Inglismaal väljastatud 66 miljonile eurole. See on väljendunud kogu portfelli tugevas kasvus, ainuüksi teises kvartalis kasvas LHV laenuportfell 246 miljoni euro võrra. Majandusliku ebakindluse taustal on majanduskasvu taastamiseks ettevõtete investeerimisjulgus määrava tähtsusega. Siiski on ootuspärane vastuolude jätkumine, kus kõrvuti mõne ettevõtte finantsraskuste ja koondamisteadetega on teised järjest julgemalt investeerima hakanud, ja kus maksutõusu osaliseks vastukaaluks on langevad intressimäärad. LHV tugev kapitaliseeritus ja hoiusebaas on ka edaspidi suunatud just selliste investeeringute toetuseks. Seejuures on oluline on ka meie investeerimispanganduse aktiivsus - LHV on korraldanud pea kõik suuremad avalikud ja suunatud rahakaasamised, lähiajal oleme korraldamas ka Eesti riigivõlakirjade pakkumist. Head meelt teeb, et üha rohkem Eesti inimesi leiab tee investeeringutega raha kasvatamise juurde. Kui maikuus ületas LHV Panga investeerimisvaradega klientide arv 100 000 piiri, saime taas tunnistust, et meie aastakümneid kestnud töö investorkogukonna edendamiseks on läinud asja ette." AS-i LHV Group aruanded on saadaval aadressil: https://investor.lhv.ee/aruanded (https://www.globenewswire.com/Tracker?data=0HjuAAbtqgGChxMmi93JTCR3xVGX4DdPSJD0 DquIH1Bx2B3GjRO0BXmeqP9UIg76-ECZ8ida3JJ_1LF1MXDNXoyakf_XTuy- Ey5sRLFeprTZjB08dx6SpDIdB9-sdcze). Kvartali tulemuste tutvustamiseks korraldab LHV Group veebiseminaride keskkonna Zoom kaudu investorkohtumise. Virtuaalne investorkohtumine toimub enne turu avanemist 23. juulil kell 9.00. Esitlus tehakse eesti keeles. Palume registreeruda aadressil: https://lhvbank.zoom.us/webinar/register/WN_lqbhs6XcRNqrbP8S3lQDMQ#/registration. LHV Group on suurim kodumaine finantskontsern ja kapitali pakkuja Eestis. LHV Groupi peamised tütarettevõtted on LHV Pank, LHV Varahaldus, LHV Kindlustus ja LHV Bank Limited. Grupi ettevõtetes töötab üle 1100 inimese. LHV pangateenuseid kasutab juuni lõpu seisuga 433 000 klienti, LHV hallatavatel pensionifondidel on 118 000 aktiivset klienti ja LHV Kindlustusega on kaitstud 168 000 klienti. Groupi tütarettevõte LHV Bank omab Ühendkuningriigi pangalitsentsi ning pakub pangateenuseid rahvusvahelistele finantstehnoloogia ettevõtetele ja laenusid väikese ja keskmise suurusega ettevõtetele. Priit Rum LHV kommunikatsioonijuht Telefon: 502 0786 E-post: priit.rum@lhv.ee (https://www.globenewswire.com/Tracker?data=7KIfx52ZdjGP36tQYBTzYiGel- evRSGBSyjchI1gfcRMgz_gHp6QOnRFC8eP3AUlslJ0gmAlV4jHxN2j0dVuquHKEOfnRRkXEN1AOBh3Av A=)
Pealkiri
LHV Group’s unaudited financial results for Q2 and 6 months of 2024
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For LHV Group, Q2 of 2024 was marked by strong growth in its loan portfolio, which was also reflected in a strong financial result. AS LHV Group generated a net profit of EUR 38.6 million in Q2, which is EUR 2.1 million less than in Q1 (-5%), but EUR 3 million more than in the same period a year ago (+8%). The return on equity attributable to LHV Group's shareholders was 25.8% in Q2. All subsidiaries of the Group were profitable during the quarter. In Q2, AS LHV Pank earned a net profit of EUR 34.8 million, LHV Bank Ltd EUR 0.9 million, AS LHV Varahaldus EUR 0.7 million, and AS LHV Kindlustus EUR 0.4 million. In Q2 of 2024, the Group earned a total net income of EUR 87.3 million, which is 2% more than in Q1 and 17% more than in Q2 a year earlier. Of the quarterly revenue, net interest income amounted to EUR 70.4 million, and net fee and commission income to EUR 16.3 million. The Group's consolidated operating expenses amounted to EUR 37.6 million in Q2, which is 6% more than in Q1 and 14% more than in Q2 of 2023. By the end of June, LHV Group's consolidated assets stood at EUR 7.33 billion. Over the quarter, the asset volume dropped by EUR 40.8 million, i.e., by 1%. Compared to the previous quarter, the consolidated loan portfolio increased by EUR 246 million to EUR 3.89 billion (+7%; +EUR 83 million in Q1). The Group's consolidated deposits decreased by EUR 150 million over the quarter to EUR 5.78 billion (-3%; +EUR 203 million in Q1). At the same time, the deposits of regular clients grew. The total volume of funds managed by LHV decreased by EUR 11 million during the quarter and amounted to EUR 1.53 billion at the end of June (-1%; +EUR 21 million in Q1). The number of processed payments related to financial intermediaries' clients amounted to 18.3 million in Q2 (+3% compared to 17.8 million in Q1). Consolidated net income of AS LHV Group for 6 months of 2024 amounted to EUR 172.7 million (+21% compared to 2023) and total expenses reached EUR 73.1 million (+15% compared to 2023). The Group's 6-month consolidated net profit was EUR 79.3 million, an increase of EUR 10.6 million, i.e., by 15%, compared to the previous year. Over the 6 months, AS LHV Pank earned a net profit of EUR 71.6 million, LHV Bank Ltd EUR 5.8 million, AS LHV Varahaldus EUR 0.5 million, and AS LHV Kindlustus EUR 0.7 million. LHV Group's ROE for the first half of the year was 27.6%. By the end of Q2, LHV Group exceeds the current financial plan in terms of net profit by EUR 16.2 million. Income statement, EUR thousand Q2-2024 Q1-2024 Q2-2023 ------------------------------------------------------------------------------ Net interest income 70 424 68 918 62 900 ------------------------------------------------------------------------------ Net fee and commission income 16 262 15 543 12 352 ------------------------------------------------------------------------------ Net gains from financial assets -37 536 -547 ------------------------------------------------------------------------------ Other income 638 418 197 ------------------------------------------------------------------------------ Total revenue 87 287 85 415 74 902 ------------------------------------------------------------------------------ Staff costs -21 108 -20 275 -15 851 ------------------------------------------------------------------------------ Office rent and expenses -609 -572 -982 ------------------------------------------------------------------------------ IT expenses -3 471 -3 100 -3 747 ------------------------------------------------------------------------------ Marketing expenses -973 -658 -1 087 ------------------------------------------------------------------------------ Other operating expenses -11 426 -10 924 -11 373 ------------------------------------------------------------------------------ Total operating expenses -37 587 -35 528 -33 040 ------------------------------------------------------------------------------ EBIT 49 700 49 888 41 862 ------------------------------------------------------------------------------ Earnings before impairment losses 49 700 49 888 41 862 ------------------------------------------------------------------------------ Impairment losses on loans and advances -5 043 -2 851 -809 ------------------------------------------------------------------------------ Income tax -6 071 -6 335 -5 422 ------------------------------------------------------------------------------ Net profit 38 586 40 702 35 631 ------------------------------------------------------------------------------ Profit attributable to non-controlling interest 300 158 278 ------------------------------------------------------------------------------ Profit attributable to share holders of the parent 38 286 40 544 35 353 ------------------------------------------------------------------------------ ------------------------------------------------------------------------------ Profit attributable to non-controlling interest 0,12 0,13 0,11 ------------------------------------------------------------------------------ Profit attributable to share holders of the parent 0,12 0,12 0,11 Balance sheet, EUR thousand Jun 2024 Mar 2024 Jun 2023 ---------------------------------------------------------------------------- Cash and cash equivalents 3 217 448 3 402 338 2 604 108 ---------------------------------------------------------------------------- Financial assets 157 131 249 968 369 289 ---------------------------------------------------------------------------- Loans granted 3 925 877 3 676 442 3 272 084 ---------------------------------------------------------------------------- Loan impairments -35 333 -31 843 -18 588 ---------------------------------------------------------------------------- Receivables from customers 15 919 22 934 28 199 ---------------------------------------------------------------------------- Other assets 48 681 50 733 52 223 ---------------------------------------------------------------------------- Total assets 7 329 723 7 370 572 6 307 315 ---------------------------------------------------------------------------- Demand deposits 3 882 999 3 926 714 4 005 191 ---------------------------------------------------------------------------- Term deposits 1 900 930 2 007 628 1 057 177 ---------------------------------------------------------------------------- Loans received 735 281 568 355 510 934 ---------------------------------------------------------------------------- Loans received and deposits from customers 6 519 211 6 502 697 5 573 302 ---------------------------------------------------------------------------- Other liabilities 100 710 141 573 120 896 ---------------------------------------------------------------------------- Subordinated loans 107 521 127 568 131 301 ---------------------------------------------------------------------------- Total liabilities 6 727 441 6 771 838 5 825 499 ---------------------------------------------------------------------------- Equity 602 282 598 734 481 816 ---------------------------------------------------------------------------- Minority interest 7 695 7 394 7 287 ---------------------------------------------------------------------------- Total liabilities and equity 7 329 723 7 370 572 6 307 315 Although the economic situation is still difficult, the quality of LHV's loan portfolio remained at a good level and loan volumes grew faster than planned. Interest income was also supported by the persistence of higher interest rates. The number of clients increased across the Group and there were no setbacks in the good level of activity. The number of clients of LHV Pank increased by 5,400, whereas over the year, the number of bank clients has increased by 33,000, i.e., 8%. The activity among clients while using the daily banking services was good. During the quarter, the number of clients with investment assets exceeded 100,000. The volume of loans increased strongly: the volume of retail loans increased by EUR 94 million over the quarter and the volume of business loans increased by EUR 100 million. The quarter was active in terms of home loans, as in addition to new loans, refinancing increased this volume. LHV's market share in home loans reached 24% in May. Deposits were also in focus. The deposits of regular clients increased by EUR 137 million in Q2. At the same time, the deposits of financial intermediaries were reduced by EUR 176 million and platform deposits by EUR 180 million. The quality of the loan portfolio as a whole has remained stronger than planned and the share of overdue loans continues to remain low. Forward-looking write- downs were made both for individual clients and on a model-by-model basis. For investing clients, we were the first in Estonia to introduce automatic bond trading. During the quarter, the bank also began offering the LHV Instalment payment as a new product, which allows merchants to offer their clients more flexible payment options. At the end of May, in cooperation with EIF, we began offering favourable loans to apartment associations and small businesses that encourage sustainable investments. Leasing for electric cars also became more favourable. In June, we started cooperation with Bolt and Snabb to offer discounts to LHV bank card holders. The loan portfolio of LHV Bank in the United Kingdom is growing, but deposit- taking is also picking up the pace. The loan portfolio increased by EUR 52 million over the quarter, with EUR 141 million in approved but not yet issued loans. The volume of retail deposits through three deposit platforms increased by EUR 119 million over the quarter. LHV Bank will continue to prepare for the retail banking offering, as well as to develop banking channels and promote brand awareness. The opening of a new mobile bank for clients is planned for the end of this year. While LHV Bank joined the euro standard payment scheme at the beginning of July, it is also planned to join the real-time payment scheme by the end of the year. For LHV Varahaldus, Q2 was characterised by a good rate of return for pension funds. The quarterly rate of return of the LHV pension funds M, L, and XL was 2.2%, 2.8%, and 2.2%, respectively. The rate of return of the more conservative funds XS and S was 1.2% and 1.4%, respectively. Over the quarter, Pension fund Indeks increased by 4.7%, Pension fund Roheline decreased by 0.4%. The operating income of Varahaldus was similar to the previous quarter, with operating expenses slightly lower. Net profit is somewhat ahead of what has been planned due to the financial income arising from the rate of return on funds. The volume of the II pillar was affected by the movements of clients at the beginning of May, as well as the exit from the II pillar. The number of active clients making monthly contributions to the pension fund was 118,000 by the end of the quarter. The sales results of LHV Kindlustus were in accordance with the financial plan in Q2, with the biggest growth seen in terms of products concerning travel and home insurance. The profitability of insurance is at a good level thanks to the growth of revenue, with the premiums of concluded contracts having increased by 12% year-on-year. As at the end of June, 168 thousand clients of LHV Kindlustus held a total of 241,000 valid insurance contracts. As at the end of the half-year, LHV Group is well capitalised. In Q2, LHV Group organised the first major issue of MREL bonds to international markets in the amount of EUR 300 million. The capital raised by the AT1 bond in the amount of EUR 20 million was repaid to investors. The Group's internal capital generation capacity exceeds the growth of loans. Comment by Madis Toomsalu, the Chairman of the Management Board at LHV Group: "For LHV, this was the half-year with the largest increase in loan volumes in its history. This year, we have issued more than EUR 770 million in new loans to Estonian people and companies. Additionally EUR 66 million has been issued in England. This is reflected in the strong growth of the entire portfolio, and in Q2 alone, LHV's loan portfolio grew by EUR 246 million. Against the backdrop of economic uncertainty, the confidence of companies to invest is crucial to restoring growth. However, the continuation of controversies is to be expected, where, alongside the financial difficulties of some companies and notices of redundancies, some have become increasingly bold in investing, and where the partial counterbalance to the tax increase is the falling interest rate. LHV's strong capitalisation and deposit base will continue to be aimed at supporting such investments. At the same time, our investment banking activity is also important, since LHV has organised almost all major public and targeted fundraisings, and in the near future, we are also organising an offer of Estonian government bonds. I am glad to see that more and more Estonian people are finding their way to growing money with investments. When in May the number of LHV's clients with investment assets exceeded 100,000, we once again received evidence that our decades of work to promote the investor community have gone a long way." To access the reports of AS LHV Group, please visit the website at https://investor.lhv.ee/en/reports/. In order to present the results of the quarter, LHV Group will organise an investor meeting via the Zoom webinar platform. The virtual investor meeting will take place before the market opens on 23 July at 9.00. The presentation will be in Estonian. Please register at the following address: https://lhvbank.zoom.us/webinar/register/WN_lqbhs6XcRNqrbP8S3lQDMQ#/registration. LHV Group is the largest domestic financial group and capital provider in Estonia. The LHV Group's key subsidiaries are LHV Pank, LHV Varahaldus, LHV Kindlustus, and LHV Bank Limited. The Group employs over 1,100 people. As at the end of June, LHV's banking services are being used by 433,000 clients, the pension funds managed by LHV have 118,000 active clients, and LHV Kindlustus protects a total of 168,000 clients. LHV Bank Limited, a subsidiary of the Group, holds a banking licence in the United Kingdom and provides banking services to international financial technology companies, as well as loans to small and medium-sized enterprises. Priit Rum Communications Manager Phone: +372 502 0786 Email: priit.rum@lhv.ee (https://www.globenewswire.com/Tracker?data=7KIfx52ZdjGP36tQYBTzYiGel- evRSGBSyjchI1gfcRMgz_gHp6QOnRFC8eP3AUlslJ0gmAlV4jHxN2j0dVuquHKEOfnRRkXEN1AOBh3Av A=)