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LHV Group results in April 2021

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In April, the consolidated net profit of LHV Group reached EUR 4.2 million.
Within the month, LHV Pank earned EUR 4.3 million in net profit, including EUR
0.5 million from servicing clients related to the United Kingdom branch. The net
profit of LHV Varahaldus was EUR 0.2 million in April.

The number of bank clients increased by 4,300 in April. Client activity was
good, and we could see especially high activity in applications for home loans.
Within the month, the LHV loan portfolio increased by EUR 16.5 million, half of
which originated from housing loans. Due to the reduction of deposits of deposit
platforms, the volume of deposits decreased by a total of EUR 33 million, while
the deposits of financial intermediaries and private clients both increased.

In April, LHV Finance introduced a refinancing loan to the market, which enables
clients to comfortably join several consumer loans into a single loan. The NPS
Benchmark recommendation index survey by the survey company Kantar Emor showed
that LHV's internet bank holds first place on the leaderboard of service
experience in Estonian online environments.

The number of clients of LHV Varahaldus decreased in April, mainly due to people
in early retirement and pensionable age leaving the II pillar, while the
activity of leaving the II pillar has significantly decreased in April. On the
markets, it was a volatile month, but the volume of funds managed by LHV
increased to a record level of nearly EUR 1.6 billion.

In April, LHV Kindlustus made preparations for introducing motor own damage
insurance and motor third party liability insurance to the market, and for
commencing the active offering of insurance products. From 10 May, LHV home
insurance, motor third party liability insurance and motor own damage insurance
are all available, and the insurance undertaking is ready to offer a strong
alternative in the insurance market that has so far mainly been occupied by
foreign capital. With taking over the additional warranty portfolio and the bank
card travel insurance, the number of clients of LHV Kindlustus had already grown
to 128,000 clients by the end of April. The profitability of the company is
increasing.

Increasing of the share capital of LHV Group in relation to realising the
options programme of current and former employees also took place in April.

In the beginning of May, the rating agency Moody's Investors Service affirmed
LHV Pank's investment grade credit rating at Baa1, but changed the outlook of
long-term deposit ratings from stable to positive.

LHV's financial plan stands, all business volumes are slightly better than
planned. The net profit is ahead of the financial plan by EUR 1.7 million. The
success is mainly the result of better service fees and quality of the credit
portfolio than expected.

AS LHV Group reports are available 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, and LHV
Kindlustus. LHV employs over 570 people. LHV's banking services are used by
279,000 clients, the pension funds managed by LHV have 175,000 active clients,
and LHV Kindlustus protects a total of 128,000 clients. LHV's UK branch offers
banking infrastructure to 150 international financial services companies, via
which LHV's payment services reach clients around the world.


Priit Rum
LHV Communication Manager
Phone: +372 502 0786
Email: [email protected] (mailto:[email protected])