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LHV Group results in May 2022

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In May, the consolidated net profit of LHV Group amounted to EUR 4.7 million. AS
LHV Pank earned EUR 5.6 million in net profit, EUR 0.7 million of which was from
serving clients associated with the UK branch. AS LHV Varahaldus generated a net
profit of EUR 29,000 and, for the first time, AS LHV Kindlustus also generated a
positive financial result of EUR 6,000. The net loss of LHV UK Limited reached
EUR 0.6 million in May.

By the end of May, the activity of LHV clients had reached its normal level. The
results were also affected by the good quality of the loan portfolio, and the
lower-than-planned loan provisions resulting from that.

LHV Group's consolidated loan portfolio grew by EUR 42 million in May, with
corporate loans increasing by EUR 5 million and retail loans by EUR 37 million.
In May, the volume of consolidated deposits increased by EUR 76 million, mainly
on account of deposits of retail clients. The volume of funds managed by LHV
decreased by EUR 75 million over the month. In May, 2.3 million payments from
financial intermediary clients were processed.

LHV Pank's business volumes increased and client activity improved: the number
of bank clients increased by 4,700, and new home loans, consumer loans, and
loans to apartment associations were granted in a record amount. Interest income
remained on the regular level in May, while fee and commission income increased.
LHV Finance improved the consumer loan conditions for its clients, and started
offering a green hire-purchase for solar panels, with an interest of 4.9%.

The business revenues of Varahaldus corresponded to plan in May. Results were
affected by a negative month on stock markets. The larger actively managed LHV
pension funds underwent a slight decline: M, L and XL declined by 0.7%, 1.4% and
1.1%, respectively. Over the month, pension fund Roheline increased by 1.1%;
Indeks lost 3.2% in value. In the last couple of months, it was positive to see
a significant decrease in the number of people leaving the II pension pillar,
with more people joining than leaving in April and May.

The quick increase in business volumes of LHV Kindlustus continues and in May,
the company reached a positive financial result for the first time. The volume
of losses has decreased, the premiums earned are starting to surpass the
financial plan. Client satisfaction with claims handling has remained at a high
level of 96%. The company continues to hire new people.

LHV's financial plan remains unchanged.

From 18 May to 1 June, LHV Group raised additional capital through an secondary
share offer. The offering to investors was a successful one; a total of 11,694
investors subscribed to LHV shares in the amount of EUR 43.6 million. LHV raised
EUR 35 million, which will be used to finance the new bank being established in
the United Kingdom and to increase the company's capital buffers.

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. The Group employs more than 770 people. As of May, LHV's banking
services are being used by 347,000 clients, the pension funds managed by LHV
have 130,000 active clients, and LHV Kindlustus protects a total of
148,000 clients. LHV's UK branch offers banking infrastructure to 200
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])