Aprila Bank ASA | Q4 2019 | 14 February 2020 Disclaimer - PowerPoint PPT Presentation

Aprila Bank ASA | Q4 2019 | 14 February 2020

Disclaimer Forward-looking statements This presentation contains forward-looking statements that reflect management’s current views with respect to certain future events and potential financial performance. Although Aprila Bank believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to be correct. Accordingly, results could differ materially from those set out in the forward-looking statements as a result of various factors. Important factors that may cause such a difference for Aprila Bank include, but are not limited to: (i) the macroeconomic development, (ii) change in the competitive climate, (iii) change in the regulatory environment and other government actions and (iv) change in interest rate and foreign exchange rate levels. This presentation does not imply that Aprila Bank has undertaken to revise these forward-looking statements, beyond what is required by applicable law or other applicable regulations if and when circumstances arise that will lead to changes compared to the date when these statements were provided. 2

Table of contents Overview 01 Highlights 02 Key figures 03 Outlook 04 Appendix 3

Aprila in brief Product and technology company aiming to reinvent SME banking and enable new job creation Making credit available for a large underserved SME market Key figures • Offering credit to customers where they are, when they need it • Transparent and understandable pricing; no access fees or lock-in periods • Credit assessment based on live data from online accounting systems # of SME customers 901 (12 Feb 2020) Leveraging technology to create competitive advantage Average loan per customer • ~53 000 Scalable architecture developed in-house; integrations through APIs (NOK, 31 Dec 2019) • In-house developed data warehouse; enables data-driven decision making and facilitates powerful predictive analytics Gross income per customer • Real-time credit scoring and pricing based on machine-learning technology ~18 000 (NOK, annual run-rate Dec 2019) Two products and access to ~130,000 SMEs from Q1 2020 Yield on net loans 37.0% • Commenced operations in Q2 2018, launching spot factoring integrated in (Q4 19, annualised) Tripletex (online accounting system) • Expanding from one product in one distribution channel to three products and Funding cost six channels during 2020 2.1% (p.a.) • Credit line up to NOK 500k launched in Tripletex on 16 Dec 2019 and in own channels (kassekreditt.no) 20 Dec 2019 4

Highlights Q4 2019 Summary Q4-19 Solid margin expansion (+17%) and volume increase (+25%) in the quarter • All-time high purchased amount of NOK 112m Q3-19 Q4-19 NOKm • Margin expansion from 2.53% in Q3 to 2.96% Purchased amount 90 112 • Net 802 customers onboarded at EOP Gross income from lending 2.3 3.3 Total income 1.9 2.3 Credit line launched ultimo Q4-19, two new distribution channels during Q1-20 Pre-tax operating profit -8.6 -11.5 • 1 Credit line up to NOK 500k launched in Tripletex on 16 Dec 2019 and in own channels Yield on avg. net loans 30 % 37 % (kassekreditt.no) 20 Dec 2019 • First roll-out in Visma eAccounting commenced 10 Feb 2020 (3,000 of 40,000 users) 2019 • First roll-out in Fiken (36,000 users) expected to commence during Q1 Uniquely positioned and ready to scale 2018 2019 NOKm • 3,500 customers and gross loans of NOK ~290m expected by year end 2020 Purchased amount 138 372 • Strong capital position with a CET1% of 120.6 as of 31 Dec 2019 Gross income from lending 3.2 10.0 • Due to rapid growth in lending volumes, Aprila will consider to strengthen the capital position Total income 2.8 7.6 during 2020 Pre-tax operating profit -26.3 -36.6 2 Equity EOP 128 92 Note 1: Gross income from lending divided by average net loans in the period. | | Note 2: Excluding deferred tax assets. 5

Table of contents Overview 01 Status 02 Key figures 03 03 Outlook 04 Appendix 6

Key figures 802 customers at EOP and NOK 112m purchased in Q4 19 Key comments Net customers accumulated 1 Purchased amount by quarter 2 # NOK million • 112 802 customers at EOP 802 Both 100 45 Credit line • NOK 112m purchased 692 89 90 45 619 81 Spot factoring 562 • Net 110 new customers 467 • NOK 42m in gross loans at EOP of which 325 37 NOK 7m in credit line 88 2 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 12 Feb 20 Net new customers 3 Gross loans by product NOK million # 237 Credit line 42 Customers 40 901 Spot factoring 7 (#) 32 32 32 142 23 110 Net new customers 99 95 88 40 (# YTD) 74 35 32 32 32 57 23 1 Gross loans 52 1 (NOK million) Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Note 1: Customers at EOP, net of closed accounts. | | Note 2: Nominal amount of invoices purchased in the period. | | Note 3: New customers onboarded in the period, net of closed accounts. 7

Spot factoring | Active customers ~68% of the spot factoring customers have sold invoices Key comments Active customers 1 by # of sold invoices Purchased amount by customer industry (Q4 19) >5 2-5 1 • Construction, services and ICT accounted for 78% of purchased amount in Q2 9 % 17 % 20 % 19 % 21 % 24 % 29 % 34 % • 13 % Construction ~75% of the active customers sold two 38 % invoices or more Services 36 % 35 % 29 % 40 % NOK 39 % 35 % ICT 112m • 514 of 757 open customer accounts (68%) 14 % 52 % Retail had sold invoices at EOP 46 % 47 % 46 % 40 % 40 % Others 35 % • 302 customers sold invoices in Q4 26 % 14 % • NOK 371k purchased per customer active in Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 the period Active customers 2 vs. total net customers Purchased per active customer account 3 68 % 416 Net active customers acc. 64 % 61 % Inactive customers 371 58 % 55 % 757 344 Net active in % 333 334 692 619 41 % 562 243 236 251 467 28 % 240 236 325 211 514 191 88 441 57 379 326 256 63 134 25 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Note 1: Active customers = customers who have sold one invoice or more. | | Note 2: Net active customers acc. = Active customer accounts at EOP. | | Note 3: Purchased amount in the period divided by customers active in the period. 8

Spot factoring | Key invoice figures Margin expansion from 2.53% to 2.96% (+17%) Key comments Invoiced amount 1 Purchased amt by end customer industry (Q4 19) NOK million NOK million Available invoiced amount 1 in Q4 amounted • 964 to NOK 964m 17 % 787 766 Construction • With a purchased amount of NOK 112 35 % 5 % million, the conversion rate 4 (in NOK) was 592 Services 563 NOK 7 % 11.6% (11.4% in Q3) Retail 112m Real estate • 225 VWA margin: 2.96% 11 % ICT • VWA granted days in Q1-19: 22.6 14 25 % Others Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Margin 2 (volume weighted average) Granted days 3 (volume weighted average) % # days 2.96 % 23.7 23.5 23.3 22.9 22.6 2.60 % 2.56 %2.58 % 2.53 % 22.2 2.20 % 2.32 % 16.6 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Note 1: Estimated invoiced amount available to Aprila. | | Note 2: Gross interest and fee income in % of purchased amount, not accounting for accruals. | | Note 3: Volume weighted average number of due days granted to end customers on invoices 9 purchased in the period. | | Note 4: Conversion rate = Purchased in % of invoiced.

Credit line | Key figures 90 customer accounts opened in two weeks Key comments Customer accounts Outstanding amount by industry # NOK million Credit line accounts without draw-down at EOP 2 % • 90 customer accounts opened from 16 Dec 48 % Credit line accounts with draw-down at EOP to year-end 7 % Net active in % Retail 90 12 % • NOK 74k outstanding amount per account 33 % Services at EOP NOK 47 Construction 6.7m • On average NOK 156 drawn by customers 18 % Real estate with draw-down ICT 43 Others 28 % Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 12 Feb 20 Average outstanding amount per account Average drawdown (per account with draw-down) NOK thousand NOK thousand Customer accounts 166 156 (#) Outstanding amount 117,000 74 per account (NOK) Average drawdown 188,000 (NOK) Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 10