Taaleri Oyj - Company Announcement

Taaleri’s income grew 12 percent to 34 million

Helsinki, 2016-08-25 07:30 CEST (GLOBE NEWSWIRE) -- 

Taaleri Group 1 January–30 June 2016



  -- The Group's income for the period grew by 12.4 percent to EUR 33.7 million
     (1-6/2015: EUR 30.0 million).
  -- The Group’s assets under management grew by 8.3 percent to EUR 4.2 billion
     (EUR 3.9 billion).
  -- The Group's adjusted operating profit was EUR 11.7 million (1-6/2015: EUR
     11.8 million).
  -- The Group's operating profit was EUR 11.7 million (1-6/2015: EUR 39.1
     million, including EUR 27.3 million resulting from the Garantia
     acquisition), comprising 34.9% of turnover.
  -- The Group’s results include EUR 2.5 million in expenses, i.e. from the
     brand reform, the move to the Nasdaq Helsinki main market  and the sale of
     Finsilva.
  -- Earnings per share: EUR 0.32 (1-6/2015: 1.35) and adjusted earnings per
     share: EUR 0.32 (1-6/2015: 0.35).

Estimate of future development

Taaleri's objectives are an equity ratio of more than 30 percent and an
operating profit margin of more than 15 percent. The long term objective for
return on equity is 15 percent. 

In addition to these, the company aims to increase the amount of dividends
distributed and annually distribute competitive dividends, taking into account
the company's economic position and financing situation. Despite the
challenging financial environment, we are aiming for controlled, profitable
growth, and we expect that the company's financial objectives for 2016 will be
achieved. 

Review by CEO Juhani Elomaa

We have managed well in the varying market conditions. Taaleri's income grew by
12 percent year-on-year. The market has been tormented by the continued zero
interest environment and the various threatening images and individual market
incident situations, such as Brexit. The development has lowered the
willingness of customers to shoulder risks, which, in turn, has made the
operating environment of the wealth management segment more challenging than
previously. 

Operatively, the start of Taaleri's year was positively characterised by our
move from the First North marketplace maintained by Nasdaq Helsinki to the
Nasdaq Helsinki main market from the beginning of April. The listing on the
stock exchange enables the effective acquisition of capital for the growth
needs of the company. To clarify our ownership the company's two share series
were combined, and the parent company purchased a minority holding from
Taaleri's private equity fund company. With its EUR 260 million market
capitalization, Taaleri settles among the mid cap companies. 

In January, Taaleri implemented a brand reform, in connection with which the
name of the company was changed from Taaleritehdas to Taaleri. The Group has
expanded through its partnerships to new areas of capital markets. Cooperation
is becoming a new ecosystem of ownership. As a new opening, we purchased a 40
percent share of Inderes Oy, which produces share analyses and media content to
investors. As a part of the ecosystem being built, we are able to offer our
customers diversified new services and find new business opportunities. In the
spring, we sold our share of the forest-owning Finsilva Oyj to Etera Mutual
Pension Insurance Company. 

In the wealth management segment, the administered funds rose to EUR 4.2
billion, and the number of our customers grew to 3,600. Our business operations
have remained at a sound level, even though the market and the competitive
situation have created challenges for income and profitability. 

The business operations of private equity funds has expanded and succeeded
well. In March, we established the first private equity fund focusing on
circular economy in the world, and in June we opened a third wind power fund,
which was quickly completely subscribed. The sale of Biotehdas, developed by
us, to Gasum also occurred during the first half of the year. 

The Financing segment succeeded according to our expectations. The result of
our subsidiary Garantia Insurance Company Ltd for the first half of the year
was good. In particular, the 22 percent increase of premiums written can be
regarded as a success. Our business operations have grown in commercial bonds
and residential mortgage guaranties, in particular. Fellow Finance, which
facilitates online peer-to-peer lending, has continued to expand to new
markets, and its business operations have grown. 

In June, we announced that we will open a new Energy business segment. Our plan
is to utilise the expertise we have acquired in renewable energy projects, and
expand our resources for international investments. During the autumn, we will
tell more about our plans related to our energy business. 

Events after the review period

During the second half of the year, we will invest in developing the business
of Taaleri Energy. Taaleri Energy will channel Finnish holdings to renewable
energy, such as wind and solar power, but also to existing energy sources and
networks. Energy offers a natural expansion to Taaleri's operations as the
company has strong expertise in the area. The energy business is also partly
associated with Taaleri's internationalisation objective. 

In addition, Taaleri Kapitaali was established after the period under review.
Its mission is to support brokerage operations of the Wealth Management segment
and to expand the services offered to customers. 

Taneli Hassinen, head of communications, will step down from the Group's
Executive Management Team starting from 1 October 2016. He continues to be
responsible for Taaleri's communications and media and investor relations. 

Taaleri Oyj

Board of Directors

Analyst and media meeting

Analyst and media meeting will be organised 25 August at 10.30 at Taaleri HQ,
Kluuvikatu 3, 00100 Helsinki. 

Taneli Hassinen

Head of Communications and IR

Taaleri Oyj

tel. +358 40 504 3321

taneli.hassinen@taaleri.com

Taaleri in brief

Taaleri is a Finance House, whose parent company Taaleri Plc is listed on
Nasdaq Helsinki’s main market. The Taaleri Group consists of three business
areas: Wealth Management, Financing and Energy. Taaleri provides services to
institutional investors, companies and private individuals. The Group's
subsidiaries engaging in business are: Taaleri Wealth Management and its
subsidiaries, Taaleri Private Equity Funds Ltd Group, Taaleri Investments Ltd
Group, Taaleri Energia Oy and Garantia Insurance Company Ltd. In addition,
Taaleri has associated companies Fellow Finance Plc, which offers peer-to-peer
lending services, and Inderes Oy, which produces analyses and media content for
investors. 

At the end of June 2016, Taaleri had EUR 4.2 billion of assets under management
and 3,600 asset management customers. Taaleri Plc has approximately 2,600
shareholders. The operations of Taaleri are supervised by the Finnish Financial
Supervisory Authority. 

More information about our company and services:

www.taaleri.com
www.fellowfinance.fi
www.garantia.fi

Taaleri on Twitter

Attachments:

Taaleri half year financial report 2016_EN_final.pdf