Hoist Finance updates on strategy and financial targets
Tomorrow Hoist Finance hosts its Capital Markets Day 2018 in Stockholm, Sweden.
The management will present the Group’s new strategy. The strategy addresses opportunities present in the European non-performing loan market. Presentations will be given on Hoist Finance key value creation initiatives. These include actions to:
- capture the strong growth in six priority markets (Italy, UK, Poland, France, Germany and Spain);
- extend its product offering to meet more of the needs of European Financial institutions;
- expand into other asset classes, including SME Unsecured, B2C Unsecured, SME Secured and Performing loans, through a disciplined investment process; and
- Improve operational efficiency to deliver 300 MSEK of cost savings on an annual basis and a cost-to-income ratio of 65% by 2021.
As a result of the new strategy Hoist Finance will also present updated financial targets set out below:
- Return on equity of 20% in 2021
- Cost-to-income ratio of 65% in 2021
- A compound annual growth rate (CAGR) in Earnings Per Share (EPS) of 15%, when comparing 2021 to 2018, excluding items affecting comparability
- CET1 target of 2.5–4.5 percentage points above regulatory requirements
- Dividend policy to distribute 25-30% of net profits per annum
Klaus-Anders Nysteen, Chief Executive Officer of Hoist Finance commented on the new strategy:
“We see great growth opportunities in the European non-performing loan market and we have also identified clear actions to improve our profitability. Historically, our profitability has been on a par with competitors, despite a significant performance gap in operations. Hoist Finance lack of efficiency has been offset by its low cost of funding. Now we are removing the performance gap in operations to deliver a better return to shareholders.”
The Capital Markets Day is being held at Grev Turegatan 30, (GT30) in Stockholm, at 9:00 – 14:00 CET. The presentation material, as well as a webcast, will be made available on http://ir.hoistfinance.com/en around 9.00 CET on November 15.
For further information please contact:
Group Head of Investor Relations
Tel: 46 8 555 177 19
This information is information that Hoist Finance AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 18.00 CET on 14 November 2018.
About Hoist Finance
Hoist Finance is a trusted debt restructuring partner to international banks and financial institutions. We are specialised in serving banks in handling non-performing loans, and supporting individuals in becoming debt free. Through expertise and rigorous compliance we earn the banks’ trust. Through respect, honesty and fairness we earn the trust of our customers. For further information, please visit hoistfinance.com.