Financial Analysis - EFG Financial Products Holding AG provides financial services in a number of areas most notably structured products, asset management and pension solutions

12.03.2013

Ticker: EFG Financial Products Holding Benchmark:

Currency: SIX Swiss Ex: FPHN, Currency: CHF SWISS MARKET INDEX (SMI)

Sector: Financials Industry: Capital Markets Year:

Telephone 41-58-800-11-11 Revenue (M) Business Segments in CHF Sales (M) Geographic Segments in CHF Sales (M)

Website www-en.efgfp.com No of Employees Unallocated Sales 1 Unallocated Sales 1

Address Brandschenkestr. 90 Zurich, 8027 Switzerland

Share Price Performance in CHF

Price 53.00 1M Return 11.0%

52 Week High 53.00 6M Return #VALUE!

52 Week Low 42.35 52 Wk Return #VALUE!

52 Wk Beta 0.34 YTD Return 17.5%

Credit Ratings

Bloomberg -

S&P - Date - Outlook -

Moody's - Date - Outlook -

Fitch - Date - Outlook -

Valuation Ratios

12/09 12/10 12/11 12/12 12/13E 12/14E 12/15E

P/E - - - 14.7x 13.1x 9.6x 7.5x

EV/EBIT - - - - - - -

EV/EBITDA - - - - 14.2x 10.8x 8.5x

P/S - - - 2.4x 2.4x 2.1x 1.8x

P/B - - - - 2.3x 2.0x 1.7x

Div Yield - - - - 2.3% 3.1% 4.0%

Profitability Ratios %

12/09 12/10 12/11 12/12 12/13E 12/14E 12/15E

Gross Margin - - - - - - -

EBITDA Margin 22.5 22.5 18.6 - 27.3 31.1 34.5

Operating Margin 18.1 18.3 12.9 - 20.3 24.4 28.2

Profit Margin 18.5 15.6 11.7 16.0 18.4 21.8 24.2

Return on Assets - 0.6 0.3 - - - -

Return on Equity - 56.5 32.8 - - - -

Leverage and Coverage Ratios

12/09 12/10 12/11 12/12

Current Ratio - - - - Current Capitalization in CHF

Quick Ratio - - - - Common Shares Outstanding (M) #N/A N/A

EBIT/Interest - - - - Market Capitalization (M) 353.3

Tot Debt/Capital - - - - Cash and ST Investments (M) 100.6

Tot Debt/Equity 10.6 10.7 5.7 - Total Debt (M) 258.4

Eff Tax Rate % - 14.6 9.0 - Preferred Equity (M) 0.0

LT Investments in Affiliate Companies (M) 0.0

Investments (M) 0.0

Enterprise Value (M) 511.2

EFG Financial Products Holding AG provides financial services in a number of areas

most notably structured products, asset management and pension solutions. The

Company has offices in Zurich, Geneva, Guernsey, Monaco, Hong Kong and Frankfurt.

FPHN SW

128

271

Company Analysis - Overview

100%

RkSiilUSpba OSibo

100%

RkSiilUSpba OSibo

Q.M.S Advisors | tel: +41 (0)78 922 08 77 | e-mail: [email protected] |

EFG Financial Products Holding

Target price in CHF

Date Buy Hold Sell Date Price Target Price Broker Analyst Recommendation Target Date

.5!CbU!-0 -%% % % -.!JTn!-0 20#%% 25#%% 9nbaep Nreoob DRMFEO G7J8L lrpmbnclng 25#%% -.!JTn!-00-!FTi!-0 -%% % % --!JTn!-0 16#0% 25#%%0-!AbV!-. -%% % % 5!JTn!-0 2%#%% 25#%%0%!Kls!-. #S7IRB! #S7IRB! #S7IRB! 4!JTn!-0 2%#1% 25#%%0-!LVp!-. #S7IRB! #S7IRB! #S7IRB! 3!JTn!-0 2%#12 25#%%.5!Nbm!-. #S7IRB! #S7IRB! #S7IRB! 2!JTn!-0 16#4% 25#%%0-!7rd!-. #S7IRB! #S7IRB! #S7IRB! 1!JTn!-0 2%#%% 25#%%0-!Frf!-. #S7IRB! #S7IRB! #S7IRB! -!JTn!-0 16#%% 25#%%.6!Fri!-. #S7IRB! #S7IRB! #S7IRB! .5!CbU!-0 16#%% 25#%%0-!JTt!-. #S7IRB! #S7IRB! #S7IRB! .4!CbU!-0 15#-% 25#%%0%!7mn!-. #S7IRB! #S7IRB! #S7IRB! .3!CbU!-0 15#%% 25#%%0%!JTn!-. #S7IRB! #S7IRB! #S7IRB! .2!CbU!-0 15#22 25#%%

..!CbU!-0 15#6% 25#%%

.-!CbU!-0 16#3% 2.#%%

.%!CbU!-0 16#0% 2.#%%-6!CbU!-0 15#4% 2.#%%-5!CbU!-0 16#%% 2.#%%-2!CbU!-0 15#5% 2.#%%-1!CbU!-0 15#%% 2.#%%-0!CbU!-0 13#5% 2.#%%-.!CbU!-0 14#42 2.#%%--!CbU!-0 15#5% 2.#%%5!CbU!-0 14#52 2.#%%4!CbU!-0 15#%% 2.#%%3!CbU!-0 15#%% 2.#%%2!CbU!-0 14#2% 2.#%%1!CbU!-0 15#2% 2.#%%-!CbU!-0 16#%% 2.#%%

0-!FTi!-0 15#2% 2.#%%0%!FTi!-0 15#3% 2.#%%

Company Analysis - Analysts Ratings

'rt RkT Bagg 1aSliiakTRodlkn sn 0mdSa RkT PRmcao 0mdSa

!% !% !% !% !% !% !% !% !%

%!!% %!!% %!!%

!% !% !% !% !% !% !% !% !%

!% !% !%

!% !% !% !% !% !% !% !% !%

!% !% !%

!%

.!%

1!%

3!%

5!%

%!!%

jSno %. Ssn %. jSf %. grfk %. grfi %. Slyp %. obmp %. lUp %. kls %. axU %. gSks %0 cxsn %0

6nl

hbn M

bUlj

jbk

aSpfl

k

!

%!

.!

0!

1!

2!

3!

4! LnfU

b

6rv Blia Obii LnfUb PSndbp LnfUb

'mleamn PRmcao 0mdSa

!

%!

.!

0!

1!

2!

3!

4!

7nb

afp O

rfoo

b


12.03.2013


Ownership Statistics Geographic Ownership Distribution

Shares Outstanding (M) #N/A N/A Switzerland 49.13%

Float 46.6% Unknown Country 32.13%

Short Interest (M) Bahamas 10.23%

Short Interest as % of Float Singapore 5.05%

Days to Cover Shorts Luxembourg 0.99%

Institutional Ownership 42.19% Britain 0.86%

Retail Ownership 40.05% United States 0.78%

Insider Ownership 17.75% Others 0.82%

Institutional Ownership Distribution

Bank 36.99%

Individual 26.59%

Corporation 10.23%

Mutual Fund Manager 8.77%

Pricing data is in CHF Others 17.43%

Top 20 Owners:

Holder Name Position Position Change Market Value % of Ownership Report Date Source Country

EFG INTERNATIONAL AG 1'646'675 0 87'273'775 24.70% 19.10.2012 EXCH SWITZERLAND

SCHOCH JAN 506'100 0 26'823'300 7.59% 08.10.2012 Co File n/a

TABATSEKA LIMITED 455'490 0 24'140'970 6.83% 19.10.2012 EXCH BAHAMAS

HARTWEG MICHAEL 448'015 0 23'744'795 6.72% 08.10.2012 Co File n/a

DORIGO SANDRO 229'515 0 12'164'295 3.44% 08.10.2012 Co File n/a

GOVT OF SINGAPORE IN 225'000 0 11'925'000 3.38% 19.10.2012 ULT-AGG SINGAPORE

CREDIT SUISSE FUND A 200'939 0 10'649'767 3.01% 05.12.2012 EXCH SWITZERLAND

MOORE GLOBAL INVESTM 199'332 -668 10'564'596 2.99% 03.01.2013 EXCH

IST FUND MANAGERS 133'306 133'306 7'065'218 2.00% 31.01.2013 MF-AGG SWITZERLAND

CREDIT SUISSE ASSET 81'999 7'989 4'345'947 1.23% 28.12.2012 MF-AGG SWITZERLAND

SWISSCANTO FONDSLEIT 69'434 27'794 3'680'002 1.04% 28.12.2012 MF-AGG SWITZERLAND

JP MORGAN 52'380 -20'711 2'776'140 0.79% 31.01.2013 ULT-AGG

TERRA FELICE LIMITED 47'525 0 2'518'825 0.71% 19.10.2012 EXCH

PICTET & CIE 32'538 0 1'724'514 0.49% 30.11.2012 MF-AGG SWITZERLAND

MILLENNIUM BCP GFI S 30'092 0 1'594'876 0.45% 30.11.2012 MF-AGG PORTUGAL

VONTOBEL ASSET MANAG 18'000 18'000 954'000 0.27% 31.10.2012 MF-AGG LUXEMBOURG

BARING FUND MANAGERS 17'000 0 901'000 0.26% 30.11.2012 MF-AGG BRITAIN

GLOBAL INVESTMENT SE 12'000 12'000 636'000 0.18% 31.10.2012 MF-AGG LUXEMBOURG

OPPENHEIM PRAMERICA 11'000 0 583'000 0.17% 30.11.2012 MF-AGG LUXEMBOURG

ZUERCHER KANTONALBAN 6'700 6'700 355'100 0.10% 31.10.2012 MF-AGG SWITZERLAND

Top 5 Insiders:

Holder Name Position Position Change Market Value % of Ownership Report Date Source

SCHOCH JAN 506'100 26'823'300 7.59% 08.10.2012 Co File

HARTWEG MICHAEL 448'015 23'744'795 6.72% 08.10.2012 Co File

DORIGO SANDRO 229'515 12'164'295 3.44% 08.10.2012 Co File

RUFLIN LUKAS 5 265 0.00% 08.10.2012 Co File

17.76%

Company Analysis - Ownership

Ownership Type

42%

40%

18%

CkopfprpflkSi Itkbnoefm MbpSfi Itkbnoefm Ckofabn Itkbnoefm

Geographic Ownership

49%

1%

10%

1%5%

1% 1%

32%

OtfpwbniSka Rkhkltk 7lrkpnv 6SeSjSoOfkdSmlnb FrubjTlrnd 6nfpSfkRkfpba OpSpbo Ipebno

Institutional Ownership

37%

10%

17%

9%

27%

6Skh CkafsfarSi 7lnmlnSpflk HrprSi 8rka HSkSdbn Ipebno

TOP 20 ALL



Financial information is in CHF (M)

Periodicity: 12/02 12/03 12/04 12/05 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13E 12/14E 12/15E

Income Statement

Revenue 67 92 108 128 146 169 194

- Cost of Goods Sold

Gross Income

- Selling, General & Admin Expenses 55 71 91

(Research & Dev Costs)

Operating Income 12 17 14 30 41 55

- Interest Expense

- Foreign Exchange Losses (Gains)

- Net Non-Operating Losses (Gains)

Pretax Income 12 17 14 30 41 55

- Income Tax Expense -0 2 1

Income Before XO Items 12 14 13

- Extraordinary Loss Net of Tax 0 0 0 0

- Minority Interests

Diluted EPS Before XO Items 12.30 14.27 12.68 3.08

Net Income Adjusted* 21 27 37 47

EPS Adjusted 3.08 4.04 5.52 7.05

Dividends Per Share 0.00 0.00 0.00 1.21 1.66 2.11

Payout Ratio % 0.0 0.0 0.0 0.30 0.30 0.30

Total Shares Outstanding

Diluted Shares Outstanding 1 1 1 7

EBITDA 15 21 20 40 53 67

*Net income excludes extraordinary gains and losses and one-time charges.

Equivalent Estimates

Company Analysis - Financials I/IV

Fiscal Year


Periodicity: 12/02 12/03 12/04 12/05 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13E 12/14E 12/15E

Balance Sheet

Total Current Assets

+ Cash & Near Cash Items 31 204 101

+ Short Term Investments 311 626 816

+ Accounts & Notes Receivable 17 57 46

+ Inventories

+ Other Current Assets

Total Long-Term Assets

+ Long Term Investments

Gross Fixed Assets

Accumulated Depreciation

+ Net Fixed Assets 5 7 8

+ Other Long Term Assets 1'295 2'540 3'243

Total Current Liabilities

+ Accounts Payable

+ Short Term Borrowings 192 346 258

+ Other Short Term Liabilities 1'418 3'017 3'855

Total Long Term Liabilities 30 39 56

+ Long Term Borrowings

+ Other Long Term Borrowings 30 39 56

Total Liabilities 1'640 3'402 4'169

+ Long Preferred Equity 0 0 0

+ Minority Interest 0 0 0

+ Share Capital & APIC 19 19 19

+ Retained Earnings & Other Equity -1 13 26

Total Shareholders Equity 18 32 45

Total Liabilities & Equity 1'658 3'434 4'214

Book Value Per Share 23.15 27.01 31.95

Tangible Book Value Per Share

Company Analysis - Financials II/IV


Periodicity: 12/02 12/03 12/04 12/05 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13E 12/14E 12/15E

Cash Flows

Net Income 12 14 13

+ Depreciation & Amortization 3 4 6

+ Other Non-Cash Adjustments -0 2 1

+ Changes in Non-Cash Capital -47 7 -25

Cash From Operating Activities -32 27 -5

+ Disposal of Fixed Assets

+ Capital Expenditures -2 -4 -3

+ Increase in Investments

+ Decrease in Investments

+ Other Investing Activities -0 -4 -7

Cash From Investing Activities -2 -8 -10

+ Dividends Paid

+ Change in Short Term Borrowings 41 154 -88

+ Increase in Long Term Borrowings

+ Decrease in Long Term Borrowings

+ Increase in Capital Stocks

+ Decrease in Capital Stocks

+ Other Financing Activities

Cash From Financing Activities 41 154 -88

Net Changes in Cash 7 173 -103

Free Cash Flow (CFO-CAPEX) -34 23 -8

Free Cash Flow To Firm

Free Cash Flow To Equity

Free Cash Flow per Share -34.13 23.16 -8.36

Company Analysis - Financials III/IV


Periodicity: 12/02 12/03 12/04 12/05 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13E 12/14E 12/15E

Ratio Analysis

Valuation Ratios

Price Earnings 14.7x 13.1x 9.6x 7.5x

EV to EBIT

EV to EBITDA 14.2x 10.8x 8.5x

Price to Sales 2.4x 2.4x 2.1x 1.8x

Price to Book 2.3x 2.0x 1.7x

Dividend Yield 2.3% 3.1% 4.0%

Profitability Ratios

Gross Margin

EBITDA Margin 22.5% 22.5% 18.6% 27.3% 31.1% 34.5%

Operating Margin 18.1% 18.3% 12.9% 20.3% 24.4% 28.2%

Profit Margin 18.5% 15.6% 11.7% 16.0% 18.4% 21.8% 24.2%

Return on Assets 0.6% 0.3%

Return on Equity 56.5% 32.8%

Leverage & Coverage Ratios

Current Ratio

Quick Ratio

Interest Coverage Ratio (EBIT/I)

Tot Debt/Capital

Tot Debt/Equity 10.58 10.70 5.75

Others

Asset Turnover 0.04 0.03

Accounts Receivable Turnover

Accounts Payable Turnover

Inventory Turnover

Effective Tax Rate 14.6% 9.0%

Company Analysis - Financials IV/IV


Economy & Finance

Financial Analysis - EFG Financial Products Holding AG provides financial services in a number of areas most notably structured products, asset management and pension solutions