Liontrust Asset Management : Full Year Results for Year Ended 31 March 2022

LEI: 549300XVXU6S7PLCL855 For immediate release

22 June 2022

LIONTRUST ASSET MANAGEMENT PLC

FULL YEAR RESULTS FOR THE YEAR ENDED 31 MARCH 2022

Liontrust Asset Management Plc ("Liontrust", the "Company", or the "Group"), the independent fund management group, today announces its results for the year ended 31 March 2022.

Results:

• Adjusted profit before tax of £96.6 million (2021: £59.0 million1), an increase of 64%.
• Adjusted diluted earnings per share of 127.6 pence per share (2021: 80.1 pence per share1), an increase of 59%.
• Profit before tax of £79.3 million (2021: £34.9 million), an increase of 127%, see note 5 below for a reconciliation to Adjusted profit before tax.
• Revenues (Gross Profit) of £231 million (2021: £164 million), an increase of 41%, includes
  £12.6 million of performance fee revenues (2021: £13.7 million)

Dividend:

• Second Interim dividend of 50.0 pence per share (2021: 36.0 pence). This brings the total
  dividend for the financial year ending 31 March 2022 to 72.0 pence per share (2021: 47.0 pence), an increase of 53%.

Assets under management and advice:

• On 31 March 2022, assets under management and advice ("AuMA") were £33.5 billion (2021: £30.9 billion), an increase of 8.5%. Majedie Asset Management Limited ("Majedie") acquisition completed on 1 April 2022 adding £5.2 billion2 to AuMA, taking Liontrust's pro forma AuMA to £38.7 billion.
• AuMA as at 17 June 2022 were £34,230 million.

1. Restated, see note 5 below.
2. As at close of business on 31 March 2022.

Flows:

• Net inflows of £2.5 billion in the financial year ended 31 March 20223 (2021: £3.5 billion).
• Liontrust had the second highest net retail sales in the UK in 2021, according to the Pridham Report.

3 Includes outflows of £329 million related to the termination of the investment management agreement for the Verbatim Portfolio Growth Funds ("Verbatim Funds") on 21 March 2022.

Commenting, John Ions, Chief Executive, said:

"Over the past 13 years, we have successfully grown Liontrust by seeking to deliver discipline and excellence in everything we do and focusing on long-term positive outcomes for our investors. The success of this approach is shown by our strong sales, growth in AuMA and profitability, and a 53% increase in total dividends for the financial year.

These positive outcomes have been achieved through Liontrust's investment teams, their rigorous and robust processes, and first-class service and communications. While there will always be periods when the investment teams' funds will underperform indices and peer groups, we have full confidence in the investment expertise and processes at Liontrust that have shown they can help investors reach their investment goals over the long term. The success of the past that was based on focus and discipline is all the more important in the current volatile conditions.

It is understandable that investors' attention is often on the short term, whether it be reacting to the latest news headlines or recent performance, but we must not lose sight of what we as asset managers are trying to achieve in managing people's savings for the long term. As active and responsible investors, this means not only seeking to generate strong investment performance but also engagement with the companies we hold to ensure they adopt best practices and reporting to investors on the impact our teams are having through this. Asset managers with a genuine focus on ESG and sustainable investment will have a stronger tailwind.

Liontrust's approach has gained significant independent recognition over the last few years, including recently for the solutions we are providing financial advisers and their clients. The Liontrust SF Managed funds won the Best ESG Solution for Advisers at the Professional Adviser awards and were highly commended in the Best Multi-Asset Fund: Risk Managed Award.

In June, Liontrust won the Best Active Investment Solution Provider and the Best ESG Investment Solution Provider awards at the Professional Paraplanner Awards. These are in addition to seven of our funds being shortlisted for Investment Week's Fund Manager of the Year Awards and Liontrust being nominated for Global Group of the Year. The seven fund nominations are spread across five of our investment teams.

Further recognition has come from research by Square Mile, the investment research and consulting company, among financial advisers. Of those asked, 25% of advisers said Liontrust have the best sustainable investment team.

The increased focus on ESG and sustainable investment, including developments such as the Net Zero Asset Managers' Initiative which we signed in May 2022, will surface the invisible in terms of the various approaches of investors. It will also enable a move from take, make, break to a sustainable future.

We have had success in the institutional market through being appointed by LGPS Central to manage the newly launched Global Sustainable Equities Active Fund, with four local authorities partners investing at launch.

We continue to add value through M&A. On 1 April 2022, we completed the acquisition of Majedie Asset Management, which has broadened our distribution and investment capability. Majedie was appointed manager of one of the oldest investment trusts in 2020, which is testament to the team's investment strength and provides a presence in this market.

While it has been a more challenging economic background so far this year across the industry for fund flows, Liontrust has continued to perform relatively well with the sixth largest gross retail

sales in the UK in the first quarter of 2022 (Source: Pridham Report). Over the financial year, Liontrust achieved impressive net inflows of £2.5 billion.

Given the uncertainties facing us all, it is key that we have been able to increase significantly face- to-face meetings and events with clients over recent months, and this is enabling enhanced engagement with our investment teams. We are also communicating regularly with investors and are developing our digital marketing capability following the launch of the new Liontrust website in March.

Whatever the challenges ahead for the global economy, our investment excellence, robust processes and high-quality service give me great confidence that over the long term we can continue to deliver positive outcomes for our investors and therefore our shareholders and other stakeholders."

For further information please contact:

Liontrust Asset Management Plc (Tel: [phone], Website: liontrust.co.uk)

John Ions: Chief Executive

Vinay Abrol: Chief Financial Officer & Chief Operating Officer

Simon Hildrey: Chief Marketing Officer

David Boyle: Head of Corporate Development

Singer Capital Markets (Tel: [phone])

Corporate Broking: Tom Salvesen

Corporate Finance: Justin McKeegan

Panmure Gordon (Tel: [phone])

Corporate Broking: Charles Leigh-Pemberton

Corporate Advisory: Dominic Morley

Chair's Statement

Introduction

I am delighted to report that Liontrust has performed strongly over the past year, continuing the excellent progress made in previous years.

Strategic overview

From a financial perspective, the Group has increased profits before tax, the profitability of the business, earnings and dividends paid to shareholders.

Strategically, Liontrust delivered strong net sales, increased its AuMA and agreed the acquisition of Majedie Asset Management (which completed in April 2022) even while Covid lockdowns were still operational. From an investment perspective, Liontrust has maintained strong long-term fund performance and has also made progress in integrating ESG considerations in the investment thinking of the Group's teams.

These results demonstrate Liontrust's strong navigational skills during challenging environments and reflect the Company's sound positioning for ESG and for future growth.

I am proud of all the work Liontrust has undertaken this year and I would like to thank all colleagues and the Executive Directors for their dedication, hard work and contribution to the ongoing success of the Group.

I also welcome our new colleagues from Majedie to the Liontrust family. They bring great expertise and experience across the business and will help drive the future growth of the Company.

To ensure this continues, Liontrust is focused on providing outstanding service and continuing to provide investment funds rooted in the robust investment processes of its teams. In times of uncertainty, investors know that Liontrust's investment teams are adhering to their well- established processes. These processes aim to deliver a financial return for investors and, in the case of funds managed by the Sustainable Investment team, allocate capital to investments that are helping to solve global problems relating to the environment and society.

Investors expect Liontrust to explain and evidence its processes with regard to ESG and sustainability. This comes hand in hand with greater transparency requirements from EU regulation, which the UK and other regions will be quick to emulate, and the need to take action to avoid the worst impacts of global warming. Liontrust plans to make considerable strides in this space over the next fiscal year. The Group is committed to support the Net Zero Asset Managers' Initiative, to further the integration of ESG considerations into Liontrust's mainstream investment processes, and to link actions to the Group's strategy, internal governance structures and the Executive Directors' remuneration.

This provides a solid platform on which the Group can expand its expertise to ensure that Liontrust's offering in ESG and sustainable investment is fit for purpose for the next decade.

Similarly, investors and stakeholders expect Liontrust to manage its business sustainably. For us, this means abiding by local and regional laws, managing our key exposures well, treating our customers fairly, and continuing to increase our transparency about what we do, how we do it and what impact this has on our funds and our business.

Like other asset managers, the Group aims to be more diverse and inclusive and has taken steps this year to do that, including through hosting a Women's Forum Discussion in celebration of International Women's Day and activities to celebrate Pride Month. We are continually striving to make greater progress in terms of diversity and inclusion and will work to ensure that these factors are linked directly to the Group's strategy and reward. The Group will provide evidence of the impact of this work.

Board changes

We have continued to strengthen the Board with the appointment of three Non-executive Directors over the past year: Rebecca Shelley, Quintin Price and Emma Howard Boyd CBE. They bring a wealth of diverse experience from working in financial services, serving on public company boards and with environmental agencies and the public sector.

Rebecca joined the Board in November 2021 and is Senior Independent Director. Rebecca was Group Communications Director of Tesco Plc and a member of their Executive Committee and later was Group Corporate Affairs Director and a member of the Global Executive Committee of TP ICAP. Rebecca is also a Non-executive Director at Sabre Insurance Group Plc and Hilton Foods Group Plc.

Quintin, who joined the Board in July 2021, has 30 years' experience at a senior level for a number of leading investment companies, including Head of Alpha Strategies and a member of the Global

Executive Committee at BlackRock. Quintin is a Non-executive Director of Aperture Investors LLC, a New York based fund manager, and F&C Investment Trust Plc.

Emma has held a number of non-executive and advisory roles since leaving Jupiter Asset Management as Director, Stewardship, including Chair of the Environment Agency, an ex officio board member of the Department for Environment, Food and Rural Affairs and interim Chair of the Green Finance Institute. Emma's experience will be invaluable as we focus on our responsible and Sustainable investing.

Results

Adjusted profit before tax is £96.556 million (2021: £58.987 million1), an increase of 64% compared to last year. Adjusted profit before tax is disclosed in order to give shareholders an indication of the profitability of the Group excluding non-cash (intangible asset amortisation) expenses and non-recurring (professional fees relating to acquisition, cost reduction, restructuring and severance compensation related) expenses, see note 5 below for a reconciliation of adjusted profit before tax

1 Restated, see note 5 below.

Dividend

These excellent results have enabled the Board to declare a second interim dividend of 50.0 pence per share (2021: 36.0 pence) bringing the total dividend for the financial year ending 31 March 2022 to 72.0 pence per share (2021: 47.0 pence per share), an increase of 53% compared with last year.

The second interim dividend will be payable on 5 August 2022 to shareholders who are on the register as at 1 July 2022, the shares going ex-dividend on 30 June 2022. Last day for Dividend Reinvestment Plan elections is 15 July 2022.

Looking forward

I am confident that Liontrust will continue to meet all of our strategic objectives given the strength of our investment teams and their processes, the quality of our colleagues and the processes in place across the business.

Alastair Barbour

Non-executive Chair

21 June 2022

Chief Executive's Report

Introduction

Liontrust has enjoyed another successful year of growth as we continued to deliver positive outcomes for investors. Your Company's success has been driven by the ability to generate impressive investment performance over the long term, develop excellent client relationships and service, build a powerful brand, provide regular and relevant communications, and ensure a strong infrastructure for the business.

We generated net inflows of £2.5 billion in the financial year to meet the third pillar of our strategic objectives that is to expand our distribution and products, and in the 2021 calendar year Liontrust