Credito Emiliano S.p.a. · MIL:CE
Credito Emiliano — H1 2015 Earnings Presentation
21 slides from Credito Emiliano's earnings presentation, 2015
Slide 1: Group's Results – 1H2015
Group’s Results – 1H2015
Slide 2: 1H2015 Highlights
1H2015 Highlights The Group continued to develop its business with Total Customers’ Deposits (Direct Deposits, AUM, Insurance Reserves and AUC) growing by more than €4.5 billion year on year (+8.7%), of which €2.7 billion only in the last semester (+5.0% on 2014 year-end figures) Strong increase als
Slide 3: Income Statement
Income Statement Euro, million 2Q14 1Q15 2Q15 % vs. 2Q14 % vs. 1Q15 1H14 1H15 % YoY Operating Income 256.0 353.1 257.9 0.7% -27.0% 542.7 611.1 12.6% Operating Income net of Trading 249.6 253.0 239.8 -3.9% -5.2% 497.1 492.8 -0.9% and Performance Fees Operating Costs -164.2 -175.5 -173.7 5.8% -1.0% -3
Slide 4: Interest Margin (1/3)
Interest Margin (1/3) Quarterly Interest Margin Interest Margin is down 2% QoQ as a result of Euro, million 130 a reverted increasing competition on lending which, along with Euribor rates trend, penalized 120 123.6 122.2 125.6 Credem’s average loans’ rates, and the full 119.4 110 impact of the €200
Slide 5: Interest Margin (2/3)
Interest Margin (2/3) Evolution of Average Loan Rate Evolution of Average Deposit Rate (Credem SpA management reporting) (Credem SpA management reporting) 4.50 % 2.50 % 3.96 3.79 3.79 2.09 4.00 3.52 3.65 3.59 1.96 3.33 3.45 0.80% 3.50 3.18 2.00 2.96 2.92 1.68 3.00 -0.44% -0.61% 2.76 0.74% 1.53 -0.46
Slide 6: Interest Margin (3/3)
Interest Margin (3/3) Securities’ Portfolio Breakdown (Credem Group management reporting) 100% In 2Q15 there was a fine tuning on the 13% Banking Group securities’ portfolio 90% 20% exposure to «Italy», moved from 23% 80% 10% as of the end March 2015 to 29%, also 9% benefitting from the volatility o
Slide 7: Non Interest Margin
Non Interest Margin Non Interest Margin: Quarterly Evolution Performance Fees 246,9 250 3 Trading 200 97.1 163,1 154,1 € Million Other 145,8 141,7 2.2 150 127,7 118,7 136,8 39.1 133,8 138,9 27.6 11.8 10.7 3.4 5.4 13.2 10 3.4 5 15.9 5.4 5.6 4.5 4.9 3.8 4.3 Banking Services Comm. 4 4.5 5 4.5 49.3 100
Slide 8: AUM and Insurance Reserves
AUM and Insurance Reserves AUM and Insurance Reserves Evolution Mutual Funds and SICAVs Breakdown by Asset Class (management reporting data) 30,000 100% 20% 21% 23% 26,866 27,129 80% 24,616 25,000 +30% 60% 40% 45% 50% 20,923 40% 20,000 20% 39% 33% 26% 0% 1% 1% 1% 15,000 2013 2014 1H15 2013 2014 1Q15
Slide 9: Operating Costs
Operating Costs Operating Costs: Quarterly Evolution Networks Euro, Million Employees 200 166.7 164.2 156.8 167.1 175.5 173.7 6,200 5,993 6,000 5,852 5,740 5,763 150 55 5,800 54 52 45 57 5,544 5,519 5,604 5,609 48 5,600 5,400 100 5,200 2008 2009 2010 2011 2012 2013 2014 1H15 50 113 113 109 122 121 1
Slide 10: Loans to Customers
Loans to Customers Loans to Customers (net of Repos with Institutional and Loans to Group’s SPVs) € Mil. 21,000 19,721 19,949 19,938 20,372 21,508 21,448 18,770 3,339 3,485 17,536 3,056 3,129 18,000 3,324 3,370 2,577 3,323 15,000 6,115 6,235 6,280 6,282 6,241 6,127 12,000 5,534 5,845 2,052 2,100 2,1
Slide 11: Loans: Comparison with the Industry
Loans: Comparison with the Industry Loans to Retail and Public Sectors Growth Rates Market shares on retail and corporate customers and small business (net of financial institutions) 10.0% (Credem SpA management reporting) 7.9% 8.0% 7.0% 6.0% 4.2% 5.1% 5.3% 1.5% 1.45% 1.43% 1.40% 4.0% 2.2% 1.4% 2.0%
Slide 12: Residential Mortgages: Comparison with the Industry
Residential Mortgages: Comparison with the Industry Residential Mortgages Inflows While Residential Mortgages’ stock was up (Credem SpA management reporting) 0.7% on 2014 year-end and 2.7% year on year, inflows showed a significant improvement as they grew by almost 40% year on year Inflows: Market
Slide 13: Retail Customers' Evolution: Comparison with the Industry
Retail Customers’ Evolution: Comparison with the Industry Number of Customers with a Current Account: Net Increase (%) 7% 5.59% 5.90% 112,800 new customers 6% acquired in 2014, equal to 5% 4.43% 4.53% 11.2% of the customers’ 4% base as at the end of 2013 3% 2% 1.61% 1.41% 1.46% 1.21% 1% 0% 2011 2012
Slide 14: Deposits, Bonds and AUM
Deposits, Bonds and AUM Euro, million 2012 2013 1H14 2014 1H15 The strong growth in 1H15 of AUM (+€1.8 Current/ Saving billion; +8.9%) and Insurance Reserves 13,066 13,625 13,686 15,335 15,696 Accounts (+€0.7 billion; +16,3%) took place without CD and Other penalize Deposits and Retail Bonds that 25
Slide 15: Credit Quality
Credit Quality Gross Impaired Loans 1000 870.5 807.8 837.9 2014 800 € Million 600 1Q15 423.0 416.0 428.1 400 1H15 200 113.6 111.1 96.1 0 Gross NPLs Gross Unlikely to pay Gross Past Due % on Loans (Credem) 3.7 3.9 3.9 1.9 1.9 1.9 0.5 0.5 0.4 % on Loans (Industry) 9.2 9.5 10.1* 6.6 6.6 0,6 0.6 Quarter
Slide 16: Impaired Loans' Coverage
Impaired Loans’ Coverage Net Impaired Loans Net Impaired Loans have been remaining substantially stable, Euro, Million 2013 1Q14 1H14 9M14 2014 1Q15 1H15 over the last 6 quarters. NPLs 318.9 327.1 337.4 334.4 341.7 355.6 Consequently Net Impaired Loans’ Ratio, given the growth of loans’ Unlikely to
Slide 17: Cost of Risk
Cost of Risk Cost of Risk (bps) 70 70 59 60 52 55 60 50 37 39 40 47 45 30 41 39 39 20 27 31 10 - 2013 1Q14 1H14 9M14 2014 1Q15 1H15 Cost of risk Cost of risk (net of "non reccurrent" items) After the non recurrent provisioning adopted in Cost of Risk: history (bps) the 1Q15 (to deliberately increase
Slide 18: Assets & Liabilities
Assets & Liabilities Assets (Euro, Million) Looking at the assets’ side, Loans went up (even if the 21,347 21,499 21,000 growth is less visible taking into consideration that 1Q15 accounting figure includes 14,000 1Q15 repos for €500 million that 6,582 5,952 were zero in 1H15), as well as 4,696 5,15
Slide 19: Liquidity position
Liquidity position NSFR Both ratios showed levels remarkably 130% 124% 124% above future thresholds set by the 120% 116% regulation, with NSFR increasing further 110% compared to 2014 100% ECB eligible securities at the end of 1H15 90% were €2.4 billion (about 7% of Total Assets) 80% 70% 60% 50% 201
Slide 20: Capital Ratios
Capital Ratios Credem Consolidated Capital Ratios Credemholding Consolidated Capital Ratios 2,500 13.3% 2,500 13.0% 11.7% 11.8% 11.4% 11.1% 11.6% 11.1% 2,000 2,000 1,500 1,500 2,233.2 2,189.0 888 1,969.1 1,958.2 1,952.3 1,915.8 844 1,860.8 1,863.8 630 620 1,000 1,000 500 500 0 0 2014 1H15 2014 1H15
Slide 21: Disclaimer and Contacts
Disclaimer and Contacts The manager responsible for preparing the company’s financial reports Mr. Paolo Tommasini of Credito Emiliano S.p.A., declares, pursuant to paragraph 2 of Article 154 bis of the Consolidated Law on Finance, that the accounting information contained in this presentation corres