Slide 1: Fineco: 1Q15 Results
Fineco: 1Q15 Results Alessandro Foti, CEO and General Manager Milan – May 11th 2015
Slide 2: Disclaimer
Disclaimer This Presentation may contain written and oral “forward-looking statements”, which includes all statements that do not relate solely to historical or current facts and which are therefore inherently uncertain. All forward-looking statements rely on a number of assumptions, expectations, p
Slide 3: Executive Summary
Executive Summary High-quality results delivered: 1Q15 Net profit at 47.8mln (+29.4% y/y, +17.6% q/q) Revenues strongly up (+20.9% y/y, +16.0% q/q), well distributed across all the product areas and supported by an increasing acquisition of a loyal clients base. Relentless and sustainable generation
Slide 4: Agenda: Fineco Results, Focus on products
Agenda Fineco Results Focus on products 4
Slide 5: Results: Accelerating commercial performance boosted 1Q15 sustainable results
Results Accelerating commercial performance boosted 1Q15 sustainable results with a double digit growth both y/y and q/q Revenues, mln +20.9% Net Profit, mln +16.0% +29.4% 136.7 113.1 117.8 +17.6% 47.8 40.6 36.9 1Q14 4Q14 1Q15 Operating Costs, mln +15.9% Comparable cost dynamics Change vs 1Q14: +8.2
Slide 6: Revenues by P&L Items
Revenues by P&L Items Robust revenues sustained by favorable trading environment and relentless growth in management fees Net interest, mln Fees and Commissions, mln -1.3% +29.3% +3.1% +16.6% 58.3 55.9 57.6 61.7 47.7 52.9 1Q14 4Q14 1Q15 1Q14 4Q14 1Q15 Trading income, mln Other Revenues(1), mln +141.
Slide 7: Net interest
Net interest Volumes growth together with a constant reduction in cost of deposits more than offset the lower margins in the current macro environment Sight Deposits (mln) and net margins (bps) Securities lending (mln) and net margins (bps) +16.2% -19.5% +7.9% +19.0% 11,798 12,729 10,950 11,319 11,6
Slide 8: Costs
Costs Development costs up to sustain the business growth. Running costs set to a physiological level Staff Expenses, mln and FTE, # Stock granting post IPO 935 974 990 Staff expenses OAE Impacts on: +16.6% staff expenses, related to top -4.7% managers and 3.6 3.9 key employees 19.3 18.4 0.9 Other A
Slide 9: Capital Ratios
Capital Ratios Sound capital base coupled with a low risk balance sheet RWA, mln CET1 Ratio transitional, % +3.3p.p. Credit Operational +0.3p.p. Market 19.50% 19.76% 19.08% 19.38% -6.7% 16.07% -0.8% 1,968 1,850 1,836 1,738 1,731 Mar.14 Jun.14 Sept.14 Dec.14 Mar.15 1,140 CET1 Capital, mln 1,052 1,039
Slide 10: TFA
TFA TFA at all time high sustained by accelerating and healthy net sales TFA evolution (Dec.10-Mar.15), bn Cumulated performance, bn 53.7 2.8 Net Sales +13.2 bn 49.3 1.6 Market Effect +5.3 bn 1.7 43.6 4.0 1.3 39.8 2.5 2.5 35.2 2.8 -3.0 35.0 2.3 TFA Net Market TFA Net Market TFA Net Market TFA Net Ma
Slide 11: TFA and Net sales - breakdown
TFA and Net sales - breakdown Double digit growth in net sales boosted by strong AuM expansion. Guided products took the lion share Breakdown of total net sales, bn Net sales, monthly evolution, mn Breakdown of total TFA, bn +17.8% +53.1% +56% +34% +69% +42% +8.9% 53.7 +31.0% 2.1 704 49.3 392 516 45
Slide 12: Personal Financial Advisers (PFA) network – Total Net sales
Personal Financial Advisers (PFA) network – Total Net sales PFAs strongly committed, leveraging on a unique business model. PFA net sales from organic growth confirming a wealthy and sustainable expansion PFA Network – total net sales, mln Net sales, mln - Organic/New Recruit of the year Net Sales (
Slide 13: Agenda: Fineco Results, Focus on products
Agenda Fineco Results Focus on products 13
Slide 14: Revenues by Product Area
Revenues by Product Area Revenues generation well distributed across all product areas Banking, mln 41% +5.2% +1.3% 53.4 55.4 56.1 1Q14 4Q14 1Q15 Brokerage, mln 32% Investing, mln 27% Core revenues (NI excluded) +35.3% +45.7% +37.8% +38.4% +35.6% +14.2% 43.1 36.5 31.9 31.8 31.9 26.4 1Q14 4Q14 1Q15 1
Slide 15: Banking
Banking High quality banking platform continuing to attract very sticky sight deposits Revenues, mln Direct deposits eop (mln) Net interest Net trading Net fees Other +8.5% +5.2% 4.5% +1.3% 14,371 55.4 56.1 13,754 53.4 13,251 1Q14 4Q14 1Q15 Clients and new clients, thousands # 52.2 52.8 52.1 30 28 3
Slide 16: Brokerage
Brokerage Revenues at a record level sustained by 7.7mln of executed orders Revenues, mln Volatility Index - Ftse Mib March 2015: new best month Net interest Net fees Net trading of last 4 years 30 for Brokerage 25 Core revenues (NI excluded) 20 VltyCC +45.7% +38.4% 15 VltyCC 10 43.1 5 4.4 0 Jan-11
Slide 17: Investing
Investing Strong positioning to catch Italian savers' needs offering high-quality advisory services through a fair and respectful client approach Revenues, mln AuM eop (bn) +28.8% +10.5% Net fees +37.8% 26.1 +14.2% 21.6 22.6 23.6 20.3 36.5 31.9 26.4 Mar.14 June14 Sep.14 Dec.14 Mar.15 Guided products
Slide 18: Annex
Annex GES) 18 THE NEW BANK
Slide 19: P&L
P&L mln 1Q14 2Q14 3Q14 4Q14 FY14 1Q15 Net interest income 58.3 57.6 56.4 55.9 228.2 57.6 Net commissions 47.7 49.3 45.8 52.9 195.7 61.7 Trading profit 7.1 5.8 6.5 10.3 29.7 17.1 Other expenses/income 0.0 0.0 -1.3 -1.3 -2.6 0.4 Total revenues 113.1 112.8 107.5 117.8 451.1 136.7 Staff expenses -15.8 -
Slide 20: Details on Net Interest Income
Details on Net Interest Income Volumes Volumes Volumes Volumes Volumes mln 1Q14 2Q14 3Q14 4Q14 1Q15 & Margins & Margins & Margins & Margins & Margins Sight Deposits 51.8 10,950 52.1 11,319 51.7 11,668 52.1 11,798 51.6 12,729 Net Margin 1.92% 1.84% 1.76% 1.75% 1.64% Term Deposits -2.8 1,916 -3.2 1,94
Slide 21: UniCredit bonds underwritten
UniCredit bonds underwritten Before 2014 ISIN Currency Amount (€ m) Maturity Indexation Spread 1 IT0004307861 Euro 600.0 29.12.2017 Euribor 1m 0.51% April 2014 2 IT0005010233 Euro 382.5 30.01.2017 Euribor 1m 1.78% 3 IT0005010241 Euro 382.5 28.04.2017 Euribor 1m 1.87% 4 IT0005010258 Euro 382.5 27.07.
Slide 22: Details on Net Commissions
Details on Net Commissions mln 1Q14 2Q14 3Q14 4Q14 1Q15 Brokerage 21,0 18,7 15,2 19,0 24,1 o/w Equity 18,1 15,0 11,8 15,5 19,9 Bond 2,2 2,8 1,6 1,7 2,5 Derivatives 2,3 1,9 2,4 2,7 2,5 (1) Other commissions -1,7 -1,0 -0,7 -0,9 -0,8 Investing 26,4 29,5 29,7 31,9 36,5 o/w Placement fees 2,1 2,2 2,1 2,4
Slide 23: Revenue breakdown by Product Area
Revenue breakdown by Product Area mln 1Q14 2Q14 3Q14 4Q14 1Q15 Net interest income 52.1 52.1 51.3 52.2 52.8 Net commissions 0.6 1.3 1.1 2.2 1.5 Trading profit 0.8 0.7 0.8 1.1 1.9 Other -0.1 0.0 -0.1 -0.1 -0.1 Total Banking 53.4 54.1 53.2 55.4 56.1 Net interest income 0.0 0.0 0.0 0.0 0.0 Net commissi
Slide 24: Breakdown TFA
Breakdown TFA mln March 14 June 14 Sept. 14 Dec. 14 March 15 AUM 20,281 21,563 22,563 23,636 26,121 o/w Funds and Sicav 18,413 19,579 20,414 21,177 23,313 o/w Insurance 1,854 1,968 2,134 2,444 2,793 o/w GPM 15 15 15 15 15 AUC 12,074 11,903 12,034 11,952 13,219 o/w Equity 5,442 5,396 5,705 5,745 6,82
Slide 25: Balance Sheet
Balance Sheet mln March 14 June 14 Sept. 14 Dec. 14 March 15 Due from Banks 17,085 13,476 13,613 13,892 14,070 Customer Loans 669 696 700 696 797 Financial Assets 102 1,726 1,722 1,699 2,270 Tangible and Intangible Assets 108 109 109 109 109 Derivatives 131 36 23 24 25 Other Assets 197 248 244 345 2
Slide 26: Main Financial Ratios
Main Financial Ratios March 14 June 14 Sept. 14 Dec. 14 March 15 PFA TFA/ PFA (mln) 15.3 15.7 16.0 16.4 17.6 AuM / TFA 44% 46% 47% 48% 49% Revenues per TFA (bps) 101.4 99.5 96.8 97.1 106.1 Adjusted Cost / income Ratio 45.1% 45.0% 45.9% 45.8% 43.8% CET 1 Ratio 16.1% 19.5% 19.8% 19.1% 19.4% Adjusted R