Raiffeisen Bank International Ag · VIE:RBI
Raiffeisen Bank International — FY2022 Earnings Presentation
58 slides from Raiffeisen Bank International's earnings presentation, Feb 1, 2023
Slide 1: Raiffeisen Bank International Preliminary FY 2022 Results
Raiffeisen Bank International Preliminary FY 2022 Results – 1 February 2023
Slide 2: Disclaimer
Disclaimer Certain statements contained herein may be statements of future risks, uncertainties and factors inherent in our business. falling within Article 43(2) of the Financial Services and Markets Act 2000 expectations and other forward-looking statements about Raiffeisen This presentation conta
Slide 3: Business & Financial Update
01 02 03 Business & Financial Risk Update Appendix Update Preliminary FY/2022 Results - 1 February 2023 3
Slide 4: 2022 Executive Summary
2022 Executive Summary RBI Consolidated profit Consolidated RoE CET1 ratio Group 1-12/2022 1-12/2022 31/12/2022, transitional, incl. results EUR 3,627 mn 26.8% 16.0% +164% y-o-y +16 pp y-o-y +2.9 pp y-o-y Adjusted: Consolidated profit Consolidated RoE CET1 ratio EUR 982 mn 8.7% 14.0% excluding Russi
Slide 5: 2022 Executive Summary
2022 Executive Summary RBI Loans to customers Core revenues CIR Group 31/12/2022 1-12/2022, in EUR mn 1-12/2022 5,053 EUR 103,230 mn 3,878 36.6% +2% y-o-y +52% +95% y-o-y -17 PP y-o-y Net interest Net fee & income commission income Adjusted: Loans to customers Core revenues CIR EUR 93,922 mn 3,399 1
Slide 6: 1-12/2022 Business Highlights
1-12/2022 Business Highlights Dividend policy for 2022 ▪ The board will recommend a dividend of up to EUR 0.80 per share from the net profit for financial year 2022 although the timing of the decision is uncertain and unlikely to be made at the upcoming AGM (March 2023) ▪ The date of the decision an
Slide 7: Q4/2022 Core Revenue Trends
Q4/2022 Core Revenue Trends Net interest income up 5% q-o-q (EUR 70 mn) EUR 1,462 mn 1,462 Adjusted excl. Russia / Belarus ▪ NII excluding Russia and Belarus up 14% q-o-q 2022 1,392 +14% 2021 ▪ Drop in Czech Republic NII (EUR -38 mn q-o-q): EUR 8 mn 1,214 q-o-q 1,000 due to deposit mix (migration to
Slide 8: Strong Loan Growth and Retail Deposit Base in 2022
Strong Loan Growth and Retail Deposit Base in 2022 Loans to customers Deposits from customers in EUR mn + 2% in EUR mn + 9% y-o-y 103,230 y-o-y 125,099 Loans to 100,832 Deposits from 115,153 customers 90,671 customers 102,112 Group Group 65% 93,922 Retail Excluding 88,599 + 6% deposits Russia/ Belar
Slide 9: CET 1 Ratio Development
CET 1 Ratio Development + 137 bps q-o-q + 16.0% - + + 14.6% + + +27 bps +36 bps +27 bps +22 bps +103 bps -78 bps Loan growth Other credit Market & OCI, Retained earnings FX risk operational risk valuation & other effects ▪ Retained earnings net of earmarked dividend of EUR 0.80 per share (~27 bps of
Slide 10: CET1 Outlook 2023
CET1 Outlook 2023 16.0% Group CET1 ratio expected above > 15.0% New CET1 ratio targets: 15 per cent at year-end 2023 13.5% 14.0% January 2023 Year end 2023 Expected CET1 drivers in 2023: Organic + ~130 bps Retained earnings (net of expected 2023 Any decision on dividends will be based on dividend ac
Slide 11: P/B Zero Deconsolidation Scenario in Russia
P/B Zero Deconsolidation Scenario in Russia Landing point: Group CET1 ratio above 13.5% following Capital stack under P/B Zero deconsolidation scenario 14.0% “P/B Zero deconsolidation” of Russia 2.92% T2 Assumptions: 2.55% With Russia deconsolidated at P/B Zero, AT1 and T2 CET1 EUR 4.2 bn IFRS equit
Slide 12: Capital Ratios and SREP
Capital Ratios and SREP RBI, transitional as of 31/12/2022 Regulatory requirements as of 20.2% P2R ▪ P2R Requirements increased by 38 bps in December 2023 2.58% January 2023 17.7% ▪ 1.45% to be met with CET1 (21 bps increase) 16.0% 16.14% ▪ 48 bps eligible for AT1 (7 bps increase) Tier 2 2.65% 13.49
Slide 13: Resolution Group AT – MREL and Funding
Resolution Group AT – MREL and Funding Austria resolution group MREL Pro-forma including profit 31/12/2022 ▪ M-MDA increased by 90 bps to 414 bps at FY/2022 Requirement Actual 40.21% ▪ Further EUR 1 bn of MREL eligible liabilities issued in January (equivalent to 236 bps on the MREL ratio) Total MRE
Slide 14: Liquidity and Other MREL Resolution Groups
Liquidity and Other MREL Resolution Groups Liquidity ratios group level 255% High liquidity across the group 213% Head office LCR at 176% and NSFR 113% on 20 January 2022 189% 202% LCR 154% at 20/01/2023 LCR LCR Czech Republic 258% Romania 200% NSFR 129% 134% 135% 139% 126% Slovakia 220% Russia 309%
Slide 15: Russia Update
Russia Update as of 31/12/2022 if not stated otherwise RWAs further decreased EUR 6.3 bn in Q4/2022, driven mainly by RUB depreciation, Solvency strengthened: reduced corporate business and reduced liquidity placements CET 1 ratio Actual, local 27.14% standard pro-forma Equity and RWA 31/12/2022 inc
Slide 16: Macro Outlook
Macro Outlook GDP (real, % yoy) 2021 2022 2023 2024 ▪ 2023 GDP will be impacted by the challenging winter at the Czech Republic 3.5 2.5 0.9 3.3 beginning of the year: a slowdown/shallow recession is Hungary 7.1 4.5 1.0 3.5 Poland 6.8 4.6 1.0 3.6 expected to be followed by a shallow recovery later in
Slide 17: Inflation and Key Rates Forecast
Inflation and Key Rates Forecast Inflation & rates Inflation rate (CPI) CZ 8.8% 12.5% ▪ Inflation expected to peak in Q1/2023 in CE an SEE and (average, % y-o-y) 3.2% disinflation to start in 2023, with governments interventions 3.3% 2023f 2024f still affecting food and energy prices SK Banking sect
Slide 18: 2023 Guidance
2023 Guidance excluding RBI Group Core Group Russia / Belarus Core revenues EUR 4.5-4.7 bn EUR 2.4-2.5 bn 2% to 4% EUR 3.2-3.4 bn EUR ~1.6 bn 3% to 5% & loan growth Net interest Net fee and Loans to Net interest Net fee and Loans to income commission income customers income commission income custome
Slide 19: Risk Update
01 02 03 Business & Financial Risk Update Appendix Update Preliminary FY/2022 Results - 1 February 2023 19
Slide 20: Risk Overview
Risk Overview FY/2022 31/12/2022 31/12/2022 Provisioning ratio / risk cost Stock of risk overlays NPE ratio/ coverage ratio 73 bps EUR 949 mn EUR 729 mn 1.6% 59.0% including impairments on Russia & Belarus EUR 364 mn +43 bps debt securities Spillover, energy, inflation and Covid EUR 317 mn +2 bps -3
Slide 21: Risk Cost 2023 Expectation
Risk Cost 2023 Expectation Expected 2023 risk cost without release of risk Available Stock of overlays overlays: GC&M, CE, and SEE Spillover, energy, inflation, and Covid Stagnation or possibly recession, in combination with higher rates and persistent inflation EUR ~440 mn EUR 317 mn ~ 50 bps Risk
Slide 22: IFRS 9 Provisioning in Q4/2022
IFRS 9 Provisioning in Q4/2022 EUR EUR 169 mn 228 mn ▪ Stage 1 & 2: EUR 56 mn booked due to EQUA Banka merger, rating updates and FX effects in Ukraine ▪ Macro update: EUR 49 mn mainly in Austria, EUR Slovakia, and Hungary 49 mn EUR ▪ Overlays: EUR 46 mn released in Q4: 56 mn ▪ EUR 38 mn releases fr
Slide 23: Q4/2022 RWA Development
Q4/2022 RWA Development 1 Credit Risk RWA total relief of EUR 4.4 bn (excl. FX effect), driven mainly by short term exposure Inorganic effect: Expected net increase in reduction in core group (Austrian corporate and FI), corporate and liquidity placements in Russia, as FY/2023 around EUR 1 bn. well
Slide 24: Poland CHF Update
Poland CHF Update Cases update Higher provisions taken in Q4/2022 in EUR mn 27,456 loans 9,989 litigation 2,051 2,006 1,995 1,971 Gross exposure outstanding cases Q4/2022 Other result bookings: 803 EUR 262 mn EUR 57 mn Stock of 412 497 554 New provisions for litigation For net losses on annulment pr
Slide 25: NPE Ratio and NPE Coverage
NPE Ratio and NPE Coverage Central Europe 60.5% 59.7% 60.8% 61.4% 59.7% 6.0%831 Asset quality development q-o-q -1.3% 50.0% 1.6% 1.7% 1.6% 1.5% 1.4% 1.0% ▪ NPE ratio increased to 1.6%. Southeastern0.0% 69.3% 69.6% 68.2% 70.1% 70.2% (4.0%) 6.0% 591 ▪ In GC&M the NPE ratio increased to 1.8% and the NP
Slide 26: Appendix
01 02 03 Business & Financial Risk Update Appendix Update Preliminary FY/2022 Results - 1 February 2023 26
Slide 27: Geographic Footprint
Geographic Footprint ▪ Leading regional player with CEE presence of over 30 years Central Europe (CE) Russia, #10 servicing approx. 18 million customers ▪ Loans: EUR 9.0 bn Southeastern Europe (SEE) ▪ Business outlets : 127 Eastern Europe (EE) ▪ Covering Austria and 12 CEE markets, of which five are
Slide 28: Raiffeisen Banking Group Structure
Raiffeisen Banking Group Structure Raiffeisen Banking Group (RBG) – largest banking group in Austria with total assets of EUR 411 bn as of 30/06/2022 Solid funding profile of RBG based on a domestic market share of around 34% of total customer deposits, not least due to superior brand recognition Th
Slide 29: Q4/2022 Income Statement and KPIs
Q4/2022 Income Statement and KPIs (in EUR mn) Q4/2022 % q-o-q % y-o-y Net interest income 1,462 +5% +50% Net interest margin Q4/2022 Net fee and commission income 1,196 +7% +113% Net trading income & fair value result 192 +23% >500% 2.85% Other operating components1 11 -69% -81% +14 bp q-o-q Operati
Slide 30: Total Exposure
Total Exposure Total exposure by segments Q4/2022 … by sector Q4/2022 in EUR bn in EUR bn GC&M -6.8% 104.2 EUR 246 bn Mortgages 30 Retail 20% Consumer loans & other 20 -4.2% q-o-q Sovereigns & supranationals 59 Sov. and FI Financial institutions 40% 40 CE +3.6% Industrials 20 72.0 Materials 13 EE –1
Slide 31: Q4/2022 Segments Overview
Q4/2022 Segments Overview Core revenues Loans to customers / NIM Provisioning ratio Profit/loss after tax Q4/22 q-o-q Q1/22 Q2/22 Q3/22 Q4/22 Q4/22 q-o-q Q4/22 q-o-q 37,138 37,707 507 35,981 36,329 5.00% CE Net Fees 151 +11% -2 bps EUR -73 mn 30,000 2.23% 2.49% 2.39% +40 bps - NII 356 -1% 2.13% 20,0
Slide 32: Corporate Center/Reconciliation
Corporate Center/Reconciliation In EUR mn 1-12/2022 1-12/2021 y-o-y In EUR mn 1-12/2022 1-12/2021 y-o-y Operating income 547 1.151 (52,5%) Operating income (420) (1.146) (63,4%) General admin. expenses (395) (405) (2,5%) General admin. expenses 170 163 4,4% Operating result 152 746 (79,6%) Operating
Slide 33: Equity Overview
Equity Overview Cumulative other Non- Subscribed Capital Retained comprehensive Consolidated controlling Additional Total In EUR mn capital reserves earnings income equity interests tier 1 Equity Equity as at 1/1/2022 1.002 4.992 10.121 (3.272) 12.843 1.010 1.622 15.475 Capital increases 0 0 0 0 0 (
Slide 34: Regulatory Capital Overview
Regulatory Capital Overview Regulatory Capital Structure In EUR mn 31/12/2022 30/9/2022 30/6/2022 Common equity tier 1 (before deductions) 16.442 16.736 15.579 Deduction items (799) (848) (959) Common equity tier 1 (after deductions) 15.643 15.888 14.620 Additional tier 1 (after deductions) 1.676 1.
Slide 35: Maturity Profile
Maturity Profile Maturity Profile at 31/12/2022 30/9/2020 (in EUR mn) 4,552 16 2,377 2,282 13 4,193 2,004 1,896 1,659 546 1,493 1,234 2,308 2,269 1,933 1,023 755 1,650 1,350 109 576 505 1,233 646 500 500 48 470 76 5 5 4 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 >2035 Senior placements S
Slide 36: Green Bond Allocation and Impact Report
Green Bond Allocation and Impact Report Green loan portfolio total volume: (as of 30 November 2022) (as of 30 November 2022) EUR 1,986 mn Green Buildings Renewable Energy 47% EUR 935 mn 16% EUR 1,673 mn EUR 313 mn by use of proceeds EUR 323 mn disbursed undisbursed Our most recent Allocation and Imp
Slide 37: AT1 and Subordinated Instruments
AT1 and Subordinated Instruments Regulatory Capital Initial Nominal Issuer ISIN Reset Coupon Issuance date First Call Date Call period Maturity Treatment1 Recognition2 Coupon outstanding Raiffeisen Bank 5Y EUR ms Additional Tier 1 100% XS1756703275 4.500% EUR 500 mn 24 Jan 2018 15 Jun 2025 Semi-annu
Slide 38: The New Institutional Protection Scheme (IPS)
The New Institutional Protection Scheme (IPS) 1 RBI AG and its Austrian subsidiaries are members of the new Raiffeisen IPS The IPS supports members if needed to ensure solvency and liquidity 2 IPS serves as capital cushion and source of liquidity to its members. Uniform and joint monitoring ensures
Slide 39: Bank Levies
Bank Levies Impact in EUR mn FY 2021 FY 2022 FY 2023e Austria Bank levy based on total assets (excluding derivatives) 21 22 ~24 Bank levy of 0.15% (for up to HUF 50 bn of total assets) and 0.21% (for tax base above HUF Hungary 50 bn) fully reflected in the first quarter; special tax for banks (bank
Slide 40: NPE and NPL Distribution by Country
NPE and NPL Distribution by Country In EUR mn NPE Stock NPE Ratio NPE Ratio NPE Coverage Ratio NPE Coverage Ratio NPL Ratio NPL Ratio NPL Coverage Ratio NPL Coverage Ratio 31/12/2022 31/12/2022 31/12/2021 31/12/2022 31/12/2021 31/12/2022 31/12/2021 31/12/2022 31/12/2021 Czech Republic 260 1,0% 1,1%
Slide 41: RBI Group
RBI Group In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 1,462 1,392 5.0% 1,214 986 976 5,053 3,327 51.8% Net fee and commission income 1,196 1,117 7.1% 882 683 561 3,878 1,985 95.4% Net trading income and fair value result 192 155 23.5% 132 184
Slide 42: Country Financials (CE) – Czech Republic
Country Financials (CE) – Czech Republic In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 144 183 (20.9%) 159 166 128 652 385 69.5% Net fee and commission income 56 45 23.1% 47 49 42 197 146 34.5% Net trading income and fair value result 16 (14) –
Slide 43: Country Financials (CE) – Hungary
Country Financials (CE) – Hungary In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 117 96 22.0% 76 67 60 356 189 88.1% Net fee and commission income 48 45 7.7% 45 45 42 183 158 15.9% Net trading income and fair value result 9 (12) – (1) 2 0 (3) (2
Slide 44: Country Financials (CE) – Poland
Country Financials (CE) – Poland In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 3 4 (25.6%) 3 3 3 12 13 (3.4%) Net fee and commission income (0) 0 – 1 1 1 1 2 (57.7%) Net trading income and fair value result 0 2 (73.7%) 0 (0) 1 2 2 22.9% Other n
Slide 45: Country Financials (CE) – Slovakia
Country Financials (CE) – Slovakia In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 93 79 16.9% 78 71 92 322 300 7.3% Net fee and commission income 47 46 2.7% 47 45 45 185 171 8.3% Net trading income and fair value result 6 4 53.4% (0) 1 2 11 6 68
Slide 46: Country Financials (SEE) – Albania
Country Financials (SEE) – Albania In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 23 18 23.5% 16 16 15 72 55 29.7% Net fee and commission income 5 5 (6.5%) 5 4 4 19 16 14.8% Net trading income and fair value result 0 (1) – (1) 2 0 0 2 (97.9%) Ot
Slide 47: Country Financials (SEE) – Bosnia & Herzegovina
Country Financials (SEE) – Bosnia & Herzegovina In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 18 17 5.0% 15 15 15 64 60 6.4% Net fee and commission income 16 15 4.9% 13 13 13 56 49 15.5% Net trading income and fair value result 1 1 (17.2%) 1 0
Slide 48: Country Financials (SEE) – Croatia
Country Financials (SEE) – Croatia In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 32 30 5.4% 27 27 27 116 110 5.3% Net fee and commission income 21 25 (17.6%) 21 20 20 87 76 14.5% Net trading income and fair value result 1 (1) – (0) (4) (1) (5)
Slide 49: Country Financials (SEE) – Kosovo
Country Financials (SEE) – Kosovo In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 16 14 16.1% 13 12 13 55 48 13.8% Net fee and commission income 3 6 (41.2%) 4 3 4 17 14 21.0% Net trading income and fair value result (0) (0) (59.0%) 0 (0) (0) (0)
Slide 50: Country Financials (SEE) – Romania
Country Financials (SEE) – Romania In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 141 129 8.8% 115 105 98 489 370 32.3% Net fee and commission income 43 48 (10.1%) 48 41 48 180 177 1.8% Net trading income and fair value result 9 (5) – (8) (3) 0
Slide 51: Country Financials (SEE) – Serbia
Country Financials (SEE) – Serbia In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 51 40 27.1% 34 22 23 147 86 69.6% Net fee and commission income 27 25 6.6% 24 15 15 91 56 61.1% Net trading income and fair value result 3 2 27.0% 2 1 2 8 5 65.5% O
Slide 52: Country Financials (EE) – Belarus
Country Financials (EE) – Belarus In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 32 32 (1.1%) 31 28 24 123 82 48.9% Net fee and commission income 26 32 (18.8%) 30 23 19 112 62 80.4% Net trading income and fair value result 7 5 48.9% 15 10 1 37 8
Slide 53: Country Financials (EE) – Russia
Country Financials (EE) – Russia In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 436 476 (8.3%) 394 222 212 1,527 744 105.4% Net fee and commission income 709 629 12.7% 420 249 136 2,008 420 378.5% Net trading income and fair value result 127 168
Slide 54: Country Financials (EE) – Ukraine
Country Financials (EE) – Ukraine In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 110 101 9.0% 88 75 73 375 254 47.8% Net fee and commission income 29 29 1.3% 15 14 27 87 91 (5.3%) Net trading income and fair value result 11 23 (51.7%) 19 11 4 65
Slide 55: Group Corporates & Markets
Group Corporates & Markets In EUR mn Q4/2022 Q3/2022 q-o-q Q2/2022 Q1/2022 Q4/2021 1-12/2022 1-12/2021 y-o-y Net interest income 228 191 19.7% 166 148 181 733 607 20.7% Net fee and commission income 166 146 13.3% 155 150 145 617 536 15.0% Net trading income and fair value result 46 55 (16.2%) 15 24
Slide 56: Sustainability Ratings
Sustainability Ratings The Leading Sustainable Financial Institution in Austria & CEE RBI has been committed to the UN Global Compact, since 2010 and signed up to the UNEP FI Principles for Responsible Banking In January 2021. Since then, a comprehensive portfolio impact analysis was performed, and
Slide 57: Shareholder Information Overview
Shareholder Information Overview General information Shareholder structure1 ▪ Listed since 25 April 2005 on the Vienna Stock Exchange Prime Market ▪ Indices: ATX, ATX Prime, MSCI Standard Index Europe, EURO STOXX Banks Regional Raiffeisen Free float banks ▪ 328,939,621 ordinary shares issued ~58.8%
Slide 58: Contact and Financial Calendar
Contact and Financial Calendar 23 February Annual Financial Report 2022 20 March Record Date Annual General Meeting Group Investor Relations 30 March Annual General Meeting Raiffeisen Bank International AG 5 April Start of Restricted Period Am Stadtpark 9 26 April Start of Quiet Period 1030 Vienna A
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