Banca Sistema S.p.A. · MIL:BST
Banca Sistema — 9M 2016 Earnings Presentation
13 slides from Banca Sistema's earnings presentation, Oct 28, 2016
Slide 1: 9M 2016 Results
9M 2016 Results 28 October 2016
Slide 2: Disclaimer
Disclaimer The distribution of this presentation in other jurisdictions may be restricted by law or regulation. Accordingly, persons who come into possession of this document should inform themselves of, and observe, these restrictions. To the fullest extent permitted by applicable law, the companie
Slide 3: 9M 2016 Results at a Glance
9M 2016 Results at a Glance Net Income +17% y/y reached at €21.4m €50.8m Net Interest income +18% y/y P&L Total operating costs and LLPs in line with expectations Stated ROAE 27% Strong 9M 2016 Factoring Turnover +19% y/y commercial VAT Turnover growing at c. +50% y/y performance CQS + SMEs outstand
Slide 4: Factoring Turnover/Outstanding
Factoring Turnover/Outstanding Factoring Turnover - €1,054m €m Excluding Beta Turnover +19% 1,046 Turnover generated by 875 agreements with Italian Retail banks: 12% of 9M 2016 728 (5% in 9M 2015) 3Q 286 276 349 2Q 241 329 361 +20% including 1Q 201 271 336 Beta 9M 2014 9M 2015 9M 2016 1H 2016 Factor
Slide 5: CQS/CQP and SME loans represent today 22% of Total Loans
CQS/CQP and SME loans represent today 22% of Total Loans CQS/CQP Loans outstanding SME State Guaranteed Loans outstanding €m €m Purchases from >100% 212 +12% 81 5 originators 83 73 30.09.2015 30.09.2016 30.09.2015 30.09.2016 Outstanding breakdown by Type (30.09.2016) Outstanding breakdown by Geograp
Slide 6: 9M 2016 – Income Statement
9M 2016 – Income Statement Figures in millions of euro 30.09.2016 of which Beta 30.09.2015 Difference % Factoring contribution to NII A Stepstone B (Normalized) A-B represents 85% of the total Net interest income 50.8 1.7 43.0 18.1% Net fee a nd commi s s i on income 6.9 0.2 8.3 -16.9% NII includes
Slide 7: 9M 2016 – Balance Sheet
9M 2016 – Balance Sheet Figures in millions of euro 30.09.2016 30.06.2016 Difference % A B 31.12.2015 A-B Govies AFS portfolio stable at €0.4bn q/q ASSETS with a residual duration of 11 months Ava i l a bl e-for-s a l e fi na nci al as s ets 435 411 925 5.8% Govies ptf reduction vs 31.12.2015 influe
Slide 8: Factoring update excluding Beta
Factoring update excluding Beta Average Outstading trend influenced by: Factoring Outstanding Evolution Quarterly turnover seasonality €m 1,111 purchased portfolios with lower Priced DFS 200 997 985 that in the past 213 214 the portion of the Outstading in Legal Collection 911 771 784 Priced Yield i
Slide 9: Costs ex. some components in line with expectations
Costs ex. some components in line with expectations Administrative Expenses, Net Provisions for Operating Costs Personnel Expenses risk, Servicing Costs, Other and D&A €m • €0.2m provision for the Deposit Scheme • €0.6m contribution to National Resolution Fund FTEs (#) and €0.3m rebate from the Fund
Slide 10: Funding strategy focused on diversifying (ex. Beta)
Funding strategy focused on diversifying (ex. Beta) Total Funding Breakdown Core Business Funding Breakdown • Term Deposits and Current Accounts have been reduced 51% as at y/y to allow 30.06.2016 71% 58% 55% additional funding: Retail TLTRO, Securitization Wholesale Funding Funding and a 2Y Senior
Slide 11: Conservative risk policy in all the business lines
Conservative risk policy in all the business lines Gross Non Performing Loans(1) • Net Bad Loans represents 2% of total loans as at €m 143.1 30.09.2016 ex. Repos (1.1% in 2015) • Bad loans increase q/q was due to some deterioration 36.0 of the SMEs State Guaranteed loans portfolio mainly 105.2 91.3
Slide 12: Regulatory Capital
Regulatory Capital CET1 and Total Capital(1) RWA breakdown(1) Ex. Beta, q/q change is mainly due to CET1 Total Capital €m 1) past-due increase, 2) CQS/CQP Operational Risk Operational Risk Credit Risk portfolio growth and 3) the purchase of will change the building. CET1 Ratio 16.8% 17.3% 14.8% in 4
Slide 13: Carlo Di Pierro, Head of Investor Relations
Carlo Di Pierro Head of Investor Relations carlo.dipierro@bancasistema.it +39 02 80280358 +39 3355288794 bancasistema.it