Raiffeisen Bank International Ag · VIE:RBI
Raiffeisen Bank International — Q3 2024 Earnings Presentation
58 slides from Raiffeisen Bank International's earnings presentation, Oct 30, 2024
Slide 1: Raiffeisen Bank International Q3/2024 Results
Raiffeisen Bank International Q3/2024 Results 30 October 2024 Raiffeisen Bank International | Member of RBI Group Confidential and proprietary Any use of this material without specific permission of Raiffeisen Bank International is strictly prohibited.
Slide 2: Disclaimer
Disclaimer Certain statements contained herein may be statements of future This presentation contains financial and non-financial information relating to investments falling within Article 19(5) of the Financial expectations and other forward-looking statements about Raiffeisen and statistical data
Slide 3: Business & Financial Update
01 Business & Financial Update 02 Risk Update 03 Appendix 30 October 2024
Slide 4: 1-9/2024 Executive Summary
1-9/2024 Executive Summary RBI Consolidated profit Consolidated RoE CET1 ratio Group 1-9/2024 1-9/2024 30/09/2024, transitional, incl. results EUR 2,083 mn 15.9% 17.8% -1% y-o-y -1.5 pp y-o-y +0.5 pp ytd Adjusted: Consolidated profit Consolidated RoE CET1 ratio EUR 856 mn 8.6% 15.3% -17% y-o-y -2.3
Slide 5: 1-9/2024 Executive Summary
1-9/2024 Executive Summary RBI Loans to customers Core revenues Opex and Cost/Income Ratio Group 30/09/2024 1-9/2024, in EUR mn 1-9/2024 4,355 EUR 100,105 mn 2,077 EUR 2,893 mn 42.7% +1% ytd +4% -12% y-o-y +1% y-o-y +1.5 pp Net interest Net fee & income commission income Adjusted: Loans to customers
Slide 6: De-risking in Russia
De-risking in Russia Significant business reduction since 2022 Substantial de-risking achievements in Q3/2024 27.1 1 Loan book reduction ahead of Loans to customers vs. RWA schedule: -23% Q2/2024 in Russia under IFRS 18.2 16.3 17.0 14.3 14.0 2 Current account deposits: Current accounts from in EUR b
Slide 7: Q3/2024 Core Revenue Trends
Q3/2024 Core Revenue Trends Net interest income in EUR mn NII stable across most markets, but decreasing in head 1,494 1,455 1,461 1,385 1,364 1,441 1,440 office and Hungary Group Net interest margin excluding Russia/Belarus down 1,083 1,092 1,061 1,035 Core 980 1,021 1,021 4 bps q-o-q to 2.3% Exclu
Slide 8: Loans and Deposits to/from Customers in Q3/2024
Loans and Deposits to/from Customers in Q3/2024 Loans to customers Deposits from customers in EUR bn in EUR bn - 2% - 4% q-o-q q-o-q Group Group 121.2 125.3 101.9 99.4 100.4 101.9 100.1 119.4 120.9 120.3 Core Core Excluding Excluding 108.8 107.4 95.0 93.8 95.3 94.9 103.7 104.7 Russia/ Belarus 92.8 R
Slide 9: High Liquidity Across the Group
High Liquidity Across the Group RBI Group - Liquidity ratios 210% RBI head office: conservative liquidity profile LCR 189% 196% 192% 197% LCR at 204% (as of 25 October 2024) 141% 143% 147% 146% 147% NSFR Head office with sufficient liquidity to cover all deposits and maturing funding for over one Lo
Slide 10: CET1 Ratio Development
CET1 Ratio Development + 1 bps q-o-q + 17.8% 17.8% - + - - - -2 bps -30 bps +10 bps -2 bps +72 bps -47 bps Credit risk Other credit Market risk OCI, Retained earnings FX Core Group risk valuation & other effects Dividend accrual based on last year’s payout ratio (17.3%) 30/06/2024 30/09/2024 Benefit
Slide 11: CET1 Outlook 2024
CET1 Outlook 2024 17.8% Group CET1 ratio expected around 17.3 per cent at year-end 2024 ~17.3% Expected CET1 drivers in 2024: Any decision on dividends will be based on the capital position of the Group Retained + ~39 bps Net of expected 2024 excluding Russia earnings dividend accrual RWA increase L
Slide 12: P/B Zero Deconsolidation Scenario in Russia
P/B Zero Deconsolidation Scenario in Russia Capital stack under P/B Zero deconsolidation scenario 15.3% Reverting to around 14.7% at year-end 2024 2.98% T2 Assumptions: 2.70% With Russia deconsolidated EUR 5.3 bn IFRS equity partially at P/B Zero, AT1 and T2 CET1 offset by deduction 2.11% AT 1 2.03%
Slide 13: Capital Ratios and SREP
Capital Ratios and SREP RBI, transitional, pro forma as of 30/09/2024 Current regulatory 22.0% P2R 1.57% to be met with CET1 requirements 19.5% 2.80% 53 bps eligible for AT1 17.8% 16.43% 70 bps eligible for T2 Tier 2 13.73% 2.70% (incl. P2R) 11.70% 2.03% AT 1 P2G To be solely covered by CET1 but (in
Slide 14: MREL and Funding Plan
MREL and Funding Plan Austria resolution group MREL Funding plan Including profit 30/09/2024 Successfully issued EUR 500 mn Tier 2 note in October 2024 combined with 43.11% liability management exercise Actual For 2025, three benchmarks probable in senior non-preferred and preferred Requirement form
Slide 15: Macro Outlook
Macro Outlook GDP (real, % yoy) 2022 2023e 2024f 2025f Muted recovery driven by rebound in consumer demand and Czech Republic 2.9 0.0 1.1 2.9 slight increase of investments in most countries, and SEE in Hungary 4.6 -0.7 1.7 3.0 particular Poland 5.3 0.1 3.1 3.8 Slovakia 1.9 1.6 2.3 1.9 Investments b
Slide 16: Inflation and Key Rates Forecast
Inflation and Key Rates Forecast Inflation & rates Inflation rate (CPI) Disinflation replaced by stabilisation at still elevated (average, % y-o-y) levels (vs. pre-pandemic) due to services inflation CZ 2.4% 2.5% 3.0% 4.8% 2024f 2025f remaining high SK Banking sector view Larger CEE banks have been
Slide 17: 2024 Guidance
2024 Guidance Core Group excluding Russia / Belarus Core revenues around EUR 4.1 bn EUR ~1.8 bn 4% to 5% & loan growth Net interest Net fee and Loans to income commission income customers 2024 PnL guidance for the around EUR 3.3 bn around 52% OPEX & CIR OPEX CIR Group including Russia and Belarus ha
Slide 18: Risk Update
01 Business & Financial Update 02 Risk Update 03 Appendix 30 October 2024
Slide 19: Risk Overview
Risk Overview Q3/2024 30/09/2024 30/09/2024 Risk cost Stock of risk overlays NPE ratio/ coverage ratio Provisioning ratio Risk cost1 27 bps EUR 46 mn EUR 720 mn 2.0% 51.8% -0 bps q-o-q +13 bps -1.6 pp GC&M, CE, SEE (CRE, inflation & spillover) EUR 404 mn q-o-q q-o-q 30 bps Russia / Belarus EUR 228 m
Slide 20: IFRS 9 Provisioning
IFRS 9 Provisioning Core Group excl. Russia / Belarus Q3/2024 EUR EUR Overall EUR 87 mn of IFRS 9 provisions in Q3 108 mn 87 mn + Stage 1 & 2: mainly driven by FX effects Macro update: release driven by slightly improved outlook, mainly in Hungary and + Slovakia - EUR - 20 mn EUR Overlays: release m
Slide 21: Q3/2024 RWA Development
Q3/2024 RWA Development Core Group excl. Russia & Belarus 78.7 77.2 Market risk 4.4 4.0 15.0 Credit risk Inorganic 14.5 Operational Core Group risk 59.3 58.8 Credit risk Credit risk Market risk FX RWA in EUR bn 30/06/2024 30/09/2024 Credit RWAs in core of the Group mainly driven by inorganic effect
Slide 22: Poland FX Mortgage Update
Poland FX Mortgage Update Number of FX loans in Poland Poland FX mortgage exposure and stock of provisions in thousand, 30/09/2024 55.1 CHF loans EUR loans CHF loans 8.6 Exposure EUR 1,689 mn Exposure EUR 405 mn 18.1 EUR loans 10.1 Stock of Stock of 9.5 provisions for litigation: provisions for liti
Slide 23: NPE Ratio and NPE Coverage
NPE Ratio and NPE Coverage Central Europe 100.0% Asset quality development q-o-q 58.4% 59.0% 58.6% 58.8% 804 CE 2.4% SEE - NPE Coverage Ratio decreases are 1.2% 1.2% 1.2% 1.2% 0.0% 1.0% mainly driven by Croatia and Bosnia 100.0% Southeastern 66.6% 66.0% 67.2% 64.5% EE - higher reduction of the loan
Slide 24: Appendix
01 Business & Financial Update 02 Risk Update 03 Appendix 30 October 2024
Slide 25: Geographic Footprint
Geographic Footprint Russia, #16 Leading regional player with CEE presence of over 30 years ▪ Loans: EUR 4.5 bn servicing approx. 19 million customers Central Europe (CE) ▪ Business outlets: 121 Southeastern Europe (SEE) Covering Austria and 12 CEE markets, of which five are EU Ukraine, #4 members.
Slide 26: Raiffeisen Banking Group Structure
Raiffeisen Banking Group Structure Raiffeisen Banking Group (RBG) – largest banking group in Austria with total assets of EUR 400 bn as of 31/12/2023 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 27: Q3/2024 Income Statement and KPIs
Q3/2024 Income Statement and KPIs (in EUR mn) Q3/2024 % q-o-q % y-o-y Net interest income 1,461 +1% +1% Net interest margin Q3/2024 Net fee and commission income 686 -5% +3% Net trading income & fair value result 39 -7% -56% 2.97% Other operating components1 71 +33% +39% +5 bps q-o-q Operating incom
Slide 28: Q3/2024 Income Statement and KPIs (Adjusted)
Adjusted excluding Q3/2024 Income Statement and KPIs Russia / Belarus (in EUR mn) Q3/2024 % q-o-q % y-o-y Net interest income 1,021 -1% -6% Net interest margin Q3/2024 Net fee and commission income 459 -1% +6% Net trading income & fair value result 4 -85% -90% 2.28% Other operating components1 75 +2
Slide 29: Total Exposure
Total Exposure Total exposure by segments Q3/2024 … by sector Q3/2024 in EUR bn, q-o-q in EUR bn Mortgages 28 GC&M -1.9% Consumer loans & other 21 Retail 20% 245 bn 71 Sovereigns & supranationals 102.2 Sov. & FI 41% EUR Financial institutions 29 Industrials 24 -2.1% q-o-q Materials 10 Corporate 39%
Slide 30: Q3/2024 Segments Overview
Q3/2024 Segments Overview Core revenues Loans to customers / NIM Provisioning ratio Profit/loss after tax Q3/24 q-o-q Q4/23 Q1/24 Q2/24 Q3/24 Q3/24 q-o-q Q3/24 q-o-q 549 37,596 37,158 37,555 37,660 CE Net Fees 155 +2% 5.00% -8 bps EUR 125 mn 30,000 2.52% -12 bps - NII 394 -1% 2.69% 2.47% 2.44% 20,00
Slide 31: Raiffeisen Capital Management
Raiffeisen Capital Management One of the leading asset managers in Central Europe, AUM 40% a 100% owned subsidiary of RBI celebrating 40 years in ESG 2025 since foundation 74% 26% Raiffeisen Capital Management aims to generate capital market returns through a responsible EUR 66 bn Business line Reta
Slide 32: Corporate Center/Reconciliation
Corporate Center/Reconciliation In EUR mn 1-9/2024 1-9/2023 y-o-y In EUR mn 1-9/2024 1-9/2023 y-o-y Operating income 1.105 517 113,6% Operating income (1.195) (576) 107,3% General admin. expenses (360) (361) (0,5%) General admin. expenses 150 121 23,5% Operating result 746 156 377,4% Operating resul
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 1/1/2024 1.002 4.988 15.600 (4.580) 17.009 1.231 1.610 19.849 Capital increases 0 0 0 0 0 (
Slide 34: Regulatory Capital Structure - Overview
Regulatory Capital Structure - Overview in EUR mn 30/9/2024 30/6/2024 31/3/2024 Common equity tier 1 (before deductions) 17,502 18,252 16,849 Deduction items (848) (775) (918) Common equity tier 1 (after deductions) 16,654 17,477 15,931 Additional tier 1 (after deductions) 1,689 1,688 1,680 Tier 1 (
Slide 35: Maturity Profile
Maturity Profile Maturity Profile at 30/9/2024 (in EUR mn) 3,555 12 2,824 2,760 161 15 313 2,212 2,158 68 500 133 3,543 1,660 2,649 2,144 1,030 2,025 1,947 837 108 1,650 522 1,023 729 500 93 39 0 93 7 10 0 0 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 >2035 Senior placements Subordinated
Slide 36: AT1 and Subordinated Instruments
AT1 and Subordinated Instruments Regulatory Capital Initial Nominal Issuer ISIN Reset Coupon Issuance date First Call Date Call period Maturity Treatment 1 Recognition 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 37: The Institutional Protection Scheme (IPS)
The Institutional Protection Scheme (IPS) 1 RBI AG and its Austrian subsidiaries are members of the 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 the earl
Slide 38: Bank Levies
Bank Levies Impact in EUR mn FY 2023 1-9/2024 FY 2024e Austria Bank levy based on total assets (excluding derivatives) 0 17 ~23 Bank levy of 0.15% (for up to HUF 50 bn of total assets) and 0.21% (for tax base above HUF 50 bn); Hungary 91 64 ~64 special tax for banks based on the net profit modified
Slide 39: 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 30/9/2024 30/9/2024 31/12/2023 30/9/2024 31/12/2023 30/9/2024 31/12/2023 30/9/2024 31/12/2023 Czech Republic 284 0.9% 0.9% 51.6%
Slide 40: RBI Group
RBI Group In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 1,461 1,440 1.5% 1,455 1,494 1,441 4,355 4,190 4.0% 5,683 Net fee and commission income 686 722 (5.1%) 669 677 667 2,077 2,364 (12.2%) 3,042 Net trading income and fair value resul
Slide 41: RBI Core Group – excl. Russia and Belarus
RBI Core Group – excl. Russia and Belarus In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 1,021 1,035 (1.3%) 1,061 1,092 1,083 3,117 3,083 1.1% 4,176 Net fee and commission income 459 463 (0.9%) 433 461 432 1,356 1,303 4.0% 1,764 Net trad
Slide 42: Country Financials (CE) – Czech Republic
Country Financials (CE) – Czech Republic In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 151 150 0.9% 151 168 162 453 474 (4.4%) 642 Net fee and commission income 45 45 0.5% 41 47 41 130 136 (4.1%) 183 Net trading income and fair value re
Slide 43: Country Financials (CE) – Hungary
Country Financials (CE) – Hungary In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 113 117 (3.7%) 133 143 137 363 382 (4.8%) 525 Net fee and commission income 58 56 2.9% 52 54 50 166 148 11.8% 202 Net trading income and fair value result (
Slide 44: Country Financials (CE) – Poland
Country Financials (CE) – Poland In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 9 13 (32.7%) 4 4 7 25 15 70.7% 19 Net fee and commission income 0 0 2.4% 0 0 0 1 0 89.7% 0 Net trading income and fair value result 0 1 (74.5%) (0) 1 1 1 1 (
Slide 45: Country Financials (CE) – Slovakia
Country Financials (CE) – Slovakia In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 121 116 3.9% 116 111 103 353 293 20.6% 404 Net fee and commission income 53 51 3.1% 50 51 48 154 142 8.3% 193 Net trading income and fair value result 3 2
Slide 46: Country Financials (SEE) – Albania
Country Financials (SEE) – Albania In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 33 33 1.3% 31 32 30 98 83 18.2% 114 Net fee and commission income 8 7 7.4% 6 5 6 20 15 33.3% 20 Net trading income and fair value result 1 1 (0.7%) 1 1 2 3
Slide 47: Country Financials (SEE) – Bosnia & Herzegovina
Country Financials (SEE) – Bosnia & Herzegovina In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 21 22 (5.7%) 22 23 22 66 63 4.7% 86 Net fee and commission income 14 15 (4.6%) 13 14 14 43 40 7.2% 54 Net trading income and fair value result
Slide 48: Country Financials (SEE) – Croatia
Country Financials (SEE) – Croatia In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 48 47 1.6% 44 48 47 139 132 5.1% 181 Net fee and commission income 21 19 8.0% 19 19 20 59 55 6.8% 73 Net trading income and fair value result 6 (3) – 1 16
Slide 49: Country Financials (SEE) – Kosovo
Country Financials (SEE) – Kosovo In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 18 18 1.5% 18 18 17 54 48 11.4% 66 Net fee and commission income 5 4 22.7% 3 4 6 13 13 (4.1%) 17 Net trading income and fair value result 0 0 (70.6%) (0) 0
Slide 50: Country Financials (SEE) – Romania
Country Financials (SEE) – Romania In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 156 154 1.3% 153 149 147 463 430 7.6% 579 Net fee and commission income 52 49 6.3% 41 54 46 142 131 8.3% 184 Net trading income and fair value result (3) 0
Slide 51: Country Financials (SEE) – Serbia
Country Financials (SEE) – Serbia In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 74 75 (2.4%) 74 73 72 224 197 13.5% 270 Net fee and commission income 31 31 2.6% 29 29 27 91 78 15.5% 108 Net trading income and fair value result 4 3 9.3%
Slide 52: Country Financials (EE) – Belarus
Country Financials (EE) – Belarus In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 29 28 4.5% 26 21 19 83 66 26.3% 86 Net fee and commission income 33 40 (18.1%) 27 30 30 100 98 1.9% 128 Net trading income and fair value result 10 8 26.9%
Slide 53: Country Financials (EE) – Russia
Country Financials (EE) – Russia In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 411 377 8.9% 368 382 331 1,156 1,029 12.4% 1,411 Net fee and commission income 193 220 (12.2%) 208 186 206 621 966 (35.7%) 1,152 Net trading income and fair
Slide 54: Country Financials (EE) – Ukraine
Country Financials (EE) – Ukraine In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 95 97 (2.7%) 103 106 112 295 312 (5.6%) 418 Net fee and commission income 15 17 (10.2%) 17 23 17 49 61 (19.7%) 84 Net trading income and fair value result 2
Slide 55: Group Corporates & Markets
Group Corporates & Markets In EUR mn Q3/2024 Q2/2024 q-o-q Q1/2024 Q4/2023 Q3/2023 1-9/2024 1-9/2023 y-o-y 1-12/2023 Net interest income 201 219 (8.4%) 233 256 248 653 711 (8.2%) 967 Net fee and commission income 145 140 3.9% 147 150 142 433 428 1.0% 578 Net trading income and fair value result 49 3
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 ISIN: AT00006
Slide 58: Financial Calendar
Financial Calendar 27 January 2025 Start of Quiet Period Group Investor Relations 4 February 2025 Preliminary Results 2024, Conference Call 25 February 2025 Annual Report 2024 16 March 2025 Record Date Annual General Meeting Raiffeisen Bank International AG 26 March 2025 Annual General Meeting 31 Ma
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