Raiffeisen Bank International Ag · VIE:RBI
Raiffeisen Bank International — Q1 2024 Earnings Presentation
57 slides from Raiffeisen Bank International's earnings presentation, May 2, 2024
Slide 1: Q1/2024 Results
Raiffeisen Bank International Q1/2024 Results 2 May 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 2 May 2024
Slide 4: Q1/2024 Executive Summary
Q1/2024 Executive Summary RBI Consolidated profit Consolidated RoE CET1 ratio Group 1-3/2024 1-3/2024 31/03/2024, transitional, incl. results EUR 664 mn 15.0% 17.3% +144% q-o-q +8 pp q-o-q +0 pp q-o-q Adjusted: Consolidated profit Consolidated RoE CET1 ratio EUR 333 mn 9.9% 14.6% EUR -40 mn in Q4/20
Slide 5: Q1/2024 Executive Summary
Q1/2024 Executive Summary RBI Loans to customers Core revenues Opex and Cost/Income Ratio1 Group 31/03/2024 1-3/2024, in EUR mn 1-3/2024 1,455 EUR 100,434 mn 669 EUR 938 mn 42.2% +1% q-o-q -3% -1% q-o-q -9% q-o-q -5 pp Net interest Net fee & income commission income Adjusted: Loans to customers Core
Slide 6: De-risking in Russia
De-risking in Russia Strategic initiatives update Acquisition of STRABAG shares remains subject to careful RWA 27.1 compliance risk assessment in Russia Raiffeisen Russia sale continues to be explored under IFRS 16.3 14.9 -45% 14.3 14.0 Significant business reduction since February 2022 since peak L
Slide 7: Q1/2024 Core Revenue Trends
Q1/2024 Core Revenue Trends Net interest income in EUR mn NII excl. Russia and Belarus slightly down in Q1/2024, 1,385 1,364 1,441 1,494 1,455 albeit up 10% y-o-y Group NII in CE segment down due to rate cuts in Czechia and Hungary, as well as weaker FX -3% 1,123 1,123 1,092 Core 997 1,039 q-o-q Net
Slide 8: Loans and Deposits to/from Customers in Q1/2024
Loans and Deposits to/from Customers in Q1/2024 Loans to customers Deposits from customers in EUR bn in EUR bn + 1% + 1% q-o-q q-o-q Group 105.3 101.9 Group 124.8 101.8 100.4 120.6 121.2 119.4 120.9 99.4 Core Core Excluding 96.9 95.0 Excluding Russia/ Belarus 94.3 92.8 93.8 Russia/ Belarus 102.2 103
Slide 9: High Liquidity Across the Group
High Liquidity Across the Group RBI Group - Liquidity ratios 217% RBI head office: conservative liquidity profile 201% 189% 196% LCR 186% LCR at 161% (as of 25 April 2024) 139% 140% 141% 143% 143% NSFR Head office with sufficient liquidity to cover all deposits and maturing funding for over one Loan
Slide 10: CET1 Ratio Development
CET1 Ratio Development + 0 bps q-o-q 17.3% 17.3% + + - - - - +2 bps -25 bps -15 bps -20 bps +64 bps -6 bps Credit risk Other credit Market & OCI, Retained earnings FX Core Group risk operational risk valuation & other effects Dividend accrual based on last year’s payout ratio (17.3%) 31/12/2023 Bene
Slide 11: CET1 Outlook 2024
CET1 Outlook 2024 Group CET1 ratio expected around 17.6 per cent at year-end 2024, 17.3% before impact of business reduction in Russia ~17.6% Expected CET1 drivers in 2024: Any decision on dividends will be based on the capital position of the Group Retained + ~165 bps Net of expected 2024 excluding
Slide 12: P/B Zero Deconsolidation Scenario in Russia
P/B Zero Deconsolidation Scenario in Russia Landing point: Capital stack under P/B Zero deconsolidation scenario Expected stable in 2024 14.6% 2.99% T2 Assumptions: 2.70% With Russia deconsolidated EUR 4.8 bn at P/B Zero, AT1 and T2 CET1 IFRS equity partially offset by deduction 2.06% AT 1 2.03% buc
Slide 13: Capital Ratios and SREP
Capital Ratios and SREP RBI, transitional, pro forma as of 31/03/2024 Current regulatory 21.6% P2R 1.57% to be met with CET1 requirements 2.80% 19.1% 53 bps eligible for AT1 17.3% 16.46% 70 bps eligible for T2 Tier 2 13.76% 2.70% (incl. P2R) 11.73% 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 Including profit Funding plan 2024 31/03/2024 Requirement 44.02% Senior preferred issuance (1 or 2 benchmarks) depending on new lending trends Actual 13.02% Senior 35.98% preferred Total MREL requirement (31/03/2024) Other resolution groups 31.00%
Slide 15: Macro Outlook
Macro Outlook A rebound in consumer demand is expected to drive muted GDP (real, % yoy) 2022 2023e 2024f 2025f recovery in the Euro area, CE, and SEE in 2024 Czech Republic 2.4 -0.2 1.5 2.9 Hungary 4.6 -0.7 2.2 3.4 Consumer demand is driven by robust labour markets, Poland 5.3 0.2 3.1 3.8 declining
Slide 16: Inflation and Key Rates Forecast
Inflation and Key Rates Forecast Inflation & rates Inflation rate (CPI) Disinflation continues at a slower pace. Government (average, % y-o-y) CZ 2.4% 2.3% interventions still affect food and energy prices, labour 3.3% 3.9% 2024f 2025f markets continue to add upside risks SK Banking sector view Lend
Slide 17: 2024 Guidance
2024 Guidance Core Group excluding Russia / Belarus Core revenues around EUR 4.0 bn EUR ~1.8 bn 3% to 4% & loan growth Net interest Net fee and Loans to income commission income customers The 2024 guidance for the around EUR 3.3 bn around 52% Group including Russia and OPEX & CIR OPEX CIR Belarus ha
Slide 18: Risk Update
01 Business & Financial Update 02 Risk Update 03 Appendix 2 May 2024
Slide 19: Risk Overview
Risk Overview Q1/2024 31/03/2024 31/03/2024 Risk cost Stock of risk overlays NPE ratio/ coverage ratio Provisioning ratio Risk cost 22 bps EUR 25 mn EUR 777 mn 1.9% 50.1% including impairments -39 bps q-o-q on debt securities +6 bps -1.6 pp GC&M, CE, SEE (CRE, inflation & spillover) EUR 366 mn q-o-q
Slide 20: IFRS 9 Provisioning
IFRS 9 Provisioning Q1/2024 EUR EUR 92 mn 25 mn Overall EUR 25 mn of IFRS 9 provisions in Q1 + Stage 1 & 2: main drivers are exposure composition and migration to Stage 3 - Macro update: slightly improved outlook, mainly in Hungary EUR -44 mn - + EUR Overlays: mainly driven by a top-up of EUR -37 mn
Slide 21: Q1/2024 RWA Development
Q1/2024 RWA Development Credit risk development driven mainly by liquidity position in Russia. Inorganic effect mainly stemming from 1 transition phase of sovereign exposure in standard approach (Article 500a / increase of risk weight to 50%) Inorganic effect relief of up to EUR -1.2 bn until year e
Slide 22: Poland CHF Update
Poland CHF Update Cases update Provisions taken in Q1/2024 in EUR mn 25,155 CHF loans 14,718 litigation Gross exposure 1,890 1,869 1,905 outstanding cases 1,750 1,652 1,647 1,199 1,338 Q1/2024 Other result bookings: Stock of EUR 79 mn EUR 30 mn provisions for litigation New provisions for For net lo
Slide 23: NPE Ratio and NPE Coverage
NPE Ratio and NPE Coverage Central Europe Asset quality development q-o-q 58.1% 60.2% 58.4% 59.0% 7.0% 778 -0.6% 50.0% NPE ratio remains below 2% despite 1.3% 1.2% 1.2% 1.3% Commercial Real Estate insolvencies and war Southeastern 0.0% 67.2% 67.3% 66.6% 66.0% (3.0%) 601 in the region 7.0% Europe 1.4
Slide 24: Appendix
01 Business & Financial Update 02 Risk Update 03 Appendix 2 May 2024
Slide 25: Geographic Footprint
Geographic Footprint Leading regional player with CEE presence of over 30 years Russia, #16 servicing approx. 19 million customers Central Europe (CE) ▪ Loans: EUR 5.8 bn Southeastern Europe (SEE) ▪ Business outlets : 120 Covering Austria and 12 CEE markets, of which five are EU members. Serbia and
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: Q1/2024 Income Statement and KPIs
Q1/2024 Income Statement and KPIs (in EUR mn) Q1/2024 % q-o-q % y-o-y Net interest income 1,455 -3% +5% Net interest margin Q1/2024 Net fee and commission income 669 -1% -31% Net trading income & fair value result 17 - -81% 2.98% Other operating components1 61 +496% +176% -8 bps q-o-q Operating inco
Slide 28: Q1/2024 Income Statement and KPIs (Adjusted)
Adjusted excluding Q1/2024 Income Statement and KPIs Russia / Belarus (in EUR mn) Q1/2024 % q-o-q % y-o-y Net interest income 1,092 -3% +10% Net interest margin Q1/2024 Net fee and commission income 427 -6% -1% Net trading income & fair value result -8 -74% - 2.46% Other operating components1 64 +45
Slide 29: Total Exposure
Total Exposure Total exposure by segments Q1/2024 … by sector Q1/2024 in EUR bn, q-o-q in EUR bn Mortgages 28 Consumer loans & other 20 Retail 20% GC&M +4.4% 242 bn 63 Sovereigns & supranationals 100.7 EUR Financial institutions 34 Sov. & FI 40% Industrials 24 +2.0% q-o-q Consumer cyclical 11 Corpor
Slide 30: Q1/2024 Segments Overview
Q1/2024 Segments Overview Core revenues Loans to customers / NIM Provisioning ratio Profit/loss after tax Q1/24 q-o-q Q2/23 Q3/23 Q4/23 Q1/24 Q1/24 q-o-q Q1/24 q-o-q 547 38,139 37,599 37,596 37,158 CE Net Fees 144 -5% 5.00% -36 bps EUR 72 mn 30,000 2.57% 2.69% 2.52% -39 bps - NII 404 -6% 2.42% 20,00
Slide 31: Corporate Center/Reconciliation
Corporate Center/Reconciliation In EUR mn 1-3/2024 1-3/2023 y-o-y In EUR mn 1-3/2024 1-3/2023 y-o-y Operating income 462 110 318,2% Operating income (485) (126) 283,7% General admin. expenses (116) (95) 22,2% General admin. expenses 40 35 13,7% Operating result 345 15 >500,0% Operating result (445)
Slide 32: 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 0
Slide 33: Regulatory Capital Structure - Overview
Regulatory Capital Structure - Overview in EUR mn 31/3/2024 31/12/2023 30/9/2023 Common equity tier 1 (before deductions) 16.849 17.028 16.175 Deduction items (918) (825) (931) Common equity tier 1 (after deductions) 15.931 16.203 15.244 Additional tier 1 (after deductions) 1.680 1.677 1.679 Tier 1
Slide 34: Maturity Profile
Maturity Profile Maturity Profile at 30/9/2020 31/3/2024 (in EUR mn) 4,559 4,305 12 70 3,986 354 15 2,608 84 4,547 4,235 3,616 1,696 1,660 108 2,524 1,030 1,587 1,650 585 547 1,023 229 500 500 229 85 49 7 47 0 10 0 0 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 >2035 Senior placements Subo
Slide 35: 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 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-annua
Slide 36: 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 37: Bank Levies
Bank Levies Impact in EUR mn FY 2023 1-3/2024 FY 2024e Austria Bank levy based on total assets (excluding derivatives) 0 6 ~22 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 b
Slide 38: 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 31/3/2024 31/3/2024 31/12/2023 31/3/2024 31/12/2023 31/3/2024 31/12/2023 31/3/2024 31/12/2023 Czech Republic 277 0,9% 0,9% 51,4%
Slide 39: RBI Group
RBI Group In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 1,455 1,494 (2.6%) 1,441 1,364 1,385 1,455 1,385 5.1% 5,683 Net fee and commission income 669 677 (1.3%) 667 732 966 669 966 (30.8%) 3,042 Net trading income and fair value result
Slide 40: RBI Core Group – excl. Russia and Belarus
RBI Core Group – excl. Russia and Belarus In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 1,092 1,123 (2.7%) 1,123 1,039 997 1,092 997 9.6% 4,282 Net fee and commission income 427 453 (5.9%) 425 417 429 427 429 (0.6%) 1,724 Net trading in
Slide 41: Country Financials (CE) – Czech Republic
Country Financials (CE) – Czech Republic In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 151 168 (10.1%) 162 159 153 151 153 (1.0%) 642 Net fee and commission income 41 47 (13.5%) 41 48 48 41 48 (14.5%) 183 Net trading income and fair val
Slide 42: Country Financials (CE) – Hungary
Country Financials (CE) – Hungary In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 133 143 (7.4%) 137 121 123 133 123 7.9% 525 Net fee and commission income 52 54 (2.1%) 50 52 47 52 47 11.6% 202 Net trading income and fair value result (19
Slide 43: Country Financials (CE) – Poland
Country Financials (CE) – Poland In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 4 4 (9.3%) 7 7 0 4 0 >500,0% 19 Net fee and commission income 0 0 17.5% 0 0 0 0 0 74.8% 0 Net trading income and fair value result (0) 1 – 1 1 0 (0) 0 – 2 Ot
Slide 44: Country Financials (CE) – Slovakia
Country Financials (CE) – Slovakia In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 116 111 3.7% 103 99 91 116 91 27.6% 404 Net fee and commission income 50 51 (0.9%) 48 48 46 50 46 9.0% 193 Net trading income and fair value result 4 3 29.
Slide 45: Country Financials (SEE) – Albania
Country Financials (SEE) – Albania In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 31 32 (0.4%) 30 28 25 31 25 26.9% 114 Net fee and commission income 6 5 19.6% 6 5 4 6 4 26.2% 20 Net trading income and fair value result 1 1 15.2% 2 (5) 0
Slide 46: Country Financials (SEE) – Bosnia & Herzegovina
Country Financials (SEE) – Bosnia & Herzegovina In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 22 23 (4.7%) 22 21 19 22 19 16.4% 86 Net fee and commission income 13 14 (2.0%) 14 13 13 13 13 5.1% 54 Net trading income and fair value resul
Slide 47: Country Financials (SEE) – Croatia
Country Financials (SEE) – Croatia In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 44 48 (8.7%) 47 44 41 44 41 8.1% 181 Net fee and commission income 19 19 (0.8%) 20 17 18 19 18 2.4% 73 Net trading income and fair value result 1 16 (92.9%
Slide 48: Country Financials (SEE) – Kosovo
Country Financials (SEE) – Kosovo In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 18 18 2.4% 17 16 15 18 15 19.2% 66 Net fee and commission income 3 4 (17.5%) 6 4 4 3 4 (8.9%) 17 Net trading income and fair value result (0) 0 – 1 0 0 (0)
Slide 49: Country Financials (SEE) – Romania
Country Financials (SEE) – Romania In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 153 149 2.9% 147 143 140 153 140 9.1% 579 Net fee and commission income 41 54 (22.7%) 46 44 41 41 41 1.8% 184 Net trading income and fair value result 2 2
Slide 50: Country Financials (SEE) – Serbia
Country Financials (SEE) – Serbia In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 74 73 1.5% 72 66 59 74 59 25.7% 270 Net fee and commission income 29 29 (2.3%) 27 26 25 29 25 14.7% 108 Net trading income and fair value result 3 3 4.5% 4
Slide 51: Country Financials (EE) – Belarus
Country Financials (EE) – Belarus In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 26 21 24.0% 19 20 27 26 27 (3.1%) 86 Net fee and commission income 27 30 (12.0%) 30 38 30 27 30 (9.3%) 128 Net trading income and fair value result 5 4 20.8
Slide 52: Country Financials (EE) – Russia
Country Financials (EE) – Russia In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 368 382 (3.7%) 331 322 377 368 377 (2.2%) 1,411 Net fee and commission income 208 186 12.1% 206 264 496 208 496 (58.0%) 1,152 Net trading income and fair val
Slide 53: Country Financials (EE) – Ukraine
Country Financials (EE) – Ukraine In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 103 106 (2.9%) 112 99 101 103 101 2.0% 418 Net fee and commission income 17 23 (26.2%) 17 20 24 17 24 (28.0%) 84 Net trading income and fair value result 5
Slide 54: Group Corporates & Markets
Group Corporates & Markets In EUR mn Q1/2024 Q4/2023 q-o-q Q3/2023 Q2/2023 Q1/2023 1-3/2024 1-3/2023 y-o-y 1-12/2023 Net interest income 233 256 (8.7%) 248 238 226 233 226 3.5% 967 Net fee and commission income 147 150 (1.9%) 142 129 158 147 158 (6.7%) 578 Net trading income and fair value result 13
Slide 55: 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 56: 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 57: Financial Calendar
Financial Calendar Group Investor Relations Raiffeisen Bank International AG 23 July 2024 Start of Quiet Period 30 July 2024 Semi-Annual Report, Conference Call Am Stadtpark 9 1030 Vienna 23 October 2024 Start of Quiet Period Austria 30 October 2024 Third Quarter Report, Conference Call +43 1 71 707
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