Credit Agricole SA · EURONEXT:ACA

Credit Agricole SA — Kepler Cheuvreux Autumn Conference 2017

22 slides from Credit Agricole SA's conference presentation, Sep 13, 2017

  1. Slide 1: Philippe Brassac, CEO – Kepler Cheuvreux Autumn Conference

    Philippe Brassac, CEO Kepler Cheuvreux Autumn Conference, Paris, 13 September 2017 1 l KEPLER CHEUVREUX CONFERENCE – 13 SEPTEMBER 2017

  2. Slide 2: Disclaimer

    DISCLAIMER  Financial information on Crédit Agricole S.A. and Crédit Agricole Group for the second quarter and first half year period 2017 including this presentation and the attached press release and financial report are available on the website https://www.credit- NOTE agricole.com/en/finance/fi

  3. Slide 3: Introduction: Major achievements in the past months

    CRÉDIT AGRICOLE S.A. INTRODUCTION Major achievements in the past 18 months  New Medium Term Plan announced in March 2016: “Strategic Ambition 2020”  Focus on Group structure simplification, customer project, growth momentum via cross selling and enhanced operating efficiency  Completion of the Gr

  4. Slide 4: Major achievements: Value-creating acquisitions

    CRÉDIT AGRICOLE S.A. MAJOR ACHIEVEMENTS IN THE PAST 18 MONTHS Value-creating acquisitions  Pioneer investments (closing 3 July 2017)  Acquisition by Amundi of 100% of Pioneer Investments(1), Unicredit’s AM subsidiary, for €3,545m  Major and strategic acquisition strengthens Amundi’s position as l

  5. Slide 5: Major achievements: Disposal of non-core assets

    CRÉDIT AGRICOLE S.A. MAJOR ACHIEVEMENTS IN THE PAST 18 MONTHS Disposal of non-core assets  Disposal of interest in Eurazeo (6 June 2017)  Disposal of a 15.42% interest in the listed holding company for a total of €790.5m  Hedging mechanism against changes in share price for mandatory convertibles

  6. Slide 6: A stable, diversified and profitable business model

    CRÉDIT AGRICOLE S.A. RESULTS A stable, diversified and profitable business model Underlying revenues H1-17 by business line Underlying NIGS H1-17 by business line (excluding Corporate centre) (%) (excluding Corporate centre) (%) Before Pioneer  Positive skew to Asset gathering businesses  Good div

  7. Slide 7: Sustained activity in all businesses

    CRÉDIT AGRICOLE GROUP STRONG PROFIT MOMENTUM Sustained activity in all businesses RETAIL BANKS Regional Banks LCL Italy Home loans +7.8% Home loans +10.6% Home loans +10.5% Consumer finance loans +8.7% Loans to corporates +11.9% Loans to large corporates +22.5% Demand deposits +16.5% Demand deposits

  8. Slide 8: Sustained increase in revenues

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM Sustained increase in revenues Change H1/H1 in underlying revenues(1), by business line +10.2% 9,398 9,408 +324 +10 8,537 8,531 +58 +61 +68 +356 +6 (1) (1) H1-16 Specific H1-16 Asset Retail SFS Large Corporate H1-17 Specific H1-17 stated items underlying g

  9. Slide 9: Costs well under control

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM Costs well under control Change in underlying(1) costs H1/H1 by business line +0.9% 6,025 + 41 5,789 6,033 + 244 5,740 + 74 +8 + 27 +0 + 244 ( 58) (1) (1) H1-16 Specific SRF H1-16 Asset Retail SFS Large Corporate H1-17 SRF Specific H1-17 stated items under

  10. Slide 10: Declining and sustainable cost of risk

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM Declining and sustainable cost of risk CRÉDIT AGRICOLE GROUP Cost of credit risk on outstandings (in basis points over a rolling four-quarter period) 226 201 Target 2019: 50bp 162 140 140 48 133 134 134 123  CACF 135 -10bp Q2/Q2 43 130 41 41 41 41 39 117

  11. Slide 11: Strong increase in underlying NIGS

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM Strong increase in underlying NIGS Change H1/H1 in underlying NIGS(1), by business line +70.4% 2,195 +287 2,067 +128 +281 1,385 +111 +106 1,213 +70 +172 (1) (1) H1-16 Specific H1-16 Asset Retail SFS Large Corporate H1-17 Specific H1-17 stated items underly

  12. Slide 12: Business lines highlights

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM Business lines highlights Revenues 2019 RoNE Asset gathering 2015-2019 CAGR: +3% Retail Banking > 16% NIGS: +8.8%(1) H1/H1 NIGS: +34.3%(1) H1/H1  Asset management: strong business momentum; negative effect in  LCL (+51.0%): sustained strong business mome

  13. Slide 13: Zoom on Italy

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM Zoom on Italy Aggregation of underlying results of Crédit Agricole S.A. entities in Italy* H1-17 H1-16 ∆ H1/H1 €m underlying underlying underlying Revenues 1,564 1,504 +4.0% 14% Operating expenses excl. SRF SRF Gross operating income (734) (11) 819 (710) (

  14. Slide 14: A stable, diversified and profitable business model: RoNE

    CRÉDIT AGRICOLE S.A. STRONG PROFIT MOMENTUM A stable, diversified and profitable business model Underlying RoNE(2) (annualised) H1-17 by business line and 2019 targets in %(2) After tax and AT1 coupons allocated to business lines(2) Target 2019 >25% Underlying FY-2016 Underlying H1-17 annualised >16

  15. Slide 15: Financial solidity: fully-loaded CET1 ratio

    CRÉDIT AGRICOLE S.A. FINANCIAL SOLIDITY Fully-loaded CET1 ratio close to 12% pro forma of Pioneer and BSF disposal Change in fully-loaded CET 1 ratio (bp) Change in RWAs (€bn) +18bp -76bp +13bp +72bp >+20bp 306 294 301 -10 296 301 301 300 294 294 +1bp +71bp Global compensation 12,4% of impacts 11,9%

  16. Slide 16: Capital planning

    CRÉDIT AGRICOLE S.A. FINANCIAL SOLIDITY Capital planning Trajectory of CET1 fully-loaded ratio until end of MTP -1.6% +3.0% -0.7% -0.7% -0.8% 11.9% ≥ 11% June 17 (pro Net income Distribution AFS Regulatory Buffer for 31 Dec. forma after AT1 reserves impacts organic 2019 target Pioneer & coupons grow

  17. Slide 17: Attractive dividend policy

    FINANCIAL SOLIDITY Attractive dividend policy  Reminder: dividend 2016 €0.60(1)  i.e. a yield of 5.1%(1) based on 31 December 2016 share price  From 2017 onwards  Dividend payout of 50% of attributable net income(2)  Cash only  Intention not to lower dividend compared to 2016 level (€0.60 floo

  18. Slide 18: Conclusion: Key messages

    CRÉDIT AGRICOLE S.A. CONCLUSION Key messages  Cross-selling strategy accelerated  Profitable and sustainable business model, with growth in Crédit Agricole S.A.’s specialised entities underpinned by the Group retail banks’ distribution capacity  Targeted acquisition strategy in Italy aimed at enh

  19. Slide 19: Simplification of the Group structure

    CRÉDIT AGRICOLE S.A. APPENDIX Simplification of the Group structure Former Group structure New Group structure Local Banks of Holders Local Banks of Holders Crédit Agricole and of SACAM Crédit Agricole and of Mutualisation other members CCI/CCAs other members CCI/CCAs Mutual shares (with voting righ

  20. Slide 20: Data per share

    CRÉDIT AGRICOLE S.A. APPENDIX Data per share (€m) Q2-17 H1-17 Q2-16 H1-16 Net income Group share 1,350 2,195 1,158 1,385 - Interests on AT1, before tax, including issuance costs (96) (237) (97) (241) €0.64 Net income Group share attributable to ordinary shares Average number shares in issue, excludi

  21. Slide 21: Alternative Performance Measures – Specific items H1-17

    CRÉDIT AGRICOLE S.A. APPENDIX Alternative Performance Measures– Specific items H1-17 Specific item s H1-17 Specific item s H1-16 m€ Gross im pact* Im pact on NIGS Gross im pact* Im pact on NIGS Issuer spreads (CC) (105) (55) 38 27 DVA running (LC) (61) (39) 9 6 Loan portfolio hedges (LC) (40) (25) 1

  22. Slide 22: Investor Relations Contacts

    CRÉDIT AGRICOLE S.A. INVESTOR RELATIONS CONTACTS: Institutional shareholders + 33 1 43 23 04 31 investor.relations@credit-agricole-sa.fr Individual shareholders + 33 800 000 777 credit-agricole-sa@relations-actionnaires.com (toll-free number France only) Cyril Meilland, CFA + 33 1 43 23 53 82 cyril.

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