Intercorp Financial Services Inc. · NYSE:IFS
Intercorp Financial Services — Q2 2010 Earnings Presentation
19 slides from Intercorp Financial Services's earnings presentation, 2010
Slide 1: Second Quarter 2010 Earnings Presentation
Second Quarter 2010 Earnings Presentation
Slide 2: Intergroup Financial Services
Intergroup Financial Services 2
Slide 3: Highlights
Highlights Intergroup: • Intergroup’s recurring earnings increased 4.6% YoY. However, when including non-recurring investment gains in 2Q09, net earnings decreased 3.6% YoY • Earnings fell 11.2% QoQ, mainly as a result of lower income at Interbank Interbank: • Recurring earnings increased 11.8% YoY,
Slide 4: Intergroup's recurring earnings increased 4.6% YoY, but declined 11.2% QoQ
Intergroup´s recurring earnings increased 4.6% YoY, but declined 11.2% QoQ Intergroup Interbank Interseguro Net income* Net income Net income S/. million ROE S/. million ROE S/. million ROE 34.1% 29.7% 38.8% 180 40.8% 33.6% 26.9% 160 138.9 30.1% 26.4% 28.7% 127.9 123.3 140 3.2 115.4 13.0 102.3 120 1
Slide 5: Net income
Net income Intergroup's Profit and Loss Statement Summary S/. million %chg %chg 2Q09 1Q09 2Q10 QoQ YoY 501.7 Financial income 501.7 504.5 528.0 4.7% 5.2% Financial expenses -95.8 -92.1 -105.9 15.0% 10.6% Gross financial margin 405.9 412.3 422.1 2.4% 4.0% Provisions -97.2 -78.9 -96.6 22.5% -0.5% Net
Slide 6: Interbank
EJ Intergroup Financial Services
Slide 7: Interbank's recurring net income increased 4.6% YoY but decreased 11.3% QoQ
Interbank´s recurring net income increased 4.6% YoY but decreased 11.3% QoQ Profit and Loss Statement Summary S/. million % chg % chg 2Q 09 1Q 10 2Q 10 QoQ YoY Financial income 474.5 455.6 470.7 3.3% -0.8% Financial expenses -114.0 -89.0 -99.8 12.1% -12.5% Gross financial margin 360.5 366.5 370.9 1.
Slide 8: Loan growth resumed, driven by Peru's strong economic momentum
Loan growth resumed, driven by Peru´s strong economic momentum Performing loans Breakdown of loans S/. million % chg % chg 2Q 09 1Q 10 2Q 10 QoQ YoY S/. million +14.8% Consumer loans: Credit cards 1,455 1,495 1,550 3.6% 6.5% Other consumer 1,959 2,132 2,204 3.4% 12.5% 10,681 Total consumer loans 3,4
Slide 9: Deposits and bonds increased to fund loan growth
Deposits and bonds increased to fund loan growth Funding Structure Deposit Breakdown Funding Structure S/. million % chg % chg 14.4% 2Q 09 1Q 10 2Q 10 QoQ YoY 12,621 Deposits and obligations 11,033 11,597 12,621 8.8% 14.4% 12,200 201 Due to banks 1,727 2,185 2,059 -5.8% 19.2% 11,253 11,598 11,597 Bo
Slide 10: Gross financial margin increased 1.2% QoQ and 2.9% YoY
Gross financial margin increased 1.2% QoQ and 2.9% YoY Interbank´s Gross Financial Margin S/. million % chg % chg 2Q 09 1Q 10 2Q 10 QoQ YoY Financial income: Loans 362.9 374.7 382.9 2.2% 5.5% Investment income 75.3 34.5 41.5 20.3% -44.8% Interest on due from banks and interbank funds 2.4 0.8 1.2 47.
Slide 11: NIM remains significantly above the industry's average and slightly below recurring NIM
NIM remains significantly above the industry´s average and slightly below recurring NIM Net Interest Margin (%) 9.8% 9.3% 9.0% 9.1% 8.8% 8.8% 8.8% 8.5% 8.3% 8.9% 8.5% 8.2% 7.3% 7.1% 7.1% 7.1% 6.9% 7.1% 7.3% 7.1% 6.9% 7.1% 6.8% 6.8% 7.0% 6.9% 6.7% 6.4% 6.6% 6.6% 1Q2008 2Q2008 3Q2008 4Q2008 1Q2009 2Q2
Slide 12: Asset quality and coverage remain strong, but provisions increased 22.5% QoQ
Asset quality and coverage remain strong, but provisions increased 22.5% QoQ PDL & Coverage Ratios Loan Provision Expense S/. million Provision expense* Loans 4.9% 140 4.50% 2.00% 3.7% 3.7% 266.6% 255.1% 120 3.4% 261.2% 252.9% 300.00% 3.2% 233.2% 3.50% 97.5 96.6 200.00% 100 1.50% 89.4 2.50% 84.9 78.
Slide 13: The efficiency ratio rose to 51% as a result of a 7.6% QoQ increase in expenses
The efficiency ratio rose to 51% as a result of a 7.6% QoQ increase in expenses Fee income Operating expenses S/. million S/. million Fee income Efficiency Fee income / operating revenues ratio* 25.5% 24.2% 52.0% 22.7% 23.3% 51.0% 21.5% 48.5% 285 121.6 47.4% 44.9% 118.6 111.9 111.6 247.6 249.6 98.6
Slide 14: A Tier I bond issue has significantly strengthened Interbank's capitalization
A Tier I bond issue has significantly strengthened Interbank´s capitalization Tier I Tier II 16.0% 12.8% 5.2% 11.5% 10.8% 2.9% 10.3% 2.9% 1.4% 2.7% Regulatory 9.1% Minimum 9.5% 10.8% 9.9% 8.9% 8.6% 8.1% (1) 2007 2008 2009 1Q10 2Q10 (1) On April 2010 Interbank issued US$200 million in non-cumulative
Slide 15: Interseguro
EJ Intergroup 15 Financial Services
Slide 16: Interseguro's net income rose 3.3% QoQ, but declined 18.2% YoY
Interseguro´s net income rose 3.3% QoQ, but declined 18.2% YoY Profit and Loss Statement Summary S/. million % chg % chg 2Q09 1Q10 2Q10 QoQ YoY Premiums 66.3 64.0 74.6 16.7% 12.5% Premiums ceded -1.9 -2.5 -1.7 -31.6% -9.0% Fees -2.0 -2.4 -2.4 1.0% 21.1% Claims -28.0 -29.7 -31.7 6.6% 13.1% Change in
Slide 17: Premiums increased 16.7% QoQ and 12.5% YoY, driven by higher annuity sales
Premiums increased 16.7% QoQ and 12.5% YoY, driven by higher annuity sales Premiums by Business Line S/. million % chg % chg 2Q09 1Q10 2Q10 QoQ YoY Individual Life 5.8 5.8 5.5 -5.4% -5.5% Annuities 45.7 38.5 51.8 34.6% 13.3% Group Life 8.9 11.8 10.5 -10.8% 18.1% Disability and survivor benefits 0.1
Slide 18: Investment income increased 22.7% QoQ and 2.8% YoY
Investment income increased 22.7% QoQ and 2.8% YoY Investment Portfolio S/. million 2Q09 1Q10 2Q10 %chg QoQ %chg YoY Fixed Income 1,281.9 1,260.4 1,291.0 2.4% 0.7% Equity and Mutual Funds 128.1 154.6 173.1 12.0% 35.2% Real estate 422.3 488.6 445.0 -8.9% 5.4% Others 5.1 12.4 4.4 -64.4% -13.6% TOTAL 1
Slide 19: Intergroup Financial Services
Intergroup Financial Services
Intercorp Financial Services — Q2 2010 Earnings Presentation on 6ix