Natixis — Groupe BPCE — 9M 2020 Earnings Presentation
71 slides from Natixis's earnings presentation, Nov 5, 2020
Slide 1: Results for the 3rd quarter and first 9 months of 2020
Results for the 3rd quarter and first 9 months of 2020 November 5, 2020
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements and comments relating to the objectives and strategy of Groupe BPCE. By their very nature, these forward-looking statements inherently depend on assumptions, project considerations, objectives and expectations linked to future event
Slide 3: Diversified business model, financial strength and anchorage are key assets to weather the crisis
Groupe BPCE’s diversified business model, financial strength and anchorage in its territories are key assets to weather the ongoing crisis Capital Strong capital position: CET1 ratio: 15.9%(1), +50 bps QoQ; +510bps over MDA, not using Additional Tier 1 Ratings Financial strength confirmed by 4 ratin
Slide 4: Results of Groupe BPCE
1 Results of Groupe BPCE 2 Capital and liquidity 3 Results of the business lines 4 Conclusion 4 RESULTS FOR 3RD QUARTER AND FIRST 9 MONTHS OF 2020
Slide 5: Q3-20 & 9M-20 results – Restated figures
Q3-20 & 9M-20 results – Restated figures Solid revenues in a challenging environment Restated figures Q3-20 Q3-19 % Change 9M-20 9M-19 % Change €m Net banking income 5,511 5,757 (4.3)% 16,237 17,470 (7.1)% Operating expenses (3,905) (4,011) (2.6)% (12,288) (12,624) (2.7)% o/w expenses excluding SRF
Slide 6: Q3-20 & 9M-20 results – Exceptional items
Q3-20 & 9M-20 results – Exceptional items Mostly driven by transformation and reorganization costs €m Q3-20 Q3-19 9M-20 9M-19 Revaluation of assets associated with DSN Net banking income Corporate center 3 14 3 15 denominated in foreign currencies Contribution to the insurance guarantee fund Net ban
Slide 7: Q3-20 & 9M-20 results – Underlying figures
Q3-20 & 9M-20 results – Underlying figures Strong performance in RB&I and profitability improvement in market-related activities; continued strict cost control and pursued prudent provisioning Underlying figures Q3-20 Q3-19 % Change 9M-20 9M-19 % Change €m Net banking income 5,503 5,743 (4.2)% 16,24
Slide 8: Q3-20 & 9M-20 results – Operating expenses
Q3-20 & 9M-20 results – Operating expenses Adapting cost base, investing in business development and dynamic cost management at Natixis level OPERATING EXPENSES(1) in €m % Change Retail Banking Q3-20/Q3-19 9M-20/9M-19 ʘ Efficiency improvement in a client relationships’ best standard approach 2,147 B
Slide 9: Q3-20 & 9M-20 results – Cost of risk/Asset quality
Q3-20 & 9M-20 results – Cost of risk/Asset quality Cost of risk reflecting pursued prudent forward-looking provisioning COST OF RISK(1) 45 (in bps) 30 23 21 8 23 8 13 Cost of risk NPL ratio RB&I 19 16 18 20 13 22 15 18 17 €2,069m 2.7% 163 x2.2 vs. 9M-19 stable vs. Dec.19 123 136 45 13 20 110 117 121
Slide 10: Digital & Data
Digital & Data Expansion of the Digital Inside strategy: accelerating on Innovation, AI and Digital Q3-20 key figures Electronic signature for State-guaranteed loans +5% 5.9 million vs. June 4,4/5 stable More than 80,000 State-guaranteed loans signed online 2020 at end-September 2020, vs. 64,000 at
Slide 11: Capital and liquidity
1 Results of Groupe BPCE 2 Capital and liquidity 3 Results of the business lines 4 Conclusion 11 RESULTS FOR 3RD QUARTER AND FIRST 9 MONTHS OF 2020
Slide 12: Capital and Loss-absorbing Capacity
Capital and Loss-absorbing Capacity In the top tier among European G-SIBs and well above the requirements CHANGE IN THE CET1 RATIO (in bps) +6bps +17bps 15.9%(1) +26bps 15.4% +12bps (6)bps Requirements Actual levels Sept. 30, 2020 as of Sept. 30, 2020(1,3) 15.9%(2) CET1 ratio 9.32%(2) 15.9% (ECB) CE
Slide 13: Liquidity
Liquidity 2020 MLT wholesale funding plan completed; high liquidity levels maintained 2020 MLT wholesale funding plan(1) ʘ €17bn to €18bn(2) with a slightly revised breakdown Structure of MLT wholesale funding • €4bn of senior non-preferred debt raised YTD(3,4) • €5bn of senior preferred debt • €8bn
Slide 14: Results of the business lines
1 Results of Groupe BPCE 2 Capital and liquidity 3 Results of the business lines 4 Conclusion 14 RESULTS FOR 3RD QUARTER AND FIRST 9 MONTHS OF 2020
Slide 15: Retail Banking & Insurance
Retail Banking & Insurance Large positive jaws effect in Q3-20 driven by strong revenues and very tight cost control; pursued prudent forward-looking provisioning Loan outstandings: €624bn, +11.1% YoY On-balance sheet deposits & savings(2): o/w residential mortgages +7.6% YoY €523bn, +15.3% YoY o/w
Slide 16: Retail Banking & Insurance – Banques Populaires
Retail Banking & Insurance – Banques Populaires Strong increase in revenues in Q3-20 leading to income before tax +12.1% LOAN OUTSTANDINGS in €bn YOY CHANGE IN WEEKLY AVG. PRODUCTION(1) DEPOSITS & SAVINGS in €bn 23% 18% +11.8% 323 +14.4% Residential mortgages 5% in €m 288 252 17% 75 Consumer loans O
Slide 17: Retail Banking & Insurance – Caisses d'Epargne
Retail Banking & Insurance – Caisses d’Epargne Gross operating income +2.6% in Q3-20 driven by tight cost control LOAN OUTSTANDINGS in €bn YOY CHANGE IN WEEKLY AVG. PRODUCTION(1) DEPOSITS & SAVINGS in €bn 36% +8.5% 474 +8.7% 437 Residential mortgages 310 (6)% (4)% in €m 135 Consumer loans Off-balanc
Slide 18: Retail Banking & Insurance – Financial Solutions & Expertise
Retail Banking & Insurance – Financial Solutions & Expertise Continued buoyant activity after the lockdown and strong cost control leading to a large positive jaws effect in Q3-20 and 9M-20 Breakdown of revenues per business line in 9M-20 Business activities ʘ Consumer credit: confirmation of good p
Slide 19: Retail Banking & Insurance - Insurance
Retail Banking & Insurance - Insurance Scope: Insurance division of Natixis Continued strong growth trajectory Life(1) and Personal protection insurance Premiums(1) In €bn Life insurance AuMs(1) ʘ Total AuMs at €70.7bn at end-Sept. 2020 €5.9bn of gross inflows in 9M-20, share of unit-linked products
Slide 20: Retail Banking & Insurance – Payments / Oney Bank
Retail Banking & Insurance – Payments / Oney Bank PAYMENTS Net up +14% YoY in Q3-20 and also up YoY in 9M-20, positively impacted by a rise in consumption during the summer months as well as a catch-up effect post Scope: Payments division of Natixis lockdown: ʘ Payment Processing & Services: number
Slide 21: Asset & Wealth Management
Asset & Wealth Management Strong AuM resilience with supportive flow dynamics in the US AM net inflows(1) : approx. €2bn in Q3-20 Assets under management(1) (in €bn) ʘ North American affiliates: continued good momentum (~€2bn net Controlled affiliates inflows) essentially across fixed income and gro
Slide 22: Corporate & Investment Banking
Corporate & Investment Banking Normalization underway with net revenues improving QoQ Equity Derivatives repositioning under a lower risk appetite Net revenues(1) (in €m) 901 ʘ Exit from most complex products and tightened exposure limits on 794 741 low/medium risk products 145 530 73 104 669 ʘ Focu
Slide 23: Conclusion
1 Results of Groupe BPCE 2 Capital and liquidity 3 Results of the business lines 4 Conclusion 23 RESULTS FOR 3RD QUARTER AND FIRST 9 MONTHS OF 2020
Slide 24: Groupe BPCE's commitments to society
Groupe BPCE's commitments to society Acting in a responsible and sustainable manner for society at large Social and environmental responsibility at the heart of our activities Officially recognized commitments as bankers and insurers Supporting our small business and corporate customers MSCI ESG Res
Slide 25: Conclusion
Conclusion Groupe BPCE’s diversified business model, financial strength and anchorage in its territories are key assets to weather the ongoing crisis Strong capital (best in class in Europe) and funding positions Remarkable quarter for Retail Banking & Insurance Recovery in net revenues and GOI in Q
Slide 26: Annexes
Annexes 26 RESULTS FOR 3RD QUARTER AND FIRST 9 MONTHS OF 2020
Slide 27: Content
Annexes Content Consolidated results of Groupe BPCE Retail Banking & Insurance ʘ Note on methodology ʘ Income statement and quarterly series ʘ Reconciliation of restated data to reported data ʘ Banque Populaire and Caisse d’Epargne – quarterly series ʘ Income statement: reconciliation of alternative
Slide 28: Note on methodology (1/4)
Annexes Note on methodology (1/4) Presentation of restated quarterly results Restatement of the impact of IFRIC 21 Following the project announced on February 25, 2020 for the sale of a The results, cost/income ratios and ROE, after being restated 29.5% stake in Coface and for financial communicatio
Slide 29: Note on methodology (2/4)
Annexes Note on methodology (2/4) Operating expenses Digital indicators The operating expenses correspond to the aggregate total of the “Operating Expenses” (as presented in the Group’s registration The number of state-guaranteed loans (SGLs) is the number of SGLs document, note 4.7 appended to the
Slide 30: Note on methodology (3/4)
Annexes Note on methodology (3/4) The change of the number of active Secur'pass customers is the number Total loss-absorbing capacity of active Secur'pass customers at the end of September 2020 compared The amount of liabilities eligible for inclusion in the numerator with the number of active Secur
Slide 31: Note on methodology (4/4)
Annexes Note on methodology (4/4) Eligible amounts differ slightly from the amounts adopted for the Customer deposits are subject to the following adjustments: numerator of the capital adequacy ratios; these eligible amounts are ʘ Addition of security issues placed by the Banque Populaire and determ
Slide 32: Reconciliation of restated data to reported data (1/2)
Annexes Reconciliation of restated data to reported data (1/2) GROUPE GROUPE BPCE BPCE In millions of euros Q3-20 Coface Q3-20 Q3-19 Coface Q3-19 reported restated reported restated Net banking income 5,511 5,511 5,935 (178) 5,757 Operating expenses (3,905) (3,905) (4,136) 126 (4,011) Gross operatin
Slide 33: Reconciliation of restated data to reported data (2/2)
Annexes Reconciliation of restated data to reported data (2/2) GROUPE GROUPE BPCE BPCE In millions of euros 9M-20 Coface 9M-20 9M-19 Coface 9M-19 reported restated reported restated Net banking income 16,237 16,237 18,004 (534) 17,470 Operating expenses (12,288) (12,288) (13,002) 378 (12,624) Gross
Slide 34: Q3-20 results: reconciliation of alternative performance measures
Annexes Q3-20 results: reconciliation of alternative performance measures to restated data Net Operating Cost of Gains or Income Net Coface net Net banking expenses risk losses before tax income income income income on other - Group - Group assets share share excluding including Coface Coface In mil
Slide 35: Q3-19 results: reconciliation of alternative performance measures
Annexes Q3-19 results: reconciliation of alternative performance measures to restated data Net Operating Gains or Income Net income Coface net Net income banking expenses losses before tax - Group income - Group income on other share share assets excluding including In millions of euros Coface Cofac
Slide 36: 9M-20 results: reconciliation of alternative performance measures
Annexes 9M-20 results: reconciliation of alternative performance measures to restated data Net Operating Cost of Share in Gains or Income Net Coface net Net banking expenses risk net income losses before tax income income income income of on other - Group - Group associates assets share share exclud
Slide 37: 9M-19 results: reconciliation of alternative performance measures
Annexes 9M-19 results: reconciliation of alternative performance measures to restated data Net Operating Cost of Share in Gains or Goodwill Income Net income Coface net Net income banking expenses risk income of losses before tax - Group income - Group income equity- on other share share accounted a
Slide 38: Exceptional items and IFRIC 21 effects per business line (1/2)
Annexes Exceptional items and IFRIC 21 effects per business line (1/2) Q3-20 RETAIL BANKING AWM CIB CORPORATE GROUPE BPCE In millions of euros & INSURANCE CENTER Impact of exceptional items (29) (37) (2) (38) (107) (excl. Coface) Impact of IFRIC 21 31 1 9 107 149 Total impact on Income before tax 2
Slide 39: Exceptional items and IFRIC 21 effects per business line (2/2)
Annexes Exceptional items and IFRIC 21 effects per business line (2/2) 9M-20 RETAIL BANKING AWM CIB CORPORATE GROUPE BPCE In millions of euros & INSURANCE CENTER Impact of exceptional items (122) (44) (2) (252) (420) (excl. Coface) Impact of IFRIC 21 (31) (1) (9) (107) (149) Total impact on Income b
Slide 40: Groupe BPCE: restated quarterly income statement per business line
Annexes Groupe BPCE: restated quarterly income statement per business line CORPORATE RETAIL BANKING ASSET & WEALTH CORPORATE GROUPE & INVESTMENT & INSURANCE MANAGEMENT CENTER BPCE BANKING Restated figures Q3-20 Q3-19 Q3-20 Q3-19 Q3-20 Q3-19 Q3-20 Q3-19 Q3-20 Q3-19 % In millions of euros Net banking
Slide 41: Groupe BPCE: restated income statement per business line
Annexes Groupe BPCE: restated income statement per business line CORPORATE RETAIL BANKING ASSET & WEALTH CORPORATE GROUPE & INVESTMENT & INSURANCE MANAGEMENT CENTER BPCE BANKING Restated figures 9M-20 9M-19 9M-20 9M-19 9M-20 9M-19 9M-20 9M-19 9M-20 9M-19 % In millions of euros Net banking income 12,
Slide 42: Groupe BPCE: restated quarterly series
Annexes Groupe BPCE: restated quarterly series GROUPE BPCE Restated figures Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 5,778 5,935 5,757 6,123 5,543 5,183 5,511 Operating expenses (4,563) (4,051) (4,011) (4,441) (4,546) (3,837) (3,905) Gross operating income 1,
Slide 43: Consolidated balance sheet
Annexes Consolidated balance sheet ASSETS LIABILITIES Sept. 30, 2020 Dec. 31, 2019 Sept. 30, 2020 Dec. 31, 2019 (in millions of euros) (in millions of euros) Cash and amounts due from central banks 167,237 80,244 Amounts due to central banks 47 Financial assets at fair value through profit or loss 1
Slide 44: Statement of changes in shareholders' equity
Annexes Statement of changes in shareholders' equity Equity attributable to equity In millions of euros holders of the parent December 31, 2019 69,909 Distributions (337) Capital increase (cooperative shares) 841 Impact of acquisitions and disposals on non-controlling interests (minority interests)
Slide 45: Financial structure: changes in regulatory capital and fully-loaded ratios
Annexes Financial structure: changes in regulatory capital and fully-loaded ratios Reconciliation of shareholders’ equity to total capital Regulatory capital(1) (in €bn) 79.3 79.0 In billions of euros Sept. 30, 2020 Dec.31, 2019(1) 13.3 11.6 Equity attribuable to equity holders of the parent 71.1 69
Slide 46: Financial structure: MDA
Annexes Financial structure: MDA Already significant buffer over MDA increased by 93 bps since end 2019 Of which, cancellation or reduction of CCyBs (notably France and UK): 22bps benefit Of which, application of article 104a of CRD5: 44bps benefit on previous 1.75% P2R 15.9% 15.6% 510 bps Buffer ov
Slide 47: Financial structure: prudential ratios and credit ratings
Annexes Financial structure: prudential ratios and credit ratings Long-term SENIOR PREFERRED credit ratings Sept. 30, 2020(1) Dec. 31, 2019 Dec. 31, 2018(2) (November 5, 2020) Total risk-weighed assets €424bn €422bn €392bn A+ negative outlook Common Equity Tier-1 capital €67.4bn €66.0bn €62.2bn Tier
Slide 48: TLAC / MREL ratio
Annexes TLAC / MREL ratio TLAC(1) RATIO (as a % of risk-weighted assets) MREL(1) RATIO (as a % of risk-weighted assets) 30.8% 25.4% 7.0% 23.8% 4.8% 19.5% 4.8% Eligible Senior preferred debt 3.1% Senior non-preferred 3.1% Senior non-preferred Tier 2 Tier 2 Additional Tier 1 Additional Tier 1 CET1 CET
Slide 49: Risk-Weighed Assets
Annexes Risk-Weighed Assets BREAKDOWN PER BUSINESS LINE (in €bn) BREAKDOWN PER TYPE OF RISK(1) (in €bn) 422 424 422 424 15% 13% Other 9% 9% 3% 4% 15% 16% 3% 3% Corporate & Operational Risk Investment Banking Market Risk 88% 87% 67% 68% Asset & Wealth Credit Risk Management Retail Banking & Insurance
Slide 50: Leverage ratio
Annexes Leverage ratio(1) In billions of euros 09/30/2020 12/31/2019 Tier-1 capital 67.4 66.0 Balance sheet total 1,455.2 1,338.1 Prudential restatements (116.4) (112.9) Prudential balance sheet total(1) 1,338.8 1,225.2 Adjustments related to exposure to derivates (3) (48.0) (38.0) Adjustments relat
Slide 51: Financial conglomerate
Annexes Financial conglomerate FINANCIAL CONGLOMERATE RATIO CRR/CRD IV(2) viewpoint Restatements Financial conglomerate viewpoint +0.5 Banking CR (1) (CRR/CRD IV) Regulatory capital + Total capital (in €bn) 79.0 79.026 79.555 79.555 79.6 Insurance CR(1) (Solvency 2) RESTATEMENTS APPLIED - 1 2 3 62.8
Slide 52: Liquidity reserves and short-term funding
Annexes Liquidity reserves and short-term funding TOTAL LIQUIDITY RESERVES OF GROUPE BPCE(1) SHORT-TERM FUNDING AND MLT DEBT MATURING (in €bn) IN THE SHORT TERM (in €bn) Coverage ratio of short-term funding + MLT debt maturing in the short-term by liquidity reserves(2) 331 255% 165% 155% 245 231 158
Slide 53: Retail Banking & Insurance: quarterly income statement
Annexes Retail Banking & Insurance: quarterly income statement BANQUE CAISSE FINANCIAL SOLUTIONS OTHER RETAIL BANKING POPULAIRE D'EPARGNE INSURANCE PAYMENTS & EXPERTISE NETWORKS & INSURANCE NETWORK NETWORK Q3-20 Q3-19 % Q3-20 Q3-19 % Q3-20 Q3-19 % Q3-20 Q3-19 % Q3-20 Q3-19 % Q3-20 Q3-19 % Q3-20 Q3-1
Slide 54: Retail Banking & Insurance: income statement
Annexes Retail Banking & Insurance: income statement BANQUE CAISSE FINANCIAL SOLUTIONS OTHER RETAIL BANKING POPULAIRE D'EPARGNE INSURANCE PAYMENTS & EXPERTISE NETWORKS & INSURANCE NETWORK NETWORK 9M-20 9M-19 % 9M-20 9M-19 % 9M-20 9M-19 % 9M-20 9M-19 % 9M-20 9M-19 % 9M-20 9M-19 % 9M-20 9M-19 % In mil
Slide 55: Retail Banking & Insurance: quarterly series
Annexes Retail Banking & Insurance: quarterly series RETAIL BANKING & INSURANCE In millions of euros Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 Net banking income 4,070 4,099 3,972 4,176 4,140 4,074 4,162 Operating expenses (2,694) (2,690) (2,596) (2,863) (2,803) (2,585) (2,629) Gross operating incom
Slide 56: Banque Populaire and Caisse d'Epargne networks quarterly series
Annexes Retail Banking & Insurance: Banque Populaire and Caisse d’Epargne networks quarterly series BANQUE POPULAIRE NETWORK In millions of euros Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 Net banking income 1,618 1,626 1,568 1,622 1,602 1,513 1,618 Operating expenses (1,086) (1,099) (1,065) (1,106)
Slide 57: Retail Banking & Insurance
Annexes Retail Banking & Insurance DEPOSITS & SAVINGS (in €bn) LOAN OUTSTANDINGS (in €bn) 812.7 Change YoY Change YoY 742.0 +9.5% +11.1% 241.8 623.6 188.0 561.3 +28.6% Sight deposits 330.0 186.7 200.4 +7.3% Passbook savings accounts 306.8 +2.5% Regulated home savings plans 79.9 81.9 +2.2% Term accou
Slide 58: Retail Banking & Insurance: Banque Populaire network
Annexes Retail Banking & Insurance: Banque Populaire network DEPOSITS & SAVINGS (in €bn) LOAN OUTSTANDINGS (in €bn) Change YoY Change YoY +11.8% +14.4% 322.6 288.5 252.5 220.8 121.3 95.7 +26.7% Sight deposits 137.7 +10.4% Passbook savings accounts 127.8 55.8 61.6 +2.7% Regulated home savings plans (
Slide 59: Retail Banking & Insurance: Caisse d'Epargne network
Annexes Retail Banking & Insurance: Caisse d’Epargne network DEPOSITS & SAVINGS (in €bn) LOAN OUTSTANDINGS (in €bn) Change YoY Change YoY 473.5 +8.5% +8.7% 436.5 111.7 84.6 310.5 285.6 +32.1% Sight deposits 137.9 +6.0% Passbook savings accounts 130.0 +2.3% Regulated home savings plans 187.6 175.3 +1
Slide 60: Retail Banking & Insurance: FSE quarterly series
Annexes Retail Banking & Insurance: FSE quarterly series FINANCIAL SOLUTIONS & EXPERTISE Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 272 279 268 298 290 263 286 Operating expenses (155) (152) (155) (172) (160) (142) (151) Gross operating income 117 127 113 126 1
Slide 61: Retail Banking & Insurance: Insurance quarterly series
Annexes Retail Banking & Insurance: Insurance quarterly series INSURANCE Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 218 207 205 216 221 228 220 Operating expenses (125) (116) (112) (125) (134) (117) (117) Gross operating income 93 92 93 90 87 112 103 Cost/incom
Slide 62: Retail Banking & Insurance: Payments quarterly series
Annexes Retail Banking & Insurance: Payments quarterly series PAYMENTS Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 103 105 103 111 113 86 117 Operating expenses (88) (94) (93) (96) (94) (96) (98) Gross operating income 16 11 10 15 18 (10) 19 Cost/income ratio 84
Slide 63: Retail Banking & Insurance: Other networks quarterly series
Annexes Retail Banking & Insurance: Other networks quarterly series OTHER NETWORKS Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 81 81 84 203 199 191 185 Operating expenses (58) (64) (60) (147) (143) (124) (128) Gross operating income 24 17 25 56 56 67 57 Cost/inc
Slide 64: Asset & Wealth Management: quarterly series
Annexes Asset & Wealth Management: quarterly series ASSET & WEALTH MANAGEMENT Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 773 932 945 1,109 774 704 744 Operating expenses (558) (605) (648) (681) (579) (537) (575) Gross operating income 216 327 297 428 195 167 16
Slide 65: Corporate & Investment Banking: quarterly series
Annexes Corporate & Investment Banking: quarterly series CORPORATE & INVESTMENT BANKING Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 807 847 784 899 688 519 703 Operating expenses (582) (523) (527) (602) (557) (477) (510) Gross operating income 225 324 256 297 13
Slide 66: Corporate center: restated quarterly series
Annexes Corporate center: restated quarterly series CORPORATE CENTER Restated figures Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 In millions of euros Net banking income 127 57 56 (61) (58) (115) (98) Operating expenses (729) (232) (239) (295) (606) (238) (191) Gross operating income (601) (175) (183)
Slide 67: Non-performing loans and impairments
Annexes Non-performing loans and impairments In billions of euros Sept. 30, 2020 Dec.31, 2019 Dec. 31, 2018 Gross outstanding loans to customers and credit institutions 845.5 795.8 763.1 O/w S3 outstandings 22.9 21.6 21.5 Non-performing/gross outstanding loans 2.7% 2.7% 2.8% S3 impairments recognize
Slide 68: Cost of risk by business lines
Annexes Cost of risk by business lines COST OF RISK(1) (in bps) 49 20 27 18 22 9 22 7 BP network 17 15 19 11 11 37 16 21 21 7 9 CE network 17 13 16 12 9 16 12 45 21 23 23 8 8 19 16 18 20 22 15 RB&I 13 163 123 46 13 110 117 121 73 CIB 19 63 37 55 23 32 29 8 6 22 32 26 17 19 19 21 Groupe BPCE Q1-19 Q2
Slide 69: Asset quality: limited exposures to sensitive sectors
Annexes Asset quality: limited exposures to sensitive sectors Diversified portfolio Exposure to sectors considered to be sensitive Breakdown of Group gross exposure per Corporate and small business Group exposures(2) counterparty at September 30, 2020(1) % % Gross % of total Corporate customers 4% e
Slide 70: Breakdown of gross exposure at September 30, 2020
Annexes Breakdown of gross exposure at September 30, 2020(1) BREAKDOWN PER GEOGRAPHICAL REGION Financial institutions/local governments Central administrations/ Corporate customers Central banks and other sovereign exposures 4% 1% 3% 1% 9% 5% 3% 7% 7% 9% 14% 26% 13% 74% 54% 70% France Centralization
Slide 71: groupebpce.com
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