Slide 1: Fineco: FY15 Results
Fineco: FY15 Results Alessandro Foti, CEO and General Manager Milan – February 8th 2016
Slide 2: Disclaimer
Disclaimer This Presentation may contain written and oral “forward-looking statements”, which includes all statements that do not relate solely to historical or current facts and which are therefore inherently uncertain. All forward-looking statements rely on a number of assumptions, expectations,
Slide 3: Executive Summary
Executive Summary FY15 net profit at 191.1mln (+27.4% y/y), the best result ever achieved despite new systemic charges and non recurring items related to solidarity fund(1) and integration costs. Annualized RoE at 43% FY15 revenues grow double digit (544mln, +20.6% y/y) thanks to an effective an
Slide 4: Agenda
Agenda Fineco Results Focus on products 4
Slide 5: Results
Results Record high FY15 Net profit adjusted (1) at 193mln, +28% y/y despite new ordinary systemic charges. Booming revenues and C/I reduction Net Profit, mln Revenues, mln Net Profit +20.6% adjusted (1) +16.2% 544.3 +27.4% +28.2% 451.1 -2.1% 191.1 193.4 117.8 139.7 136.8 +3.9% 149.9 150.9 -23.4% 4Q
Slide 6: Revenues by P&L Items
Revenues by P&L Items Healthy revenue growth y/y sustained by accelerating commercial performance, in an environment characterized by complex market phases and negative interest rates Net interest, mln Fees and Commissions, mln +7.4% +26.8% +13.2% +18.2% -1.0% 228.2 245.2 +2.4% 248.2 195.7 55.9 63.9
Slide 7: Net interest
Net interest Relentless sight deposits growth (+23% y/y) and reduction in term deposits more than offset the subdued interest rate environment Sight Deposits (mln) and net margins (bps) Term Deposits (mln) and net margins (bps) +23.2% +3.2% -58.7% -15.1% 13,522 14,084 14,537 11,668 11,798 12,729 1,8
Slide 8: Net interest: focus on UniCredit bonds portfolio
Net interest: focus on UniCredit bonds portfolio Sustainable interest income even under a stress test scenario: 9% sight deposits growth needed by 2022 compared to 14.2% realized in the past (23% in 2015) Run-off UniCredit bonds portfolio (mln) and spread (bps) 2,226 1,806 1,926 1,726 1,726 1,576 45
Slide 9: Costs
Costs Development costs up to sustain the business growth (mainly PFAs and tobin tax). Only 3.3mln increase in running costs thanks to a strong operating leverage Staff expenses, mln and FTE, # Stock granting post IPO(1) (July 2nd 2014) 974 1013 1019 Staff expenses, related to top managers and key e
Slide 10: Capital Ratios
Capital Ratios Strong capital base and 25.5 cents dividend distribution (+27.5% y/y) RWA, mln CET1 Ratio transitional (1), % Credit Market Operational +2.3p.p. +1.0p.p. -1.2% 21.39% 19.08% 19.38% 20.79% 20.43% +1.3% 1,850 1,836 1,826 1,804 1,828 Dec.14 Mar.15 Jun.15 Sept.15 Dec.15 1,052 1,039 1,061
Slide 11: TFA
TFA TFA continue to grow thanks to a healthy expansion in net sales despite markets turmoil TFA evolution (Dec.10-Dec.15), bn Cumulated performance, bn 0.5 55.3 Net Sales +17.1 bn 5.5 Market Effect +3 bn 49.3 1.7 43.6 4.0 1.3 39.8 2.5 2.5 35.2 2.8 -3.0 35.0 2.3 TFA Net Market TFA Net Market TFA Net
Slide 12: TFA and Net sales - breakdown
TFA and Net sales - breakdown Record high net sales and strong acceleration in guided products penetration Breakdown of total net sales, bn Breakdown of total TFA, bn +37.3% +27.8% Guided products as % of AuM y/y +12.1% 5.5 +5.3% 55.3 53.7 53.8 52.5 4.0 49.3 2.7 49% 49% 47% 47% 48% 3.0 42% 45% 39% 4
Slide 13: Personal Financial Advisors (PFA) network – Total Net sales
Personal Financial Advisors (PFA) network – Total Net sales Confirmed healthy and organic expansion through a network of 2,622 PFAs PFA Network – total net sales, bn Net sales, bn - Organic/New Recruit of the year AuM AuC Deposits Net Sales (Organic) +20.3% +37.3% Net Sales (New Recruit) y/y 4.9 4.9
Slide 14: Fineco Results / Focus on products
Agenda Fineco Results Focus on products 14
Slide 15: Revenues by Product Area
Revenues by Product Area All product areas grew double digit year on year. Investing took the lion share in the growth Banking, mln 44% +11.0% +12.9% +0.6% 216.0 239.7 55.4 62.2 62.6 4Q14 3Q15 4Q15 2014 2015 Brokerage, mln 27% Investing, mln 29% Core revenues (NI excluded) +33.0% +31.5% 28.1% +28.2%
Slide 16: Banking
Banking Double digit growth in yearly revenues generation thanks to outstanding platform. Acceleration in clients' acquisition (+9.1% y/y) and direct deposits up by 14% Revenues, mln Direct deposits eop (mln) Net interest Net trading +11.0% Sight Deposits Term Deposits Net fees Other 239.7 +13.6% 21
Slide 17: Brokerage
Brokerage Countercyclical nature of brokerage activity bringing to excellent yearly results. Almost 28 mln of executed orders in 2015 at all time high Revenues, mln Volatility Index - Ftse Mib 30 Net interest Net fees Net trading 25 Core revenues (NI excluded) 20 +28.1% +31.5% 15 VltyCC 10 149.7 5 2
Slide 18: Investing
Investing Sustainable growth on recurring fees thanks to a strong positioning and an effective strategy based on high quality guided products and services Revenues, mln AuM eop (bn) +11.2% Net fees +5.9% +33.0% 26.1 26.2 24.8 26.3 23.6 156.5 117.7 Dec.14 Mar.15 Jun.15 Sep.15 Dec.15 Guided products o
Slide 19: Annex
Annex THE NEW BANK 19
Slide 20: P&L
P&L mln 1Q14 2Q14 3Q14 4Q14 FY14 1Q15 2Q15 3Q15 4Q15 FY15 Net interest income 58.3 57.6 56.4 55.9 228.2 57.6 60.5 63.9 63.2 245.2 Net commissions 47.7 49.3 45.8 52.9 195.7 61.7 62.9 61.0 62.5 248.2 Trading profit 7.1 5.8 6.5 10.3 29.7 17.1 11.0 13.2 12.6 53.9 Other expenses/income 0.0 0.0 -1.3 -1.3
Slide 21: Details on Net Interest Income
Details on Net Interest Income Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & mln 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 FY14 FY15 Margins Margins Margins Margins Margins Margins Margins Margins Margins Margins Sight Deposits 51.8 10,950 52.1 11,
Slide 22: UniCredit bonds underwritten
UniCredit bonds underwritten ISIN Currency Amount (€ m) Maturity Indexation Spread 1 IT0004307861 Amortizing Euro 150.0 30-Sep-16 Euribor 1m 0.51% IT0004307861 Amortizing Euro 150.0 2-Oct-17 Euribor 1m 0.51% IT0004307861 Amortizing Euro 150.0 2-Jan-18 Euribor 1m 0.51% 2 IT0005010233 Euro 382.5 30-Ja
Slide 23: Details on Net Commissions
Details on Net Commissions mln 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 FY14 FY15 Brokerage 21.0 18.7 15.2 19.0 24.1 19.8 19.5 18.3 73.8 81.7 o/w Equity 18.1 15.0 11.8 15.5 19.9 17.3 16.4 15.1 60.4 68.7 Bond 2.2 2.8 1.6 1.7 2.5 1.2 1.1 1.3 8.3 6.0 Derivatives 2.3 1.9 2.4 2.7 2.5 2.3 2.6 2.4 9.2 9.8 (
Slide 24: Revenue breakdown by Product Area
Revenue breakdown by Product Area mln 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 FY14 FY15 Net interest income 52.1 52.1 51.3 52.2 52.8 54.8 58.0 58.1 207.7 223.7 Net commissions 0.6 1.3 1.1 2.2 1.5 2.8 3.2 3.3 5.1 10.9 Trading profit 0.8 0.7 0.8 1.1 1.9 1.3 1.1 1.2 3.4 5.4 Other -0.1 0.0 -0.1 -0.1 -0.
Slide 25: Breakdown TFA
Breakdown TFA mln March 14 June 14 Sept. 14 Dec. 14 March 15 June 15 Sept. 15 Dec. 15 AUM 20,281 21,563 22,563 23,636 26,121 26,169 24,825 26,277 o/w Funds and Sicav 18,413 19,579 20,414 21,177 23,313 23,221 21,949 23,100 o/w Insurance 1,854 1,968 2,134 2,444 2,793 2,933 2,862 3,163 o/w GPM 15 15 15
Slide 26: Balance Sheet
Balance Sheet mln March 14 June 14 Sept. 14 Dec. 14 March 15 June 15 Sept. 15 Dec. 15 Due from Banks 17,085 13,476 13,613 13,892 14,070 14,583 13,966 14,649 Customer Loans 669 696 700 696 797 836 885 923 Financial Assets 102 1,726 1,722 1,699 2,270 2,244 2,241 2,250 Tangible and Intangible Assets 10
Slide 27: Main Financial Ratios
Main Financial Ratios March 14 June 14 Sept. 14 Dec. 14 March 15 June 15 Sept. 15 Dec. 15 PFA TFA/ PFA (mln) 15.3 15.7 16.0 16.4 17.6 17.6 17.0 17.9 Guided Products / TFA 13% 14% 15% 17% 19% 20% 20% 21% Revenues per TFA (bps) 101.4 99.5 96.8 97.1 106.1 103.8 106.7 104.0 Adjusted Cost / income Ratio