Intercorp Financial Services Inc. · NYSE:IFS
Intercorp Financial Services — Q2 2014 Earnings Presentation
19 slides from Intercorp Financial Services's earnings presentation, 2014
Slide 1: Second Quarter 2014 Earnings Presentation
Second Quarter 2014 Earnings Presentation
Slide 2: Intercorp Financial Services
Intercorp Financial Services 2
Slide 3: Highlights
Highlights Intercorp Financial Services: • IFS net earnings were S/. 197.0 million in 2Q14, a 28.7% increase QoQ and 17.5% YoY • Excluding non-recurring items, IFS net earnings increased 5.5% QoQ and 26.6% YoY • The QoQ increase was driven by growths of 25.6% in fee income and 47.6% in results from
Slide 4: IFS 2Q14 net earnings increased 28.7% QoQ and 17.5% YoY
IFS 2Q14 net earnings increased 28.7% QoQ and 17.5% YoY IFS Interbank Interseguro Net income* Net income Net income S/. million ROE S/. million ROE S/. million ROE 29.3% 26.2% 25.0% 24.9% 23.2% 68.7% 20.1% 197.0 15.7% 9.4% 167.6 35.6 169.3 163.5 153.0 162.0 40.2 35.6 161.4 127.4 59.0 133.7 35.6 17.1
Slide 5: IFS net earnings were S/. 197.0 million in 2Q14
IFS net earnings were S/. 197.0 million in 2Q14 Intercorp Financial Services' Statement of Comprehensive Income S/. million %chg %chg 2Q13 1Q14 2Q14 QoQ YoY Financial income 611.8 711.4 730.2 2.6% 19.4% Financial expenses -144.0 -166.3 -181.3 9.0% 25.9% Gross financial margin 467.8 545.1 548.9 0.7%
Slide 6: Interbank
(J Intercorp Financial Services
Slide 7: Interbank's net income was S/. 163.5 million in 2Q14
Interbank’s net income was S/. 163.5 million in 2Q14 Interbank's Statement of Comprehensive Income S/. million % chg % chg 2Q13 1Q14 2Q14 QoQ YoY Financial income 572.1 666.7 683.0 2.5% 19.4% Financial expenses -143.9 -165.3 -179.4 8.5% 24.7% Gross financial margin 428.2 501.4 503.6 0.4% 17.6% Provi
Slide 8: Loan growth remained strong at 4.1% QoQ and 23.2% YoY
Loan growth remained strong at 4.1% QoQ and 23.2% YoY Performing loans Breakdown of loans S/. million % chg % chg S/. million 2Q13 1Q14 2Q14 QoQ YoY Consumer loans: Credit cards 2,103 2,637 2,838 7.6% 34.9% +23.2% Other consumer 2,922 3,198 3,339 4.4% 14.3% 20,726 Total consumer loans 5,026 5,836 6,
Slide 9: Interbank's deposits decreased 4.5% QoQ, but grew 14.7% YoY
Interbank’s deposits decreased 4.5% QoQ, but grew 14.7% YoY Funding Structure Deposit Breakdown S/. million % chg % chg 2Q13 1Q14 2Q14 QoQ YoY +14.7% Deposits 17,644 21,178 20,229 -4.5% 14.7% 21,178 Due to banks 3,398 2,767 2,642 -4.5% -22.2% 20,266 20,229 Bonds 2,961 3,950 3,964 0.4% 33.9% 19,026 1
Slide 10: Gross financial margin increased 0.4% QoQ and 17.6% YoY
Gross financial margin increased 0.4% QoQ and 17.6% YoY Interbank's Gross Financial Margin S/. million % chg % chg 2Q13 1Q14 2Q14 QoQ YoY Financial income: Interest on loans 482.5 570.7 591.4 3.6% 22.6% Fees on loans 63.2 74.0 72.2 -2.4% 14.3% Investment income 11.8 18.1 16.5 -8.9% 40.1% Interest on
Slide 11: NIM remains above the industry's average
NIM remains above the industry’s average Net Interest Margin (%) * 8.2% 7.7% 7.6% 7.2% 6.9% 7.0% 7.0% 6.9% 6.8% 6.3% 6.4% 6.3% (1) 6.2% 6.2% 6.1% 6.0% 5.9% 6.0% 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 Interbank Industry * Gross financial margin / Average interest-earning assets. The gross finan
Slide 12: Provisions increased 31.2% QoQ despite the PDL ratio remained stable at 1.9%
Provisions increased 31.2% QoQ despite the PDL ratio remained stable at 1.9% PDL & Coverage Ratios Loan Provision Expense PDLs Reserves S/. million Provision expense* Average Loans PDLs Average Loans 225.9% 228.1% 226.5% 2.4% 211.8% 210.3% 2.50% 2.1% 140 200.00% 2.0% 2.0% 2.00% 1.9% 2.00% 120 150.00
Slide 13: Fee income and ROF increased 8.4%, while operating expenses increased 3.8% QoQ
Fee income and results from financial operations (ROF) increased 8.4%, while operating expenses increased 3.8% QoQ Fee income & ROF Operating expenses S/. million S/. million 29.0% 23.5% 22.2% 52.1% 20.9% 22.2% 400 50.0% 47.9% 46.4% 47.2% 175.2 350 322.4 301.3 305.3 289.2 294.2 141.9 143.4 300 137.7
Slide 14: Interbank's BIS ratio remained well above regulatory requirements
Interbank’s BIS ratio remained well above regulatory requirements Tier II Tier I 16.8% 15.8% 14.4% 6.2% 13.7% 13.3% 13.4% 5.8% 4.7% 11.5% 3.2% 3.7% +1.5% Additional Regulatory Capital 3.0% Requirement +1.1% 2.9% 9.8% 10.0% Total Regulatory Minimum 9.5% 10.5% 10.3% 10.6% 10.0% 9.7% 9.7% 8.6% 2009 201
Slide 15: Interseguro
Interseguro (J Intercorp Financial Services 15
Slide 16: Interseguro's net income was S/. 59.0 million in 2Q14
Interseguro’s net income was S/. 59.0 million in 2Q14 Profit and Loss Statement Summary S/. million % chg % chg 2Q13 1Q14 2Q14 QoQ YoY Premiums 136.8 166.8 177.8 6.6% 29.9% Premiums ceded -1.4 -1.5 -0.7 -51.0% -48.4% Fees -11.7 -11.9 -13.2 11.6% 13.1% Claims -42.6 -50.9 -47.2 -7.4% 10.8% Change in r
Slide 17: Premiums grew 6.6% QoQ and 29.9% YoY mainly supported by higher sales in annuities
Premiums grew 6.6% QoQ and 29.9% YoY mainly supported by higher sales in annuities and non life business Premiums by Business Line S/. million % chg % chg 2Q13 1Q14 2Q14 QoQ YoY Individual Life 6.7 7.7 7.7 1.1% 16.0% Annuities 93.6 117.6 127.0 8.0% 35.6% Group Life 24.5 23.0 22.5 -2.4% -8.4% Disabil
Slide 18: Investment income increased mainly due to extraordinary gains from real estate investments in 2Q14
Investment income increased mainly due to extraordinary gains from real estate investments in 2Q14 Investment Income, Net S/. million % chg % chg 2Q13 1Q14 2Q14 QoQ YoY Income: Fixed Income 56.2 43.6 55.1 26.3% -2.0% Interest 37.2 42.7 45.9 7.5% 23.3% Realized Gains 19.0 0.9 9.2 n.m. -51.5% Equity a
Slide 19: Cj _. Financial Services
Cj _. Financial Services
Intercorp Financial Services — Q2 2014 Earnings Presentation on 6ix