Erste Group Bank Ag · VIE:EBS
Erste Group Bank — Q1 2008 Earnings Presentation
69 slides from Erste Group Bank's earnings presentation, Apr 30, 2008
Slide 1: Erste Group – Q1 08 results presentation
ERSTE GROUP Erste Group – Q1 08 results presentation 30 April 2008, London Strong operating performance driven by CEE growth Andreas Treichl, CEO Peter Kisbenedek, CFO Manfred Wimmer, CEO Banca Comerciala Romana
Slide 2: Disclaimer – Cautionary note regarding forward-looking statements
Disclaimer – Cautionary note regarding forward-looking statements ERSTE GROUP THE INFORMATION CONTAINED IN THIS DOCUMENT HAS NOT BEEN INDEPENDENTLY VERIFIED AND NO REPRESENTATION OR WARRANTY EXPRESSED OR IMPLIED IS MADE AS TO, AND NO RELIANCE SHOULD BE PLACED ON, THE FAIRNESS, ACCURACY, COMPLETENESS
Slide 3: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix NB: • As a result of the planned sale of the insurance business and of two other investments in Romania, the profit and loss statement (the pr
Slide 4: Q1 08 financial highlights – Executive summary
Q1 08 financial highlights – Executive summary ERSTE GROUP Record operating performance Operating result reaches EUR 766.2m, up 25% yoy Cost/income ratio improves to 55.7% Exceptional performance by key CEE subsidiaries Ceska sporitelna net profit increases by 19% supporting positive outlook for 200
Slide 5: Q1 08 financial highlights – Resilient operating performance
Q1 08 financial highlights – Resilient operating performance ERSTE GROUP Net profit up 4.5% yoy to EUR 315.6m Cash earnings per share * Despite negative impacts from financial markets 1.2 NIM on interest bearing assets (IBA) 1.00 1.04 1.0 increases to 2.8% 0.84 0.97 1.01 Supported by stable to widen
Slide 6: Q1 08 divisional highlights – Outstanding contribution from CEE subsidiaries
Q1 08 divisional highlights – Outstanding contribution from CEE subsidiaries ERSTE GROUP Austria Operating result per segment * Savings banks 29.3% increase due to 6 new in EUR million 1-3 08 1-3 07 Change members of cross guarantee system since Austria 292,0 292,4 (0,2%) FY 2007 Savings Banks 132,3
Slide 7: Q1 P&L highlights – Operating income increases quarter on quarter
Q1 08 P&L highlights – Operating income increases quarter on quarter ERSTE GROUP Operating income continues to improve qoq Net profit per quarter Driven by strong NII growth up 4.5% qoq despite EUR 62m impact from unwinding in Q4 07 400 -6.3% qoq Unwinding has EUR 14.4m positive effect in Q1 08 300
Slide 8: Q1 08 – Balance sheet highlights
Q1 08 – Balance sheet highlights Deposit growth outpaces loans in first 3 months ERSTE GROUP Balance sheet as at 31 March 2008 (in EUR billion) 104 Customer accounts Loans and adv. to customers (115.8) + 112 risk provisions (-3.4) Loans and adv. to credit institutions (23.8) 35 Amounts owed to credi
Slide 9: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Q1 08 results Analyst presentation & conference call 30 April 2008 9
Slide 10: Key topics: Romania – Rapidly approaching a balanced growth path
Key topics: Romania – Rapidly approaching a balanced growth path ERSTE GROUP Slowing trade and current account deficits Due to rapid export rises and slowdown in import growth (very high base in Q1 07 due to EU accession) CA deficit was below 2% of GDP in first 2 months of the year and is not expect
Slide 11: Key topics: Romania – Key economic indicators
Key topics: Romania – Key economic indicators ERSTE GROUP FDI vs trade and current account balance Unemployment vs inflation vs wage growth 15% 9.4% 6.5% 20% 17.0% 10% 5.8% 6.0% 4.6% 5% as of GDP 15% 11.5% 0% 8.6% 8.6% 8.6% 8.0% -5% -8.7% 10% 6.6% -10.4% 5.4% -10% -13.9% 4.9% 4.5% -15.0% -15.0% -15%
Slide 12: Key topics: Romania – BCR: strong loan growth, risk costs as forecast
Key topics: Romania – BCR: strong loan growth, risk costs as forecast ERSTE GROUP Loan growth started strongly in 2008 Market growth continued to accelerate in Q1 08, but is expected to slow down compared to previous year Growth rates slightly higher in retail (+ 6.9% ytd) than corporate (+ 6%) – dr
Slide 13: Key topics: Romania – BCR performs to expectations
Key topics: Romania – BCR performs to expectations ERSTE GROUP Quarterly net profit reached EUR 103.6m Net interest margin 82% increase based on local consolidated results Driven by strong NII and fee income 7% 6.4% Expenses grow in line with inflation 6% 5.2% 5.3% 5.3% 5.5% Net interest margin tren
Slide 14: Key topics: Romania – BCR: loan book trends
Key topics: Romania – BCR: loan book trends ERSTE GROUP Market loan growth Retail loan vs deposit structure by currency 180 162.7 80% 30 151.6 25.4 150 131.9 20.7 in RON billion 60% in RON billion 111.6 8.2 120 101.3 62% 61% 20 54% 55% 90 40% 10.4 46% 60 10 20% 17.2 30 10.3 0 0% 0 Mar 07 Jun 07 Sep
Slide 15: Key topics: ABS/CDO portfolio Q1 08 – Performance in line with expectations
Key topics: ABS/CDO portfolio Q1 08 – Performance in line with expectations ERSTE GROUP Total face value of ABS/CDO exposure ABS & CDO exposure development* (including redemptions and reinvestments) declines by EUR 306m - 4.9% - 2.9% 4,000 Due to redemptions and FX effects 3,361 - 11.4% 3,236 3,142
Slide 16: Key topics: ABS/CDO portfolio – Detailed portfolio analysis
Key topics: ABS/CDO portfolio Detailed portfolio analysis ERSTE GROUP Unchanged quality of portfolio and stable ABS/CDO portfolio by ratings (Mar 2008)* ratings in EUR m Face Value Market Value +/-% % of total (market value) AAA 923 867 (6.0%) 32.0% Investments mainly in amortising structures AA 620
Slide 17: Key topics: Funding – Funding costs remain contained in 2008
Key topics: Funding – Funding costs remain contained in 2008 ERSTE GROUP Long-term funding needs of EUR 5-6bn Investors by geography in 2008 4% 5% 10% EUR 2bn successfully issued ytd 2% CH 9% UK 7% Thereof about EUR 600m of covered bonds 2% Spain & Portugal Austria (Pfandbriefe) Scandinavia Germany
Slide 18: Key topics: Tangible equity – Analysis of changes in equity and intangible assets
Key topics: Tangible equity – Analysis of changes in equity and intangible assets ERSTE GROUP Intangibles composition (Q1 08) Currency volatility impacts shareholders’ (EUR 5,823 m) BCR equity but not tangible equity 467 Customer relationships 223 583 (amortised) Tangible equity increased by 7.5% fr
Slide 19: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Q1 08 results Analyst presentation & conference call 30 April 2008 19
Slide 20: Outlook – Erste confirms guidance and updates ROE target
Outlook – Erste confirms guidance and updates ROE target ERSTE GROUP Q1 2008 performance confirms confidence of achieving FY targets Excluding proceeds from sale of insurance business ROE target for 2009 adjusted after sale of insurance operations Strengthened capital position and higher outlook for
Slide 21: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Q1 08 results Analyst presentation & conference call 30 April 2008 21
Slide 22: Group income statement (IFRS) – CIR improves strongly below 56%
Group income statement (IFRS) – CIR improves strongly below 56% ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 1,151.1 903.7 27.4% Risk provisions for loans and advances (163.1) (128.4) 27.0% Net fee and commission income 491.9 438.9 12.1% Net trading result 82.3 124.8 (34.1%) G
Slide 23: Group balance sheet (IFRS) – Slower loan growth due to seasonal effects
Group balance sheet (IFRS)* – Slower loan growth due to seasonal effects ERSTE GROUP in EUR million Mar 08 Dec 07 Change Cash and balances with central banks 7,783 7,615 2.2% Loans and advances to credit institutions 15,938 14,937 6.7% Loans and advances to customers 115,828 113,956 1.6% Risk provis
Slide 24: Group balance sheet (IFRS) – Loan/deposit ratio at 111% as deposits grow
Group balance sheet (IFRS)* – Loan/deposit ratio at 111% as deposits grow ERSTE GROUP in EUR million Mar 08 Dec 07 Change Deposits by banks 35,073 35,165 (0.3%) Customer accounts 103,863 100,116 3.7% Debt securities in issue 28,681 31,078 (7.7%) Trading liabilities 2,720 1,756 54.9% Underwriting pro
Slide 25: Core segments – CEE contribution at 81% of net profit
Core segments* – CEE contribution at 81% of net profit ERSTE GROUP Austria CEE Int'l Business Corp. Center Total in EUR million 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 Net interest income 477,1 398,9 637,6 473,5 40,1 36,6 (3,6) (5,3) 1.151,1 903,7 Risk provisions (71,4)
Slide 26: Core segment – Austria
Core segment – Austria Strong Q1 07 Treasury result cannot be matched ERSTE GROUP Savings Banks Retail & Mortgage Large Corporates Treasury & IB Austria in EUR million 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 Net interest income 258,0 206,5 147,1 136,6 56,5 39,4 15,5 16,
Slide 27: Core segment Central and Eastern Europe (1) – CEE subsidiaries continue to perform strongly
Core segment Central and Eastern Europe (1) – CEE subsidiaries continue to perform strongly … ERSTE GROUP Czech Republic Romania Slovakia Hungary in EUR million 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 Net interest income 259,9 191,8 180,4 119,4 77,1 71,9 67,2 51,3 Risk provisions (22
Slide 28: Core segment Central and Eastern Europe (2) – net profit contribution increases by 36%
Core segment Central and Eastern Europe (2) – … net profit contribution increases by 36% ERSTE GROUP Croatia Serbia Ukraine CEE in EUR million 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 1-3 08 1-3 07 Net interest income 43.5 33.9 6.0 3.6 3.5 1.7 637.6 473.5 Risk provisions (4.4) (2.4) (2.1) (0.6) (2.
Slide 29: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Q1 08 results Analyst presentation & conference call 30 April 2008 29
Slide 30: Group asset quality – NPLs remain unchanged at comfortable levels
Group asset quality1 – NPLs remain unchanged at comfortable levels ERSTE GROUP Low risk Mgmt attention Substandard Non-performing Total exposure Risk provisions NPL coverage Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Austria 94,657 92,507 12,983
Slide 31: Overview of international exposures – Credit risk by regions
Overview of international exposures Credit risk by regions* ERSTE GROUP Low risk Mgmt attention Substandard Non-performing Total exposure in EUR million Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Share of total Share of total Core market 132,336 128,152 20,110 21,636 4,384
Slide 32: Overview of international exposures (cont) – Credit risk by industry sectors
Overview of international exposures (cont) Credit risk by industry sectors* ERSTE GROUP Low risk Mgmt attention Substandard Non-performing Total exposure in EUR million Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Mar 08 Dec 07 Share of total Share of total Banking and insurance 47,546 53
Slide 33: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Segment reporting (details) ABS portfolio (details) CEE local statements Quarterly results Q1 08 results Analyst presentation & conference cal
Slide 34: Austria/Savings Banks – Q1 08 highlights
Austria/Savings Banks – Q1 08 highlights ERSTE GROUP Rates of change are affected by 6 new savings banks in the cross guarantee Savings Banks 1-3 08 1-3 07 Change system Operating income 361,3 313,5 15,3% Operating result up 29.3% Operating expenses (229,1) (211,2) 8,5% Excluding contribution from 6
Slide 35: Austria/Retail and Mortgage – Q1 08 highlights
Austria/Retail and Mortgage – Q1 08 highlights ERSTE GROUP Net profit declines by 9.2% on strong Q1 07 Solid 7.7% increase in NII partly offsets 13.8% Retail & Mortgage 1-3 08 1-3 07 Change decline in fees on volatile markets and very strong Q1 07 (down 4% qoq) Operating income 238.1 240.8 (1.1%) Co
Slide 36: Austria/Retail and Mortgage – Branches and SME sub-segments improve strongly
Austria/Retail and Mortgage – Branches and SME sub-segments improve strongly ERSTE GROUP Operating result (EUR m) Net profit (EUR m) 32.3 31.1 1-3 07 1-3 08 1-3 07 1-3 08 17.817.3 17.7 14.6 16.4 11.3 11.4 10.1 8.8 8.7 7.9 8.3 7.4 6.8 6.6 5.6 3.3 0.6 Branches SME Own SBs Mortgage Subsidiaries Branche
Slide 37: Austria/Large Corporates – Q1 08 highlights
Austria/Large Corporates – Q1 08 highlights ERSTE GROUP Net profit improves by 50.8% Strong operating performance continues from Q4 07 Large Corporates 1-3 08 1-3 07 Change Operating result up 29.1% yoy Operating income 84.0 63.5 32.2% NII up strongly by 43.3% yoy (15.5% qoq) Operating expenses (33.
Slide 38: Austria/Treasury & Investment Banking – Q1 08 highlights
Austria/Treasury & Investment Banking – Q1 08 highlights ERSTE GROUP Net profit contribution decreases by 82.8% yoy Operating result down 58.9% yoy on exceptionally Treasury & IB 1-3 08 1-3 07 Change strong Q1 07, but up 41.7% qoq Operating income 57.1 96.3 (40.7%) NII declines by 5.9% yoy (up 17.4%
Slide 39: CEE/Czech Republic – Q1 08 highlights
CEE/Czech Republic – Q1 08 highlights ERSTE GROUP Net profit contribution up strongly by 27.8% (17.9%)* Supported by strong growth of operating result by 49.1% (38.9%) Czech Republic 1-3 08 1-3 07 Change NII up by 35.5% (25.1%) yoy Operating income 390.2 295.6 32.0% Continued strong volume growth (l
Slide 40: CEE/Romania – Q1 08 highlights
CEE/Romania – Q1 08 highlights ERSTE GROUP Net profit contribution soars by 71.9% (87.7%)* Supported by strong 87.3% growth of operating result (doubles Romania 1-3 08 1-3 07 Change FX adjusted) based on successful integration project NII increases by 51.1% yoy (65.0%) Operating income 262.2 191.8 3
Slide 41: CEE/Slovakia – Q1 08 highlights
CEE/Slovakia – Q1 08 highlights ERSTE GROUP Net profit contribution up slightly by 1.7% (-1.9%)* mainly due to lower other result and higher taxes Slovakia 1-3 08 1-3 07 Change Operating result up up 19.9% (15.6%) Operating income 109.0 98.7 10.4% NII continues grows by 7.3% (3.5%) yoy Solid underly
Slide 42: CEE/Hungary – Q1 08 highlights
CEE/Hungary – Q1 08 highlights ERSTE GROUP Net profit contribution improves by 75.4% (79.8%)* Operating profit up 51.9% (55.7%) Adjusted for NII accrual correction of EUR 8m1 in Q1 07 Hungary 1-3 08 1-3 07 Change increase was 20.3% Operating income 107.2 91.0 17.8% NII increases by 31.0% (34.3%) Ope
Slide 43: CEE/Croatia – Q1 08 highlights
CEE/Croatia – Q1 08 highlights ERSTE GROUP Net profit contribution up 17,7%* Q1 08 performance still positively impacted by first time Croatia 1-3 08 1-3 07 Change consolidation of Diners Club Adriatic, Croatia (DCA) in April 07 NII increases by 28.3% (ex DCA 18%) Operating income 65.9 46.9 40.7% Su
Slide 44: CEE/Serbia – Q1 08 highlights
CEE/Serbia Q1 08 highlights ERSTE GROUP Net profit contribution improves by EUR 3.2m Positive trend in operating performance clearly visible Serbia 1-3 08 1-3 07 Change NII increases by 64.5% (69.7%) Customer loans grow by 79.1% yoy and deposits increase by Operating income 8.1 4.7 72.0% 57.3%, but
Slide 45: CEE/Ukraine – Q1 08 highlights
CEE/Ukraine Q1 08 highlights ERSTE GROUP Strong operating growth continues Development programme covering 12 specific Ukraine 1-3 08 1-3 07 Change projects progressing as planned Number of branches increases to 86; additional 52 new Operating income 6,5 2,8 >100.0% branches in the pipeline Operating
Slide 46: Core segments Int'l Business and Corp. Center – Q1 08 highlights
Core segments Int’l Business and Corp. Center – Q1 08 highlights ERSTE GROUP International Business Corporate Center Strong operating performance (+17.8%) drives 23.6% net profit NII and risk provisions impacted by allocation of reporting improvement according to IAS 39 (unwinding) for Q1 08 to the
Slide 47: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Segment reporting (details) ABS portfolio (details) CEE local statements Quarterly results Q1 08 results Analyst presentation & conference cal
Slide 48: Key topics: ABS/CDO portfolio – Drill-down on ABS portfolio
Key topics: ABS/CDO portfolio Drill-down on ABS portfolio ERSTE GROUP Erste Group has no exposure to US RMBS ABS portfolio by ratings (Mar 2008)* and US CMBS in EUR m +/-% % of total Face Value Market Value (market value) AAA 258 247 (4.4%) 15.6% Criteria for RMBS investments AA 416 396 (4.7%) 25.0%
Slide 49: Key topics: ABS/CDO portfolio – Drill-down on CDO portfolio
Key topics: ABS/CDO portfolio Drill-down on CDO portfolio ERSTE GROUP Cash CLOs with strong corporate fundamental value make up 82% of portfolio CDO portfolio by products (Mar 2008)* 65% of US CLOs are AAA rated in EUR m Face Value Market Value +/-% % of total (market value) Remainder is minimum A C
Slide 50: Credit risk – Exposure to monoline insurers
Credit risk – Exposure to monoline insurers ERSTE GROUP No changes since FY 2007 update No direct exposure to monoline insurers No risk transfer in ABS/CDO portfolio EUR 11m of securitisations are guaranteed by monoliners, but reported in ABS/CDO portfolio EUR 58m of Australian RMBS where underlying
Slide 51: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Segment reporting (details) ABS portfolio (details) CEE local statements Quarterly results Q1 08 results Analyst presentation & conference cal
Slide 52: Summary financials of CEE subsidiaries – Results (IFRS) as reported by local entities
Summary financials of CEE subsidiaries Results (IFRS) as reported by local entities* ERSTE GROUP 97.99% 69.17% 100.00% 99.94% in EUR million 1-3 08 1-3 07 Change 1-3 08 1-3 07 Change 1-3 08 1-3 07 Change 1-3 08 1-3 07 Change Net profit after minorities 124.9 105.4 18.5% 103.6 56.8 82.4% 33.6 32.9 2.
Slide 53: Financials (IFRS) of CEE subsidiaries – Ceska sporitelna
Financials (IFRS) of CEE subsidiaries Peská spoRitelna * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 276.0 220.6 25.1% Risk provisions for loans and advances (25.4) (15.5) 63.3% Net fee and commission income 102.0 90.8 12.3% Net trading result 26.1 17.9 45.9% General administ
Slide 54: Financials (IFRS) of CEE subsidiaries (cont) – Banca Comerciala Romana
Financials (IFRS) of CEE subsidiaries (cont) Banca ComercialS RomânS (post restruct. costs) * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 185.2 113.5 63.2% Risk provisions for loans and advances (32.0) (13.3) >100.0% Net fee and commission income 67.2 41.5 61.9% Net trading r
Slide 55: Financials (IFRS) of CEE subsidiaries (cont) – Slovenska sporitelna
Financials (IFRS) of CEE subsidiaries (cont) Slovenská sporiteUVa * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 80.9 76.2 6.2% Risk provisions for loans and advances (11.5) (8.0) 43.1% Net fee and commission income 25.8 23.3 10.4% Net trading result 6.2 4.5 37.2% General admi
Slide 56: Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Hungary
Financials (IFRS) of CEE subsidiaries (cont) Erste Bank Hungary * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 70.8 51.9 36.5% Risk provisions for loans and advances (14.7) (11.5) 27.8% Net fee and commission income 32.6 28.8 13.3% Net trading result 7.4 10.0 (26.1%) General a
Slide 57: Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Croatia
Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Croatia * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 42.8 36.7 16.7% Risk provisions for loans and advances (4.0) (2.5) 62.0% Net fee and commission income 12.6 10.3 22.4% Net trading result 4.5 2.8 57.5% General admi
Slide 58: Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Serbia
Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Serbia * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 6,8 3,9 72,9% Risk provisions for loans and advances (2,1) (0,6) >100.0% Net fee and commission income 1,6 0,8 91,5% Net trading result 0,6 0,2 >100.0% General admin
Slide 59: Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Ukraine
Financials (IFRS) of CEE subsidiaries (cont) – Erste Bank Ukraine * ERSTE GROUP in EUR million 1-3 08 1-3 07 Change Net interest income 10.4 2.0 >100.0% Risk provisions for loans and advances (2.6) (0.7) >100.0% Net fee and commission income 0.6 0.1 >100.0% Net trading result 2.4 1.1 >100.0% General
Slide 60: Presentation topics
Presentation topics ERSTE GROUP Summary and Q1 2008 highlights Q1 2008 key topics Outlook and targets Financials and segment reporting Asset quality Appendix Segment reporting (details) ABS portfolio (details) CEE local statements Quarterly results Q1 08 results Analyst presentation & conference cal
Slide 61: Erste Group historic financials – Quarterly income statement (IFRS)
Erste Group historic financials – Quarterly income statement (IFRS) ERSTE GROUP in EUR million Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Net interest income 757.8 779.7 927.8 903.7 953.8 986.6 1,101.7 1,151.1 Net fee and commission income 355.5 338.8 409.4 438.9 446.0 469.3 503.7 491.9 Net tra
Slide 62: Erste Group historic financials – Quarterly balance sheet (IFRS)
Erste Group historic financials – Quarterly balance sheet (IFRS) ERSTE GROUP in EUR million Jun 06 Sep 06 Dec 06 Mar 07 Jun 07 Sep 07 Dec 07 Mar 08 Cash and balances with central banks 2,658 2,355 7,378 6,861 6,753 7,311 7,615 7,783 Loans and advances to credit institutions 19,890 18,307 16,616 20,8
Slide 63: Quarterly segment reporting – Overview of main segments
Quarterly segment reporting – Overview of main segments ERSTE GROUP in EUR million Austria Central and Eastern Europe Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Net interest income 398,9 408,2 412,6 429,6 477,1 473,5 516,0 548,7 602,0 637,6 Risk provisions (80,0) (66,1) (72,2) (7,0)
Slide 64: Quarterly segment reporting – Austria sub-segments
Quarterly segment reporting – Austria sub-segments ERSTE GROUP in EUR million Savings Banks Retail & Mortgage Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Net interest income 206,5 213,5 221,6 223,0 258,0 136,6 136,0 135,7 144,5 147,1 Risk provisions (43,1) (39,5) (42,9) 29,3 (37,2) (
Slide 65: Quarterly segment reporting – Central and Eastern Europe sub-segments (1)
Quarterly segment reporting – Central and Eastern Europe sub-segments (1) ERSTE GROUP in EUR million Czech Republic Romania Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Net interest income 191,8 195,2 214,4 233,4 259,9 119,4 136,7 143,6 168,5 180,4 Risk provisions (14,3) (18,3) (16,6)
Slide 66: Quarterly segment reporting – Central and Eastern Europe sub-segments (2)
Quarterly segment reporting – Central and Eastern Europe sub-segments (2) ERSTE GROUP in EUR million Croatia Serbia Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Net interest income 33,9 40,3 41,1 44,0 43,5 3,6 3,4 4,6 4,6 6,0 Risk provisions (2,4) (3,5) (5,8) (6,1) (4,4) (0,6) 0,3 0,8
Slide 67: Group capital adequacy – Tier 1 and solvency ratios within target ranges
Group capital adequacy* – Tier 1 and solvency ratios within target ranges ERSTE GROUP in EUR million 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Mar 08 Tier 1 Capital pursuant to § Austrian Banking Act 1,611 1,753 2,125 2,337 3,800 3,912 4,377 5,112 6,185 6,674 6,894 Total own funds pursuant t
Slide 68: Shareholder structure – Total number of shares: 316,288,945
Shareholder structure – Total number of shares: 316,288,945 ERSTE GROUP By investor By region Austria Verein Others Capital Research 4.9% Continental Europe 2.7% and Mgmt. DIE ERSTE 11.7% > 5.0% österreichische Spar-Casse Privatstiftung 30.5% UK & Ireland 12.7% Austria 53.8% Institutional investors
Slide 69: Investor relations contacts
Investor relations contacts ERSTE GROUP Erste Bank, Graben 21, 1010 Vienna Fax +43 (0)5 0100-13112 E-mail: investor.relations@erstebank.at Internet: www.erstebank.com Reuters: ERST.VI Bloomberg: EBS AV Datastream: O:ERS ISIN: AT0000652011 Investor relations Gabriele Werzer Tel: +43 (0)5 0100-11286 e