Intercorp Financial Services Inc. · NYSE:IFS
Intercorp Financial Services — Q1 2011 Earnings Presentation
19 slides from Intercorp Financial Services's earnings presentation, 2011
Slide 1: First Quarter 2011 Earnings Presentation
First Quarter 2011 Earnings Presentation
Slide 2: Intergroup Financial Services
Intergroup Financial Services 2
Slide 3: Highlights
Highlights Intergroup: • Intergroup reported S/. 151.3 million in net earnings for 1Q11, a 46.8% increase QoQ and a 9.0% increase YoY. Operating trends were strong, driven by solid performances in both subsidiaries • When excluding non-recurring items, net earnings increased 25.1% QoQ and 17.3% YoY
Slide 4: Intergroup's earnings increased 46.8% QoQ and 9.0% YoY
Intergroup’s earnings increased 46.8% QoQ and 9.0% YoY Intergroup Interbank Interseguro Net income* Net income Net income S/. million ROE S/. million ROE S/. million ROE 34.4% 42.5% 33.6% 29.8% 31.5% 28.9% 200 20.4% 26.4% 21.4% 151.3 138.9 138.3 150 9.9 126.0 103.1 115.4 23.6 -17.9 9.9 100 151.3 129
Slide 5: Intergroup reported its second highest quarterly net earnings
Intergroup reported its second highest quarterly net earnings Intergroup's Profit and Loss Statement Summary S/. million %chg %chg 1Q10 4Q10 1Q11 QoQ YoY Financial income 503.1 551.1 581.6 5.5% 15.6% Financial expenses -92.1 -132.0 -138.5 4.9% 50.3% Gross financial margin 410.9 419.0 443.2 5.8% 7.8%
Slide 6: Interbank
Interbank EJ Intergroup Financial Services
Slide 7: Interbank's net income increased 9.2% YoY
Interbank´´s net income increased 9.2% YoY Profit and Loss Statement Summary S/. million % chg % chg 1Q 10 4Q 10 1Q 11 QoQ YoY Financial income 454.2 526.7 498.4 -5.4% 9.7% Financial expenses -89.0 -123.1 -125.5 1.9% 40.9% Gross financial margin 365.1 403.6 372.9 -7.6% 2.1% Provisions -78.9 -111.6 -
Slide 8: Loan growth remained strong at 24.5% YoY
Loan growth remained strong at 24.5% YoY Performing loans Breakdown of loans S/. million % chg % chg 1Q 10 4Q 10 1Q 11 QoQ YoY S/. million +24.5% Consumer loans: Credit cards 1,495 1,740 1,809 3.9% 20.9% Other consumer 2,132 2,296 2,308 0.5% 8.2% 12,453 Total consumer loans 3,628 4,036 4,116 2.0% 13
Slide 9: Interbank funded QoQ growth with deposits
Interbank funded QoQ growth with deposits Funding Structure Deposit Breakdown S/. million % chg % chg 8.8% 1Q 10 4Q 10 1Q 11 QoQ YoY 14,000 Deposits and obligations 11,522 11,967 12,534 4.7% 8.8% Due to banks 2,185 2,941 2,665 -9.4% 21.9% 12,554 12, 534 11,967 Bonds and obligations 500 2,182 2,205 1
Slide 10: Gross financial margin increased 2.1% YoY, but decreased 7.6% QoQ
Gross financial margin increased 2.1% YoY, but decreased 7.6% QoQ due to lower non-recurring investment gains Interbank Net Financial Margin S/. million % chg % chg 1Q 10 4Q 10 1Q 11 QoQ YoY Financial income: Loans 374.7 416.4 425.0 2.1% 13.4% Investments 34.5 62.6 26.6 -57.5% -22.9% Interest on due
Slide 11: Recurring NIM has declined due to an increasing cost of funds
Recurring NIM has declined due to an increasing cost of funds Net Interest Margin (%) 9.8% 9.8% 8.9% 8.9% 8.9% 8.8% 9.3% 8.4% 8.4% 9.0% 9.0% 8.5% 8.6% 8.3% 7.3% 7.0% 6.8% 6.9% 8.1% 7.1% 7.1% 7.6% 7.3% 6.9% 7.1% 7.3% 7.3% 7.1% 7.1% 7.0% 6.9% 6.9% 6.8% 6.7% 6.4% 6.6% 6.6% 6.3% 6.1% 1Q2008 2Q2008 3Q200
Slide 12: As asset quality and coverage remained stable, provision expenses decreased 29.6% QoQ
As asset quality and coverage remained stable, provision expenses decreased 29.6% QoQ PDL & Coverage Ratios Loan Provision Expense S/. million Provision expense* Loans 3.7% 3.7% 160 3.6% 269.1% 268.3% 2.50% 264.1% 3.1% 3.50% 140 255.1% 252.9% 2.5% 120 2.50% 2.00% 250.00% 111.6 104.3 96.6 100 1.50% 1
Slide 13: Fee income grew 16.5% YoY, while expense growth was moderate
Fee income grew 16.5% YoY, while expense growth was moderate Fee income Operating expenses S/. million S/. million Fee income Efficiency Fee income / operating revenues ratio* 25.0% 23.9% 22.6% 50.9% 21.2% 21.1% 48.7% 320 48.8% 48.3% 45.1% 160.8 270 261.9 143.2 241.4 242 236.5 138.2 226 122.9 131.1
Slide 14: Interbank's capitalization remained strong
Interbank’s capitalization remained strong Tier I Tier II 14.4% 14.1% 11.5% 4.7% 3.9% 10.8% 10.3% 2.9% Regulatory 1.4% Minimum 2.7% 9.5% 9.8% 9.1% 9.7% 10.2% 8.9% 8.6% 8.1% (1) (1) 2007 2008 2009 4Q10 1Q11 (1) On April 2010 Interbank issued US$200 million in non-cumulative junior subordinated notes
Slide 15: Interseguro
Interseguro EJ Intergroup 15 Financial Services
Slide 16: Interseguro reported record quarterly earnings
Interseguro reported record quarterly earnings Profit and Loss Statement Summary S/. million % chg % chg 1Q10 4Q10 1Q11 QoQ YoY Premiums 64.0 153.9 124.2 -19.3% 94.1% Premiums ceded -2.5 -1.6 -1.9 22.2% -21.5% Fees -2.4 -3.4 -2.9 -12.5% 25.2% Claims -29.7 -28.5 -32.4 13.6% 9.0% Change in reserves -3
Slide 17: Premiums increased 94.1% YoY, but decreased 19.3% QoQ due to market contraction
Premiums increased 94.1% YoY, but decreased 19.3% QoQ due to market contraction Premiums by Business Line S/. million % chg % chg 1Q10 4Q10 1Q11 QoQ YoY Individual Life 5.8 5.7 6.1 7.4% 5.0% Annuities 38.5 128.8 97.1 -24.6% 152.3% Group Life 11.8 10.4 12.5 20.7% 5.9% Disability and survivor benefits
Slide 18: Investment income increased 32.7% QoQ and 88.0% YoY
Investment income increased 32.7% QoQ and 88.0% YoY Investment Portfolio S/. million %chg QoQ %chg YoY 1Q10 4Q10 1Q11 Fixed Income 1,260.4 1,482.7 1,518.6 2.4% 20.5% Equity and Mutual Funds 154.6 238.7 352.7 47.8% 128.1% Real estate 488.6 459.8 487.0 5.9% -0.3% Others 12.4 4.7 4.5 -3.1% -63.3% TOTAL
Slide 19: Intergroup Financial Services
Intergroup Financial Services
Intercorp Financial Services — Q1 2011 Earnings Presentation on 6ix