Bnp Paribas S.a. Class A · EURONEXT:BNP
Bnp Paribas S.a. Class A — Bnp Paribas Ord — FY2022 Earnings Presentation
103 slides from Bnp Paribas S.a. Class A's earnings presentation, Feb 7, 2023
Slide 1: 2022 Full Year Results
2022 FULL YEAR RESULTS 7 February 2023
Slide 2: Disclaimer
Disclaimer The figures included in this presentation are unaudited. This presentation includes forward-looking statements based on current beliefs and expectations about future events. Forward-looking statements include financial projections and estimates and their underlying assumptions, statements
Slide 3: 2022: Very solid results driven by the strength of BNP Paribas' model
2022: Very solid results driven by the strength of BNP Paribas’ model Revenues: +9.0% vs. 2021 Strong growth in revenues, supported by all divisions Operating expenses: +8.3% vs. 2021 • Very strong increase in Corporate & Institutional Banking (+15.7%) (+7.6% excl. contribution to the SRF2) • Strong
Slide 4: Sale of Bank of the West
Sale of Bank of the West Closing of the sale of Bank of the West to BMO Financial Group on 1 February 2023 Total consideration of $16.3bn, Net capital gain on sale2: or a P/TBV multiple of 1.72x1 ~€2.9bn booked in 1Q23 Release of Common Equity Tier 1 (CET1) capital from the sale: ~€11.6bn (~170 bps)
Slide 5: GTS 2025 Plan: strategic pillars reaffirmed, ambitions revised upward
GTS 2025 Plan Strategic pillars reaffirmed, ambitions revised upward Additional growth potential supporting a trajectory revised upward Additional growth with the redeployment of Combined with the positive impact of the rise capital released by the sale of Bank of the West in interest rates in 2022
Slide 6: A unique positioning: 2023 distributable income
A unique positioning 2023 distributable income: post-Bank of the West sale and post-SRF €bn +€1bn Upward adjustment in 2023 BoW distributable income by +€1bn Anticipation of the capital gain end of the ramp-up of the SRF1 Organic Return to shareholders of 60%, growth based on adjusted 2023 Adjustmen
Slide 7: GTS 2025 Plan targets raised
GTS 2025 Plan targets raised Strong and steady growth in distributable income Net income1 GTS 2025 targets CAGR 22-25 revised >+9% (historical scope) 2023: adjusted 2024-25: full impact of 2022: solid growth distributable income additional growth 2022 2023 2023 2024 2025 (incl. BoW) (résultat distri
Slide 8: Group Results
GROUP RESULTS DIVISION RESULTS CONCLUSION 4Q22 DETAILED RESULTS APPENDICES
Slide 9: Main exceptional items – 2022
Main exceptional items – 2022 Very negative level in 2022 Exceptional items 2022 2021 Operating expenses • Restructuring costs and adaptation costs (Corporate Centre) -€188m -€164m • IT reinforcement costs (Corporate Centre) -€314m -€128m Total exceptional operating expenses -€502m -€292m Cost of ri
Slide 10: 2022 – Consolidated Group
2022 – Consolidated Group Very solid results, strong growth and positive jaws effect 2022 vs. 2022 vs. 2021 2022 vs. 2021 2022 2021 At constant scope & 2021 exchange rates Operating divisions Revenues €50,419m €46,235m +9.0% +6.6% +10.4% Operating expenses ‐€33,702m ‐€31,111m +8.3% +5.3% +8.0% Gross
Slide 11: 2022 – Revenues
2022 – Revenues Revenue growth in all divisions CIB Corporate & Institutional Commercial, Personal Banking Investment & Protection Operating divisions Banking & Services1 Services +15.7% +11.3% +9.3% +7.2% +3.0% +2.4% +10.4% +7.8% at constant scope & at constant scope & at constant scope & at consta
Slide 12: 2022 – Operating expenses
2022 – Operating expenses Positive jaws effects CIB Corporate & Institutional Commercial, Personal Banking Investment & Protection Operating divisions Banking & Services1 Services +13.6% +8.1% +6.0% +4.2% +3.5% +2.5% +8.0% +5.2% at constant scope & at constant scope & at constant scope & at constant
Slide 13: Cost of risk – 2022 Group
Cost of risk – 2022 Group • Proactive and long-term management Prudent approach: CoR / GOI ratio reflected in a low cost of risk among the lowest in Europe1 in bps / customer loans outstanding 2008-9M2022 average 68% 60% 66 58 59 57 54 43% 45% 46 39% 42% 42% 39 39 40 ~40 30% 35 34 31 2012 2013 2014
Slide 14: Cost of risk – 2022 (1/2)
Cost of risk – 2022 (1/2) Cost of risk / Customer loans outstanding at the beginning of the period (in bps) CPBF1 Europe-Mediterranean1 • €237m (-€204m vs. 2021) • €153m (+€9m vs. 2021) • Decrease of cost of risk on • Low cost of risk with a non-performing loans2 decrease in provisions on • Strong r
Slide 15: Cost of risk – 2022 (2/2)
Cost of risk – 2022 (2/2) Cost of risk / Customer loans outstanding at the beginning of the period (in bps) CIB – Global Banking • €336m (+€136m vs. 2021) • Cost of risk at a low level • Decrease of cost of risk on non-performing loans1 80 • Provisions on performing loans (stages 1 & 2) – 15 13 19 •
Slide 16: 2022 – A solid financial structure
2022 – A solid financial structure CET1 ratio: 12.3%1 as at 31.12.22 (+20 bps vs. 30.09.22) CET1 ratio 4Q22 results after taking into account a 60% pay-out ratio (including the 12.3% 2022 contribution of BancWest), net of changes in risk-weighted assets: 12.1% +20 bps Overall limited impact of o
Slide 17: Continuous and strong value creation throughout the cycle
Continuous and strong value creation throughout the cycle Steady increase in tangible equity per share: €79.3 Ordinary distribution: 60% of 2022 results • Taking the Bank of the West contribution into account • Dividend: €3.90 per share paid in cash3 (or 50% of distributable income) € • Share buybac
Slide 18: Robust operational performance and disciplined expansion at the heart of growth
Robust operational performance and disciplined expansion at the heart of growth 2022–2025 objective: Solid levers supporting operational performance and Positive jaws effect each year growth at marginal cost in an inflationary context >+2pts on average1 Development of specialised internal A recurrin
Slide 19: Technology at the heart of the GTS 2025 plan
Technology at the heart of the GTS 2025 plan A global strategy supporting major achievements by 2025 >30% of the information system hosted on the IT upgrades: enhanced stability & Group’s clouds, o/w ~10% on the dedicated cloud Secured use of cloud security, decrease in time-to-market 2025 target: >
Slide 20: Sustainable finance
Sustainable finance Group mobilisation and external recognition Mobilised alongside clients to support them in the transition towards a sustainable economy and to align portfolios with the commitment to carbon neutrality Sustainable loans to Corporates, Institutionals & Individuals dedicated to sust
Slide 21: A new acceleration in financing the energy transition
A new acceleration in financing the energy transition1 A new phase of rapid acceleration in financing BNP Paribas has already made a major pivot towards the production of low-carbon energies and financing low-carbon energy production reducing financing for fossil fuels Financing of energy production
Slide 22: A reinforced Internal Control Set-up
A reinforced Internal Control Set-up An even more solid control and compliance set-up and ongoing efforts in inserting a reinforced compliance culture into daily operations • Ongoing improvement of the operating model for combating money laundering and terrorism financing: A standards-based, risk-
Slide 23: Division Results
GROUP RESULTS DIVISION RESULTS CONCLUSION 4Q22 DETAILED RESULTS APPENDICES
Slide 24: Corporate & Institutional Banking – 2022
Corporate & Institutional Banking – 2022 Very good level of results sustained by strong client activity Good business drive, leveraging a diversified and integrated model CIB within the Top 3 • Financing: a good performance amidst decreasing primary markets in EMEA1 (syndicated loans, bonds and equi
Slide 25: CIB – Global Banking – 2022
CIB – Global Banking – 2022 Very good business drive in an unfavourable context Good level of activity sustained by the diversified model, with a Increase in revenues on a very strong rebound in 4Q22 receding market • Good resilience on global syndicated loan, bond and equity markets down by €m 17%1
Slide 26: CIB – Global Markets – 2022
CIB – Global Markets – 2022 Very strong increase in revenues sustained by solid demand Very robust client activity on the whole Strong growth in revenues • Fixed income, currencies & commodities: very strong client demand, driven in particular by reallocation and hedging needs in €m 8,660 rates and
Slide 27: CIB – Securities Services – 2022
CIB – Securities Services – 2022 Strong increase in revenues Very good business drive supported by a diversified Transaction volumes model Settlement & delivery • Sustained sales & marketing development, in particular transactions in millions with new mandates in Europe; start-up of a partnership wi
Slide 28: GTS 2025 – Corporate & Institutional Banking – 2022
GTS 2025 – Corporate & Institutional Banking – 2022 A successful long-term strategy at the service of Corporate & Institutional clients A level of activity strengthened by the complete Uniquely positioned to address the needs of the coverage of clients’ needs & the diversification of economy and its
Slide 29: GTS 2025 – CIB: action plan off to a good start
GTS 2025 – Corporate & Institutional Banking – 2022 Action plan off to a good start: a scaled-up CIB, leveraging on the Group’s strengths Pursue & deepen structural levers Step up with specific initiatives Operating • IT platforms & industrialisation A solid • A comprehensive, global & model and • S
Slide 30: GTS 2025 – CIB: plan's financial targets revised upward
GTS 2025 – Corporate & Institutional Banking Plan’s financial targets revised upward Plan targets revised upward Consolidation of the strong performance of 2022 and continued disciplined and above-market revenue growth 2025 targets1 Global Markets Revenues: CAGR 21-25 >+5.0% • Market share gains & c
Slide 31: Commercial, Personal Banking & Services – 2022
Commercial, Personal Banking & Services – 2022 Very strong increase in results and very positive jaws effect Very good business drive Loans • Loans: +7.0% vs. 2021, good growth in all businesses, increase in loans to €bn +7.0% individuals and corporates 671 627 • Deposits: +6.6% vs. 2021, strong inc
Slide 32: CPBS – Commercial & Personal Banking in France – 2022
CPBS – Commercial & Personal Banking in France – 2022 Strong increase in results Sustained growth in activity Loans • Loans: +4.8% vs. 2021, increase across all customer segments, greater selectivity +4.8% €bn in mortgage loans • Deposits: +4.8% vs. 2021, increase across all customer segments, low r
Slide 33: CPBS – BNL banca commerciale – 2022
CPBS – BNL banca commerciale – 2022 Ongoing impact of the transformation of the operating model Good business drive Deposits • Loans: +2.1% vs. 2021, 4.1% increase on the perimeter excluding non- performing loans, driven by mortgage loans and an increase in factoring +8.5% • Deposits: +8.5% vs. 2021
Slide 34: CPBS – Commercial & Personal Banking in Belgium – 2022
CPBS – Commercial & Personal Banking in Belgium – 2022 Sustained business drive Growth in activity in support of the economy Loans1 • Loans1: +14.8% vs. 2021 (+7.5% at constant scope and exchange rates2), very strong growth in loans to individuals, contribution from bpost bank (+€8.4bn), +14.8% and
Slide 35: CPBS – Europe Mediterranean – 2022
CPBS – Europe Mediterranean – 2022 Good business drive Commercial activity Loans1 • Loans: +17.7%1 vs. 2021, increased volumes in corporate clients, particularly in Poland; prudent origination, particularly in individual +17.7%1 customers in Poland and Türkiye • Deposits: +21.8%1 vs. 2021, up in Pol
Slide 36: CPBS – BancWest – 2022
CPBS – BancWest – 2022 Continued good business activity Sustained business drive Loans1 • Loans: +3.8%1 vs. 2021, increase in mortgage and corporate loans +3.8% • Deposits: -6.0%2 vs. 2021, decrease in customer deposits3 (-6.0%2) and in money-market deposits • Private Banking: $18.7bn in assets unde
Slide 37: CPBS – Specialised Businesses – Personal Finance – 2022
CPBS – Specialised Businesses – Personal Finance – 2022 Transformation and adaptation of activities Business drive Loans • Loans: +3.5%1 vs. 2021, consolidation of 50% of Floa’s loans +3.5%1 €bn outstanding (€1.0bn)2 • Rollout of the exclusive strategic partnership with Jaguar Land Rover in January
Slide 38: CPBS – Specialised Businesses – Arval & Leasing Solutions – 2022
CPBS – Specialised Businesses – Arval & Leasing Solutions – 2022 Very strong performance and positive jaws effect Arval Arval: a balanced distribution in revenues • Very good growth in the financed fleet (+8.3%1 vs. 31.12.21) and continued very high used car prices Financial Used car • Targeted acqu
Slide 39: CPBS – Specialised Businesses – 2022: New Digital Businesses and Personal Investors
CPBS – Specialised Businesses – 2022 New Digital Businesses (Nickel, Floa, Lyf) and Personal Investors , a payment offering accessible to everyone Nickel: expansion in Europe • Expansion in Europe with the 2022 launch of the offering in Belgium and Portugal; a faster pace of account openings since t
Slide 40: CPBS – Commercial & Personal Banking development strategy confirmed
Commercial, Personal Banking & Services – Commercial & Personal Banking Development strategy confirmed Strengthening our leading positions Adaptation of the operating model underway in in Europe retail activities #1 in the Corporate segment in Europe1 Acceleration of digital and technological #1 in
Slide 41: CPBS – Specialised Businesses development plan
Commercial, Personal Banking & Services – Specialised Businesses A development plan to accelerate and foster growth and profitability Acceleration in profitable growth Transformation of activities to foster confirmed growth and profitability Arval: growth in the fleet reinforced by bolt-on Personal
Slide 42: GTS 2025 – CPBS: significant increase in objectives
GTS 2025 – Commercial, Personal Banking & Services Significant increase in Commercial & Personal Banking objectives Targets revised upward in Commercial & Personal 2025 targets1 Banking • Positive impact of rate hikes, boost in margin sustained Revenues: CAGR 21-25 ~+5.5% by a favourable positioning
Slide 43: Investment & Protection Services – 2022
Investment & Protection Services – 2022 Growth of results with a good level of activity in a lacklustre environment Good sales and business drive sustained by net asset inflows in Revenues Wealth Management +3.0% €m • Good net asset inflows (+€31.9bn in 2022): strong net asset inflows in Wealth Mana
Slide 44: IPS – Asset inflows and AuM – 2022
IPS – Asset inflows and AuM – 2022 Good net asset inflows in a context of declining markets Assets under management: €1,189bn as at 31.12.22 Change in assets under management1 • - 6.9% vs. 31.12.21, in connection with a very unfavourable €bn market performance effect: -€129.9bn Market +31.9 • Favour
Slide 45: IPS – Insurance – 2022
IPS – Insurance – 2022 Good resilience of business activity Solid business activity A balanced model • Savings: gross asset inflows of €22.8bn in 2022, with unit-linked policies accounting for the vast majority of net inflows Protection: • Protection: further growth in France with a good increase in
Slide 46: IPS – Wealth & Asset Management – 2022
IPS – Wealth & Asset Management1 – 2022 Good performance of the activity Wealth Management Acknowledged leadership • Strong net asset inflows, especially in Commercial & Personal Banking Outstanding Private Bank in (particularly in France) and with high-net-worth clients Europe3 • Good increase in l
Slide 47: GTS 2025 – Investment & Protection Services – 2022
GTS 2025 – Investment & Protection Services – 2022 Diversified and complementary leading platforms positioned to grow Protection Financial savings and investments Real Estate Insurance Wealth Management Asset Management Real Estate Services A European leader with a A European leader with a A transfo
Slide 48: GTS 2025 – IPS: solid franchises positioned to benefit from recovery
GTS 2025 – Investment & Protection Services Solid franchises, well positioned to benefit from the recovery Extend our commercial outperformance over time 2025 Targets4 AM: 2022 Net asset inflows / WM: Assets under management2 GOI: CAGR 21-25 >+6% 2021 AuM1 BNPP +2.3% BNPP -1.0% Peer 1 Peer 1 Peer 2
Slide 49: Conclusion
GROUP RESULTS DIVISION RESULTS CONCLUSION 4Q22 DETAILED RESULTS APPENDICES
Slide 50: Conclusion
Conclusion Solid performance Revenue growth, positive jaws effect, and prudent risk management 2022 net income: €10,196m +7.5% vs. 2021 (+19.0% excluding exceptional items) Strategic pillars confirmed, ambitions revised upward Net income, Group share: CAGR 22-25 >+9% EPS: CAGR 22-25 >+12% Leadership
Slide 51: BNP Paribas' ambitions for 2025
BNP Paribas’ ambitions for 2025 2021-2025 financial targets in brief Significant improvement of GTS 2025 Plan targets Revised target Cible Embarked growth Net Cible 4% income1 4% CAGR 2022-2025 >+9% Positive impact of interest rates Revised target Cible EPS2 4% CAGR 2022-2025 >+12% 60% Redeployment
Slide 52: A solid financial structure: reaffirmed targets
A solid financial structure Reaffirmed targets 2024 objectives1 2025 objectives1 12.0% 12.9% CET1 ratio Basel 3 (CRR2) fully loaded Basel 3 finalised (CRR3) fully loaded 15.9% 17.1% Total Capital Basel 3 (CRR2) fully loaded Basel 3 finalised (CRR3) fully loaded 27.2% of RWAs 29.3% of RWAs TLAC Basel
Slide 53: 4Q22 Detailed Results
GROUP RESULTS DIVISION RESULTS CONCLUSION 4Q22 DETAILED RESULTS APPENDICES
Slide 54: 4Q22: Very solid results driven by the strength of BNP Paribas' model
4Q22: Very solid results driven by the strength of BNP Paribas’ model Revenue growth, positive jaws effect and prudent risk management Strong growth in revenues, supported by all divisions • Very strong increase in Corporate & Institutional Banking (+18.2%) Revenues: +7.8% vs. 4Q21 • Very strong gro
Slide 55: Main exceptional items – 4Q22
Main exceptional items – 4Q22 Strong decrease in exceptional items Exceptional items 4Q22 4Q21 Operating expenses • Restructuring costs and adaptation costs (Corporate Centre) -€103m -€61m • IT reinforcement costs (Corporate Centre) -€85m -€21m Total exceptional operating expenses -€188m -€82m Other
Slide 56: 4Q22 – Consolidated Group
4Q22 – Consolidated Group Very solid results, strong growth and positive jaws effect 4Q22 vs. 4Q22 vs. 4Q21 4Q22 vs. 4Q21 4Q22 4Q21 At constant scope & Operating divisions 4Q21 exchange rates Revenues €12,109m €11,232m +7.8% +5.8% +10.0% Operating expenses ‐€8,473m ‐€7,930m +6.8% +4.2% +8.1% Gross o
Slide 57: 4Q22 – Revenues
4Q22 – Revenues Growth in revenues in all divisions CIB Corporate & Institutional Commercial, Personal Banking Investment & Protection Operating divisions Banking & Services1 Services +18.2% +15.2% +8.0% +5.9% +1.6% +1.0% +10.0% +7.9% at constant scope & at constant scope & at constant scope & at co
Slide 58: 4Q22 – Operating expenses
4Q22 – Operating expenses Positive jaws effects CIB Corporate & Institutional Commercial, Personal Banking Investment & Protection Operating divisions Banking & Services1 Services +16.8% +12.8% +5.5% +3.4% -0.6% -1.5% +8.1% +5.6% at constant scope & at constant scope & at constant scope & at constan
Slide 59: 2022 & 4Q22 – BNP Paribas Group
2022 & 4Q22 – BNP Paribas Group 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Group Revenues 12,109 11,232 +7.8% 12,311 -1.6% 50,419 46,235 +9.0% incl. Interest Income 6,018 5,169 +16.4% 5,721 +5.2% 23,168 21,209 +9.2% incl. Commissions 2,746 2,919 -5.9% 2,572 +6.8% 10,570 10,717 -
Slide 60: Corporate and Institutional Banking – 4Q22
Corporate and Institutional Banking – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Corporate and Institutional Banking Revenues 3,858 3,264 +18.2% 3,799 +1.5% 16,465 14,236 +15.7% Operating Expenses and Dep. -2,743 -2,348 +16.8% -2,343 +17.1% -10,753 -9,467 +13.6% Gross Opera
Slide 61: CIB Global Banking – 4Q22
Corporate and Institutional Banking Global Banking – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Global Banking Revenues 1,522 1,324 +15.0% 1,181 +28.9% 5,218 5,087 +2.6% Operating Expenses and Dep. -743 -655 +13.4% -663 +12.1% -2,878 -2,652 +8.5% Gross Operating Income 779
Slide 62: CIB Global Markets – 4Q22
Corporate and Institutional Banking Global Markets – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Global Markets Revenues 1,657 1,338 +23.8% 1,986 -16.6% 8,660 6,820 +27.0% incl. FICC 1,094 755 +44.8% 1,124 -2.7% 5,234 3,947 +32.6% incl. Equity & Prime Services 563 583 -3.4%
Slide 63: CIB Market risks – 4Q22
Corporate and Institutional Banking Market risks – 4Q22 Average 99% 1-day interval VaR (Value at Risk) €m Average VaR at a low level this quarter despite market conditions1 • VaR at a low level, slightly down vs. 3Q22, due to prudent management and a drop in commodities • 2 theoretical back-testing
Slide 64: CIB Securities Services – 4Q22
Corporate and Institutional Banking Securities Services – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Securities Services Revenues 679 602 +12.8% 632 +7.4% 2,587 2,329 +11.0% Operating Expenses and Dep. -520 -469 +10.7% -513 +1.4% -2,069 -1,892 +9.4% Gross Operating Income 1
Slide 65: Commercial, Personal Banking & Services – 4Q22
Commercial, Personal Banking & Services – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 Commercial, Personal Banking & Services Revenues 7,028 6,506 +8.0% 7,110 -1.1% 28,301 25,888 +9.3% Operating Expenses and Dep. -4,487 -4,252 +5.5% -4,330 +3.6% -17,928 -16,909 +6.0% Gross
Slide 66: CPBS – Commercial & Personal Banking in France – 4Q22
CPBS – Commercial & Personal Banking in France – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 Commercial & Personal Banking in France Revenues 1,670 1,608 +3.9% 1,669 +0.1% 6,680 6,269 +6.6% incl. net interest income 902 884 +2.0% 899 +0.3% 3,568 3,401 +4.9% incl. fees 768
Slide 67: CPBS – Commercial & Personal Banking in France: Volumes
CPBS – Commercial & Personal Banking in France Volumes 4Q22 %Var/4Q21 %Var/3Q22 2022 %Var/2021 Average outstandings (€bn) LOANS 213.5 +6.3% +0.9% 208.9 +4.8% Individual Customers 111.9 +4.2% +0.5% 110.4 +5.2% Incl. Mortgages 100.1 +3.9% +0.4% 99.0 +5.2% Incl. Consumer Lending 11.8 +6.8% +1.7% 11.5 +
Slide 68: CPBS – BNL banca commerciale – 4Q22
CPBS – BNL banca commerciale – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 BNL bc Revenues 656 668 -1.9% 652 +0.5% 2,634 2,680 -1.7% incl. net interest income 369 370 -0.2% 382 -3.2% 1,519 1,539 -1.3% incl. fees 286 298 -3.9% 271 +5.7% 1,115 1,141 -2.2% Operating Ex penses
Slide 69: CPBS – BNL banca commerciale: Volumes
CPBS – BNL banca commerciale Volumes 4Q22 %Var/4Q21 %Var/3Q22 2022 %Var/2021 Average outstandings (€bn) LOANS 78.7 +0.4% -0.5% 78.6 +2.1% Individual Customers 38.7 +2.2% +0.6% 38.3 +1.4% Incl. Mortgages 27.4 +3.4% -0.2% 27.2 +3.8% Incl. Consumer Lending 5.0 +6.0% -0.2% 4.9 +3.3% Corporates 40.0 -1.4
Slide 70: CPBS – Commercial & Personal Banking in Belgium – 4Q22
CPBS – Commercial & Personal Banking in Belgium – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 Commercial & Personal Banking in Belgium Revenues 947 854 +10.9% 917 +3.3% 3,764 3,509 +7.3% incl. net interest income 673 581 +15.9% 636 +5.8% 2,618 2,404 +8.9% incl. fees 274 27
Slide 71: CPBS – Commercial & Personal Banking in Belgium: Volumes
CPBS – Commercial & Personal Banking in Belgium Volumes 4Q22 %Var/4Q21 %Var/3Q22 2022 %Var/2021 Average outstandings (€bn) LOANS 138.3 +14.9% +1.1% 135.0 +14.8% Individual Customers 89.0 +16.5% +1.3% 87.2 +16.0% Incl. Mortgages 66.1 +18.9% +1.6% 64.9 +18.3% Incl. Consumer Lending 0.2 -22.3% -34.5% 0
Slide 72: CPBS – Commercial & Personal Banking in Luxembourg – 4Q22 & 2022
CPBS – Commercial & Personal Banking in Luxembourg – 4Q22 & 2022 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 Commercial & Personal Banking in Luxembourg Revenues 130 113 +15.2% 116 +12.2% 475 427 +11.2% incl. net interest income 105 87 +21.4% 94 +12.4% 377 339 +11.3% incl. fees
Slide 73: CPBS – Commercial & Personal Banking in Luxembourg: Volumes
CPBS – Commercial & Personal Banking in Luxembourg Volumes Average outstandings (€bn) 4Q22 %Var/4Q21 %Var/3Q22 2022 %Var/2021 LOANS 13.1 +5.5% +0.5% 12.9 +6.4% Individual Customers 8.2 +3.6% +0.8% 8.1 +4.0% Corporates and Local Governments 4.9 +8.9% -0.0% 4.8 +10.8% DEPOSITS AND SAVINGS 30.1 +2.6% -
Slide 74: CPBS – Europe-Mediterranean – 4Q22
CPBS – Europe-Mediterranean – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 Europe-Mediterranean Revenues 534 449 +19.0% 607 -11.9% 2,346 1,941 +20.9% incl. net interest income 433 320 +35.3% 488 -11.3% 1,895 1,470 +28.9% incl. fees 101 129 -21.4% 118 -14.4% 451 471 -4.1% Op
Slide 75: CPBS – Europe-Mediterranean: Volumes and risks
CPBS – Europe-Mediterranean Volumes and risks %Var/4Q21 %Var/3Q22 %Var/2021 at constant at constant at constant scope and scope and scope and 4Q22 historical historical 2022 historical exchange exchange exchange Average outstandings (€bn) rates rates rates n.s. n.s. n.s. n.s. n.s. n.s. n.s. n.s. n.s
Slide 76: CPBS – BancWest – 4Q22
CPBS – BancWest – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 BancWest Revenues 722 626 +15.4% 733 -1.5% 2,731 2,426 +12.6% incl. net interest income 605 502 +20.5% 615 -1.7% 2,282 2,026 +12.6% incl. fees 117 124 -5.2% 118 -0.6% 450 400 +12.4% Operating Ex penses and Dep.
Slide 77: CPBS – BancWest: Volumes
CPBS – BancWest Volumes %Var/4Q21 %Var/3Q22 %Var/2021 at constant at constant at constant scope and scope and scope and 4Q22 historical historical 2022 historical exchange exchange exchange Average outstandings (€bn) rates rates rates ns n.s. ns ns ns ns LOANS 58.5 +17.4% +5.0% -0.2% +1.4% 55.8 +13.
Slide 78: CPBS – Personal Finance – 4Q22
CPBS – Specialised Businesses – Personal Finance – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Personal Finance Revenues 1,283 1,294 -0.9% 1,345 -4.6% 5,387 5,216 +3.3% Operating Expenses and Dep. -739 -710 +4.1% -689 +7.3% -2,922 -2,804 +4.2% Gross Operating Income 544 584
Slide 79: CPBS – Personal Finance: Volumes and risks
CPBS – Specialised Businesses – Personal Finance Volumes and risks %Var/4Q21 %Var/3Q22 %Var/2021 at constant at constant at constant scope and scope and scope and 4Q22 historical historical 2022 historical exchange exchange exchange Average outstandings (€bn) rates rates rates TOTAL CONSOLIDATED OUT
Slide 80: CPBS – Specialised Businesses – 4Q22: Arval & Leasing Solutions
CPBS – Specialised Businesses – 4Q22 Arval & Leasing Solutions 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Arval & Leasing Solutions Revenues 858 709 +21.0% 874 -1.9% 3,438 2,675 +28.5% Operating Expenses and Dep. -347 -328 +5.8% -341 +1.7% -1,395 -1,298 +7.4% Gross Operating Inc
Slide 81: CPBS – Specialised Businesses: Arval & Leasing Solutions
CPBS – Specialised Businesses Arval & Leasing Solutions Arval %Var/4Q21 %Var/3Q22 %Var/2021 at constant at constant at constant 4Q22 2022 scope and scope and scope and historical historical historical exchange exchange exchange Average outstandings (€bn) rates rates rates Consolidated Outstandings 2
Slide 82: CPBS – Specialised Businesses – 4Q22: New Digital Businesses and Personal Investors
CPBS – Specialised Businesses – 4Q22 New Digital Businesses and Personal Investors 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 1 New Digital Businesses & Personal Investors Revenues 228 184 +23.6% 197 +15.7% 846 744 +13.7% Operating Expenses and Dep. -158 -143 +10.6% -149 +6.1% -
Slide 83: CPBS – Specialised Businesses: New Digital Businesses and Personal Investors
CPBS – Specialised Businesses New Digital Businesses and Personal Investors Nickel • ~3 million accounts opened1 as of the end of December 2022 (+24.5% vs. 31.12.21) Floa • Consolidation of 50% of Floa’s contribution effective 01.02.22 • 4 millions customers as of the end of December 2022 (+10.4% vs
Slide 84: Investment & Protection Services – 4Q22
Investment & Protection Services – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Investment & Protection Services Revenues 1,665 1,639 +1.6% 1,632 +2.0% 6,670 6,476 +3.0% Operating Expenses and Dep. -1,157 -1,164 -0.6% -1,087 +6.5% -4,363 -4,218 +3.5% Gross Operating Income 50
Slide 85: IPS – Insurance – 4Q22
IPS – Insurance – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / • Technical reserves: -4.0% vs. 4Q21 €m 4Q21 3Q22 2021 Insurance • Revenues: - 7.2% vs. 4Q21 Revenues 608 655 -7.2% 658 -7.6% 2,774 2,827 -1.9% • Increase in Savings and Operating Expenses and Dep. -387 -410 -5.7% -391 -1.1% -1,558
Slide 86: IPS – Wealth & Asset Management – 4Q22
IPS – Wealth & Asset Management – 4Q22 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Wealth and Asset Management Revenues 1,057 984 +7.4% 974 +8.5% 3,896 3,649 +6.8% Operating Expenses and Dep. -771 -754 +2.2% -696 +10.7% -2,806 -2,682 +4.6% Gross Operating Income 287 230 +24.5% 27
Slide 87: IPS – Insurance and WAM: Activity
IPS – Insurance and WAM1 Activity %Var/ %Var/ 31.12.22 31.12.21 30.09.22 €bn 31.12.21 30.09.22 Assets under management (€bn) 1,189.2 1,276.7 -6.9% 1,175.5 +1.2% Insurance 246.6 282.2 -12.6% 248.4 -0.7% Wealth Management 410.8 426.7 -3.7% 407.7 +0.8% AM+RE+PI 531.8 567.9 -6.3% 519.3 +2.4% Asset Manag
Slide 88: 4Q22 – Corporate Centre
4Q22 – Corporate Centre 4Q22 4Q21 4Q22 / 3Q22 4Q22 / 2022 2021 2022 / €m 4Q21 3Q22 2021 Corporate Center Revenues -249 -5 n.s. -46 n.s. -279 308 n.s. Operating Expenses and Dep. -190 -264 -28.3% -199 -4.5% -1,067 -903 +18.2% Incl. Restructuring, IT Reinforcement and Adaptation Costs -188 -82 n.s. -1
Slide 89: 2022 – Corporate Centre
2022 – Corporate Centre Reminder: scope excluding Principal Investments, which has been integrated into IPS Revenues • Revaluation of proprietary credit risk included in derivatives (DVA) (+€185m) offset by a negative non-recurring item in 1Q22 • 2021 reminder: high level of positive non-recurring i
Slide 90: Appendices
GROUP RESULTS DIVISION RESULTS CONCLUSION 4Q22 DETAILED RESULTS APPENDICES
Slide 91: Number of Shares and Earnings per Share
Number of Shares and Earnings per Share Number of Shares in millions 31-Dec-22 31-Dec-21 Number of Shares (end of period) 1,234 1,234 Number of Shares excluding Treasury Shares (end of period) 1,233 1,234 Average number of Shares outstanding excluding Treasury Shares 1,233 1,247 Reminder: cancellati
Slide 92: Capital Ratios and Book Value Per Share
Capital Ratios and Book Value Per Share Capital Ratios 31-Dec-22 31-Dec-21 Total Capital Ratio (a) 16.2% 16.4% Tier 1 Ratio (a) 13.9% 14.0% Common equity Tier 1 ratio (a) 12.3% 12.9% (a) CRD4, on risk-w eighted assets of €745 bn as at 31.12.22 and €714bn as at 31.12.21; refer to slide 95 Book value
Slide 93: Return on Equity and Permanent Shareholders' Equity
Return on Equity and Permanent Shareholders’ Equity Calculation of Return on Equity in millions of euros 31-Dec-22 31-Dec-21 Net income Group share 10,196 9,488 Remuneration net of tax of Undated Super Subordinated Notes and exchange effect -575 -436 Net income Group share used for the calculation o
Slide 94: A Solid Financial Structure
A Solid Financial Structure Doubtful loans/gross outstandings 31-Dec-22 31-Dec-21 Doubtful loans (a) / Loans (b) 1.7% 2.0% (a) Impaired loans (stage 3) to customers and credit institutions, not netted of guarantees, including on-balance sheet and off-balance sheet and debt securities measured at amo
Slide 95: Common Equity Tier 1 ratio
Common Equity Tier 1 ratio Basel 3 Common Equity Tier 1 ratio1 (Accounting capital to prudential capital reconciliation) €bn 31-Dec-22 30-Sep-22 31-Dec-21 Consolidated Equity 126.6 125.4 122.5 Undated super subordinated notes -11.8 -10.8 -9.2 2021 net income distribution project 0.0 0.0 -4.5 2 -5.8
Slide 96: Medium/Long Term Funding
Medium/Long Term Funding Continued presence in debt markets 2022 MLT regulatory issuance plan completed: 2023 MLT regulatory issuance plan7 €18.5bn in which: €18.9bn issued1, of which: • Capital instruments : €6.3bn2: • Capital instruments: €3.5bn7; AT1 €2.25bn already issued1 • AT1: €4bn • $1bn (de
Slide 97: TLAC ratio above the requirement
TLAC ratio: ~460bps above the requirement without calling on the Preferred Senior debt allowance as at 1st January 2023 TLAC requirement as at 01.01.23: 22.17% of RWA 26.7% • Including capital conservation buffer, G-SIB buffer, countercyclical 22.17% BNP Paribas capital buffer (10 bps) and systemic
Slide 98: Distance to MDA restrictions as of 1 January 2023
Distance to MDA restrictions as of 1 January 2023 Capital requirements as at 01.01.231: Capital and leverage requirements as at 01.01.231 CET1: 9.56% Pillar 1 Tier 1: 11.35% P2R Total Capital: 13.74% Conservation buffer G-SIB buffer Countercyclical buffer and systemic risk buffer Leverage requ
Slide 99: Cost of risk (1/3)
Cost of risk (1/3) Cost of risk / Customer loans outstanding at the beginning of the period (in annualised bps) Group • Cost of risk: €773m (-€173m vs. 3Q22; +€263m vs. 4Q21) • Cost of risk at a low level • Decrease of cost of risk on non-performing loans (stage 3) 66 • Release of provisions on perf
Slide 100: Cost of risk (2/3)
Cost of risk (2/3) Cost of risk vs. Customer loans outstanding at the beginning of the period (in annualised bps) CPBF1 • Cost of risk: -€21m (-€123m vs. 3Q22; -€121m vs. 4Q21) • Cost of risk at a very low level • Strong release of provisions (stages 1 & 2) related to a change in method (-€163m)2 17
Slide 101: Cost of risk (3/3)
Cost of risk (3/3) Cost of risk / Customer loans outstanding at the beginning of the period (in annualised bps) Personal Finance 212 • Cost of risk: €413m (+€77m vs. 3Q22; +€67m vs. 4Q21) 170 145 141 143 138 147 130 150 134 129 139 • Lower provisions on non-performing loans (stage 3) • Provisions on
Slide 102: Risk-Weighted Assets
Risk-Weighted Assets Basel 3 Risk-Weighted Assets1: €745bn as at 31.12.22 (€714bn as at 31.12.21) The +€31bn change is mainly explained by: • +€26bn increase in credit risk • +€2bn increase in counterparty risk • +€2bn increase in securitisation positions in the banking book bn€ 31.12.22 30.09.22 31
Slide 103: Basel 3 risk-weighted assets by business as at 31.12.22
Basel 31 risk-weighted assets by business as at 31.12.22 CPBF: 13% CPBS: 56% Global Markets & Securities BNL bc: 6% Services: 13% Commercial & Personal CPBB: 7% Banking in the Euro CIB: 33% zone: 27% CPBL: 1% Global Banking: 20% Europe-Mediterranean: 7% BancWest: 7% Commercial & Personal Other Activ