Societe Generale S.a. Class A · EURONEXT:GLE
Societe Generale S.a. Class A — Debt Investor Presentation (February 2021)
78 slides from Societe Generale S.a. Class A's debt investor presentation, February 2021
Slide 1: Presentation to Debt Investors
PRESENTATION TO DEBT INVESTORS 4th quarter 2020 | February 2021
Slide 2: Disclaimer
DISCLAIMER This presentation contains forward-looking statements relating to the targets and strategies of the Societe Generale Group. These forward-looking statements are based on a series of assumptions, both general and specific, in particular the application of accounting principles and methods
Slide 3: Key Highlights and Group Performance
1 KEY HIGHLIGHTS AND GROUP PERFORMANCE
Slide 4: Q4 & 2020 Key Highlights
Q4 20 & 2020 KEY HIGHLIGHTS RESILIENT 2020 GUIDANCE EXECUTING KEY ACTIVITY IN Q4 MET STRATEGIC INITIATIVES CONFIRMED IMPROVEMENT IN COSTS COMBINING FRENCH RETAIL GROUP REVENUES EUR 16.5bn(1) NETWORKS EUR EUR 5.8bn in Q4 20 (-5%(1) vs. 2019) 16.5bn towards a more efficient model +1.6%* vs. Q3 20 and
Slide 5: Q4 Performance Confirming Rebound in H2
Q4 20 PERFORMANCE CONFIRMING REBOUND IN H2 POSITIVE CONTAINED RESILIENT JAWS COST OF RISK PROFITABILITY REVENUES UNDERLYING GROUP NET INCOME -2.3%* vs. Q4 19 54BP EUR 631m(1) 40bp in Q3 20 COSTS 29bp in Q4 19 ROTE -3.0%*(1) vs. Q4 19 4.1%(1) Resilient retail activities in a Prudent provisioning with
Slide 6: Delivering on Costs: -5% vs. 2019
DELIVERING ON COSTS: -5% VS. 2019 COMMITTED TO FURTHER DECREASE UNDERLYING _ Costs (EURbn) COSTS BY 2023 VS. 2020 17.4 +0.1 +0.1 -0.3 KEY INITIATIVES LAUNCHED -0.8 WITH BENEFIT EXPECTED +22bp FROM 2022 ONWARDS 16.5 +0.2 16.7 ~EUR 450m decrease in cost base on Global Markets from 2022/2023 ~EUR 450m
Slide 7: Contained Cost of Risk
CONTAINED COST OF RISK _Cost of risk(1) (in bp) 2019 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 2020 NON-PERFORMING LOAN RATIO(2) 65 97 DEC 16 DEC 17 DEC 18 DEC 19 DEC 20 40 54 64 GROUP 25 29 4.9% 85 4.2% 49 50 52 3.4% 3.3% FRENCH RETAIL BANKING 24 30 24 3.1% INTERNATIONAL RETAIL 125 102 89 96 BANKING AND FINANC
Slide 8: Prudent Provisioning
PRUDENT PROVISIONING BREAKDOWN BY STAGE DETAILED STAGE SPLIT ACROSS BUSINESSES _Cost of risk(1) (in EURm and in bp) _ Q4 20 Cost of risk(1) (in EURm) _2020 Cost of risk(1) (in EURm) 3,306 64bp 3,306 689 54bp 689 922 1,367 26bp 104 1,939 4 367 29bp 9 287 367 322 1,265 1,367 612 26 310 1,939 38bp 79 7
Slide 9: Manageable Residual Exposure on Covid Related Measures
MANAGEABLE RESIDUAL EXPOSURE ON COVID RELATED MEASURES EXPIRATION OF MORATORIA(1) NET EXPOSURE ON STATE GUARANTEED LOANS MORE THAN 85% OF TOTAL MORATORIA ALREADY EXITED EUR 19BN STATE GUARANTEED LOANS AT END-20, (>90% IN FRANCE) OF WHICH EUR 18BN IN FRANCE (“PGE”) EUR 2BN OF NET EXPOSURE ON PGE _Out
Slide 10: Focus on Exposures
FOCUS ON EXPOSURES CORPORATE PORTFOLIO BREAKDOWN EXPOSURE TO SENSITIVE SECTORS CORPORATE EAD(1) IN EACH SECTOR IN % OF TOTAL GROUP EAD AT 31.12.2020 ACCOMMODATION*: 0.3% of total Group EAD Total Group EAD: EUR 1,004BN Finance & insurance 6.1% CATERING*: 0.3% of total Group EAD Business services(2) 3
Slide 11: IFRS 9 Monitoring
IFRS 9 MONITORING METHODOLOGY APPLIED As of Q4 20, update of IFRS 9 parameters to fully include forward-looking information based on: • Specific sector / areas-at-risk adjustments (e.g. loans under non expired moratoria) • Updated 4 macroeconomic scenarios with conservative adjustments made to take
Slide 12: Group Results
GROUP RESULTS I n EURm Q4 2 0 Q4 1 9 C hange 2020 2019 C hange N et b ank i ng i ncom e 5,838 6,213 -6.0% -2.3%* 22,113 24,671 -10.4% -7.6%* Op erat i ng exp enses (4 , 3 5 1 ) (4 , 5 0 3 ) -3.4% -0.2%* (1 6 , 7 1 4 ) (1 7 , 7 2 7 ) -5.7% -3.4%* Underlying operating expenses(1) (4,318) (4,595) -6.0%
Slide 13: Business Performance
2 BUSINESS PERFORMANCE
Slide 14: French Retail Banking Results
FRENCH RETAIL BANKING RESULTS REVENUES(2) up +0.7% vs. Q3 20 (-5.0% vs. Q4 19) I n EURm Q4 2 0 Q4 1 9 Change 2020 2019 Change Net banking income 1,845 1,957 -5.7% 7,315 7,746 -5.6% Net interest margin(2)(3) +0.4% vs. Q3 20 (-4.2% Net banking income excl. PEL/CEL 1,870 1,969 -5.0% 7,381 7,863 -6.1% v
Slide 15: French Retail Banking
FRENCH RETAIL BANKING KEY FACTS OUTSTANDINGS Corporates and Professionals +25.0% (+2.3% excl. PGE) vs. Q4 19 Continuous support of our clients during the crisis (>98,200 requests for Medium-Term corporate loan outstandings increasing on top of State State Guaranteed Loans) Guaranteed Loans growth In
Slide 16: International Retail Banking and Financial Services Results
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES RESULTS REVENUES UP +4%* vs. Q3 20 and + 0.3%* vs. I n EURm Q4 2 0 Q4 1 9 Change 2020 2019 Change Q4 19 driven by a strong rebound in financial services Net banking income 1,919 2,077 -7.6% +0.3%* 7,524 8,373 -10.1% -2.9%* Operating expenses (1,018
Slide 17: International Retail Banking
INTERNATIONAL RETAIL BANKING EUROPE RUSSIA(1) AFRICA AND OTHER +3%* +8%* +3%* +14%* +2%* +8%* LOANS OUTSTANDING vs. Dec 19 DEPOSITS vs. Dec 19 LOANS OUTSTANDING vs. Dec 19 DEPOSITS vs. Dec 19 LOANS OUTSTANDING vs. Dec 19 DEPOSITS vs. Dec 19 _Revenues (EURm) _Revenues* (EURm) _Revenues (EURm) 653 589
Slide 18: Financial Services
FINANCIAL SERVICES INSURANCE FINANCIAL SERVICES TO CORPORATES +1%* +8% 1.8 m +12%* LIFE INSURANCE OUTSTANDING PROTECTION PREMIUM IN FRANCE TOTAL ALD CONTRACTS REVENUES vs. Dec 19 vs. Q4 19 as of Dec 20 vs. Q4 19 _Revenues (EURm) _Revenues (EURm) 442 452 459 382 229 211 223 224 Q1 20 Q2 20 Q3 20 Q4 2
Slide 19: Global Banking and Investor Solutions Results
GLOBAL BANKING AND INVESTOR SOLUTIONS RESULTS RESILIENT REVENUES +2.4%* vs. Q3 20 (-2.7%* I n EURm Q4 2 0 Q4 1 9 Change 2020 2019 Change vs. Q4 19), driven by robust performance in Financing & Net banking income 2,072 2,186 -5.2% -2.7%* 7,613 8,704 -12.5% -11.8%* Operating expenses (1,688) (1,773) -
Slide 20: Global Markets and Investor Services
GLOBAL MARKETS AND INVESTOR SERVICES GLOBAL MARKETS & INVESTOR SERVICES REVENUES: -8%* vs. Q4 19 _Global Markets Revenues (EURm) EQUITIES –7% VS. Q4 19 (+12% VS. Q3 20) Revenue normalisation, with progressive recovery in structured products 1,212 1,128 1,131 Higher flow & hedging revenues with stron
Slide 21: Financing & Advisory; Asset & Wealth Management
FINANCING & ADVISORY ASSET & WEALTH MANAGEMENT FINANCING & ADVISORY: +9%* VS. Q4 19, +18%* VS. Q3 20 _Revenues (EURm) Strong profitability (Reported group Net Income +79%* vs. Q4 19) Gaining market share on core franchises in 2020 #1 Worldwide Project Financing Advisor (1) #2 Export Finance worldwid
Slide 22: Corporate Centre
CORPORATE CENTRE I n EURm Q4 2 0 Q4 1 9 2020 2019 Net banking income 2 (7) (339) (152) UNDERLYING GROSS OPERATING Operating expenses (202) (98) (441) (94) INCOME AT EUR 160m in Q4 20 Underlying operating expenses (1) (162) (110) (388) (94) excluding restructuring charges (EUR 53m) Gross op erat i ng
Slide 23: 2020 Key Takeaways
2020 KEY TAKEAWAYS RESPONSIBLE IMPROVING LAYING THE FOUNDATIONS MANAGEMENT OF THE PERFORMANCE IN OF THE FUTURE CRISIS H2-20 · STRONG MOBILISATION OF OUR STAFF · STRONG REBOUND OF UNDERLYING · SETTING AMBITIONS FOR MOST OF OUR GROSS OPERATING INCOME IN H2 FRANCHISES · OPERATIONAL RESILIENCE AND BUSIN
Slide 24: 2021 Priority: Focus on Execution
2021 PRIORITY : FOCUS ON EXECUTION COMMITTED TO CLIENT MAINTAIN STRONG CREATE VALUE CENTRICITY AND FRANCHISE DISCIPLINE FOR DEVELOPMENT SHAREHOLDERS · MAINTAIN PROXIMITY AND STRONG · RIGOROUS AND SELECTIVE · FINALISE THE REFINEMENT OF COMMITMENT WITH OUR CLIENTS CAPITAL ALLOCATION OUR BUSINESS MODEL
Slide 25: Save the Date
SAVE THE DATE GLOBAL BANKING & DEEP DIVE INTO INVESTOR SOLUTIONS SUSTAINABILITY STRATEGY 10 MAY 2021 H2 2021 PRESENTATION TO DEBT INVESTORS FEBRUARY 2021 25
Slide 26: Capital and Liquidity
3 CAPITAL AND LIQUIDITY
Slide 27: Regulatory Ratios Comfortably Above Minimum Requirements
REGULATORY RATIOS COMFORTABLY ABOVE MINIMUM REQUIREMENTS Requirements (1) End-Q4 20 ratios End-Q4 20 ratios Including IFRS9 phasing Fully-loaded CET1 9.02% (2) 13.4% 13.2% Total Capital 13.3% 19.2% 18.9% Leverage ratio 3.5% 4.8%(5) 4.7%(5) 19.5% (% RWA) (3) 30.9% (% RWA) 30.6% (% RWA) TLAC 6.0% (% l
Slide 28: CET 1 Ratio Well Above Target
CET 1 RATIO WELL ABOVE TARGET STRONG BALANCE SHEET _Q4 20 change in CET 1(1) ratio (in bp) +10bp -36bp CET 1 AT 13.4% +14bp ~ 440bp buffer over MDA at 9.02%(3) +27bp +16bp -2bp 13.4% LEVERAGE RATIO AT 4.7% (4) +28bp IFRS 9 13.1% phasing +19bp TLAC RATIO AT 30.9%(5) IFRS 9 phasing BALANCE SHEET MEETI
Slide 29: Committed to Maintain a Strong CET 1
COMMITTED TO MAINTAIN A STRONG CET 1 Factoring in - business growth - cash distribution based on a 50% pay-out > 200BP CET 1 Buffer over MDA of the underlying Group net income(1) TARGET At any point in time - estimated Basel IV impact Inc. under Basel IV Basel IV estimated impact at ~ EUR 39bn(2) fr
Slide 30: TLAC / MREL
GROUP TLAC / MREL _TLAC ratio _MREL ratio Meeting 2020 (19.5%) and 2022 (21.5%)(1) requirements Meeting total requirements (notification received in May 2020) % RWA (1) % RWA (2) 30.9% Q4 ratios Q4 ratios 2.4% SP SP SNP 24.4% SNP T2 (*) 8.8% 8.8% T2 (*) AT1 19.5% CET 1 AT1 % Leverage % TLOF CET 1 3.
Slide 31: Long Term Funding Programme: 2020 Completed, 2021 Already Well Advanced
LONG TERM FUNDING PROGRAMME: 2020 COMPLETED, 2021 ALREADY WELL ADVANCED 2020 completed programme breakdown EUR 34.3bn raised in 2020 (incl. EUR 3.9bn of pre-funding), o/w: (excluding pre-funding for 2021) - EUR 16.3bn of vanilla debt: - EUR 1.2bn AT1 3% Senior structured issues - EUR 1.4bn T2 25% -
Slide 32: Group Long Term Funding Breakdown
GROUP LONG TERM FUNDING BREAKDOWN(1) Access to diversified and _Breakdown as of complementary investor bases through: Senior Non-Preferred Issues 31.12.2020 Subordinated issuances Senior vanilla issuances (public or private Subordinated Debt(2) placements) Senior structured notes distributed to inst
Slide 33: Strengthened Funding Structure
STRENGTHENED FUNDING STRUCTURE _Loan to Deposit Ratio Robust balance sheet Slightly decreasing loan to deposit ratio 600 93% 95% 93% 92% 90% 105% 513 High quality asset buffers 500 455 488 469 495 471 506 463 504 463 Loans (EUR bn) 80% Comfortable LCR at 153% on average in Q4 20 400 Deposits (EUR bn
Slide 34: Credit Rating Overview
CREDIT RATING OVERVIEW Good fundamentals S&P: “Diverse business model by geography and _Credit Rating as of January 2021 segment” Moody’s: “Strong franchise and well-diversified Fitch Moody’s S&P universal banking business model” LT/ST A(dcr) A1(cr)/P-1(cr) A/A-1 Fitch: “The bank's ratings remain su
Slide 35: CSR Strategy
4. CSR STRATEGY
Slide 36: Recognised Leadership in Sustainability
RECOGNISED LEADERSHIP IN SUSTAINABILITY BEST-IN-CLASS A1+ 68/100 AA 79/100 C+ ‘PRIME’ 25.9 ‘MEDIUM’ RISK EXTRA-FINANCIAL TOP 1% WORLDWIDE TOP 14% TOP DECILE TOP DECILE TOP QUARTILE VIGEO EIRIS MSCI SAM ISS ESG SUSTAINALYTICS RATINGS IN 2020 LEADING THE FINANCING OF ACCOMPANYING PRIORITISING DIVERSIT
Slide 37: Mapping of 2020 Extra-Financial Ratings
MAPPING OF 2020 EXTRA-FINANCIAL RATINGS AGENCIES BEST SCORE WORST POSITION VERSUS PEERS A1+ D3- TOP 1% ALL COMPANIES 100 68 60 50 30 0 WORLDWIDE AAA AA A BBB BB B CCC TOP 14% BANKS WORLDWIDE 100 79 60 57 54 30 0 TOP DECILE BANKS WORLDWIDE A+ C+ C C- D+ D D- TOP DECILE BANKS WORLDWIDE 0 10 20 25.9 30
Slide 38: New Stage in the Energy Transition
NEW STAGE IN THE ENERGY TRANSITION ACHIEVED THROUGH: SETTING SECTOR-BY-SECTOR TARGETS FOR _ The common open source methodology ALL FINANCING ACTIVITIES, STARTING WITH THE MOST defined with 4 other banks** for sector CARBON INTENSIVE SECTORS alignment of credit portfolios ‘PACTA for Banks’ _ Towards
Slide 39: PACTA: Pioneering Alignment of Credit Portfolios
PACTA: PIONEERING ALIGNMENT OF CREDIT PORTFOLIOS Implementing a standard, called PACTA for Banks, which is open source and available for all to use: joint publication of a methodology with the Katowice Banks and 2DII in September 2020 OBJECTIVE: _ Select indicators that are enablers of the transitio
Slide 40: Six Strategic CSR Priorities: Transform to Grow
SIX STRATEGIC CSR PRIORITIES: "TRANSFORM TO GROW" CSR PRIORITIES APPROVED CLIMATE BY BOARD RESPONSIBLE CHANGE EMPLOYER Committed to align Developing lending portfolio employee skills, with Paris Agreement SUSTAINABLE adapting to changing Integration of E&S DEVELOPMENT ETHICS & environments risk mana
Slide 41: A Corporate Purpose Approved by the Board That Guides Our Strategic Plan
A CORPORATE PURPOSE APPROVED BY THE BOARD THAT GUIDES OUR STRATEGIC PLAN OUR CORPORATE STAKEHOLDER STRATEGIC PLAN ROLL OUT CORPORATE PURPOSE DIALOGUE ACROSS GROUP PURPOSE _ Corporate Purpose 3 pillars for the next _ All Business and Clarification of the Group Corporate drew on 85,000 Strategic Plan:
Slide 42: Supplement
5 SUPPLEMENT
Slide 43: Well Positioned to Leverage Accelerated Client Shift Towards Digital
WELL POSITIONED TO LEVERAGE ACCELERATED CLIENT SHIFT TOWARDS DIGITAL BEST-IN-CLASS DIGITAL LEVERAGING AN PIONEERING NEW ADOPTION IN RETAIL ADVANCED AND AGILE IT BUSINESS MODELS 60% 58% 72% BANK AS A SERVICE 60% DIGITAL CLIENTS (1) ~80%(4) INFRASTRUCTURE Group ON CLOUD 80% SG French KB Network 94% PA
Slide 44: Quarterly Income Statement by Core Business
GROUP QUARTERLY INCOME STATEMENT BY CORE BUSINESS International Retail Banking Global Banking and Investor French Retail Banking Corporate Centre Group and Financial Services Solutions In EURm Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Net banking incom e 1,845 1,957 1,919
Slide 45: 2020 Income Statement by Core Business
GROUP 2020 INCOME STATEMENT BY CORE BUSINESS International Retail Banking Global Banking and Investor French Retail Banking Corporate Centre Group and Financial Services Solutions In EURm 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 Net banking incom e 7,315 7,746 7,524 8,373 7,613 8,704 ( 339)
Slide 46: Underlying Data - Reconciliation with Reported Figures
GROUP UNDERLYING DATA - RECONCILIATION WITH REPORTED FIGURES Net profit or Impairment Operating Net cost Income Q4 20 (in EURm) losses from losses on Group net income Business Expenses of risk tax other assets goodwill Reported (4 351) (689) (94) 0 (125) 470 (+) IFRIC 21 linearisation (177) 52 (121)
Slide 47: Underlying Data - IFRIC Impact
GROUP UNDERLYING DATA - IFRIC 21 IMPACT International Retail Global B anking and French Retail B anking B anking and Financial Corporate Centre Group Inv estor Solutions Serv ices In EUR m 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 Total IFRIC 21 Im pact - costs -132 -100 -96 -112 -428 -346 -
Slide 48: CRR/CRD4 Prudential Capital Ratios
GROUP CRR/CRD4 PRUDENTIAL CAPITAL RATIOS _Fully Loaded Common Equity Tier 1, Tier 1 and Total Capital In EURbn 31/ 12/ 2020 31/ 12/ 2019 Shareholder equity Group share 61.7 63.5 Deeply subordinated notes* (8.8) (9.5) Undated subordinated notes* (0.3) (0.3) Dividend to be paid & interest on subordina
Slide 49: CRR Leverage Ratio
GROUP CRR LEVERAGE RATIO _CRR Fully Loaded Leverage Ratio(1) 31/ 12/ 2020 31/ 12/ 2019 In EURbn Tier 1 Capital 55.3 51.9 Total prudential balance sheet (2) 1,309 1,204 Adjustement related to derivative exposures (119) (81) Adjustement related to securities financing transactions* 6 (3) Off-balance s
Slide 50: Risk-Weighted Assets
GROUP RISK-WEIGHTED ASSETS* (CRR/CRD 4, IN EUR BN) 124.5 125.9 345.0 352.3 352.4 115.3 117.7 Total 112.2 52.0 49.2 108.0 48.0 6.9 31.9 0.1 6.8 32.2 97.8 97.5 98.9 0.1 5.6 14.5 15.9 15.3 0.1 32.2 5.3 5.4 4.4 0.1 Operational 0.1 0.1 15.5 15.0 Market 13.5 Credit 108.3 105.3 287.9 102.3 282.5 284.4 92.4
Slide 51: Geographic Breakdown of SG Group Commitments at 31.12.2020
GROUP - GEOGRAPHIC BREAKDOWN OF SG GROUP COMMITMENTS AT 31.12.2020 On-and off-balance sheet EAD* Others On-balance sheet EAD* All customers All customers included included: EUR: 3617.749531bn EUR 1 004bn All All customers includedEUR customers included: : EUR 762bn 3065.850601bn Asia-Pacific Africa
Slide 52: Change in Gross Book Outstandings
GROUP CHANGE IN GROSS BOOK OUTSTANDINGS* End of period in EUR bn 529.4 527.7 520.8 Total 518.6 501.2 502.4 504.6 504.8 507.1 175.7 162.4 147.5 154.7 164.9 164.2 160.9 157.5 158.1 Global Banking and Investor Solutions 135.7 134.2 135.5 139.8 138.2 135.9 135.7 136.6 138.5 International Retail Banking
Slide 53: Non-Performing Loans
GROUP NON-PERFORMING LOANS In EUR bn 31/12/2020 30/09/2020 31/12/2019 Stage 1 book outstandings* 447.3 467.5 481.2 Stage 2 book outstandings* 49.2 32.6 25.9 Doubtful loans (stage 3) 17.0 17.7 16.1 Total Gross book outstandings* 513.6 517.8 523.2 Group Gross non performing loans ratio 3.3% 3.4% 3.1%
Slide 54: Change in Trading VaR and Stressed VaR
GROUP CHANGE IN TRADING VAR* AND STRESSED VAR** _Quarterly Average of 1-Day, 99% Trading VaR* (in EUR m) 40 34 28 26 30 Trading VaR* 21 18 22 23 Credit Interest Rates 43 Equity 33 23 Forex 8 20 Commodities 16 6 7 10 28 21 15 19 Compensation Effect 13 12 10 11 11 17 13 15 15 19 19 20 20 20 4 4 32 32
Slide 55: EPS Calculation
GROUP EPS CALCULATION Average number of shares (thousands) 2020 2019 2018 Existing shares 853,371 834,062 807,918 Deductions Shares allocated to cover stock option plans and free shares awarded to staff 2,987 4,011 5,335 Other own shares and treasury shares 149 842 Num ber of shares used to calculat
Slide 56: Net Asset Value, Tangible Net Asset Value
GROUP NET ASSET VALUE, TANGIBLE NET ASSET VALUE End of period 2020 2019 2018 Shareholders' equity Group share 61,684 63,527 61,026 Deeply subordinated notes (8,830) (9,501) (9,330) Undated subordinated notes (264) (283) (278) Interest, net of tax, payable to holders of deeply subordinated notes & un
Slide 57: ROE/ROTE Calculation Detail
GROUP ROE/ROTE CALCULATION DETAIL End of period Q4 20 Q4 19 2020 2019 Shareholders' equity Group share 61,684 63,527 61,684 63,527 (8,830) (9,501) (8,830) (9,501) Deeply subordinated notes Undated subordinated notes (264) (283) (264) (283) Interest net of tax payable to holders of deeply subordinate
Slide 58: French Retail Banking: Net Banking Income
FRENCH RETAIL BANKING NET BANKING INCOME Change _NBI, in EURm Q4 20 vs. Q4 19 1,957 1,880 1,754 1,836 1,845 -5.7% Fees(2) Commissions(2) 884 859 834 855 -5.7% vs. 2019 780 -3.3% Other Income (2) 67 46 17 52 39 -41.3% Net Interest Margin(1)(2) Net interest margin(1)(2) 1,018 999 952 971 976 -3.6% vs.
Slide 59: French Retail Banking: Customer Deposits and Financial Savings
FRENCH RETAIL BANKING CUSTOMER DEPOSITS AND FINANCIAL SAVINGS _Average outstanding, in EURbn Change Q4 20 vs. Q4 19 +9.8% 318 318 332 343 349 Life Insurance -2.3% Financial Savings 93 94 Mutual Funds EUR 106.4bn 93 96 94 -0.8% +12.7% 10 12 10 11 11 Sight Deposits(1) 140 141 +18.7% 132 118 119 PEL De
Slide 60: French Retail Banking: Loans Outstanding
FRENCH RETAIL BANKING LOANS OUTSTANDING _Average outstanding, net of provisions in EURbn Change Q4 20 vs. Q4 19 202 206 216 222 223 +10.5% +3.5% Housing 109 110 109 107 109 Consumer Credit 13 13 -3.1% and Overdraft 13 13 13 Business 94 100 99 +21.9% Customers* 82 84 Financial Institutions 0.2 0.2 0.
Slide 61: International Retail Banking and Financial Services: Quarterly Results
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES QUARTERLY RESULTS Financial Services to International Retail Banking Insurance Total Corporates I n EUR m Q4 2 0 Q4 1 9 C hange Q4 2 0 Q4 1 9 C hange Q4 2 0 Q4 1 9 C hange Q4 2 0 Q4 1 9 C hange Net banking incom e 1,236 1,392 -3.5%* 224 222 +1.1%*
Slide 62: International Retail Banking and Financial Services: 2020 Results
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES 2020 RESULTS International Retail Banking Insurance Financial Services to Corporates Total I n EUR m 2020 2019 C hange 2020 2019 C hange 2020 2019 C hange 2020 2019 C hange Net banking incom e 4,902 5,592 -3.4%* 887 909 -2.1%* 1,735 1,872 -2.1%* 7,
Slide 63: International Retail Banking: Breakdown by Region, Quarterly Results
INTERNATIONAL RETAIL BANKING BREAKDOWN BY REGION - QUARTERLY RESULTS Africa, Asia, Total International Western Europe Czech Republic Romania Other Europe Russia (1) Mediterranean bassin Retail Banking and Overseas I n M EUR Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0 Q4 1 9 Q4 2 0
Slide 64: International Retail Banking: Breakdown by Region, 2020 Results
INTERNATIONAL RETAIL BANKING BREAKDOWN BY REGION – 2020 RESULTS Africa, Asia, Total International Western Europe Czech Republic Romania Other Europe Russia (1) Mediterranean bassin Retail Banking and Overseas I n M EUR 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 2020 2019 Net banking
Slide 65: Loan and Deposit Outstandings Breakdown
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES LOAN AND DEPOSIT OUTSTANDINGS BREAKDOWN _Loan Outstandings Breakdown (in EURbn) _Deposit Outstandings Breakdown (in EURbn) Change Change Dec 20 vs. Dec 19 Dec 20 vs. Dec 19 1.1 1.1 -0.1%* 78.1 +8.8%* 79.6 18.5 -0.8%* o.w. Equipment 14.1 Finance(1)
Slide 66: Presence in Africa
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES PRESENCE IN AFRICA Clients NBI Net income C/I RWA 4m EUR1.5bn EUR 110m 61% EUR 21bn 2020 NBI RWA Credits Deposits L/D ratio Ranking (1) ( In EUR m ) ( In EUR m ) ( In EUR m ) ( In EUR m ) Morocco 448 8 152 8 178 7 122 115% 5th Algeria 145 1 463 1 3
Slide 67: SG Russia
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES SG RUSSIA(1) _SG Russia Results In EUR m Q4 2 0 Q4 1 9 Change* 2020 2019 Change* Net banking incom e 185 245 -2% 793 899 1% Operating expenses (119) (165) -9% (499) (608) -7% Gross operating incom e 66 80 11% 294 291 18% Net cost of risk (38) (32)
Slide 68: Insurance Key Figures
INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES INSURANCE KEY FIGURES _Life Insurance Outstandings and Unit Linked Breakdown (in EURbn) _Personal Protection Insurance Premiums (in EURm) Change 125.1 119.9 119.9 122.1 122.4 125.6 Q4 20 /Q4 19 269 279 266 +1.9%* 30% 27% 30% 30% Unit Linked 260 259
Slide 69: Global Banking and Investor Solutions: Quarterly Results
GLOBAL BANKING AND INVESTOR SOLUTIONS QUARTERLY RESULTS Global Markets and Investor Asset and Wealth Total Global Banking and Investor Financing and Advisory Services Management Solutions I n EUR m Q4 2 0 Q4 1 9 C hange Q4 2 0 Q4 1 9 C hange Q4 2 0 Q4 1 9 C hange Q4 2 0 Q4 1 9 C hange Net banking in
Slide 70: Global Banking and Investor Solutions: 2020 Results
GLOBAL BANKING AND INVESTOR SOLUTIONS 2020 RESULTS Global Markets and Investor Total Global Banking and Investor Financing and Advisory Asset and Wealth Management Services Solutions I n EUR m 2020 2019 C hange 2020 2019 C hange 2020 2019 C hange 2020 2019 C hange Net banking incom e 4,164 5,210 -19
Slide 71: Global Banking and Investor Solutions: Risk-Weighted Assets
GLOBAL BANKING AND INVESTOR SOLUTIONS RISK-WEIGHTED ASSETS _Global Markets and Investor Services (in EURbn) 61.2 63.4 63.5 24.7 24.7 24.0 12.7 14.6 13.6 23.9 24.1 25.9 Q4 19 Q3 20 Q4 20 Operational _Financing and Advisory (in EURbn) Market _Asset and Wealth Management (in EURbn) Credit 48.3 52.1 53.
Slide 72: Global Banking and Investor Solutions: Revenues
GLOBAL BANKING AND INVESTOR SOLUTIONS REVENUES _Global Markets and Investor Services Revenues (in EURm) _Asset and Wealth Management Revenues (in EURm) 169 5 5 145 4 5 153 Securities 4 Services 57 50 40 494 149 64 Others 569 414 53 150 Fixed Income and Lyxor Currencies 700 187 181 176 162 Private 63
Slide 73: Global Banking and Investor Solutions: Key Figures
GLOBAL BANKING AND INVESTOR SOLUTIONS KEY FIGURES _Private Banking: Assets under Management (in EURbn) _Lyxor: Assets under Management (in EURbn) 119 111 114 114 116 149 132 133 140 126 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 _Securities Services: Assets under Custody (in EURbn)
Slide 74: Recognised Expertise: League Tables, Rankings, Awards
GLOBAL BANKING AND INVESTOR SOLUTIONS RECOGNISED EXPERTISE: LEAGUE TABLES - RANKINGS - AWARDS AWARDS LEAGUES TABLES AND RANKINGS FINANCING AND ADVISORY GLOBAL MARKETS ASSET&WEALTHMANAGEMENT EUROMONEY CASH FEINGOLD MANAGEMENT RESEARCH 2020 SURVEY 2020 #1 Issuer of Public Distribution #1 Best Service
Slide 75: Financing & Advisory: Supporting Clients in Their Transformations
FINANCING & ADVISORY SUPPORTING CLIENTS IN THEIR TRANSFORMATIONS CLIENT PROXIMITY LACTALIS Société Générale advised and underwrote 50% of a EUR 10.5bn INNOVATION Underwriter, MLA/Bookrunner, Global financing package for the acquisition of Kraft Heinz natural cheese PRODUCT EXCELLENCE Coordinator, Fi
Slide 76: Methodology (1/3)
METHODOLOGY (1/3) 1 – The financial information presented for the fourth quarter and full year ended 31 December 2020 was reviewed by the Board of Directors on 9 February 2021 and has been prepared in accordance with IFRS as adopted in the European Union and applicable at this date. The audit proced
Slide 77: Methodology (2/3)
METHODOLOGY (2/3) 6 – Cost of risk in basis points, coverage ratio for non-performing loans The cost of risk or commercial cost of risk is defined on pages 45 and 574 of Societe Generale’s 2020 Universal Registration Document. This indicator makes it possible to assess the level of risk of each of t
Slide 78: Methodology (3/3)
METHODOLOGY (3/3) The net result by the group retained for the numerator of the ratio is the net profit attributable to the accounting group adjusted by the interest to be paid on TSS & TSDI, interest paid to the holders of TSS & TSDI amortization of premiums issues and unrealized gains/losses accou
Societe Generale — Debt Investor Presentation (February 2021) on 6ix