Banco de Credito e Inversiones · BCS:BCI
Banco de Credito e Inversiones — Q3 2013 Earnings Presentation
30 slides from Banco de Credito e Inversiones's earnings presentation, Dec 6, 2013
Slide 1: Annual Conference Call 2013
Clic para editar título Annual Conference Call 2013 Banco Crédito e Inversiones December 6, 2013 Annual Conference Call 2013
Slide 2: Main awards and recognitions 2013
Main awards and recognitions 2013 1st place in Chile 1st place – Banking group (Second year) Corporate Transparency (Second year) 1st place in Chile 1st place – Private Banking (Second year) Most Responsible Company and Best Corporative Governance (Third consecutive year) 1st place in Chile – Asset
Slide 3: Leadership in customer experience
Leadership in customer experience 2011 2012 Retail* Customer satisfaction (Snex) 2º 1º Customer recommendation (NPS) N/A 1º Commercial* Customer satisfaction (Snex) 2º 1º Customer recommendation (NPS) 1º 1º Corporate* Customer satisfaction (Snex) 2º 1º Customer recommendation (NPS) N/A 1º Brand Bran
Slide 4: 3rd largest privately owned bank in Chile
3rd largest privately owned bank in Chile Total Loans* Market Share** Net Income Market Share** 13.03% 15.98% BCI BCI Others 19.30% Banco de Chile Banco de Chile Others. 30.58% 34.35% 65.44% 74.69% Santander 25.31 % Santander 19.21% Banco Estado 21.60% Banco Estado 13.91% 6.53% Shareholder’s Equity
Slide 5: Financial results
Financial results Ch$ Million 3Q’12 4Q’12 1Q’13 2Q’13 3Q’13 %∆LTM Operating Revenues 209,728 253,009 226,088 235,027 268,241 12.6% Provision Expenses (44,102) (26,492) (55,673) (53,902) (57,701) 13.6% Operating Expenses (101,710) (119,741) (106,509) (109,177) (111,313) 11.7% Income Before Taxes 65,6
Slide 6: Financial results
Financial results Ch$ Million 3Q’12 4Q’12 1Q’13 2Q’13 3Q’13 %∆LTM Operating Revenues 209,728 253,009 226,088 235,027 268,241 12.6% Provision Expenses (44,102) (26,492) (55,673) (53,902) (57,701) 13.6% Operating Expenses (101,710) (119,741) (106,509) (109,177) (111,313) 11.7% Income Before Taxes 65,6
Slide 7: Net interest income & Fees
Net interest income & Fees NIM (%) (LTM Net Interest Margin / Avg. LTM Loans) 5.6% 5.3% 5.1% 6.0% 4.9% 4.8% 5.0% 4.5% 4.0% 3.0% 2.0% 1.0% 0.0% 2009 2010 2011 2012 Sep/12 Sep/13 Fees (%) (LTM Net Fees / (LTM Fees + LTM Net Interest Margin) 24.5% 24.2% 24.2% 24.0% 23.4% 23.4% 23.5% 23.2% 23.0% 22.5% 2
Slide 8: Loan Portfolio
Loan Portfolio Total Loans* and Market Share** (Ch $Million) Growth CAGR 11.8% 13.4% 13,047,497 13,781,839 12,332,693 15000000 20.0% 15000000 20.0% 11,377,851 19.0% 19.0% 9,531,565 18.0% 18.0% 10000000 8,938,305 17.0% 10000000 17.0% 16.0% 16.0% 13.20% 13.03% 15.0% 15.0% 12.76% 12.72% 12.94% 14.0% 12
Slide 9: Funding Sources
Funding Sources Non Interest Bearing Deposits + Time Deposits CAGR Growth 14.7% 12.7% 11.2% 3,618,365 11.5% 3,172,480 2,844,029 3,265,467 3,679,648 2,400,959 Non Interest Bearing Deposits 9,921,534 10,840,953 7,892,111 8,311,574 6,906,884 7,700,423 Time Deposits 2009 2010 2011 2012 Sep/12 Sep/13 Fun
Slide 10: International funding diversification
International funding diversification International funding of the last years Amount Issued Type of instrument Country/Region Term US$ millions Comments 325 Syndicated Loan Asia 2 years 1st Latin American bank to 2011 issue bonds in the Mexican market. 172 Bond Mexico 3 years 76 Bond Mexico 18 month
Slide 11: Financial results
Financial results Ch$ Million 3Q’12 4Q’12 1Q’13 2Q’13 3Q’13 %∆LTM Operating Revenues 209,728 253,009 226,088 235,027 268,241 12.6% Provision Expenses (44,102) (26,492) (55,673) (53,902) (57,701) 13.6% Operating Expenses (101,710) (119,741) (106,509) (109,177) (111,313) 11.7% Income Before Taxes 65,6
Slide 12: Conservative risk management policies
Conservative risk management policies Allowances for Loan Losses / Total Loans(%) Bci Peers Avg 2.7% 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.6% 2.5% 2.7% 2.6% 2.5% 2.5% 2.5% 2.5% 2.4% 2.4% 2.4% 2.4% 2.4% 2.3% 2.2% 2009 2010 2011 2012 Jan/13 Feb/13 Mar/13 Apr/13 May/13 Jun/13 Jul/13 Aug/1
Slide 13: Conservative risk management policies
Conservative risk management policies Total Loans and risk evolution (US$ Million) Total Loans Allowances / Total Loans 26,250 26,906 27,228 25,877 26,057 23,891 23,973 24,871 27,000 5.0% 22,566 22,866 23,447 22,000 20,595 20,968 21,418 4.5% 4.0% 3.5% 17,000 3.0% 2.6% 2.7% 2.5% 2.6% 2.5% 2.6% 2.5% 2
Slide 14: Conservative risk management policies
Conservative risk management policies Consumer Loans and risk evolution (US$ Million) Consumer Loans Allowances/Consumer Loans 4,000 15.0% 3,267 3,352 3,358 3,409 3,500 3,068 3,134 3,213 13.0% 2,846 2,941 2,997 2,612 2,654 2,779 2,515 3,000 11.0% 2,500 9.0% 2,000 7.0% 5.3% 5.4% 5.5% 5.4% 5.5% 5.4% 5
Slide 15: Conservative risk management policies
Conservative risk management policies Allowances/NPLs (%) Allowances / NPLs (Bci) Allowances/ NPLs (Peers) 146.3% 139.6% 136.5% 135.3% 133.7% 132.3% 131.4% 134.9% 131.2% 131.9% 128.4% 123.4% 121.9% 121.7% 123.8% 127.7% 118.7% 120.9% 117.6% 111.2% 106.7% 102.4% 127.3% 120.8% 95.4% 82.2% 2009 2010 201
Slide 16: Financial results
Financial results Ch$ Million 3Q’12 4Q’12 1Q’13 2Q’13 3Q’13 %∆LTM Operating Revenues 209,728 253,009 226,088 235,027 268,241 12.6% Provision Expenses (44,102) (26,492) (55,673) (53,902) (57,701) 13.6% Operating Expenses (101,710) (119,741) (106,509) (109,177) (111,313) 11.7% Income Before Taxes 65,6
Slide 17: Operating expenses
Operating expenses Operating Expenses Operating Expenses (Acummulated by September 2012) (Accumulated by September 2013) Other Expenses Other Expenses Administrative Expenses Administrative 9.74% 9.23% Expenses 34.49% 34.39% MMUS$ 649 MMUS$ 594 Growth (LTM) 11.7% 55.76% 56.38% Staff & BOD Staff & BO
Slide 18: Comparison with Chilean peers – Financial system
Comparison with chilean peers – Financial system Efficiency 48.6% 48.1% 46.5% 46.8% 46.4% 45.5% 47.6% 44,6% 46.2% 45.9% 45.4% 46.1% 44.7% 44.9% 43.8% 2009 2010 2011 2012 Sep/13 Bci Peers (Chile, Estado, Santander) System Efficiency (Sep 2012 vs. Sep 2013) 152 bp 57.7% 57.9% 45.0% 45.3% 43.8% 39.1% 3
Slide 19: Financial results
Financial results Ch$ Million 3Q’12 4Q’12 1Q’13 2Q’13 3Q’13 %∆LTM Operating Revenues 209,728 253,009 226,088 235,027 268,241 12.6% Provision Expenses (44,102) (26,492) (55,673) (53,902) (57,701) 13.6% Operating Expenses (101,710) (119,741) (106,509) (109,177) (111,313) 11.7% Income Before Taxes 65,6
Slide 20: Net Income
Net Income Acummulated Net Income and Market Share* (Ch $Million) CAGR 19.1% Growth 11.7% 20.0% 300000 261,268 271,256 20.0% 300000 250000 222,076 18.0% 250000 199,027 18.0% 200000 178,223 200000 160,774 16.0% 16.0% 150000 16.70% 150000 15.92% 15.98% 14.0% 14.0% 100000 15.21% 100000 14.02% 12.0% 12.
Slide 21: Comparison with Chilean peers – Financial system
Comparison with chilean peers – Financial system Considering the net income of the last twelve months, in order to capture ROE the effect of seasonality, the ROE (LTM) is 19.26% 21.9% 21.4% 21.4% 18.7% 19.1% 21.5% 20.5% 17.5% 16.9% 18.0% 18.6% 17.4% 16.3% 14.7% 13.8% 2009 2010 2011 2012 Sep/13 Bci P
Slide 22: Sound capital levels
Sound capital levels Capital Base 13.58% 13.92% 13.60% 13.34% 12.10% Regulatory Capital / Consolidated Risk weighted assets Basic Capital / Total Assets 6.41% 6.98% 6.84% 7.04% 7.09% Required by Sbif (10%) Required by Sbif (3%) 2009 2010 2011 2012 Sep/13 Bis Ratio 13.92% 13.34% 13.58% 13.60% 12.10%
Slide 23: Loans and Operating Income by Segment
Loans and Operating Income by Segment Bci Commercial Corporate & Retail SMEs Investment Banking Banking Banking (CIB) Revenues < US$ 3.7 MM* Revenues > US$ 3.7 MM Total Loans** Operating Income by Segment (September 2013) (Accumulated by September 2013) CIB Commercial CIB Commercial Banking Banking
Slide 24: Retail Banking
Retail Banking Operating Income by Segment Ch$ Million Sep 2012 Income margin (less risk expenses) market share grew by 59 bps to 12.78% (outperforming peers). 42,914 Loans grew by 11.5% YoY and yield spreads improve during the year. Significant improvements in the rate of performing loans, reducing
Slide 25: SME's Banking
SME’s Banking Operating Income by Segment Ch$ Million Sep 2012 Division created in February of this year, which aims to deliver more specialized attention to this segment. 39,060 Loan’s grew by 12% and NIBD’s grew by 13%. Fees grew by 37% YoY, growth was driven by the use of products and Sep 2013 se
Slide 26: Commercial Banking
Commercial Banking Operating Income by Segment Ch$ Million Sep 2012 Consistent growth in loans and NIBD`s. Fees grew by 21.8% YoY, due to an 68,115 increase in cross selling in mutual funds and security brokerage. Expenses decreased by 4% YoY, improving efficiency ratios. Risk increased by 24% due t
Slide 27: Corporate & Investment Banking
Corporate & Investment Banking Operating Income by Segment Ch$ Million Provision expense growth is explained by 2 cases. Sep 2012 108,727 However, it is expected an important reverse of them due the M&A of Pesca Chile and the capital raise of SMU. The result was affected by a lower inflation (acum.
Slide 28: Corporate & Investment Banking
Corporate & Investment Banking Operating Income by Segment Ch$ Million Sep 2012 108,727 1st place in FX transaction (Source: Datatec) 32% of market share in Corporate Bonds placements amount. Best Private Banking in Chile by WorldFinance (Second year). 1st place in the category Stock Fund Sep 2013 M
Slide 29: International Ratings 2013
International Ratings 2013 Category Rating Category Rating Foreign currency A- Long-term foreign A long-term debt issuer credit Local currency Long-term local long-term debt A- A issuer credit Foreign currency short-term debt F1 Standard Short-term foreign Fitch A1 & Poor’s issuer credit Ratings Loc
Slide 30: Summary
Summary Bci’s sound performance: − Sustained growth in segments with potential and high profitability. − Higher return than the financial system. − Lower risk rate on a YoY basis and low NPL risk compared to peers. − Bci’s last twelve months net income growth is better than the financial system (Bci
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