Mediobanca - Banca Di Credito Finanziario S.p.a. · MIL:MB
Mediobanca - Banca Di Credito Finanziario — Mediobanca — Q1 FY2017 Earnings Presentation
27 slides from Mediobanca - Banca Di Credito Finanziario's earnings presentation, Oct 28, 2016
Slide 1: Mediobanca 1Q17/3M results as at 30 September 2016
Mediobanca 1Q17/3M results as at 30 September 2016 Milan, 28 October 2016
Slide 2: Agenda
Agenda Section 1. Group results as at September 2016 Annexes 1. Principal Investing: main equity investments as at September 2016 2. Quarterly segmental reporting tables
Slide 3: 1Q17 key takeaways
IQ17 key takeaways 3M results as at September 2016 Section 1 Strong organic growth … Net interest income Asset quality GOP risk adj. building at growing continuously improving further double-digit rate … and consolidation of acquired entities (Barclays and Cairn Capital) Disciplined acquisitions: KP
Slide 4: New business consolidated on the back of strong 1Q results
New business consolidated on the back of strong 1Q results 3M results as at September 2016 Section 1 Loan book at the highest-ever level (€36.6bn, up 6% QoQ) due to Barclays consolidation at end-August (€2.5bn) Growth in NII (up 4% QoQ, 3% PF¹) with resilient credit margins and unchanged highly sele
Slide 5: GOP up 16% YoY and 27% QoQ driven by…
GOP up 16% YoY and 27% QoQ driven by… 3M results as at September 2016 Section 1 MB Group IQ17 operating profit1 by source (€m) +16% FI disposals 29 (5) (16) Banking revenues up 6% YoY 6 12 6 227 195 GOP NII Treasury income Fee LLPs AG Total GOP FY16-IQ income costs FY17-IQ Sept15 Sept16 GOP PI risk
Slide 6: … an outstanding Consumer performance
… an outstanding Consumer performance 3M results as at September 2016 Section 1 MB Group IQ17 operating profit1 by division (€m) +16% CIB: +3m RCB: +39m PI: -10m up 6% up 63% down 12% 38 227 195 GOP Consumer Retail Wholesale Private banking Principal Investing GOP FY16-IQ FY17-IQ Sept15 Sept16 PI Qu
Slide 7: Top line resilient due to increased retail contribution
Top line resilient due to increased retail contribution 3M results as at September 2016 Section 1 Group revenues by quarter (€m) NII by quarter (€m) 528 526 507 +4% 314 303 +3% PF¹ 301 114 102 96 +15% 41 36 38 +4% 214 205 303 301 314 188 Sept15 June16 Sept16 Sept15 June16 Sept16 Net interest income
Slide 8: A&L Going retail: loan book back to pre-crisis level
A&L Going retail: loan book back to pre-crisis level 3M results as at September 2016 Section 1 Group loan book by division (€m) Group funding by product (€m) +6% 36.6 34.6 49.5 32.5 2.4 45.9 +8% 2.5 44.2 2.7 -1% PF3 8.8 9.1 +1% PF3 14.6 7.6 5.5 15.2 14.0 5.5 5.0 2.5 7.5 21.4 4.7 5.0 20.6 21.1 2.9 11
Slide 9: CoR <100 bps, back to 2008-pre crisis level
CoR <100 bps, back to 2008-pre crisis level 3M results as at September 2016 Section 1 NPLs (“deteriorate”), Unlikely to pay (“incagli e ristrutturati”), Cost of risk by division (bps) Bad Ls (“sofferenze”) Net stock - €m Sept.15 June16 Sept.16 258 242 NPLs 1,133 1,017 1,047 = 225 NPLs/CT1 (Texas) 15
Slide 10: MB asset quality: distinctive both in ITA & EU landscape
MB asset quality: distinctive both in ITA & EU landscape 3M results as at September 2016 Section 1 Net NPLs: % of total loans and coverage ratio (%) Texas ratio (Net NPL/CET1, %) Coverage ratio 115% 54% 52% 47% 10.5% 36% 3.4% 2.9% 16% Mediobanca Europe Italy Mediobanca Europe Italy Mediobanca best i
Slide 11: CET1 stable at 12.1% absorbing €0.9bn new RWAs
CET1 stable at 12.1% absorbing €0.9bn new RWAs (Barclays mortgages) 3M results as at September 2016 Section 1 RWA trend by division (€bn) CET1¹ phase-in trend (bps) +1% 12.1% 12.1% 53.9 54.2 +10bps +10bps -20bps (0.6) +0.9 +0.1 13.9 15.0 6.6 6.5 31.2 30.6 June16 CIB Barclays Other Sept.16 June16 Ret
Slide 12: CIB: healthy asset quality and C/I ratios
CIB: healthy asset quality and C/I ratios 3M results as at September 2016 Section 1 Corporate and Private Banking Wholesale Banking Client revenues resilient YoY, lower contribution from treasury securities Loan book up 3% YoY with good new business matched by cautious risk Resilient client appetite
Slide 13: RCB: steady and sustainable growth ongoing
RCB: steady and sustainable growth ongoing 3M results as at September 2016 Section 1 Retail and Consumer Banking Loans and revenues growing steadily (up 9% and 16% YoY), focusing on Compass risk-adj. margins rather than on market share Asset quality improving further: cost of risk at 284 bps (down 6
Slide 14: CheBanca! Total assets close to €21bn, of which €7bn AUA/AUM
CheBanca! Total assets close to €21bn, of which €7bn AUA/AUM 3M results as at September 2016 Section 1 CheBanca! customer assets breakdown trend (€bn) Client asset up 41% 20.7 % of total asset 2.9 2.6 % of total (1.2) 2.5 6.9 AUA/AUM 33% asset 2.9 14.7 1.8 1.9 AUA/AUM up 75% 27% AUA/AUM 3.9 1.1 0.9
Slide 15: Closing remarks
Closing remarks 3M results as at September 2016 Section 1 Despite general revenue pressure, MB has delivered another quarter of strong organic growth with increased operating and net profit 3M as at Sept 2016 The Group’s “new entries” (Barclays & Cairn Capital) reflect MB’s attitude towards acquisit
Slide 16: Principal Investing: main equity investments as at September 2016
Principal Investing: main equity investments as at September 2016 Annex 1 16
Slide 17: Principal Investing: main equity investments
Principal Investing: main equity investments 3M results as at September 2016 Annex 1 % ordinary share of September 2016 Book value €m AFS reserve capital Assicurazioni Generali 13% 3,191 n.m.1 Atlantia 1.4% 253 102 Italmobiliare 9.5% 95 60 RCS Mediagroup 6.2% 31 10 Other listed equities 46 26 Other
Slide 18: Quarterly segmental reporting tables
Quarterly segmental reporting tables Annex 2 18
Slide 19: Net profit up 11% to €271m: GOP up 16%, gains from disposals
Net profit up 11% to €271m: GOP up 16%, gains from disposals 3M results as at September 2016 Annex 2 3Q 2Q 1Q 4Q 3Q D D €m Sept16 June16 Mar16 Dec15 Sept15 QoQ1 YoY1 Total banking income 526 528 503 509 507 -0% +4% Net interest income 314 301 301 302 303 +4% +4% Fee income 102 114 109 132 96 -10% +7
Slide 20: Loan book growth in all divisions, 6% loan growth QoQ
Loan book growth in all divisions, 6% loan growth QoQ due to Barclays consolidation 3M results as at September 2016 Annex 2 D D € bn Sept16 June16 Sept15 QoQ1 YoY1 Funding 49.5 45.9 44.2 +8% +12% Bonds 21.4 21.1 20.6 +2% +4% Retail direct deposits 13.8 10.7 10.5 +29% +31% ECB 5.5 5.0 5.5 +10% +1% Ot
Slide 21: CIB results
CIB results 3M results as at September 2016 Annex 2 3Q 2Q 1Q 4Q 3Q D D €m Sept16 June16 Mar16 Dec15 Sept15 QoQ1 YoY1 Total income 140 142 179 170 148 -2% -5% Net interest income 43 45 52 57 61 -5% -30% Fee income 65 71 75 99 65 -9% 0% Net treasury income 32 26 52 14 22 26% 48% Total costs (93) (116)
Slide 22: Retail and Consumer Banking results
Retail and Consumer Banking results 3M results as at September 2016 Annex 2 3Q 2Q 1Q 4Q 3Q D D €m Sept16 June16 Mar16 Dec15 Sept15 QoQ1 YoY1 Total income 306 304 276 272 265 +1% +15% Net interest income 255 241 235 230 226 +6% +13% Fee income 51 62 42 41 39 -19% +30% Total costs (116) (134) (112) (1
Slide 23: Consumer banking: Compass results
Consumer banking: Compass results 3M results as at September 2016 Annex 2 3Q 2Q 1Q 4Q 3Q D D €m Sept16 June16 Mar16 Dec15 Sept15 QoQ1 YoY1 Total income 251 255 229 223 218 -1% +16% Net interest income 214 205 198 193 188 +4% +14% Fee income 38 50 31 30 30 -24% +27% Total costs (71) (92) (71) (71) (6
Slide 24: Retail banking: CheBanca! results
Retail banking: CheBanca! results 3M results as at September 2016 Annex 2 3Q 2Q 1Q 4Q 3Q D D €m Sept16 June16 Mar16 Dec15 Sept15 QoQ1 YoY1 Total income 54 49 47 49 48 +11% +14% Net interest income 41 36 37 37 38 +15% +8% Fee income 13 13 10 11 9 -1% +38% Total costs (45) (42) (41) (41) (39) +7% +15%
Slide 25: Principal Investing results
Principal Investing results 3M results as at September 2016 Annex 2 3Q 2Q 1Q 4Q 3Q D D €m Sept16 June16 Mar16 Dec15 Sept15 QoQ1 YoY1 Total income 78 90 41 65 89 -13% -12% Gains from disposals 110 23 5 3 88 Impairments (0) (1) (5) (10) (2) Net result 177 104 38 48 181 +70% Book value (€bn) 3.8 3.9 4.
Slide 26: Disclaimer
Disclaimer This presentation contains certain forward-looking statements, estimates and targets with respect to the operating results, financial condition and business of the Mediobanca Banking Group. Such statements and information, although based upon Mediobanca’s best knowledge at present, are ce
Slide 27: Investor contacts
Investor contacts Mediobanca Group Investor Relations Piazzetta Cuccia 1, 20121 Milan, Italy Jessica Spina Tel. no. (0039) 02-8829.860 Luisa Demaria Tel. no. (0039) 02-8829.647 Matteo Carotta Tel. no. (0039) 02-8829.290 Email: investor.relations@mediobanca.com http://www.mediobanca.com 27