Mediobanca - Banca Di Credito Finanziario S.p.a. · MIL:MB

Mediobanca - Banca Di Credito Finanziario — Mediobanca — Q1 FY2016 Earnings Presentation

27 slides from Mediobanca - Banca Di Credito Finanziario's earnings presentation, Oct 28, 2015

  1. Slide 1: Mediobanca BoD 1Q16/3M results as at 30 September 2015

    Mediobanca BoD 1Q16/3M results as at 30 September 2015 Milan, 28 October 2015

  2. Slide 2: Agenda

    Agenda Section 1. Group results as at September 2015 Annexes 1. Principal Investing: main equity investments as at September 2015 2. Quarterly segmental reporting tables 2

  3. Slide 3: Solid results, growth path ahead

    Solid results, growth path ahead 3M results as at September 2015 Section 1 Mediobanca Group as at 30 September 2015 Strong  Despite difficult markets, revenues at €507m and GOP at €195m, in line with top and bottom lines best quarters achieved in the last few years. Positive outlook ahead  Net pro

  4. Slide 4: Net profit up to €244m: GOP up 19%, gains from disposals

    Net profit up to €244m: GOP up 19%, gains from disposals 3M results as at September 2015 Section 1 3Q 2Q 1Q 4Q 3Q D D €m Sept15 June15 Mar15 Dec14 Sept14 QoQ1 YoY1 Total banking income 507 530 501 489 525 -4% -3% Net interest income 303 303 292 281 267 0% +13% Fee income 96 111 101 113 147 -14% -35%

  5. Slide 5: Selective lending; CET1 up 50 bps to 12.5%

    Selective lending; CET1 up 50 bps to 12.5% 3M results as at September 2015 Section 1 €bn Sept15 June15 Sept14 D D QoQ1 YoY1 Funding 44.2 42.7 44.0 +4% +1% Bonds 20.6 19.7 21.1 +5% -2% Retail direct deposits 10.5 9.6 11.3 +9% -6% ECB 5.5 5.5 5.1 +0% +8% Others 7.6 7.9 6.5 -4% +17% Loans to customers

  6. Slide 6: High top line confirmed due to higher weight of RCB

    High top line confirmed due to higher weight of RCB 3M results as at September 2015 Section 1 Group revenues (€m) RCB revenues by quarter (€m) 525 530 265 489 501 507 228 240 Avg FY15 €510m 226 231 186 219 153 148 172 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 258 262 265 NII Fees 240 248 CIB reve

  7. Slide 7: NII up 13%, selective lending activity focused on margins

    NII up 13%, selective lending activity focused on margins 3M results as at September 2015 Section 1 WB new loans by quarter (€bn) Net interest income (€m) +13% 2.0 1.5 292 303 303 IQ 267 281 61 1.0 IIQ 64 66 57 65 IIIQ 0.5 IVQ 202 212 221 226 0.0 198 FY13 FY14 FY15 FY16 3Q14 4Q14 1Q15 2Q15 3Q15 RCB

  8. Slide 8: Fees: positive pipeline ahead

    Fees: positive pipeline ahead 3M results as at September 2015 Section 1 Group fee income (€m) RCB fees (€m) 147 39 113 111 101 96 112 78 71 82 65 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 42 46 46 41 39 Retail Consumer 3Q14 4Q14 1Q15 2Q15 3Q15 CIB fees (€m) RCB CIB Other  Group fees down due to

  9. Slide 9: Asset quality improving further; cost of risk down in all divisions

    Asset quality improving further; cost of risk down in all divisions 3M results as at September 2015 Section 1 NPLs (“deteriorate”) and bad loans (“sofferenze”) Cost of risk by segment (bps) Dec14 June15 Sept15 Net NPLs (€m) 1,220 1,152 1,133 491 o/w CIB 477 430 422 o/w Consumer 312 302 288 384 351 o

  10. Slide 10: CET1 up 50bps to 12.5%

    CET1 up 50bps to 12.5% 3M results as at September 2015 Section 1 CET1 ratio: phase-in/fully phased  CET1 phase-in up 50 bps in last 3m to 12.5% due to internal capital generation, RWA and equity exposure reduction 13.2% 13.3% 12.5% 12.5%  Total capital ratios comfortable over 15%, both 12.0% phase

  11. Slide 11: CIB: quarter impacted by market, moving towards higher returns

    CIB: quarter impacted by market, moving towards higher returns 3M results as at September 2015 Section 1 Corporate and Private Banking  Lending: event-driven activity, cross-selling and strengthening of OTD model Wholesale Banking to balance margin pressure and increase ROAC  Positive IB pipeline

  12. Slide 12: RCB: steady and sustainable growth ongoing

    RCB: steady and sustainable growth ongoing 3M results as at September 2015 Section 1 Retail and Consumer Banking Compass  Loans and revenues growing steadily (up 7% YoY), focusing on risk-adj. Consumer lending margins not on market share  Cost of risk down to 353 bps; NPLs down to 2.6%, coverage u

  13. Slide 13: Governance: further steps towards best international standards

    Governance: further steps towards best international standards 3M results as at September 2015 Section 1 Main new BoD features BoD size*: Directors from minority slate*: - maximum of 15 directors -from 1 out to 18 (vs18 today and maximum allowed of 23) to 2 out of 15 Executive committee*: MB manager

  14. Slide 14: Remuneration: a balance mix of incentives

    Remuneration: a balance mix of incentives 3M results as at September 2015 Section 1 Main remuneration features Remuneration process reinforced: Incentives linked to long-term -Increased remuneration committee number sustainable performance: of meetings and attendance - 2:1 cap between variable and f

  15. Slide 15: MB shareholders’ base: increasingly diversified

    MB shareholders’ base: increasingly diversified 3M results as at September 2015 Section 1 MB share ownership June13 MB share ownership August15 Institutional investors by geography Switzer Italy land France 13% 4% Rest of 6% Europe Retail 14% Retail investors investors 30% 31% Institutional Institut

  16. Slide 16: Closing remarks

    Closing remarks 3M results as at September 2015 Section 1  Despite difficult market conditions, Mediobanca has been able to: 3M as at Sept 2015  Consolidate loan book/top line growth  Increase net profit and capital ratios Sound results  Continue disposal process with significant capital gains/c

  17. Slide 17: 3M results as at 30 September 2015

    3M results as at 3o September 2015 Milan, 28 October 2015

  18. Slide 18: Annexes

    Annexes Principal Investing: main equity investments as at September 2015 Quarterly segmental reporting tables 18

  19. Slide 19: Principal Investing: main equity investments

    Principal Investing: main equity investments 3M results as at September 2015 Annexes % ordinary share September 2015 Book value €m AFS reserve of capital Assicurazioni Generali 13.24% 3,063 n.m.1 Pirelli &C. - - - Atlantia 2.71% 559 256 Italmobiliare 9.5% 80 46 Edipower 5.13% 55 - RCS Mediagroup 6.2

  20. Slide 20: Annexes

    Annexes Principal Investing: main equity investments as at September 2015 Quarterly segmental reporting tables 20

  21. Slide 21: CIB results

    CIB results 3M results as at September 2015 Annexes 3Q 2Q 1Q 4Q 3Q D D €m Sept15 June15 Mar15 Dec14 Sept14 QoQ1 YoY1 Total income 148 153 231 172 219 -4% -33% Net interest income 61 66 64 65 57 -7% 8% Fee income 65 82 71 78 112 -21% -42% Net treasury income 22 6 97 29 51 -57% Total costs (87) (116)

  22. Slide 22: Retail and Consumer Banking results

    Retail and Consumer Banking results 3M results as at September 2015 Annexes 3Q 2Q 1Q 4Q 3Q D D €m Sept15 June15 Mar15 Dec14 Sept14 QoQ1 YoY1 Total income 265 262 258 248 240 +1% +10% Net interest income 226 221 212 202 198 +2% +14% Fee income 39 41 46 46 42 -4% -8% Total costs (102) (122) (112) (112

  23. Slide 23: Consumer banking: Compass results

    Consumer banking: Compass results 3M results as at September 2015 Annexes 3Q 2Q 1Q 4Q 3Q D D €m Sept15 June15 Mar15 Dec14 Sept14 QoQ1 YoY1 Total income 218 216 214 209 203 +1% +7% Net interest income 188 184 177 169 165 +2% +14% Fee income 30 32 37 40 38 -7% -22% Total costs (63) (77) (72) (73) (66)

  24. Slide 24: Retail banking: CheBanca! results

    Retail banking: CheBanca! results 3M results as at September 2015 Annexes 3Q 2Q 1Q 4Q 3Q D D €m Sept15 June15 Mar15 Dec14 Sept14 QoQ1 YoY1 Total income 48 46 45 39 37 +3% +27% Net interest income 38 37 36 33 33 +3% +15% Fee income 9 9 9 5 4 +5% +124% Total costs (39) (45) (40) (39) (37) -13% +8% Lab

  25. Slide 25: Principal Investing results

    Principal Investing results 3M results as at September 2015 Annexes 3Q 2Q 1Q 4Q 3Q D D €m Sept15 June15 Mar15 Dec14 Sept14 QoQ1 YoY1 Total income 89 109 14 68 62 -19% +44% Gains from disposals 88 7 101 11 4 Impairments (2) (7) (2) (5) (7) Net result 181 102 106 74 53 +77% Book value (€bn) 4.0 4.4 4.

  26. 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

  27. 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

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