Banque Cantonale Vaudoise · SIX:BCVN
Banque Cantonale Vaudoise — H1 2015 Earnings Presentation
27 slides from Banque Cantonale Vaudoise's earnings presentation, Aug 20, 2015
Slide 1: 2015 Half-Year Results Analysts' Presentation
2015 Half-Year Results Analysts’ Presentation Lausanne, 20 August 2015 &f 1
Slide 2: Agenda
Agenda • Introduction Pascal Kiener • HY 2015 financial results Thomas Paulsen • Outlook Pascal Kiener 2
Slide 3: Key messages
Key messages Very strong set of results, driven by higher revenues and one-off items Revenues up 3%, spurred by an excellent trading performance Operating profit up 9%, and net profit up 17% mainly due to the sale of BCV’s stake in Swisscanto 3
Slide 4: H1 2015 key figures
H1 2015 key figures CHF millions (rounded), unaudited figures Change vs. 2014 Revenues 519 +3% Operating profit 260 +9% Net profit 179 +17% Total assets 43,353 +3% AuM 86,430 +0.1% 4
Slide 5: Main business trends in H1 2015
Main business trends in H1 2015 CHF millions (rounded), unaudited figures Controlled increase in mortgage +308 +1% loans Decrease in other loans1 -480 -8% Slight rise in savings deposits +93 +1% Slight decline in other client -206 -1% deposits AuM stable +48 +0.1% Net new money +1,865 5 ¹ Balance-sh
Slide 6: Other key events in H1 2015
Other key events in H1 2015 • CHF 275m distributed to shareholders in April • Moody’s raised BCV’s long-term rating by 2 notches to Aa2 and the standalone rating by 1 notch to a2 • S&P’s reaffirmed BCV’s long-term rating of AA • Reto Donatsch was re-elected as member of the Board of Directors at the
Slide 7: Retail Banking
Retail Banking CHF millions (rounded)1 2014 2015 • Controlled growth in mortgage loans 7,391 7,440 8,291 8,366 • Continued rise in customer deposits but at a slower pace +0.7% +0.9% • Increase in revenues and operating profit as a result of measures to Mortgage Customer enhance productivity, and str
Slide 8: Corporate Banking
Corporate Banking CHF millions (rounded)1 2014 2015 • SMEs – Rise in lending (+1.6%) and 15,435 15,178 customer deposits (+5.6%) • Large Corporates 7,641 7,531 -1.7% -1.4% – Decrease in business volumes (lending: -6.3%, deposits: -6.0%) • Trade Finance Loans / Off- Deposits – Further decrease in bus
Slide 9: Wealth Management
Wealth Management CHF millions (rounded)1 2014 2015 • AuM stable due to negative impact of foreign-currency translation as a 67,614 67,328 6,881 7,051 result of Swiss-franc rise • Business trend continued: -0.4% +2.5% – Contraction in offshore volumes, as expected AuM Mortgage – Robust development i
Slide 10: Trading
Trading CHF millions (rounded)1 2014 2015 • Strong increase in customer- driven FX trading: 6 60 – Following the SNB’s decision Annual revenues to abandon the CHF/EUR 4 40 floor – Business development 2 20 • Increase in structured products VaR (99%, 1-day) activity: CHF 630m in products sold, a rise
Slide 11: US Program
US Program • Ongoing efforts to meet program requirements • Agreement likely to be reached by the end of the year • BCV remains confident 11
Slide 12: Agenda
Agenda • Introduction Pascal Kiener • HY 2015 financial results Thomas Paulsen • Outlook Pascal Kiener 12
Slide 13: Income statement
Income statement CHF millions (rounded), unaudited figures H1 2015 H1 2014 Change Total revenues 519 503 +16 +3% Operating expenses -258 -263 -5 -2% Operating profit 260 239 +21 +9% Depreciation and write-offs -39 -41 -2 -7% Value adjustments, -26 -7 +19 NA provisions & losses Extraordinary income 3
Slide 14: Revenues
Revenues CHF millions (rounded), unaudited figures 519 +3% 503 Interest income under pressure due to negative rates, but Interest 246 -3% decrease limited through 253 appropriate balance-sheet management Commissions slightly down due to Commis- 171 -2% further decline in Trade Finance sions and 174
Slide 15: Operating expenses
Operating expenses CHF millions (rounded), unaudited figures 263 258 -2% Other operating 91 88 -4% expenses Continued firm control of operating expenses Personnel costs 172 170 -1% H1 2014 H1 2015 15
Slide 16: Headcount
Headcount Full-time equivalents at period-end +56 -41 -16 1,987 1,946 1,931 1,930 Subsidiaries 214 205 208 218 Parent 1,713 1,773 1,741 1,722 company 31/12/12 31/12/13 31/12/14 30/06/15 16
Slide 17: Assets
Assets CHF billions (rounded), unaudited figures Cash and equivalents 43.4 +3% and money-market 42.1 Increase in liquidity instruments deposited with SNB 5.0 6.7 +34% following fund inflows Due from banks 1.9 -1% 1.9 Decrease in Trade Finance Loans and advances to 5.7 5.2 -8% and Large Corporate cus
Slide 18: Liabilities
Liabilities CHF billions (rounded), unaudited figures 43.4 +3% 42.1 Due to banks 2.1 3.5 +65% Fund inflows Savings 13.0 13.1 +1% Funds from individual and corporate clients stable Other customer accounts, 16.3 16.1 -1% medium-term notes Increase in borrowings to Borrowings 6.4 6.6 +2% manage long-te
Slide 19: Assets under management (AuM)
Assets under management (AuM) CHF billions (rounded), unaudited figures 86.4 86.4 +0.1% Piguet 7.0 6.5 Galland Net new money of CHF 1,865m • Continuing onshore inflows (+CHF 2.4bn) • Offshore outflows, as expected (-CHF 0.5bn) Parent company, 79.4 79.9 • Negative impact of foreign- Gérifonds, curren
Slide 20: Key ratios
Key ratios Unaudited figures 2011 2012 2013 2014 30/06/15 Impaired loans/ Asset credit exposure 1.3% 1.2% 0.9% 0.7% 0.7% quality and balance Customer deposits/ loans to customers 93% 98% 98% 99% 99% sheet structure Interest margin 1.48% 1.33% 1.23% 1.22% 1.15% CET1 ratio 16.8% 18.4% 17.8% 17.1% 17.0
Slide 21: Agenda
Agenda • Introduction Pascal Kiener • HY 2015 financial results Thomas Paulsen • Outlook Pascal Kiener 21
Slide 22: Swiss and Vaud GDP
Swiss and Vaud GDP Swiss and Vaud GDP (in %) Estimate as of July 2015 4 3.6 3.4 3.0 3.0 3 2015 growth estimate 2.3 1.8 1.9 2.1 2.0 2.1 2 1.5 1.6 1.6 • Switzerland +0.8%1 1.1 1.0 1 0.8 • Vaud +1.0%2 2009 0 2008 -0.1 2010 2011 2012 2013 2014 2015E 2016E -1 Forecast for 2016 -2 • Switzerland +1.6%1 -2.
Slide 23: Real estate in the Vaud region
Real estate in the Vaud region Transaction prices in Vaud (Basis 100 in Dec. 2004) • Housing prices in Vaud 210 were down slightly in H1, 200 197 198 in an environment 197 marked by continued low 190 189 interest rates 180 176 170 169167 170 167 160 • BCV’s controlled growth 154 158 strategy unchang
Slide 24: Outlook
Outlook • Interest income still under pressure because of negative interest rates Excluding extraordinary items, business trend in H2 • Trading income to remain 2015 expected to be in line high but below H1 level with H1 2015 • Continued rigorous control of operating expenses 24 1 P rovided that the
Slide 25: 2015-2016 calendar
2015-2016 calendar • 12 November 2015 Third-quarter 2015 operating profit press release • 18 February 2016 Full-year 2015 results • 21 April 2016 Annual Shareholders’ Meeting in Lausanne • 18 August 2016 Half-year 2016 results 25
Slide 26: BCV Investor Relations iPad App
BCV Investor Relations iPad App The BCV Investor Relations app keeps you in touch with the latest developments at BCV Group It brings together everything of interest to shareholders, investors and analysts, including: • An overview of BCV • Our key figures • Annual and interim reports • Press releas
Slide 27: Disclaimer
Disclaimer Waiver of liability. While we make every reasonable effort to use reliable information, we make no representation or warranty of any kind that all information contained in this document is accurate or complete. We disclaim all liability or responsibility for any loss, damage or injury tha
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