Banco De Credito E Inversiones · BCS:BCI
Banco De Credito E Inversiones — Q1 2019 Earnings Presentation
22 slides from Banco De Credito E Inversiones's earnings presentation, May 2019
Slide 1: Investor Relations Department May 2019
Investor Relations Department | Email: Investor_Relations_Bci@Bci.cl May 2019
Slide 2: Chilean financial system
Bci Investor Relations Chilean financial system
Slide 3: …with a robust financial system…
1 …with a robust financial system… CHILE. Evolution of GDP growth projections 2019-2020 Total loans in the banking system1 (US$bn) 4.0 NPL 220 246 249 3.8 196 207 1.94% GDP 2020 3.6 1.93% GDP 2019 1.90% 1.86% 1.85% 3.4 3.2 3.0 2.8 2015 2016 2017 2018 1Q 2019 Mar.17 Jun.17 Sep.17 Dec.17 Mar.18 Jun.18
Slide 4: Bci at a glance
Bci Investor Relations Bci at a glance
Slide 5: Leading financial institution in Chile by assets…
Leading financial institution in Chile by assets… Profitable and financially sound Diversified business model as of March 2019 Largest bank in Chile (total assets) 3rd Largest Florida-based bank CNB : 24% Assets Bci Miami : 3% Assets 1 US$61.5bn (+19.9% YoY) Total assets City National Bank of Florid
Slide 6: …with a successful strategy supported by its strong corporate governance
…with a successful strategy supported by its strong corporate governance Long-term support from its controlling shareholders… …and strong corporate governance Private Board of Directors is composed by experts in various pension fields, academics, economists, bankers and individuals funds connected w
Slide 7: …and where Bci is one of the leading banking franchises
…and where Bci is one of the leading banking franchises Chilean banking system benchmark In US$mm, as of March 2019 Other Other banks banks (14) (14) 4 1 13.9% 18.3% 14.4% 16.9% 13.9% 10.1% 12.5% 45,059 17.0% 16.1% 15.8% 14.7% 12.1% 12.0% 12.3% 41,539 34,328 33.8% 35,369 34,258 29.2% 30,853 Loan 25.
Slide 8: …in all the local segments…
…in all the local segments… Strong growth track record, consistently outperforming the system System Total loans (US$mm) Commercial & Interbank loans (US$mm) 12.6% 10.1% 9.5% 34,845 7.1% 34,254 30,951 20,261 20,606 29,883 18,815 27,908 17,693 18,038 25,666 16,514 7.9% 11.7% 10.2% 5.9% 2015 2016 2017
Slide 9: Successful and consistent organic growth in Chile…
Successful and consistent organic growth in Chile… Increasing market share while maintaining profitability Net income CAGR1 Total loans market share2 (%) March 2015 – March 2019 Median = 7% 3 26.5% Chile 18.4% 20.0% 10.5% 6.1% 19.0% 18.3% (3.4%) 18.0% (15.9%) 17.0% 16.9% 16.0% Return on average asse
Slide 10: …with diversified and low cost of funding…
…with diversified and low cost of funding… In terms of maturity, currency and geography Funding Sources Breakdown by type1 Long term funding composed primarily of UF local bonds in Financial Institutions the Chilean market, complemented by other international 7.8% Others issuances, through our MTN p
Slide 11: …while maintaining prudent risk
…while maintaining prudent risk Highlights Cost of risk index (Allowances / Average Gross Loans) Our loan growth has been accompanied by a well-established risk Bci tolerance framework, which aims to decrease the credit risk perceived from Santander loans from origination to the collection process C
Slide 12: …Non-Performing Loans (NPLs)
…Non-Performing Loans (NPLs) NPL Ratio (NPLs/Total Client Loans) NPL Ratio (Commercial Loans) 2.03% 1.88% 1.92% 1.88% 1.82% 1.68% 1.69% 1.72% 1.70% 1.69% 1.64% 1.63% 2015 2016 2017 2018 1Q2018 1Q2019 2015 2016 2017 2018 1Q2018 1Q2019 NPL Ratio (Consumer Loans) NPL Ratio (Mortgage Loans) 2.38% 1.91%
Slide 13: Bci has implemented several initiatives that prepare it for the future
Bci has implemented several initiatives that prepare it for the future 1 New customer journeys: mortgage loans, commercial lending, online banking accounts and Enhance portfolio purchase customer Only Chilean bank capable of opening an online banking account in less than 20 minutes and a digital
Slide 14: Bci has implemented several initiatives that prepare it for the future (cont’d)
Bci has implemented several initiatives that prepare it for the future (cont’d) Our strategy is rapidly embracing digital transformation MACH: disruptive innovation rapidly penetrating the market 1 in 4 new checking accounts is fully digital Mach: Number of downloads and Prepaid Cards % of digital n
Slide 15: City National Bank of Florida
Bci Investor Relations City National Bank of Florida 15 15
Slide 16: Bci consolidated its presence in the Florida market through the acquisition of TotalBank
Bci consolidated its presence in the Florida market through the acquisition of TotalBank Bci’s total assets in Florida TotalBank CNB Bci Miami % of BCI assets outside Chile 6.5% 20.0% 21.3% 23.5% 28.9% 29.0% Acquisition of Purchase agreement P/TBV= 1.48x P/E LTM = 22.2x Represents acquired assets af
Slide 17: City National Bank has become one of the most relevant players in the State of Florida
City National Bank has become one of the most relevant players in the State of Florida Overview Revenue breakdown (US$mm) March 2019 YTD City National Bank is a Florida-based bank, established in 1946 and headquartered in Miami 311 branches and 803 employees CNB offers consumer and commercial bankin
Slide 18: City National Bank has performed well during 2018
City National Bank has performed well during 2018 Main drivers for growth Focus on Regulatory Excellence Business Lines and Geographic Diversification Asset portfolio continues to maintain its quality Focus on Human Capital Sustained balance sheet growth and profitability Acquisition of
Slide 19: Key Metrics
Key Metrics 2014 2015 2016 2017 2018 2019 Q1 2019 Loans & Leases/ Assets 61.90% 62.40% 64.50% 69.44% 70.57% 69.89% 69.89% Loans / Deposits 79.60% 90.10% 95.00% 90.28% 89.57% 90.29% 90.29% DDA / Deposits 44.00% 43.30% 37.70% 32.16% 28.88% 29.73% 29.73% ROAA 0.85% 0.80% 0.96% 0.58% 0.76% 1.06% 1.06% N
Slide 20: Forward-looking statements
This presentation contains forward-looking statements in various places throughout therein, related to, without limitation, our future business development. Forward-looking information is often, but not always, identified by the use of words such as “anticipate”, “believe”, “expect”, “plan”, “intend
Slide 21: …Balance sheet
…Balance sheet Source: Superintendencia de Bancos e Instituciones Financieras de Chile (SBIF) as of Mach 2019 Note: Figures are converted to US$ using an FX of USD/CLP of 678.53 as of April 1, 2019; Excludes CorpBanca investments in Colombia and Bci subsidiary in USA (CNB) 21
Slide 22: …Financial results
…Financial results Source: Superintendencia de Bancos e Instituciones Financieras de Chile (SBIF) as of Mach 2019 Note: Figures are converted to US$ using an FX of USD/CLP of 678.53 as of April 1, 2019; Excludes CorpBanca investments in Colombia and Bci subsidiary in USA (CNB) 22
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