Banca Sistema S.p.a. · MIL:BST
Banca Sistema — Q1 2018 Earnings Presentation
14 slides from Banca Sistema's earnings presentation, May 11, 2018
Slide 1: 1Q 2018 Results
BANCA SISTEMA SPECIALTY FINANCE 1Q 2018 RESULTS 11 May 2018
Slide 2: 1Q 2018 Results at a Glance
1Q 2018 Results at a Glance Factoring Turnover +24% y/y equal to €504m Commercial Increasing contribution on factoring turnover from the agreements with banks performance CQS/CQP outstanding reached €526m, +68% y/y Net Interest Income equal to €13.7m, +10% y/y and lower q/q Cost of funding stable y/
Slide 3: Core business assets outstanding is growing
Core business assets outstanding is growing Factoring outstanding CQ Loans outstanding €m Of which 26% under €m Legal action +35% y/y +68% y/y 1,488 526 313 1,103 31.03.2017 31.03.2018 31.03.2017 31.03.2018 Outstanding breakdown (31.03.2018) Outstanding breakdown by Type (31.03.2018) By Type of Prod
Slide 4: 1Q 2018 – Balance Sheet
1Q 2018 – Balance Sheet Figures in millions of Euro IAS39 IFRS9 Loans at amortized cost up 3% q/q Change in % 31.12.2017 31.03.2018 (€1,944): ASSETS Factoring receivables up +1% q/q at Fi na nci a l a s s ets a t fa i r va l ue through P&L [Held to Sell] 1 1 nm €1.3bn, thanks to the turnover Fi na n
Slide 5: 1Q 2018 – Income Statement
1Q 2018 – Income Statement Figures in millions of Euro IAS39 IFRS9 Change in % 31.03.2017 31.03.2018 Interes t i ncome 17.0 20.0 18% Interes t expens es (4.6) (6.4) 40% Net interest income 12.4 13.7 10% Net fee a nd commi s s i on i ncome 2.2 3.6 58% Net i ncome from tra di ng, hedgi ng a nd di s po
Slide 6: Total Income y/y and q/q in line with expectations
Total Income y/y and q/q in line with expectations 1Q 2018 Interest Income y/y growth is driven by higher factoring and CQ Interest Income1 Total Income2 One-off from TLTRO contribution €m €m II funding lower Factoring represents 75% of Total Interest Adjusted Interest Income Margin2 Including Facto
Slide 7: Operating costs slightly higher y/y, but in line with expectations
Operating costs slightly higher y/y, but in line with expectations Administrative Expenses, Net Provisions for Operating Costs Personnel Expenses risk, Servicing Costs, Other and D&A €m FTEs (#) 144 169 +8% 9.9 9.2 4.9 5.1 4.3 4.8 4.5 4.5 0.4 0.6 1Q 2017 1Q 2018 1Q 2017 1Q 2018 1 1Q 22018 1Q 2017 Se
Slide 8: Higher diversification and almost stable cost
Higher diversification and almost stable cost Total Funding Breakdown Total Funding Breakdown • Cost of funding almost Excluding stable y/y and q/q Funding Cost1 €0.8m excluding the €0.8m one- off, deriving from TLTRO II 0.9% 0.9% 1.0% cost increase from -40bps Retail to 0bps Funding 48% 49% 43% Who
Slide 9: Asset Quality driven by factoring business
Asset Quality driven by factoring business Gross Non Performing Exposures Net Non Performing Exposures €m 153.0 159.1 143.3 133.2 135.7 44.9 121.0 39.8 44.6 28.5 31.9 24.1 32.3 37.6 16.7 24.1 15.4 27.6 89.1 87.9 76.2 74.7 76.6 73.3 30.09.2017 31.12.2017 31.03.2018 30.09.2017 31.12.2017 31.03.2018 Pa
Slide 10: Regulatory Capital well above minimun requirements
Regulatory Capital well above minimun requirements CET1 and Total Capital(1) RWA breakdown CET1 Total Capital €m €m q/q increase due mainly Operational Risk & Market Risk(2) Credit Risk to CQS/CQP Loans TC Ratio 15.3% 15.0% and asset quality CET1 Ratio 11.9% 11.8% 162.0 164.7 1,097.1 1,058.0 125.8 1
Slide 11: Appendix
Appendix
Slide 12: Factoring Turnover
Factoring Turnover Factoring Turnover €m +24% 504 Turnover generated by agreements with Italian Retail banks: 36% in 1Q 2018 (29% FY 2017) 408 1Q 2017 1Q 2018 1Q 2018 Factoring Turnover breakdown By Type By Year of Customer’s Customer Concentration Acquisition Tax 1Q 2018 receivables Before 2016 16%
Slide 13: Disclaimer
Disclaimer The distribution of this presentation in other jurisdictions may be restricted by law or regulation. Accordingly, persons who come into possession of this document should inform themselves of, and observe, these restrictions. To the fullest extent permitted by applicable law, the companie
Slide 14: Head of Investor Relations
Carlo Di Pierro Head of Investor Relations carlo.dipierro@bancasistema.it +39 02 80280358 +39 3355288794