Vtb · RUS:VTBR

Vtb — H1 2013 Earnings Presentation

21 slides from Vtb's earnings presentation, Sep 12, 2013

  1. Slide 1: VTB Group 1H'2013 Results

    VTB Group 1H’2013 Results Herbert Moos CFO, Deputy Chairman of the Management Board Jyrki Talvitie SVP, Head of Investor Relations September 12, 2013 1 © VTB 2011

  2. Slide 2: Forward-looking statements disclaimer

    Some of the information in this presentation may contain projections or other forward-looking statements regarding future events or the future financial performance of JSC VTB Bank ("VTB") and its subsidiaries (together with VTB, the "Group"). Such forward-looking statements are based on numerous as

  3. Slide 3: VTB Group 1H'2013 Financial Highlights

    VTB Group 1H’2013 Financial Highlights ■ Net profit RUB 27.6 bn, corresponding to ROE 7% ■ Solid net interest income of RUB 150.3 bn, up 34% y-o-y ■ Healthy net interest margin at 4.4% ■ Strong net fee and commission income of RUB 25.6 bn, up 17% y-o-y ■ Cost of risk 1.8% in 1H’13, NPL ratio stable

  4. Slide 4: Net Profit and Operating Income

    Net Profit and Operating Income Net profit +16% -18% 30.4 33.6 27.6 26.6 (RUB bn) 15.7 (RUB bn) 10.3 11.9 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 1H'12 1H'13 Operating income before provisions (1) +40% +16% 184.0 105.3 94.6 158.8 25.6 14.1 90.7 93.3 12.4 21.8 11.5 14.1 66.6 11.5 71.7 61.9 76.5 73.8 112.4 150.

  5. Slide 5: Interest Income and Average Yields

    Interest Income and Average Yields Interest income +27% +25% 167.4 155.2 157.2 324.6 141.5 132.0 259.0 (RUB bn) (RUB bn) 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 1H'12 1H'13 Average yields 17.6% 16.6% 15.7% 15.8% 16.2% Loans to individuals Total customer loans 11.2% 10.9% 10.3% 10.5% 10.7% Corporate loans 9.0%

  6. Slide 6: Interest Expense and Cost of Funds

    Interest Expense and Cost of Funds Interest expense +24% +19% 90.9 174.3 83.5 83.4 79.6 146.6 73.6 (RUB bn) (RUB bn) 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 1H'12 1H'13 Cost of funds Retail Total customer Corporate Subordinated debt Debt securities issued deposits deposits deposits Due to banks and other borr

  7. Slide 7: Strong Net Interest Income Supported by Stable NIM

    Strong Net Interest Income Supported by Stable NIM Net interest income +31% +34% 150.3 112.4 73.8 76.5 71.7 61.9 58.4 (RUB bn) (RUB bn) 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 1H'12 1H'13 Net interest margin (1) +30 bps +40 bps 4.6% 4.4% 4.1% 4.1% 4.5% 4.4% 4.0% 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 1H'12 1H'13 (1) N

  8. Slide 8: Solid Fee and Commission Income Growth

    Solid Fee and Commission Income Growth Fee and commission income breakdown +23% +20% 32.7 18.0 7% Other fee and 18.0 commission income 16.0 2% 7% 27.2 7% 4% 14.7 8% 8% 10% Commission on cash 14.6 3% 13% 13% 10% transactions 6% 6% 13% 15% 14% 7% 10% 9% 9% Commission on 7% 14% 10% operations with secu

  9. Slide 9: Cost of Risk Reflects Macroeconomic Environment

    Cost of Risk Reflects Macroeconomic Environment Provision charge for loan impairment 1.4% 1.8% 1.6% 2.0% 1.0% 1.1% 1.0% +56% Cost of risk 50.6 +138% Provision charge 28.6 32.4 for loan impairment 22.0 (RUB bn) (RUB bn) 12.0 12.6 14.5 2Q'12 3Q'12 4Q'12 1Q'13 2Q'13 1H'12 1H'13 Loan write-offs +81% 11.

  10. Slide 10: Loan Book Quality

    Loan Book Quality Provision for loan impairment NPLs (90+) 6.8% 6.6% 6.5% 6.6% 6.4% 5.6% 5.6% 5.4% 5.4% 5.5% +15% +13% 345 372 317 317 323 286 288 298 325 271 (RUB bn) (RUB bn) 30-Jun-12 30-Sep-12 31-Dec-12 31-Mar-13 30-Jun-13 30-Jun-12 30-Sep-12 31-Dec-12 31-Mar-13 30-Jun-13 Allowance for loan impa

  11. Slide 11: Staff and Administrative Expenses

    Staff and Administrative Expenses Staff costs and administrative expenses 2.7% 2.9% 2.6% 2.4% 2.6% 2.4% 2.6% Cost / Assets 64.4% 52.0% 52.9% 55.1% Cost / Income ratio 48.2% 50.3% 50.6% +18% +20% 97.3 Administrative expenses 82.6 53.0 51.4 40.5 Staff costs (1) (RUB bn) (RUB bn) 42.9 45.6 45.9 37.0 19

  12. Slide 12: Balance Sheet Structure

    Balance Sheet Structure Assets structure Customer loans / customer deposits +13% 8,358 Cash and mandatory 7,416 7,603 8% 7,185 reserves 6,858 9% 13% 9% 9% 6% Securities 13% 13% 5% 15% 15% portfolio (1) 5% 3% 127.3% 6% 4% 124.9% Due from other 121.1% 122.1% banks 120.4% 63% Loans to customers 64% 65%

  13. Slide 13: Loan Portfolio and Customer Deposits

    Loan Portfolio and Customer Deposits Total loans and advances to customers Customer deposits +11% +13% +6% +11% 4,313 5,637 5,085 5,293 4,778 3,887 4,645 3,813 3,686 3,594 (RUB bn) (RUB bn) 30-Jun-12 30-Sep-12 31-Dec-12 31-Mar-13 30-Jun-13 30-Jun-12 30-Sep-12 31-Dec-12 31-Mar-13 30-Jun-13 Loans and

  14. Slide 14: Performance of Corporate Banking

    Performance of Corporate Banking Corporate loan portfolio Corporate liabilities Term deposits Current accounts +9% +7% +13% 4,326 +14% 4,100 3,965 2,683 3,696 3,752 2,279 2,354 2,379 2,357 874 676 760 920 759 (RUB bn) (RUB bn) 1,604 1,594 1,599 1,809 1,459 30-Jun-12 30-Sep-12 31-Dec-12 31-Mar-13 30-

  15. Slide 15: Performance of Retail Banking

    Performance of Retail Banking Retail loan portfolio Retail deposits +14% +17% +7% +10% 1,630 1,311 1,529 1,193 1,434 1,120 1,315 1,331 296 270 1,027 307 950 265 270 57% 56% 56% 57% 56% 1,259 1,334 9% (RUB bn) 9% 1,127 (RUB bn) 9% 1,050 1,061 9% 9% 35% 35% 34% 35% 34% 30-Jun-12 30-Sep-12 31-Dec-12 31

  16. Slide 16: Segment Analysis

    Segment Analysis Corporate – Investment Banking 1H’2012 1H’2013 Segment result (net profit) +73% 82.6 80.1 -29% (10.9) (18.9) (RUB bn) (RUB bn) (43.9) (44.3) 22.0 15.7 Operating income before Provision charge Staff & admin expenses 1H’2012 1H’2013 provisions Retail Banking 1H’2012 1H’2013 Segment re

  17. Slide 17: Appendix

    Appendix 17 ВТБ Страхование © VTB 2013

  18. Slide 18: VTB Group Income Statement

    VTB Group Income Statement (in RUB bn) 1H’2013 1H’2012 Y-o-Y 2Q’2013 1Q’2013 Q-o-Q Net interest income 150.3 112.4 33.7% 76.5 73.8 3.7% Provision charge for loan impairment (50.7) (32.3) 57.0% (28.7) (22.0) 30.5% Net fee and commission income 25.6 21.8 17.4% 14.1 11.5 22.6% Net result from financial

  19. Slide 19: VTB Group Balance Sheet

    VTB Group Balance Sheet (in RUB bn) 30-Jun-2013 31-Mar-2013 Q-o-Q 31-Dec-2012 YTD 30-Jun-2012 Cash and mandatory cash balances with central banks 696.8 650.4 7.4% 632.8 10.4% 416.5 Due from other banks 378.1 263.8 43.3% 358.6 5.4% 411.2 Loans and advances to customers 5,265.6 4,948.2 6.4% 4,761.5 10

  20. Slide 20: VTB Group Securities Portfolio

    VTB Group Securities Portfolio Financial assets at fair Repo + loaned Financial assets Investment securities 1H’2013 Total value through P&L financial assets available for sale held to maturity RUB bn % of total RUB bn % of total RUB bn % of total RUB bn % of total RUB bn % of total Debt securities

  21. Slide 21: Investor Relations

    Investor Relations Tel: +7 (495) 775-71-39 e-mail: investorrelations@vtb.ru 21 © VTB 2013

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