Banco De Credito E Inversiones · BCS:BCI
Banco De Credito E Inversiones — Q3 2017 Earnings Presentation
31 slides from Banco De Credito E Inversiones's earnings presentation, November 2017
Slide 1: Corporate Presentation
Corporate Presentation September 2017 Investor Relations Department | Email: Investor_Relations_Bci@Bci.cl November 2017
Slide 2: Contents
Contents. Main macroeconomic indicators Chilean financial system Banco de Crédito e Inversiones City National Bank of Florida Bci Investor Relations March 2017
Slide 3: Main macroeconomic indicators
Bci Investor Relations Main macroeconomic indicators
Slide 4: Main Macroeconomic Indicators
Main Macroeconomic Indicators GDP (% YoY growth) Investment (% YoY growth) 4.0 2.9 2.3 2.8 1.9 2.2 1.6 1.4 2013 2014 2015 2016 2017E 2018E -0.8 -1.0 -1.5 -4.2 2013 2014 2015 2016 2017E 2018E Private Consumption (% YoY growth) Inflation and Central Bank Monetary Policy Rate (TPM) (%) 5.5 4.9 4.7 4.3
Slide 5: Chilean macroeconomic indicators
Bci Investor Relations Chilean macroeconomic indicators
Slide 6: Financial System
Financial System Strong growth over the years (US$ Million) Total Loans (*) Commercial & Interbank Loans (*) 4.8% 8.0% 2.3% 5.9% 244,465 139,814 143,083 223,761 233,206 131,443 212,117 127,127 192,013 117,301 2014 2015 2016 3Q 2016 3Q 2017 2014 2015 2016 3Q 2016 3Q 2017 Consumer Loans (*) Mortgage L
Slide 7: Banco de Crédito e Inversiones
Bci Investor Relations Banco de Crédito e Inversiones
Slide 8: Shareholders and corporate governance
Shareholders and corporate governance Shareholder structure as of September 2017 Since Luis Enrique Yarur Rey (President) 1991 Shareholder José Pablo Arellano Marín 2011 Float Mario Gómez Dubravcic 2011 Agreement 27.60% Board of 63.28% Juan Ignacio Lagos Contardo 2013 Directors Lionel Olavarría Leyt
Slide 9: Bci Highlights - Profitable and financially sound
Bci Highlights - Profitable and financially sound Sept’17 in US$ Million (*) Market Share Total Assets $ 51,452 Total Loans $ 37,566 15.37% Net Income (LTM) $ 628 10.77% Market Capitalization $ 7,832 Tier I BIS ratio Capital Ratios 10.49% 13.57% Moody's S&P Fitch International Credit Ranking A1 A A-
Slide 10: Corporate Strategy
Corporate Strategy Strategic Priorities 11 22 3 3 Leverage digital customer Drive sustainable Enhance leadership and experience to achieve growth, while maintaining collaboration throughout the competitive advantage prudent risk organization 10
Slide 11: Strategy Execution
Strategy Execution ▪ Leverage digital customer experience and superior analytics to achieve deeper relationships and Best-in-Class Customer higher revenues per client, with focus on Retail and SMEs Experience through Digital Transformation ▪ Strategy-driven IT transformation to reduce cost-to serve,
Slide 12: Market shares
Market shares 3rd largest privately owned bank in Chile Total Assets Total Loans 15.16% 15.37% Bci Bci 14.76% 16.51% Others Bank 1 Bank 1 63.12% Others 36.88% 64.07% 16.24% Bank 2 35.93% Bank 2 17.80% Bank 3 Bank 3 16.96% 14.39% Non Interest Bearing Deposits (NIBD) Net Income 21.60% 18,78% Bci Bci O
Slide 13: National and international presence
National and international presence Tactical international coverage combined with one of the largest national distribution channels 362 National commercial contact points (CCP) Presence in 6 countries NORTH Regions I to IV and XV 55 CCP CENTER Regions V, VI and RM 230 CCP SOUTH Regions VII to XII an
Slide 14: Loan portfolio
Loan portfolio Bci has outperformed the financial system during 2014-2017 (US$ Million) CNB BCI Total Loans Commercial & Interbank Loans 4.8% 8.0% 5.9% 2.3% 10.4% 18.3% 37,566 17.5% 8.1% 35,345 24,402 34,040 23,362 22,568 31,829 6,506 5,661 5,154 21,015 5,415 4,528 4,543 4,093 25,243 16,930 3,449 20
Slide 15: Loan portfolio: well diversified and balanced
Loan portfolio Bci Well diversified and balanced loan portfolio Retail Comercial CIB Comercial CIB Finance SMEs Banking Banking Division Division Individuals Revenues < UF Revenues > UF 80.000 Corporate and (up to US$3.1 M*) (up to US$ 58,6 million*) Private Banking 42.22% 34.57% 23.75% 25.24% 21.09
Slide 16: Risk indicators
Risk indicators Conservative risk management policies Risk Index Total Loans Risk Index Commercial Loans Allowances/ Total Loans (Bci) Commercial Allowances/ Commercial Loans (Bci) Allowances/ Total Loans (Financial System) Commercial Allowances/ Commercial Loans (Financial System) 2.90% 3.01% 2.99%
Slide 17: Conservative risk management policies
Conservative risk management policies NPL Ratio (NPLs/Total Client Loans) NPL Ratio (Commercial Loans) Bci Financial System Bci Financial System 2.52% 2.12% 1.86% 1.85% 1.83% 1.87% 1.72% 1.62% 2.29% 1.47% 1.46% 1.46% 1.58% 1.48% 1.42% 1.41% 1.48% 1.47% 1.42% 1.39% 2014 2015 2016 3Q 2016 3Q 2017 2014
Slide 18: Strong time deposit growth with retail customer base
Strong time deposit growth with retail customer base Non interest bearing deposits & time deposits (US$ million) 33.6% 10.0% 14,110 12,615 12,845 12,019 17.4% 7,199 Non Interest Bearing Deposits 14,581 15,609 16,017 6.2% 17,011 12,899 Time Deposits 2014 2015 2016 3Q 2016 3Q 2017 Breakdown by type Fu
Slide 19: Profitability
Profitability NIM (*) (Net Interest Margin/ Average Interest Earning Assets) 4.49% 4.00% 3.62% 3.66% 3.60% 4.31% 3.93% 3.59% 3.58% 3.37% 2014 2015 2016 3Q 2016 3Q 2017 Bci Banking Sector Efficiency ratio (**) Fee income ratio (Net Fees/ Net Fees + Net Interest Margin) 50.4% 49.9% 49.3% 23.08% 2 5 .
Slide 20: Profitability
Profitability Sustained and profitable growth Net Income and Market Share (US$ Million) -0.41% 6 0 0 538 519 533 493 30.00% 5 0 0 398 25.00% 4 0 0 20.00% Net Income 3 0 0 15.00% 17.3% 23.9% 17.9% Market Share 15.0% 16.0% 10.00% 13.8% 2 0 0 1 0 0 5.00% 0 .00% 2014 2015 2016 3Q 2016 3Q 2017 ROAA (*) R
Slide 21: Capitalization
Capitalization Bci capitalization well above regulatory requirements 13.78% 13.41% 13.49% 13.57% 11.98% Regulatory Capital / Consolidated Risk weighted assets Basic Capital / Total Assets 7.55% 7.67% 7.78% Required by Sbif (8%) 7.19% 6.32% Required by Sbif (3%) 2014 2015 2016 3Q 2016 3Q 2017 Bis Rat
Slide 22: City National Bank of Florida
Bci Investor Relations City National Bank of Florida
Slide 23: Simulation of Bci stand alone and City National Bank of Florida
Simulation of Bci stand alone and City National Bank of Florida CMF US$ million (*) Bci Adjust Consolidated Owner CNB(¹) Cash 1,505 756 0 2,262 Securities 4,738 2,083 0 6,821 Loans and receivables net (**) 30,468 6,468 0 36,937 Other Financial Instruments 1,283 0 -959 324 Fixed Assets 357 65 0 422 O
Slide 24: Simulation of Bci stand alone and City National Bank of Florida
Simulation of Bci stand alone and City National Bank of Florida CMF US$ million (*) Bci Adjust Consolidated Owner CNB(¹) Net Interest Income 891 186 1,077 Net Service Fee Income 294 14 308 Operating Income 1,185 200 1,385 Other Operating Income 189 16 205 Provision for loan losses -234 -15 -248 Oper
Slide 25: Financial Highlights
Financial Highlights* • Total Assets increased by $2.1 Billion to $9.8 Billion (27% increase vs. Sept 2016) • New Loan Commitments of $2.0BN (1.7BN CNB + 348MM CNCF) (18% increase vs. Sept 2016) Balance Sheet • Total Net Loans & Leases increased by $1.4 Billion to $6.3 billion (28% increase vs. Sept
Slide 26: CNB has maintained continuous growth
CNB has maintained continuous growth Net Loans (US$bn) as of September 30, 2017 Deposits (US$bn) as of September 30, 2017 43% 22% 22.7 7.8% 7.3 31.2% 13.0 21.0% 4.1% 22.6% 6.1 20.4% CNB 14.6% 5.3 5.5 Growth 5.0 CNB 5.1 25.7% Growth 4.5 4.0 4.2 3.5 3.7 3.3 ‘11-’16 ‘11-’16 2.7 CAGR: 20% 2.9 CAGR: 11%
Slide 27: Thank you
This presentation contains forward-looking statements in various places throughout therein, related to, without limitation, our future business development. Forward-looking information is often, but not always, identified by the use of words such as “anticipate”, “believe”, “expect”, “plan”, “intend
Slide 28: Balance sheet
Balance sheet US$ million (*) 2013 2014 2015 2016 CAGR 3Q 2016 3Q 2017 %D 2013-2016 Cash 1,978 2,426 1,995 2,473 7.73% 2,080 2,473 18.87% Securities 3,099 3,272 5,811 5,946 24.26% 5,544 5,946 7.25% Loans 22,776 25,242 31,257 34,765 15.14% 33,473 34,765 3.86% Other Financial Instruments 126 158 413 4
Slide 29: Balance sheet
Balance sheet CLP$ million (*) 2013 2014 2015 2016 CAGR 3Q 2016 3Q 2017 %D 2013-2016 Cash 1,261,766 1,547,758 1,272,552 1,577,565 7.73% 1,327,172 1,442,732 8.71% Securities 1,976,887 2,086,992 3,706,721 3,793,351 24.26% 3,536,935 4,351,347 7.25% Loans 14,529,469 16,102,488 19,939,945 22,177,574 15.1
Slide 30: Financial results
Financial results CAGR US$ million (*) 2013 2014 2015 2016 3Q 2016 3Q 2017 %D 2013-2016 Net Interest Income 1,017 1,204 1,255 1,419 11.72% 361 349 -3.29% Net Service Fee Income 306 333 367 426 11.64% 108 108 -0.15% Operating Income 1,323 1,537 1,622 1,845 11.70% 468 456 -2.57% Other Operating Income
Slide 31: Financial results
Financial results CAGR CLP$ million (*) 2013 2014 2015 2016 3Q 2016 3Q 2017 %D 2013-2016 Net Interest Income 649,025 767,979 800,505 905,053 11.72% 230,080 222,512 -3.29% Net Service Fee Income 195,215 212,213 234,270 271,629 11.64% 68,730 68,628 -0.15% Operating Income 844,240 980,192 1,034,775 1,1
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