Banco Santander, S.a. · BME:SAN
Banco Santander — 9M 2018 Earnings Presentation
76 slides from Banco Santander's earnings presentation, Oct 31, 2018
Slide 1: 9M'18 Earnings Presentation
31 October 2018 9M'18 Earnings Presentation Here to help you prosper
Slide 2: Important Information
Important Information In addition to the financial information prepared under International Financial Reporting Standards (“IFRS”), this presentation certain alternative performance measures (“APMs”) as defined in the Guidelines on Alternative Performance Measures issued by the European Securities a
Slide 3: Important Information
Important Information Forward-looking statements speak only as of the date of this presentation and are based on the knowledge, information available and views taken on such date; such knowledge, information and views may change at any time. Santander does not undertake any obligation to update or r
Slide 4: Index
Index 1. Group performance 9M’18 2. Business areas performance 9M’18 3. Concluding remarks 4. Appendix 5. Glossary 4
Slide 5: Group performance 9M'18
Group performance 9M’18 01
Slide 6: 9M'18 Highlights
Group performance 9M’18 9M’18 Highlights Our customer base continues to grow: Loyal +19% and Digital +24% YoY Commercial transformation Our digital transformation is increasing the penetration of digital customers and the use of mobile devices Q3’18 attributable profit: EUR 1,990 mn, affected
Slide 7: Commercial and digital transformations are bearing fruit
Group performance 9M’18 Our commercial and digital transformations are bearing fruit, and are reflected in a larger customer base and business growth More loyal customers driven by commercial initiatives Digital customers rose at a faster pace Loyal customers Digital customers1 mn mn +24% +19% 29.9
Slide 8: 9M'18 performance driven by strong customer revenue and lower provisions
Group performance 9M’18 9M’18 performance driven by strong customer revenue and lower provisions 9M’18 9M’17 % vs. 9M’17 EUR mn Euros Constant euros Net interest income 25,280 25,689 -2 8 Higher customer revenue due to rise in loyal Net fees 8,529 8,648 -1 10 customers, increased business volumes an
Slide 9: Positive Q3 performance driven by customer revenue growth and cost control
Group performance 9M’18 Positive Q3 performance driven by customer revenue growth and cost control Sustained QoQ evolution in core lines… … reflected in profit growth Constant EUR mn Constant EUR mn +3% 8,386 8,672 Net interest 8,151 8,153 8,222 7,761 income 2,090 7,438 -3% 1,981 1,971 2,885 Fee inc
Slide 10: Higher NII due to increased business volumes and spreads management
Group performance 9M’18 Higher NII due to increased business volumes and spreads management Organic growth Lower rates Mature +7% +8% -8 bps markets 9M'18 vs. 9M'17 +3% Loans Customer funds NIM Net interest income Organic growth Margin improvement +8% Developing markets +10% +15% +32 bps +15% Loans
Slide 11: Higher fee income YoY driven by Retail Banking and Wealth Management
Group performance 9M’18 Higher fee income YoY driven by Retail Banking and Wealth Management Loyal customers Total fee income growth by market1 Individuals (mn) Companies (k) Developing Mature +19% +19% markets markets 1,726 +6% 17.9 1,446 +14% 15.1 Sep-17 Sep-18 Sep-17 Sep-18 Activity growth1 Total
Slide 12: Best-in-class cost-to-income ratio, with better trend in costs
Group performance 9M’18 We maintain a best-in-class cost-to-income ratio, with better trend in costs Lower growth rates. Most units decreased QoQ Cost-to-income in line with 2018 target 9M'18 vs. 9M'17, % Nominal1 In real terms2 5.3 1.5 46.7% 47.4% 46.9% 6.8 2.9 1.9 0.3 18.2 -4.0 13.5 7.3 4.5 1.2 7.
Slide 13: Continued credit quality improvement
Group performance 9M’18 Continued credit quality improvement Cost of credit NPL and coverage ratios Coverage ratio by stage EUR billion Coverage ratio (%) Exposure1 Coverage 70 69 68 Sep-18 Sep-18 Jan-18 1.12% 66 65 0.98% Stage 1 824 0.5% 0.6% Stage 2 55 8.9% 8.6% NPL ratio (%) Stage 3 36 42.7% 44.2
Slide 14: Strong capital generation QoQ
Group performance 9M’18 Strong capital generation QoQ. In line to meet our 2018 target Fully loaded CET1 evolution % +0.28 +0.03 11.11 +0.09 11.20 10.84 10.80 Dec-17 Jun-181 Organic Others Sep-181 WiZink Pro forma1 Leverage ratio: 5.0% (1) Data calculated using the IFRS 9 transitional arrangements,
Slide 15: Delivering on our commitments: positive performance of the main ratios
Group performance 9M’18 Delivering on our commitments: positive performance of the main ratios RoRWA (%) RoTE (%) 12.1 1.60 11.8 1.47 11.7 1.55 11.0 1.39 9M'17 9M'18 9M'17 9M'18 Underlying EPS (EUR) Total TNAV per share (EUR) 0.350 0.349 +1.5% 4.20 4.10 4.16 vs Jun18 0.331 0.316 9M'17 9M'18 Sep-17 J
Slide 16: Business areas performance 9M'18
Business areas performance 9M’18 02
Slide 17: Group profit growth driven by most markets
Business areas performance 9M’18 Group profit growth driven by most markets 9M’18 Underlying attributable profit1 9M’18 Underlying attributable profit in core markets Americas Europe EUR mn and % change vs. 9M’17 in constant euros 48% 52% 1,942 +24% 1,306 +18% Other Latam, 2% 1,077 -9% Argentina, 1%
Slide 18: Brazil
Business areas performance 9M'18 Brazil KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Loyal customers (millions) 4.0 5.0 NII 2,377 4.7 7,283 17.1 Digital customers (millions) 8.0 10.5 Fee income 776 -4.3 2,568 14.9 NPL ratio (%) 5.32 5.26 Gross income 3,180 2.4 9,949 12.2 Operating expenses
Slide 19: Spain
Business areas performance 9M'18 Spain KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 NII 1,116 5.5 3,211 18.2 Loyal customers (millions) 1.6 2.5 Fee income 653 -2.7 1,997 20.9 Digital customers (millions) 3.0 4.3 Gross income¹ 2,114 15.1 6,015 19.7 NPL ratio (%) 6.82 6.23 Operating expenses
Slide 20: United Kingdom
Business areas performance 9M'18 United Kingdom KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Loyal customers (millions) 4.2 4.3 NII 1,033 1.3 3,103 -5.2 Digital customers (millions) 5.0 5.4 Fee income 258 -0.8 766 2.1 Gross income 1,367 1.4 4,089 -5.3 NPL ratio (%) 1.32 1.10 Operating expen
Slide 21: Santander Consumer Finance
Business areas performance 9M'18 Santander Consumer Finance P&L* Q3'18 % Q2'18 9M'18 % 9M'17 KEY DATA 9M'17 9M'18 NII 937 1.1 2,780 5.0 Active customers (millions) 19.6 19.3 Fee income 206 9.5 609 -9.5 Gross income 1,157 2.8 3,423 2.7 NPL ratio (%) 2.60 2.45 Operating expenses -475 -6.3 -1,491 1.9 C
Slide 22: Good performance: larger customer base, higher profits and better credit quality
Business areas performance 9M’18 Good performance: larger customer base, higher profits and better credit quality Strategy focused on the commercial network transformation, digitalisation and attracting retail customers Profit driven by good performance in NII, fee income and cost of credit. Doubl
Slide 23: Good performance: larger customer base, higher profits and better credit quality
Business areas performance 9M’18 Good performance: larger customer base, higher profits and better credit quality Banco Popular integration was concluded in October Largest1 privately owned bank after Banco Popular integration EUR 344 mn2; +9% PBT boosted by improved efficiency and lower cost of
Slide 24: Corporate Centre
Business areas performance 9M'18 Corporate Centre P&L* 9M'18 9M'17 NII -698 -628 Higher loss in NII due to increased volume of issuances (TLAC) Gains/Losses on FT 15 -257 Better FX hedging results reflected in gains on financial transactions Operating expenses -367 -356 Operating expenses rema
Slide 25: Concluding remarks
Concluding remarks 03
Slide 26: We are on track to meet our 2018 targets
Concluding remarks We are on track to meet our 2018 targets 2017 9M’18 2018 Targets Loyal customers (mn) 17.3 19.6 18.6 Digital customers (mn) 25.4 29.9 30 Fee income1 13% 10% ~10% CAGR 2015-18 Cost of credit 1.07% 0.98% 1.2% 2015-18 average Cost-to-income 47.4% 46.9% 45-47% EPS (EUR)2 0.40 0.331 Do
Slide 27: Appendix
Appendix 04
Slide 28: Appendix index
Appendix Loans and customer funds by units and by businesses Other countries results Global business results Liquidity NPL and coverage ratios and cost of credit Quarterly income statements 28
Slide 29: Overall increase in loans and customer funds, boosted by developing markets
Appendix Overall increase in loans and customer funds, boosted by developing markets Loan portfolio Customer funds MATURE MARKETS DEVELOPING MARKETS MATURE MARKETS DEVELOPING MARKETS Sep-18 EUR bn YoY Chg. Sep-18 EUR bn YoY Chg. Sep-18 EUR bn YoY Chg. Sep-18 EUR bn YoY Chg. Spain 214 -2% Poland 24 9
Slide 30: Appendix index
Appendix Loans and customer funds by units and by businesses Other countries results Global business results Liquidity NPL and coverage ratios and cost of credit Quarterly income statements 30
Slide 31: Mexico
Appendix Mexico KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Loyal customers (thousands) 1,896 2,359 NII 728 6.7 2,030 11.6 Digital customers (thousands) 1,808 2,533 Fee income 199 0.8 575 9.5 Gross income 931 2.4 2,630 8.3 NPL ratio (%) 2.56 2.41 Operating expenses -384 1.0 -1,086 13.5 Cos
Slide 32: Chile
Appendix Chile KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Loyal customers (thousands) 615 646 NII 481 1.1 1,466 7.0 Digital customers (thousands) 988 1,070 Fee income 101 -9.5 329 13.1 Gross income 632 2.4 1,914 4.4 NPL ratio (%) 4.95 4.78 Operating expenses -257 -1.7 -787 4.5 Cost of cre
Slide 33: United States
Appendix United States KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Loyal customers (thousands) 278 332 NII 1,337 1.9 3,838 -4.1 Digital customers (thousands) 778 869 Fee income 208 -7.9 641 -8.0 Gross income 1,735 1.4 4,983 -0.2 NPL ratio (%) 2.56 3.00 Operating expenses -748 -1.1 -2,220 -
Slide 34: Portugal
Appendix Portugal KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 NII 211 -1.1 646 14.2 Loyal customers (thousands) 681 736 Fee income 92 0.2 281 4.8 Digital customers (thousands) 551 691 Gross income¹ 323 -6.9 1,010 10.5 NPL ratio (%) 8.39 7.43 Operating expenses -157 -4.7 -480 7.4 LLPs -11 n
Slide 35: Poland
Appendix Poland KEY DATA 9M'17 9M'18 P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Loyal customers (thousands) 1,350 1,743 NII 243 2.2 730 6.3 Digital customers (thousands) 2,030 2,175 Fee income 111 -1.9 338 3.0 Gross income 367 -6.8 1,098 5.0 NPL ratio (%) 4.70 4.23 Operating expenses -156 -2.5 -472 5.5 Cost o
Slide 36: Argentina impacts on results and capital
Appendix Argentina impacts on results and capital • Argentina meets the criteria to be considered as a high inflation economy. International rules indicate that an economy is considered to be high inflationary if, among other factors, it has a 3-year cumulative inflation rate of above or around 100%
Slide 37: Argentina
Appendix Argentina KEY DATA 9M'17 9M'18 P&L* Q3'18 1 Q3'18 2 % Q2'18 9M'18 % 9M'17 Loyal customers (thousands) 1,288 1,397 NII -6 178 22.5 442 48.8 Digital customers (thousands) 1,907 2,084 Fee income -6 102 22.2 256 36.5 Gross income -70 262 -2.0 737 38.6 NPL ratio (%) 2.34 2.47 Operating expenses
Slide 38: Other Latin American countries
Appendix Other Latin American countries Attributable profit Constant EUR mn URUGUAY PERU +45% +10% 103 26 28 72 9M'17 9M'18 9M'17 9M'18 Focusing on loyalty, transactions and target segments Uruguay’s profit driven by higher NII and fee income, with improved C/I Peru’s higher revenue more than
Slide 39: Appendix index
Appendix Loans and customer funds by units and by businesses Other countries results Global business results Liquidity NPL and coverage ratios and cost of credit Quarterly income statements 39
Slide 40: Retail Banking
Appendix Retail Banking ACTIVITY P&L* Q3'18 % Q2'18 9M'18 % 9M'17 EUR bn and % change in constant euros NII 7,918 2.6 24,023 8.9 Fee income 2,068 -0.3 6,611 7.3 745 715 Gross income 10,411 3.1 31,726 8.5 Operating expenses -4,486 -1.8 -14,230 7.2 0% +2% LLPs -2,035 12.7 -6,107 8.1 QoQ QoQ PBT 3,508
Slide 41: Corporate & Investment Banking
Appendix Corporate & Investment Banking REVENUE P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Constant EUR mn NII 573 16.1 1,665 -0.2 Fee income 330 -12.3 1,133 0.2 TOTAL 3,833 -2% 3,744 Capital & Other 397 Gross income 1,194 8.2 3,744 -2.3 -18% 325 Operating expenses -524 10.2 -1,554 12.0 Global Markets 1,250 -
Slide 42: Wealth Management
Appendix Wealth Management ACTIVITY P&L* Q3'18 % Q2'18 9M'18 % 9M'17 Constant EUR bn and % change vs 9M'17 NII 104 1.2 311 12.0 Total Assets Under 0% Management 333 Fee income 266 -3.7 826 65.9 Funds and investments* 207 +3% Gross income 374 -2.9 1,150 35.3 - SAM 174 +3% Operating expenses -179 -3.1
Slide 43: Spain Real Estate activity
Appendix Spain Real Estate activity Real estate exposure1 Net value EUR bn EUR bn Sep-18 Real estate assets 3.9 9.7 4.8 Foreclosed assets 2.7 4.9 Rental assets 1.2 RE non-performing loans (NPLs) 1.0 Gross value Provisions Net value RE assets + RE non-performing loans 4.9 Sep-18 Sep-18 Management c
Slide 44: Appendix index
Appendix Loans and customer funds by units and by businesses Other countries results Global business results Liquidity NPL and coverage ratios and cost of credit Quarterly income statements 44
Slide 45: Funding plan to enhance the Group's TLAC position
Appendix We made good headway YTD in our funding plan to enhance the Group’s TLAC position and optimise the cost of capital Key liquidity ratios Funding plan - issuances Sep-18 Jan-Sep 18 Net loan-to-deposit ratio (LTD): 111% Group issuances2 EUR 19bn (~EUR 11bn TLAC-eligible) Deposits + M/LT fundin
Slide 46: Appendix index
Appendix Loans and customer funds by units and by businesses Other countries results Global business results Liquidity NPL and coverage ratios and cost of credit Quarterly income statements 46
Slide 47: NPL ratio
NPL ratio % Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Continental Europe 5.62 8.70 6.30 5.82 5.81 5.68 5.57 Spain 5.22 10.52 6.82 6.32 6.27 6.24 6.23 Santander Consumer Finance 2.62 2.61 2.60 2.50 2.48 2.44 2.45 Poland 5.20 4.66 4.70 4.57 4.77 4.58 4.23 Portugal 8.47 9.10 8.39 7.51 8.29 7.55
Slide 48: Coverage ratio
Coverage ratio % Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Continental Europe 60.6 59.7 53.7 54.4 56.8 55.2 54.4 Spain 49.1 56.6 46.2 46.8 51.1 49.0 47.7 Santander Consumer Finance 108.9 106.5 104.3 101.4 107.2 107.7 106.4 Poland 61.2 67.5 67.6 68.2 72.0 72.1 71.6 Portugal 61.7 55.6 56.1 62.1
Slide 49: Non-performing loans and loan-loss allowances
Non-performing loans and loan-loss allowances. September 2018 Non-performing loans Loan-loss allowances 100%: EUR 36,332 million 100%: EUR 24,685 million Other, 6% Other, 4% USA, 7% USA, 15% Argentina, 1% Spain, 30% Spain, 42% Chile, 6% Argentina, 1% Mexico, 2% Chile, 5% Mexico, 4% Brazil, 11% SCF*,
Slide 50: Cost of credit
Cost of credit % Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Continental Europe 0.38 0.36 0.32 0.31 0.32 0.34 0.37 Spain 0.33 0.32 0.28 0.30 0.29 0.31 0.35 Santander Consumer Finance 0.39 0.37 0.34 0.30 0.36 0.37 0.40 Poland 0.66 0.65 0.61 0.62 0.69 0.71 0.69 Portugal 0.07 0.03 0.10 0.04 0.08 0
Slide 51: Appendix index
Appendix Loans and customer funds by units and by businesses Other countries results Global business results Liquidity NPL and coverage ratios and cost of credit Quarterly income statements 51
Slide 52: Grupo Santander
Grupo Santander EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 11,246 11,522 11,569 11,556 11,409 11,411 10,989 34,337 33,809 Gross income 12,029 12,049 12,252 12,062 12,151 12,011 11,720 36,330 35,882 Operating expenses (5,543) (5,648) (5,766) (5,961) (5,764) (5,
Slide 53: Grupo Santander
Grupo Santander Constant EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 9,926 10,364 10,833 10,917 11,062 11,271 11,476 31,123 33,809 Gross income 10,610 10,830 11,477 11,394 11,791 11,845 12,246 32,916 35,882 Operating expenses (4,961) (5,128) (5,442) (5,664) (5,
Slide 54: Spain
Spain EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,206 1,409 1,753 1,749 1,710 1,729 1,769 4,368 5,208 Gross income 1,539 1,475 2,011 1,835 2,063 1,837 2,114 5,025 6,015 Operating expenses (798) (893) (1,161) (1,188) (1,145) (1,123) (1,103) (2,852) (3,370) Net
Slide 55: Santander Consumer Finance
Santander Consumer Finance EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,121 1,096 1,121 1,110 1,130 1,116 1,143 3,339 3,389 Gross income 1,118 1,099 1,135 1,132 1,140 1,126 1,157 3,352 3,423 Operating expenses (502) (485) (484) (506) (509) (507) (475) (1,472)
Slide 56: Santander Consumer Finance
Santander Consumer Finance Constant EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,111 1,092 1,117 1,109 1,129 1,116 1,144 3,320 3,389 Gross income 1,108 1,094 1,131 1,131 1,139 1,126 1,158 3,332 3,423 Operating expenses (498) (483) (482) (506) (509) (507) (475)
Slide 57: Poland
Poland EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 318 343 350 360 359 355 354 1,011 1,068 Gross income 321 363 358 378 333 398 367 1,042 1,098 Operating expenses (146) (150) (149) (160) (154) (162) (156) (446) (472) Net operating income 175 212 209 218 179 236
Slide 58: Poland
Poland PLN million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,374 1,449 1,489 1,522 1,500 1,512 1,525 4,312 4,537 Gross income 1,386 1,532 1,525 1,599 1,390 1,695 1,579 4,442 4,664 Operating expenses (630) (634) (636) (675) (642) (690) (672) (1,900) (2,005) Net operatin
Slide 59: Portugal
Portugal EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 261 262 311 313 320 305 303 834 927 Gross income 294 275 345 330 341 346 323 914 1,010 Operating expenses (139) (142) (166) (167) (158) (165) (157) (447) (480) Net operating income 155 133 179 163 183 182 166
Slide 60: United Kingdom
United Kingdom EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,349 1,409 1,317 1,291 1,274 1,304 1,291 4,075 3,869 Gross income 1,432 1,544 1,397 1,344 1,349 1,373 1,367 4,372 4,089 Operating expenses (723) (723) (694) (721) (764) (763) (730) (2,140) (2,256) Net
Slide 61: United Kingdom
United Kingdom GBP million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,160 1,213 1,183 1,146 1,125 1,142 1,152 3,556 3,420 Gross income 1,231 1,329 1,255 1,193 1,192 1,203 1,220 3,815 3,614 Operating expenses (622) (622) (623) (639) (675) (669) (651) (1,867) (1,995) Net
Slide 62: Brazil
Brazil EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 3,455 3,413 3,392 3,458 3,403 3,296 3,153 10,259 9,851 Gross income 3,717 3,502 3,542 3,512 3,445 3,323 3,180 10,761 9,949 Operating expenses (1,314) (1,233) (1,244) (1,289) (1,165) (1,095) (1,031) (3,791) (3,2
Slide 63: Brazil
Brazil BRL million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 11,561 12,036 12,567 13,139 13,568 14,121 14,451 36,165 42,141 Gross income 12,438 12,367 13,129 13,367 13,737 14,241 14,579 37,934 42,557 Operating expenses (4,397) (4,355) (4,613) (4,895) (4,644) (4,697) (4,7
Slide 64: Mexico
Mexico EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 804 856 879 811 836 841 927 2,539 2,604 Gross income 824 914 892 830 831 868 931 2,630 2,630 Operating expenses (319) (361) (356) (345) (340) (363) (384) (1,037) (1,086) Net operating income 505 553 536 485 491
Slide 65: Mexico
Mexico MXN million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 17,348 17,505 18,399 18,076 19,257 19,435 20,475 53,251 59,167 Gross income 17,779 18,706 18,677 18,508 19,143 20,058 20,546 55,163 59,747 Operating expenses (6,894) (7,386) (7,460) (7,683) (7,832) (8,381) (8,4
Slide 66: Chile
Chile EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 592 589 534 583 601 612 582 1,715 1,795 Gross income 645 644 604 630 640 642 632 1,893 1,914 Operating expenses (264) (260) (253) (248) (258) (272) (257) (777) (787) Net operating income 381 383 351 382 382 370
Slide 67: Chile
Chile CLP million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 413,110 430,039 403,461 434,470 444,260 453,403 449,145 1,246,609 1,346,808 Gross income 450,136 469,704 456,238 469,635 473,564 475,595 486,844 1,376,079 1,436,003 Operating expenses (184,039) (189,977) (191,12
Slide 68: Argentina
Argentina EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 374 428 382 398 343 367 (12) 1,183 698 Gross income 405 470 423 449 377 430 (70) 1,298 737 Operating expenses (221) (269) (235) (244) (218) (207) (0) (726) (426) Net operating income 184 201 187 205 159 223
Slide 69: Argentina
Argentina ARS million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 6,241 7,378 7,644 8,101 8,293 10,046 12,292 21,263 30,630 Gross income 6,764 8,104 8,460 9,103 9,117 11,729 11,492 23,328 32,338 Operating expenses (3,690) (4,640) (4,713) (4,964) (5,278) (5,707) (7,693) (13
Slide 70: United States
United States EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,763 1,738 1,545 1,495 1,435 1,500 1,545 5,045 4,480 Gross income 1,879 1,880 1,604 1,596 1,578 1,670 1,735 5,363 4,983 Operating expenses (837) (845) (743) (773) (735) (737) (748) (2,425) (2,220) Net o
Slide 71: United States
United States USD million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income 1,877 1,912 1,820 1,765 1,764 1,787 1,796 5,608 5,346 Gross income 2,001 2,068 1,893 1,884 1,940 1,990 2,018 5,962 5,947 Operating expenses (891) (929) (875) (909) (904) (878) (868) (2,696) (2,650) Net o
Slide 72: Corporate Centre
Corporate Centre EUR million Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 9M'17 9M'18 NII + Fee income (198) (223) (227) (240) (233) (241) (265) (648) (739) Gross income (341) (340) (300) (238) (227) (250) (257) (981) (733) Operating expenses (119) (118) (118) (120) (121) (122) (123) (356) (367) Net op
Slide 73: Glossary
Glossary 05
Slide 74: Glossary - Acronyms
Glossary - Acronyms AFS: Available for sale P&L: Profit and loss bn: Billion QoQ: Quarter on Quarter CET1: Common equity tier 1 Repos: Repurchase agreements C&I: Commercial and Industrial ROF: Gains on financial transactions CIB: Corporate & Investment Bank RoRWA: Return on risk-weighted assets DGF:
Slide 75: Glossary – definitions
Glossary – definitions PROFITABILITY AND EFFICIENCY RoTE: Return on tangible capital: Group attributable profit / average of: net equity (excluding minority interests) – intangible assets (including goodwill) RoRWA: Return on risk-weighted assets: consolidated profit / average risk-weighted assets E
Slide 76: Thank you
Thank you Our purpose is to help people and business prosper Our culture is based on believing that everything we do should be