BAWAG Group AG · VIE:BG
BAWAG — Shareholder Meeting (October 2020)
17 slides from BAWAG's shareholder meeting presentation, Oct 30, 2020
Slide 1: Annual General Meeting 2020
Annual General Meeting 2020 30 October 2020 30 October 2020 | BAWAG Group AG
Slide 2: Highlights 2019
Highlights 2019 FINANCIALS CAPITAL STRATEGY €5.22 +19% Distributed €615m capital via €400m Completed Concept 21: full EPS pro-forma vPY share buyback and €215 million separation from Austrian Post dividend €459m +5% Germany: significant progress made vPY CET1 ratio at year-end 2019 of 14.4% in trans
Slide 3: Share price development
Share price development Indexed as of 1 Jan 2019 2019 2020 YTD BAWAG Group +19% BAWAG Group -22% ATX +16% ATX -36% EuroStoxx Banks Index (SX7E) +11% EuroStoxx Banks Index (SX7E) -46% 140 Stoxx 600 Banks Index (SX7P) +9% Stoxx 600 Banks Index (SX7P) -43% 130 120 110 100 (8%) 90 80 (25%) 70 60 (40%) (
Slide 4: Strategy remains unchanged
Strategy remains unchanged Targeting ~10% RoTCE during a severe economic downturn Growing in our Drive efficiency through core markets operational excellence Mid-term Targets: Return on tangible common equity (RoTCE) >15% Cost-income ratio Focus on <40% Maintaining a safe and Customer Centricity sec
Slide 5: We entered the crisis in a strong position
We entered the crisis in a strong position EFFICIENT & HIGH-RETURN STRONG FUNDING & RESILIENT BUSINESS MODEL BUSINESS MODEL LIQUIDITY Strategic transformation since 2012 CIR 17% 18% Strong customer deposit base … represents Focus on developed markets with Austria as our 70% 15% 15% 15% 16% more than
Slide 6: Operating environment during pandemic
Operating environment during pandemic Business environment Catalyst for long-term changes ‒ Governments in DACH-region put out extensive stimulus packages and support Planting the seeds for greater scale, greater measures … demonstrating their fiscal strength and capabilities digital engagement bo
Slide 7: Long term commitment of Managing Board
Long term commitment of Managing Board Anas Abuzaakouk David O‘Leary Chief Executive Officer Chief Risk Officer ‒ Managing Board will be reduced to 5 members by 1 Jan 2021 ‒ Extension of mandates through Enver Sirucic Andrew Wise March 2026 Chief Financial Officer & Chief Investment Officer & Deputy
Slide 8: Agenda
Agenda 01 HIGHLIGHTS & COVID-19 UPDATE 02 CAPITAL DISTRIBUTION 03 FINANCIAL DEVELOPMENTS 2019 & 2020 30 October 2020 | BAWAG Group AG 7
Slide 9: Capital generation 2019-2020 YTD
Capital generation 2019-2020 YTD Highly capital accretive business model ~260bps (FY’19 gross capital generation through earnings) 2.6% (2.0%) 15.6% 0.3% (1.1%) €175m AT1 and €200m Tier2 issued during 14.5% 0.9% (0.7%) 14.4% Q3 ‘20 to fill AT1 & T2 buckets following the (0.5%) 14.0% change in compos
Slide 10: Capital distribution
Capital distribution Capital distribution in 2019 Future capital distribution ~€230m €400m dividend for 2019 earmarked for future payout €215m ~€101m YTD dividend accrual for 2020 as per dividend policy dividend for 2018 share buyback ECB recommended not to pay dividend until 1 January 2021 … Divide
Slide 11: Agenda
Agenda 01 HIGHLIGHTS & COVID-19 UPDATE 02 CAPITAL DISTRIBUTION 03 FINANCIAL DEVELOPMENTS 2019 & 2020 30 October 2020 | BAWAG Group AG 10
Slide 12: Major P&L & balance sheet items 2019
Major P&L & balance sheet items 2019 Profit before tax €604m +6% Total assets €46b +2% Customer Core revenues €1,163m +3% loans €30b - Common equity Customer (excl. AT1 capital and dividend) €3.3b deposits €30b +1% (6%) 30 October 2020 | BAWAG Group AG 11
Slide 13: Financial performance 2019
Financial performance 2019 FINANCIALS TARGETS CAPITAL ACTIONS 2019 Target P&L | € millions 2019 vPY Profit before tax €604m >€600m €400m Tier2 capital issued in March ’19 to fill the T2 requirement Core revenues 1,163 3% Share buyback of 10,857,763 shares (€400m) Operating income 1,241 6% Cost-inc
Slide 14: Recent developments - Highlights Q3 2020
Recent developments - Highlights Q3 2020 Net Profit of €79m, EPS of €0.90, and RoTCE 11.1% Pre-provision profit of €165m and CIR 43.2% EARNINGS Risk cost of €50m, of which €14m general reserves … applying conservative provisioning 1-off item: Q3 ‘20 deposit insurance charge of €12m due to Commerzial
Slide 15: Financial performance
Financial performance Key highlights P&L | € millions Q3 ‘20 vPY vPQ YTD vPY Balance Sheet & Capital | € millions Q3 ‘20 Q2 ‘20 vPQ vYE Core revenues 298 2% 5% 873 1% Total assets 51,238 51,278 - 12% Operating income 290 (8%) 2% 870 (6%) Interest-bearing assets 40,274 40,505 (1%) 9% Operating expens
Slide 16: Outlook and Targets
Outlook and Targets Updated 2020 outlook OUTLOOK 2020 MEDIUM-TERM TARGETS Based on normalized environment FY ’20 Net interest income FY ’19: €879m Increasing up to 4% Dividend distributions Net fee and commission income Return on tangible pending guidance FY ’19: €284m Decreasing ~10% common equity
Slide 17: Important Disclaimer
IMPORTANT DISCLAIMER: This presentation is prepared solely for the purpose of providing general information about BAWAG Group, Wiedner Gürtel 11, 1100 Wien. The information does not constitute investment or other advice or any solicitation to participate in investment business. This presentation doe