Banca Ifis S.p.a. · MIL:IF
Banca Ifis — Investor Presentation (March 2017)
21 slides from Banca Ifis's investor presentation, March 2017
Slide 1: Banca IFIS Group: Identity and Numbers
Banca IFIS Group: Identity and Numbers NYC, March 2017
Slide 2: Banca IFIS Overview
Banca IFIS Overview • A specialty finance player, specialized in financing SME’s with a complete range of financial tools, from short term finance to medium/long term. It is also a leader in the Italian NPL market and it is present in the tax receivables sector. • Strong and diversified business mod
Slide 3: Banca IFIS – Growth Opportunities
Banca IFIS – Growth Opportunities • Banca IFIS is well placed to continue to capitalise on the restructuring of bank balance sheets in Italy and the rest of Europe through the acquisitions of NPL portfolios. • Continued organic focus on SME trade finance (micro, small and medium sized enterprises) t
Slide 4: Key Financial Figures: Banca IFIS turns a new chapter
Key Financial Figures: Banca IFIS turns a new chapter • 2016 Highlights • Record profit (€ 688 million, +324,7%); • Estimated €0.82 dividend per share, EPS is €12,94; • Includes the acquisition of Interbanca Group's data only for December 2016. • 16th March 2017 • Annual results and guidelines of th
Slide 5: Q3 2016 Detailed Results
BANCA IFIS Q3 2016 Detailed Results
Slide 6: Banca IFIS – Group Overview (2/2)
Banca IFIS – Group Overview (2/2) Strong and well diversified business model built on Banca IFIS’ core expertise as a trade receivable player DRL ≈ 46.0% as of 30 September 16 NBI (excl. G & S) ● Acquisition and management of retail Unsecured Distressed Trade Receivables ≈ 50.0% as of Loan portfolio
Slide 7: Banca IFIS – Trade Receivables Business (1/2)
Banca IFIS – Trade Receivables Business (1/2) Trade receivable Focus on SMEs and micro companies in the B2B, leading market financing position in the Pharma segment currently represents ca. Very low competition in the B2B Segment Public Administration/Pharma segment 3/4 of the Group’s Net ● Small or
Slide 8: Banca IFIS – Trade Receivables Business (2/2)
Banca IFIS – Trade Receivables Business (2/2) Loans to customers CAGR of 14.6% over the last 10 years Total Receivables managed at 9M16 breakdown by type of products 79% of IFIS’ B2B (Eu 2,137 mn) PA (Eu 1,135 mn) Group (Eu 3,273 mn) B2B book acquired with Without recourse, ie risk Without Recourse
Slide 9: Banca IFIS - Positioning in the Italian Factoring Market
Banca IFIS - Positioning in the Italian Factoring Market Banca IFIS is among the top 5 players in a concentrated market with competitors split between large commercial banks driven Market Structure by Receivables Outstanding 7.500 Source: EU Federation of Factoring and Commercial Finance 9
Slide 10: Banca IFIS – Distressed Retail Loans Business 1/2
Banca IFIS – Distressed Retail Loans Business 1/2 Most accelerated growth among B. IFIS Business Banca IFIS – DRL Managed Receivables (Gross BV) – Eu bn Banca IFIS is the ● Banca IFIS is the only large leading player in integrated player in Italy involved in both the acquisition of DRL the Italian m
Slide 11: Banca IFIS – Distressed Retail Loans Business 2/2
Banca IFIS – Distressed Retail Loans business 2/2 30/09/2016 Banca IFIS Distressed Retail Loans Portfolio Book NPL Gross Collection Book Value Value/NPL Portfolio Portfolio Internal and Non Judicial External Recovery Payment 488 mln 97 mln 20% Department Plans Order of Assignment 40 Wage 135 mln mln
Slide 12: Banca IFIS – Tax Receivables Business
Banca IFIS – Tax Receivables Business Market leader ● Banca Ifis operates in this segment through the Fast finance business unit, whose activity mainly Tax receivables consists in the purchase of tax receivables arising from insolvency proceedings is a relatively small segment, ● The purchase (witho
Slide 13: Banca IFIS – Financial Highlights
Banca IFIS – Financial Highlights Strong track record in growth, showing ad NBI (net of carry trade) CAGR by 19.7% over the last four years Banca IFIS’ track record Net Banking Income (Eu mn) breakdown by segment is strong and shows a significant growth in all business, both in the traditional trade
Slide 14: Banca IFIS – Net Profit Breakdown
Banca IFIS – Net Profit Breakdown Eu mn 51,0% 47,1% NBI 237,7 Provisions 19,5 4,6% G&S Trade receivables DRL Tax receivables -2,7% Operating costs 118,7 Taxes 33,2 Trade receivables KPIs: 9M16 ● Turnover: Eu 7.5 bn (vs 9M15 +3.2%) Net profit 66,3 ● NBI/Turnover: 1.6% (vs 9m15: 1.6%) ● NBI/Loans: 4.6
Slide 15: Banca IFIS – Asset structure & Credit Quality
Banca IFIS – Asset structure & Credit Quality Strong credit quality with a cost of risk by 86 bps as of Sept. 2016 Asset structure Credit Quality (net figures) – Eu mn 130,0 9M16 Total Assets (Eu 5,0 bn) breakdown 58,2 Other Assets 49,6 33,0 31,0 32,0 43,8 4,2% 39,5 35,8 Due from banks 9,1% Loans to
Slide 16: Banca IFIS – Focus on funding
Banca IFIS – Focus on funding Steady and consistent online funding Funding breakdown - Data in Eu mn 2014A 2015A Ch. % 9M2016 Ch. % ● % of Retail Retail Funding 3.314 3.113 -6,1% 4.025 29,5% Funding on Total Wholesale funding - Due to banks 2.259 663 -70,7% 56,8 -91,4% Funding further increased on a
Slide 17: Banca IFIS – Acquisition of GE Capital Interbanca
Banca IFIS – Acquisition of GE Capital Interbanca Obtained Signing of the Acquisition authorization from Approval of filing to Bank Submission of filing to Agreements Bank of Italy and ECB(1) Italian Competition of Italy and ECB Authority 28 By the End of July 2016 end of July 2016 November 2016 Dec
Slide 18: Banca IFIS – Transaction structure 1/2
Banca IFIS – Transaction structure 1/2 First hypothesis on Banca IFIS’s target structure Transaction's key terms after 18-24 months 2016 at closing Within the end of 2018 (1) 1 Listed ● Purchase Price to be paid at closing, equal Interbanca to Eu 160 mn cash (2) (“Lending”) Factoring Financial leasi
Slide 19: Banca IFIS – Transaction structure 2/2
Banca IFIS – Transaction structure 2/2 Scope of the Acquisition of 99,99%1 of Interbanca S.p.A (Lending) and its Factoring and Leasing (financial & operational) Acquisition businesses ● Combine knowhow of both Groups ● Indepth knowledge of small Italian enterprises, with focus on their financial cyc
Slide 20: Banca IFIS – Strategic Rationale
Banca IFIS – Strategic Rationale ۷ Run-off of less profitable positions (mainly in business lending) ۷ Selective approach to small-medium size companies in lending ۷ New specialty-finance opportunities in niche areas (e.g. restructuring) ۷ Cross-selling opportunities within both the customer base of
Slide 21: Disclaimer
Disclaimer ■ This presentation does not represent a prospectus or other offering documentation, and does not constitute or form part of, and should not be construed as, any offer or invitation to subscribe for, underwrite or otherwise acquire, any securities of Banca IFIS or any member of its group