Banca Sistema S.p.A. · MIL:BST
Banca Sistema — FY2018 Earnings Presentation
14 slides from Banca Sistema's earnings presentation, Feb 8, 2019
Slide 1: FY 2018 Results
FY 2018 RESULTS 8 February 2019
Slide 2: FY 2018 Results at a Glance
FY 2018 Results at a Glance Factoring Turnover +20% y/y equal to €2.4bn Commercial Tax receivables represent 22% of FY 2018 factoring outstanding performance CQS/CQP outstanding reached €652m, +30% y/y Growing Adjusted Interest Income margin during 2018 Net Interest Income equal to €74.6m, +6% y/y C
Slide 3: Core business assets outstanding is growing
Core business assets outstanding is growing Factoring outstanding CQ Loans outstanding €m Of which 22% under €m Legal action +20% 1,716 +30% 652 y/y 500 y/y 1,429 31.12.2017 31.12.2018 31.12.2017 31.12.2018 Outstanding breakdown (31.12.2018) Outstanding breakdown by Type (31.12.2018) By Type of Prod
Slide 4: FY 2018 – Balance Sheet
FY 2018 – Balance Sheet Figures in millions of Euro Loans at amortized cost up 25% (€2,352m): IAS39 IFRS9 Change in % 31.12.2017 31.12.2018 Factoring receivables up +22% at ̴€1.6bn, thanks to the turnover ASSETS originated in 2018 Fina ncia l as s ets a t fa ir va lue through P&L [Held to Sell] 1 -
Slide 5: FY 2018 – Income Statement
FY 2018 – Income Statement Figures in millions of Euro IAS39 IFRS9 Change in % 31.12.2017 31.12.2018 Interes t i ncome 90.1 99.7 11% Interes t expens es (19.5) (25.1) 29% Net interest income 70.7 74.6 6% Net fee a nd commi s s i on i ncome 10.7 15.3 43% Di vi dends a nd s i mi l a r i ncome 0.2 0.2
Slide 6: Total Income y/y and q/q supported by business growth
Total Income y/y and q/q supported by business growth Total Interest Income Total Income FY 2018 Interest Income +11% y/y, growth is One-off from TLTRO €m €m driven by higher Factoring and CQ Adjusted Interest Income margin1 II funding lower contribution, -€0.8m Including Factoring contribution 5.5%
Slide 7: Operating costs up y/y for business growth
Operating costs up y/y for business growth Administrative Expenses, Net Provisions for Operating Costs Personnel Expenses risk, Servicing Costs, Other and D&A €m FTEs (#) 156 183 +11% 42.2 38.1 22.3 20.5 17.6 19.9 17.4 19.6 3.1 2.7 FY 2017 FY 2018 FY 2017 FY 2018 1 FY 22018 FY 2017 Servicing Other O
Slide 8: Stable funding cost during 2018
Stable funding cost during 2018 Total Funding breakdown Total Funding breakdown • Cost of funding stable y/y Funding Cost1 and q/q including the 0.9% 0.9% 0.9% 0.9% €0.8m one-off, deriving Wholesale from TLTRO II (€123m) 59% Funding 52% cost increase from -40bps 49% 41% 43% to 0bps Retail 25% 15% •
Slide 9: Asset Quality driven by factoring business
Asset Quality driven by factoring business Gross Non Performing Exposures Net Non Performing Exposures €m 225.2 196.0 189.1 161.5 57.5 39.0 143.3 60.6 121.0 40.8 24.3 77.9 44.6 31.3 87.2 32.3 24.1 15.4 97.3 96.4 74.7 80.5 73.3 79.1 31.12.2017 30.09.2018 31.12.2018 31.12.2017 30.09.2018 31.12.2018 Pa
Slide 10: Regulatory Capital well above minimun requirements
Regulatory Capital well above minimun requirements CET1 and Total Capital(1) RWA breakdown €m CET1 Total Capital €m Operational Risk & Market Risk (2) Credit Risk TC Ratio 14.2% 13.7% Lower CQ RWA, 15.7% post ECOFIN approval CET1 Ratio 11.1% 11.0% [4.12.2018] 12.5% 1,317.0 1,227.8 181.1 174.2 144.3
Slide 11: Annexes
Annexes
Slide 12: Factoring Turnover
Factoring Turnover Factoring Turnover €m +20% 2,406 Turnover generated by agreements 2,010 with Italian Retail banks: 28% in FY 2018 (29% FY 2017) 1,469 FY 2016 FY 2017 FY 2018 FY 2018 Factoring Turnover breakdown By Type By Year of Customer’s Customer Concentration Acquisition Tax receivables Befor
Slide 13: Disclaimer
Disclaimer The distribution of this presentation in other jurisdictions may be restricted by law or regulation. Accordingly, persons who come into possession of this document should inform themselves of, and observe, these restrictions. To the fullest extent permitted by applicable law, the companie
Slide 14: Head of Investor Relations
Carlo Di Pierro Head of Investor Relations carlo.dipierro@bancasistema.it +39 02 80280358 +39 3355288794