Raiffeisen Bank International Ag · VIE:RBI
Raiffeisen Bank International — Q1 2023 Earnings Presentation
56 slides from Raiffeisen Bank International's earnings presentation, May 5, 2023
Slide 1: Raiffeisen Bank International Q1/2023 Results
Raiffeisen Bank International Q1/2023 Results – 5 May 2023
Slide 2: Disclaimer
Disclaimer Certain statements contained herein may be statements of future risks, uncertainties and factors inherent in our business. falling within Article 43(2) of the Financial Services and Markets Act 2000 expectations and other forward-looking statements about Raiffeisen This presentation conta
Slide 3: Business & Financial Update
01 02 03 Business & Financial Risk Update Appendix Update Q1/2023 Results - 5 May 2023 3
Slide 4: Q1/2023 Executive Summary
Q1/2023 Executive Summary RBI Consolidated profit Consolidated RoE CET1 ratio Group 1-3/2023 1-3/2023 31/03/2023, transitional, incl. results EUR 657 mn 15.8% 16.0% -20% q-o-q -8 pp q-o-q +0 pp q-o-q Adjusted: Consolidated profit Consolidated RoE CET1 ratio EUR 330 mn 10.4% 13.7% +106% q-o-q +5 pp q
Slide 5: Q1/2023 Executive Summary
Q1/2023 Executive Summary RBI Loans to customers Core revenues Opex and Cost/Income Ratio Group 31/03/2023 1-3/2023, in EUR mn 1-3/2023 1,385 EUR 105,336 mn 966 EUR 950 mn 38.6% +2% q-o-q -5% -19% q-o-q -3% q-o-q +4 pp Net interest Net fee & income commission income Adjusted: Loans to customers Core
Slide 6: Q1/2023 Core Revenue Trends
Q1/2023 Core Revenue Trends Net interest income down 5% q-o-q (EUR 77 mn) ▪ NII excl. Russia and Belarus stable q-o-q, as repricing of EUR 1,385 mn Adjusted excl. Russia / Belarus - 0% liabilities is slower than expected 1,392 1,462 1,385 q-o-q ▪ NII up in CE by +3% q-o-q, in SEE by 7% q-o-q 1,000 9
Slide 7: Loan Growth and Deposits in Q1/2023
Loan Growth and Deposits in Q1/2023 Loans to customers Deposits from customers + 2% in EUR mn in EUR mn q-o-q 103,230 105,336 124,776 100,832 125,099 Loans to Deposits from customers 115,153 90,671 customers 102,112 Group Group - 0% 93,922 96,884 q-o-q Excluding 88,599 + 3% Russia/ Belarus 80,457 q-
Slide 8: High Liquidity Across the Group
High Liquidity Across the Group RBI Group - Liquidity ratios RBI head office: conservative liquidity profile 213% 202% 219% 209% LCR 189% ▪ LCR further improved to 160% in Q1 126% 134% 135% 137% 138% ▪ Head office with sufficient liquidity to cover all NSFR deposits and maturing funding for over one
Slide 9: CET1 Ratio Development
CET1 Ratio Development + 0 bps q-o-q 16.0% 16.0% + - - + - - -8 bps -22 bps +1 bps -22 bps +66 bps -15 bps Loan growth Other credit Market & OCI, Retained earnings FX risk operational risk valuation & other effects ▪ Earmarked dividend of EUR 0.80 per share (~27 bps of CET1) deducted from regulatory
Slide 10: CET1 Outlook 2023
CET1 Outlook 2023 16.0% Group CET1 ratio expected above 16 per cent at year-end 2023 > 16.0% Any decision on dividends Expected CET1 drivers in 2023: will be based on the capital position of the Group excluding Russia Retained ~170 bps Net of expected 2023 earnings + dividend accrual RWA increase Lo
Slide 11: P/B Zero Deconsolidation Scenario in Russia
P/B Zero Deconsolidation Scenario in Russia Landing point1: Group CET1 ratio above 13.5% following Capital stack under P/B Zero deconsolidation scenario 13.7% “P/B Zero deconsolidation” of Russia 2.92% T2 Assumptions: 2.65% With Russia deconsolidated at P/B Zero, AT1 and T2 CET1 EUR 4.1 bn IFRS equi
Slide 12: Capital Ratios and SREP
Capital Ratios and SREP RBI, transitional as of 31/03/2023 Current regulatory 20.2% P2R ▪ 1.45% to be met with CET1 requirements 2.58% ▪ 48 bps eligible for AT1 17.7% 16.0% 15.82% ▪ 65 bps eligible for T2 Tier 2 13.17% 2.65% (incl. P2R) AT 1 P2G ▪ To be solely covered by CET1 but 11.19% 1.98% (incl.
Slide 13: MREL and Funding Plan
MREL and Funding Plan Austria resolution group MREL Including profit Funding plan 2023 31/03/2023 40.65% 2 to 3 additional benchmarks expected until YE 2023 Requirement Actual Total MREL ▪ Possible non-preferred senior from H2/2023 to maintain loss- requirement 14.85% (1/1/2024) Senior absorbing cap
Slide 14: Russia Update
Russia Update The Group will continue to progress potential transactions which would result in the sale or spin-off of Raiffeisenbank Russia and deconsolidation of Raiffeisenbank Russia from the Group. We are committing to further reducing business activity in Russia whilst we continue to progress s
Slide 15: Macro Outlook
Macro Outlook GDP (real, % yoy) 2021 2022 2023 2024 ▪ Just as the good results of early 2022 boosted full year Czech Republic 3.5 2.4 0.9 3.3 results, in 2023 the weak start into the year is expected to Hungary 7.1 4.6 0.0 3.0 Poland 6.9 5.1 0.5 2.7 weigh on full year growth. The expected recovery i
Slide 16: Inflation and Key Rates Forecast
Inflation and Key Rates Forecast Inflation & rates 11.3% Inflation rate (CPI) CZ 9.8% (average, % y-o-y) ▪ Inflation peaked in CE and SEE - disinflation is in progress 3.7% amid uncertainty regarding its pace. Governmental 3.9% 2023f 2024f interventions still affect food and energy prices SK Banking
Slide 17: 2023 Guidance
2023 Guidance Core Group excluding Russia / Belarus RBI Group Core revenues EUR 3.6-3.7 bn EUR ~1.7 bn ~2% EUR 5.3-5.4 bn EUR 3.2-3.4 bn ~0% (flat) & loan growth Net interest Net fee and Loans to Net interest Net fee and Loans to income commission income customers income commission income customers
Slide 18: Risk Update
01 02 03 Business & Financial Risk Update Appendix Update Q1/2023 Results - 5 May 2023 18
Slide 19: Risk Overview
Risk Overview Q1/2023 31/03/2023 31/03/2023 Provisioning ratio / risk cost Stock of risk overlays NPE ratio/ coverage ratio 93 bps EUR 301 mn EUR 917 mn 1.5% 58.2% including impairments on +3 bps q-o-q debt securities Core Group (spillover, energy, inflation) EUR 319 mn -8 bps -81 bps q-o-q q-o-q Ru
Slide 20: IFRS 9 Provisioning in Q1/2023
IFRS 9 Provisioning in Q1/2023 EUR EUR Core Group 62 mn 301 mn EUR ▪ Stage 1 & 2: EUR 22 mn, mainly in Romania 176 mn ▪ Macro update: outlook largely unchanged, adaptions in Romania, Slovakia and Ukraine. ▪ Overlays: EUR -13 mn, major part released in Head EUR EUR Office 53 mn 9 mn ▪ Stage 3: EUR 6
Slide 21: Q1/2023 RWA Development
Q1/2023 RWA Development 1 ▪ Credit Risk increased EUR 0.2 bn in Core Group and EUR 0.3 bn in Russia Inorganic effect: Further expected net ▪ Inorganic effect of EUR 1.3 bn from article 500a (risk weightings of public debt issued in the currency increase of around EUR 1.7 bn in of another member stat
Slide 22: Poland CHF Update
Poland CHF Update Cases update Provisions taken in Q1/2023 in EUR mn 27,201 loans 10,596 litigation 2,006 1,995 1,971 1,914 Gross exposure outstanding cases Q1/2023 Other result bookings: 853 803 Stock of 497 554 EUR 69 mn EUR 17 mn provisions for litigation New provisions for For net losses on annu
Slide 23: NPE Ratio and NPE Coverage
NPE Ratio and NPE Coverage Central Europe 59.7% 60.8% 61.4% 59.7% 6.0%844 Asset quality development q-o-q 57.7% +1.5% 50.0% 1.7% 1.6% 1.5% 1.4% 1.3% 1.0% ▪ NPE ratio slightly decreased to 1.5% Southeastern0.0% 69.6% 68.2% 70.1% 70.2% 69.2% (4.0%) 6.0%568 ▪ In GC&M the NPE ratio decreased to 1.4% whi
Slide 24: Appendix
01 02 03 Business & Financial Risk Update Appendix Update Q1/2023 Results - 5 May 2023 24
Slide 25: Geographic Footprint
Geographic Footprint ▪ Leading regional player with CEE presence of over 30 years Central Europe (CE) Russia, #10 servicing approx. 18 million customers ▪ Loans: EUR 8.1 bn Southeastern Europe (SEE) ▪ Business outlets : 124 Eastern Europe (EE) ▪ Covering Austria and 12 CEE markets, of which five are
Slide 26: Raiffeisen Banking Group Structure
Raiffeisen Banking Group Structure Raiffeisen Banking Group (RBG) – largest banking group in Austria with total assets of EUR 400 bn as of 31/12/2022 Solid funding profile of RBG based on a domestic market share of around 34% of total customer deposits, not least due to superior brand recognition Th
Slide 27: Q1/2023 Income Statement and KPIs
Q1/2023 Income Statement and KPIs (in EUR mn) Q1/2023 % q-o-q % y-o-y Net interest income 1,385 -5% +41% Net interest margin Q1/2023 Net fee and commission income 966 -19% +41% Net trading income & fair value result 86 -55% -53% 2.75% Other operating components1 22 +99% -22% -10 bp q-o-q Operating i
Slide 28: Total Exposure
Total Exposure Total exposure by segments Q1/2023 … by sector Q1/2023 in EUR bn in EUR bn Mortgages 30 Retail 20% GC&M +1.0% Consumer loans & other 21 105.2 EUR 248 bn Sovereigns & supranationals Financial institutions 46 55 Sov. & FI 41% +0.9% q-o-q Industrials 24 Materials 12 Corporate 39% CE +4.4
Slide 29: Q1/2023 Segments Overview
Q1/2023 Segments Overview Core revenues Loans to customers / NIM Provisioning ratio Profit/loss after tax Q1/23 q-o-q Q2/22 Q3/22 Q4/22 Q1/23 Q1/23 q-o-q Q1/23 q-o-q 37,707 38,192 508 36,329 37,138 5.00% CE Net Fees 141 -7% 12 bps EUR 9 mn 30,000 2.49% 2.39% 2.32% +14 bps - NII 367 +3% 2.23% 20,000
Slide 30: Corporate Center/Reconciliation
Corporate Center/Reconciliation In EUR mn 1-3/2023 1-3/2022 y-o-y In EUR mn 1-3/2023 1-3/2022 y-o-y Operating income 110 183 (39,7%) Operating income (126) (6) >500,0% General admin. expenses (95) (104) (8,1%) General admin. expenses 35 30 17,5% Operating result 15 79 (80,9%) Operating result (91) 2
Slide 31: Equity Overview
Equity Overview Cumulative other Non- Subscribed Capital Retained comprehensive Consolidated controlling Additional Total In EUR mn capital reserves earnings income equity interests tier 1 Equity Equity as at 1/1/2022 1.002 4.990 13.637 (3.601) 16.027 1.127 1.610 18.764 Impact of adopting IFRS 17 0
Slide 32: Regulatory Capital Structure - Overview
Regulatory Capital Structure - Overview in EUR mn 31/3/2023 31/12/2022 30/9/2022 Common equity tier 1 (before deductions) 16,640 16,442 16,736 Deduction items (848) (799) (848) Common equity tier 1 (after deductions) 15,792 15,643 15,888 Additional tier 1 (after deductions) 1,684 1,676 1,673 Tier 1
Slide 33: Maturity Profile
Maturity Profile Maturity Maturity Profile Profile at at 31/03/2023 30/9/2020 (in EUR mn) 4,600 4,190 16 70 3,320 13 2,076 4,230 4,120 80 1,659 1,526 3,308 1,499 546 1,996 1,023 738 756 1,650 110 577 505 980 737 646 500 48 476 500 77 5 5 4 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 >2035
Slide 34: Green Bond Allocation and Impact Report
Green Bond Allocation and Impact Report Green loan portfolio total volume: (as of 28 February 2023) (as of 28 February 2023) Renewable EUR 2,146 mn Energy 30% Green Buildings EUR 634 mn EUR 1,897 mn EUR 249 mn 38% by use of proceeds EUR 825 mn disbursed undisbursed Our most recent Allocation and Imp
Slide 35: AT1 and Subordinated Instruments
AT1 and Subordinated Instruments Regulatory Capital Initial Nominal Issuer ISIN Reset Coupon Issuance date First Call Date Call period Maturity Treatment1 Recognition Coupon outstanding Raiffeisen Bank 5Y EUR ms Additional Tier 1 100% XS1756703275 4.500% EUR 500 mn 24 Jan 2018 15 Jun 2025 Semi-annua
Slide 36: The New Institutional Protection Scheme (IPS)
The New Institutional Protection Scheme (IPS) 1 RBI AG and its Austrian subsidiaries are members of the new Raiffeisen IPS The IPS supports members if needed to ensure solvency and liquidity 2 IPS serves as capital cushion and source of liquidity to its members. Uniform and joint monitoring ensures
Slide 37: Bank Levies
Bank Levies Impact in EUR mn FY 2022 1-3 2023 FY 2023e Austria Bank levy based on total assets (excluding derivatives) 22 6 ~24 Bank levy of 0.15% (for up to HUF 50 bn of total assets) and 0.21% (for tax base above HUF 50 bn) fully Hungary reflected in the first quarter; special tax for banks (bank
Slide 38: NPE and NPL Distribution by Country
NPE and NPL Distribution by Country In EUR mn NPE Stock NPE Ratio NPE Ratio NPE Coverage Ratio NPE Coverage Ratio NPL Ratio NPL Ratio NPL Coverage Ratio NPL Coverage Ratio 31/3/2023 31/3/2023 31/12/2022 31/3/2023 31/12/2022 31/3/2023 31/12/2022 31/3/2023 31/12/2022 Czech Republic 269 0,9% 1,0% 49,9%
Slide 39: RBI Group
RBI Group In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 1,385 1,462 (5.3%) 1,392 1,214 986 1,385 986 40.5% 5,053 Net fee and commission income 966 1,196 (19.3%) 1,117 882 683 966 683 41.3% 3,878 Net trading income and fair value result
Slide 40: Country Financials (CE) – Czech Republic
Country Financials (CE) – Czech Republic In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 153 144 5.9% 183 159 166 153 166 (7.9%) 652 Net fee and commission income 48 56 (14.3%) 45 47 49 48 49 (1.7%) 197 Net trading income and fair value r
Slide 41: Country Financials (CE) – Hungary
Country Financials (CE) – Hungary In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 123 117 5.4% 96 76 67 123 67 83.1% 356 Net fee and commission income 47 48 (2.7%) 45 45 45 47 45 5.2% 183 Net trading income and fair value result (7) 9 – (
Slide 42: Country Financials (CE) – Poland
Country Financials (CE) – Poland In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 0 3 (83.9%) 4 3 3 0 3 (85.4%) 12 Net fee and commission income 0 (0) – 0 1 1 0 1 (82.9%) 1 Net trading income and fair value result 0 0 (84.9%) 2 0 (0) 0 (0)
Slide 43: Country Financials (CE) – Slovakia
Country Financials (CE) – Slovakia In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 91 93 (2.2%) 79 78 71 91 71 27.1% 322 Net fee and commission income 46 47 (2.0%) 46 47 45 46 45 2.2% 185 Net trading income and fair value result 4 6 (39.2
Slide 44: Country Financials (SEE) – Albania
Country Financials (SEE) – Albania In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 25 23 10.0% 18 16 16 25 16 59.5% 72 Net fee and commission income 4 5 (4.5%) 5 5 4 4 4 3.2% 19 Net trading income and fair value result 0 0 7.3% (1) (1) 2
Slide 45: Country Financials (SEE) – Bosnia & Herzegovina
Country Financials (SEE) – Bosnia & Herzegovina In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 19 18 9.0% 17 15 15 19 15 29.6% 64 Net fee and commission income 13 16 (17.4%) 15 13 13 13 13 1.1% 56 Net trading income and fair value result
Slide 46: Country Financials (SEE) – Croatia
Country Financials (SEE) – Croatia In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 41 32 28.6% 30 27 27 41 27 50.4% 116 Net fee and commission income 18 21 (12.3%) 25 21 20 18 20 (11.2%) 87 Net trading income and fair value result 1 1 84.
Slide 47: Country Financials (SEE) – Kosovo
Country Financials (SEE) – Kosovo In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 15 16 (4.4%) 14 13 12 15 12 26.8% 55 Net fee and commission income 4 3 4.6% 6 4 3 4 3 2.9% 17 Net trading income and fair value result 0 (0) – (0) 0 (0) 0 (
Slide 48: Country Financials (SEE) – Romania
Country Financials (SEE) – Romania In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 140 141 (0.3%) 129 115 105 140 105 34.2% 489 Net fee and commission income 41 43 (5.1%) 48 48 41 41 41 (0.7%) 180 Net trading income and fair value result
Slide 49: Country Financials (SEE) – Serbia
Country Financials (SEE) – Serbia In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 59 51 17.0% 40 34 22 59 22 164.9% 147 Net fee and commission income 25 27 (5.5%) 25 24 15 25 15 62.8% 91 Net trading income and fair value result 3 3 2.1% 2
Slide 50: Country Financials (EE) – Belarus
Country Financials (EE) – Belarus In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 27 32 (16.3%) 32 31 28 27 28 (4.0%) 123 Net fee and commission income 30 26 12.8% 32 30 23 30 23 26.2% 112 Net trading income and fair value result 8 7 12.7
Slide 51: Country Financials (EE) – Russia
Country Financials (EE) – Russia In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 377 436 (13.6%) 476 394 222 377 222 69.7% 1,527 Net fee and commission income 496 709 (30.1%) 629 420 249 496 249 98.9% 2,008 Net trading income and fair val
Slide 52: Country Financials (EE) – Ukraine
Country Financials (EE) – Ukraine In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 101 110 (8.9%) 101 88 75 101 75 33.5% 375 Net fee and commission income 24 29 (19.4%) 29 15 14 24 14 72.3% 87 Net trading income and fair value result 12 11
Slide 53: Group Corporates & Markets
Group Corporates & Markets In EUR mn Q1/2023 Q4/2022 q-o-q Q3/2022 Q2/2022 Q1/2022 1-3/2023 1-3/2022 y-o-y 1-12/2022 Net interest income 226 228 (1.1%) 191 166 148 226 148 52.1% 733 Net fee and commission income 158 166 (4.7%) 146 155 150 158 150 5.1% 617 Net trading income and fair value result 57
Slide 54: Sustainability Ratings
Sustainability Ratings The Leading Sustainable Financial Institution in Austria & CEE RBI has been committed to the UN Global Compact, since 2010 and signed up to the UNEP FI Principles for Responsible Banking In January 2021. Since then, a comprehensive portfolio impact analysis was performed, and
Slide 55: Shareholder Information Overview
Shareholder Information Overview General information Shareholder structure1 ▪ Listed since 25 April 2005 on the Vienna Stock Exchange Prime Market ▪ Indices: ATX, ATX Prime, MSCI Standard Index Europe, EURO STOXX Banks Regional Raiffeisen Free float banks ▪ 328,939,621 ordinary shares issued ~58.8%
Slide 56: Contact and Financial Calendar
Contact and Financial Calendar Group Investor Relations 30 June Start of Restricted Period Raiffeisen Bank International AG 25 July Start of Quiet Period Am Stadtpark 9 1030 Vienna 1 August Semi-Annual Report, Conference Call Austria +43 1 71 707 2089 4 October Start of Restricted Period ir@rbintern
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