Credito Emiliano S.p.A. · MIL:CE
Credito Emiliano — 9M2015 Earnings Presentation
24 slides from Credito Emiliano's earnings presentation, November 2015
Slide 1: Group’s Results – 9M2015
Group’s Results – 9M2015
Slide 2: 9M2015 Highlights
9M2015 Highlights Following the approval of the AIRB model for the calculation of the credit risk, CET1 ratio* «phased-in» increased at 13.6% on the supervisory prudential perimeter (14,0% consolidated CET1 ratio on Credem) compared to 11.1% at the end of 2014 (11.1% consolidated CET1 ratio on Crede
Slide 3: Income Statement
Income Statement Euro. million 3Q14 2Q15 3Q15 % vs. 3Q14 % vs. 2Q15 9M14 9M15 % YoY Operating Income 264.5 257.9 248.2 -6.2% -3.8% 807.2 859.2 6.4% Operating Income net of Trading 250.3 239.8 244.6 -2.3% 2.0% 747.4 737.4 -1.3% and Performance Fees Operating Costs -156.8 -173.7 -162.1 3.4% -6.7% -487
Slide 4: Net Interest Income (1/3)
Net Interest Income (1/3) Quarterly Net Interest Income Net Interest Income was up by more than 7% Eur Million 130 QoQ as a result of higher loans average principals and the partial reconstruction of a Italian 120 123.6 125.6 sovereign bonds portfolio 122.2 119.4 110 111.2 Customers’ spread continue
Slide 5: Net Interest Income (2/3)
Net Interest Income (2/3) Evolution of Average Loan Rate Evolution of Average Deposit Rate (Credem SpA management reporting) (Credem SpA management reporting) 4.50 % 2.50 % 4.00 3.79 3.79 3.59 3.45 1.96 3.33 3.18 3.36 2.00 3.50 1.68 2.92 2.76 0,74% 3.00 -0,46% -0,61% 2.62 0,76% 1.40 1.35 2.50 -0,67%
Slide 6: Net Interest Income (3/3)
Net Interest Income (3/3) Securities’ Portfolio Breakdown (Credem SpA management reporting) 100% After the disposal of the Italian 13% sovereign bonds realized in 1Q15, 90% 20% the portfolio has been repositioned 80% 10% 34% bringing the exposure to «Italy risk» 9% from 67% at the end of 2014 to the
Slide 7: Non Interest Income
Non Interest Income Non Interest Income: Quarterly Evolution Performance Fees 246.9 250 3 Trading 200 97.1 154.1 € Million 163.1 2.2 137.0 Other 145.8 138.9 141.7 150 127.7 118.7 136.8 39.1 133.8 27.6 11.8 10.7 3.4 5.4 10.00 3.4 5 13.2 15.9 0.7 5.4 2.9 5 5.6 4.5 4.9 3.8 4.3 Banking Services Comm. 4
Slide 8: AUM and Insurance Reserves
AUM and Insurance Reserves AUM and Insurance Reserves Evolution Third Parties’ Products Breakdown by Asset Class (management reporting data) 30,000 100% 27,129 27,081 20% 21% 23% 22% 26,866 80% 24,616 25,000 60% +29% 40% 45% 50% 51% 20,923 40% 20,000 20% 39% 33% 26% 25% 0% 1% 1% 1% 1% 15,000 2013 20
Slide 9: Operating Costs
Operating Costs Operating Costs: Quarterly Evolution Employees/ Networks € Million Employees 200 166.7 164.2 167.1 175.5 173.7 162.1 6,200 5,993 5,910 156.8 6,000 5,763 5,740 150 55 5,800 54 52 45 57 50 5,544 5,519 5,604 5,609 48 5,600 5,400 100 5,200 2008 2009 2010 2011 2012 2013 2014 9M15 50 113 1
Slide 10: Loans to Customers
Loans to Customers Loans to Customers (net of Repos with Institutional and Loans to Group’s SPVs) € Mil. 22,000 19,721 19,949 19,938 20,106 21,508 21,289 20,000 18,770 3,339 17,536 3,165 3,614 18,000 3,324 3,370 3,056 2,577 3,323 16,000 14,000 6,235 6,329 6,282 6,241 6,127 6,161 12,000 5,534 5,845 1
Slide 11: Loans: comparison with the Industry
Loans: comparison with the Industry Loans to Retail and Public Sectors Growth Rates Market shares on retail and corporate customers and small business (net of financial institutions) (Credem SpA management reporting) 10.0% 7.9% 8.0% 7.0% 1.5% 1.45% 1.44% 1.46% 5.9% 1.40% 6.0% 4.2% 5.1% 1.4% 4.0% 2.2
Slide 12: Residential Mortgages: comparison with the Industry
Residential Mortgages: comparison with the Industry Residential Mortgages Inflows Inflows recovery was confirmed by an (Credem SpA management reporting) increase of 30% YoY as at the end of September 2015. Such growth was certainly driven by the continuous trend of spreads and interest rates reducti
Slide 13: Deposits, Bonds and AUM
Deposits, Bonds and AUM Euro, million 2012 2013 9M14 2014 9M15 Despite the negative market effect over the Sight/ Saving last 6 months that penalized it heavily, 13,066 13,625 14,083 15,335 15,676 Deposits AUM continued to grow by more than CD and Other 7% YoY (+€1.4 billion). Insurance 256 260 322
Slide 14: Bonds issued and maturities
Bonds issued and maturities Bonds Issued Bonds Maturities (Credem SpA management account) (Credem SpA management account) € Million € Million 2,500 1,200 2,000 1,000 365 1,500 800 1,473 Retail Bonds 1,407 1,000 600 1,500 1,141 784 500 938 400 523 600 38 312 200 - 2010 2011 2012 2013 2014 9M15 200 35
Slide 15: Credit Quality
Credit Quality Gross Impaired Loans 1000 870.5 889.8 837.9 1Q15 800 € Million 600 1H15 416.0 428.1 438.6 400 9M15 200 111.1 96.1 94.7 0 Gross NPLs Gross Unlikely to pay Gross Past Due % on Loans (Credem) 3.9 3.9 4.1 1.9 1.9 2.0 0.5 0.4 0.4 % on Loans (Industry) 9.5 9.7 10.4* 6.6 6.5 0.6 0.6 Quarterl
Slide 16: Impaired Loans’ Coverage
Impaired Loans’ Coverage Net Impaired Loans Total Net Impaired Loans has been staying between €790- Euro, Million 2013 1H14 9M14 2014 1H15 9M15 €810 million since the end of Net NPLs 327.1 337.4 334.4 355.6 359.6 2013 (7 quarters in a row) Unlikely to Pay 365.1 355.9 362.8 359.4 367.2 Both Impaired
Slide 17: Cost of Risk
Cost of Risk Cost of Risk (bps) 70 70 59 60 52 55 51 60 50 37 39 40 47 45 30 41 39 39 37 20 27 31 10 - 2013 1Q14 1H14 9M14 2014 1Q15 1H15 9M15 Cost of risk Cost of risk (net of "non recurrent" items) Cost of Risk: history (bps) As a confirmation that part of provisions posted 80 Crack Parmalat in th
Slide 18: Assets & Liabilities
Assets & Liabilities Assets (Euro, Million) Assets remained almost stable in the QoQ, with a slight 21,499 21,310 21,000 decrease of Loans to Customers** (-€189 million) and banking group securities’ 14,000 1H15 portfolio (-€119 million) 6,582 6,492 5,153 5,191 9M15 7,000 353 153 495 128 8 5 0 Fin.
Slide 19: Liquidity Ratios
Liquidity Ratios NSFR Both ratios remained, as in the past, well 130% 124% 126% above the future target thresholds set by 120% 116% the regulation, with a NSFR in further 110% improvement in comparison to 2014 year end figure 100% 90% ECB eligible securities at the end of 9M15 80% were €2.7 billion
Slide 20: Capital Ratios
Capital Ratios Credem Consolidated Capital Ratios Credemholding Consolidated Capital Ratios (phased-in) (phased-in) 2,500 13.3% 2,500 13.0% 11.7% 15.4% 11.8% 11.4% 14.9% 11.1% 11.6% 11.1% 2,000 14.0% 2,000 13.6% 1,500 1,500 2,233 2,189 1,983 1,969 1,958 1,952 1,917 1,916 1,864 1,861 1,803 1,751 1,00
Slide 21: Stable shareholders’ base
Stable shareholders’ base Shareholders’ Pact More than 3,000 other shareholders Cofimar S.r.l. 20.0% Max Mara Finance S.r.l. 8.3% Max Mara Fashion Group S.r.l. 8.1% Others 39.0% 75.4% 24.6% Credemholding Free Float 76.9% 23.1% • Credem is the largest privately- owned bank in Italy Source: Internal d
Slide 22: A business model based on Retail & Commercial Banking
A business model based on Retail & Commercial Banking Retail & Commercial Banking Wealth Management Other 100.0% 100% 100% 100% 100% 100% 100% 100% 100% 100% 50% 100% 22
Slide 23: A distribution network with a national footprint
A distribution network with a national footprint Gruppo CREDEM Number of branches per region 2011 2012 2013 2014 9M15 n° filiali e quota di mercato sportelli Branches 560 557 544 542 542 4 Strong presence in 7 the Emilia-Romagna Corporate 72 region (where is 41 42 42 42 41 28 Centres 19 located Grou
Slide 24: Disclaimer and Contacts
Disclaimer and Contacts The manager responsible for preparing the company’s financial reports Mr. Paolo Tommasini of Credito Emiliano S.p.A., declares, pursuant to paragraph 2 of Article 154 bis of the Consolidated Law on Finance, that the accounting information contained in this presentation corres
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