Banco de Credito del Peru SA · BVL:CREDITC1
Banco de Credito del Peru SA — Debt Investor Presentation (March 2023)
34 slides from Banco de Credito del Peru SA's debt investor presentation, March 2023
Slide 1: BCP
»BCP>
Slide 2: Disclaimer
The information contained herein has been prepared by Banco de Crédito del Perú (“BCP”) solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any securities and should not be treated as giving investment or other advice. No representation or warran
Slide 3: Macro and Market Backdrop
Macro and Market Backdrop
Slide 4: Conditions in Emerging Markets show improvements at the beginning of 2023
Conditions in Emerging Markets show improvements at the beginning of 2023 A United States Inflation Copper Price (CPI % change YoY)” (USD/Ib., as of Mar 15) (2) 10.0 5.00 31-Mar 9.0 — : CPI Total 4.50 \ Second producer ,’ 8.0 — (PI Core 28% of total Xs oe ae 7.0 400) 0) ON 6.0 4.13 7%, 5.0 3.50 4.0
Slide 5: Peru's Economic growth has been driven by consumption
Peru’s Economic growth has been driven by consumption A Peru: Real GDP by demand components (contribution to GDP and GDP in % change YoY)” 7.0 6.0 GDP 2022 growth 2.7% 5.0 mame Private 4.0 consumption 3.0 2.0 1.0 i o 7 mmm Private investment Government 0.0 man Net exports -1.0 -2.0 = Inventories -3.
Slide 6: Nov22 Aug22 Mar22
1.0 4.0 7.0 -8.0 -5.0 -2.0 13.0 16.0 10.0 Feb18 Jun18 Oct18 PPI Feb19 Jun19 Oct19 Headline CPI Feb20 Jun20 Oct20 Feb21 Jun21 Oct21 Feb22 Jun22 Oct22 Feb23 8.1 8.7 2.25 Dec19 Feb20 May20 0.25 Aug20 Oct20 Jan21 Apr21 Jul21 Sep21 Dec21 Mar22 Jun22 Aug22 Nov22 Feb23 7.75
Slide 7: Peru's economy is expected to remain amongst the most dynamic in the region
Peru’s economy is expected to remain amongst the most dynamic in the region GDP Growth forecasts 2023-2025 Inflation forecasts 2023-2025 (% change, average) (% change, average) 67 3.0 26 os 5.0 23 21 41 4) v7 38 : 1s 302g 12 i WwW Bolivia Peru Uruguay Colombia Ecuador Mexico Brazil Chile Uruguay Col
Slide 8: Mar23 Dec22 Sep22
81 80 58 60 36 39 34 34 PEN MXN COP CLP BRL 160 150 147 140 130 129 120 114 110 108 100 96 90 Mar20 Jun20 Jun21 Jun22 Mar21 Mar22 Mar23 Dec19 Sep20 Dec20 Sep21 Dec21 Sep22 Dec22
Slide 9: BCP Overview
BCP Overview Some of the accounting practices used by BCP are aligned with Peruvian GAAP and as such, may, in certain aspects, significantly differ from generally accepted accounting principles in other countries (including IFRS, which is the accounting standard used to prepare Credicorp’s consolida
Slide 10: Undisputable Leader in the Peruvian Financial System
A Undisputable Leader in the Peruvian Financial System #1in Direct Loans(1) Financial Highlights NN Market Share (%) Others (PEN Billion) >BCP> Interbank “#1 Gross Loans Scotiabank Total Assets amibanco met BBVA Total Deposits #1 in Deposits(1) Market Share (%) Others Total Funding 14.40% >BCP> Shar
Slide 11: Balance Sheet Snapshot
Balance Sheet Snapshot a Total Assets (S/ million, %) I Cash and due from banks GP Loans" Investments WM Structural Loans 1.7% Funding and Equity Structure (S/ million, % GP Funds” Other Repurchase agreements [il Bonds 150,879 2019 MM Others Dollarization: 40% ! } \ / 195,193 197,833 Hl Due tobanks
Slide 12: Loan Portfolio
A Loan Portfolio Evolution . Loans by Economic Sector Dec-22 GP (1) I Retail Banking HB Wholesale Banking Mibanco Others (3), 9% Agriculture, 2% +9.4% 137102 Fishing, 1% 125,763 132,543 10, 561 Electricity, Gas and Water, Consumer, 26% 19,734 4% 107) cud) Construction, 3% 55,419 _ 47,168 35 51,267 i
Slide 13: Deposit Growth
Deposit Growth Zt A Evolution Demand deposits [J Time deposits TM Saving deposits Ml Severance indemnity deposits (CTS) +9.3% 126,972 132,151 129,820 44,601 53,331 99,433 50,567 32,046 32,867 47,406 26,623 7,897 Dollarization “> — Evolution Deposits growth contribution in S/MM Yearly 132,151 -7,615
Slide 14: Financial Performance
Financial Performance A Net Income & ROAE (S/ million, %) Net Interest Income & Margin (S/ million,%) 20.1% 21.0% 820 2019 2020 2021 2022 mm Net Income Non-financial Income Composition (S/ million,%) 7.9% 6.7% 5.9% 7.2% —— 6.8% 5.8% 47% 5.5% 10,225 8,139 7,849 7,906 2019 2020 2021 2022 gam Net Inter
Slide 15: Asset Quality
A Asset Quality Cost of Risk & Provisions (%, S/ million) Delinquency Ratios” (%) HM Provision expense — Cost of Risk Hl NPL Ratio Recoveries NPL Coverage Ratio 3.99% 138 105 " 105 172%, 5,024 5.65 oa 139% 1.45% 4.88 5.30 4.10 1,799 5,172 1,870 1,978 a =254 -148) =324 -321 2019 2020 2021 2022 2019 2
Slide 16: Capital Management
Capital Management BCP at Basel Il (Regulatory Capital) (%) BCP at Basel III (%) 14.94% 15.79% 15.23% 14.93% 14.43% 12.02% 11.63% — Internal - 7 _—— wee > Minimum eo 1% 4Q21 1922 2022 3022 4Q22 1922 2022 3022 4Q22 mBIS ratio (2) mComon Equity Tier 1 (4) Capitalization Levels well-above Regulatory St
Slide 17: Appendix
Appendix
Slide 18: Our Purpose: Transforming Plans into Reality
Our Purpose: Transforming Plans into Reality A Our purpose Transformation Values Test & Learn | Customer Centricity Risk-Conscious & Righteous Collaboration | Give yourbest | Boost your skills Our North Stars Our Enablers Driven by The Best Talent (1) Source: BCP 18
Slide 19: Strategic Priorities
Our Purpose: Transforming Plans into Reality A Strategic Priorities we The Best Experience wt Reconnection with societies Efficient Bank with digital approach New Income Sources ( Remaining awa Deepening YO Lead in awa Optimize YO Attract, > (empower our ) (“Prioritize and ) close to our our efficie
Slide 20: Significant upside to drive usage and increase Engagement
Significant upside to drive usage and increase Engagement... 20
Slide 21: Capturing Value from Digitalization
A Capturing Value from Digitalization Digital Clients Evolution” Digital Sales'2) NX (%, Thousands) (%, Thousands of units per month) 10,664 1,164 8,762 1,004 7,844 % 788 66% 50% 61% 54% 56% 47% 46% 44% 33% 53% 50% 39% 2020 2021 2022 2020 2021 2022 mNon-digital = Digital Digital Monetary Transaction
Slide 22: 2022 Milestones E S G
2022 Milestones E S G First international issuance of a green bond from the +49K trained in financial education in universities and BCP’s MSCI ESG Ratings: Peruvian private banking system for $30 millions institutes (virtual conferences) AA (July 2022) Verified green transactions for $162 mi
Slide 23: Peru
Peru Rating (outlook): Baa1 (n) / BBB (n) / BBB (n) 2015 2016 2017 2018 2019 2020 2021 2022E 2023E Economic activity Nominal GDP (USD mn) 192,036 195,740 215,885 226,856 232,447 205,553 225,861 241,146 256,369 GDP per capita (USD) 6,155 6,214 6,789 7,045 7,152 6,300 6,837 7,221 7,587 Real GDP (y/y)
Slide 24: Selected Financial Information
Selected Financial Information 7 jp For the 12 months Income Statement Summary ending December 31 Annual Growth (PEN in millions) 4Q21 3Q22 4Q22 QoQ Growth YoY Growth 2021 2022 (FY) Financial income 2,595 3,466 3,840 10.8% 48.0% 9,778 13,002 33.0% Financial expense -453 -795 -908 14.2% 100.4% -1,872
Slide 25: Selected Financial Information
Selected Financial Information 7 jp Balance Sheet Summary (PEN in millions) 4Q21 3Q22 4Q22 QoQ Growth YoY Growth Cash and due from banks and interbank funds 36,123 34,247 31,708 -7.4% -12.2% ingame ae wuetvcuthpoftrlssand 93305 gare asd SH BDH Gross loans 134,690 138,365 135,999 1.7% 1.0% Allowance
Slide 26: Selected Financial Ratios
A Selected Financial Ratios (%) Financial margin ROAE ROAA Cost of risk Past due loans ratio PDL coverage ratio Non-performing loans ratio NPL coverage ratio Efficiency ceT1 Average Balances (PEN in millions) Interest earning assets Total assets Total shareholder's equity Other Information Employees
Slide 27: General Shareholder's Meeting
General Shareholder’s Meeting Board of Directors Chairman Luis Enrique Romero Vice - Chairman Raimundo Morales Dasso* Directors Roque Benavides Ganoza* Antonio Abruña Puyol* Alexandre Vartuli Gouvêa* María Teresa Aranzabal Harreguy* Marco Peschiera Fernández Hélio Lima Magalhães* Leslie Pierce Diez
Slide 28: Experienced Management Team
Experienced Management Team A Diego Cavero General Manager (CEO) * Joined BCP in 1994 = MBA from the University of Texas Reynaldo Llosa Chief Risk Officer (CRO) = Joined BCP in 1997 = MBA from J.L. Kellogg Graduate School of Management César Rios Planning and Finance Central Manager (CFO) * Joined B
Slide 29: Top Tier Credit Ratings
Top Tier Credit Ratings A Local Credit Rating Agencies International Credit Rating Agencies BCP AAI Moody's Local BCP Fitch S&P Moody's Date of last review Sep-22 Sep-22 Date of last review” Oct-22 Dec-22 Jan-23 Institution At At Outlook Negative Negative Negative Issuer rating BBB BBB Baal Long Ter
Slide 30: BCP Corporate Bonds and subordinated debt
BCP Corporate Bonds and subordinated debt Breakdown of international bonds Bond Subordinated Subordinated Corporate® Corporate Corporate Total (S/000)* Issue date 01/07/2020 30/03/2021 01/04/2013 11/09/2019 17/09/2019 Due date 01/07/2025" 30/09/2026) 01/04/2023 11/01/2025 17/09/2024 Tenure (years) C
Slide 31: Credicorp's Lines of Business
Credicorp’s Lines of Business a ‘panking SBCP> Wh mio, 2BCP? = seo Deposits Deposits wid ve 4 Microfinance imibanco ff gy 102". «mibanco ji #4 Loans bas Deposits me PRIMA“ ia #2 um Coupe > Crédito pacifico BE #2 Premiums | Corporate Venture Capital Center < = KREALO len (1) Source: Credicorp as of D
Slide 32: Client Segmentation
Client Segmentation A Business Group C te Wholesale Banking elses Group (WBG)“ Middle-Market Enalta Retail Banking piles: Group (RBG) Consumer SME - Business SME- Pyme Client Income/Sales/Total debt Annual sales higher than $100 million (equivalent to S/399 million) Annual sales from $10 million to
Slide 33: Table of Calculations
Table of Calculations “~~ Profitability Net interest margin (NIM) Net interest margin on loans (NIM on loans) Risk-adjusted net interest margin (Risk-adjusted NIM) Return on average assets (ROAA) Return on average equity (ROAE) Funding cost Portfolio quality Past-due loans ratio Internal overduerati
Slide 34: Contacts
Contacts A Head of Treasury Division Pablo Hurtado Banco de Crédito BCP Calle Centenario 156 La Molina, Lima - 12, PERU Phone: (+511) 313-2500 E-mail: [email protected] Asset and Liability Management Fiorella Rosell Banco de Crédito BCP Calle Centenario 156 La Molina, Lima - 12, PERU Phone: (
Banco de Crédito del Perú — Debt Investor Presentation (March 2023) on 6ix