Vtb · RUS:VTBR
Vtb — Q1 2010 Earnings Presentation
20 slides from Vtb's earnings presentation, Jun 2, 2010
Slide 1: VTB Group 1Q'10 Results
VTB Group 1Q’10 Results Herbert Moos, CFO, Deputy Chairman of the Management Board June 2, 2010 Moscow 1 © VTB 2010
Slide 2: Forward-looking statements disclaimer
Some of the information in this presentation may contain projections or other forward-looking forward looking statements regarding future events or the future financial performance of JSC VTB ("VTB") and its subsidiaries (together with VTB, the "Group"). Such forward-looking statements are based on
Slide 3: First Quarter 2010 Highlights
First Quarter 2010 Highlights ■ Record quarterly net profit in VTB Group’s history – RUB 15.3 bn ■ Corporate Banking benefited from lower cost of risk and enhanced focus on margins – pre-tax profit up to RUB 9.1 bn from a loss of RUB 18.2 bn in 1Q’09 ■ Retail and Investment Banking continuing to rep
Slide 4: First Quarter 2010 Financial Highlights
First Quarter 2010 Financial Highlights ` (in RUB bn) 1Q'10 1Q'09 y-o-y Net interest income before provisions 42.0 34.3 22.4% Net fee and commission income 5.1 4.3 18.6% Net result from financial instruments 8.4 (11.3) n/a Operating income before provisions 58.1 43.2 34.5% Provision charge for loan
Slide 5: Business Update
Business Update 5 © VTB 2010
Slide 6: Corporate Banking – Focus on Profitable Growth
Corporate Banking – Focus on Profitable Growth Corporate Loans (Gross) Financial Highlights (1) 12.7% 13.0% 12.7% (in RUB bn) 1Q’10 1Q’09 y-o-y +1% 1% N t iinterest Net t t income i 27 1 27.1 24 0 24.0 13% 2,263 2,110 2,121 Operating income before provisions 29.6 21.7 36% UB bn) Profit / (loss) befo
Slide 7: Strong Performance in Retail Banking
Strong Performance in Retail Banking Loans to Individuals (Gross) Financial Highlights (1) 10.2% 10.5% 8.8% (in RUB bn) 1Q’10 1Q’09 y-o-y -4% N t iinterest Net t t income i 12 8 12.8 95 9.5 35% 387 435 419 Net fee and commission income 2.1 0.9 133% 1 25 4 41 46 46 Operating income before provisions
Slide 8: Top Tier Performance in Investment Banking
Top Tier Performance in Investment Banking Global Banking (1) Financial Highlights (2) Local DCM (Russia) Russian ECM (in RUB bn) 1Q’10 1Q’09 y-o-y Amount, # of Share, Amount, # of Share, # Underwriter RUB mn issues % # Bookrunner USD mn issues % Operating p g income before p provisions 12.3 7.5 64%
Slide 9: Financial Update
Financial Update i. ‘ad ¢ = ee < ;
Slide 10: Double Digit Operating Income Growth
Double Digit Operating Income Growth Operating O ti Income I before b f Operating Income before Provisions Provisions, y-o-y +28% +34% 43.2 50.6 28.0 45.4 58.1 43.2 58.1 0.6 8.4 8.4 15.9 12.4 6.3 2.6 15.9 -84% 2.6 0.6 5.1 5.1 4.3 5.4 5.0 4.3 +19% bn) bn) 44 8 44.8 42 0 42.0 42 0 42.0 (RUB b (RUB b 3
Slide 11: Continuing to Deliver on Cost Control
Continuing to Deliver on Cost Control Staff and Administrative Expenses Staff and Adm. Expenses, y-o-y -7% +30% 60 0% 60.0% 52.6% 39.6% 38.2% 39.6% 38.2% 36.8% 23.9 22.2 18.6 22.2 17.1 17.1 bn) 16.8 n) +26% 92 9.2 (RUB bn 12 7 12.7 92 9.2 (RUB b 7.3 8.1 8.0 7.3 9.8 10.5 8.8 11.2 13.0 9.8 +33% 13.0 1
Slide 12: Moving towards Pre-crisis Cost of Risk
Moving towards Pre-crisis Cost of Risk Quarterly P&L Provision Charge Provision Charge, y-o-y 7.1% 6.6% - 69% 7.1% 4.3% 4.3% 2.5% 2 5% 2.5% 49.2 (RUB bn) 47.4 49.2 (RUB bn) 29.8 28.3 15.5 15.5 1Q'09 2Q'09 3Q'09 4Q'09 1Q'10 1Q'09 1Q'10 Provision charge / Average gross loan portfolio (in %, annualised
Slide 13: The Highest Level of Quarterly Net Profit in VTB's History
The Highest Level of Quarterly Net Profit in VTB’s History VTB Group Performance Net Result 58.1 43.2 UB bn) UB bn) 15.3 32 3.2 (RU (RU (3.2) (17.4) (17.1) (22 2) (22.2) (20.5) (49.8) (1) (2) Operating O ti income i P Provisions i i Staff St ff costs t and d Oth items Other it N t result Net lt befo
Slide 14: Improved Balance Sheet Structure
Improved Balance Sheet Structure Assets Structure Liabilities Structure 3,697 3,305 3,611 3,106 12% 8% 3,362 Cash and mandatory 2,842 Due to banks 6% 7% 11% reserves 37% 24% and other 10% 17% borrowed funds(3) 8% 10% 8% Securities portfolio (1) Customer deposits Due from other banks 33% 51% 55% Debt
Slide 15: Strong Capital Base and Liquidity
Strong Capital Base and Liquidity BIS Group Capital 22.2% 20.7% 17.3% 14.8% 16 2% 16.2% 10.5% 680 686 606 195 185 238 bn) (RUB b 485 501 368 31-Dec-08 31-Dec-09 31-Mar-10 Ti I Tier T t l Capital Total C it l Adequacy Ad Ratio R ti Tier II less deductions Tier I ratio Group's Estimated Short-Term Bor
Slide 16: Appendix
Appendix 16 © VTB 2010
Slide 17: VTB Group Public Debt Instruments Issued in 2009 and 2010
VTB Group Public Debt Instruments Issued in 2009 and 2010 Borrower Date of issue Amount (mn) Instrument Maturity date / Put or Call Coupon option VTB24 Februaryy 2009 RUB 8,000 , Domestic Ruble Bond February 2014 11.85% (1.5 (1 5 year put option) VTB-Leasing June 2009 RUB 5,000 Domestic Ruble Bonds
Slide 18: VTB Group Public Debt Instruments Outstanding
VTB Group Public Debt Instruments Outstanding Maturity Date/Put or Borrower Amount (USD, mn)(1) Instrument Coupon Call Option 2010 VTB N-W 400 Subordinated Debt ((call option) p ) September p 2010 6.2% VTB 976 Series 3 RUB EMTN 2 (put option) November 2010 8.75% Members of VTB Group 549 Loans repaym
Slide 19: VTB Group Debt Maturity Profile
VTB Group Debt Maturity Profile (1) Public Debt Repayments in 2010 Borrower Amount (mn)(1) Instrument Repayment Date Coupon February 2010 VTB USD 750 Subordinated debt instruments 6.315% (call option) Series 12 under EMTN 2,733 VTB GBP 234 programme No.1 March 2010 6.332% Members of USD 98 Loans rep
Slide 20: Investor Relations
Investor Relations Tel: +7 (495) 775-71-39 e mail: [email protected] e-mail: investorrelations@vtb ru 20 © VTB 2010