Vtb · RUS:VTBR
Vtb — VTB Bank — FY2017 Earnings Presentation
21 slides from Vtb's earnings presentation, Feb 26, 2018
Slide 1: FY'2017 Results
FY’2017 Results February 26, 2018 Herbert Moos Deputy Chairman of the Management Board Dmitry Pyanov Senior Vice President, Head of Finance Department Leonid Vakeyev Head of Investor Relations 1
Slide 2: Highlights: key targets achieved, making tangible progress
HIGHLIGHTS KEY TARGETS DEVELOPED ACHIEVED, STRONGER FUNDING MAKING TANGIBLE STRUCTURE PROGRESS ON 3Y STRATEGIC PLAN BECAME A LEANER FURTHER ROBUST COMPANY IMPROVED GROWTH OF NET THROUGH MARKET SHARES FEE & SUCCESSFUL IN COMMISSION CORPORATE RETAIL INCOME REORGANISATION 2
Slide 3: Results in Brief
RESULTS IN BRIEF RUB bn Net profit ROE Gross loans NPL ratio 120.1 8.3% 9,773 5.7% х 2.3 y-o-y + 4.7 ppt y-o-y + 3% y-o-y - 70 bp y-o-y Net interest income NIM Loans to Loans to legal individuals entities 460.2 + 11% y-o-y 4.1% + 40 bp y-o-y +14% y-o-y flat y-o-y Net fee & CoR Customer LDR commissio
Slide 4: FY'2017 Targets Met
FY’2017 TARGETS MET Russia GDP growth Loan growth Loan growth vs Net profit legal entities market legal entities RUB bn forecast actual forecast actual forecast actual forecast actual In line Below 1.7% 1.5% <3% 2% flat vs 2% for the market ≈100 120 CPI Loan growth Loan growth vs NIM individuals mar
Slide 5: FY'2018 Guidance
FY’2018 GUIDANCE Russia GDP growth Loan growth Loan growth vs Net profit legal entities market legal entities RUB bn 2.0% 5% In line 150 CPI Loan growth Loan growth vs NIM individuals market individuals 4% 11% Above 4% Oil price Deposit growth Deposit growth vs CIR Urals, avg legal entities market l
Slide 6: Interest Income and Average Yields
INTEREST INCOME AND AVERAGE YIELDS Interest income and average yields RUB bn 10.8% 10.6% 10.6% 10.2% 10.2% 10.1% 10.0% Yield on customer loans 9.9% 9.8% 9.9% 9.5% 9.3% 9.4% Yield on total interest 9.1% -5% bearing assets 1,107.8 1,056.2 8% Interest income on -5% 8% other interest bearing assets 275.
Slide 7: Interest Expense and Cost of Funds
INTEREST EXPENSE AND COST OF FUNDS Interest expense and cost of interest bearing liabilities RUB bn Cost of total interest 6.5% 6.6% bearing liabilities 6.0% 5.7% 5.7% 5.6% 5.3% Cost of customer 6.3% deposits 6.1% 5.3% 5.7% 5.5% 5.1% 4.9% -14% -15% 692.8 Interest expense on 596.0 other interest bear
Slide 8: Net Interest Income and NIM
NET INTEREST INCOME AND NIM Net interest income RUB bn +11% +11% 460.2 415.0 104.6 113.0 114.1 116.6 116.5 4Q'16 1Q'17 2Q'17 3Q'17 4Q'17 FY'16 FY'17 Net interest margin(1) +30 bp +40 bp 4.1% 4.1% 4.1% 4.1% 4.1% 3.8% 3.7% 4Q'16 1Q'17 2Q'17 3Q'17 4Q'17 FY'16 FY'17 (1) Calculated as net interest income
Slide 9: Fee and Commission Income
FEE AND COMMISSION INCOME Fee and commission income breakdown RUB bn +18% 129.6 +9% 4% Other 109.7 14% Insurance products distribution 5% and other agency services 8% 11% Operations with securities 36.5 8% 10% and on capital markets 33.4 32.0 33.3 5% 12% 4% 27.8 4% 12% Guarantees and other 4% 17% 3%
Slide 10: Provision Charge and Cost of Risk
PROVISION CHARGE AND COST OF RISK Provision charge for impairment of loans RUB bn 1.5% 1.6% 2.0% 1.9% 1.8% 1.2% 1.5% Cost of risk (1) +5% -25% 151.5 144.7 -18% 45.5 Provision charge YoY 55.8 for impairment of loans to individuals 48.5 Provision charge 43.4 42.7 for impairment of loans 9.8 36.4 to le
Slide 11: Loan Book Quality
LOAN BOOK QUALITY Provision for loan impairment RUB bn NPLs (90+) RUB bn 7.0% 6.7% 6.6% 6.6% 6.4% 6.5% 6.3% 6.4% 6.2% 5.7% -5% -8% -5% -9% 653 633 632 633 604 604 601 614 558 601 31-Dec-16 31-Mar-17 30-Jun-17 30-Sep-17 31-Dec-17 31-Dec-16 31-Mar-17 30-Jun-17 30-Sep-17 31-Dec-17 Allowance for loan im
Slide 12: Staff and Administrative Expenses
STAFF AND ADMINISTRATIVE EXPENSES Staff costs and administrative expenses RUB bn 46.5% 48.8% 41.7% 42.4% 40.3% 45.8% 44.0% Cost / Income ratio 2.0% 2.0% 2.0% 1.9% 2.3% 2.1% Cost / Avg. assets 1.8% +12% +22% 260.9 233.9 105.7 Administrative 88.2 +20% YoY expenses 75.9 Staff costs (1) 62.3 61.6 61.0 6
Slide 13: Balance Sheet Structure and Capital Adequacy
BALANCE SHEET STRUCTURE AND CAPITAL ADEQUACY Assets structure RUB bn Liabilities structure RUB bn Basel capital RUB bn +3% +3% +1% 15.0% 14.6% 14.6% 14.5% 14.8% +1% 12,894 13,009 12,588 12,460 12,609 4% 5% 7% 13.4% 4% 6% 4% 11,530 12.9% 13.1% 12.9% 13.1% 5% 5% 5% 11,175 11,177 11,444 5% 11,024 8% 8%
Slide 14: Assets and Liabilities by Currency
ASSETS AND LIABILITIES BY CURRENCY Total assets RUB bn Total liabilities RUB bn 12,588 13,009 11,175 11,530 34% 32% FX 39% 36% FX RUB RUB 66% 68% 61% 64% 31-Dec-16 31-Dec-17 31-Dec-16 31-Dec-17 Net loans and advances to customers RUB bn Customer deposits RUB bn 8,855 9,171 9,145 FX 7,347 FX 30% 29%
Slide 15: Loan Portfolio and Customer Deposits
LOAN PORTFOLIO AND CUSTOMER DEPOSITS Loans and advances to customers RUB bn Customer deposits RUB bn +3% +24% +1% +2% 8,511 9,066 9,145 9,487 9,334 9,516 9,627 9,773 8,130 7,347 23% 24% 25% 25% 37% 37% 40% 24% 36% 41% 77% 76% 76% 75% 75% 64% 63% 63% 60% 59% 31-Dec-16 31-Mar-17 30-Jun-17 30-Sep-17 31
Slide 16: Business with Legal Entities
BUSINESS WITH LEGAL ENTITIES Loans to legal entities RUB bn Deposits of legal entities RUB bn 0% +1% +27% 7,311 7,105 7,194 7,200 7,287 -4% 5,399 5,735 5,523 5,228 4,342 24% 20% 25% 25% 24% 75% 76% 80% 75% 76% 31-Dec-16 31-Mar-17 30-Jun-17 30-Sep-17 31-Dec-17 31-Dec-16 31-Mar-17 30-Jun-17 30-Sep-17
Slide 17: Business with Individuals
BUSINESS WITH INDIVIDUALS Loans to individuals RUB bn Deposits of individuals RUB bn +21% +14% +9% +2% 3,622 3,331 3,004 3,112 2,902 25% 2,426 2,486 23% 2,176 2,229 2,322 21% 22% 21% 45% 46% 47% 44% 45% 6% 6% 6% 5% 5% 75% 79% 79% 78% 77% 4% 4% 4% 4% 4% 46% 45% 45% 45% 44% 31-Dec-16 31-Mar-17 30-Jun-
Slide 18: VTB Group Financial Highlights: P&L and Key Ratios
VTB GROUP FINANCIAL HIGHLIGHTS: P&L AND KEY RATIOS Income statement key indicators Key selected items (in RUB bn) FY’17 FY’16 Change 4Q’17 4Q’16 Change Net interest income 460.2 415.0 10.9% 116.5 104.6 11.4% Net fee and commission income 95.3 81.8 16.5% 28.3 25.9 9.3% Net other income 37.0 13.8 168.
Slide 19: VTB Group Financial Highlights: Balance Sheet
VTB GROUP FINANCIAL HIGHLIGHTS: BALANCE SHEET Balance sheet key indicators Key selected items (in RUB bn) 31-Dec-2017 30-Sep-2017 QoQ 30-Jun-2017 31-Mar-17 31-Dec-2016 YoY Gross loan portfolio 9,772.8 9,626.5 1.5% 9,515.8 9,333.8 9,487.0 3.0% Loans to legal entities 7,286.5 7,200.4 1.2% 7,194.2 7,10
Slide 20: Disclaimer
DISCLAIMER This presentation has been prepared by VTB Bank (PJSC) (“VTB”) and has not been independently verified. This presentation does not constitute or form part or all of, and should not be construed as, any offer of, or any invitation to sell or issue, or any solicitation of any offer to purch
Slide 21: Investor Relations
Investor Relations Tel: +7 (495) 775-71-39 e-mail: [email protected] 21