ESG Strategy and Digital Transformation slide image

ESG Strategy and Digital Transformation

Income Statement € mn Net Interest Income FY2021 FY2020 4Q2021 3Q2021 qoq% yoy% 296 330 73 71 2% -10% Non interest income 285 237 81 68 20% 20% Total income 581 567 154 139 11% 2% Total operating expenses¹ (347) (340) (87) (89) -1% 2% Operating profit 198 194 59 55 41 33% 2% Total loan credit losses, impairments and (100) (198) (24) (26) -7% provisions Profit/(loss) after tax and before non- 91 (9) recurring items² 27 27 13 101% Advisory and other restructuring costs -organic (22) (10) (3) (1) Profit/(loss) after tax-organic² 69 (19) 24 12 96% Provisions/ net (loss)/profit on NPE sales³ (7) (120) (1) 10 Restructuring and other costs³ (32) (32) (13) (3) -93% 1% Profit/(loss) after tax² 30 (171) 10 19 -46% Key Ratios Net Interest margin (annualised) 1.45% 1.84% 1.34% 1.34% -39 bps Cost to income ratio 66% 66% 65% 71% -6 p.p. Cost to income ratio excluding special levy on deposits and other 60% 60% 57% 64% -7 p.p. levies/contributions¹ Cost of Risk (annualised) 0.57% 1.18% 0.35% 0.78% -43 bps -61 bps EPS4 before non-recurring items 20.50 -2.12 6.19 3.08 3.11 22.62 (€ cent) ROTE4 before non-recurring items 5.5% -0.5% 6.6% 3.3% 3.3 p.p. 6.0 p.p. -50% • • • • • NII for 4Q2021 increased to €73 mn mainly due to higher volume of loans and interest collections; NII for FY2021 reduced to €296 mn impacted mainly by the low interest rate environment and the completion of Helix 2 Non interest income for 4Q2021 amounted to €81 mn, driven mainly by higher net insurance income and revaluation gains in financial instruments; Non interest income for FY2021 increased to €285 mn supported mainly by higher fees and commissions Total operating expenses¹ at €87 mn for 4Q2021 and €347 mn for FY2021, broadly flat qoq and yoy Provisions and impairments for 4Q2021 of €24 mn include loan credit losses of €9 mn, impairments of €23 mn mainly relating to specific, large illiquid REMU assets, and net reversal in litigations of €8 mn due to revised estimates for cases provided for Profit after tax and before non-recurring items² of €27 mn for 4Q2021 and €91 mn for FY2021 Restructuring and other costs of €13 mn for 4Q2021, relate mainly to small-scale targeted Voluntary Staff Exit Plan cost of €16 mn; restructuring and other costs of €32 mn for FY2021, broadly flat yoy Profit after tax² of €10 mn for 4Q2021 and €30 mn for FY2021 ROTE 4 before non-recurring items of 6.6% for 4Q2021 and 5.5% for FY2021 3) 2) 1) Excluding special levy on deposits and other levies/contributions (including DTC levy) Attributable to the owners of the Company 4) Please refer to section B.3.4 "Profit/(loss) after tax (attributable to the owners of the Company)" of the Preliminary FY2021 FR Press Release and Updated Medium Term Strategic Targets Calculated using Profit/(loss) after tax and before non-recurring items 12
View entire presentation