Investor Presentaiton
Key Highlights for the year ended 31 December 2022
Cypriot economy outperforms Eurozone
•
Economic growth of 4.4%¹ in 4Q2022, and expected growth of c.3.0%¹ for 2023 well above the eurozone
average
Record new lending of €2.1 bn up 17% yoy
•
Net performing loan book of €9.6 bn, up 3% yoy
Strong growth of underlying profitability
•
NII of €370 mn up 25% yoy, of which €136 mn in 4Q2022, up 53% qo
.
•
.
Total operating expenses² down 1% yoy; cost to income ratio² at 49% down 11 p.p. yoy
Profit after tax before non-recurring items of €188 mn, up 107% yoy reflecting positive gearing to rising interest
rates
Profit after tax of €80 mn for 4Q2022 vs loss of €59 mn for 3Q2022 including one-off Voluntary Staff Exit Plan
(VEP) charge of €101 mn
Profit after tax of €71 mn for FY2022 vs €30 mn for FY2021
Recurring ROTE³ of 11.3% for FY2022 and 19.1% for 4Q2022
Robust capital and liquidity
.
CET1 ratio of 15.4% and Total Capital ratio of 20.6%4
Deposits at €19.0 bn up 8% yoy and broadly flat qoq
Strong liquidity position with €7.6 bn 5 placed at the ECB; well positioned to benefit from further interest rate
increases
NPE ratio at 4.0%
•
NPE ratio at 4.0% (1.3% net) down 8.4 p.p. yoy
Coverage at 69%; cost of risk at 44 bps
.
€0.6 bn NPE sale (Helix 3) completed in November 2022
Strong fundamentals with performing loan book better positioned to face external shocks
Source: Ministry of Finance
Excluding special levy on deposits and other levies/contributions
Recurring ROTE is calculated as Profit after Tax and before non-recurring items divided by (average Shareholders' equity
minus Intangible assets)
123
1.
2.
3.
456
4.
5.
Excluding TLTRO III of €2.0 bn
6. Calculated as NPEs net of provisions over net loans
Allowing for IFRS 9 and temporary treatment for certain FVOCI instruments transitional arrangements
2View entire presentation