Investor Presentaiton
B. Preliminary Group Financial Results- Underlying Basis (continued)
B.1 Unaudited reconciliation of consolidated income statement for the year ended 31
December 2022 between statutory basis and underlying basis
€ million
Net interest income
Underlying
basis
NPE
Sales
Other
Statutory
basis
370
370
Net fee and commission income
192
Net foreign exchange gains and net gains on financial instruments
Net gains on derecognition of financial assets measured at
amortised cost
36
50
192
41
5
5
Insurance income net of claims and commissions
71
71
Net gains from revaluation and disposal of investment properties
and on disposal of stock of properties
13
.
13
Other income
17
17
Total income
Total expenses
Operating profit
699
10
709
(381)
(3)
(126)
(510)
318
(3)
(116)
199
Loan credit losses
(47)
1
46
Impairments of other financial and non-financial assets
(33)
33
Provisions for pending litigations, regulatory and other matters (net
of reversals)
(11)
11
Credit losses on financial assets and impairment net of reversals
of non-financial assets
(89)
(89)
Profit before tax and non-recurring items
227
(2)
(115)
110
Tax
(36)
(36)
Profit attributable to non-controlling interests
(3)
(3)
Profit after tax and before non-recurring items (attributable to
the owners of the Company)
188
(2)
(115)
71
Advisory and other restructuring costs - organic
(11)
11
Profit after tax - organic* (attributable to the owners of the
Company)
177
(2)
(104)
71
Provisions/net profit relating to NPE sales
1
(1)
Restructuring and other costs relating to NPE sales
(3)
3
Restructuring costs – Voluntary Staff Exit Plans (VEP)
(104)
104
Profit after tax (attributable to the owners of the Company)
71
71
*This is the profit after tax (attributable to the owners of the Company), before the provisions/net profit relating to NPE sales,
related restructuring and other costs, and restructuring costs related to Voluntary Staff Exit Plans (VEP).
The reclassification differences between the statutory basis and the underlying basis mainly relate to the impact from 'non-
recurring items' and are explained as follows:
NPE sales
•
Total expenses under the statutory basis include restructuring costs of €3 million relating to the agreements for the
sale of portfolios of NPEs and are presented within 'Restructuring and other costs relating to NPE sales' under the
underlying basis.
Loan credit losses under the statutory basis include a reversal of loan credit losses relating to Project Helix 3 of
approximately €1 million and are disclosed within 'Provisions/net profit relating to NPE sales' under the underlying
basis.
Other reclassifications
Net gains on loans and advances to customers at FVPL of €4 million included in 'Loan credit losses' under the
underlying basis are included in 'Net gains on financial instruments' under the statutory basis. Their classification under
the underlying basis is done to align their presentation with the loan credit losses on loans and advances to customers
at amortised cost.
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