2019 Interim Results Credit Presentation
Underlying profit before tax of €376m
Income Statement
H1 2018
H1 2019
(€m)
(€m)
Total income
1,398
1,411
Operating expenses (before levies and
(933)
(903)
regulatory charges)
•
Levies and Regulatory charges
(67)
(73)
Net Impairment (losses) / gains
81
(79)
Share of associates / JVS
21
20
•
Underlying profit before tax
500
376
Non-core items
(46)
(61)
Profit before tax
454
315
Net interest margin (NIM)
2.23%
2.16%
Adjusted ROTE¹
6.8%
6.5%
Dec 18
Jun 19
Customer loans (net)
€77.0bn
€78.0bn
Customer deposits
€78.9bn €80.2bn
Non-performing exposures (NPEs)
€5.0bn
€4.2bn
•
CET1 Ratios:
Fully Loaded
13.4%
13.6%
Regulatory
15.0%
14.9%
Total Capital Ratio:
Regulatory
18.8%
18.0%
Liquidity Metrics:
LCR
136%
134%
•
NSFR
130%
128%
LDR
97%
97%
•
Leverage Ratios:
Fully Loaded
6.3%
6.6%
Regulatory
7.0%
7.2%
1 See Slide 56 for calculation
2019 Interim Results Credit Presentation
Net interest income of €1,069m
Other income of €342m includes sustainable and diversified
business income of €311m
Operating expenses (before levies and regulatory charges) of
€903m; reduction of €30m (3%) vs. H1 2018
• Total transformation investment in H1 2019 of €138m
Net impairment charge of €79m; write backs in H1 2018 not
repeated in H1 2019
Non-core charge of €61m for the period primarily related to
costs associated with customer redress on Tracker Mortgage
Examination and the Group's restructuring programme
Balance Sheet
Group loan book of €78.0bn at Jun 2019 reflecting;
-
New lending of €7.7bn; broadly in line with H1 2018
Redemptions of €6.5bn; 8% reduction vs. H1 2018
Customer deposits of €80.2bn predominantly sourced through
retail distribution channels
• NPES of €4.2bn with NPE ratio now at 5.3%, a reduction of
100bps in six months
Continued organic capital generation with 90bps of capital
generated in H1 2019
HoldCo senior investment grade ratings of Baa3, BBB- and
BBB from Moody's, S&P and Fitch. Positive Outlook from
Moody's and S&P (see Slide 24 for full ratings)
Bank of Ireland
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