BBVA Francés - BBVA Argentina - BBVA...2015/12/03 · Corporate Presentation 3 Quarter 2015 New...
Transcript of BBVA Francés - BBVA Argentina - BBVA...2015/12/03 · Corporate Presentation 3 Quarter 2015 New...
BBVA FrancésCorporate Presentation
3°Quarter 2015
New standard in customer experience
Drive digital sales
New business models
Optimize capital
allocation
Unrivalled efficiency
A first class
workforce
1,3 1,0 1,2
dic14' sep15'
7.79.5
10.9
2009 2010 2011 2012 2013
CPI Monthly CPI.Nu
0,05%
9,45%8,39%
0,80%
2,89%
0,50%1,40% 1,40%
2009 2010 2011 2012 2013 2014 2015e 2016e dic14’ mar15’ jun15’ sep15’ dic15’ dic16’
2009 2011 2013 2015e
2009 2011 2013 2015e 2009 2011 2013 2015e
2009 2011 2013 2015e
2009 2010 2011 2012 2013 2014 2015e 2016e
Private Sector Deposits/GDP Private Sector Loans/GDP
Source: BCRA
Expansion of the retail loan portfolio
Source: BCRA.
0
40.000
80.000
120.000
160.000
200.000
240.000
280.000
320.000
360.000
Sep-09 Sep-10 Sep-11 Sep-12 Sep-13 Sep-14 Sep-15
Car loans Personal Credit Cards Mortgages
An important player with capacity to increase its participation
Financial system as of July 2015; Private MS as of September 2015
27,55
9,51
7,41
6,76
5,38
5,14
4,16
3,68
3,51
2,89
NACION
PROVINCIA
SAN
GALI
BBVA FRANCES
MACRO
CREDICCOP
HSBC
CIUDAD
PATAGONIA
6.43%6.75%Deposits Loans
18,17
9,05
8,95
7,76
6,37
6,15
4,20
4,14
3,44
3,17
NACION
PROVINCIA
SAN
GALI
MACRO
BBVA FRANCES
CIUDAD
HSBC
ICBC
BPAT
Private market share Private market share
00000
75,95
24,0710,17
13,79
Equity Ownership
ADRs
ORDs
Since 1996
Mkt Cap $ 38,816 MMUS$ 4,272 MM
P/E $ 9,72
BV/ Share $ 23.34
Mkt data as of September 30, 2015Exchange rate: 9.42$/US$
Floating
Mkt Data
Av. Volume (3 mths) NYSE US$ 2.7 MMBCBA $ 6.2 MM
Indicators
ORDs
Ratings
Fix SCR* Shares 1 Negative
Negotiable Obligations Global Program (U$S 750 million) AA(arg)
Subordinated Senior Debt AA- (arg)Senior Debt Short Term A1+ (arg)Senior Debt Long Term AA (arg)
S&P Institutional Rating Long Term raB+ Negative
Institutional Rating ShortTerm raB
Negotiable Obligations Global Program (U$S 750 million) raB+ Negative
*In November 2013, Fitch Argentina sold 70% of its capital stock to a local investor group and changed its name to Fix Scr. This new group will be responsible for the local credit rating.
Income growth Risks
Liquidity Profitability
3Q-15Remarks
Key lever
Digital transformation
Strong fundamentals
Net IncomeNPL
Liquid Assets/Deposits
$ 998,1
+59% vs 3Q14’
0.74%
42.6%
3Q-15Remarks
Key lever
Digital transformationCoverage
269.69%
Strong fundamentals
ROE
30.3%
ROA
4.2%
Liquidity Profitability
Income growth Risks
Digital transformation framework
Digital Sales
Distribution Model
DigitalCapabilities
InfraestructureDevelopment
Organization & Culture
Customer Experience
Figures in thousands of pesos 3°Q-15 2°Q-15 3°Q-14 ∆ Y/Y
Net Financial Income 2,326,603 1,973,233 1,749,510 33.0%
Provision for Loan Losses (115,201) (181,178) (151,867) -24.1%
Net Income from Services 953,272 800,607 887,922 7.4%
Administrative Expenses (1,645,376) (1,472,263) (1,582,636) 4.0%
Operating Income 1,519,298 1,120,399 902,929 68.3%
Income tax (549,658) (452,932) (345,100) 59.3%
Net Income 998,070 667,210 628,970 58.7%
P&L breakdown
+10%adjusted
+32%adjusted
*During 2°Q 2015, the Bank
1.7501.973
2.327
Sep.14 Jun.15 Sep.15
NIM
Figures in millions of pesos
Net financialincome
16,36%
15,70%
15,16%
Sep.14 Jun.15 Sep.15
Private SpreadAverage spread ($)
- 120 pb - 54 pb
YoY QoQ
Sep15’ vs Sep14’
+33%
888
801
953
Sep.14 Jun.15 Sep.15
Fees and Expenses
Figures in millions of pesos
971862
911
Sep.14 Jun.15 Sep.15
611 610735
Sep.14 Mar.15 Jun.15
Net Income from Services
Personnel expenses dropped 4%(adjusted) compared to 3Q-14which included the impact of theorganizational changesimplemented. All of these, partiallyoffset by the salary increase agreedwith the union and a higher numberof employees (internalization),
General expenses grew due tohigher taxes, our ATM renovationprogram and higher amortizationsrelated to improvement workscarried out at the headquarters’ andbranches.
Personnel expenses
General expenses
32% 9.2%
YoY QoQ
AssetsLiabilities + Equity
12.475
49.918
12.979
13.937
12.528
16.388
63.216
Solid balance sheet structure
Figures in millions of pesos
Cash and Banks
Private Loans
Deposits
Others
Net Worth
BCRA Notes
Public sector assets
92,133 92,133
Others
14%
14%
54%
3%
15%
69%
18%
14%
Leverage 6.4xLoans/
Deposits 79.0%LiquidAssets/
Deposits42.6%
53%
32%
15%
40.51347.014 49.918
Sep.14 Jun.15 Sep.15
Private loan portfolio with a diversified structure
Figures in millions of pesos
Credit Cards29%
Personal Loans14%
Car Loans 8%Mortgages 4%
Corporate
Middle-Market
Retail
+24%YoY
AverageLending Rate ($) 24.9%
6.0655.965
6.809
Sep.14 Jun.15 Sep.15
5.977
6.353
6.805
Sep.14 Jun.15 Sep.15
Market Share (%) 18.61 17.07 18.22
Market Share (%) 5.74 4.91 4.69
(*) Car loans include joint ventures
Figures in millions of pesos
Personal Loans
Car Loans (*)
Retail Banking
+ 14 % + 7 %
YoY QoQ
+ 12 % + 14 %
YoY QoQ
Credit cards: the strategy is to gain market share, making the product more profitable
Market Shareof total purchasings
Advertising + Promotions /Income
12,06%
12,33%12,11%
Sep.14 Jun.15 Sep.15
46,5%
64,0% 61,7%
Sep.14 Jun.15 Sep.15
Middle-Market
Commercial loan portfolio
Market Share (%) 10.19 10.02 9.76
Corporate
Market Share (%) 15.24 13.15 11.97
12.72414.956
16.746
Sep.14 Jun.15 Sep.15
8.7098.388
7.567
Sep.14 Jun.15 Sep.15
+32 % +12%
YoY QoQ
-13% -10%
YoY QoQ
Figures in millions of pesos
2.510 2.662 2.760
5.270
11.554 11.076
Others
BCRA Bills & Notes(own portfolio)
Public bonds
The bank complies with Rule 3991 from the Central Bank, which restricts public sector exposure to 35% of total assets as of July ‘07
7,832 14,276 13,900
3.4% 3.1% 3.1%
Figures in millions of pesos
Important participation of bills & notes issued by the Central Bank
Asset quality remains at good levels, despite an environment thatshows deterioration
NPL peer group and Financial System(Jul-15’)
NPL by business areas
Retail 1.25% Middle-Market 0.19% Corporate 0.00%
225,89% 235,99%269,69%
0,94% 0,89%
0,74%
0%
0%
0%
0%
0%
1%
1%
1%
1%
1%
1%
Coverage NPL
1,72
0,72
1,2
1,7
1,72
System
BBVA
Peer 1
Peer 2
Peer 3
Deposits: improving the funding mix
Figures in millions of pesos
49.737
60.016 63.217
Sep.14 Jun.15 Sep.15
Sightaccounts
55% 63%
37%
TD < 1MM
TD > 1MM
Averagecost of funds ($) 9.7%
+27%YoY
+28%
Negotiable Obligations
7 08-11-13 36 months (2016) BADLAR + 4.24% $ 250.0 MM
9 02-11-14 36 months (2017) BADLAR + 4.70% $ 145.1 MM
10 07-18-14 18 months (2016) BADLAR + 2.50% $ 233.8 MM
11 07-18-14 36 months (2017) BADLAR + 3.75% $ 165.9 MM
12 11-13-14 18 months (2016) BADLAR +2.53% $ 130.3 MM
13 11-13-14 36 months (2017) BADLAR +3.75% $ 107.5 MM
15 02-13-15 21 months (2016) BADLAR + 4.00% $ 144.9 MM
16 07-30-15 24 months (2017) BADLAR + 3.75% $ 204.4 MM
Fix Rating AA (Arg)
Efficiency and coverage ratios
Efficiency Ratio (1)
Coverage ratio (2)
(1) Adm.Expenses / (Net financial income + Net income from services)Removing the non-recurring effects.
(2) Net fee Income as a % of Administrative Expenses
58,80%
50,30%51,70%
Sep.14 Jun.15 Sep.15
56,10%
54,40%
57,90%
Sep.14 Jun.15 Sep.15
- 710 pb + 140 pb
YoY QoQ
+ 180 pb + 350 pb
YoY QoQ
38,23 36,60
30,30
ROE
4,90 4,90
4,20
ROA
* Accumulated ratios
Intermediation with theprivate sector
Good asset qualityEfficient operating
structureBalance sheet strength
(Capital & Liquidity)
BBVA FrancésCorporate Presentation
3°Quarter 2015