MEDIOBANCA GROUP PROFILE - 30 June 2020
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MEDIOBANCA
GROUP PROFILE
30 June 2020AGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investing
Annex
1. 2020 Group figures by divisionsMEDIOBANCA: A DIVERSIFIED FINANCIAL GROUP…
MB Group profile Section 1
Key financial information¹
Wealth Consumer Revenues: €2.5bn TFA: €64bn
Management Banking
Net profit: €600m Loan book: €47bn
ROTE adj: 10% Gross NPLs/Gross Ls 4.1%
C/I ratio: 47% DPS: €02
Corporate & No. of staff: 4.9k Stated payout: 0%
Principal
Investment Investing CET1 phase in: 16.1% Loan/funding ratio: 85%
Banking
Total assets: €79bn Market cap:3 €5.9bn
Revenues GOP RWAs Loans TFAs
WM
WM WM
WM 10%
12% 28%
23%
Affluent
Consumer CIB Consumer UHNWI
44%
CIB Consumer CIB 47% 42% 25% 41%
CIB Consumer
23% 43% 29%
40% 28%
Other AM
Other Other Other 15%
23%
11% 12% 4%
1) Figures as at end-June 2020 (financial year)
3 2) In accordance with ECB guidance on Covid crisis
3) As at 5 August 2020...WITH AN INTEGRATED BUSINESS MODEL
MB Group profile Section 1
HIGH SYNERGIC BUSINESS
Capital light Corporate & Labour intensive
Wealth
Fee driver Fee driver
Recurrent Management Inv.Banking Cyclical
REALLOCATION OPPORTUNITY DIVERSIFICATION OPPORTUNITY
EPS/DPS accretive Capital intensive
Principal Consumer
Revenue driver NII driver
Source of capital Investing Banking Anti-cyclical
HIGH RETURN BUSINESS
4A STORY OF BUSINESS GROWTH AND DEVELOPMENT
MB Group profile Section 1
Founded in 1946 by three state-owned banks (Comit, Credit and Banco di Roma), Mediobanca’s mission was initially to support
the rebuilding of Italian industry.
Mediobanca became close to the most important Italian industrial families, supporting the growth of their businesses also through
equity investments. Mediobanca worked with Italian corporates in their restructuring, privatization and internationalization
processes, easing their access to capital markets.
Mediobanca pioneered also retail/mid-corporate banking activities, entering the consumer credit sector with Compass (1960),
leasing with Selma (1970), residential mortgages with Micos (1992) and private banking with Banca Esperia (2001) and CMB (2003).
Listed since 1956, Mediobanca was privatized in 1988. The banking shareholders reduced their stake to 25%, entering into a
shareholder agreement with some industrial corporates holding another 25%. The syndicate agreement was reduced over time to
roughly 30% and expired on Dec.2018. A light consultation agreement gathers today roughly 12% of the capital.
Since 2003, the current management team has focused the corporate strategy on the three core divisions, prioritizing the
development of Wealth Management, while sustaining the long standing growth of the other two business:
Wealth Management: was born as a division in 2016, gathering all AM driven businesses:
Affluent & Premier: the multi-channel digital bank CheBanca! (set up in 2008 as a deposit arm) became a wealth
manager in late 2017 when it acquired selected retail activities of Barclays in Italy and launched a fast growing network of
financial advisors and relationship managers
Private Banking & HNWI: Banca Esperia full control was achieved in 2017 while a stronger integration of CMB was started
Asset Management: Cairn Capital, a London based credit specialist, was acquired in 2015, followed in 2018 by RAM
Active Investments, Geneva based leading European systematic asset manager. MBSGR was relaunched in 2017 as a
group AM factory
Consumer credit: in 2008 Compass doubled its size with the acquisition of Linea, thus catching up with the top three consumer
lending Italian players;
European CIB operations: offices have been opened in Paris (2004), New York (2006), Madrid (2007), Frankfurt (2007) and
London (2008). In 2019 Mediobanca strengthened its presence in France through the partnership with Messier Maris & Associés
In the meantime Mediobanca has actively managed its equity portfolio, selling off cross-shareholdings, exiting shareholder
agreements and disposing of non-strategic stakes. It has remained a key shareholder of Ass. Generali (13% stake).
5SHAREHOLDERS’ BASE EVOLUTION
MB Group profile Annex
MB free float up (now 100%) due to Mediobanca shareholders’ structure1
progressive shareholder pact reduction
Institutional 12.6% Consultation
investors by region Agreement2
100% 100%
Institutional Retail &
Investors Other
21.6% Mediolanum
50%
3.3%
71% U.S. 39%
54% S.-33 (Benetton)
2.1%
45% L. Del
U.K. 18% Vecchio
Fininvest 2.0%
Bolloré Group 10.2%
5.6%
Italy 14% FINPRIV 1.6%
France 7%
Belgium 5%
OtherMEDIOBANCA DISTINCTIVENESS…
MB Group profile Section 1
Stable Board and Responsible business Specialization and Strong positioning
management in the last approach Innovation in business whose
15Y growth is driven by
Private-Investment Bank
long-term trends
Indepth knowledge of Strong brand value
business environment of choice for Italian Leading investment bank in
Reputable, trusted, high- entrepreneurs
Long-term approach to quality player Southern Europe
business Innovative, long-standing One of top 3 operators in
Talent-driven profitable consumer bank
Strong risk management as organization Italian Consumer Banking
part of DNA Unique human-digital Distinctive player in WM
bank for affluent customers
High capital generation, Limited exposure to ITA Governance Comprehensive ESG
high asset quality macro and adverse progressively evolving approach
content regulation
Low exposure to Italian Free float at 100%, CSR involving the whole
CET1@14% spread and govies institutional investors at 75% organization
Last capital increase in 1998
Low NII sensitivity Board quality steadily Remuneration policy fully
Unrivalled asset quality to interest rates and GDP improved/improving in aligned with stakeholders’
Low operational gearing Solid loan book/TFAs growth number, mix of interests
over the whole cycle competences,
independence
7…HAS REVERTED INTO AN ONGOING ACCRETIVE VALUE CYCLE
MB Group profile Section 1
STRONG POSITIONING RESPONSIBLE
SPECIALIZED FINANCE DNA
Effectiveness of MB business model,
> REPUTABLE - HIGH QUALITY
Strong brand value
focused on high-margin, specialized, Standing and quality
long-term growing businesses Ethical approach
STAKEHOLDER-FRIENDLY SOLID
High yield for our shareholders CAPITAL GENERATION CAPABILITY
Workplace welfare for our people Possibility to invest
Corporate citizenship for our community to enhance positioning
PROFITABLE GROWING
ABOVE AVERAGE PERFORMANCE
> UNBROKEN GROWTH
High profitability and capitalization in human talent, assets and profit
All business units repaying capital with no compromise on risk profile
8MEDIOBANCA GREW AND RESHAPED ACROSS CYCLES...
MB Group profile Section 1
Stronger capital base Different funding and loan book mix
CET1 ratio (%) €bn
53 Funding 51 35 Loans 44
14%
Others SME 4%
12% 19% 12% 14%
TLTRO 8%
Consumer 30%
10% 12% 23%
WM Residential
44% 11%
Deposits mortgages 26%
69%
52% Large
Bonds 36% 40%
Corporate
FY June09 FY June19 FY June09 FY June19
June09 June13 June19
Enlarged and diversified revenues, with WM now at 22% (from almost zero), CIB at 25%, Consumer at 40%, PI
reduced to 13% (from 30%)
Revenues by product - €bn Fees by division - €bn Revenues by division - €bn
2.5
2.5
13%
8% 13%
1.6
24% WM 1.6 22% PI
26% 44%
CIB 30% WM
10% 36% 2% 40%
23% Consumer
55% 24%
Consumer CIB
41% 44% 25%
20%
FY June07 FY June19 FY June07 FY June19
NII Fees Trading Equity acc.
9… SHOWING SOUND RESILIENCE & STAKEHOLDERS REMUNERATION
MB Group profile Section 1
High capital generation (last capital increase in 1998) and high profitability…
CET1 ratio % ROTE adj. %
14.2% 14.1% 10
13.3% 9 10
9 8
12.0% 12.1% 8 7
11.7% 7
11.1% 11.2% 11.5% 11.1%
10.3% 5
4 4
J-09 J-10 J-11 J-12 J-13 J-14 J-15 J-16 J-17 J-18 J-19 J-09 J-10 J-11 J-12 J-13 J-14 J-15 J-16 J-17 J-18 J-19
… has enabled MB to return more than €2bn to shareholders, while investing constantly in people
€m Group staff (‘000)
Cumulative ~€2.2bn
5.1
4.9 4.9
0.3
160 0.2
413 4.1
320 3.8
410
231 3.5 3.5 3.6
213 3.5
3.1 3.2
144 144 127
42
J-09 J-10 J-11 J-12 J-13 J-14 J-15 J-16 J-17 J-18 J-19 J-09 J-10 J-11 J-12 J-13 J-14 J-15 J-16 J-17 J-18 J-19
Dividend Buy-back Employees FAs
10…AND RISK PROFILE OUTSTANDING AT EU LEVEL
MB Group today Section 1
Stronger in capital… …stronger in asset quality…
MB buffer over SREP: ~600bps, among the highest in EU Stage 32 - MB vs ITA and EU
10%
Avg. 9.9% 54% 60.0%
8%
8.25% 47%
45% 50.0%
6%
40.0%
4%
2% 30.0%
3.9% 3.4% 6.7%
MB
Bank 10
Bank 11
Bank 12
Bank 13
Bank 14
Bank 15
Bank 16
Bank 17
Bank 18
Bank 19
Bank 20
Bank 21
Bank 22
Bank 23
Bank 24
Bank 25
Bank 26
Bank 27
Bank 1
Bank 2
Bank 3
Bank 4
Bank 5
Bank 6
Bank 7
Bank 8
Bank 9
0% 20.0%
MB EU avg. IT avg.
ITA banks SREP1 EU banks SREP1
….better leverage ratios… …with lower exposure to Govies...
Leverage ratio3 - MB vs EU 2020 EU-wide transparency exercise
(figures as at Dec. 2019) 268% 279%
269% 283%
10% 247%
8.2% 218%
205% 204%
8%
116% 169%
163%
6% 5.3% 137% 236% 240%
138% 160%
31% 161%
4%
131% 114%
2% 106% 105%
66% 44% 58%
33% 39%
0%
MB EU avg. MB Bank 1 Bank 2 Bank 3 Bank 4 Bank 5 Bank 6 Bank 7 Bank 8
Domestic govies/CET1 Other govies/CET1
1) SREP before any changes from the application of CRD V Article 105 brought forward by the ECB in March 2020
11 2) Source: EBA Risk Dashboard – Data as of Mar.20 - %of loans (histogram) and coverage ratio (dots)
3) Source: EBA Risk Dashboard – Data as of Mar.20NEXT 4Y MISSION:TO DEFINITIVELY ESTABLISH MEDIOBANCA
AS A DISTINCTIVE GROWTH PLAYER
MB Group profile Section 1
Our 2019-23 BP aims to further upgrade the effectiveness of our business model
in order to definitively establish Mediobanca as a distinctive growth player in Europe
which is consistently valued as a Specialized Financial Group
IN NEXT 4Y MEDIOBANCA WILL STAND OUT BECAUSE OF ITS
DISTINCTIVE BUSINESS MODEL GROWTH CAPABILITIES VALUE CREATION
by by by
CAPABILITY TO PROFIT FROM BRAND, REVENUES, DELIVERING INDUSTRY LEADING
A CHALLENGING MACRO SCENARIO CAPITAL AND PROFIT STAKEHOLDER REMUNERATION
DUE TO
STRONG POSITIONING & BUSINESS SOUND MARKET OPPORTUNITIES SELF-PERPETUATING
DIVERSIFICATION and MB ACCRETIVE VALUE CYCLE
and MATERIAL INVESTMENTS and
CULTURE & SUSTAINABILITY in people, innovation and distribution TALENT/CAPITAL MANAGEMENT
12SOUND BUSINESS POSITIONING TO TURN A CHALLENGING SCENARIO
INTO OPPORTUNITIES
MB Group profile Section 1
Italian WM market worth €4tr, largely MBWM
un-managed (65%) will become a market leader with high
Specialized operator gaining share growth rates & sustainability
Corporate and Financial Sponsors
MACRO activity will stay high in Europe MBCIB
OPPORTUNITIES Boutique-type organization to continue will grow its market share in Europe
taking market share in M&A and CapMkt
Consumer Banking
under-penetrated in Italy. MBCB
Changed consumer behavior requiring will leverage its strong positioning
new products and distribution to become a front runner once again
Profound restructuring in Mediobanca will focus on growth
SECTOR universal/commercial banking due to organically and
OPPORTUNITIES
unprecedented margin squeeze through M&A
13BP19/23 STRATEGY, SHAREHOLDERS’ REMUNERATION, TARGETS CONFIRMED,
EVEN AFTER COVID
Shift to capital-light fee Revenue growth in a Enhanced return to
business challenging environment shareholders
Targeting industry-leading performance
CET1 ratio progressively
Revenues growth Earnings growth Profitability growth optimized at 13.5%
throughout 2023
+4% CAGR1 +4% EPS CAGR1 ROTE23 @11% with a mix of cash dividend
and share buyback
CAPITAL MANAGEMENT POLICY
DPS20 = 0, in accordance with ECB recommendation
CET1 ratio progressively optimized at 13.5% throughout 2023
Capital buffer in 2021-22 to cope with Covid
Shareholders’ remuneration policy as approved in BPlan23 will resume as from next financial year,
as a mix of cash dividend and share buybacks to optimize capital ratios, the size and mix of which will be set annually
depending on speed of recovery post Covid and on Mediobanca stock price (P/BV multiple)
14 1) 4YCAGR 19/23, including treasury shares cancellation (subject to ECB authorization)STRONG INVESTMENTS IN PEOPLE AND INNOVATION
Group ambitions Section 1
With no restructuring/rationalization needs and keeping efficiency core in the organization (cost/income 46%)
Mediobanca in the next 4Y will invest in human talent and IT/digital upgrade
to keep the bank on the top of technological frontier
to enhance customer experience given their changing behaviour
to enlarge revenues also trough organizational efficiencies
Over 1,000 additional sales people at work… … coupled with €250m in IT investments
~60
~400
~600
IT/digital
upgrade
€ ~250m 85%
15% In 4Y
Distribution and coverage:
up over 1,000 people in 4Y Regulation
o/w 2/3 at variable cost
FY19 WM CB CIB BP23T
15REVENUE GROWTH IN A CHALLENING ENVIROMENT
DRIVEN BY K-LIGHT BUSINESS
EXECUTION RISK MINIMIZED BY DIVERSIFICATION
MB Group profile Section 1
Revenues trend (€bn, 4YCAGR %)
Group 4YCAGR: +4%
+3% ~ 3.0
+3%
+6%
+8%
2.5
FY19¹ Wealth Corporate & Consumer Principal Holding BP23T
Management Inv. Banking Banking Investing Functions
Capital light Capital intensive
1) Excluding non recurring income in banking book
16GROUP TARGETS
MB Group profile Section 1
Group Target June19 June23 4Y CAGR Divisional Target June19 June23 4Y
CAGR
Revenues (€bn) 2.5 3.0 +4% Revenues (€bn)
EPS (€) 0.93 1.10 +4%3 Wealth Management 0.5 0.7 +8%
Corp. & Inv. Banking 0.6 0.8 +6%
ROTE adj. 10% 11% +1pp
Consumer Banking 1 >1.1 +3%
CET1 phase-in 14% ~13.5%
ROAC (%)
TFAs (€bn) 61 83 +8%
Wealth Management 16% 25% +9pp
Loans (€bn) 44 51 +4% Consumer Banking 30% 28/30% ~
Funding (€bn) 51 56 +2% Corp. & Inv. Banking 15% 16% +1pp
Financial targets based on current regulatory requirements and Group scope of consolidation
17CSR ENHANCEMENT FOR ALL STAKEHOLDERS’ BENEFIT
MB Group profile Section 1
CSR AT BOARD LEVEL (competencies, strategies)
CSR IN THE PLAN WITH TARGET DISCLOSURE (Sustainable Development Goals framework)
CSR TARGETS INCLUDED IN TOP MANAGEMENT LONG-TERM INCENTIVE PLAN
€4m per year in projects with positive
Avg. training hours up 25%, to enhance social/environmental impact
employees’ competences
MB Social Impact Fund: AUM increase at least by 20%
Sustainable bond issue: €500m
~50% of female profiles to be considered
for external selections 40% of procurement expenses assessed with CSR criteria
All suitable female profiles to be considered for internal Customer satisfaction:
promotions and/or vacancies CheBanca! CSI¹ on core segment² @73, NPS¹ @25
Compass: CSI @85, NPS @55
Asset Management: 100% of new investments Energy: 92% from renewable sources, CO2 emissions down
screened also with ESG criteria 15%; hybrid cars @90% of MB fleet
€700m investments in Italian excellent SMEs RAM: first issue of a carbon neutral fund
ESG qualified products in clients’ portfolio +30% CheBanca! Green mortgages up 50%
1) CSI: Customer Satisfaction Index; NPS: Net Promoter Score
18
2) Core: Premier: clients with wealth between €100k and €5mAGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investing
Annex
1. 2020 Group figures by divisionsMEDIOBANCA GROUP BUSINESS MODEL
MB Group KPIs Section 1.a
Mediobanca Group
Holding Functions
Group ALM & Treasury
Non core assets
(leasing)
Corporate & Investment
Consumer Banking Wealth Management Principal Investing
Banking
(CB) (WM) (PI)
(CIB)
Consumer Banking Affluent & Premiere Principal Investing
Corporate & Investment
Banking Compass CheBanca! Ass. Generali
Mediobanca Spa
Messier Maris & Associés Private & HNWI
Mediobanca PB, CMB
Specialty Finance Mediobanca AM
MBFacta MB SGR, CMG
MBCredit Solution Cairn, RAM
Corporate Consumer AUA/AUM driven Proprietary
client business client business client business equity stakes
20PROFITABLE AND VALUABLE DIVISIONS
MB Group KPIs Section 1.a
Mediobanca Group as at 30 June 2020 (12M)
Corporate & Investment
Consumer Banking Wealth Management Principal Investing
Banking
(CB) (WM) (PI)
(CIB)
Revenues 575m Revenues 1,071m Revenues 584m Revenues 313m
GOP 279m GOP 443m GOP 113m GOP 309m
Loan book 19bn Loan book 13bn Loan book 13bn
TFA 64bn
of AUM/AUA 40bn
RWA 20bn RWA 12bn RWA 5bn RWA 8bn
C/I ratio 48% C/I ratio 28% C/I ratio 77% C/I ratio nm
ROAC 13% ROAC 31% ROAC 19% ROAC 18%
Holding Functions Revenues 2,513m
(HF) MB Group
GOP 949m
Loan book 47bn
Revenues -7m
TFA 64bn
Loan book 2bn
RWA 48bn
RWA 3bn
C/I ratio 47%
ROTE adj 10%
21SUPPORTED BY A STRONG A&L STRUCTURE…
MB Group today Section 1
Specialty Balance sheet as at June 2020
Finance PB deposits
5% Mortgages Total: €78.9bn 16%
22%
Retail
deposits Other
Large 12%
Leasing 28%
corporate
4%
35% €46.7bn Private €53.9bn
Banking ECB
6% 10%
Bonds to
Loans/ institutional
Consumer Loans
Funding: 22% Bonds
lending 59% Funding
28% 85% to retail
70% 13%
CET1: 16.1% Total Capital: 18.8%
Leverage Ratio: 9.7%
BB govies
Liquidity Net
37% Treasury NSFR: 109%, LCR (end-of period): 165%
35%
assets Treasury Treasury
€13bn 32% €13bn liabilities 15% NPLs/loans: 4.1% gross, 1.9% net
NPLs coverage: 55%
Equity Inv. 5% Equity 12% Bad loans/loans: 0.9% gross, 0.2% net
Bad loans coverage: 82%
Corporate Client &
bonds other Trading
16% 9% Assets Liabilities
book
2%
Loans : 44% corporate, 56% retail; ~80% Italy, ~20% non-domestic
Funding: 56% from retail investors (13% bonds to retail, 28% retail deposits and 16% PB deposits)
22AGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investing
Annex
1. 2020 Group figures by divisionsMB WEALTH MANAGEMENT
RATIONALE AND OPPORTUNITIES
Wealth Management Section 1.b
Italy one of the most attractive European markets for WM
Size worth €4.4tr, in Affluent (€3.5tr) and Private (€1.0tr) segments
Largely un-managed
Need for “qualified” offering: non-universal banks gaining market share
MB entered and is now focused on WM with a view to leveraging:
Distinctive positioning/branding, unparalleled in the Private/Mid Corp area
Wealth Group synergies
Management Capital buffer to be redeployed into acquisitions
Mediobanca distinctiveness:
Affluent: sustainable, through-the-customer’s-eyes, innovative offer
HNWI/UHNWI: leadership based on unique IB/PB model
AM: targeting the illiquid segment
Strong Group support to foster WM growth, both organic and through M&A
24WE ENTERED 3Y AGO AND ARE NOW A WELL-REPUTED PLAYER…
Wealth Management Section 1.b
MBWM gaining positioning Next 4Y Mission
Wealth management players ranking by TFA¹ (€bn, Dec19 peers, MB as at June20)
Become an established player in the
85
81 Affluent segment, by quality and
sustainability, with best in class mix of
69 digital/human distribution capabilities
64
59
49
Become a leader in HNWI and UHNWI
29 28 with a unique Private and Investment
20 20 19 18
Bank model, working together with CIB to
15 14 13 offer integrated advisory and investment
10 10 10
5 6 solutions in Private Assets/Markets
4
MBWM
Maximize growth and margins in the
group value chain reinforcing research &
Financial Advisors Specialized product synergies among traditional and
centred models Private Banks alternative AM
25 1) MB TFAs excluding AUC. Sources for other players: data from Associazione Italiana Private Banking, companies’ web site, press.
Data as at: Dec.19 for Financial Advisors centred models; June19 for Specialized Private Banks…WITH GROWTH ACHIEVED THROUGH SELECTIVE ACQUISITIONS
AND ORGANICALLY…
Wealth Management Section 1.b
Group AUM/AUA trend (€bn)
66% 63% 63%
63% 39.0 39.8
37.1 0.8
1.9
4.1 9.6
55% 30.0 3.2 11.8
12.4
12.6
17.4 17.7
22.9 16.8
16.3
13.5
10.3 12.5
7.1 8.4
3.9
June16 Barclays, June17 Organic RAM June18 Organic June19 Organic June20
Esperia growth acquisition growth growth
acquisitions
AUM+AUA / TFA % Affluent Private* AM
AUM/AUA development continuing fuelled by organic growth and M&A
Growth concentrated in managed assets, now 63% of TFAs
Strong performance in Affluent and Private (2Y CAGR +11%), also after Covid
26 * In 2016 and 2017 Private segment includes also AM… THANKS TO STRONG INVESTMENTS IN DISTRIBUTION
Wealth Management Section 1.b
Fintech
Robo advisory buy and customize best
Digital & applications for banking,
Platform Robo for advisory saving & investing to increase
productivity and efficiency
RMs staff: from 260 to 582 FAs: from 0 to 414
Partnerships
572 582
541
127 132 414
452 125
DIGITAL CRM
335
130
260
226 Mortgages
90 445 454
895K SALEFORCE 322
416
Third-party
customers 170
65 distribution
0
FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20
networks
Private& Affluent&
HNWI Premier
Institutional
Branches right-sized sale forces
FA shops: from 0 to 85
MAAM,
MBSGR
15
15 15 10
7 141 85
111 110 107 70
59 46
19
0
FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20
27EXPLOITING OPPORTUNITIES IN AFFLUENT…
Wealth Management Section 1.b
POSITIONING OF CHEBANCA!1 OPPORTUNITIES
2.5% Gross Mgt. Fees Affluent: the most attractive segment in the WM arena. Large
/ AUM (€3.5tr), profitable, with customers more technology-friendly (low
Mediolanum cost to serve) and largely unmanaged
2.0% Digital transformation and Fintech moving distribution paradigms
Azimut
CheBanca!: well positioned to leverage business model
Leverage strengths (sustainability& innovation)
1.5%
positioning, Banca Generali Fineco to increase market share
product,
service to close the profitability gap
1.0%
CheBanca!
CheBanca! FY23 ACTIONS
0.5% Balls size = Saleforce
Today AUM ptf
Brand repositioning: marketing campaign for affluent clients
(current and next generation) to meet their investment needs,
0.0% leverage on joint MB-CB! branded products
PBT ex performance
0.1% 0.2%
Increase 0.3%
scale, 0.4%
efficiency 0.5% 0.6%
fees/TFA New service model: more in-depth and comprehensive client
segmentation to customize services/products according to
potential value
STRENGTHS Franchise empowerment: commercial staff to increase from 780
to 1,275 (up 60%) focusing on quality and value
SUSTAINABILITY INNOVATION Enhancing digital platforms, to supply advisory services via
mobile app and remote channels
Transparent, valuable, fair-priced Easy, efficient, real omni-channel
investment services distribution model Enlarge product offer, leveraging on group capabilities
Recurrent and diversified Digital excellence since Investments in training, to upgrade sales force capability to
income inception deliver high-quality advisory services
28 1)Source: Peers data from Mediobanca Securities – figures as at June19 annualized… IN PRIVATE /HNWI SEGMENT…
Wealth Management Section 1.b
POSITIONING OPPORTUNITIES
Customer Private banking: valuable and growing segment where MBPB
UHNWI segment and CMB could play a distinctive role given their roots, brand,
customers and positioning as unique Private-Investment banks
for private clients and entrepreneurs
Franchise empowerment: staff to increase to from 133 to 160 (up
Mediobanca 20%)
ACTIONS
MBPB will work on:
Becoming leader in developing investment opportunities in
Affluent Private Assets through Club Deals, Private Equity, Italian and
Value proposition EU Multi-Asset Manager(1)
Strengthening the effective dual PB-IB coverage for MidCaps
Investments Global advisory
focusing on Key Strategic Clients (Entrepreneurs/UHNWI)
CMB will:
STRENGTHS
Empower positioning on UHNWI also through rebranding
UNIQUE PRIVATE-INVESTMENT
INNOVATION Enhance investment and advisory offering for UHNWI and
BANKING MODEL
Family Offices, also with a deeper segmented approach
Dual IB/PB coverage Relaunch a credit proposition (Lombard and real estate
Benchmark in private markets by financing) in line with the UHNWI strategy
Strong concentration in investment opportunities
Invest in Technology and Fintechs to deliver efficiencies and
HNWI/UHNWI target clients
superior client experience
29 ¹ Epic, Mediobanca Private Markets 1, Mediobanca Private Markets 2, Club deal in real estate…AND IN ASSET MANAGEMENT PRODUCTION
Wealth Management Section 1.b
MAXIMIZING GROWTH AND MARGINS IN THE GROUP VALUE CHAIN
REINFORCING RESEARCH & PRODUCT SYNERGIES AMONG TRADITIONAL AND ALTERNATIVE AM
MEDIOBANCA SGR CAIRN CAPITAL RAM
Pivotal role
in defining asset allocation strategies Leading illiquid credit manager Leading pure systematic specialist in
Product innovation Europe with a strong research focus and
with high value added strategies frontrunner in AI
Global Active Multiasset, Multimanager
Solutions, “New Generation” Target Maturity fund
GOALS
Focus on active research-driven Expand alpha capabilities beyond
Expand alpha capabilities and
strategies (AA, high conviction Equity…) CLOs
competitive edge through research
Increase captive networks Roll-out of distribution of recently and development
penetration launched UCITS (Strata)
ESG implementation
Intermediation of third-party products Strengthening co-operation with MB
via guided open architecture for launch of new credit funds
30AGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investing
Annex
1. 2020 Group figures by divisionsMB CONSUMER BANKING
RATIONALE AND OPPORTUNITIES
Consumer Banking Section 1.c
Italian consumer banking an attractive market:
Low penetration/low yield environment
Banking sector restructuring, with branches reducing massively
Upcoming regulation painful for riskier players
MB focus on Consumer Banking with a view to leveraging:
Strong positioning (since 1960s) in a high entry barrier business
Compass Diversification effect vs Group activities, as an anti-cyclical business
High and sustainable profitability
Mediobanca CB a frontrunner in consumer banking with:
Outstanding credit scoring, pricing, management capabilities generating
superior asset quality
Broad, integrated distribution network
Best-in-class service with a full product range
Strong Group support to foster growth, both organic and through M&A
32COMPASS – A PIONEER, INNOVATIVE, PROFITABLE OPERATOR…
Consumer Banking Section 1.c
DISTINCTIVE STRENGTHS POSITIONING
Compass market shares
EXCELLENT ASSET QUALITY
11.7% 12.0% 11.7%
AND INDUSTRIALIZED COLLECTION 10.5%
OUTSTANDING SCORING
30% 13.0%
11.0%
AND PRICING CAPABILITIES
25%
Net NPLs/Loans: 2.5%
9.0%
20%
16% 7.0%
Net Bad Loans /Loans: 0.1% 5.0%
NPLs fully covered in 12m 10%
15%
7% 8% 8%
3.0%
10%
6% 5% 6% 1.0%
-1.0%
5%
-3.0%
0% -5.0%
VALUE-DRIVEN APPROACH 2016 2017 2018 2019
EFFICIENT PLATFORM
TO BUSINESS
Market growth (YoY) Compass growth (YoY)
Very low and stable cost/income (~30%)
New production driven solely by risk-adj returns Compass market share
Direct distribution growing at variable cost
Margin resiliency and profitability preserved
Consumer credit ranking¹
(new business, €bn, 2019)
BROAD PRODUCT CAPABILITIES BROAD & INTEGRATED
BEST-IN-CLASS SERVICE DISTRIBUTION NETWORK UCI 12.3
Findom. 9.4
Compass branches
€6.4bn new loans, 80% repeat business 5,000
172
3rd parties bank
Compass 6.9
Compass / branches Agos 6.0
Personal
Special Compass Quinto
loans 12,600 Deutsche 5.9
purpouse agencies
47% Post offices
14% 89 ISP 4.3
Salary Online business UBI 3.9
guarenateed 200
Cards Cars Partnerships/JVs Credem 2.3
7% 39,000
15% 17%
Dealers Fiditalia 1.3
(car/retail)
Direct business Indirect business
Finitalia 1.2
33 1) Source: Assofin. New statistics do not include vehicle credit…WITH THE ABILITY TO GROW STEADILY…
TEMPORARY SLOWDOWN IN FY20 ONLY DUE TO COVID-19
Consumer Banking Section 1.c
Since 2007 Compass’s loan book has tripled… … as have its revenues (now > €1bn) …
Loan growth halted only due to Covid outbreak
€bn €m
+3x +3x 1,071
13.2 13.0 996 1,027
12.5 936
11.8 873
11.0 800
10.4
9.1 9.3 9.6 687 713 713
8.8 638
8.4 8.1 8.3 592 605
Linea
acquisition 379
322
3.7
J07 J08 J09 J10 J11 J12 J13 J14 J15 J16 J17 J18 J19 J20 J07 J08 J09 J10 J11 J12 J13 J14 J15 J16 J17 J18 J19 J20
…while careful risk approach has kept CoR under control… …with net profit up 10x: ROAC ~30%
Temporary increase in FY20 due to Covid
€m, bps €m, %
463
470 550
420
415 411 413 +10x
372 361 354 347 360
450
332
370
315 336
320 350
297
243 247 258
199 185
270
250
220
170 150
154
95 97 82
120
59 66
50
32 39 22 41
145 224 298 337 302 311 331 438 413 354 276 242 238 325
70
20 -50
J07 J08 J09 J10 J11 J12 J13 J14 J15 J16 J17 J18 J19 J20 J07 J08 J09 J10 J11 J12 J13 J14 J15 J16 J17 J18 J19 J20
LLPs CoR
34LIMITED COR & NEW LOAN CORRELATION WITH GDP
STRONG CAPABILITIES IN PRICING, RECOVERY, DISPOSALS
Consumer Banking Section 1.c
Linea acquired in 2008. Following 18m spent harmonizing the Covid-19
AQR impact
acquired portfolio up to Compass asset quality standards impact
500 (11)
450 (9)
400
411 410 (7)
Cost of risk (bps)
350
GDP growth (%)
372 361 373
354 347 360 (5)
300 332
250 (3)
200 243 247 (1)
150 199 185 1
Lehman Sovereign
100
crisis crisis 3
50
5.2 3.8 4.0 4.8 4.9 5.0 5.3 6.0 6.2 6.6 7.0 7.4 6.4
0 5
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
New loans (€bn) (1) Compass CoR (1) AQR one-off GDP ITA (2)
3.0% 2.9% 3.0%
2.7% 2.5%
2.3% 2.2% 2.2%
1.8% 1.6% 1.6% 1.5% 1.4%
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Net NPLs/Ls
1) New loans and CoR at fiscal year-end (30 June)
35
2) Source: GDP ITA IMF, World Economic Outlook for historical values until 2019, MB new macro scenario for FY20 forecastSTRONG INVESTMENTS AHEAD IN DIRECT DISTRIBUTION…
Consumer Banking Section 1.c
Compass direct franchise trend COMPASS Higher “value” of Compass branch distribution:
BRANCH roughly double vs third parties’ channels
+75%
~350
Compass agencies track record in last 18m:
High productivity: close to long standing
+21% 80 Compass branches.
Low client cannibalization: 30% of customers are
~200 80 COMPASS new and 50% are in Compass database but not
27 AGENCIES active
Resilient margins: broadly in line with branches
164 172 187 Flexible cost structure: at breakeven since year 1
CoR in line with branches as managed by
Compass at its standards
FY16 FY19 BP23T
Branches Agencies Compass Quinto
New Compass Quinto agencies to be established:
Loyal and reputable agent network dedicated to
Direct distribution enlargement salary guaranteed loans, operating exclusively for
Launch of Compass
Compass-branded branches/agencies to increase COMPASS Flexible cost structure
from 200 to over 260 (up 30%), of which ~80 run by
QUINTO CRM to exploit synergies with Compass clients
agents
CQS product appeal increasing: risk mitigation,
80 Compass Quinto-branded agencies to be lower capital absorption due to CRR2 and sector
opened to foster salary-backed distribution consolidation needed
36…EMBRACING INNOVATION IN PRODUCT AND CHANNEL
Consumer Banking Section 1.c
INNOVATION
PRODUCT DISTRIBUTION
1 CLOSED LOOP CARD 3 PP-ONLINE
Revolving credit card (designed by Compass on Existing online platform strong enhancement with:
MasterCard circuit) whose use is limited to “Instant lending” project: process/technical
specific retailers enhancements to minimize “time-to-yes” up to
Benefits: easy to use (directly at the cashier), 1h, including automatic identification of clients’
increase client retention for the retailer uploaded ID documents
Could evolve to a “full” credit card (able to Online/offline integration for mutual
operate widely in POS/ATM/online with collaboration in client assistance between all
addendum to contract) distribution channels
Partners: large retailers
INSTANT CREDIT & E-COMMERCE LOANS
4
COMPASS RENT Partnership with primary operator for E-
2
commerce financing solution
Innovative long-term car rental
Development of APP-based financing services
Focus: used cars (12/24 months vintage) sold by for free instant credit to customers
Compass dealers
State-of-the-art platform integrated into retailers
Customizable offer: both in terms of service marketplace to offer installment-based credit
(insurance, assistance, etc.) and car model options
37AGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investing
Annex
1. 2020 Group figures by divisionsMB CORPORATE AND INVESTMENT BANKING
RATIONALE & OPPORTUNITIES
Corporate & Investment Banking Section 1.d
Investment Banking is the native business of Mediobanca
Strong market positioning: leader in Italy, with a growing footprint in Europe
Cornerstone of Mediobanca business diversification strategy
Resilient over the cycle due to balanced product mix
Investment Banking has been a challenging market in the last decade
Boutique-like models continue to outperform bulge-bracket banks
M&A to act as growth enabler in a stagnant economic scenario
Financial Sponsor activity likely to remain high due to low interest rates and
ample dry powder
Corporate
Investment
Banking
Mediobanca distinctiveness
Strong brand recognition and trustworthiness
Client-driven business
Boutique-type approach
Steady profitability with low gearing and excellent asset quality
Mediobanca CIB is best positioned to exploit the potential of a client-driven
business model enhancing its pre-eminent role in Europe
39MEDIOBANCA CIB DISTINCTIVE MODEL …
Corporate & Investment Banking Section 1.d
SOLID AND WELL DEFINED MARKET POSITIONING NEXT 4Y MISSION
Strong solution Empowerment of origination capabilities
capabilities across the full (focus on Italy, Spain, France) for IB
CIB product offering Leverage European Capital Market
platform and O2D model
DISTRIBUTION PLATFORM Empower MidCaps coverage
UK, GERMANY & US M&A and CapMkt boutiques aggregator
Leverage MMA partnership
Top 3 M&A boutique
in France with more Integrated trading platform
than 200 deals since Foster cross-fertilization among
inception 1st in Italy customer/product clusters (MidCap,
M&A Private banking, Financial Sponsors)
with >100 deals
in last 3Y
ECM
Capital-light business growth (especially
with 30 deals in
advisory)
last 3Y
Capital consumption optimization
(especially in lending)
Top 10 in M&A in Spain
with more than15 deals Cost of risk normalization
in last 3Y
40 1) Source: Coalition, IB Index FY18… DELIVERING SOUND BUSINESS RESULTS …
Corporate & Investment Banking Section 1.d
CIB loan book up @ €19bn … … with significative decrease in UTPs (€m)
GROWTH &
18.6
QUALITY
1200
17.9
16.1
1000
15.1 765 767
CIB loan book rebounding 14.5
667 642
800
after the crisis 600
519
Non domestic exposure 400
~45% of total with good
country diversification 200
Net NPLs/Loans: 1.7%¹
0
Net Bad Ls /Loans: zero¹ 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020
CIB revenues client driven and …by geography (~40% non-domestic)
diversified by product …
Advisory
DIVERSIFICATION 20%
& EFFICIENCY Non-
domestic Domestic
Lending 62%
Client driven activity with 38%
diversified fee income 33% €0.6bn
€0.6bn
stream CapMkt
25%
Cost/income: 48%
Specialty Prop
Finance Trading
20% 2%
41 1) Excluding NPLs purchased by MBCS…EXCELLENT QUALITY OF CORPORATE LOAN BOOK…
FY20 Divisional Results - CIB Section 4
WB loan book by sector (as at June 2020)
15%
12%
9%
8%
7% 7% 7%
6%
4%
4%
3% 2% 2% 2% 2% 2% 1% 1% 1% 1% 1% 0.6% 0.4%
WB exposure skewed to IG/crossover2 (as at June20) WB loan portfolio by geography3 (as at June20)
Germany
8% France
Crossover 9%
19%
Spain
8%
Other UK
IG 31%
50% 7%
Italy Other
53% Europe
US 7%
5%
RoW
3%
1) “Other” includes sectors with exposure below 2% and low or medium impact from Covid-19: Aerospace, Containers and Packaging,
Energy Services, Healthcare, Information Technology, Infrastructure, Metal, Paper and Utilities
42 2) Investment grade (IG) including rating classes from AAA to BBB-, crossover including BB+ rating bucket
3) Geographical breakdown based on the following criteria: i) Country where the company generates >50% of consolidated revenues
or, if this criterion is not met, ii) Country where the company has either its managerial centre or its main headquarters… AND OUTSTANDING POSITIONING IN M&A
FY20 Divisional results - CIB Section 4
Mediobanca M&A team has been involved in most Selected M&A Large Corp Transactions since July 2019
industry-shaping deals of 2020, including the merger of Ongoing Ongoing Ongoing March 2020 September 2019
equals between FCA and PSA, the takeover of UBI Banca
by Intesa Sanpaolo, the sale of a minority stake of Tower
Esselunga, and the merger between Inwit and Vodafone Undisclosed
€ 6,1bn (EqV 100%) € 573m €11bn €400m
Public Exchange Offer launched
Tower by Intesa Sanpaolo on all UBI
Banca ordinary shares
Disposal of Violetta Caprotti stake
in Esselunga
Acquisition of €570m hotel
portfolio from Värde Partners
Integration of INWIT and Vodafone
Italia Tower
Acquisition of 49.07% stake in
Offshore LNG Toscana by Snam
Intesa Sole Financial Advisor
Sole Global Coordinator and Financial Advisor to Financial Advisor to
Financial Advisor to INWIT Financial Advisor to Snam
Increasing presence in financial sponsors & mid Bookrunner of BPER rights issue Violetta Caprotti Värde Partners
corporate transactions, due to growing coverage efforts Selected M&A Mid Corp Transactions since July 2019
by the dedicated origination team and ongoing co- March 2020 November 2019 September 2019 September 2019 July 2019
operation with Private Banking. Mediobanca provides
advisory services to companies for sell-side processes and
to financial sponsors for buy-side investments Undisclosed €75m Undisclosed €68m ~150m
Acquisition of ABB’s solar inverter CBG disposal to Acquisition of Disposal of AMF to Alpha Private
Acquisition of La Pavoni by SMEG
business by Fimer Xenon Private Equity FT System by Antares Vision Equity
Improved footprint in Europe, including through the
strategic partnership with Messier Maris & Associés, Financial advisor to Fimer Financial Advisor to CBG Financial Advisor to Smeg Financial Advisor to Antares Financial Advisor to A.M.F.
combining local coverage and industry expertise
Selected M&A Sponsors Transactions since July 2019
June 2020 February 2020 August 2019 September 2019 July 2019
M&A Italy FY20 – Ranking by Deal Value1
20.3 19.8 $bn, Deal Value Undisclosed Undisclosed €822m £68.4m Undisclosed
Acquisition of Sorgenia by F2i Partial Tender Offer launched by
17.2 and Asterion and contribution Acquisition of a controlling stake
in Engineering by Bain Capital
Acquisition of Solvia Desarrollos
Inmobiliarios by Oaktree
Investindustrial on 3% of the share Clessidra acquisition of a 80% stake
in the share capital of L&S Light
of Veronagest and San Marco capital of Aston Martin Lagonda
Bioenergie
Financial Advisor to
14.3 Sole Financial Advisor to F2i and
Asterion
Financial Advisor to Bain Capital Financial Advisor to Oaktree Financial Advisor to
InvestIndustrial
Clessidra SGR
12.9
12.3
11.4 11.3
10.7 Selected M&A International Transactions since July 2019
June 2020 May 2020 February 2020 December 2019 December 2019
5.4
€2,4bn €515m Undisclosed €30bn €260m
Disposal of 80% of Eurobank
Financial Planning Services and Has announced the acquisition of Acquisition by Cellnex of
a portion of Mezzanine and a portfolio of Power Generation DWS Infrastructure Sale of the Merger of Equals 1,500 telecom towers from
Junior Securitization Notes of the and Supply assets from EDP Arenales CSP Solar Plant to Cubico Orange in Spain
€7.5bn multi-asset NPE Sustainable Investments
Securitization to doValue
MB UBS GS IMI Equita KPMG BofA JPM ROTH MS Financial Advisors to Eurobank Exclusive Financial Advisors to Total Sell-side financial advisor to DWS Lead Financial Advisor to PSA Financial Advisor to Cellnex
43 Source: Refinitiv as of June 2020 – Any Italian involvement…AND IN ECM AND DCM
FY20 Divisional Results - CIB Section 4
Mediobanca Capital Markets teams successfully completed several major
transactions for both Italian and international clients, including DCM CDP’s ECM Italy FY20 (Bookrunner)
inaugural Social Housing bond, Generali’s inaugural green Tier 2 bond and
ENI’s dual tranche transaction in the midst of the Covid pandemic, and ECM
Nexi Convertible Bond, Unieuro ABB, Nexi ABB, Juventus Rights Issue and 33.3% 33.3%
# of deals priced as percentage of
Cellnex Rights Issue 29.2%
GVS: first company listed on the Italian stock market (MTA) in 2020. Second 25.0%
total deals priced
largest IPO in Europe and among top 25 globally since Covid-19 virus
20.8% 20.8%
outbreak. Books 6x oversubscribed at final IPO price
16.7% 16.7%
Mediobanca continued on its path to increase its international presence,
leading – among others – EDP’s Green Hybrid transaction and Santander’s
inaugural green bond, as well as the Cellnex Rights Issue and Convertible 8.3% 8.3%
Bond
Mediobanca has been awarded the “best Italian ECM bank of the year”
prize by Global Capital for the fourth year in a row and was recognized as
the best Equity House for US, UK and European funds who want to access top MB GS BofA IMI UCG Citi JPM HSBC UBS UBI
Italian issuers
Selected DCM Transactions since July 2019 DCM Italy FY20 (Bookrunner)
May 2020 Social Housing February 2020 January 2020 October 2019 September 2019
Bond
25.9%
# of deals priced as percentage of
Tender offer on:
£ 495m 6.416% callable in Feb-2022
Inaugural Green Bond:
Senior dual-tranche: € 750m € 750m 10.125% callable in Jul-2022
€ 1,000m
€ 1,000m
1.250% May 2026
€ 750m
1.000% Senior Unsecured Bond
1.700% 60.5NC5.5 Senior Preferred Bond
€ 1,250m 7.750% callable in Dec-2022
19.8%
due February 2030
Green Hybrid Bond 0.300% October 2026 Inaugural Green issue:
18.3%
total deals priced
€ 1,000m due July 2080 € 750m Subordinated Tier 2 Bullet Notes
2.000% May 2031 2.124% due October 2030
Joint Bookrunner
Joint Bookrunner Joint Bookrunner Joint Bookrunner
Dealer Manager & Joint
Bookrunner
16.2%
14.2%
13.2%
Selected ECM Transactions since July 2019 12.2% 12.2% 11.7%
10.7%
Italy 2020 Italy 2020 Italy 2020 Italy 2019 Spain 2019
€ 500m € 46m € 562m € 300m € 2,500m
Rights Issue
Convertible Bond ABB ABB Rights Issue
€ 850m
Convertible Bond
Joint Bookrunner Joint Bookrunner Joint Bookrunner JGC & JBR Joint Bookrunner UCG IMI BNP SocGen MB CASA JPM BAR GS BofA
44 Source: Dealogic, Bond Radar as of June 2020 – No self dealsAGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investing
Annex
1. 2020 Group figures by divisionsPRINCIPAL INVESTING
RATIONALE & OPPORTUNITIES
Principal Investing Section 1.e
AG: high-quality investment (A-rated by Fitch) with sound financial performance:
AG BP 2018-21 targets: EPS CAGR range +6-8%; payout range 55-65%
Consensus:¹ steady growth in net profit (4YCAGR 2019-23: +2%)
Investment rationale:
EPS accretive, revenues stabilizer, ROAC above cost of capital
Principal Strong value option as a readily available K-source for potential business
Investing growth and transactions
Fully integrated in MB Group diversified business model by
Revenue source (insurance business)
Capital source (re-deployable in banking business when needed)
46 1) Consensus as at November 2019PI: SOURCE OF REVENUE AND CAPITAL
Principal Investing Section 1.e
PI EQUITY EXPOSURE Assicurazioni Generali
REVENUES/EPS STABILIZER PROFITABLE INVESTMENT
Double-digit ROAC1
AG contribution to AG contribution to
Book Value (as at June 2020, € bn) Group revenues Group net profit
11% 11% 11%
Ass.Generali 35%
3.2
12%
FY16 FY19 BP23T
Other
investments
0.7 CAPITAL-ACCRETIVE
READILY AVAILABLE
with significant revenue
contribution CAPITAL-SOURCE
for scale acquisitions
AG revenues pro-rata €m
320 304
255 264 280 NO PRESSURE
FROM REGULATION
(Danish Compromise extended)
FY16 FY17 FY18 FY19 FY20
1) Fully loaded, i.e. without Danish Compromise
47AGENDA
1. MB Group profile
a) Group KPIs
b) Wealth Management
c) Consumer Banking
d) Corporate & Investment Banking
e) Principal Investment
Annex
1. 2020 Group figures by divisions12M RESULTS BY DIVISION AS AT 30 JUNE 20
12m figures as at June 20 Annex 1
Wealth Consumer Principal Holding
12m- June20 (€m) CIB Group
Management Banking Investing Functions
Net interest income 271 948 271 (7) (55) 1,442
Net treasury income 7 — 78 16 38 136
Net fee and commission income 306 123 226 — 11 630
Equity-accounted companies — — — 304 — 304
Total income 584 1,071 575 313 (7) 2,513
Labour costs (237) (102) (141) (3) (117) (599)
Administrative expenses (214) (201) (135) (1) (56) (590)
Operating costs (451) (303) (276) (4) (173) (1,189)
Loan loss provisions (21) (325) (20) — (10) (375)
Provisions for other financial assets (1) — (4) (11) (6) (21)
Other income (losses) 2 (5) — — (64) (133)
Profit before tax 114 438 275 298 (259) 795
Income tax for the period (33) (141) (92) (3) 76 (191)
Minority interest (1) — (2) — (1)
(4)
Net profit 80 297 181 295 (184) 600
Customer loans 13,184 13,037 18,644 — 1,820 46,685
RWAs 4,952 11,801 20,028 8,122 3,128 48,030
No. of staff 2,021 1,441 630 11 817 4,920
49INVESTOR CONTACT DETAILS
Mediobanca Group
Investor Relations
Piazzetta Cuccia 1, 20121 Milan, Italy
Jessica Spina Tel. no. (0039) 02-8829.860
Luisa Demaria Tel. no. (0039) 02-8829.647
Matteo Carotta Tel. no. (0039) 02-8829.290
Marcella Malpangotto Tel. no. (0039) 02-8829.428
Email: investor.relations@mediobanca.com
http://www.mediobanca.com
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