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UNICREDITO ITALIANO GROUP 2002 Consolidated Results Alessandro Profumo - CEO

UNICREDITO ITALIANO GROUP 2002 Consolidated Results Alessandro Profumo - CEO. March, 17 th 2003. AGENDA. 2002 Group Highlights S3 up-date 2003 Outlook. DESPITE WORSE THAN EXPECTED ECONOMIC SCENARIO AND INTERNAL RESTRUCTURING WE CONFIRM OUR REVENUE GENERATION AND COST CONTROL CAPABILITY ….

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UNICREDITO ITALIANO GROUP 2002 Consolidated Results Alessandro Profumo - CEO

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  1. UNICREDITO ITALIANO GROUP2002 Consolidated ResultsAlessandro Profumo - CEO March, 17th 2003

  2. AGENDA 2002 Group Highlights S3 up-date 2003 Outlook

  3. DESPITE WORSE THAN EXPECTED ECONOMIC SCENARIO AND INTERNAL RESTRUCTURING WE CONFIRM OUR REVENUE GENERATION AND COST CONTROL CAPABILITY … TOTAL REVENUES (Euro mln) Quarterly evolution At unchanged FX (1) 10,122 10,099 +1.9% +1.6% +2.7% COST/INCOME RATIO % -0.2% 2,472 2,408 53.7% excl. S3 one-off costs 2001 2002 3Q02 4Q02 54.3 52.9 OPERATING EXPENSES Quarterly evolution (Euro mln) +4.2% +2.4% +4.6% 5,483 5,353 +5.0% 2001 2002 1,441 1,372 2001 2002 3Q02 4Q02 (1)Calculated on the FX of all the currencies of New Europe countries where UCI is present with fully consolidated banks.

  4. … LEADING TO A SATISFYING NET INCOME GROWTH (+1.9% ON 2001). GOOD PROFITABILITY LEVELS ACHIEVED (ROE AT 17.2% IN 2002) OPERATING INCOME (Euro mln) Quarterly evolution At unchanged FX 4,616 4,769 -1.6% -1.3% -0.5% ROE (1) % -3.2% 1,031 1,036 18.4 17.2 2001 2002 3Q02 4Q02 NET INCOME (Euro mln) +1.8% Quarterly evolution +1.9% 2001 restated 2002 -21.5% 1,801 1,767 -20.2% 441 352 2001 2002 3Q02 4Q02 (1)Calculated on end of period net equity excluding profit for the period.

  5. FURTHER ENHANCED DIVERSIFICATION OF REVENUES: THE WEAKNESS OF “TRADITIONAL BANKING” IS WELL COUNTEBALANCED BY THE STRONG DEMAND OF INNOVATIVE CORPORATE PRODUCTS REVENUE COMPOSITION BY BUSINESS AREA (Net of infra-Group dividends and of Corporate Center & Elisions negative contribution) 2001: Euro 10,517 mln 2002: Euro 10,255 mln 0.2% 0.2% New Initiatives 17.0% New Europe Banking 16.3% Asset Management 4.6% 4.9% Investment Banking 5.8% 7.3% Italian Banking 72.4% 71.3% 2001 2002

  6. TOTAL DEPOSITS DOWN 4.8% Y/Y IMPACTED BY FUNDING POLICY (-20.7% Y/Y ON BONDS) AND BY MARKET PERFORMANCE OF MANAGED FUNDSCUSTOMER LOANS DECREASE BY 4.6% Y/Y DUE TO SELECTIVE LENDING POLICY TOTAL DIRECT AND INDIRECT DEPOSITS (Euro bn) • Customer deposits down 3.6% y/y mainly hit by an approx. 21% decrease in bonds and by a negative trend on deposits in New Europe, impacted by the Zloty devaluation (-10.5% y/y, -1.3% at unchanged FX). • Indirect deposits down 5.5% y/y due to a decrease both in administered (-1.3% y/y) and managed funds (-9.6% y/y, -10.8 bln). This last trend is determined by 2002 negative market performance and FX impact (total impact: approx. -14.5 bn) not counterbalanced by positive inflows in 2002 (approx. +3.5 bln). 353.6 336.6 -3.6% 131.5 Direct 126.7 -4.8% -5.5% Indirect 222.1 209.8 • Italian banking down 5.8% y/y mainly due to a substantial decrease of loans to financial institutions (-7.5 bln y/y) and to a reduction of higher risk exposures, exploiting the rationalisation of multiple credit lines resulting from the concentration of corporate relationships • New Europe division down 9.4% y/y (+1% at unchanged FX) mainly hit by Zloty devaluation and decreased lending in Pekao (-24.9%y/y, -13.6% at unchanged FX) counterbalanced by a substantial increase in the other NE banks (+41.4%, +43% at unchanged FX) • Good contribution of mortgages (+10.9% y/y) and leasing (+31.5% y/y) 2002 2001 TOTAL CUSTOMER LOANS (Euro bn) 119.4 113.8 -5.8% 94.1 Italian banking 88.7 -4.6% 10.9 12.1 -9.4% NE 13.2 -7.9% 14.2 Other 2002 2001

  7. STABLE NET INTEREST INCOME AT CONSTANT FX VS. 2001.SLIGHT SLOWDOWN IN 4Q DUE TO LOWER SHORT TERM LOANS NOT OFFSET BY WIDER SPREAD AND HIGHER CURRENT ACCOUNTS NET INTEREST INCOME BREAKDOWN (Euro mln) 2002 % ch. on 2001 4Q02 % ch. on 3Q02 Italian Banking 3,798 -2.5 931 -1.3 Wholesale Banking 7 n.m. 2 n.m. New Europe Banking 1,023 -6.5 268 6.3 1,023 +4.0 259 +0.4 At constant FX Corporate Center, New Initiatives & elisions 83 n.m.(1) 3 n.m. (1) Group Total 4,911 -1.5 1,204 -1.4 4,911 +0.7 1,196 -2.4 At constant FX Dividends & other income from equity investments 216 +127.4 49 +75.0 (1) Respective amounts in Euro mln: 17in 2001, 23 in 3Q02

  8. NET COMMISSIONS IMPACTED BY WEALTH MANAGEMENT, PARTLY BALANCED BY GROWING COMMISSIONS FROM CASH MANAGEMENT SERVICES AND FROM LENDING BUSINESS; IMPROVING Q4 VS Q3 TREND NET COMMISSIONS % Ch. on 2001 % Ch. on 3Q02 (Euro mln) 2002 4Q02 Wealth management 1664 -7.8 378 -0.5 Securities in custody 295 -13.4 89 +14.6 By nature Other services 1,231 +3.1 326 +6.0 TOTAL GROUP 3,190 -4.4 793 +3.8 3,190 -3.5 792 +3.5 At constant FX Italian Banking 2,273 -8.0 559 +7.3 Wholesale Banking 552 +2.2 132 -1.5 By Division (1) New Europe Banking 328 -4.7 89 +6.0 328 +5.8 88 +4.8 At constant FX (1)Balance of Total Commissions by Division due to New Initiatives & Corporate Center.

  9. EXCELLENT SALES OF INSURANCE PRODUCTS IN ITALY AND OF MUTUAL FUNDS ABROAD PARTLY OFFSET THE NEGATIVE MARKET IMPACT ON TOTAL AUMs AND ASSET MIX… … counterbalanced by positive sales (approx. Euro 3.5 bn) The negative impact of market trend on Total AuMs (approx. Euro 14.5 bn) and a less favourable Asset Mix … UCI TOTAL AuM ITALY 112.8 • Bancassurance (Euro bn) -9.6% 102.0 • 2002 Total New Premiums written: Euro 5,170 mln (+30.0% YoY), of which around one half in Capital Guaranteed UNISTAR (+51.2% YoY). 25.6 -9.8% 23.1 12.5 Insurance +22.7% 15.3 Segregated Accounts 27.6 -5.9% • Euro 237 mln Recurring Premiums written in 2002 (175 mln in 2001, +37%) 26.0 -9.5% Mutual Funds(1) -20.2% 47.1 • UCI’s leadership confirmed: 17.6% mkt share (vs 16.1% in 2001) in bancassurance; 11.8% mkt share (vs 11% in 2001) on total market 37.6 2001 2002 USA, New Europe & Intl. • Mutual Funds Italy PGAM AuM: Evolution by Asset Class 2002 Gross Sales 13% up on 2001: Euro 47.4 bn vs Euro 41.9 bn. 0.3% 0.6% Hedge USA, NEW EUROPE & INT. 42.9% 48.3% Equities • Record 2002 Net Sales in USA: Euro 3.3 bn, +140.7% YoY, despite the negative FX effect 13.1% Balanced 16.5% 28.4% • Strong Net Sales growth in the International Division (Euro 973 mln, + 63% YoY) and in New Europe (Euro 561 mln, +38%) Bonds 29.6% Money Market 15.0% 5.3% 2001 Avg. 2002 Avg. (1)Plain vanilla Mutual Funds distributed in Italy (Total AuM in Mutual Funds in Italy - including Mutual Funds in Segregated Accounts and Unit Linked - Euro 63.82 bn as at 31.12.2002 vs Euro 72.64 bn as at 31.12.2001, -12.1%)

  10. … MITIGATING THE DECREASE OF COMMISSIONS FROM WEALTH MANAGEMENT IN 2002; GOOD RESILIENCE IN Q4 VS Q3 NET COMMISSIONS from WM % Ch. on 2001 % Ch. on 3Q02 (Euro mln) 2002 4Q02 Mutual funds(1) 1,153 -12.9 254 -9.3 Segregated accounts (2) 204 -19.4 44 +25.7 Insurance products (2) 307 +35.2 80 +23.1 TOTAL Commissions from Wealth Management 1,664 -7.8 378 -0.5 • 2002 Total Commissions from Wealth Management (-7.8%) affected by Commissions from Mutual Funds (-12.9%) and from Segregated Accounts (-19.4%) trends, partly counterbalanced by the excellent performance of Commissions from Insurance Products (+35.2%) • Good performance in Q4 of Segregated Accounts (+25.7% Q4/Q3) and of Insurance Products (+22.7% Q4/Q3) offsetting the slowdown of Mutual Funds (-9.1% Q4/Q3) (1) Includes subscription and management fees from Plain Vanilla Mutual Funds and management fees from Mutual Funds in Segregated Accounts and in Unit Linked (2)Management fees related to Mutual Funds underlying Segregated Accounts and Unit Linked not included (see note 1)

  11. GOOD RESULTS (+9.3% y/y) FROM FINANCIAL TRANSACTIONS DRIVEN BY UBM INCOME FROM FINANCIAL TRANSACTIONS (Euro mln) % ch. 4Q/3Q02 % ch. on 2001 2002 4Q02 Italian Banking 266 -8.3 45 -29.7 Wholesale Banking 526 +7.3 89 -5.3 New Europe Banking 207 -9.6 63 +12.5 At constant FX 207 +1.0 62 +8.8 Corporate Centre, New Initiatives & elisions(1) 50 n.m. 22 n.m Group Total 1,049 +9.3 219 -0.9 -1.4 At constant FX 1,049 +12.1 218 (1) Respective amounts in Euro mln: -49 in 2001, +4 in 3Q02

  12. IN A DIFFICULT SCENARIO FOR REVENUES UCI HAS BEEN ABLE TO CARRY OUT A TOUGH COSTS POLICY, RECORDING A 2.4% Y/Y INCREASE (+1.3% EXCLUDING S3 ONE-OFF COSTS) OPERATING COSTS BREAKDOWN (Euro mln) OF WHICH 58.1 MLN S3 ONE-OFF COSTS % ch. on 2001 % ch. 4Q/3Q02 2002 4Q02 +2.1 3,160 +1.8 808 Staff Costs 1,863 +1.4 480 +1.7 By Nature Other Costs 460 +11.7 153 +40.4 Depreciation GROUP TOTAL At constant FX 5,483 5,483 +2.4 +4.2 1,441 1,437 +5.0 +4.6 4,014 +5.1 1,075 +6.4 Italian Banking Investment Banking 242 +12.0 65 +27.5 By main Divisions Asset Management 343 -9.5 86 +1.2 New Europe Banking At constant FX 825 825 -10.2 -0.5 235 231 +20.5 +16.7

  13. NON OPERATING ITEMS CHARACTERISED BY SUBSTANTIAL INCREASE IN PROVISIONS AND WRITE-DOWNS OF FINANCIAL INVESTMENTS PARTIALLY OFFSET BY EXTRAORDINARY INCOME (Euro mln) • Euro 979 mln Specific provisions (of which write-downs for Euro 1,489 mln and write-backs for Euro 510 mln), up 34.8% vs. 2001 mainly due to higher provisions of Group Pekao (366 mln, +110% y/y) • Euro 10 mln for possible loan losses 4,616 -245 -989 -462 +359 -1,317 • Tax Rate at 40.1% • Net Write-downs of Financial Investments Euro 295 mln, of which 133 mln for Kataweb and 89 mln for Commerzbank • Provisions for risks & charges Euro 163 mln • Disposal of Real Estate Properties forEuro 99 mln • Disposal of Investments for Euro 86 mln • Euro 217 mln of release of reserves previously created -161 1,801 Operating income Goodwill amort. Net loan loss prov. Other net prov* Net extr. income Taxes Minorities Net Income * Net write-downs of financial investments, Provisions for risks and charges, Provision to Reserve for General Banking risks

  14. SLIGHT DETERIORATION OF ASSET QUALITY AS A CONSEQUENCE OF A TOUGH MACROECONOMIC ENVIRONMENT; INCREASED COVERAGE RATIOS DUE TO CONSERVATIVE PROVISIONING POLICIES Net NPLs and Doubtful Loans as % of Total Net Loans Coverage ratios 60.8% 3.66% 3.31% 58.9% 48.3% 46.1% 1.85% 1.61% Dec 01 Dec 02 Dec 01 Dec 02 Net Doubtful Loans/ Total Net Loans Net NPLs/ Total Net Loans On Gross Doubtful Loans On Gross NPLs • Conservative provisioning policies (particularly in New Europe), lead to increased coverage ratios both on Gross NPLs and Total Gross Doubtful Loans Dec 01 Dec 02 % Ch. (Euro mln) Net NPLs 1,923 2,104 +9.4 • In Italian Banking stable coverage ratio on Gross NPLs (46.3%) and increasing on Total Gross Doubtful Loans (38.0% vs 37.8%, +26bp) Other Net Doubtful Loans 2,024 2,066 +2.1 • Deterioration of asset quality in Italy fully forecasted, as a result of the difficult economic environment Total Net Doub. Loans 3,947 4,170 +5.6

  15. ASSET QUALITY IN NEW EUROPE WITH MIXED EVOLUTION, NEGATIVELY IMPACTED BY PEKAO’S RESULTS Net NPLs and Doubtful Loans as % of Total Net Loans Coverage ratios Net Doubtful/Loans % 2002 Net NPL/ Loans % 2002 81.5 ch. on Dec01 (pp) ch. on Dec01 (pp) 78.9 At unchanged FX 64.6 58.8 Pekao 3.8 11.3 +1.5 +2.4 Bulbank 0.2 3.3 -0.3 -3.9 Zaba 2.9 5.4 -2.0 -2.2 2001 2002 Unibanka 4.4 5.3 -2.4 -6.3 On Gross Doubtful Loans On Gross NPLs Total NE +0.5 3.5 9.0 +0.3 • Net Doubtful/Loans ratio up 0.3% on Dec01 impacted by deteriorated macroeconomic environment and Szczecin exposure in Pekao nearly counterbalanced by an improvement in all other NE banks (Zaba -2.2pp, Bulbank • -3.9pp, Unibanka -6.3pp onDec01) At unchanged FX Dec 01* Dec 02 % ch. (Euro mln) +5.0 991 Net Doubtful Loans 944 Net NPLs +17.0 • Slight increase in net loans (+1.0% on Dec01) 324 379 • Increased coverage ratio both on gross doubtful loans and on gross NPLs Net Loans +1.0 10,842 10,947 (*) Excluding UniCredit Romania

  16. DIVISIONAL CONTRIBUTION TO GROUP NET INCOME GOODWILL AND HOLDING CHARGES: - 245 goodwill depr. - 274 holding loss (net of dividends), of which 184 negative interest income (Euro mln) 228(1) -85 2,242 -441(1) 127(1) -14.9% +39.3% 292(1) -5.8% -28.2% +76.4% +35.2% 1,680(1) 1,801 -10.9% +1.9% Inv. banking(3) Pioneer Group(4) Corp. Centre & elisions(7) New Europe banking(5) New Initiatives(6) Italian banking(2) Total pre-Corp. Centre Group total Wholesale banking (1)Net of infragroup dividends. Goodwill depreciation is fully charged to Corp. Centre (2) UniCredit Banca, Banca dell’Umbria, CRCarpi, Unicredito Gestione Crediti, BMC, Adalya Banca Imm. Spa, Banque Monegasque, Unicredit Suisse, BAC Marino, CRTS Zagabria, RoloPioneer Lux, Rolo Pioneer Sgr, Unicredit Fondi, Pioneer inv. Management SA, S+R Investimenti, Fida Sim, FRT Sim, Fid. Cordusio, BAC Fiduciaria, CRV Ireland, CRTS Ireland, Uniriscossioni, Quercia Funding, Unicredit Servizi informativi, Unicredit Prod. Acc., Trivimm, Quercia Software (3) UBM, TradingLab, Euro Capital Structures (4) Group Pioneer Global Asset Management Spa, Unicredit Capital Italia Spa (5) Group Pekao, Bulbank, Unibanka, Group Zagrebacka, UniCredit Romania (6) Xelion, Clarima (7) Parent Company, other financial companies and elisions

  17. POSITIVE VALUE CREATION AND FURTHER STRENGTHENING OF CAPITAL BASE CORE TIER 1 RATIO (considering all RWA) TOTAL CAPITAL RATIO (considering all RWA) TOTAL RWA From Euro 143.4 bn (Dec 01) to Euro 138.1 bn (Dec 02), -3.7% From 6.06% (Dec 01) to 7.10% (Dec 02) From 10.96% (Dec 01) to 11.64% (Dec 02) Shareholder’s value added (c) =(a)-COE(2) Value added per unit of risk taken (c)/(b) NOPAT (a) Risk taken(1) (b) MARGINAL RARORAC % CAPITAL ABSORPTION VALUE CREATION RARORAC % NOPAT (Euro mln) 1,641 Group total(3) 8,979 654 7.3 11.4 1,594 6,346 1,023 16.1 16.4 Italian banking 315 904 129 14.3 38.0 Wholesale banking 136 936 46 4.9 13.1 New Europe banking -94 New Initiatives 9 -96 n.m. n.m. (1) Minimum regulatory capital, market risks, credit risks and operational risks (2) The Cost of Equity is related to the capital employed (Net equity for the Group and allocated capital for the business units) (3) Balance due to Corporate Center and Other companies, respectively -311 for NOPAT, 784 for Capital absorption and -448 for Value Creation

  18. SUMMING UP • Confirmed high profitability (ROE at 17.2%) even in a tougher than expected environment • Diversification of revenue sources enabled to keep revenues stable vs. 2001 (-0.2%) • S3 one-off costs partially counterbalanced by strict cost-control policies. Efficiency still at excellence levels (Cost/Income at 54.3%) • Substantial increase of loan loss provisions (+34.8% y/y) mainly driven by Pekao, with improved asset quality indicators at Group level (coverage ratio on gross NPLs at 60.8% from 58.6% in 2001) • Proposal to increase dividend per share from 0.141 Euro to 0.158 Euro

  19. AGENDA 2002 Group Highlights S3 up-date 2003 Outlook

  20. UNICREDIT BANCA: GOOD COMMERCIAL RESULTS IN THE FIRST TWO MONTHS OF 2003 KEY “STARTING” FIGURES FIRST 2 MONTHS ACHIEVEMENTS 6.2 mln CUSTOMERS, of which • Brilliant sales in first 2 months of 2003 vs. 4Q, traditionally strong in terms of sales: • 670 mln avg. monthly sales of third parties bonds +27% vs. 4Q02 • avg. monthly sales of bancassurance: 442 mln single premiums (+61% vs. 4Q02) and 42 mln recurring premiums (+180% vs. 4Q02) 4.8 mln mass mkt 0.9 mln affluent 0.5 mln SB 3,600 salespeople 2,500 financial consultants 1,300 account managers • Increase in household’s mortgages, stability in current accounts volumes Around 37 bn Euro of total loans Around 32 bn Euro of current accounts • Good pricing ability, keeping spread stable • Lower than expected extraordinary costs for incentivisation to leave Around 97 bn Euro of indirect deposits • Start-up of customer retention project: monitoring marginal and sleeping customers behaviours to re-activate relationships MAIN PROJECTS UNDERGOING • Focus on the 2 riskier customer classes (representing around 5% of the total loans but 29% of the total expected loss), to reduce exposure and drive down cost of risk

  21. THE CORPORATE BANK: KEY “STARTING” FIGURES ANDFIRST RESULTS KEY “STARTING” FIGURES FIRST 2 MONTHS ACHIEVEMENTS • Increased customers loans relative to end 2002 (+1.6%) despite rationalization of lending portfolio • Around 3,500 employees • 210 branches articulated in 4 commercial regions • Improved pricing on loans: mark up at 2.66 in February (+ 11 bp vs January) • 900 account managers • 50 teams of foreign services consultants • Derivatives: around 10% customer base increase, with good increase in volumes and gross margins up 25% vs. same period in 2002 • Around Euro 40 bn of total loans • Around 92,000 total customers: • around 55,000 represent the bank core customers (non financial enterprises with a turnover of at least 1.5 mln Euro) • out of these, 40,000 have outstanding • loans PROJECTS • Key clients: new service model to support origination of value added products (corporate finance, derivatives, asset finance etc.) • UBI’s core active customers: • represent 40% of the total Italian market* • on those, UBI has an exposure of 10.2% • of their outstanding loans portfolio** • Foreign transactions services: dedicated team to increase mkt share on foreign payments and collections, also through synergies with UCI New Europe network Note: Management accounts figures *UBI estimates **Bank of Italy Credit Bureau (Centrale Rischi)

  22. UCI PRIVATE BANKING IS PERFECTLY ON TRACK KEY “STARTING” FIGURES FIRST 2 MONTHS ACHIVEMENTS • More than 150 branches • Around 500 net acquisitions of clients • Around 550 Bankers • Around Euro 700 mln Total Gross Sales of AM products and Euro 100 mln of structured bonds • Around 95,000 customers, around 40,000 families • Total Direct and Indirect Deposits stable on 31.12.2002 levels despite negative market performance (around –2%) • Around Euro 36 bn Direct and Indirect Deposits • Market Shares*: • 1.8% in AM • 2.4% in Mutual Funds • 2.5% in Securities in Custody • Good start of the second “tax-amnesty” for the repatriation of capitals managed in foreign countries, with the acquisition of 97 mandates (+10% on first 2 months of the previous tax amnesty) Breakdown of Total Dir. & Ind. Deposits + Loans (as at 1.1.2003) 1% 7% 48% 44% • Start-up of joint-project with UCI Banca d’Impresa for a combined offer of Corporate and Private services to entrepreneurs Assets under Management Securities in Custody Liquidity Loans Note: Management accounts figures * Source (for Total Italian Market): Internal calculations on Assogestioni and BankIT data

  23. AGENDA 2002 Group Highlights S3 up-date 2003 Outlook

  24. UCI HAS CONSIDERED TWO DIFFERENT MACROECONOMIC SCENARIOS FOR 2003 BASE SCENARIO (60% likelihood1) ADVERSE SCENARIO (35% likelihood1) Gradual improvement of macroeconomic fundamentals coupled with no or quick (less than 3 months) war in Iraq Economic & political scenario Still weak macroeconomic fundamentals coupled with a war in Iraq longer than 3 months Real GDP growth: +1.0% +0.2% - in Italy +2.1% +1.0% - in Poland 2.50% 1.75% Refi ECB (as at 31.12.2003) +5.5% +4.2% Avg. Loans growth (2) Avg. Deposits growth (2) +5.6% +8.0% 4.29% (-5bp on 2002) 4.18% (-16bp on 2002) Avg. Sh. Term Spread (2) Mutual Funds Perf. (3) +3.7% (on 31.12.2002) -3.0% (on 31.12.2002) (1)Balance (5% likelihood) attributed to a more positive scenario (2)Data related to the whole Italian Banking System (3)Calculated on the whole stock of Mutual Funds in Italy (“perimetro Assogestioni”)

  25. WE ARE ACTIVELY WORKING IN ORDER TO PRESERVE NET INCOME GROWTH EVEN IN THE ADVERSE SCENARIO UCI 2003 BUDGET (Base Scenario) IMPACTS OF THE ADVERSE SCENARIO (pre contingency plan) Moderate increase on 2002: increased market shares in loans and deposits in Italy offsetting slightly lower spreads ~ -100 Euro mln. vs Base Scenario Net interest Income Growth related to increased net commissions (due to sales of high value added products, synergies among the segment-banks and growth of foreign- trade services) and income from financial transactions from Corporate Banking ~ -260 Euro mln. vs Base Scenario Net Non-interest Income Moderate growth mainly due to S3 one-off costs and launch of strategic projects in the 3 segment banks. Tight control on ordinary costs Savings for ~ 60 Euro mln costs directly linked to lower revenues Operating Costs In line with 2002, including 2002 extraordinary provisions Overall decreasing; moderate growth on 2002 levels net of extraordinary provisions (i.e. Pekao and alignment of provisioning criteria in the 7 banks) Loan Loss Provisions

  26. Annex

  27. FY02 CONSOLIDATED INCOME STATEMENT % ch. on FY01 % ch. on 3Q02 (Euro mln) FY02 4Q02 Net interest income (incl. div.) +0.9 +0.3 5,127 1,253 Net non interest income -1.3 +5.2 4,972 1,219 Total revenues 10,099 -0.2 2,472 +2.7 Administrative costs (incl. depr.) +2.4 +5.0 5,483 1,441 4,616 1,031 -3.2 -0.5 Operating income Goodwill depr. -11.6 -6.3 245 59 Net write-down of loans +34.8 +84.5 979 321 Other net provisions* +32.6 n.m. 472 309 Net extraordinary income +69.3 n.m. 359 218 Taxes -17.5 -42.0 1,317 178 Minorities -37.8 -38.0 161 31 1,801 352 +1.9 -20.2 Net income (*) Including provisions to reserve for general banking risk

  28. ITALIAN BANKING DIVISION: 2002 INCOME STATEMENT % ch. on FY01 % ch. on 3Q02 (Euro mln) FY02 4Q02 Net interest income (incl. div.) -3.3 -1.2 3,790 924 Net non interest income -4.6 +8.3 3,524 889 Total revenues 7,314 -3.9 1,813 +3.2 Administrative costs (incl. depr.) +5.1 +6.4 4,014 1,075 3,300 738 -13.0 -1.1 Operating income Net write-down of loans +14.3 +81.2 489 183 Other net provisions* +50.7 n.m. 75 38 Net extraordinary income n.m. n.m. 84 80 Taxes -15.7 +11.3 1,125 237 1,695 360 -10.6 -9.1 Net income 1,680 357 -10.9 -8.9 Net income for the Group (*) Including provisions to reserve for general banking risk

  29. WHOLESALE BANKING DIVISION: 2002 INCOME STATEMENT % ch. on FY01 % ch. on 3Q02 (Euro mln) FY02 4Q02 Net interest income (incl. div.) n.m. n.m. 112 31 Net non interest income +1.8 -2.5 1,137 238 Total revenues 1,249 +13.9 269 +8.9 Administrative costs (incl. depr.) -1.7 +11.0 585 151 664 118 +32.3 +6.3 Operating income Net loan loss provisions +66.7 n.m. 5 2 Other net provisions* +18.2 n.m. 26 13 Net extraordinary income n.m. n.m. 21 -1 Taxes +26.8 -14.6 232 35 422 67 +45.5 -17.3 Net income 419 66 +45.5 -17.5 Net income for the Group (*) Including provisions to reserve for general banking risk

  30. WHOLESALE BANKING DIVISION INCOME STATEMENT: CONTRIBUTION BY COMPANY (Euro mln) TOTAL INVESTMENT BANKING(1) ASSET MANAGEMENT (PGAM+UCI Capital Italia) TOTAL WHOLESALE BANKING (2) UBM T.Lab Interest margin (incl. div.) 69 63 132 -20 112 Net non interest income 510 105 617 520 1,137 579 169 749 500 1,249 Total revenues Administrative costs (incl. depr.) 165 75 242 343 585 91 22 114 179 293 of which: Staff 415 94 507 157 664 Operating income Extraordinary Income 5 1 5 16 21 167 37 204 28 232 Tax expenses 238 56 292 130 422 Net income Net income for The Group 238 56 292 127 419 C/I Ratio, % 28% 45% 32% 69% 47% (1) Balance due to roundings and to Euro Capital Structures (52% owned by UBM) (2) Balance due to roundings

  31. 412 267 13 10 117 5 - of which: Staff costs 214 14 16 69 3 315 - of which: Other costs NEW EUROPE BANKING: RESULTS BREAKDOWN BY BANK (Euro mln) Group PEKAO (53.2%) BULBANK (85.2%) UNI BANKA (76.3%) Group ZABA (81.9%) UniCredit Romania (99.8%) TOTAL (1) (UCI stake) Interest margin (incl. div.) 735 47 30 210 4 1,026 Net non interest income 457 34 11 134 7 642 1,192 81 41 343 12 1,668 Total revenues 544 32 28 212 9 825 Operating costs (incl. dep.) 648 49 13 131 3 843 Net operating income 382 -3 8 8 0 395 Net provisions 366 -3 6 9 0 377 - o/w: Net write-down of loans 195 40 5 103 3 345 Net income 106 34 4 83(2) 1(3) 228 Net income (UCI’s portion) ROE 12.7% 18.0% 8.3% 21.4% 18% 14.9% 45.6% 39.5% 68.3% 61.8% 72.6% 49.5% Cost/income (1) Balance due to roundings (2) UCI’s portion of Zaba’s Net Income for all FY02 (3) UCI’s portion of UniCredit Romania’s Net Income from the acquisition data

  32. FY02 CONSOLIDATED INCOME STATEMENT: PEKAO (Euro mln) % ch. on FY01 % ch. on 3Q02 FY02 4Q02 (UCI stake) Interest margin (incl. div.) 735 +2.7 178 -2.8 Net non interest income -3.5 457 139 +13.5 -4.1 210 58 +8.6 - of which: Net commissions -11.6 140 42 -6.2 - of which: Trading profits +0.2 1,192 317 +3.7 Total revenues -6.0 544 142 +8.7 Operating costs (incl. dep.) -11.0 267 62 -2.4 - of which: Staff costs -3.0 214 63 +22.0 - of which: Other costs +6.2 648 175 -0.0 Net operating income +126.0 382 94 +38.2 Net provisions +141.1 366 83 26.5 - of which: Net write-down of loans n.m. 36 -1 n.m. Extraordinary income -36.5 195 51 -32.8 Net income -33.5 106 28 -32.7 Net income (UCI’s portion) Tax rate, % 35.3 36.9 At unchanged FX

  33. FY02 CONSOLIDATED INCOME STATEMENT: ZAGREBACKA (Euro mln) % ch. on FY01 % ch. on 3Q02 FY02 4Q02 (UCI stake) Interest margin (incl. div.) +3.2 210 +2.3 57 Net non interest income +34.8 134 37 +40.2 +23.3 90 23 +2.5 - of which: Net commissions +59.4 51 16 n.m. - of which: Trading profits +12.9 343 93 +15.1 Total revenues +10.2 212 69 47.6 Operating costs (incl. dep.) +10.0 117 35 +23.9 - of which: Staff costs +2.5 69 23 +69.4 - of which: Other costs 131 24 -29.1 +17.5 Net operating income n.m. 8 19 n.m. Net provisions -32.8 9 16 n.m. - of which:Net write-down of loans n.m. 3 3 n.m. Extraordinary income +61.4 102 7 -73.7 Net income +62.0 83 5 -76.4 Net income (UCI’s portion) Tax rate, % 18.4 11.9 At unchanged FX

  34. ASSET QUALITY BY DIVISION Italian Banking NE Banking Others (1) Group Cons. (Euro mln) 2001 2002 2001 2002 2001 2002 2001 2002 2,761 3,073 1,675 2,053 245 236 4,681 5,362 Gross NPL % change on Dec. ‘01 +11.3 +22.6 -3.7 +14.5 Gross NPL/Tot. Gr. Loans,% 2.86 3.37 12.3 16.0 1.14 0.93 3.78 4.52 Net NPL/Tot. Net Loans,% 1.58 1.86 2.92 3.47 0.41 0.30 1.61 1.85 Total gross doubtful loans 4,306 4,773 2,558 2,803 459 488 7,323 8,064 % change on Dec. ‘01 +10.8 +9.6 +6.3 +10.1 2.85 3.34 8.71 9.05 1.02 0.88 3.31 3.66 Net Doubtful Loans/Tot. Net Loans,% Coverage ratios -on total gross NPL, % 46.3 46.3 78.5 81.5 64.9 68.2 58.6 60.8 37.8 38.0 58.8 64.6 53.2 54.9 46.1 48.3 -on tot. Gross doubtful loans, % (1) Mainly Locat, UniCredit Factoring and the Parent Company

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