11 gfnorte november 2008.. 2 yearly recap net income net interest margin roa roe book value past due...
TRANSCRIPT
11
GFNORTE
November 2008.
2
Yearly Recap
Net Income
Net Interest Margin
ROA
ROE
Book Value
Past Due Loan Ratio
MILLION PESOS
3Q083Q07
1,740 15% 2,007
22.3% 21.8%
2.6% 2.4%
Efficiency Ratio 55.4% 48.0%
7.7% 7.7%
1.5% 1.7%
Reserve Coverage 132% 123%
15.98 18.4415%
3
Income Statement
MILLION PESOS
Net Interest Income
Service Fees
Recovery
Non Interest Income
Total Income
Non Interest Expense
Net Operating Income
Non Operating Income, Net
Income Tax
Net Income
Provisions
Subs & Minority Interest
FX & Trading
2Q08 QoQ YoY3Q07 3Q08
1,712
117
160
1,989
7,221
(3,903)
3,318
551
(751)
1,806
(1,255)
(57)
5,2324,435
1,520
119
1,939
6,374
(3,607)
2,767
527
(806)
1,740
(709)
(39)
300
5,756
1,682
223
2,028
7,784
(3,736)
4,048
593
(982)
2,007
(1,653)
1
123
10%
(2%)
90%
2%
8%
(4%)
22%
7%
31%
11%
32%
102%
(23%)
30%
11%
88%
5%
22%
4%
46%
12%
22%
15%
133%
103%
(59%)
4
Subsidiaries
NET INCOME IN MILLION PESOS
Bank
Broker Dealer
Insurance / AFORE
Other Finance Companies
Total
2Q08 QoQ YoY3Q07 3Q08
143
63
85
1,806
1,5221,545
72
66
55
1,740
1,802
58
111
60
2,007
18%
(59%)
76%
(29%)
11%
17%
(19%)
67%
8%
15%
Microlending (7)2 (24) - (1,214%)
Holding 1- - (108%) -
5
Quarterly Net Income
MILLION PESOS
1,685
4Q07
1,928
1Q08
1,806
2Q08
2,007
3Q08
1,740
3Q07
6
Core Earnings
1,758
3Q07
2,138
1Q08
2,134
4Q07
(NII + Fees – Expenses – Provisions)
MILLION PESOS
1,903
2Q08
2,272
3Q08
7
Non Interest ExpenseBILLION PESOS
EFFICIENCY RATIO
Interest Income
3Q07
6.3
3Q08
7.722%
Non Interest Expense 3.6 3.74%
57%
9M07
52%
9M08
55%
3Q07
48%
3Q08
8
PERCENTAGE
NIM
113%
95%
Cetes
Cetes
NIM
1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08
7.1
7.0 7.17.2 7.4
7.5 7.78.2
7.4
7.97.5
7.5
8.1
7.7
Net Interest Margin vs CETES
9
Deposits
Demand
Time *
Total
3Q083Q07
108
134
241
97
86
183
BILLION PESOS
2Q08
107
114
221
QoQ
Change
YoY
11%
56%
32%
1%
17%
9%
* Retail time deposits plus money market promissory notes.
10
2Q07 3Q07 4Q07 1Q08 2Q08 3Q08
10
Funding Evolution
Demand
Time *
Interbank
49%
39%
12%
47%49% 45% 43%
42%41% 41%
47%11%
10% 15%10%
Retail and Wholesale Deposits
(Billion pesos)
206.6 205.3226.2 231.5
246.0
41%
51%
9%
264.8
10* Retail time deposits plus money market promissory notes.
11
BILLION PESOS
Performing Loan Portfolio
3Q07 2Q08 3Q08 QoQChange
YoY
Commercial
Corporate
Government
Total
Consumer
26%8%
47%6%
42%4%
31%6%
26%5%
85
45
25
230
74
79
43
24
217
71
68
31
18
175
59
3Q07 2Q08 3Q08
175217 230
12
Consumer Loan PortfolioBILLION PESOS
Car Loans
Credit Card Loans
Payroll Loans
Consumer
Mortgage Loans
3Q07 2Q08 3Q08YoY
ChangeQoQ
12%3%
29%2%
18%8%
26%5%
29%6%
8
16
7
74
43
8
16
7
71
40
7
13
6
59
33
3Q07 2Q08 3Q08
59 71 74
1313
Loan Portfolio Breakdown
3Q07 3Q082Q08
Mortgage
Credit Card
Payroll /Personal
Car
Commercial
Corporate
Government
19
4
7
3
39
18
10
19
4
7
3
36
20
11
19
3
7
3
37
20
11
PERCENTAGE
3Q06
22
5
6
4
36
17
10
1414
Loans to Deposits Ratio
Total Loans / Total Deposits
97%
4Q07
98%
3Q07
103%
1Q08
100%
2Q08
95%
2Q07
90%
1Q07
97%
3Q08
15
Asset Quality
Past Due Loans
Loan Loss Reserves
RESERVECOVERAGE
PAST DUE LOANRATIO
Total Loan Portfolio
BILLION PESOS
2Q08
3.2
4.2
220
3Q07
2.7
3.6
180
3Q08
4.0
4.9
233
123%132% 131%
3Q07 2Q08 3Q08
1.7%1.5% 1.5%
3Q07 2Q08 3Q08
16
New Reserve Requirements
CNBV instructed the banks to increase the reserves on credit
cards with zero missed payments from 0.5% to 2.5%:
2Q08: $103 million pesos against equity.
3Q08: $121 million against P&L.
4Q08: $122 million against P&L.
Possible increase in 2009.
2.5% to 4%.
Response to increase in delinquencies.
Growth in this product will slow down.
17
Provisions
As a % of Average Gross Loan Book
2.9%*
1.6%2.4%
3Q07 2Q08 3Q08
2.6%
Recurring
* The non recurring item corresponds to Ps $121 million from a new requirement by the authorities.
18
Past Due Loans
3Q07
Payroll
Car
Mortgage
Credit Cards
1.8%
1.8%
2.4%
5.5%
2Q08
2.0%
1.7%
1.5%
6.7%
3Q08
9.0%
1.9%
1.8%
Commercial 1.2% 1.1%
Corporate 0% 0%
Government 0% 0%
1.6%
1.3%
0%
0%
19
Capitalization
Tier 1
Tier 2
TOTAL
3Q06 3Q07 3Q08
% Tier 1
11.0%
3.9%
14.9%
74%
12.6%
2.3%
14.9%
84%
10.6%
5.2%
15.8%
67%
20
Inter National Bank
3Q07
Deposits
Net Income (70%)
ROE
Performing Loans
1,269
4.2
20.9%
928
3Q08
1,415
5.0
20.9%
1,084
Efficiency 42.2% 42.8%
NIM 4.4% 4.2%
MILLION DOLLARS IN US GAAP
YoY
12%
19%
17%
2Q08
1,420
4.1
18.3%
1,018
43.9%
4.1%
QoQ
0%
20%
6%
21
Banorte’s medium term strategy.
Adequate reading of environment.
Maintain solid fundamentals.
- Deposits - Costs
- Capitalization - Collections
- Asset Quality - Liquidity
Moderation in growth strategy / investments.
Strict risk management practices.
Anticipate market opportunities.
Final Considerations
