ACKNOWLEDGED LEADER IN RUSSIAN FINANCIAL MARKET ROSBANK

Transcription

1 ACKNOWLEDGED LEADER IN RUSSIAN FINANCIAL MARKET ROSBANK March 2016

2 TABLE OF CONTENTS SOCIETE GENERALE GROUP GENERAL INFORMATION STRATEGIC PRIORITIES SOCIETE GENERALE IN RUSSIA ROSBANK FACTS AND FIGURES STRATEGY AND STRATEGIC TARGETS CORPORATE SOCIAL RESPONSIBILITY March 2016 P.2

3 SOCIETE GENERALE GROUP GENERAL INFORMATION STRATEGIC PRIORITIES SOCIETE GENERALE IN RUSSIA March 2015 С.3 P.3

4 SOCIETE GENERALE GROUP: GENERAL INFORMATION Founded in 1864 in France One of the world leading financial groups; the largest asset outside France is Rosbank 31 mln clients in retail banking and financial services 1 More than employees in 66 countries worldwide 1 Core business divisions: Retail Banking in France Best Bank in France 2, Best Global Structured Products House 2, Best Equity House in France 3 International Banking and Financial Services (IBFS) Global Banking & Investor Solutions(GBIS) 1 Information as of end Euromoney Awards for Excellence, July Euromoney Awards for Excellence, 2011, 2012 March 2016 P.4

5 SOCIETE GENERALE GROUP: STRATEGIC PRIORITIES THREE STRATEGIC PRIOTITIES FOR THE GROUP FURTHER IMPROVE CLIENT SERVICE, MAINTAIN LEADERSHIP IN INNOVATION 2015 GROUP PERFORMANCE RESULTS 1 : Significant growth in net banking income up 8.8%* compared with the year 2014 due to commercial dynamics in all business segments NET BANKING INCOME: EUR 25.6 bn CAPTURE GROWTH THROUGH BUSINESS DEVELOPMENT AND INCREASED SYNERGIES DELIVER SUSTAINABLE PROFITABILITY NET GROUP PROFIT: EUR 4 bn (+46,9% vs. year 2014) ASSETS: EUR bn Commercial cost of risk: 52 points (-9 points vs. year 2014) 2 Fully loaded Basel 3 (CET1) ratio: 10.9% (10.1% at end-2014) One stock profit: 3.94 EUR vs. 3 EUR in As of February 11 th, Excluding litigations, expressed in basis points at the beginning of the period, including operating leases. On an annual basis. 3 Excluding non-economic factors, gross profit per stock in 2015: 4.49 euro and 2.92 euro in 2014 * When adjusted for changes in Group structure and at constant exchange rate March 2016 P.5

6 SOCIETE GENERALE GROUP IN RUSSIA 1872: first investments into Russian enterprises: forge and metallurgical works in Donetsk, French-Russian metallurgical works in St Petersburg, shipyard construction in Nikolaev 1910: foundation of Banque Russo-Asiatique with the largest network in Russia (175 outlets) 1917: termination of business in Russia 1973: return to Russia, opening of representative office in Moscow 1993: foundation of Banque Societe Generale Vostok (BSGV) the first foreign bank to acquire the General License from the Central Bank of Russia 2003: creation of BSGV Leasing and launch of retail banking services; BSGV becomes a universal bank 2004: introduction of specialized subsidiaries: Rusfinance Bank (consumer loans) and ALD Automotive (car fleet leasing and management) 2005: acquisition of DeltaCredit bank, one of the leaders on the Russian mortgage lending market 2006: introduction of SOGECAP (insurance services); acquisition of 20% minority share in Rosbank, one of the leading players in the Russian banking sector : gradual increase of the share in Rosbank (up to 82,4%); finalization of assets consolidation in Russia: January 2011 Rusfinance and DeltaCredit become 100% Rosbank subsidiaries June 2011 BSGV is merged with Rosbank July 2011 New united Rosbank starts operating 2012: 140 years of Societe Generale presence in Russia 2014: increase of the share in Rosbank (up to 99.4%) 2014: 150 years of Societe Generale activities in the world 2014: Accepted the development strategy for years 2015:Transformation of the retail business (mortage and car loan) is completed March 2016 С.6 P.6

7 SOCIETE GENERALE IN RUSSIA: STABLE GROWTH AND PROFITABILITY A SOLIDLY ANCHORED BANKING GROUP Credit portfolio as of January 1 st, 2016 amounted to EUR 7.9 bn Deposit portfolio as of January 1 st, 2016 amounted to EUR 6.4 bn The same level* of operating expenses on an annual basis compared to 2014 year Societe Generale group is ranked no. 3 in the Russian market in terms of the retail loan portfolio Rosbank, Rusfinance Bank and DeltaCredit are the most creditworthy Russian issuers. In 2015, the total volume of bonds, issued by Russian group s banks, is RUB 66 bn In 2015, the Bank of Russia confirmed Rosbank's status as one of the 10 core credit institutions One of the best platforms of corporate and investment banking, mortgage and car loan business, professional team of top managers Risk management and compliance in accordance with international standards PRIORITIES: ORGANIC GROWTH AND SUSTAINABLE PROFITABILITY Attractiveness of banking market in the medium/long-term perspective: under-banked population, natural resources dynamics Focus on daily banking services, deposit collection and customer satisfaction in the retail segment Reinforcement of synergies for greater efficiency *All relative changes were calculated on a comparable basis. March 2016 P.7

8 SOCIETE GENERALE GROUP IN RUSSIA TODAY UNIVERSAL BANK CONSUMER LENDING One of the 10 core credit institutions 1 Top-51 important institutions of Russian payment services providers 1 One of the most reliable banks 2 #3 in trade financing in Russia and CIS 3 Top-10 in terms of capital, Top-13 in terms of assets among the Russian banks 4 1 According to CB RF, 2014, Forbes, Trade & Forfaiting Review, Interfax-100 Ranking «Banks of Russia in 2015» 5-6 Rankings of Societe Generale Group in Russia, Banki.ru December 2015 One of the leaders in consumer lending market One of the leading banks in car lending #2 in terms of auto loan portfolio 5 MORTGAGE The first specialized mortgage commercial bank in Russia #3 in Russia in terms of the volume or mortgage loans extended 6 March 2016 С.8 P.8

9 SOCIETE GENERALE GROUP IN RUSSIA TODAY LEASING FACTORING Top-10 biggest leasing companies in Russia in terms of new business volume 1 INSURANCE Represented by two companies in Russia: Societe Generale Life Insurance Societe Generale Insurance (property and life insurance) Top-7 on volume of assigned receivables in Russia 2 6 th biggest factoring company in Russia by the assignment amount 3 OPERATIONAL LEASING Leader in operational leasing Long-term lease, full service and car fleet management cars under management in Russia 1 According to preliminary data of the research of the Russian leasing market in Expert RA 2 According to preliminary data of the research of the Russian factoring market in Expert RA 3 According to preliminary data of the Association of Factoring Companies on the results of March 2016 С.9 P.9

10 ROSBANK FACTS & FIGURES STRATEGY AND STRATEGIC TARGETS CORPORATE SOCIAL RESPONSIBILITY March 2015 P.10

11 ROSBANK: FACTS AND FIGURES THE LARGEST INTERNATIONAL FINANCIAL STRUCTURE IN RUSSIA Societe Generale international financial group is the major shareholder of Rosbank (99.5%) STABLE AND SOLID FINANCIAL INSTITUTE Universal bank with global reach in Russia focused on all segments of clients BANK WITH A FULL RANGE OF PRODUCTS AND SERVICES, HAVING MARKET EXPERTISE, GIVING SUPPORT IN INTERNATIONAL ACTIVITY Trusted partner aimed at long-term relationship sharing the goals of its customers and striving to grow together with them March 2015 P.11

12 ROSBANK FACTS AND FIGURES Included in the Core Russian banks list of 10 banks (CBR ) Included in the Core Russian Payment services providers list of 51 institutions (a letter of CBR dated ) Included in the CBR list of 136 banks admitted to run accounts of companies of strategic importance, in accordance with the Federal Law- 213 (the list is published by the Central Bank of Russia dated , updated on a quarterly basis) National Award of the Association of Russian Banks in the category " The formation of the high-quality loan portfolio " (December, 2015) One of the most reliable banks according to the Forbes magazine (Forbes, 2015) #1 among the most expensive banking brands with foreign capital in Russia (Brand Finance rating, 2015) #3 «Best Bank in Trade Finance in Russia and the CIS 2015» (Trade & Forfaiting Review Excellence Awards, 2014) Rosbank Depositary - Best Sub-Custodian in Russia (the Global Finance magazine, 2015) The best deal in corporate bonds underwriting (Cbonds Awards, December 2015) The best deal in eurobonds underwriting (Cbonds Awards, December 2015) Strong clients database* >3.3 mln individual clients > corporate clients One of the largest retail networks in Russia* 71 regions of RF >450 outlets >2600 own ATMs > ATMs of other partner banks The best Bond Analyst (Cbonds Awards, December 2015) * As of March 2015 P.12

13 SOLID FINANCIALS: KEY INDICATORS FINANCIAL RESULTS 1 Capital RUB bn Assets RUB 920 bn 2 Corporate credit portfolio RUB 274 bn Retail credit portfolio RUB 182 bn Corporate clients accounts RUB 300 bn Individual clients accounts RUB 192 bn Normative of capital adequacy as of : Долгосрочный Краткосрочный Финансовой устойчивости Fitch Долгосрочный рейтинг дефолта эмитента Краткосрочный Baa3 3 D BBB- F3 H % (Central Bank min 5%) H % (Central Bank min 5,5%) H % (Central Bank min 8%) ) 1 As of December 31 ST, 2015 (RAS) 2 Without EARD March 2015 P.13

14 KEY PRIORITIES: PROFITABLE BUSINESS ON A SUSTAINABLE PLATFORM Rosbank has solid assets but needs to deliver substantial results Strong international brand Access to international expertise Significant client base Universal product range Wide regional presence Develop client base Increase functionality and usability of distant channels Increase sales productivity of network Upgrade processes and simplification of organizational structure Strong universal bank with federal reach SG Russia ROE 7,2% by 2017 >2.7 mln of active clients + 30% of large and medium-sized corporates by 2017 NEW STRATEGY OF ROSBANK IS BASED ON SOCIETE GENERALE GROUP STRATEGIC PLAN PRESENTED IN MAY 2014 March 2015 P.14

15 RETAIL BANK: INTUITIVE, CONVENIENT, ATTENTIVE, RELIABLE STRATEGIC INITIATIVES Acquisition machine Increase walk-in customers up to 870,000 annually Reanimate activity on payroll, with dedicated sales force and new services providing Improve cross-selling on Rusfinance, DeltaCredit and FILS partrners customers Obsession for Quality Introduce service commitments (focus on service speed and quality) Measure customer satisfaction and follow-up issues raised Train and motivate transversally Lending Efficiency Upgrade banking products and services for retail customers Automate processing on credit products Structure sales management Smart-Marketing Launch attractive daily banking (payments) offering Increase the number of clients with daily banking operations with accounts up to 55% Stimulate move to non-cash operations Service Differentiation Differentiate service for high network individuals (Affluent) Upgrade remote channels and move customers actively: 80% of all clients transactions to be carried out through remote channels, service 24/7 Integrate all customer service channels March 2016 P.15

16 RETAIL BUSINESS: STRONGER INTEGRATION OF SOCIETE GENERALE ENTITIES IN RUSSIA Mortgage lending Lending at car dealer centers Rosbank is the key bank of the Group, represents a universal business model, focuses on daily banking transactional products and services development (current accounts including overdrafts, loan repayments, payments, transfers, currency exchange etc.) Clients offer extension thanks to insurance products from Societe Generale Insurance DeltaCredit acts as mortgage platform of Societe Generale Group in Russia. Rosbank to propose to its customers DeltaCredit products and leverage on DeltaCredit expertise in product design, marketing, customers advice and servicing Rusfinance Bank to centralize and manage the relationship with car makers and dealers, to keep developing consumer lending. Rosbank to propose to its customers car loans in its outlets ROSBANK TO FOCUS ON DAILY BANKING TRANSACTIONS DEVELOPMENT, RUSFINANCE BANK AND DELTACREDIT ACT AS THE CENTERS OF COMPETENCE ON COLLATERIZED LENDING March 2015 P.16

17 CORPORATE BUSINESS: FOCUS ON SEGMENTATION OF TARGETED CUSTOMERS MAJOR COMPANIES (TIER 1) Major companies >16 >16 МЛРД РУБ*. BN RUB* Grow organically in existing profitable business Develop relationship with clients among 500 largest Russian companies Grow potential based on existing and new relationships Sustain ROE through X-sell approach of all bank products Integrate Top corporate clients approach with Societe Generale Corporate & Investment Banking specialized business lines (SG CIB) Tier 2 Large Copr & MidCap MidCap 1,5-16 МЛРД 4-16 BN RUB* РУБ*. Mid CaС 0,4-1,5B 0,4-1,5 RUB* МЛРД РУБ* BN RUB* LARGE CORP & MIDCAP (TIER 2) Push Transactional Banking Focus on key clients the most profitable for the Bank Increase active client base Tier 2 / MidCap annual net growth of 10-15% Key Bank for targeted clients with acceptable risk level Develop our franchise with MidCap clients in regions with a focus on Transaction Banking Enhance Trade Finance: specialized teams in each region * Annual turnover March 2015 P.17

18 CORPORATE BUSINESS: ORGANIC GROWTH OF PROFIT, RISKS REDUCTION, FOCUS ON CROSS-SALE STRATEGIC INITIATIVES Streamlined Corp Coverage Differentiate coverage model Strengthening of teams in regions with high potential for economic development Corporate credit process Maintain loan portfolio growth through the development of relationships with targeted clients Adapt credit process to nature of clients/commitments Trade finance enhancement Increase Trade Finance volume up to RUB 110 bn by 2017 Focus on business development in regions Offer competitive products and improve correspondent relationship Cash Management Upgrade regularly Cash Management platform, including clients liquidity management products and modernization of Client-Bank system March 2015 P.18

19 STRATEGIC TARGETS FOR THE PERSPECTIVE LEADING UNIVERSAL BANK WITH FEDERAL REACH SUSTAINABLE DEVELOPMENT IN ALL BUSINESS SEGMENTS TRANSACTIONAL BANK FOR INDIVIDUAL CLIENTS STABLE GROWTH OF ACTIVE CLIENTS BASE ORGANIC RISK-FREE GROWTH IN CORPORATE BUSINESS EXEMPLARY CLIENT SERVICE AND LEADER IN INNOVATIONS EFFICIENT NETWORK STRONGER INTEGRATION OF SOCIETE GENERALE ENTITIES IN RUSSIA March 2015 P.19

20 ROSBANK AND SOCIETY "Together we can do more" charity program of the bank aims at providing regular help to people with disabilities of all ages. Among the Program priorities are improving quality of adaptation and social integration of people with disabilities, development of inclusive education for these people etc. In the Bank supported 7 projects in St. Petersburg, Yekaterinburg, Samara, Krasnoyarsk and Krasnodar. Everyone has the right to help" internal corporate program has been operating for more than 10 years, the Bank supports employees desire to help by doubling their donations Rosbank annually participates in a social project organized by Societe Generale group- Citizen Commitment Games. It unites all employees of Societe Generale group in Russia, who take part in different charity, social and ecological projects. Every year employees of Rosbank and other companies of Societe Generale group in Russia take part in a charity run within a global social project Citizen Commitment Week. More than 300 participants get together to support Downside Up charity fund to help families bringing up children with Down syndrome. Due to the project, that has been held four times, the Group managed to raise 4.1 mln rubles for the program of early intervention center. Charity instead of Souvenirs Rosbank has been running this charity project already for 6 years. Rosbank transfers part of the souvenir campaign budget for charity. So far it handed over 9 incubators for newborns to regional birth centers and modern facilities to Saint-Petersburg Medical Center G. A. Albrekht and Children s Hospital G.N. Speranskiy. March 2015 С.20 P.20

21 SUPPORT OF SPORTS In 2015 Rosbank and Football Union of Russia signed an agreement on the realization of a large-scale and long-term program aimed at promoting youth football in Russia. The agreement was signed by Rosbank CEO Dmitry Olyunin and the Union President Vitaliy Myutko. The Bank is an official partner of various football tournaments, including legendary Leather ball and other events, dedicated to World Football Day. It also supports youth sports schools in 10 regions of Russia. Rosbank is an official partner of Russian Golf Association. The Bank supports key golf cups, which are held every year: Championships, Russian Cups as well as regional tournaments. In 2015 Rosbank organized its own golf competition Rosbank Golf Cup for golf amateurs. 76 sportsmen participated in the competition. Among the guests were representatives from business, top-managers and company s heads. March 2015 С.21

22 SUPPORT OF HIGHER EDUCATION In 2015 during International economic Forum in Saint- Petersburg Rosbak and Saint-Petersburg State Economic University signed an agreement on cooperation aimed at the support of high international standards in economic universities and relationships between business and edication. The Bank and the university are to unite their efforts to innovate the higher education institute and modernize its technological facilities. One of the aims of cooperation is to enhance the educational level of future specialists with the help of modern educational resources, which corresponds to international standards. Rosbank and the Financial University under the Government of the Russian Federation signed an agreement on co-operation. The co-operation programme includes interaction on the grounds of professional training, reeducation and career development for professionals in banking and financial fields. March 2015 С.22

23 ENVIRONMENT PRIORITY LINES Responsible approach in using resources green office Environment protection Waste management Separate collection of waste (paper): around 70 tn were collected in Expired batteries collection for recycling. More than 200 kg were collected in Promoting employees eco-behavior: Eco-labels in Rosbank offices Newsletters on environment issues Flourishing city voluntary project - ecoproject organized every year by Societe Generale Group in Russia. Responsible procurement Biodegradable packages and pens for souvenir campaigns Rosbank is included into the project of Societe Generale group to reduce its own carbon footprint March 2015 С.23 P.23

24 CONTACTS PJSC ROSBANK Head Office: 34, Mashy Poryvaevoy str. Moscow Russia mailbox@rosbank.ru Follow us Facebook Vkontakte Twitter March 2015 P.24