News and Press releases

13/02/2018

4th Quarter and full-year 2017 results of Groupe BPCE

The results for 2017 confirm the resilience of our universal banking model

Net income attributable to equity holders of the parent stable at €3.4BN(1)

Asset & Wealth Management and Corporate & Investment Banking divisions: robust performance

Buoyant results from the Retail Banking division

Income before tax: €6.1bn (1), up 4.1%

Net banking income up 2,1% (1)

  • Growth driven by Asset & Wealth Management, Corporate & Investment Banking, and Insurance

Operating expenses up 1.7% (1)

  • Related to the development of the business lines

Cost of risk low at 20bps

New consolidation of financial strength

  • CET1 ratio equal to 15.4%  (2), +120bps since December 31, 2016
  • TLAC ratio equal to 20.8% (2), +150bps since December 31, 2016

Estimated impact of the initial application of IFRS 9: approximately -20bps (3) on the CET1 ratio

On February 13, 2018, the Supervisory Board of Groupe BPCE convened a meeting chaired by Michel Grass to examine the Group’s financial statements for the full year and fourth quarter of 2017.

François Pérol, Chairman of the Management Board of Groupe BPCE, said: 
"The results for 2017 confirm the resilience of our universal banking model. The business lines of Natixis have again performed extremely well, in the area of both Asset & Wealth Management (revenues up by 14.5%) and Corporate & Investment Banking (+7.3%1). The Insurance and Payments activities have continued to enjoy strong growth and are confirming their role as true growth drivers for our Retail Banking and Insurance business lines. The commercial dynamism of our retail banking networks – which achieved record-breaking levels of new loan production worth 125 billion euros in 2017 overall – has made it possible to limit the unfavorable impact on our revenues created by low interest rates. Thanks to tightly managed growth in our expenses and a low cost of risk (at 20 basis points), the Group’s net income remains stable at 3.4 billion euros1. The Group’s balance sheet has been further reinforced, with high levels of both capital adequacy and total loss-absorbing capacity. Thanks to the strength of these results, the Group made an extremely positive start to its new TEC 2020 strategic plan."

 

(1) Excluding non-economic and exceptional items
(2) Estimate at Dec. 31, 2017 - CRR/CRD  IV without transitional measures; additional Tier-1 capital takes account of subordinated debt issues that have become ineligible and capped at the phase-out rate in force  
(3) Unaudited estimate