Bper closed 2016 with a sharp drop in net profit, to 14,3 million, compared to 220,7 million in 2015. The result was affected by extraordinary items and the contribution to the banking system resolution fund. Without these items, the net result would have been 71,5 million, an improvement of 15,2% on the previous year. Based on the balance sheet data, the institute has decided to propose to the shareholders' meeting a dividend of 6 cents compared to last year's 10 cents.
At the opening, the Bper share on the Stock Exchange sank by 7,4% and was suspended in the volatility auction at 4,778 euros.
As regards capital solidity, the bank has a Cet1 of 13,88% (13,3% fully phased) with a buffer of over 650 basis points compared to the minimum required by the ECB (7,25%).
Last year, the institute achieved revenues of 2,01 billion, a decrease of 13,2% compared to 2015. In detail, the interest margin fell by 4,65% due to the low rates at 1,17, 1,92 billion and net commissions fell by 712,7% to 3,53 million. Operating costs fell by 1,32% to 6,8 billion with a 4,9% decrease in personnel expenses, offset by a XNUMX% increase in administrative expenses due to related charges on the industrial level.
Net adjustments to loans and other assets amounted to 659,1 million, down by 10,7% compared to 2015. In detail, adjustments made to loans amounted to 619,8 million (-12,2% ) while net impairment losses on financial assets amounted to 51,8 million (from 27,3 million in 2015) and include the write-down in the Atlante Fund for 28,3 million (34,8% of the shares paid to date ).
In terms of credit quality, Bper observes that the gross stock of non-performing and non-performing loans has decreased respectively by 1,9% and 1% since the end of 2015 also thanks to some transactions for the sale of non-performing loans for a gross value total of approximately 700 million euros in the year, with no significant impact on the income statement.
In total, the amount of net non-performing loans (performing, unlikely to pay and past due) is 6,2 billion euro, down by 2,5% from the end of 2015 with an overall coverage ratio of 44,5% (43,7 % in September 2016 and 44,2% at the end of last year) and without considering the amount of write-offs on non-performing loans still outstanding (1,1 billion) which bring the coverage ratio to 49,4% nor the value of real and personal guarantees.
In detail, the component of net non-performing loans amounted to 3 billion euro (+1,2% since the end of 2015) with a coverage ratio of 57,2%; net unlikely to pay amounted to €3 billion, significantly down on the end of 2015 (-2,7%) with a coverage ratio of 23,5%; net past-due loans amounted to €0,1 billion (-43,1%) with coverage equal to 7,8%.
Direct deposits from customers amounted to 47,7 billion, up by 1% compared to the end of 2015. Indirect deposits from customers, valued at market prices, amounted to 32,9 billion, up by 8,2 .45,5% since the beginning of the year. Loans to customers, net of value adjustments, amounted to 4,1 billion, an increase of 2015% compared to the end of 2,7 (+700% on a like-for-like basis), recording a significant acceleration both in the segment of individuals and businesses, especially in the last quarter and despite the sale of non-performing loans for XNUMX million.
As for the prospects for the current year, the institute expects a positive contribution on revenues from commissions and a drop in costs, also thanks to the effects of staff reductions. All this should be accompanied by a further slowdown in problem loans. “The combination of these factors – explains the institute – should support the ordinary profitability prospects of the group for the current year”.
