|
25.11.2016 08:08:56
|
DGAP-News: IKB Deutsche Industriebank AG
DGAP-News: IKB Deutsche Industriebank AG: Results for the first half of the financial year 2016/17
- Common equity tier 1 ratio (CET 1) remains stable at 11.2%
- High leverage ratio of 8.3%
- New business volume increases to EUR 2.2 billion
- Positive net income for full financial year 2016/17 expected
[Düsseldorf, 25 November 2016] IKB Deutsche Industriebank AG generated consolidated net income of EUR 10 million in the first half of the financial year 2016/17 (1 April to 30 September 2016). The common equity tier 1 ratio (CET 1) amounted to 11.2% as at 30 September 2016, thereby considerably exceeding the statutory minimum requirements. The fully loaded CET 1 ratio was 10.6%. The leverage ratio was 8.3%, while the liquidity coverage ratio was 245%.
IKB is reporting positive results for the fourth consecutive year, confirming the sustainable profitability of its business model. IKB has a solid equity position and ample liquidity. New business volume with Mittelstand companies has increased by 22% year-on-year to EUR 2.2 billion in the first half of the financial year 2016/17, while maintaining pricing discipline. This positive economic performance was achieved in spite of a difficult market environment and significant uncertainties.
The consolidated income statement for the first half of 2016/17 is as follows:
Table: IKB consolidated income statement in accordance with the German Commercial Code (HGB)
in EUR million 1 Apr. 2016 to 30 1 Apr. 2015 to 30 Change Sep. 2016 Sep. 2015 Net interest and lease 144 142 3 income Net fee and commission 17 14 3 income Net trading income 0 0 - Administrative expenses -141 -143 1 Personnel expenses -90 -90 - Other administrative -52 -54 1 expenses Net other income 29 -8 37 Net risk provisioning -18 14 -31 Tax income/expense -21 4 -25 Consolidated net income 10 23 -13
Some totals may be subject to discrepancies due to rounding differences.
Net interest and lease income in the Group increased slightly to EUR 144 million in the period under review (first half of 2015/16: EUR 142 million).
The Group recorded net fee and commission income of EUR 17 million, up on the prior-year figure of EUR 14 million.
Administrative expenses in the Group declined slightly to EUR 141 million in the period under review (first half of 2015/16: EUR 143 million).
Net other income improved from a negative EUR 8 million in the previous year to EUR 29 million. This was attributable primarily to lower expenses for retirement benefits and the net increase in income from the sale of investments, as well as close-out payments of derivative transactions in the banking book.
Net risk provisioning (EUR 18 million expense; previous year: EUR 14 million income) remained low compared with the long-term average. The specific risk provisioning contained in this figure made a positive contribution of EUR 9 million following a negative contribution of EUR 15 million in the previous year. There was a net addition to general allowances of EUR 28 million in the period under review (previous year: net reversal of EUR 20 million).
Net tax expenses amounted to EUR 21 million after net tax income of EUR 4 million in the same period of the previous year. All in all, consolidated net income amounted to EUR 10 million (previous year: EUR 23 million).
The Group's total assets declined by EUR 0.7 billion versus 31 March 2016, amounting to EUR 18.8 billion at the end of the reporting period. The CET 1 ratio amounted to 11.2% (31 March 2016: 11.6%). IKB maintained its common equity tier 1 ratio at a high level and exceeded the statutory minimum requirement of 4.5% (according to CRR) for the CET 1 ratio plus a capital conservation buffer of 0.625% and the additional capital requirement resulting from the SREP process. The full application of the Basel III requirements results in a fully loaded CET 1 ratio of 10.6% as at 30 September 2016 (31 March 2016: 10.9%).
Applying the transitional provisions and the provisions of Delegated Regulation EU 2015/62 of 17 January 2015, the leverage ratio of the IKB Group in accordance with Article 429 CRR amounted to 8.3% as at 30 September 2016 (31 March 2016: 8.2%), thereby clearly exceeding the benchmark of 3.0%. The liquidity coverage ratio was also significantly above the regulatory minimum of 70%, amounting to 245% as at 30 September 2016 (31 March 2016: 283%).
Outlook
IKB generated positive earnings in the first six months of the current financial year. On this basis, for the full financial year 2016/17 IKB expects to generate a positive result after taxes and before additions to the fund for general banking risks (section 340g HGB). This result is expected to be moderately higher than in the 2015/16 financial year. IKB AG intends to transfer profits, if applicable, to the fund for general banking risk in accordance with section 340g HGB as at the end of the financial year. 340g HGB reserves allow the Bank to safeguard against the regulatory and economic risks to which it is exposed.
Servicing the compensation agreements of a total amount of EUR 1,151.5 million and the value recovery rights of the hybrid investors means that IKB AG will probably not report any, or only minimal, profit for a long time to come, even if its results are positive. In addition, to the extent that net income can be reported in the future, the reduction of net accumulated losses means that it will not be possible to distribute a dividend to the shareholders of IKB AG.
Further details of the first half results can be found in the 6-month report for 2016/17 at https://www.ikb.de/en/investor-relations/financial- reports.
Contact: Dr Jörg Chittka, tel.: +49 211 8221-4349, Armin Baltzer, tel.: +49 211 8221-6236, e-mail: presse@ikb.de
IKB Deutsche Industriebank AG supports small and medium-sized enterprises in Germany and Europe with loans, risk management, capital market services and advisory services.
---------------------------------------------------------------------------
25.11.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de
---------------------------------------------------------------------------
Language: English Company: IKB Deutsche Industriebank AG Wilhelm-Bötzkes-Straße 1 40474 Düsseldorf Germany Phone: +49 (0)211 8221-4511 Fax: +49 (0)211 8221-2511 E-mail: investor.relations@ikb.de Internet: www.ikb.de ISIN: DE0008063306 WKN: 806330 Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange; Open Market in Frankfurt End of News DGAP News Service ---------------------------------------------------------------------------
524111 25.11.2016
DGAP-News: IKB Deutsche Industriebank AG / Key word(s): Half Year Results
IKB Deutsche Industriebank AG: Results for the first half of the financial
year 2016/17
25.11.2016 / 08:08
The issuer is solely responsible for the content of this announcement.
---------------------------------------------------------------------------
IKB Deutsche Industriebank:
Results for the first half of the financial year 2016/17
- Consolidated net income of EUR 10 million
- Common equity tier 1 ratio (CET 1) remains stable at 11.2%
- High leverage ratio of 8.3%
- New business volume increases to EUR 2.2 billion
- Positive net income for full financial year 2016/17 expected
[Düsseldorf, 25 November 2016] IKB Deutsche Industriebank AG generated consolidated net income of EUR 10 million in the first half of the financial year 2016/17 (1 April to 30 September 2016). The common equity tier 1 ratio (CET 1) amounted to 11.2% as at 30 September 2016, thereby considerably exceeding the statutory minimum requirements. The fully loaded CET 1 ratio was 10.6%. The leverage ratio was 8.3%, while the liquidity coverage ratio was 245%.
IKB is reporting positive results for the fourth consecutive year, confirming the sustainable profitability of its business model. IKB has a solid equity position and ample liquidity. New business volume with Mittelstand companies has increased by 22% year-on-year to EUR 2.2 billion in the first half of the financial year 2016/17, while maintaining pricing discipline. This positive economic performance was achieved in spite of a difficult market environment and significant uncertainties.
The consolidated income statement for the first half of 2016/17 is as follows:
Table: IKB consolidated income statement in accordance with the German Commercial Code (HGB)
in EUR million 1 Apr. 2016 to 30 1 Apr. 2015 to 30 Change Sep. 2016 Sep. 2015 Net interest and lease 144 142 3 income Net fee and commission 17 14 3 income Net trading income 0 0 - Administrative expenses -141 -143 1 Personnel expenses -90 -90 - Other administrative -52 -54 1 expenses Net other income 29 -8 37 Net risk provisioning -18 14 -31 Tax income/expense -21 4 -25 Consolidated net income 10 23 -13
Some totals may be subject to discrepancies due to rounding differences.
Net interest and lease income in the Group increased slightly to EUR 144 million in the period under review (first half of 2015/16: EUR 142 million).
The Group recorded net fee and commission income of EUR 17 million, up on the prior-year figure of EUR 14 million.
Administrative expenses in the Group declined slightly to EUR 141 million in the period under review (first half of 2015/16: EUR 143 million).
Net other income improved from a negative EUR 8 million in the previous year to EUR 29 million. This was attributable primarily to lower expenses for retirement benefits and the net increase in income from the sale of investments, as well as close-out payments of derivative transactions in the banking book.
Net risk provisioning (EUR 18 million expense; previous year: EUR 14 million income) remained low compared with the long-term average. The specific risk provisioning contained in this figure made a positive contribution of EUR 9 million following a negative contribution of EUR 15 million in the previous year. There was a net addition to general allowances of EUR 28 million in the period under review (previous year: net reversal of EUR 20 million).
Net tax expenses amounted to EUR 21 million after net tax income of EUR 4 million in the same period of the previous year. All in all, consolidated net income amounted to EUR 10 million (previous year: EUR 23 million).
The Group's total assets declined by EUR 0.7 billion versus 31 March 2016, amounting to EUR 18.8 billion at the end of the reporting period. The CET 1 ratio amounted to 11.2% (31 March 2016: 11.6%). IKB maintained its common equity tier 1 ratio at a high level and exceeded the statutory minimum requirement of 4.5% (according to CRR) for the CET 1 ratio plus a capital conservation buffer of 0.625% and the additional capital requirement resulting from the SREP process. The full application of the Basel III requirements results in a fully loaded CET 1 ratio of 10.6% as at 30 September 2016 (31 March 2016: 10.9%).
Applying the transitional provisions and the provisions of Delegated Regulation EU 2015/62 of 17 January 2015, the leverage ratio of the IKB Group in accordance with Article 429 CRR amounted to 8.3% as at 30 September 2016 (31 March 2016: 8.2%), thereby clearly exceeding the benchmark of 3.0%. The liquidity coverage ratio was also significantly above the regulatory minimum of 70%, amounting to 245% as at 30 September 2016 (31 March 2016: 283%).
Outlook
IKB generated positive earnings in the first six months of the current financial year. On this basis, for the full financial year 2016/17 IKB expects to generate a positive result after taxes and before additions to the fund for general banking risks (section 340g HGB). This result is expected to be moderately higher than in the 2015/16 financial year. IKB AG intends to transfer profits, if applicable, to the fund for general banking risk in accordance with section 340g HGB as at the end of the financial year. 340g HGB reserves allow the Bank to safeguard against the regulatory and economic risks to which it is exposed.
Servicing the compensation agreements of a total amount of EUR 1,151.5 million and the value recovery rights of the hybrid investors means that IKB AG will probably not report any, or only minimal, profit for a long time to come, even if its results are positive. In addition, to the extent that net income can be reported in the future, the reduction of net accumulated losses means that it will not be possible to distribute a dividend to the shareholders of IKB AG.
Further details of the first half results can be found in the 6-month report for 2016/17 at https://www.ikb.de/en/investor-relations/financial- reports.
Contact: Dr Jörg Chittka, tel.: +49 211 8221-4349, Armin Baltzer, tel.: +49 211 8221-6236, e-mail: presse@ikb.de
IKB Deutsche Industriebank AG supports small and medium-sized enterprises in Germany and Europe with loans, risk management, capital market services and advisory services.
---------------------------------------------------------------------------
25.11.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de
---------------------------------------------------------------------------
Language: English Company: IKB Deutsche Industriebank AG Wilhelm-Bötzkes-Straße 1 40474 Düsseldorf Germany Phone: +49 (0)211 8221-4511 Fax: +49 (0)211 8221-2511 E-mail: investor.relations@ikb.de Internet: www.ikb.de ISIN: DE0008063306 WKN: 806330 Listed: Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange; Open Market in Frankfurt End of News DGAP News Service ---------------------------------------------------------------------------
524111 25.11.2016
Der finanzen.at Ratgeber für Aktien!
Wenn Sie mehr über das Thema Aktien erfahren wollen, finden Sie in unserem Ratgeber viele interessante Artikel dazu!
Jetzt informieren!
Nachrichten zu IKB Deutsche Industriebank AGmehr Nachrichten
Analysen zu IKB Deutsche Industriebank AGmehr Analysen
Nachrichten
ETF-Sparplan
Oskar ist der einfache und intelligente ETF-Sparplan. Er übernimmt die ETF-Auswahl, ist steuersmart, transparent und kostengünstig.