THE BOARD OF DIRECTORS OF PARENT COMPANY “BANCO DI DESIO E DELLA BRIANZA S.P.A.”
APPROVED THE CONSOLIDATED INTERIM REPORT AS AT 30 SEPTEMBER 2011
- INCREASED LOANS (+3.7% yoy) offering constant support to households and SMEs through different types of loans AND TOTAL DEPOSITS (+3.0% yoy)
- VERY SOUND BALANCE SHEET STRUCTURE, NET WORTH EUR 793.7 million (+11.5 million with respect to 30 September 2010), Tier 1 and Core Tier 1 11.1%
- CONTINUED EXPANSION OF THE DISTRIBUTION NETWORK (10 new openings on a yearly basis, bringing the total number of branches to 183)
- OPERATING PROFIT (LOSS) AFTER TAX EUR 41 million with respect to EUR 29.7 million as at 30 September 2010
- NET PROFIT of EUR 48 million, compared to EUR 44.3 million as at 30 September 2010 (which moreover benefitted from higher extraordinary income of EUR 7.5 million)
KEY CONSOLIDATED FIGURES AS AT 30 SEPTEMBER 2011 (1)
Direct deposits from customers EUR 6.94 billion (+3.0%)
Net loans to customers EUR 6.60 billion (+3.7%)
Shareholders’ equity pertaining to the Parent Company EUR 793.7 million (+1.5%) (2)
Tier 1 and Core Tier 1 11.1 %
Net operating profit EUR 41 million
Consolidated net profit for the year pertaining to the Parent Company EUR 48 million
(1) changes over last period at 30 September 2010;
(2) including profit for the period
The Board of Directors of the Parent Company Banco di Desio e della Brianza S.p.A., meeting on 10 November 2011, approved the Consolidated Interim Report as at 30 September 2011, drawn up pursuant to art. 154 ter of Legislative Decree 58/1998 and prepared in accordance with applicable international accounting standards recognized in the European Union according to the EU Regulation no. 1606 of 19 July 2002 (and, in particular, IAS 34 – Interim financial statements).
Consolidated balance sheet data
The total customer assets under management end of third quarter was confirmed to be EUR 17.8 billion, with an overall drop of EUR 0.45 billion with respect to the comparative period, however with an increase of direct deposits exceeding EUR 6.9 billion, up EUR 0.2 billion, corresponding to 3%, with respect to the third quarter of the preceding year.
The total value of loans to customers as at 30 September 2011 reached EUR 6.6 billion, increasing by more than EUR 0.2 billion, equal to 3.7% over the comparative period, highlighting the Group’s constant support to families and SMEs in an increasingly difficult economic and financial context.
The Group's total financial assets stood at EUR 1.1 billion, down EUR 0.1 billion compared with the final figure for the same period of the previous year.
The net interbank position was positive by about EUR 0.1 billion, compared to that, again positive, of around EUR 0.3 billion recorded at the end September 2010.
Shareholders’ equity, including profit for the year, amounted to a total of EUR 793.7 million, increasing by EUR 11.5 million compared with the figure of the third quarter of the previous year.
As regards the consolidated capital ratios as at 30 September 2011, calculated in accordance with the supervisory regulations in force, they showed a further increase; Tier 1 and Core Tier 1 stood at 11.1% while Tier 2 reached 12.4%.
Consolidated income statement data
The third quarter closed with a profit for the period pertaining to the Parent Company of EUR 48 million, compared to EUR 44.3 million at the close of September 2010.
The performance of the main items in the reclassified Income Statement showed the following:
The revenue items from the management of operations record an increase of 3% compared to the comparative period, reaching EUR 260.2 million. In particular, the interest margin increased by EUR 14.1 million (+10.3%), the income from the insurance business by EUR 1.4 million (+19.2%) and the Other operating income/charges by 3 EUR million (+81.2%); vice versa, decreasing were net fees and commissions by EUR 5.9 million (-6.4%, 2.5 million due to the termination of the Parent company's depositary bank service and also to the implications deriving from the critical situation of the financial markets and the economic scenario), the balance combining the net result from trading, hedging, and disposal /repurchase activities, and the financial assets and liabilities measured at fair value by EUR 3.9 million (-51%, attributable to the profit from the disposal or repurchase of available-for-sale financial assets and to the net income from hedging activities), and the items profits from investments in associated companies and dividends and similar income together considered for a total of EUR 1.2 million (-42.3%).
Total operating charges, which include personnel expenses, other administrative expenses and net adjustments to property, plant and equipment, and intangible assets, showed a balance of EUR 169.9 million, decreasing by 0.3%.
Operating profit (loss) after tax
The operating profit at the end of the period is consequentially equal to EUR 90.3 million, up EUR 8.1 million compared to the comparative period; Net adjustments for impairment of loans of EUR 17.9 million, down 39.6% compared to the same period in the previous financial year, losses from disposal or repurchase of loans of approximately EUR 0.3 million, net allocations to provisions for risks and charges of approximately EUR 0.8 million, Net adjustments for impairment of other financial transactions of approximately EUR 0.2 million as well as income taxes for the current period of EUR 30.1, resulted in an operating profit after tax of EUR 41 million, marking an increase of 38.2%.
Profit from non-current operations after tax
Profit from non-current operations after tax amounted to EUR 7.7 million, and was represented by the further partial release of EUR 37.8 million from the provisions established at the end of 2008 to hedge against the risk of partial review of the price collected for the disposal of 70% of Chiara Vita S.p.A. by the Parent Company, as contractually envisaged, at the end of the Company’s Business Plan (2012). At the end of the comparative period, the partial release from the same provisions amounted to EUR 14.6 million.
Parent Company profit (loss) for the period
By adding the operating profit after tax to profit from non-current operations after tax, the Parent Company Profit (Loss) for the period amounts to EUR 23.6 million, net of minority interest for EUR 0.2 million. The result shows EUR 5.4 million less over the previous year (-18.7%), which, however, benefited from EUR 6.9 million more relating to the non-recurring profit/loss after taxes.
The sum of the operating profit after tax and the profit from non-current operations after tax results in a Parent Company profit for the period of approximately EUR 48 million, net of the minority interest of EUR 0.7 million. The result shows a growth of EUR 3.8 million, equal to 8.5%, compared with September 2010, which however benefited from a EUR 7.5 million larger profit from a non-current operations after tax.
The territorial development of the Group’s distribution network led to a total of 183 branches at the end of the first quarter of the year, with a rise of ten units over the final figure at the end of September of the previous year; whereas the permanent employees of the Group was equal to 1888 employees, up by 28 compared to the comparative period.
Judicial Investigations - Banco Desio Lazio SpA and Credito Privato Commerciale SA
On 6 September 2011, the subsidiaries Banco Desio Lazio SpA and Credito Privato Commerciale SA were notified by the Public prosecutor's office of the Court of Rome of the notice of conclusion of the investigation in conformity with art. 415 bis code of criminal procedure, with regard to a criminal proceeding concerning certain subjects, at the time representatives/employees of the above-cited corporation, and also third parties with respect to the companies mentioned, wherever the crimes for which charges are made include the specific cases provided for by Italian Legislative Decree 231/2001 (administrative responsibility for the companies), as indicated in the previous press release dated 22 September 2011.
MERGER BY INCORPORATION OF BANCO DESIO TOSCANA S.P.A. E BANCO DESIO VENETO S.P.A. INTO BANCO DI DESIO E DELLA BRIANZA S.P.A.
It is noted that the stipulation of the deed of merger through incorporation of the subsidiaries Banco Desio Toscana S.p.A. and Banco Desio Veneto S.p.A. in the Parent Company Banco di Desio e della Brianza S.p.A., a transaction more specifically indicated in the previous press releases of 25 August and 19 September 2011 has had juridical effectiveness starting from 1 October 2011.
The consolidated Balance Sheet and reclassified Income Statement as at 30 September 2011 are attached here below.
Desio, 10 November 2011 BANCO DI DESIO E DELLA BRIANZA S.p.A.
The Manager in charge of drawing up the company accounting documents, Piercamillo Secchi, hereby declares that, pursuant to art. 154 bis, paragraph 2 of the Consolidated Law on Finance, the accounting information contained in this press release corresponds to the company's documents, books and accounting records.
Manager in charge of drawing up
the company accounting documents