OREANDA-NEWS. Strong performance achieved by Groupe BPCE in 2014, with a sharp rise in income before tax of €5.6bn, up +9.5% compared with 2013, and net income attributable to equity holders of the parent of €3.1bn (+5.9% year-on-year)

Buoyant commercial activities

Banque Populaire and Caisse d’Epargne retail banking networks

  • On-balance sheet deposits & savings  enjoyed net fund inflows > €20bn in 2014
  • Loan outstandings rose 3.0% year-on-year, equal to an increase of €11bn

Insurance

  • Dynamic growth in the portfolio of non-life, provident and health insurance contracts, +9.3%
  • Recovery in new life insurance inflows in 2014, with a 4.0% increase in total life funds under management

Private banking

  • 6.5% growth in private banking assets under management year-on-year

Core business lines of Natixis

  • Wholesale Banking: net revenues up by 3.7% in 2014, new loan production of €28bn in Structured financing and strong growth in equity derivatives
  • Investment Solutions: 15.2% revenue growth in 2014, record-breaking net asset management inflows of €32bn year-on-year (excluding money market funds)
  • SFS: product offering rolled out in the retail networks, increased consumer finance outstandings (+9%) and growth in assets under management in employee benefit schemes (+6%)

A robust basis of results in 2014 

  •  Cost/income ratio down 0.7 percentage points to 69.2% 
  • 6 basis-point decline in the annual average cost of risk to 29 basis points in 2014
  • Income before tax up 9.5% year-on-year, to €5.6bn

Sharp improvement in capital adequacy and continued strengthening of liquidity

  • High level of capital adequacy: Common Equity Tier-1 ratio  of 12.0% (+160bps in 2014) and a total capital adequacy ratio4 of 15.6% (+250bps in 2014)
  • Leverage ratio  of 4.5% at Dec. 31, 2014
  • Customer loan/deposit ratio stood at 121% at Dec. 31, 2014
  • Liquidity reserves cover 120% of short-term funding and MLT & subordinate maturities ? 1 year

[1] Full-year 2013 results presented pro forma to account for the transfer of BPCE Assurances to Natixis Assurances and to reflect the buyback (and subsequent cancellation) by the Banque Populaire banks and Caisses d’Epargne of the Cooperative Investment Certificates (CICs) held by Natixis 
[2] Excluding revaluation of own debt (for the Group’s results only) and excluding the impact of the introduction of the Funding Valuation Adjustment (FVA)
[3] Excluding centralized savings
[4] Estimate at Dec. 31, 2014 – CRR/CRD4 without transitional measures and after restatement to account for deferred tax assets
[5] Estimate at Dec. 31, 2014 according to the rules of the Delegated Act published by the European Commission on October 10, 2014 - without CRR / CRD 4 transitional measures after restatement of deferred tax assets
[6] Excluding SCF (Compagnie de Financement Foncier, the Group’s soci?t? de cr?dit foncier – a French legal covered bonds issuer)