«
Hello! People disagree about the effect of the Central Bank rate on the NPM.
Now, if you consider VTB:
1) NPM has a downward trend
2) the Central Bank rate also has a downward trend
Question: what will happen to the NPM of this bank and why? will it be any different if we consider the situation regarding sber?
Thank.»
Good morning, of course, there is a certain relationship between a decrease in the Central Bank rate and a decrease in the NPM, but a much larger impact is exerted by a change in the structure of loans - from more marginal products (consumer loans) to less (mortgages). In addition, VTB has seen a more rapid increase in loans issued relative to the growth of attracted deposits, which has to be compensated by more expensive funding (interbank lending and subordinated debt). In Sberbank, the opposite is happening. In general, our forecast for the level of NPM of both banks is to maintain current values.
« In the latest Charter of Sberbank dated 06/08/2018, the wording for the protective clause reads as follows (page 5, clause 4.2): - The Bank placed ordinary shares and preferred shares of the same type - with the mandatory payment of a certain dividend in the amount of at least 15% of the par value of the preferred share. (punctuation preserved) Is it considered that the clause about the “certainty” of payment by prefs appeared or everything is as before - “not less than 15%” is not certainty and therefore can pay less than usual?»
Yes, we still need the wording that the size of the dividend paid on the preferred shares cannot be less than the size of the dividend paid on ordinary shares.
« Hello. In the Results of the 1st half of 2018, BV per share indicated 175.8 rubles. According to what formula is it calculated if equity owned by shareholders is 3,485 billion rubles, and the total number of shares is about 22.6 billion. (I understand that this is a forecast, but still).»
Good day. The balance sheet price at the end of 2018 of 175.8 rubles was obtained by dividing the forecast equity at the end of 2018 in the amount of 3.971 trillion rubles by the total number of ordinary and preferred shares.
« Good day! Why has capital adequacy decreased so much?»
Good day. Largely due to the payment of higher dividends for 2017.
« How significant can the additional profit of banks and Sberbank be, in particular, as a result of the entry into force of the law on financing housing construction by developers from July not at the expense of interest holders, but at the expense of credit money from banks?»
So far, we have not made special adjustments to the bank models associated with changes in housing finance.
« Honestly, we were very surprised by the initial premise inherent in your question, Dmitry. Who is considered and why Sberbank?»
Artem, I heard this opinion from the speeches of many analysts at RBC. Of course, I don’t keep a record of their names, but with 100% probability I can name a couple of names: Alexander Razuvaev, Alexander Krapivko. This is discussed with leading programs for granted.
« Good day!
It seems that you have paper in your portfolio since June? And you in September write that they can only claim ...?)) "
Good day, Andrey! Yes, in June we bought ordinary shares of Sberbank only in the Arsager - Mixed Investment Fund, at the moment we bought them in all portfolios.
« Before the summer, Sberbank had to sell its business in Ukraine for a penny. Something did not see any more information about this. What is the transaction price, when and how will it be reflected in the financial statements of the bank? She will be»
Good morning, Dmitriy! In the first quarter of 2017, the Bank signed a framework agreement for the sale of 100% of the shares of Sberbank PJSC (Ukraine). The implementation of this agreement involved preliminary approval by regulatory authorities and the fulfillment of other conditions. In the third quarter of 2017, the National Bank of Ukraine refused to approve the transaction. We have no other information at the moment. With regard to the reflection in the bank's statements, we believe that the corresponding allowance for impairment has already been created.
« Apparently, part of the funds of about 100 billion rubles was spent on the acquisition of fixed assets, which can be seen in note 14 of the IFRS statements for 2016.»
That's just the point: Sberbank plans to get rid of the excessive number of its branches. He could not again buy his property at new offices ...
« Hello Dmitry! The question is not very clear. Could you explain in more detail what is meant?»
Elena, if we take, for example, the financial results of Sberbank for 2015, then the profit is 222.9 billion rubles. In accordance with this, the return on equity was calculated at 11%, given that at the beginning of 2015, Sberbank had 2 020 billion rubles. The question arises: why, in this case, when calculating the profit received, the “Other comprehensive income” indicators are not taken into account, where the income item: “Investment securities available for sale” is calculated? After all, that amount of equity (2 020 billion rubles) includes the cost of investment securities for sale. The logic of my reasoning is this: if you include the cost of investment securities for sale in the indicators of equity, then it is fair to evaluate the profitability of this capital, including the item “Other comprehensive income” in the indicators of net profit.
« I watched the charts five years ago. In them, preferred shares held lower positions than usual, although in those years Arsager did not yet take into account the absence of a protective clause in the Charter of Sberbank. What is the reason for this?»
Perhaps at that time the prefs of Sberbank were trading above a fair discount.
« Sberbank does not use borrowed funds of the Central Bank of the Russian Federation. Is Sberbank profitable for high rates in the country? On the one hand, lower rates will increase lending. On the other hand, when the rates are reduced, will the bank’s margin also fall, and will its advantage be leveled over other banks in the form of cheap money from customers?»
As historical data show, during the period of lower interest rates, Sberbank's net interest margin was higher than the indicators that the bank is now demonstrating.
« Hello Andrei! The norm of paragraph 2 of Article 32 of the Federal Law of 26.12.1995 N 208-ФЗ “On Joint Stock Companies” stating that holders of preferred shares for which the dividend is not determined have the right to receive dividends on an equal basis with owners of ordinary shares. In the case of Sberbank (unlike Transneft, for example), the size of dividends on preferred shares is not defined in the charter, which means that clause 2 of article 32 of the JSC law protects owners of prefs, which is better than a “protective clause in the charter”. So why did you exclude Sberbank from market types? Do you think that the clause in the charter protects more reliably the articles of federal law?»
Good evening, Eugene! According to our courts, the wording that is in the charter of Sberbank (at least 15% of the face value) is the determination of the amount of dividends on preferred shares. As a result, your provision of the law does not apply.
« Hello Andrei! I thought so. But why then is there VTB? After all, you also excluded it from the composition of market types.»
Alexander, indeed, VTB ordinary shares are included in the market types. Could you provide a link to where we are talking about their exclusion? Perhaps the term was used in a different context. For example, for similar reasons, due to the lack of a reservation in the charter, we do not calculate returns on preferred shares of Transneft, Kuibyshevazot, Bashinformsvyaz.
« Hello! And why do you have no Sberbank prefs in the "Analytics by Issuers" section?»
Good afternoon! We excluded Sberbank prefs from market types, since the Bank’s charter does not contain a protective clause on dividends. As a rule, it reads as follows: “If the amount of dividends paid by the Company for each ordinary share in a certain year exceeds the amount payable as dividends for each preferred share, the amount of dividend paid on the latter should be increased to the amount dividend paid on ordinary shares. "
« “Investors always appreciate the fact that the management of a joint-stock company is motivated to increase value, since this is the most important component of shareholder income.” Artem Abalov, December 11, 2015 at 12:57 pm There are, of course, all kinds of investors. I also consider myself an investor. But I do not approve of such a motivation for management. It is necessary to tie managers' salaries to the growth of share capital and ROE, subject to certain standards of the company's debt and leverage.»
I completely agree with you, but it’s even more correct to use both indicators: both the growth of equity capital and its pace, as well as the compliance of capitalization with the indicator of internal value achieved by the company. For example, in our company the management remuneration system is three-stage: 1. Profit availability; 2. The excess of ROE over the OFZ profitability level; 3. The excess of capitalization over the maximum of two: the size of the company's own capital or the number of profits multiplied by 7.
« Investors always appreciate the fact that the management of a joint-stock company is motivated to increase value, since this is the most important component of shareholder income.»
Investors, of course, are all sorts. I also consider myself an investor. But I do not approve of such a motivation for management. It is necessary to tie managers' salaries to the growth of share capital and ROE, subject to certain standards of the company's debt and leverage.
01/15/16. De Facto - Sberbank calculated the results of the past year using an internal methodology.
Key facts of December 2015:
- The inflow of client funds for the month showed a historic maximum of 1.4 trillion rubles:
The growth rate of funds of individuals exceeded 9%, their volume increased to 10.9 trillion rubles,
The growth rate of funds of legal entities exceeded 7%, their volume reached 6.7 trillion rubles.
The amount of funds raised by the Bank of Russia and the Federal Treasury was reduced by 0.5 trillion rubles.
The bank's net profit for December exceeded 33.8 billion rubles.
Deputy Chairman of the Management Board of Sberbank Alexander Morozov:
“In difficult conditions of 2015, the bank earned profit without taking into account events after the reporting date in the amount of 236.3 billion rubles, which amounted to 76% of net profit in 2014. By the end of the year, Sberbank was able to reduce the backlog from the 2014 results due to the consistent implementation of the program to reduce costs, as well as repaying state funding in the amount of 3 trillion rubles.
Analysis of balance sheet items and the report on financial results for 2015 relative to 2014:
interest income increased by 21.3%, interest expenses increased by 59.5%; net interest income decreased by 11.1%;
non-lending fee and commission income increased by 17.0%; net fee and commission income increased by 4.4%;
operating income before total reserves decreased by 9.2%;
expenses for the creation of total reserves amounted to 397.6 billion rubles against 397.9 billion rubles a year earlier;
operating expenses decreased by 1.0%;
profit before income tax amounted to 283.9 billion rubles against 394.6 billion rubles a year earlier;
net profit amounted to 236.3 billion rubles excluding events after the reporting date versus 311.2 billion rubles taking into account events after the reporting date a year earlier.
Comments:
The bank's net interest income for 2015 amounted to 763.2 billion rubles. During the year, the bank gradually restored its volume: according to the results of the 1st quarter, the backlog from the previous year was 27.9%, and according to the results of the year, 11.1%.
Interest income increased by 21.3% due to an increase in loans to customers and profitability of loans to legal entities.
Interest expenses increased by 59.5% due to an increase in the level of interest rates in the market and an increase in the volume of attracted client funds. The growth of interest expenses during the year slowed down due to the consistent reduction of the key rate by the Bank of Russia, as well as the reduction in the volume of state financing by Sberbank.
Net fee and commission income grew by 4.4%. The Bank increases net fee and commission income, despite a decrease in fee and commission income from credit operations and bank insurance. The growth of commission income not related to lending, according to the results of the year, amounted to 17.0%. The largest amount of commission income comes from operations with bank cards.
Net income from foreign exchange revaluation and trading operations in the financial markets amounted to 68.6 billion rubles against 81.1 billion rubles last year.
Operating expenses decreased by 1.0% due to the implementation of the bank's cost optimization program. Administrative expenses were reduced by 4.7% over the year.
Expenditures on total reserves amounted to 397.6 billion rubles, which is similar to the amount of the previous year. The cost of reserves in December amounted to 27.4 billion rubles and was mainly due to the creation of reserves for foreign currency loans as a result of the weakening of the ruble against major currencies. The Bank continues to form reserves for possible losses in order to cover existing credit risks, based on the requirements of the Bank of Russia. Reserves created on the balance sheet exceed arrears by 1.9 times.
Profit before income tax amounted to 283.9 billion rubles against 394.6 billion rubles in 2014. Net profit amounted to 236.3 billion rubles excluding events after the reporting date versus 311.2 billion rubles taking into account events after the reporting date in 2014.
Assets in December increased by 1.3 trillion rubles and exceeded 23 trillion rubles. A significant part of the growth is due to the revaluation of the currency component of balance sheet items. In general, over the year, assets increased by 5.6%.
In December, the bank provided corporate clients with loans worth more than 1.2 trillion rubles, for a total of 6.8 trillion rubles a year. The balance of the loan portfolio in December grew by 417 billion rubles, or 3.5%, largely due to foreign exchange revaluation. The portfolio volume as of January 1, 2016 is 12.3 trillion rubles.
Private customers received about 160 billion rubles in December, over a year more than 1.2 trillion rubles. The loan portfolio for December increased by 16 billion rubles, or 0.4%, and as of January 1, 2016 amounted to more than 4.1 trillion rubles. The share of housing loans in the portfolio structure over the year increased from 48% to 54%.
The share of overdue debt in the loan portfolio of customers in December decreased by 0.1 percentage points. up to 3.3%. The level of arrears in Sberbank remains significantly lower than the average for the banking system (6.6% as of December 1, 2015).
The volume of investments in securities in December increased by 265 billion rubles. or 13.1% mainly due to the acquisition of corporate Eurobonds and exchange rate revaluation. The balance of the portfolio as of January 1, 2016 amounted to 2.3 trillion rubles.
The funds of individuals in December increased by 908 billion rubles, or by 9.1% (excluding currency revaluation, the growth rate was 6.7%). As a result, the balance of funds of individuals by January 1, 2016 approached 10.9 trillion rubles. In total, over the year the funds of individuals increased by 27.5% (a year earlier - by 5.9%).
The funds of legal entities in December increased by 449 billion rubles or 7.1% due to the influx of ruble funds into deposits and due to the revaluation of foreign currency funds. In general, over the year the funds of legal entities increased by 32.9% and amounted to 6.7 trillion rubles.
A record inflow of ruble-denominated client funds in December made it possible to minimize the amount of funds raised from the Bank of Russia. The share of these funds, excluding subordinated debt, in the bank's liabilities decreased in December from 2.7% to 1.3% (as of January 1, 2015 - 15.2%). In just a year, Sberbank returned funds to the Bank of Russia and the Federal Treasury in the amount of 3.0 trillion rubles.
The values \u200b\u200bof the base and fixed capital of the bank coincide due to the lack of sources of additional capital and, according to current data, as of January 1, 2016 amounted to RUB 1,753 billion. The total capital at the same date is 2,679 billion rubles.
In December, total capital increased by 39 billion rubles. The main factor in the growth of total capital was earned profit.
Н1.1 - 8.0% (the minimum value established by the Bank of Russia, 5.0%)
Н1.2 - 8.0% (the minimum value established by the Bank of Russia, 6.0%)
Н1.0 - 12.1% (the minimum value, taking into account the requirements of the Law on Deposit Insurance, is 10.0%).
Reference:
Sberbank draws the attention of users to the fact that the indicators in this press release are calculated according to the internal methodology of Sberbank PJSC. The data as of January 1, 2015 takes into account events after the reporting date. The data as of January 1, 2016 does not include events after the reporting date.