3Q10 Presentation

307 views

Published on

Published in: Education
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
307
On SlideShare
0
From Embeds
0
Number of Embeds
6
Actions
Shares
0
Downloads
4
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

3Q10 Presentation

  1. 1. 3Q10Conference Call
  2. 2. Disclaimer All financial information herein is presented on a consolidated basis, and includes the financial statements of the Bank, its subsidiaries, JMalucelli Seguradora, JMalucelli Seguradora de Crédito, JMalucelli Re., JMalucelli Agenciamento and Paraná Administradora de Consórcio. All information, except when otherwise indicated, is expressed in Brazilian currency (Reais) and was prepared based on the accounting practices pursuant to Brazilian Corporate Law, associated with the regulations and instructions issued by the National Monetary Council (CMN), the Brazilianthe regulations and instructions issued by the National Monetary Council (CMN), the Brazilian Central Bank (BACEN), the Brazilian Securities and Exchange Commission (CVM), the National Council of Private Insurance (CNSP), the Brazilian Private Insurance Authority (SUSEP) and the Accounting Standards Committee (CPC), as applicable. The information contained in this material regarding future events is exposed to risks and uncertainties and subject to changes resulting from, but not limied to, market behavior, economic and political situation of Brazil and legislative and regulatory changes. The information herein is entirely based on the Bank Administration’s performance expectations and is no guarantee of future results. 2
  3. 3. Qualidade da Carteira de Crédito PDD 70.649 62.331 13,3% 51.469 37,3% Carteira (> 90 dias) 74.725 67.023 11,5% 56.151 33,1% Carteira (> 180 dias) 46.820 38.475 21,7% 30.420 53,9% Carteira Total* (a) 1.398.582 1.347.703 3,8% 1.330.658 5,1% Índice de cobertura da carteira (PDD / > 90 dias) 94,5% 93,0% 1,5 p.p. 91,7% 2,9 p.p. Índice de cobertura da carteira (PDD / > 180 dias) 150,9% 162,0% (11,1 p.p.) 169,2% (18,3 p.p.) PDD / Carteira Total 5,1% 4,6% 0,5 p.p. 3,9% 1,2 p.p. Créditos Baixados a Prejuízo (b) 8.754 13.250 (33,9%) 7.856 11,4% Nível de perda (b/a) 0,6% 1,0% (0,4 p.p.) 0,6% 0,0 p.p. 4T09 x 4T08 R$ 4T09 3T09 4T09 x 3T09 4T08 Main Highlights 3Q10 3 * Inclui saldo da cessão com coobrigação. Inadimplência SFN PF (>90 dias) = 7,8% PJ (>90 dias) = 3,8% Inadimplência Paraná Banco Consignado (>90 dias) = 5,9% PME (>90 dias) = 0,8% Nível de perda (b/a) 0,6% 1,0% (0,4 p.p.) 0,6% 0,0 p.p.
  4. 4. Key Financial Numbers (Consolidated) Net Income: R$ 29.5 million 39.6% x 3Q09 Profitability: Total Deposits: R$ 1,372.0 million 46.7% x 3Q09 Total Assets: Profitability: ROAE: 15.4% ROAA: 3.8% NIM: 11.7% 4 Total Assets: R$ 3,260.2 million 22.5% x 3Q09 Loan portfolio: R$ 1,518.0 million 25.9% x 3Q09 Portfolio from AA to C : 95.1% of Parana Banco consolidated portfolio.
  5. 5. Insurance Group Seguradora’s Net Income : R$ 9.2 million in 3Q10 ROAE of 30.1% 46.5% x 3Q09 Resseguradora’s Net Income : R$ 5.5 million in 3Q10 ROAE of 24.4% 352.2% x 3Q09 Market share - September:Insurance business share : Seguradora’s Combined Ratio: 45.6% 22.8 p.p. x 1Q10 5 Market share - September: JM Seguradora: 37.9% JM Re: 37.7% Premiums JM Seguradora + JM Re: R$ 189.5 million 50.5% x 3Q09 Insurance business share : 51.5% of Net Income
  6. 6. Financial Performance 252,128 303,176 14.0% 11.9% -5,0% 0,0% 5,0% 10,0% 15,0% 0 100000 200000 300000 88,205 98,905 113,697 (41,500) 15.8% 12.0% 11.7% -10.0% -5.0% 0.0% 5.0% 10.0% 15.0% - 50,000 100,000 150,000 200,000 250,000 6 Income from financial operations Expenses from financial operations Net Interest Margin - NIM (109,444) (147,373) -15,0% -10,0% -5,0% -200000 -100000 0 9M09 9M10 (41,500) (48,881) (57,394) -25.0% -20.0% -15.0% -10.0% (150,000) (100,000) (50,000) 3Q09 2Q10 3Q10 Net Income from Financial Operations 46,705 50,024 56,303 20.6% 12.6% 142,684 155,803 9.2% 3Q10 x 2Q10 9M09 9M10 9M10 X 9M09 R$ mil 3Q09 2Q10 3Q10 3Q10 x 3Q09
  7. 7. Net Income (R$ thousand) 52.4% 51.5% 39.3% 50.2% 39.6% 21,123 31,836 29,479 75,235 83,675 -7.4% 11.2% Financial Performance 35.7% 52.4% 51.5% 3Q09 2Q10 3Q10 9M09 9M10 Participation of insurance sector 7 3.3% 4.3% 3.1% 4.4% 3.8% 3Q09 4Q09 1Q10 2Q10 3Q10 ROAA 10.9% 15.3% 11.7% 16.9% 15.4% 3Q09 4Q09 1Q10 2Q10 3Q10 ROAE
  8. 8. Credit Portfolio Quality SME 12.5% Storeowner Consumer Credit 2.0% Others 1.3% 4.6% 4.8% 5.2% 4.3% 4.0% 3.9% 2.8% 3.0% 3.4% 2.7% 2.4% 2.4% 800.0 1,000.0 1,200.0 1,400.0 1,600.0 Loan Portfolio (R$ million) 8 FIDC I and II Effect Payroll Deductible Loan 84.2% 1,158.2 1,205.3 1,297.0 1,338.2 1,431.4 1,518.0 2.4% 2.4% - 200.0 400.0 600.0 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 Loan Operations Allowance for Doubtful Accounts (PDD)/Loan Portfolio Level H/Loan Portfolio
  9. 9. Credit Portfolio Quality Allowance for Doubtful Accounts (PDD) 61,377 58,805 4.4% 62,331 (1.5%) Portfolio overdue (> 60 days) 68,743 67,595 1.7% 73,839 (6.9%) Portfolio overdue (> 90 days) 56,973 54,251 5.0% 59,231 (3.8%) Total Portfolio* (a) 1,554,435 1,483,493 4.8% 1,347,703 15.3% Portfolio Coverage Index (PDD / > 60 days) 89.3% 87.0% 2.3 p.p. 84.4% 4.9 p.p. Portfolio Coverage Index (PDD / > 90 days) 107.7% 108.4% (0.7 p.p.) 105.2% 2.5 p.p. Allowance for Doubtful Accounts (PDD) / Total Portfolio 3.9% 4.0% (0.0 p.p.) 4.6% (0.7 p.p.) Written-off credits (b) 8,541 10,530 (18.9%) 12,032 (29.0%) Loss rate (b/a) 0.5% 0.7% (0.2 p.p.) 0.9% (0.3 p.p.) 3Q10 x 3Q09 R$ 3Q10 2Q10 3Q10 x 2Q10 3Q09 9 * Includes balance of assignment with co-obligation. Delinquency rate - Brazilian Financial System (“SFN”) Individuals (>90 days) = 6.0% Corporations (>90 days) = 3.5% Delinquency rate - Paraná Banco Payroll deductible (>90 days) = 4.0% Small and Mid Enterprises (>90 days) = 2.7%* Loss rate (b/a) 0.5% 0.7% (0.2 p.p.) 0.9% (0.3 p.p.)
  10. 10. Performance – Payroll 182.8 202.9 233.6 340.4 325.1 Payroll-Deductable Loan Origination (R$ million) -4.5% 46.0% 30.1% 20.0% 3.7% 0.3% Payroll-Deductible Loan Origination States Municipality INSS Federal Entities Others Payroll Deductible loan portfolio distribution 10 1,071 1,091 1,132 1,206 1,278 3Q09 4Q09 1Q10 2Q10 3Q10 Payroll-Deductible Loan (R$ million) 6.0% 3Q09 4Q09 1Q10 2Q10 3Q10 95.1% 2.5% 2.5% Quality of the Payroll-Deductible Loan Portfolio AA - C D-G H
  11. 11. Performance – SME Strategy: To invest in structuring this product in order to increase the share in this type of credit. 117.0 130.0 161.0 177.0 189.4 SME Portfolio (R$ million) 7,0% 11 97.0% 2.8% 0.1% Quality of the SME Portfolio AA - C D-G H 73.5% 8.7% 17.8% Sector Distribution - SME Services Commerce Industry 3Q09 4Q09 1Q10 2Q10 3Q10
  12. 12. Distribution 7 PLATFORMS •CURITIBA/PR •SÃO PAULO/SP PAYROLL-DEDUCTIBLEPAYROLL-DEDUCTIBLE Small and medium-sized enterprises - SME Small and medium-sized enterprises - SME 12 •SÃO PAULO/SP •PONTA GROSSA/PR •MARINGÁ/PR •LONDRINA/PR •JOINVILLE/SC •FLORIANÓPOLIS/SC 84 FRANCHISES 470 BROKERS 14 OWN STORES
  13. 13. Funding 37.7 232.3 1,372.0 Funding Sources (R$ million) 52.4% 12.8% 27.7% Deposits breakdown Institutional Investors Related Parties Individuals Other companies 13 Medium Term Notes - MTN 2006 2007 2008 2009 1Q10 2Q10 3Q10 Loans Assigment MTN Deposits 7.1% 12.8% Corporate investors 100,000 December/2009 December/2012 7.375% 100% 35,000 August/2008 August/2011 7.750% 100% + interest rate Tranche (US$ thousand) Maturity Coupon (p.a.) HedgeGranting Date Other companies
  14. 14. Capital Structure Initial Balance 796,534 805,585 Net Income 29,479 31,836 Interest on Equity (5,439) (13,145) Treasury shares (4,317) (27,892) Adjustment to market value - Marketable securities 441 150 IRB´s equity quotas updating 28 - Final Balance 816,726 796,534 Equity Changes (R$ thousand) 3Q10 2Q10 14 37.4% 38.9% 36.0% 33.9% 33.2% 3Q09 4Q09 1Q10 2Q10 3Q10 Basel Index 1.49 1.64 1.66 1.80 1.86 3Q09 4Q09 1Q10 2Q10 3Q10 Portfolio / Shareholder's Equity
  15. 15. Corporate Governance 1Q10 5,506,435.92 0.06 0.57 2Q10 10,645,443.84 0.12 1.41 3Q10 7,938,857.88 0.09 0.84 Total 24,090,737.64 0.27 - Distributed Gross Value (R$) Interest on Equity per share (R$) Dividend Yield (%) July 2010 July 2010July 2010 Low Credit Risk Rating A- Rating Rating / Ranking Rating brA- 11.56 A+ Low Credit Risk Low Credit Risk - Medium term August 2010 Low Credit Risk July 2010 July 2010July 2010 Low Credit Risk Rating A- July 2010 Low Credit Risk Rating A- Low Credit Risk Rating A- Rating Rating / Ranking Rating brA- 11.56 A+ Low Credit Risk Low Credit Risk - Medium term August 2010 Low Credit Risk 15 IOE: R$ 24.1 million, equivalent to R$ 0.27 per share and 29% pay-out. S&P upgrade from “brBBB+” to “brA-” IOE: R$ 24.1 million, equivalent to R$ 0.27 per share and 29% pay-out. S&P upgrade from “brBBB+” to “brA-”
  16. 16. Qualidade da Carteira de Crédito PDD 70.649 62.331 13,3% 51.469 37,3% Carteira (> 90 dias) 74.725 67.023 11,5% 56.151 33,1% Carteira (> 180 dias) 46.820 38.475 21,7% 30.420 53,9% Carteira Total* (a) 1.398.582 1.347.703 3,8% 1.330.658 5,1% Índice de cobertura da carteira (PDD / > 90 dias) 94,5% 93,0% 1,5 p.p. 91,7% 2,9 p.p. Índice de cobertura da carteira (PDD / > 180 dias) 150,9% 162,0% (11,1 p.p.) 169,2% (18,3 p.p.) PDD / Carteira Total 5,1% 4,6% 0,5 p.p. 3,9% 1,2 p.p. Créditos Baixados a Prejuízo (b) 8.754 13.250 (33,9%) 7.856 11,4% Nível de perda (b/a) 0,6% 1,0% (0,4 p.p.) 0,6% 0,0 p.p. 4T09 x 4T08 R$ 4T09 3T09 4T09 x 3T09 4T08 Insurance 3Q10 16 * Inclui saldo da cessão com coobrigação. Inadimplência SFN PF (>90 dias) = 7,8% PJ (>90 dias) = 3,8% Inadimplência Paraná Banco Consignado (>90 dias) = 5,9% PME (>90 dias) = 0,8% Nível de perda (b/a) 0,6% 1,0% (0,4 p.p.) 0,6% 0,0 p.p.
  17. 17. Equity R$ 816.7 MM* JM HoldingJM Holding OthersOthers 50.2 % 49.8 % Strategic Partnership Equity R$ 100.8 MM* Equity R$ 20.2 MM* Equity R$ 140.7 MM* 17 JM SeguradoraJM Seguradora JM Seguradora de Crédito JM Seguradora de Crédito JM ResseguradoraJM Resseguradora 99.9 % 56.6% 43.4% This operation is subject to SUSEP’s approval. * Equity on September 30, 2010, w/out Travelers’ investment. R$ 625 MM investmentR$ 110 MM Dividends
  18. 18. In Brazil: •Consolidating surety bond operations performance; • Develop Property and Casualty. Benefits In Latin America: • Develop the Surety Bond Reinsurance platform in Latin America; • Jointly seek new business opportunities in Latin America. • Increase capital through stronger capital structure, enhanced companies’ soundness and premium retention capacity; • Joint use of a world-renowned and respected brand; • Access to higher reinsurance capacity and increased business power. • Know how synergy 18
  19. 19. 42,4% 3,4% 13,1% 3,5% Market Share - reinsurance premiums Financial risk category IRB BRASIL RESSEGUROS JMALUCELLI RESSEGURADORA MAPFRE RE DO BRASIL CIA DE RESSEGURO MUNICH RE DO BRASIL 187,768 167,452 192,364 346,089 499,334 703,109 518,978 Market Share Market share evolution – direct premium (R$ thousand) 37,7% MUNICH RE DO BRASIL RESSEGURADORA XL RESSEGUROS BRASIL 29.2% 37.0% 42.3% 50.4% 43.0% 32.2% 37.9% 2004 2005 2006 2007 2008 2009 Sep-10 JMalucelli Seguradora Market 19 JMalucelli Seguradora: market leadership, profitable operation, low loss ratio, prompt credit analysis, customer selectivity and attractiveness for reinsurers. Belo Monte: Performance Bond issued in August 2010 totalled R$ 1.05 billion. JMalucelli Resseguradora: 37.7% of the financial risks group. JMalucelli Seguradora: market leadership, profitable operation, low loss ratio, prompt credit analysis, customer selectivity and attractiveness for reinsurers. Belo Monte: Performance Bond issued in August 2010 totalled R$ 1.05 billion. JMalucelli Resseguradora: 37.7% of the financial risks group.
  20. 20. Financial Performance 29.5% 46.3% 30.1% 25,0% 30,0% 35,0% 40,0% 45,0% 50,0% 8.000 10.000 12.000 14.000 JMalucelli Seguradora 23.3% 24.4% 25.0% 30.0% 35.0% 40.0% 45.0% 50.0% 8,000 10,000 12,000 14,000 JMalucelli Resseguradora 20 Net Income (R$ thousand) ROAE 6,217 12,492 9,254 0,0% 5,0% 10,0% 15,0% 20,0% 25,0% 0 2.000 4.000 6.000 8.000 3Q09 2Q10 3Q10 4,319 3,811 5,494 17.4% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 0 2,000 4,000 6,000 3Q09 2Q10 3Q10
  21. 21. Operational Performance (Insurance) 76,155 76,004 184,291 46,126 Insurance Claims (R$ thousand) 21 JM Seguradora has a specialized’ claim department that mediates and regulates all notifications received from customers. The basic principle is legal defense of involved parties and plenty of opportunities for discussion on the issues in question. JM Seguradora has a specialized’ claim department that mediates and regulates all notifications received from customers. The basic principle is legal defense of involved parties and plenty of opportunities for discussion on the issues in question. 38,273 29,950 16,146 46,126 253 4,025 2,372 6,457 9,056 7,960 6,083 2004 2005 2006 2007 2008 2009 Sep-10 Market JMalucelli Seguradora
  22. 22. Investment Policy 279.5 44.6 401.328.6 7.1% Financial Investment Portfolio (R$ million) DPGE = R$ 164.7DPGE = R$ 164.7DPGE = R$ 164.7DPGE = R$ 164.7 4,0% 22 Profitability: R$ 12.6 million income in 3Q10.Profitability: R$ 12.6 million income in 3Q10. 77.2 19.2% 69.6% Government Bonds Fixed Income Equity Investments Multi-market funds Total CDB = R$ 114.8CDB = R$ 114.8CDB = R$ 114.8CDB = R$ 114.8CD
  23. 23. Investor Relations Marianne C. Baggio IR Analyst Mauricio N. G. Fanganiello IR Supervisor Phone: +55 (41) 3351-9765 Cristiano Malucelli IR Officer Phone: +55 (41) 3351-9950 e-mail: ir@paranabanco.com.br IR website: www.paranabanco.com.br/ir 23 This material may include estimates and forward-looking statements. These estimates and forward-looking statements are mostly based on current expectations and projections of future events and financial trends which impact or may impact our business. Many important factors may have a negative impact on Banco Parana Banco’s results, such as those anticipated in our estimates and forward-looking statements. These factors include, but are not limited to, domestic and international economic conditions, fiscal, foreign exchange and monetary policies, increased competition in the consigned credit sector, Banco Parana Banco’s funding capacity to support its operations, and changes in Central Bank’s standards. The words “believe”, “can”, “may”, “aims”, “estimates”, “continues”, “anticipates”, “intends”, “expects” and other similar words are intended to identify estimates and projections. The considerations on estimates and forward-looking statements include information concerning results and projections, strategy, competitive position, sector circumstances, growth opportunities, future regulation and competition impacts. These estimates and projections refer only to the date that they were expressed, and no undertaking has been made to publicly update or revise them resulting from new information, future events or any other factors. Due to the risks and uncertainties set forth herein, the estimates and forward-looking statements in this material many not materialize. Considering these limitations, the shareholders and investors should not make any decisions based on the estimates, projections and forward-looking statements contained herein. Phone: +55 (41) 3351-9645 IR website: www.paranabanco.com.br/ir

×