Press release - Groupe Crédit du Nord

Press release
February 15, 2013
Crédit du Nord Group maintained good sales momentum
and its 2012 results show good resilience
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•
•
•
Consolidated net banking income: EUR 1.9 billion, up by 0.4%1
Operating expenses limited to +0.7%
Cost of risk down by 3.1%
Net income (Group share): EUR 308 million, up by 3.8%1
•
Growth in the customer base:
- Individual customers: +3.3%
- Professional customers: +2.1%
- Business customers: +0.8%
Customer satisfaction and financing the economy are still central to the banking
model of the Crédit du Nord Group's regional banks. The buyback at the year-end of
minority shares in Banque Tarneaud, which is located in the Centre region and along
the Atlantic coast of France, is evidence of its aim to further strengthen its regional
foothold.
The Board of Directors of Crédit du Nord met on February 15, 2013 to approve the 2012 financial
statements of the Group (Crédit du Nord, Courtois, Kolb, Laydernier, Nuger, Rhône-Alpes, Société
Marseillaise de Crédit, Tarneaud, the brokerage Gilbert Dupont, and others).
The customer bases grew in all markets (Individual, Professional and Business customers), boosted
by a strong rate of new customers in what remained a challenging economic environment. At the end
of 2012, the Group had nearly 2.1 million Individual customers.
The 2.8% year-on-year growth in outstanding investment loans demonstrates the participation
by the Crédit du Nord Group banks in financing the regional economy and the development of SMEs.
Outstanding housing loans increased by 6.5% year-on-year.
Customer savings increased by 3.7%, driven in particular by balance sheet savings. This strong trend
reflects the trust shown by our customers, and enabled the Group to further improve the stability of its
financial resources.
Over 2012, Crédit du Nord Group showed good resilience in NBI, which increased by 0.4%1. The
margin on deposits fell by 1.5%, impacted by a marked fall in short-term interest rates. The margin on
consumer loans increased by 0.5%, underpinned by a volume effect and a recovery in margins.
Operating
expenses
were
limited
to
+0.7%,
while
the
cost
of
risk
fell
by
3.1%.
Net income (Group share) amounted to EUR 308 million, up by 3.8%1 in relation to 2011.
1
Variation restated for changes in provisions booked on PEL/CEL (home loan/mortgage savings plans) (+EUR 0.6 million in
2012, +EUR 3.7 million in 2011 before tax) and the fair value accounting of its financial liabilities (-EUR 12.4 million in 2012,
+EUR 12.1 million in 2011 before tax).
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KEY FINANCIAL DATA:
31/12/12
31/12/11
In EUR m
In EUR m
Net banking income
1,917.0
1,936.1
Operating expenses
1,239.9
1,231.6
+0.7%
+0.7%
Gross operating income
677.1
704.5
-3.9%
+0.0%
Operating income
485.3
506.5
-4.2%
+1.3%
Net income (Group share)
308.4
314.8
-2.0%
+3.8%
31/12/12
31/12/11
Consolidated Group data
In EUR m
In EUR m
Change
12/11
Customer loans
35,642.4
34,227.6
+4.1%
Customer deposits
29,554.7
28,241.0
+4.7%
Managed customer savings
54,710.3
52,781.2
+3.7%
Consolidated Group data
Change
12/11
Excluding
Consolid
PEL/CEL
ated
provisions
change
and fair
12/11
value of
financial
liabilities
-1.0%
+0.4%
SALES ACTIVITY
Société Marseillaise de Crédit saw growth in its activity and results, confirming its role as a major
growth driver for the years to come. Its migration in 2012 to Crédit du Nord's IT system enabled it to
provide even more effective support for the activity and projects of all of its clients. At the same time,
network reconfiguration continued: at the end of 2012, Crédit du Nord branches in the PACA region
and Banque Courtois branches in the Hérault department joined the Société Marseillaise de Crédit
banner, making it the Group’s sole brand in south-eastern France
Crédit du Nord also continued to leverage its ambitious branch opening programme, which was
launched in the mid 2000's: nearly 150 new branches have been created in high-potential areas,
helping to underpin the Group's strong sales results. Their customer bases offer significant sales
potential for years to come.
Moreover, the competition survey1 conducted by CSA in 2012 gave Crédit du Nord the top ranking
among the major French banks in terms of overall satisfaction in the Individual and Business customer
markets, and ranked it number-two in the Professional market.
The results of the survey, as well as the Podium de la Relation Client’s top customer relations award
in the Banking sector2, reflect the high quality of our customer relations, which are pivotal to our
growth model.
1. Source: CSA survey institute, May 2012, competition survey (conducted by telephone)
2. The BearingPoint/TNS Sofres survey was conducted between March 30 and April 9, 2012 on a
sample of 4,000 Crédit du Nord customers
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Individual customers
The active Individual customer base grew significantly in 2012. The 3.3% year-on-year
increase stemmed from efforts to win new customers, particularly through word-of-mouth
recommendations, as well as the contribution of new branches. As of December 31, 2012, the
Individual customer base totalled more than 2.1 million.
Savings inflows continued, with the opening of more than 100,000 new Livret A passbook saving
accounts and 53,000 new Antarius Duo and Antarius Sélection life insurance contracts. Life insurance
assets under management increased by 5.5% year-on-year. Net inflows amounted to more than
EUR 300 million.
2012 also saw successful personal protection and casualty insurance activity, with the signing of
nearly 76,000 contracts.
New housing loans were down 27% in relation to a particularly high 2011 comparison base. The
decline was nevertheless lower than the market rate, with total outstanding loans up 6.5% year-onyear to EUR 17.9 billion as at December 31, 2012
Professional customers
The Professional customer base also saw sustained growth. The active customer base comprises
roughly 218,000 customers, up 2.1% year-on-year. This reflects the quality of Crédit du Nord’s
particularly close customer relations, aimed at providing an appropriate offer and dedicated customer
advisors who oversee both the commercial and personal aspects of the relationship.
There was a sharp increase in the number of inter-company savings plans, employee savings plans
designed for small businesses, individual entrepreneurs and self-employed professionals, at 14.0%
year-on-year.
Business customers
The Business customer base stands at roughly 47,000, with more than one in four new business
customers posting more than EUR 7.5 million in revenue.
The economic crisis and the wait-and-see attitude adopted by customers led to a slowdown in demand
for loans during the year.
Outstanding investment loans were nevertheless up 2.8% year-on-year. Outstanding equipment
leases were up 6.7%, while the amount for short-term loans to businesses was up by 3.0% year-onyear.
With total outstanding business loans at EUR 12.1 billion, Crédit du Nord contributes to the financing
of the economy and the growth of SMEs
*****
Despite an unfavourable environment, the Crédit du Nord Group continued its commercial
development, with growth in all of its customer bases. The good resilience shown in its results
confirms the strength of its economic model.
Although the outlook for 2013 is uncertain, Crédit du Nord will benefit from its growth drivers,
drawing in particular on the new branches opened over the last decade and the development of
Société Marseillaise de Crédit.
Lastly, Crédit du Nord plans to continue upgrading its IT system. The "Convergence" project
launched in 2010 to build a shared IT system for all of the retail banks in the Société Générale Group,
will help to further improve sales, and expand the product offering for customers. Over the long term,
this investment will enhance its operating efficiency.
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About Crédit du Nord Group:
Crédit du Nord Group was established through the grouping of some 80 regional banks that have been pooling their respective strengths and
talents for over one hundred and sixty years. Today, the Group comprises, among others, eight banks - Courtois, Kolb, Laydernier, Nuger,
Rhône-Alpes, Société Marseillaise de Crédit, Tarneaud and Crédit du Nord; and a brokerage firm, Gilbert Dupont.
The Group’s 10,000 employees and network of 918 branches serve more than 2.1 million Individual customers, 217,700 Professional
customers and 46,800 Business customers.
Crédit du Nord Group's entities enjoy a large degree of freedom in the management of their activities, ensuring rapid decision-making and
exemplary responsiveness to their customers' needs.
The strategy of the Group’s banks is based around three core aims:
- to be a reference bank in terms of the quality of its customer relationships;
- to develop a high degree of individual and collective professionalism;
- to offer their customers state-of-the-art services and technologies.
The quality and strength of Crédit du Nord Group’s results is recognised by the market and through Standard & Poor’s long-term A rating
and Fitch’s long-term A+ rating.
Crédit du Nord is a wholly-owned subsidiary of Société Générale.
Press contact:
Sylvie Aussavis
Groupe Crédit du Nord
Head of press relations
Tel: +33 (0)1 40 22 53 21
[email protected]
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