MONETA Money Bank : Presentation of FY 2022 financial results, consolidated

FY 2022 Results

Published on 3 February 2023 at 07:00 CET

According to IFRS, Consolidated, Unaudited

MANDATORY DISCLOSURE / PUBLIC DISCLOSURE OF INSIDE INFORMATION

2022 HIGHLIGHTS

(in CZK)

• Operating income of CZK 12.1 billion in line with 2022 plan
• Net profit exceeds guidance by 18% due to slightly better income, stable operating expenses and benign Cost of Risk
• Earnings per share significantly above guided minimum of CZK 8.6

Operating income

12.1bn

+8.5%

Cost of

Risk

(0.1)bn

(87.1)%

Operating Operating

expensesprofit

(5.6)bn 6.5bn

+1.0%+15.8%

Net	Earnings per
profit	share

5.2bn	10.2
+30.2%	+30.2%

Note: Percentage represents year-on-year change.

2

2022 HIGHLIGHTS

(in CZK)

• Strong deposit base growth delivered additional CZK 49 billion, mainly from retail customers
• During 2022 MONETA issued
  CZK 3.9 billion of MREL eligible bonds enabling dividend capacity
• Assets side growth driven mainly by expansion of lending base by CZK 14.4 billion and purchase of investment securities of
  CZK 8.8 billion

Deposit	Issued
base1	securities

334bn	10bn
+17.2%	+43.6%

Total	Lending
assets	base2

388bn	270bn
+13.9%	+5.6%

Accounting equity

31bn

+5.5%

Investment securities

58bn

+17.8%

Note: Percentage represents year-on-year change. (1) Core customer deposits; (2) Gross performing loan portfolio.

3

2022 HIGHLIGHTS

• NIM erosion driven through rapid and material change in key interest rate, which increased from 3.75% to 7.0%
• Productivity increased through disciplined cost management resulting in 3.4pp improvement in C/I ratio
• Improved Liquidity Coverage Ratio by 35.9pp, supported overall profitability and capital return through higher deposit balance placed in the CNB

Net Interest	Cost to Income	Return on
Margin	Ratio	Tangible Equity

2.6%	46.2%	18.7%
(0.2)pp	(3.4)pp	+3.5pp

Loan to	Capital	Liquidity
Deposit Ratio	Adequacy Ratio	Coverage Ratio

80.4% 18.0% 213.7%

(9.2)pp

+0.9pp

+35.9pp

4

2022

KEY TRENDS

• Focus on securing incremental

liquidity at positive margin to CNB

repo rate and strengthening capital

position (MREL)

Improved liquidity	Strengthening capital &
position at higher CoF	MREL position
• CZK 346.0bn total funding base, increase	• By CZK 3.9bn or 237bps1 through
of 14.5% year-on-year	issuance of MREL eligible bonds in 2022
• +CZK 39.1bn retail, +CZK 9.8bn commercial,	• By CZK 1.9bn or 113bps through
CZK (5.0)bn wholesale year-on-year	RWA optimisation2,3
• 1.66% Cost of Funds significantly	• By CZK 1.0bn or 59bps through regulatory
higher than last year at 0.39%	capital optimisation2,4

• Emphasis on scaling employment to

market demand and mitigating

inflation pressure on cost base

• Continued effort on digitalisation of

product distribution and improvement

of self-care service capabilities

Focus on loan portfolio yield improvement

• Loan portfolio yield reached 4.4% in 4Q'22 vs. 3.9% in 4Q'21
• Retail loan portfolio yield reached 3.9% in 4Q'22 vs. 3.8% in 4Q'21
• Commercial loan portfolio yield reached 5.5% in 4Q'22 vs. 4.0% in 4Q'21

Strong profitability & shareholder distribution

• CZK 5.2bn net profit, 30.2% year-on- year increase
• 18.7% Return on Tangible Equity against 15.2% in 2021
• CZK 8 per share5 to be proposed as 2022 dividend at AGM in April 2023

Note: (1) Impact on capital adequacy ratio on individual basis; (2) Impact on capital adequacy ratio on consolidated basis; (3) Netting of OTC derivatives for all institutions
that are subject to legally enforceable bilateral netting arrangement according to the Regulation (EU) 575/2013; (4) Based on Article 473a of Regulation (EU) No 575/2013 of	5
the European parliament and of the council of 26 June 2013 on prudential requirements for credit institutions and amending Regulation (EU) No 648/2012; (5) Subject to
corporate, regulatory and regulator's limitations and approval of the Annual General Meeting.