ING
continues pace of commercial growth, attracting more customers and
increasing core lending |
· |
ING grew primary customer
base in 1Q18 by 170,000 to 11.2 million; total retail customers
reached 37.8 million |
· |
Net core lending in 1Q18
increased by €12.3 billion; net customer deposit inflow amounted to
€2.4 billion |
ING 1Q18
underlying pre-tax result of €1,686 million, up 2.1%
year-on-year |
· |
Good result reflects
continued loan growth and lower risk costs, whereas expenses
remained under control |
· |
ING's 1Q18 four-quarter
rolling underlying ROE was 10.3%; fully loaded CET1 ratio at
14.3% |
|
CEO
statement"We delivered solid profitability in the first quarter, at
the same time providing a differentiating experience for customers
and innovating to stay relevant for them in the future," said Ralph
Hamers, CEO of ING Group. "We attracted new customers and deepened
the relationship with existing ones. Overall customer numbers were
up more than 400,000 during the quarter to 37.8 million. Primary
relationships grew by 170,000 to 11.2 million, boosted by inflows
in our Challengers & Growth Markets, particularly in Australia.
We are on track to achieve our goal of 14 million primary
relationships by 2020." "We rolled out new products and services in
the first quarter to create an easier experience and empower
customers in new ways. These included ING Global Index Portfolios,
developed jointly in the Netherlands, Austria, Germany, Belgium and
Luxembourg, with each unit contributing vital parts to the whole.
This low-cost and easy-to-use investment product expands our
offering in those markets and provides customers with an
alternative to savings accounts." "We took an important step to
become the preferred platform for business customers by acquiring a
75 percent stake in Payvision, an innovative service that connects
merchants and payments providers by facilitating more than 80
payment methods in 150 currencies. This technological leap will
strengthen and expand ING's digital payments business, especially
in e-commerce." "And we achieved a milestone in the first quarter
when our Yolt open-banking platform in the UK passed the 250,000
user mark. Yolt empowers by giving people better insights into
their finances with the help of tools to manage their money across
financial institutions. Yolt taps into the disruption ushered in by
the European PSD2 open payments directive with a multi-bank value
proposition that we at ING feel will be a key element of the go-to
banking platforms of the future." "We've set ambitious targets for
responsible finance. We focus on financing companies and sectors
whose activities counter global warming and have a positive social
impact, as well as working together with environmental, social and
governance (ESG) industry leaders. This includes helping others to
secure sustainable finance, which we also did in the first quarter
when we acted as Sustainability Coordinator for the revolving
credit facility for global agri-business Olam International Ltd,
Asia's first sustainability-linked club loan deal. We also made
good progress in 1Q18 building a reputation for placing green
bonds; during the quarter ING led eight green bond issues for
clients." "Overall, our commercial momentum remained strong. We
recorded €12.3 billion of core lending growth in the quarter. Risk
costs remained low, and we demonstrated good cost control in the
first quarter. Expenses were down from the fourth quarter of 2017
when costs were higher due to investments in growth and
non-recurring items. I'm pleased with the progress on the merger of
Record Bank into ING Belgium, which we expect to be completed in
the first half of 2018. We remain on track to achieve the €900
million cost-savings goal we set as part of our Think Forward
strategy by 2021." "As we transform ING, we have to ensure the
highest standards in our daily operations. That includes further
strengthening non-financial risk areas, such as customer due
diligence, cyber security and anti-money laundering." "We have
successfully adopted the new IFRS 9 accounting standard, which came
into effect at the beginning of this year. Now that we can better
assess the potential impact of Basel IV and IFRS 9 on capital and
earnings, we have been able to complete ING Group's financial
ambitions with a CET1 ratio of around 13.5 percent and an
underlying ROE ambition between 10 and 12 percent. We continue to
expand our digital leadership and to attract customers that see us
as the go-to bank, as well as delivering attractive returns to
shareholders." |
|
Further
information All publications related to ING's 1Q18 results can be
found at www.ing.com/1q18, including a video with Ralph Hamers. The
video is also available on YouTube. Additional financial
information is available at www.ing.com/qr: · ING Group historical
trend data (PDF, XLS) · ING Group analyst presentation (PDF, also
available via SlideShare) For further information on ING, please
visit www.ing.com. Frequent news updates can be found in the
Newsroom or via the @ING_news Twitter feed. Photos of ING
operations, buildings and its executives are available for download
at Flickr. Footage (B-roll) of ING is available via
ing.yourmediakit.com or can be requested by emailing
info@yourmediakit.com. ING presentations are available at
SlideShare. |
|
Investor
conference call, Media conference call and webcasts Ralph Hamers,
Koos Timmermans and Steven van Rijswijk will discuss the results in
an Investor conference call on 9 May 2018 at 9:00 a.m. CET.
Members of the investment community can join the conference call at
+31 20 531 5821 (NL), +44 203 365 3209
(UK) or +1 866 349 6092 (US) and via live
audio webcast at www.ing.com. Ralph Hamers, Koos Timmermans
and Steven van Rijswijk will also discuss the results in a media
conference call on 9 May 2018 at 11:00 a.m. CET. Journalists
are welcome to join the conference call via
+31 20 531 5871 (NL) or
+44 203 365 3210 (UK). The call can also be
followed via live audio webcast at www.ing.com. |
|
Investor
enquiries T: +31 20 576 6396 E: investor.relations@ing.com
Press enquiries T: +31 20 576 5000 E:
media.relations@ing.com |
|
ING Profile
ING is a global financial institution with a strong European base,
offering banking services through its operating company ING Bank.
The purpose of ING Bank is empowering people to stay a step ahead
in life and in business. ING Bank's more than 51,000 employees
offer retail and wholesale banking services to customers in over 40
countries. ING Group shares are listed on the exchanges of
Amsterdam (INGA NA, INGA.AS), Brussels and on the New York Stock
Exchange (ADRs: ING US, ING.N). Sustainability forms an
integral part of ING's strategy, evidenced by ING's ranking as a
leader in the banks industry group by Sustainalytics. ING Group
shares are included in the FTSE4Good index and in the Dow Jones
Sustainability Index (Europe and World), where ING is also among
the leaders in the banks industry group. |
|
IMPORTANT
LEGAL INFORMATION Elements of this press release contain or may
contain information about ING Groep N.V. and/ or ING Bank N.V.
within the meaning of Article 7(1) to (4) of EU Regulation No
596/2014. Projects related to the integration of Record Bank
in Belgium are still subject to regulatory approval. ING
Group's annual accounts are prepared in accordance with
International Financial Reporting Standards as adopted by the
European Union ('IFRS-EU'). In preparing the financial information
in this document, except as described otherwise, the same
accounting principles are applied as in the 2017 ING Group
consolidated annual accounts. All figures in this document are
unaudited. Small differences are possible in the tables due to
rounding. Certain of the statements contained herein are not
historical facts, including, without limitation, certain statements
made of future expectations and other forward-looking statements
that are based on management's current views and assumptions and
involve known and unknown risks and uncertainties that could cause
actual results, performance or events to differ materially from
those expressed or implied in such statements. Actual results,
performance or events may differ materially from those in such
statements due to a number of factors, including, without
limitation: (1) changes in general economic conditions, in
particular economic conditions in ING's core markets,
(2) changes in performance of financial markets, including
developing markets, (3) potential consequences of European
Union countries leaving the European Union or a break-up of the
euro, (4) changes in the availability of, and costs associated
with, sources of liquidity such as interbank funding, as well as
conditions in the credit and capital markets generally, including
changes in borrower and counterparty creditworthiness,
(5) changes affecting interest rate levels, (6) changes
affecting currency exchange rates, (7) changes in investor and
customer behaviour, (8) changes in general competitive
factors, (9) changes in laws and regulations and the
interpretation and application thereof, (10) geopolitical
risks and policies and actions of governmental and regulatory
authorities, (11) changes in standards and interpretations
under International Financial Reporting Standards (IFRS) and
the application thereof, (12) conclusions with regard to
purchase accounting assumptions and methodologies, and other
changes in accounting assumptions and methodologies including
changes in valuation of issued securities and credit market
exposure, (13) changes in ownership that could affect the
future availability to us of net operating loss, net capital and
built-in loss carry forwards, (14) changes in credit ratings,
(15) the outcome of current and future legal and regulatory
proceedings, (16) operational risks, such as system
disruptions or failures, breaches of security, cyberattacks, human
error, changes in operational practices or inadequate controls
including in respect of third parties with which we do business,
(17) the inability to protect our intellectual property and
infringement claims by third parties, (18) the inability to
retain key personnel, (19) business, operational, regulatory,
reputation and other risks in connection with climate change,
(20) ING's ability to achieve its strategy, including
projected operational synergies and cost-saving programmes and
(21) the other risks and uncertainties detailed in the 2017
annual report of ING Groep N.V. (including the Risk Factors
contained therein) and ING's more recent disclosures,
including press releases, which are available on www.ING.com. Many
of those factors are beyond ING's control. Any forward
looking statements made by or on behalf of ING speak only as of the
date they are made, and ING assumes no obligation to publicly
update or revise any forward-looking statements, whether as a
result of new information or for any other reason. This
document does not constitute an offer to sell, or a solicitation of
an offer to purchase, any securities in the United States or any
other jurisdiction. |