FY 2016: stable results and successful completion of the merger
General shareholders' meeting
The general shareholders ‘meeting of Bank Degroof Petercam approved the Bank’s consolidated statements for 2016.
The Bank posted a stable gross operational result of 122 million euro, compared to 125 million euro in 2015. This reflects revenues positively impacted by strong treasury results, and negatively affected by a decline in transactional revenues and by the negative interests rates in a difficult market environment. The operating charges recorded a slight decrease, despite higher banking taxes on deposits. The net profit after tax for 2016 totaled 58 million euro, compared to 96 million euro last year *. This evolution is explained by exceptional items, mainly related to the cost of the merger and the partial carve out of the equity portfolio in 2015.
On 31 December 2016, the assets under management totaled 52.3 billion euro, compared to 50 billion euro at the end of 2015. This increase was driven by positive market effects at the end of the year and by the inflow of new capital resulting from the distribution of our funds to third party holders. Assets under administration for third parties amounted to 8.1 billion euro, compared to 8.3 billion euro last year. Outstanding credits drawn down by the clients totaled 1.7 billion euro, cash deposits totaled 6.2 billion euro, against a balance sheet total of 7.7 billion euro and. The CET1 regulatory ratio of 17.1% (16.1 % in 2015) comfortably exceeds regulatory requirements, demonstrating the Bank’s strong liquidity position and capital base. At human resources level, staff numbers slightly decreased compared to 2015.
Philippe Masset, CEO of Bank Degroof Petercam: "2016 was an intense year for Bank Degroof Petercam. The integration was implemented according to plan thanks to the sustained efforts of all our teams. We can now state that the merger is a success, both for our clients and for our group. Throughout the year, our clients’ portfolios and funds recorded our above average returns. Our clients benefited from in-depth yet more diversified services in all our business lines, resulting in increased commercial activity. At group level, we witnessed the successful integration of our teams and systems, and we completed major IT migrations of our operations in Belgium and Luxembourg. Our group continues to grow progressively, in a more favorable 2017 environment, characterized by high investment performances and a positive business activity. ".
The annual report is available at http://annualreport2016-en.degroofpetercam.com/
* Pro forma IFRS -12 months Bank Degroof/12 months Petercam for 2015.