3Q2021 result before tax of €1,924 million; capital
position strengthens, CET1 ratio at 15.8% |
• |
Strong growth in
fee income of 20% year-on-year, net interest income resilient. |
• |
Operating expenses
remain under control. This quarter’s expenses include €180 mln
provision for compensation to Dutch retail customers with certain
consumer credit products. |
• |
Risk costs remain
low as overall book quality is strong. |
• |
Resumption of
capital distribution through dividends and launch of share buyback
programme in October. |
CEO statement“I’m pleased with our results in the third quarter,”
said ING CEO Steven van Rijswijk. “We saw continued lending growth
in mortgages, whereas loan demand from businesses was influenced by
the economic effects of the Covid pandemic. Even so, our commercial
lending margins were slightly higher and we saw strong fee growth
in account package fees, investment products and lending.
"Expenses were under control, the quarter includes a €180 million
provision we took for the compensation of Dutch retail customers
for past interest charges that did not sufficiently follow market
rates. On risk costs, we were able to release some of the
additional provisions we took earlier. Other issues are moving to
the forefront for clients, like disruptions to supply chains,
rising energy prices and increasing inflation. We’ll continue to
support our clients wherever we can. I’m grateful for our
customers’ loyalty, as we gained about 95,000 primary customers
since the last quarter, bringing the total number of primary
customers to 14.1 million. “We aim to digitalise processes
in order to increase productivity and decrease the time customers
have to spend on banking. At Interhyp in Germany, the digital
mortgage platform called ‘HOME’ is used by customers, advisors,
brokers and bank partners. Today, nearly 500,000 customers use the
digital self-services the platform provides. This has led to a
marked decrease in manual workload for advisors and partners, and a
much faster decision for customers. “In Romania, where over
70% of our customers connect with us through their mobile device,
we now have a complete digital product offering, including personal
loans, insurance, investments, savings, current accounts, shopping
programmes, mobile card payments and virtual cards. Our mobile
sales in Romania have more than tripled since 2019. “We
continued to take steps in the third quarter to be an action leader
in the fight against climate change, sharpening our target for
reducing our funding to upstream oil and gas and working to set
net-zero targets for the eight other sectors in our Terra approach.
Many of our clients trust us as their strategic partner in
achieving their sustainability and long-term growth ambitions, such
as leading data-centre provider Aligned. They’re taking good steps
on sustainability in the area of digital infrastructure. ING has
received four consecutive sustainability-related mandates from
Aligned over the past 12 months, helping them issue the first
data-centre sustainability-linked loan and the first green
data-centre securitisation. “We’ve launched a share buyback
programme as we start on the path to optimise our capital while
maintaining our focus on our customers. I am pleased we could
return capital to our shareholders, and thank them for their
understanding throughout the distribution restrictions during the
pandemic. “Our hybrid mode of working is beginning in ING
countries around the world and colleagues are slowly starting to
return to the office, but we need to remain vigilant until the
pandemic is truly over. In the meantime, I remain grateful for
everyone’s flexibility and commitment.” |
|
Further informationAll publications related to ING’s 3Q 2021
results can be found at www.ing.com/3q21. Additional
financial information is available at www.ing.com/qr: • Full ING
Group 3Q 2021 press release (PDF) • ING Group analyst presentation
(PDF, also available via SlideShare)• ING Group historical trend
data (PDF and XLS) A short ING ON AIR video with
CEO Steven van Rijswijk discussing 3Q 2021 results is available on
Youtube. 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.
ING presentations are available at SlideShare. |
|
Investor conference call, Media conference call and webcastsSteven
van Rijswijk, Tanate Phutrakul and Ljiljana Čortan will discuss the
results in an Investor conference call on 4 November 2021 at
9:00 a.m. CET. Members of the investment community can join the
conference call at +31 20 341 8221 (NL),
+44 203 365 3209 (UK) or
+1 866 349 6092 (US) and via live audio webcast at
www.ing.com. Steven van Rijswijk, Tanate Phutrakul and
Ljiljana Čortan will also discuss the results in a Media conference
call on 4 November 2021 at 11:00 a.m. CET. Journalists are
welcome to join the conference call via +31 20 531 5855 (NL) or
+44 203 365 3210 (UK). The meeting can also be followed via
live audio webcast at www.ing.com. |
|
Investor enquiriesE: investor.relations@ing.com Press
enquiriesT: +31 20 576 5000E: media.relations@ing.com |
|
ING
ProfileING 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 57,000
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
leading position in sector benchmarks. ING's ESG rating by MSCI was
upgraded to 'AA' in December 2020. ING Group shares are included in
major sustainability and Environmental, Social and Governance (ESG)
index products of leading providers STOXX, Morningstar and FTSE
Russell. In January 2021, ING received an ESG evaluation score of
83 ('strong') from S&P Global Ratings. |
|
IMPORTANT LEGAL INFORMATIONElements 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. 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
2020 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 orimplied 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 and customer behaviour, in particular economic
conditions in ING’s core markets, including changes affecting
currency exchange rates (2) the effects of the Covid-19 pandemic and
related response measures, including lockdowns and travel
restrictions, on economic conditions in countries in which ING
operates, on ING’s business and operations and on ING’s employees,
customers and counterparties (3) changes affecting interest rate
levels (4) any default of a major market participant and related
market disruption (5) changes in performance of financial markets,
including in Europe and developing markets (6) political
instability and fiscal uncertainty in Europe and the United States
(7) discontinuation of or changes in ‘benchmark’ indices (8)
inflation and deflation in our principal markets (9) changes in
conditions in the credit and capital markets generally, including
changes in borrower and counterparty creditworthiness (10) failures
of banks falling under the scope of state compensation schemes (11)
non-compliance with or changes in laws and regulations, including
those concerning financial services, financial economic crimes and
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actions of governmental and regulatory authorities (13) legal and
regulatory risks in certain countries with less developed legal and
regulatory frameworks (14) prudential supervision and regulations,
including in relation to stress tests and regulatory restrictions
on dividends and distributions, (also among members of the group)
(15) regulatory consequences of the United Kingdom’s withdrawal
from the European Union, including authorizations and equivalence
decisions (16) ING’s ability to meet minimum capital and other
prudential regulatory requirements (17) changes in regulation of US
commodities and derivatives businesses of ING and its customers
(18) application of bank recovery and resolution regimes, including
write-down and conversion powers in relation to our securities (19)
outcome of current and future litigation, enforcement proceedings,
investigations or other regulatory actions, including claims by
customers who feel mislead and other conduct issues (20) changes in
tax laws and regulations and risks of non-compliance or
investigation in connection with tax laws, including FATCA (21)
operational risks, such as system disruptions or failures, breaches
of security, cyber-attacks, human error, changes in operational
practices or inadequate controls including in respect of third
parties with which we do business (22) risks and challenges related
to cybercrime including the effects of cyber-attacks and changes in
legislation and regulation related to cybersecurity and data
privacy (23) changes in general competitive factors, including
ability to increase or maintain market share (24) the inability to
protect our intellectual property and infringement claims by third
parties (25) inability of counterparties to meet financial
obligations or ability to enforce rights against such
counterparties (26) changes in credit ratings (27) business,
operational, regulatory, reputation and other risks and challenges
in connection with climate change (28) inability to attract and
retain key personnel (29) future liabilities under defined benefit
retirement plans (30) failure to manage business risks, including
in connection with use of models, use of derivatives, or
maintaining appropriate policies and guidelines (31) changes in
capital and credit markets, including interbank funding, as well as
customer deposits, which provide the liquidity and capital required
to fund our operations, and (32) the other risks and uncertainties
detailed in the most recent 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. This document may contain inactive textual
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Reference to such websites is made for information purposes only,
and information found at such websites is not incorporated by
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or warranty with respect to the accuracy or completeness of, or
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constitute an offer to sell, or a solicitation of an offer to
purchase, any securities in the United States or any other
jurisdiction. |