ING continues to see growth in primary customers and
customer deposits |
• |
Retail primary
customers rose in 3Q2019 by 165,000 to 13.1 million; total retail
customer base reaches 38.7 million |
• |
Net customer
deposits in 3Q2019 grew by €4.4 billion; net core lending declined
by €1.0 billion, while maintaining growth in mortgages |
|
ING 3Q2019 underlying pre-tax result of €1,911
million |
• |
Result reflects
well-diversified loan book with resilient margins, despite margin
pressure on customer deposits, as well as higher fee income |
• |
Expenses increased
mainly due to KYC; risk costs remain below ING’s through-the-cycle
average |
• |
Four-quarter
rolling underlying ROE was 10.3%; ING Group CET1 ratio increased to
14.6% |
CEO statement“We performed well in the third quarter. Even
with the ongoing negative interest rate environment, our net
interest income has remained resilient,” said Ralph Hamers, CEO of
ING Group. “Furthermore, we saw an increase in fee income in the
third quarter. We also recorded higher expenses mostly related to
our know your customer (KYC) programme and an increase in risk
costs. Net customer deposits grew by €4.4 billion in the quarter.
Total net core lending, however, declined by €1.0 billion due to a
€4.6 billion drop in Wholesale Banking, partly related to the
development of the oil prices and the repayment of some larger term
loans. Net core lending in Retail Banking grew by €3.6 billion,
primarily in mortgages. Our capital position further improved this
quarter. We do expect to see effects on capital from banking
regulation and reviews in the coming quarters.“We encourage working
together with politicians and law enforcement and joining forces
with other financial institutions in fighting financial and
economic crime. Internally, we continue to take steps to improve
how we manage non-financial risk. We have made progress
strengthening our global KYC organisation and governance structure
throughout ING, as well as progress in rolling out global KYC
solutions that all countries can connect to. For example, our
mid-corporate customers in Poland are now connected to our global
solution for customer onboarding and review.“We added about 165,000
primary customers in the third quarter, indicating that our efforts
to offer them a differentiating experience continue to pay off. We
keep on making it easier for customers to make payments. We rolled
out Apple Pay and Google Pay in more countries, including becoming
a pioneer in the Polish market by offering Apple Pay for business
customers. The number of customers who signed up to make mobile
card payments soared 35% in the third quarter from last quarter,
and the number of mobile card transactions almost doubled,
totalling more than the transactions done in the entire first half
of the year.“We’re digitalising more processes to make them
convenient and time-saving for customers. For example, Wholesale
Banking clients in Poland can now also sign credit documentation
electronically, and in Belgium we enable our customers to start the
mortgage process online. Our partnerships with fintechs also help
ING offer more financial tools to customers, such as our investment
in Flowcast, a start-up that improves the credit-decision
process.“We continue to take action in the third quarter to
contribute to combatting climate change. As we want to make a real
positive impact, it’s imperative that the financial sector works
together. Recent milestones of such cooperation include the launch
of the UN-backed Principles for Responsible Banking as well as the
Collective Commitment to Climate Action, two related initiatives
that ING signed in September at Climate Week in New York.“ING is
committed to steering our portfolio towards the well-below
two-degree goal of the Paris Agreement. In September, we shared our
progress by showing which of our sectors are on track to meet
global climate goals and where work is still in progress. We are
the first bank to publish this kind of climate alignment disclosure
and will continue on this path.“A bank in today’s world must
diligently manage risks and uphold its integrity, while playing its
part to fight climate change and unfailingly putting its customers
first. This is a balance that ING strives to achieve every
day.” |
|
Further information All publications related to ING’s 3Q2019
results can be found at www.ing.com/3q2019, including a video with
Ralph Hamers. The video is also available on YouTube. Additional
financial information is available at www.ing.com/qr:• Full ING
Group 3Q2019 press release (PDF) • ING Group analyst presentation
(PDF, also available via SlideShare) • ING Group historical trend
data (PDF, XLS) 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, Tanate Phutrakul and Steven van Rijswijk will discuss the
results in an Investor conference call on 31 October 2019 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, Tanate Phutrakul and Steven van
Rijswijk will also discuss the results in a media conference call
on 31 October 2019 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 53,000 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
Leader in the banks industry group by Sustainalytics and ‘A’ rating
in MSCI’s ratings universe. ING Group shares are included in major
sustainability and Environmental, Social and governance (ESG) index
products of leading providers STOXX, Morningstar and FTSE Russell.
|
|
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. 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 2018 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, in particular economic conditions in ING’s
core markets,(2) changes in performance of financial markets,
including developing markets, (3) potential consequences of the
United Kingdom leaving the European Union or a break-up of the
euro, (4) changes in the fiscal position and the future economic
performance of the US includingpotential consequences of a
downgrade of the sovereign credit rating of the US government, (5)
potential consequences of a European sovereign debt crisis, (6)
changes in the availability of, and costs associated with, sources
of liquidity such as interbank funding, (7) changes in conditions
in the credit and capital markets generally, including changes in
borrower and counterparty creditworthiness, (8) changes affecting
interest rate levels, (9) inflation and deflation in our principal
markets, (10) changes affecting currency exchange rates, (11)
changes in investor and customer behaviour, (12) changes in general
competitive factors, (13) changes in or discontinuation of
‘benchmark’ indices, (14) changes in laws and regulations and the
interpretation and application thereof, (15) changes in compliance
obligations including, but not limited to, those posed by the
implementation of DAC6, (16) geopolitical risks, political
instabilities and policies and actions of governmental and
regulatory authorities, (17) changes in standards and
interpretations under International Financial Reporting Standards
(IFRS) and the application thereof, (18) 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, (19) changes in ownership that could affect the future
availability to us of net operating loss, net capital and built-in
loss carry forwards, (20) changes in credit ratings, (21) the
outcome of current and future legal and regulatory proceedings,
(22) 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, (23) risks and
challenges related to cybercrime including the effects of
cyber-attacks and changes in legislation and regulation related to
cybersecurity and data privacy, (24) the inability to protect our
intellectual property and infringement claims by third parties,
(25) the inability to retain key personnel, (26) business,
operational, regulatory, reputation and other risks in connection
with climate change, (27) ING’s ability to achieve its strategy,
including projected operational synergies and cost-saving
programmes and (28) the other risks and uncertainties detailed in
this 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. (29) This
document may contain inactive textual addresses to internet
websites operated by us and third parties. Reference to such
websites is made for information purposes only, and information
found at such websites is not incorporated by reference into this
document. ING does not make any representation or warranty with
respect to the accuracy or completeness of, or take any
responsibility for, any information found at any websites operated
by third parties. ING specifically disclaims any liability with
respect to any information found at websites operated by third
parties. ING cannot guarantee that websites operated by third
parties remain available following the publication of this
document, or that any information found at such websites will not
change following the filing of this document. 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. |