Earnings Release • Mar 15, 2017
Earnings Release
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| Informazione Regolamentata n. 1130-16-2017 |
Data/Ora Ricezione 15 Marzo 2017 19:32:24 |
MTA | ||||
|---|---|---|---|---|---|---|
| Societa' | : | POSTE ITALIANE | ||||
| Identificativo Informazione Regolamentata |
: | 86276 | ||||
| Nome utilizzatore | : | POSTEN03 - Fabio Ciammaglichella | ||||
| Tipologia | : | IRAG 01 | ||||
| Data/Ora Ricezione | : | 15 Marzo 2017 19:32:24 | ||||
| Data/Ora Inizio Diffusione presunta |
: | 15 Marzo 2017 19:47:25 | ||||
| Oggetto | : | (this document replaces that one disseminated today at 5.35 pm) |
Poste Italiane: BoA approves 2016 results | |||
| Testo del comunicato |
This document replaces that one disseminated today at 5.35 p.m.
Rome, 15 March 2017 – The Board of Directors of Poste Italiane S.p.A. ("Poste Italiane"), chaired by Luisa Todini, reviewed and approved today the 2016 Annual Financial Statements, drawn up in compliance with the measurement, recognition and classification criteria laid down by international accounting standards (IAS/IFRS).
| 2016 | 2015 | Change | |
|---|---|---|---|
| Total revenue | 33,112 | 30,739 | +7.7% |
| Operating profit | 1,041 | 880 | +18.3% |
| Net profit | 622 | 552 | +12.7% |
| Client assets under management | 493,347 | 475,939 | +3.7% |
| /administration | |||
| Net industrial financial position | 893 | 307 | n.s. |
Mr. Francesco Caio, Chief Executive Officer and General Manager, commented on the results as follows:
"Poste Italiane closed 2016 with strong revenue and margin growth to consolidate the direction of change and development begun in 2014. At Group level revenues exceeded 33 billion euros with growth of 7.7% compared to 2015; operating profit exceeded one billion euros (1,041 mln) with growth of 18.3%. Net profits grew by 12.7% to 622 million euros. As announced when the company was listed, we will pay again for 2016 a dividend equivalent to 80% of net profits, or € 0.39 per share, representing growth of 15%.
The Group's results saw contributions from all business areas which have effectively pursued the priorities of investment and development laid out in the Business Plan: postal services launched a new delivery model, while Poste gained market share in the parcels segment with volume growth of over 12%. BancoPosta achieved an ROE (Return On Equity) of 29%. Meanwhile in insurance Poste Vita grew by 9% in terms of premiums collected.
Total client assets under management/administration reached € 493 billion, up 3.7%.
Since the Five-Year Business Plan was presented in 2014, the company has grown its revenues by nearly 50%, operating profit by 50% and net profit has almost tripled.
These results demonstrate the validity of the company's strategic decisions and its capacity, through the actions of the management team and the efforts of all its people, to turn them into business and financial results; as well as continual dialogue and relations with the institutions, the regulators and the local territories in which it is deeply rooted.
As announced with the presentation of the 2020 Poste Business Plan, Poste Italiane has in recent years embarked on a development path that combines two directions of travel: on the one hand growth, innovation and customer focus - subscribed by Italian and foreign investors at the stock exchange listing; on the other, confirmation of the social mission which has always marked the company's character, preserving and strengthening Poste's widespread local presence guaranteeing proximity and inclusion to communities and citizens across the whole country.
These latest results represent a very robust basis on which to proceed with implementation of the 2020 Plan".
* * *
In addition to the standard financial indicators required by IFRS, Poste Italiane also utilises a number of alternative performance indicators, with a view to providing a clearer assessment of the business performance and financial position. The meaning and makeup of such indicators are described in the annex, in line with the ESMA/2015/1415 Guidelines of 5 October 2015.
* * *
In financial year 2016, the Group's total revenue, inclusive of insurance premiums, registered a 7.7% growth compared with the previous year, rising to € 33.1 billion. The positive performance of the Insurance Services and Asset Management business, with revenues up 10.8% to € 23.8 billion compared with the previous year, and the steady performance of Financial Services generating revenues for € 5.3 billion, more than offset the anticipated decline in revenues from Postal and Business Services (-1.5% to € 3.8 billion), mainly driven by a reduction in mail volumes (-10.9%) and in any case slower than the previous year. Revenues for the parcel service grew by 6.4% compared with the previous financial year to € 649 million.
The operating profit recorded a sharp rise of 18.3% from the previous year (€ 880 million) to stand at € 1,041 million. This increase is due to the aforementioned positive performance of revenues together with a containment of operating costs.
The net profit is € 622 million, an increase on the € 552 million of the previous year.
The Board of Directors proposed a dividend of € 0.39 per share, for submission to the approval of the shareholders' meeting, in line with the Company's dividend pay-out policy of least 80% of Poste Italiane's 2016 consolidated net profit.
The group net financial position presents a surplus of € 6.2 billion. The variation, compared with a surplus of € 8.7 billion at 31 December 2015, while benefiting from a positive cash flow of nonfinancial operations for more than € 1.4 billion, suffered from the generalised contraction in the fair value of the financial instruments (of € -2.3 billion) and from the reclassification (for € -0.6 billion) of the financial assets and liabilities of BdM-MCC SpA and BancoPosta Fondi SpA SGR in the items specified in IFRS 5.
The net industrial financial position presents a surplus of € 893 million, an improvement on the surplus of € 307 million at the end of 2015.
Capital Expenditure comes to € 451 million for the year, and is primarily related to the computerisation of telecommunication networks and to property renovation and restructuring.
During 2016, client assets under management/administration rose to € 493 billion, up 3.7% from € 476 billion at 31 December 2015. The result can be ascribed mainly to a growth in technical provisions in the life insurance business, the investment funds and BancoPosta's current account deposits.
As regards the distribution networks, the process of modernisation and digitalisation of post offices continued during 2016 via the roll-out of wi-fi connectivity in 3,200 post offices from the start of the project and the installation of a "new queue management" system already present in over 1,700 offices: the average waiting time in offices with queue management was 8.6 minutes in 2016, down 27% on the previous year. These initiatives continue to further improve the quality of customer services, including the opening of 23 multilingual offices across the nation to simplify access to the Group's services for "new Italians".
Pursuant to the Business Plan's provisions in terms of increasing the efficiency and promoting the requalification of human resources, about 1,500 new resources were hired (including over 500 transformations from part-time to full-time contracts), while the total average headcount of the Group fell by about 2,500 units compared to 2015. In addition, 5,700 employees have signed up to the pre-retirement plan, and, at 31 December 2016, have left the Group. Group personnel received over 3 million hours of training.
Information on the main operating segments is reported below.
Total revenues equal € 5.8 billion, up from € 5.6 billion in 2015 due to non-recurring proceeds of € 121 million generated by the divestiture of the Group's shareholding in Visa Europe Ltd and fees received for the distribution of loan products. The increase in income from the active management of the securities portfolio held by BancoPosta offset the lower revenues and earnings in large part due to the decline in market returns.
Operating profit fell by -10.4% compared with 2015 (€ 907 million) and amounted to € 813 million. Despite the rise in revenues, the contraction was mainly ascribable to higher costs of distribution, linked to the Company's remunerating policy on services rendered by the sales network, and the higher provisions following the initiative to protect customers who invested in the real estate funds offered by Poste Italiane in the period 2002 to 2005.
BancoPosta's average deposits (including long-term repos) amount to € 49.6 billion, up 10% from € 45.2 billion in 2015.
Postepay Evolution – the personal rechargeable prepaid card with IBAN code – at the end of February 2017 topped the major target of 3.8 million cards issued since launch (July 2014).
Poste Italiane, through BancoPosta, has continued to strengthen its services for Italian households by expanding the range of consumer loans and mortgages, with a range of solutions in terms of length, amount and repayment flexibility, as well as offering the possibility of subrogation and additional liquidity on mortgages.
Total revenues, inclusive of other income from insurance operations, amounted to € 23.8 billion, registering a 10.8% increase on the previous year (€ 21.5 billion), € 1.7 billion due to a higher total for insurance premiums collected. More specifically, Poste Vita, the leading Italian insurance provider with technical provisions amounting to € 113.5 billion (€ 100.2 billion at the end of December 2015) collected premiums for approximately € 19.8 billion (€ 18.1 billion in 2015), mainly through the sale of Class I, and to a lesser extent, Class III and V products. The above increase in premium revenues had a physiological offset in the increase in insurance technical provisions.
Operating profit amounted to € 636 million, up 24.7% compared with financial year 2015 (€ 510 million) mainly thanks to the increase in insurance investments on which Poste Vita earns partly recurrent fees.
External revenues of € 3.8 billion, down -1.5%.
Total revenues amount to € 8.4 billion (inclusive of € 4.5 billion in captive revenue, mainly due to distribution services), which grew 1.8% compared with 2015 (€ 8.2 billion). The fall in external revenue for mail services, which was less steep than the previous year (-1.9%, as against -5.4% in 2015), is ascribable to the anticipated reduction in the volumes of postal products. Financial year 2016 benefited from the effects of the new tariffs introduced from December 2014 and from the recognition of amounts (€ 109 million) to partially cover of the costs of the Universal Postal Service, suspended in previous years and foreseen by the new provisions in the government's budget following the previous contractual undertakings of the Ministry of Economy and Finance - MEF. This slowing in the decline in revenues is also linked to steps taken by management to improve the quality of traditional postal services and increase the efficiency of the related business processes.
On 1 October 2015 the transformation of the Universal Postal Service was launched, with a new offering of more articulated and flexible services, and a new delivery model, envisaging the gradual introduction of alternate day delivery for up to 25% of the Italian population. The new regulatory framework will allow the Group to provide a better response to changed customer needs and accelerate implementation of the Business Plan.
The parcel service posted a 12.8% growth compared to 2015, for a total number of 97 million parcels handled in the year, also thanks to the developing growth of e-commerce in Italy.
Operating profit was a negative € -436 million (€ -568 million in 2015) and, with respect to the slide in revenues mentioned above, was mitigated by the containment of external costs, and by the higher contribution paid by BancoPosta for the activities of the sales network and regulated by the internal executive policy.
A partial demerger deed regarding the fixed line telecommunication business ("Rete Fissa TLC") of the subsidiary PosteMobile S.p.A. in favour of Poste Italiane was executed on 27 April 2016. The operation, whose accounting and tax implications took effect from 1 May 2016, was completed on schedule in accordance with the Group's strategic plan.
On 31 May 2016 the Council of Ministers approved, on the recommendation of the Ministry of Economy and Finance, the draft Decree of the President of the Council of Ministers (DPCM) which defines the privatisation criteria and disposal procedure for a further share of the Ministry of the Economy and Finance's holding in Poste Italiane S.p.A., so as to maintain a public interest through Cassa Depositi e Prestiti SpA (CDP) in the share capital of Poste Italiane SpA, to be allocated to CDP's segregated assets, in relation to which the guidance and management function will continue to be exercised by MEF (Ministry of the Economy and Finance). On 24 June 2016, the Extraordinary General Meeting of CDP approved an increase in the share capital reserved to MEF for an amount of € 2.93 billion inclusive of share premiums. On the paying in of the capital increase, on 20 October 2016 MEF awarded CDP a share in Poste Italiane consisting of 457,138,500 ordinary shares equal to 35% of the share capital.
In addition, on 30 December 2016, the MEF assigned around 5.7 million shares to subscribers of the IPO of 27 October 2015 who had maintained full ownership of the securities uninterrupted for 12 months.
On 31 December 2016, therefore, as a result of the above operations, MEF holds a share equal to around 29.3% of the capital of Poste Italiane.
On 21 June 2016, Poste Italiane SpA, as principal member of Visa Europe Ltd, transferred its shareholding in Visa Europe as part of the global transaction for the acquisition and merger of said company into the US based company Visa Incorporated. The total fair value of the amount received was € 121 million with a corresponding positive impact on the consolidated income statement for the financial year.
On 12 September 2016 Poste Italiane, Postecom and Postel approved a breakup and merger plan as part of the corporate reorganization of Postecom, in two stages: (i) partial spin-off of Postecom in favour of Postel of the business unit responsible for activities relating to the shareholdings in PatentiViaPoste ScpA and in the Consortium Poste Motori; (ii) merger by incorporation of Postecom in Poste Italiane. The operation will have legal, accounting and tax effect from 1 April 2017.
On 10 November 2016, as part of a strategy to grow the asset management sector, Poste Italiane and Anima Holding signed a framework agreement by which Poste Italiane will in the course of 2017 pass its stake in BancoPosta Fondi SpA SGR to Anima Holding. Following this operation, Poste Italiane will increase its shareholding in Anima, today 10.32%, to a maximum 24.9%. Within the terms and the undertakings made in 2016, the operation will amount to a share exchange by which Poste Italiane will strengthen its stake in Anima Holding without however assuming control, based on the conditions in place at the date of drafting of the 2016 Annual Financial Statements.
Within the framework of the Business Plan focused on the three main business areas (mail and logistics, payments and financial services, asset management and insurance), following negotiations during the last quarter of 2016, on 8 February 2017 Poste Italiane concluded an agreement to transfer to Invitalia - the national agency for the attraction of investment and business development - the entire equity package of Banca del Mezzogiorno-Medio Credito Centrale (BdM-MCC) for a total value of € 390 million. The operation is expected to close during the first half of 2017, subject to approval by the Ministry of Economic Development, the Bank of Italy and the European Central Bank. Since Poste Italiane and Invitalia are subject to common control by MEF, in accordance with the law and applicable regulations, the operation was approved by the Board of Directors of Poste, after hearing favourable opinions from the Related Parties Committee and the Connected Parties within it.
On 15 February 2017 - in execution of the preliminary agreement signed on 16 September 2016 between Poste Italiane and CDP for the transfer from FSI Investimenti SpA (controlled by CDP Equity SpA via a 77% stake) to Poste of an indirect shareholding in SIA SpA (amounting to 14.85%), business leader in e-payments, payments and online services - Poste completed the acquisition of a 30% stake in FSIA Investimenti Srl (holder of 49.5% of SIA), owned 100% by FSI Investimenti SpA. With the operation finalised, following the issue of the due authorizations by the antitrust authority and the Bank of Italy, Poste paid 80% of the price of the transaction – with a total expected value of € 278 million. The final price might be adjusted, up or down, depending on the values established for SIA's net financial position at 31 December 2016 and its business results for financial year 2017. With the closure of the deal, the shareholder agreement between Poste Italiane and CDP Equity takes effect concerning the governance and ownership structure of FSIA and SIA over which the parties exercise joint control. The operation amounts to a transaction between related parties (since Poste Italiane and FSI Investimenti are subject to joint control by the Ministry of Economy and Finance) of lower importance.
In the Postal and Business Services segment the Group will continue the restructuring process begun in recent years, leveraging the new regulatory framework and the greater efficiency achieved by implementing the new delivery model. It will also continue to review the structure of logistics-production to increase efficiency and quality and improve its competitive position in the express delivery and parcel markets.
With regard to Financial Services the Company particular attention will be paid to its position in the transaction banking segment, consolidation of digital banking, and management of postal savings, where negotiations will continue in 2017 to define the conditions of the agreement governing the provision of intermediation services in favour of CDP.
In the Insurance segment, besides consolidating its leadership position in the Life market and further increasing its client base, the Group will work to develop a new "integrated" Savings, Protection and Services offering. In Asset Management, it will continue to pursue consolidation of its business on Class I products and the increasing penetration on Funds products and Class III policies, in line with the Strategic Plan in compliance with prevailing regulation, guaranteeing transparency and the fullest response to customers' needs in a zero interest environment. In addition, in 2017 negotiations will continue to examine the possibility of further growth in Anima Holding share capital.
The digital channel will represent a further vehicle of growth alongside the traditional physical distribution through the post offices, which will continue to evolve towards a more complete offering of simple and effective products to meet the changing needs of Poste customers.
The Board of Directors has convened an Ordinary Shareholders' Meeting for 27 April 2017, in a single convocation.
The Shareholders' Meeting will be called to approve the separate financial statements and examine the consolidated financial statements for the year ending 31 December 2016 and deliberate on the distribution of a dividend of € 0.39 per share, paid entirely out of the net profits of the Parent for financial year 2016. The distributable cash amounts to around € 509 million against a 2016 consolidated net profit for Poste Italiane Group of € 622 million, in line with the announced dividend policy for financial year 2016, which foresees a pay-out of at least 80% of the consolidated net profit of Poste Italiane Group. The Board of Directors recommends a coupon date of 19 June 2017, a registration date of 20 June 2017 (i.e. the date the dividend payment becomes legal) and 21 June 2017 as the payment date.
The Shareholders' Meeting will also be called to deliberate on:
The Shareholders' Meeting will be also called to pass a non-binding resolution on the question of remuneration outlining Poste Italiane's policy with regard to the salaries of the Directors, the Director General and Executives with strategic responsibility. Similarly, the remuneration policy for staff in charge of BancoPosta assets will be submitted to the Shareholders' Meeting.
Documentation regarding the matters on the Shareholders' Meeting agenda, foreseen by the applicable regulations, will be made available to the public within the terms laid down by law.
18 June 2018 is the expiry date of the bond loan issued by Poste Italiane SpA on 18 June 2013 for a nominal value of 750 million euros. At 31 December 2016 the loan bond had a book value of 761 million euros.
* * *
A conference call will be held at 6 p.m. today, 15 March 2017, in order to present the results for financial year 2016 to financial analysts and institutional investors. Journalists will be able to listen to the call. Supporting material will be made available in the "Investors" section of the website www.posteitaliane.it as the conference call begins.
Tables showing the results of the individual business units (before intersegment eliminations) are provided below, together with the statement of financial position, statement of profit/loss for the year, statement of comprehensive income, statement of changes in equity and the consolidated statement of cash flows of Poste Italiane Group and the equivalent statements for Poste Italiane S.p.A. We should point out that these statements and the related notes have been presented to the Board of Statutory Auditors and will be subject to auditing by the Independent Auditors of Poste Italiane.
A brief description of the "alternative performance indicator" used is also provided.
The manager responsible for financial reporting, Luciano Loiodice, pursuant to art. 154 bis, paragraph 2 of the Consolidated Law on Finance, declares that the accounting information contained in this release is consistent with the underlying documents, accounting books and records.
* * *
In compliance with the provisions of IFRS 8 – Operating Segments, an operating segment is a component of an entity: a) that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity) and b) whose operating results are reviewed regularly by the entity's chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance. Following is the key financial information on the operating segments of the Poste Italiane Group.
Results (EUR/million):
| 2016 | 2015 | Var. | |
|---|---|---|---|
| External revenue | 5,294 | 5,155 | 2.7% |
| Intersegment revenue | 543 | 491 | 10.6% |
| Total revenue | 5,837 | 5,646 | 3.4% |
| Operating profit | 813 | 907 | -10.4% |
Results (EUR/million):
| 2016 | 2015 | Var. | |
|---|---|---|---|
| External revenue | 23,772 | 21,459 | 10.8% |
| Intersegment revenue | 1 | - | n.s. |
| Total revenue | 23,773 | 21,459 | 10.8% |
| Operating profit | 636 | 510 | 24.7% |
Results (EUR/million):
| 2016 | 2015 | Var. | |
|---|---|---|---|
| External revenue | 3,822 | 3,882 | -1.5% |
| Intersegment revenue | 4,540 | 4,331 | 4.8% |
| Total revenue | 8,362 | 8,213 | 1.8% |
| Operating profit | (436) | (568) | 23.2% |
We are reporting below the meaning and content of the "alternative performance indicators", which are not required by IAS/IFRS but have been used in this release with a view to providing a clearer assessment of the Group's operating performance and financial position.
GROUP NET FINANCIAL POSITION: the sum of financial liabilities, insurance technical provisions, financial assets, reinsurers' share of technical provisions, BancoPosta cash and deposits and cash and cash equivalents (NB: for financial year 2016, as a result of application of IFRS 5, net financial position does not include the financial assets and liabilities of BdM-MCC SpA and BancoPosta Fondi SpA SGR, classified under the item "Non-current assets and disposal groups held for sale and liabilities related to assets held for sale").
NET INDUSTRIAL FINANCIAL POSITION: the sum of the net financial position of the Postal and Business Services segment and the net financial position of the Other Services segment, before adjusting for intersegment transactions.
| Postal and Business Services |
Financial Services |
Insurance Services and Asset Manage ment |
Other Services |
Elimina tions |
Consol idated |
|
|---|---|---|---|---|---|---|
| Balance at 31 December 2016 | ||||||
| Financial liabilities | (1,947) | (59,225) | (1,012) | (2) | 1,265 | (60,921) |
| Technical provisions for insurance business |
(113,678) | (113,678) | ||||
| Financial assets | 1,236 | 58,681 | 115,596 | 29 | (1,180) | 174,362 |
| Technical provisions attributable to reinsurers |
66 | 66 | ||||
| Cash and deposits attributable to BancoPosta |
2,494 | 2,494 | ||||
| Cash and cash equivalents | 1,556 | 1,320 | 1,324 | 21 | (319) | 3,902 |
| Net financial position | 845 | 3,270 | 2,296 | 48 | (234) | 6,225 |
| Net industrial financial position | 845 | 48 | 893 | |||
| Balance at 31 December 2015 | ||||||
| Financial liabilities | (2,442) | (55,418) | (1,218) | (4) | 1,604 | (57,478) |
| Technical provisions for insurance business |
(100,314) | (100,314) | ||||
| Financial assets | 1,396 | 57,574 | 102,409 | 26 | (1,315) | 160,090 |
| Technical provisions attributable to reinsurers |
58 | 58 | ||||
| Cash and deposits attributable to BancoPosta |
3,161 | 3,161 | ||||
| Cash and cash equivalents | 1,315 | 485 | 1,615 | 16 | (289) | 3,142 |
| Net financial position | 269 | 5,802 | 2,550 | 38 | - | 8,659 |
| Net industrial financial position | 269 | 38 | 307 |
* * *
For further information:
Poste Italiane S.p.A.– Press Office Pierpaolo Cito Head of Press Office Tel. +39 0659589008 Mail [email protected]
Poste Italiane S.p.A.– – Investor Relations Luca Torchia Head of Investor Relations Tel. +39 0659589421
Mail [email protected]
| TOTAL ASSETS | 193,205 | 175,836 | ||
|---|---|---|---|---|
| Non-current assets and disposal groups held for sale | 2,720 | 49 | - | - |
| Total | 28,248 | 30,478 | ||
| Cash and cash equivalents | 3,902 | 1,310 | 3,142 | 391 |
| Cash and deposits attributable to BancoPosta | 2,494 | - | 3,161 | - |
| Financial assets | 18,543 | 6,226 | 20,780 | 7,274 |
| Other receivables and assets | 989 | 10 | 897 | 2 |
| Current tax assets | 15 | - | 72 | - |
| Trade receivables | 2,168 | 789 | 2,292 | 904 |
| Inventories | 137 | - | 134 | - |
| Current assets | ||||
| Total | 162,237 | 145,358 | ||
| Technical provisions attributable to reinsurers | 66 | - | 58 | - |
| Other receivables and assets | 2,682 | 1 | 2,303 | 1 |
| Deferred tax assets | 799 | - | 623 | - |
| Trade receivables | 4 | - | 54 | - |
| Financial assets | 155,819 | 3,964 | 139,310 | 3,988 |
| Investments accounted for using the equity method | 218 | 218 | 214 | 214 |
| Investment property Intangible assets |
56 513 |
- - |
61 545 |
- - |
| Property, plant and equipment | 2,080 | - | 2,190 | - |
| Non-current assets | ||||
| ASSETS | at 31 December 2016 |
of which, related party transactions |
at 31 December 2015 |
of which, related party transactions |
| (€m) | (€m) |
| LIABILITIES AND EQUITY | at 31 December 2016 |
of which, related party transactions |
at 31 December 2015 |
of which, related party transactions |
|---|---|---|---|---|
| Equity | ||||
| Share capital | 1,306 | - | 1,306 | - |
| Reserves | 2,374 | - | 4,047 | - |
| Retained earnings | 4,454 | - | 4,305 | - |
| Equity attributable to owners of the Parent | 8,134 | 9,658 | ||
| Equity attributable to non-controlling interests | - | - | - | - |
| Total | 8,134 | 9,658 | ||
| Non-current liabilities | ||||
| Technical provisions for insurance business | 113,678 | - | 100,314 | - |
| Provisions for risks and charges | 658 | 50 | 634 | 50 |
| Employee termination benefits and pension plans | 1,347 | - | 1,361 | - |
| Financial liabilities | 8,404 | - | 7,598 | 77 |
| Deferred tax liabilities | 746 | - | 1,177 | - |
| Other liabilities | 1,071 | - | 920 | - |
| Total | 125,904 | 112,004 | ||
| Current liabilities | ||||
| Provisions for risks and charges | 849 | 10 | 763 | 11 |
| Trade payables | 1,506 | 205 | 1,453 | 174 |
| Current tax liabilities | 88 | - | 53 | - |
| Other liabilities | 2,147 | 89 | 2,025 | 91 |
| Financial liabilities | 52,517 | 2,430 | 49,880 | 3 |
| Total | 57,107 | 54,174 | ||
| Liabilities related to assets held for sale | 2,060 | 130 | - | - |
| TOTAL EQUITY AND LIABILITIES | 193,205 | 175,836 |
| For the year ended 31 December 2016 |
of which, related party transactions |
(€m) For the year ended 31 December 2015 |
(€m) of which, related party transactions |
|
|---|---|---|---|---|
| Revenue from sales and services Insurance premium revenue |
8,743 19,884 |
2,312 - |
8,810 18,197 |
2,390 - |
| Other income from financial and insurance activities |
4,421 | 80 | 3,657 | 104 |
| of which, non-recurring income Other operating income |
121 64 |
5 | - 75 |
6 |
| Total revenue | 33,112 | 30,739 | ||
| Cost of goods and services | 2,476 | 193 | 2,590 | 173 |
| Net change in technical provisions for insurance business and other claims expenses |
21,958 | - | 19,683 | - |
| Other expenses from financial and insurance activities |
539 | - | 689 | - |
| Personnel expenses of which, non-recurring costs/(income) |
6,241 - |
43 | 6,151 (11) |
40 |
| Depreciation, amortisation and impairments of which, non-recurring costs/(income) |
581 - |
- | 581 12 |
- |
| Capitalised costs and expenses | (25) | - | (33) | - |
| Other operating costs di cui oneri non ricorrenti |
301 37 |
3 | 198 - |
(46) |
| Operating profit/(loss) | 1,041 | 880 | ||
| Finance costs | 100 | 1 | 108 | 1 |
| Finance income of which, non-recurring income |
109 - |
1 | 158 4 |
3 |
| Profit/(Loss) on investments accounted for using the equity method |
6 | - | 3 | - |
| Profit/(Loss) before tax | 1,056 | 933 | ||
| Income tax expense | 434 | - | 381 | - |
| of which, non-recurring costs/(income) | 14 | 16 | ||
| PROFIT FOR THE YEAR | 622 | 552 | ||
| of which, attributable to owners of the Parent | 622 | 552 | ||
| of which, attributable to non-controlling interests | - | - | ||
| Earnings per share | 0.476 | 0.423 |
| Earnings per share | 0.476 | 0.423 |
|---|---|---|
| Diluted earnings per share | 0.476 | 0.423 |
| (€m) | ||
|---|---|---|
| For the year ended 31 December 2016 |
For the year ended 31 December 2015 |
|
| Profit/(Loss) for the year | 622 | 552 |
| Items to be reclassified in the Statement of profit or loss for the year | ||
| Available-for-sale financial assets | ||
| Increase/(decrease) in fair value during the year | (1,673) | 1,591 |
| Transfers to profit or loss | (592) | (467) |
| Cash flow hedges | ||
| Increase/(decrease) in fair value during the year | (15) | 13 |
| Transfers to profit or loss | (22) | (71) |
| Taxation of items recognised directly in, or transferred from, equity to be reclassified in the Statement of profit or loss for the year |
627 | (179) |
| Share of after-tax comprehensive income/(loss) of investees accounted for using equity method |
- | - |
| Items not to be reclassified in the Statement of profit or loss for the year | ||
| Actuarial gains/(losses) on provisions for employee termination benefits and pension plans |
(51) | 81 |
| Taxation of items recognised directly in, or transferred from, equity not to be reclassified in the Statement of profit or loss for the year |
18 | (30) |
| Share of after-tax comprehensive income/(loss) of investees accounted for using equity method |
- | - |
| Total other components of comprehensive income | (1,708) | 938 |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR | (1,086) | 1,490 |
| of which, attributable to owners of the Parent | (1,086) | 1,490 |
| of which, attributable to non-controlling interests | - | - |
| Equity | (€m) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Reserves | |||||||||||
| Share capital | Legal reserve BancoPosta RFC reserve | Fair value reserve |
Cash flow hedge reserve |
Reserves related to group of assets and liabilites held for sale |
Reserve for investees accounted for using equity method |
Retained earnings / (Accumulated losses) |
Total equity attributable to owners of the Parent |
Equity attributable to non controlling interests |
Total equity | ||
| Balance at 1 January 2015 | 1,306 | 299 | 1,000 | 1,813 | 48 | - | - | 3,952 | 8,418 | - | 8,418 |
| Total comprehensive income for the year | - | - | - | 926 | (39) | - | - | 603 | 1,490 | - | 1,490 |
| Attribution of profit to reserves | - | - | - | - | - | - | - | - | - | - | - |
| Dividends paid | - | - | - | - | - | - | - | (250) | (250) | - | (250) |
| Changes due to share-based payments | - | - | - | - | - | - | - | 1 | 1 | - | 1 |
| Other changes | - | - | - | - | - | - | - | - | - | - | - |
| Change in scope of consolidation | - | - | - | - | - | - | - | - | - | - | - |
| Other shareholder transactions | - | - | - | - | - | - | - | (1) | (1) | - | (1) |
| Balance at 31 December 2015 | 1,306 | 299 | 1,000 | 2,739 | 9 | - | - 4,305 |
9,658 | - | 9,658 | |
| Total comprehensive income for the year | - | - | - | (1,648) | (27) | - | - | 589 (*) | (1,086) | - | (1,086) |
| Attribution of profit to reserves | - | - | - | - | - | - | - | - | - | - | - |
| Dividends paid | - | - | - | - | - | - | - | (444) | (444) | - | (444) |
| Changes due to share-based payments | - | - | - | - | - | - | - | - | - | - | - |
| Reclassifications to reserves related to disposal groups and liabilites held for sale |
- | - | - | 1 | - | (1) | - | - | - | - | - |
| Other changes | - | - | - | - | - | - | 2 | - | 2 | - | 2 |
| Change in scope of consolidation | - | - | - | - | - | - | - | - | - | - | - |
| Other shareholder transactions | - | - | - | - | - | - | - | 4 | 4 | - | 4 |
| Amount due from MEF following cancellation of EC Decision of 16 July 2008 | - | - | - | - | - | - | - | 6 | 6 | - | 6 |
| Taxation | - | - | - | - | - | - | - | (2) | (2) | - | (2) |
| Balance at 31 December 2016 | 1,306 | 299 | 1,000 | 1,092 | (18) | (1) | 2 | 4,454 | 8,134 | - | 8,134 |
* This item includes profit for the year of €622 million and actuarial losses on provisions for employee termination benefits for €51 million, after the related tax effect of €18 million.
| (€m) | |||
|---|---|---|---|
| For the year | For the year | ||
| ended 31 | ended 31 | ||
| December 2016 | December 2015 | ||
| Cash and cash equivalents at beginning of year | 3,142 | 1,704 | |
| Profit/(Loss) before tax | 1,056 | 933 | |
| Depreciation, amortisation and impairments | 581 | 569 | |
| Impairment of goodwill/goodwill arising from consolidation | - | 12 | |
| Net provisions for risks and charges | 563 | 454 | |
| Use of provisions for risks and charges | (448) | (392) | |
| Provisions for employee termination benefits | 1 | 1 | |
| Employee termination benefits and pensions paid | (82) | (66) | |
| Impairment of disposal groups | 37 | - | |
| (Gains)/Losses on disposals | 3 | - | |
| Impairment on available-for-sale financial assets | 12 | - | |
| (Dividends) | - | (1) | |
| Dividends received | - | 1 | |
| (Finance income realised) | (7) | (23) | |
| (Finance income in form of interest) | (99) | (127) | |
| Interest received | 94 | 123 | |
| Interest expense and other finance costs | 85 | 101 | |
| Interest paid | (60) | (72) | |
| Losses and impairments/(Recoveries) on receivables | 22 | (42) | |
| Income tax paid | (317) | (275) | |
| Other changes | (2) | (4) | |
| Cash flow generated by operating activities before movements in working capital | [a] | 1,439 | 1,192 |
| Movements in working capital: | |||
| (Increase)/decrease in Inventories | (3) | 5 | |
| (Increase)/decrease in Trade receivables | 86 | 1,444 | |
| (Increase)/decrease in Other receivables and assets | (357) | (115) | |
| Increase/(decrease) in Trade payables | 62 | 31 | |
| Increase/(decrease) in Other liabilities | 129 | 129 | |
| Current tax assets recovered | - | 546 | |
| Cash flow generated by /(used in) movements in working capital | [b] | (83) | 2,040 |
| Increase/(decrease) in liabilities attributable to financial activities | 5,225 | 3,127 | |
| Net cash generated by/(used for) financial assets attributable to financial activities held for trading | - | 1 | |
| Net cash generated by/(used for) available-for-sale financial assets attributable to financial activities | (5,127) | (2,477) | |
| Net cash generated by/(used for) held-to-maturity financial assets attributable to financial activities | 370 | 1,404 | |
| (Increase)/decrease in cash and deposits attributable to BancoPosta | 667 | (288) | |
| (Increase)/decrease in other assets attributable to financial activities | 773 | (1,683) | |
| (Income)/Expenses and other non-cash components from financial activities | (1,044) | (919) | |
| Cash generated by/(used for) assets and liabilities attributable to financial activities | [c] | 864 | (835) |
| Payment of liabilities linked to financial contracts attributable to insurance activities | - | - | |
| Net cash generated by/(used for) financial assets at fair value through profit or loss attributable to insurance activities | (6,100) | (6,236) | |
| Increase/(decrease) in net technical provisions for insurance business | 14,266 | 12,353 | |
| Net cash generated by/(used for) available-for-sale financial assets attributable to insurance activities | (6,453) | (4,914) | |
| (Increase)/decrease in other assets attributable to insurance activities | 12 | (43) | |
| (Gains)/Losses on financial assets/liabilities measured at fair value | (624) | 290 | |
| (Income)/Expenses and other non-cash components from insurance activities | (1,063) | (1,284) | |
| Cash generated by/(used for) assets and liabilities attributable to insurance activities | [d] | 38 | 166 |
| Net cash flow from /(for) operating activities | [e]=[a+b+c+d] | 2,258 | 2,563 |
| - of which related party transactions | 3,648 | 1,221 | |
| Investing activities: | |||
| Property, plant and equipment | (221) | (237) | |
| Investment property | - | - | |
| Intangible assets | (230) | (251) | |
| Investments | (1) | (211) | |
| Other financial assets | (100) | - | |
| Disposals: | |||
| Property, plant and equipment, investment property, intangible assets and assets held for sale | 5 | 4 | |
| Investments | - | - | |
| Other financial assets | 103 | 4 | |
| Change in scope of consolidation | - | 2 | |
| Net cash flow from /(for) investing activities | [f] | (444) | (689) |
| - of which related party transactions | (22) | (1,725) | |
| Proceeds from/(Repayments of) long-term borrowings | - | - | |
| (Increase)/decrease in loans and receivables | 1 | 114 | |
| Increase/(decrease) in short-term borrowings | (521) | (835) | |
| Dividends paid | (444) | (250) | |
| Receivable authorised by 2015 Stability Law in implementation of Sentence of the European Court | - | 535 | |
| Net cash flow from/(for) financing activities and shareholder transactions | [g] | (964) | (436) |
| - of which related party transactions | (286) | (139) | |
| Cash and cash equivalents reclassified to non-current assets and disposal groups held for sale | [h] | (90) | - |
| Net increase/(decrease) in cash | [i]=[e+f+g+h] | 760 | 1,438 |
| Cash and cash equivalents at end of year | 3,902 | 3,142 | |
| Cash and cash equivalents at end of year | 3,902 | 3,142 | |
| Cash subject to investment restrictions | (780) | (1) | |
| Cash attributable to technical provisions for insurance business | (799) | (1,324) | |
| Amounts that cannot be drawn on due to court rulings | (12) | (11) | |
| Current account overdrafts | (2) | (5) | |
| Cash received on delivery (restricted) and other restrictions | (17) | (18) | |
| Unrestricted net cash and cash equivalents at end of year | 2,292 | 1,783 |
| (€m) | ||||
|---|---|---|---|---|
| ASSETS | at 31 December 2016 |
of which, related party transactions |
at 31 December 2015 |
of which, related party transactions |
| Non-current assets | ||||
| Property, plant and equipment | 1,999 | - | 2,075 | - |
| Investment property | 56 | - | 61 | - |
| Intangible assets | 366 | - | 374 | - |
| Investments | 1,815 | 1,815 | 2,204 | 2,204 |
| Financial assets attributable to BancoPosta | 47,299 | 1,509 | 43,215 | 1,500 |
| Financial assets | 1,101 | 450 | 953 | 400 |
| Trade receivables | 4 | - | 5 | - |
| Deferred tax assets | 672 | - | 502 | - |
| Other receivables and assets | 990 | 2 | 866 | 2 |
| Total | 54,302 | 50,255 | ||
| Current assets | ||||
| Trade receivables | 2,095 | 1,071 | 2,137 | 1,182 |
| Current tax assets | 6 | - | 33 | - |
| Other receivables and assets | 937 | 69 | 832 | 5 |
| Financial assets attributable to BancoPosta | 10,753 | 6,189 | 11,407 | 7,186 |
| Financial assets | 243 | 181 | 577 | 412 |
| Cash and deposits attributable to BancoPosta | 2,494 | - | 3,161 | - |
| Cash and cash equivalents | 2,715 | 1,310 | 1,520 | 391 |
| Total | 19,243 | 19,667 | ||
| Non-current assets held for sale | 384 | 384 | - | - |
| TOTAL ASSETS | 73,929 | 69,922 | ||
| LIABILITIES AND EQUITY | at 31 December 2016 |
of which, related party transactions |
at 31 December 2015 |
of which, related party transactions |
| Equity | ||||
| Share capital | 1,306 | - | 1,306 | - |
| Reserves | 2,186 | - | 3,826 | - |
| Retained earnings Total |
2,668 6,160 |
- | 2,514 7,646 |
- |
| Non-current liabilities | ||||
| Provisions for risks and charges | 590 | 50 | 569 | 50 |
| Employee termination benefits | 1,315 | - | 1,320 | - |
| Financial liabilities attributable to BancoPosta | 6,410 | - | 4,930 | - |
| Financial liabilities | 1,246 | - | 1,245 | - |
| Deferred tax liabilities | 536 | - | 978 | - |
| Other liabilities | 1,002 | 6 | 861 | 7 |
| Total | 11,099 | 9,903 | ||
| Current liabilities | ||||
| Provisions for risks and charges | 818 | 10 | 729 | 11 |
| Trade payables | 1,384 | 464 | 1,229 | 420 |
Other liabilities 1,556 107 1,474 119 Financial liabilities attributable to BancoPosta 52,783 2,747 48,305 223 Financial liabilities 56 38 603 73 Total 56,670 52,373 TOTAL LIABILITIES AND EQUITY 73,929 69,922
Current tax liabilities 73 - 33 -
| ASSETS | Capital outside the | BancoPosta RFC | Adjustments | (€m) Total |
|---|---|---|---|---|
| ring-fence | ||||
| Non-current assets | ||||
| Property, plant and equipment | 1,999 | - | - | 1,999 |
| Investment property | 56 | - | - | 56 |
| Intangible assets | 366 | - | - | 366 |
| Investments | 1,815 | - | - | 1,815 |
| Financial assets attributable to BancoPosta | - | 47,299 | - | 47,299 |
| Financial assets | 1,101 | - | - | 1,101 |
| Trade receivables | 4 | - | - | 4 |
| Deferred tax assets | 351 | 321 | - | 672 |
| Other receivables and assets | 129 | 861 | - | 990 |
| Total | 5,821 | 48,481 | - | 54,302 |
| Current assets | ||||
| Trade receivables | 1,352 | 743 | - | 2,095 |
| Current tax assets | 6 | - | - | 6 |
| Other receivables and assets | 336 | 601 | - | 937 |
| Financial assets attributable to BancoPosta | - | 10,753 | - | 10,753 |
| Financial assets | 243 | - | - | 243 |
| Cash and deposits attributable to BancoPosta | - | 2,494 | - | 2,494 |
| Cash and cash equivalents | 1,395 | 1,320 | - | 2,715 |
| Total | 3,332 | 15,911 | - | 19,243 |
| Non-current assets held for sale | 384 | - | - | 384 |
| Intersegment relations net amount | (282) | - | 282 | - |
| TOTAL ASSETS | 9,255 | 64,392 | 282 | 73,929 |
| Capital outside the | ||||
| LIABILITIES AND EQUITY | ring-fence | BancoPosta RFC | Adjustments | Total |
| Equity | ||||
| Share capital | 1,306 | - | - | 1,306 |
| Reserves | 314 | 1,872 | - | 2,186 |
| Retained earnings | 1,154 | 1,514 | - | 2,668 |
| Total | 2,774 | 3,386 | - | 6,160 |
| Non-current liabilities | ||||
| Provisions for risks and charges | 197 | 393 | - | 590 |
| Employee termination benefits | 1,296 | 19 | - | 1,315 |
| Financial liabilities attributable to BancoPosta | - | 6,410 | - | 6,410 |
| Financial liabilities | 1,246 | - | - | 1,246 |
| Deferred tax liabilities | 6 | 530 | - | 536 |
| Other liabilities | 66 | 936 | - | 1,002 |
| Total | 2,811 | 8,288 | - | 11,099 |
| Current liabilities | ||||
| Provisions for risks and charges | 749 | 69 | - | 818 |
| Trade payables | 1,297 | 87 | - | 1,384 |
| Current tax liabilities | 73 | - | - | 73 |
| Other liabilities | 1,495 | 61 | - | 1,556 |
| Financial liabilities attributable to BancoPosta | - | 52,783 | - | 52,783 |
| Financial liabilities | - | - | 56 | |
| Total | 56 3,670 |
53,000 | - | 56,670 |
| Intersegment relations net amount | - | (282) | 282 | - |
| ASSETS | Capital outside the ring-fence |
BancoPosta RFC | Adjustments | (€m) Total |
|---|---|---|---|---|
| Non-current assets | ||||
| Property, plant and equipment | 2,075 | - | - | 2,075 |
| Investment property | 61 | - | - | 61 |
| Intangible assets | 374 | - | - | 374 |
| Investments | 2,204 | - | - | 2,204 |
| Financial assets attributable to BancoPosta | - | 43,215 | - | 43,215 |
| Financial assets | 953 | - | - | 953 |
| Trade receivables | 5 | - | - | 5 |
| Deferred tax assets | 372 | 130 | - | 502 |
| Other receivables and assets | 150 | 716 | - | 866 |
| Total | 6,194 | 44,061 | - | 50,255 |
| Current assets | ||||
| Trade receivables | 1,342 | 795 | - | 2,137 |
| Current tax assets | 33 | - | - | 33 |
| Other receivables and assets | 267 | 565 | - | 832 |
| Financial assets attributable to BancoPosta | - | 11,407 | - | 11,407 |
| Financial assets | 577 | - | - | 577 |
| Cash and deposits attributable to BancoPosta | - | 3,161 | - | 3,161 |
| Cash and cash equivalents | 1,119 | 401 | - | 1,520 |
| Total | 3,338 | 16,329 | - | 19,667 |
| Intersegment relations net amount | (214) | - | 214 | - |
| TOTAL ASSETS | 9,318 | 60,390 | 214 | 69,922 |
| LIABILITIES AND EQUITY | Capital outside the ring-fence |
BancoPosta RFC | Adjustments | Total |
| Equity | ||||
| Share capital | 1,306 | - | - | 1,306 |
| Reserves | 318 | 3,508 | - | 3,826 |
| Retained earnings Total |
980 2,604 |
1,534 5,042 |
- - |
2,514 7,646 |
| Non-current liabilities | ||||
| Provisions for risks and charges | 242 | 327 | - | 569 |
| Employee termination benefits | 1,301 | 19 | - | 1,320 |
| Financial liabilities attributable to BancoPosta | - | 4,930 | - | 4,930 |
| Financial liabilities | 1,245 | - | - | 1,245 |
| Deferred tax liabilities | 11 | 967 | - | 978 |
| Other liabilities | 69 | 792 | - | 861 |
| Total | 2,868 | 7,035 | - | 9,903 |
| Current liabilities | ||||
| Provisions for risks and charges | 672 | 57 | - | 729 |
| Trade payables | 1,164 | 65 | - | 1,229 |
| Current tax liabilities | 33 | - | - | 33 |
| Other liabilities | 1,374 | 100 | - | 1,474 |
| Financial liabilities attributable to BancoPosta | - | 48,305 | - | 48,305 |
| Financial liabilities | 603 | - | - | 603 |
| Total | 3,846 | 48,527 | - | 52,373 |
| Intersegment relations net amount | - | (214) | 214 | - |
| TOTAL LIABILITIES AND EQUITY | 9,318 | 60,390 | 214 | 69,922 |
| (€m) | ||||
|---|---|---|---|---|
| For the year | of which, related | For the year | of which, related | |
| ended 31 | party | ended 31 | party | |
| December 2016 | transactions | December 2015 | transactions | |
| Revenue from sales and services | 8,218 | 2,910 | 8,205 | 2,937 |
| Other income from financial activities | 599 | - | 433 | - |
| of which non-recurring income | 121 | - | - | - |
| Other operating income | 478 | 440 | 399 | 345 |
| Total revenue | 9,295 | 9,037 | ||
| Cost of goods and services | 1,733 | 657 | 1,819 | 704 |
| Other expenses from financial activities | 15 | - | 3 | - |
| Personnel expenses | 5,992 | 44 | 5,895 | 43 |
| of which non-recurring costs/(income) | - | - | (11) | - |
| Depreciation, amortisation and impairments | 504 | - | 485 | - |
| Capitalised costs and expenses | (4) | - | (5) | - |
| Other operating costs | 255 | 7 | 226 | (46) |
| Operating profit/(loss) | 800 | 614 | ||
| Finance costs | 65 | 1 | 76 | 2 |
| Finance income | 44 | 24 | 58 | 22 |
| of which non-recurring income | - | - | 4 | - |
| Profit/(Loss) before tax | 779 | 596 | ||
| Income tax expense | 154 | - | 145 | - |
| of which, non-recurring costs/(income) | - | - | 12 | - |
| PROFIT FOR THE YEAR | 625 | 451 |
| For the year ended 31 December 2016 |
(€m) For the year ended 31 December 2015 |
|
|---|---|---|
| Profit/(Loss) for the year | 625 | 451 |
| Items to be reclassified in the Statement of profit or loss for the year | ||
| Available-for-sale financial assets | ||
| Increase/(decrease) in fair value during the year | (1,637) | 1,531 |
| Transfers to profit or loss | (578) | (383) |
| Cash flow hedges | ||
| Increase/(decrease) in fair value during the year | (16) | 13 |
| Transfers to profit or loss | (22) | (71) |
| Taxation of items recognised directly in, or transferred from, equity to be reclassified in the Statement of profit or loss for the year |
613 | (198) |
| Items not to be reclassified in the Statement of profit or loss for the year | ||
| Actuarial gains/(losses) on provisions for employee termination benefits | (49) | 79 |
| Taxation of items recognised directly in, or transferred from, equity not to be reclassified in the Statement of profit or loss for the year |
17 | (30) |
| Total other components of comprehensive income | (1,672) | 941 |
| TOTAL COMPREHENSIVE INCOME FOR THE YEAR | (1,047) | 1,392 |
.
| Equity | (€m) | ||||||
|---|---|---|---|---|---|---|---|
| Reserves | |||||||
| Share capital | Legal reserve | BancoPosta RFC reserve |
Fair value reserve | Cash flow hedge reserve |
Retained earnings/ (Accummulated losses) |
Total | |
| Balance at 1 January 2015 | 1,306 | 299 | 1,000 | 1,587 | 48 | 2,265 | 6,505 |
| Total comprehensive income for the year | - | - | - | 931 | (39) | 500 | 1,392 |
| Dividends paid | - | - | - | - | - | (250) | (250) |
| Other shareholder transactions | - | - | - | - | - | (1) | (1) |
| Balance at 31 December 2015 | 1,306 | 299 | 1,000 | 2,518 | 9 | 2,514 | 7,646 |
| of which attributable to BancoPosta RFC | - | - | 1,000 | 2,500 | 8 | 1,534 | 5,042 |
| Total comprehensive income for the year | - | - | - | (1,613) | (27) | 593 (*) | (1,047) |
| Dividends paid | - | - | - | - | - | (444) | (444) |
| Other shareholder transactions | - | - | - | - | - | 5 | 5 |
| Amount due from MEF following cancellation of EC Decision of 16 July 2008 |
- | - | - | - | - | 6 | 6 |
| Taxation | - | - | - | - | - | (1) | (1) |
| Balance at 31 December 2016 | 1,306 | 299 | 1,000 | 905 | (18) | 2,668 | 6,160 |
| of which attributable to BancoPosta RFC | - | - | 1,000 | 889 | (17) | 1,514 | 3,386 |
(*) This item includes profit for the year of €625 million and actuarial losses on provisions for employee termination benefits of €49 million after the related tax effect of €17 million
| (€m) | |||
|---|---|---|---|
| For the year | For the year | ||
| ended 31 | ended 31 | ||
| December 2016 | December 2015 | ||
| Cash and cash equivalents at beginning of year | 1,520 | 986 | |
| Profit/(Loss) before tax | 779 | 596 | |
| Depreciation, amortisation and impairments | 504 | 485 | |
| Impairments/(Reversals of impairments) of investments | 33 | 77 | |
| Net provisions for risks and charges | 541 | 440 | |
| Use of provisions for risks and charges | (436) | (391) | |
| Employee termination benefits paid | (78) | (63) | |
| (Gains)/losses on disposals | 1 | (3) | |
| (Dividends) | (8) | - | |
| Dividends received | 8 | - | |
| (Finance income in form of interest) | (35) | (52) | |
| Interest received | 32 | 49 | |
| Interest expense and other finance costs | 63 | 70 | |
| Interest paid | (36) | (44) | |
| Losses and impairments/(Recoveries) on receivables | 10 | (63) | |
| Income tax paid | (190) | (219) | |
| Other movements | - | 1 | |
| Cash generated by operating activities before movements in working capital | [a] | 1,188 | 883 |
| Movements in working capital: | |||
| (Increase)/decrease in Trade receivables | 52 | 1,398 | |
| (Increase)/decrease in Other receivables and assets | 54 | 228 | |
| Increase/(decrease) in Trade payables | 111 | 7 | |
| Increase/(decrease) in Other liabilities | 69 | 44 | |
| Current tax assets recovered | - | 546 | |
| Cash generated by/(used in) movements in working capital | [b] | 286 | 2,223 |
| Increase/(decrease) in financial liabilities attributable to BancoPosta | 5,196 | 2,900 | |
| Net cash generated by/(used for) financial assets held for trading | - | 1 | |
| Net cash generated by/(used for) available-for-sale financial assets | (5,140) | (2,413) | |
| Net cash generated by/(used for) held-to-maturity financial assets | 370 | 1,404 | |
| (Increase)/decrease in other financial assets attributable to BancoPosta | 897 | (1,480) | |
| (Increase)/decrease in cash and deposits attributable to BancoPosta | 666 | (288) | |
| (Income)/Expenses and other non-cash components attributable to financial activities | (1,041) | (927) | |
| Cash generated by/(used for) financial assets and liabilities attributable to BancoPosta | [c] | 948 | (803) |
| Net cash flow from /(for) operating activities | [d]=[a+b+c] | 2,422 | 2,303 |
| - of which related party transactions | 3,599 | (1,617) | |
| Investing activities: | |||
| Property, plant and equipment | (200) | (207) | |
| Investment property | - | - | |
| Intangible assets | (181) | (177) | |
| Investments | (39) | (252) | |
| Other financial assets | (357) | (2) | |
| Disposals: | |||
| Property, plant and equipment, investment property and assets held for sale | 2 | 4 | |
| Investments | - | 3 | |
| Other financial assets | 535 | 113 | |
| Net cash flow from /(for) investing activities | [e] | (240) | (518) |
| - of which related party transactions | 112 | (28) | |
| (Increase)/decrease in loans and receivables | 2 | 114 | |
| Increase/(decrease) in short-term borrowings | (545) | (1,650) | |
| Dividends paid | (444) | (250) | |
| Receivable authorised by 2015 Stability Law in implementation of Sentence of the European Court | - | 535 | |
| Net cash flow from/(for) financing activities and shareholder transactions | [f] | (987) | (1,251) |
| - of which related party transactions | (477) | (419) | |
| Net increase/(decrease) in cash | [g]=[d+e+f] | 1,195 | 534 |
| Cash and cash equivalents at end of year | 2,715 | 1,520 | |
| Cash and cash equivalents at end of year | 2,715 | 1,520 | |
| Cash subject to investment restrictions | (1,071) | (217) | |
| Amounts that cannot be drawn on due to court rulings | (12) | (11) | |
| Unrestricted net cash and cash equivalents at end of year | 1,632 | 1,292 | |
| Fine Comunicato n.1130-16 | Numero di Pagine: 23 |
|---|---|
| --------------------------- | ---------------------- |
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