RAIFF - Raiffeisen Bank International AG (RAIFF) Q4 2023 Earnings Call Transcript
2024-02-01 04:34:09 ET
Raiffeisen Bank International AG (RAIFF)
Q4 2023 Earnings Conference Call
January 31, 2024, 08:00 AM ET
Company Participants
Johann Strobl - CEO
Hannes Mosenbacher - CRO
Conference Call Participants
Gabor Kemeny - Autonomous Research
Simon Nellis - Citi
Lee Street - Citi
Riccardo Rovere - Mediobanca
Alan Webborn - Societe Generale
Hugo Cruz - KBW
Marlene Eibensteiner - Deutsche Bank
Mehmet Sevim - JPMorgan
Gabor Kemeny - Autonomous Research
Presentation
Operator
Good afternoon, ladies and gentlemen, and welcome to the Preliminary Results 2023 Conference Call of Raiffeisen Bank International. Today's conference is being recorded.
At this time, I'd like to turn the conference over to Johann Strobl, Chief Executive Officer. Please go ahead, sir.
Johann Strobl
Thank you very much for your kind introduction. Ladies and gentlemen, thank you for taking the time out of your busy day to join us today. We are happy to share with you our preliminary results for full year 2023 and it has been indeed a very busy year. We have made progress reducing our exposure to Russia and we will discuss this in just a minute.
Our balance sheet is as strong as ever. We have further improved our CET1 ratio, both as a consolidated group and more importantly in the pro forma full write-off in Russia. Consequently, our MDA buffer improved to above 500 bps and 475 excluding Russia.
Portfolio quality is excellent and despite some defaults in commercial real estate, I'm satisfied that Hannes has us in a great shape. While we cannot exclude further provisions and higher coverage ratios from there, there may eventually be room for releases when restructuring and workout is complete.
Finally, liquidity remains excellent and I will touch on this in a few slides time. Operationally, we have seen good revenue growth and costs in line with our expectations. While this might be very difficult to replicate in the coming year, I'm confident that we are starting the year on the right foot.
Clearly, the biggest frustration for us this year has been the large amount of provisions for litigation in Poland. Here, I can simply share that we are broadening our settlement program and targeting one more and more for us.
Settlement, of course, allow for a less negative outcome versus what we currently are providing for. We have updated our outlook for '24, which I will discuss in a few minutes. Before we get into the numbers, let's go through some important items.
First of all, the Board will recommend a dividend of €125 to be voted on at our Annual Shareholder Meeting on 4, of April. As it relates to the offer request for information, I simply wish to confirm that we have submitted everything that was requested and we await feedback....
Raiffeisen Bank International AG (RAIFF) Q4 2023 Earnings Call Transcript