Mohamad Faizal Bin Ramli
- ING Group press release (NYSE:ING): Q4 GAAP EPS of €0.45.
- Total income of €5.41B (+11.1% Y/Y).
- ING’s net result in 4Q2023 was €1,558 million, up 43.1% on 4Q2022, mainly due to higher income and lower risk costs.
- The effective tax rate in 4Q2023 was 27.6% compared with 33.6% in 4Q2022 and 28.5% in 3Q2023.
- Increase of 236,000 primary retail customers in the fourth quarter, combined with stable deposits and growth in lending.
- Full-year return on equity rises to 14.8%; proposed final dividend of €0.756 per share, bringing total distribution to €7.8 billion.
- Net additions to loan loss provisions amounted to €86 million.
- The CET1 ratio remained strong and ended the year at 14.7%. This compares with 15.2% at the end of 3Q2023.
- The leverage ratio remained stable at 5.0%.
- "Looking ahead, we remain vigilant given the ongoing geopolitical uncertainties and remain focused on delivering value for all our stakeholders. We're confident that we’ll be able to continue to deliver a sustained return on equity of 12% as economic indicators further stabilise by building on our strong and growing customer base and our good performance. I would like to thank our clients for their trust and loyalty, our employees for their ongoing engagement and hard work in servicing our customers and our shareholders for continuing to support our strategy," said CEO Steven van Rijswijk.
- Outlook: Based on current assumptions and scenarios, total income in 2024 to remain strong in a positive rate environment albeit somewhat lower than in 2023. Our aim is to increase fee income by 5-10%. Based on the current outlook, a total cost growth of around 3% (excluding incidental items) is foreseen. The CET1 ratio is expected to converge towards our ~12.5% target by 2025. Return on equity expected of 12%.
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