Credit Agricole : Results for the second quarter and first half of 2018

Crédit Agricole S.A.

Stated net income Group share Q2: €1,436m +6.4% Q2/Q2 H1: €2,292m +4.4% H1/H1
Stated revenues Q2: €5,171m +9.8% Q2/Q2 H1: €10,081m +7.1% H1/H1
Fully-loaded CET1 ratio 11.4% stable in Q2, well above the MTP target

• Underlying1 net income2 Q2 €1,418m, +19.6% Q2/Q2 (H1: €2,205m, +5.9% H1/H1), the highest level since IPO
• At constant scope and exchange rates3: increase of +23.8% Q2/Q2 and +16.1% H1/H1
• Earnings per share1: Q2 €0.46, +21.3% Q2/Q2, H1 0.70€, +7.2% H1/H1; ROTE1 13.1% on annualised H1
• Contribution to growth by all CASA divisions and the Corporate Centre, with a particularly high level of profitability in CIB
• Excellent control of underlying costs excluding SRF4: scissors effect of 4pp Q2/Q2, 5pp at constant scope and exchange rates, improvement in C/I ratio1 of >2pp Q2/Q2 and nearly 3pp at constant scope and exchange rates
• Still a very low cost of credit risk, with further decline: 26bp5 (-9bp Q2/Q2)
• Fully-loaded CET1 ratio stable in Q2 despite the increase in RWA linked to the activity and several jumbo deals in CIB; Reminder: target CET1 of 11% in the medium-term plan

Crédit Agricole Group*

Stated net income Group share Q2: €2,076m -1.4% Q2/Q2 H1: €3,505m -5.4% H1/H1
Stated revenues Q2: €8,428m +6.3% Q2/Q2 H1: €16,686m +3.1% H1/H1
Fully-loaded CET1 ratio 14.8% +20 pb in Q2 +530bp above the P2R6

• Very strong, good quality activity in all business lines: Retail banking, specialised businesses and the Large customers division
• Underlying1 net income2 Q2: €2,056m, +2.0% Q2/Q2 (H1: €3,408m, -7.2% H1/H1 but +3.0% like-for-like3 and excl. SRF)
• Acquisitions and partnerships: good progress made in integration, new operations with the acquisition of Banca Leonardo and announced partnerships in consumer finance with Bankia and bancassurance with Creval
• Decrease in cost of credit risk to 18bp5 (Regional Banks: -€176m in Q2-18, vs. net reversals in Q2-17)

* Crédit Agricole S.A. and Regional Banks at 100%.

1 Underlying, excluding specific items. see p. 15 and following pages for more details on specific items and p. 27 for the ROTE calculation
2 Underlying net income Group share
3 Constant scope and exchange rates: combining the contributions to underlying income of Amundi and Pioneer and taking account of the amortisation of distribution agreements in Q2-17 and H1-17, excluding the contributions of the three Italian banks in Q2-18 and H1-18 and those of BSF and Eurazeo in Q2-17 and H1-17 and excluding forex effect
4 Contribution to the Single Resolution Fund (SRF)
5 Average over last four rolling quarters, annualised
6 According to pro forma P2R for 2019 of 9.5% as notified by the ECB (excl. countercyclical buffer)

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