Financial results of Rabobank Group
Results
-
Notes to financial results of Rabobank Group
Income up 6%
in millions of euros
2012
2011s
Change
Interest
9,097
9,174
-1%
Fees and commission
2,206
2,361
-7%
Other results
2,149
1,171
84%
Total income
13,452
12,706
6%
Staff costs
5,325
4,862
10%
Other administrative expenses
2,979
2,850
5%
Depreciation
527
540
-2%
Operating expenses
8,831
8,252
7%
Gross result
4,621
4,454
4%
Value adjustments
2,350
1,606
46%
Bank tax expense
196
Operating profit before taxation
2,075
2,848
-27%
Taxation
160
355
-55%
Net profit from continued operations
1,915
2,493
-23%
Net profit form discontinued operations
197
134
47%
Net profit
2,112
2,627
-20%
Bad debt costs (in basis points)
52
37
41%
Ratios
Efficiency ratio
65.6%
64.9%
Return on equity
5.6%
7.6%
RAROC
9.0%
11.8%
Balance sheet (in billions of euros)
31-Dec-12
31-Dec-11
Total assets
752.4
731.7
3%
Private sector loan portfolio
458.1
448.3
2%
Amounts due to customers
334.3
329.9
1%
Capital requirements (in billions of euros)
Regulatory capital
17.8
17.9
-1%
Economic capital
24.3
22.8
7%
Qualifying capital
42.4
39.1
8%
Capital ratios
Tier 1 ratio 17.2% 17.0%
8 Thefigures for 2011 have been Core tier 1 ratio 13.2% 12.7%
restated as a result of non-current
assets held for sale and discontinued
operations (Robeco). Number of employees (in FTEs) 59,628 59,670
Rabobank Group's total income was up 6%, rising to EUR 13,452 (12,706) million. In 2012, 65%
(62%) of Rabobank Group's total income was generated in the Netherlands. Competition in
the Dutch savings market was fierce, which caused interest income to fall by 1% to EUR 9,097
(9,174) million. Insurance and securities commissions at the local Rabobanks were down.
Also Sarasin no longer contributed to commission income as of August 2012. Due, in part, to
these developments, total commission income stood at EUR 2,206 (2,361) million.
Interest rate developments, which led to a steepening of the yield curve and gains on hedge
accounting, had a positive effect on other income. The same held true for the completion
of the sale of the shares in Yes Bank and Sarasin, for improvements in the share of profit of
Achmea, and for the acquisition of Friesland Bank. This was counteracted by the fact that the
fall in credit spread on Rabobank-issued structured notes and high impairment losses on
property developments had a negative effect on other income. Other income was up EUR 978
million on balance, rising to EUR 2,149 million.
10 Annual Report 2012 Rabobank Group
