Results for the third quarter and the first nine months of 2019

Q3?19: Results increasing strongly

Crédit Agricole S.A.

Underlying revenues Q3: €5,073 m +4.9% Q3/Q3 9M: €15,154 m +1.8% 9M/9M  
Underlying net income Q3: €1,226 m  +8.2% Q3/Q3 9M: €3,264 m -2.2% 9M/9M
CET1 ratio 11.7% +0.1 pp Sept/June, well above the MTP target

• Stated result Q3: €1,199 m, +8.9% Q3/Q3 (9M: €3,183 m, -6.2% 9M/9M), up significantly Q3/Q3;
• Underlying income increased (+8.2% Q3/Q3) as a result of buoyant commercial activity and improved operational efficiency;
• Underlying EPS: Q3 €0.34, -6.3% Q3/Q3, 9M €0.97 -8.6% 9M/9M; ROTE 11.3% annualised over 9M;
• Increase in underlying revenue (+4.9% Q3/Q3 and +1.8% 9M/9M), as a result of buoyant customers capture, savings, loan and equipment;
• Significantly positive jaws effect (+340 bp Q3/Q3) and improvement in the underlying cost/income ratio excluding SRF (by -2.0 pp to 59.6% in Q3 and -0.4 pp to 60.5% over 9M) despite development investments in the Asset Gathering business line;
• Cost of credit risk low: 29 basis points, normalisation of the cost of risk in CIB, Q3/Q2 decrease for CACF and CA Italy;
• CET1 ratio up +0.1 pp in Q3 to 11.7%, thanks in particular to the stability of organic risk-weighted assets in the business lines;
• Upgrade by Moody’s of Casa’s LT credit rating to Aa3;
• Continuation of implementation of the 2022 Medium-Term Plan: growing digitalisation of customer relations, increase in customer satisfaction, customer capture buoyant in France and Italy (+210,000 individual customers); issue of a €1 bn Green bond.  

Crédit Agricole Group*

Underlying revenues Q3: €8,331 m +2.9% Q3/Q3 9M: €25,188 m +1.8% 9M/9M  
Underlying net income Q3: €1,924 m  +6.0% Q3/Q3  9M: €5,205 m -0.3% 9M/9M
CET1 ratio  15.5% +0.1 pp Sept/June +5.8 pp above SREP

• Stated net income for Q3: €1,849 m, +4.5% Q3/Q3 (9M: €5,012 m, -5.0% 9M/9M);
• Operating expenses excl. SRF under control over 9M (+1.5% 9M/9M), cost/income ratio down (62.7%, -0.1 pp 9M/9M) ;
• Cost of credit risk low at 20 basis points, one-off provisions in CIB;
• Increase in the Regional Banks’ underlying revenues over 9 months (+1.9%), cost of risk stable at 12 bp.

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