Full Year 2021 Credit Agricole SA Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Delphine Lee - JPMorgan Chase & Co, Research Division - Analyst : So 2 questions from me. My first question is on French retail. So you mentioned the impact on -- from Livret A. Just wondering in terms of other moving parts, like how we should think about the outlook for [SL] revenues in '22? If you could give some color, that would be great. My second question is on capital and your 11% CET1 target for '22. You clearly have quite a bit of buffer above that. I mean do you intend to do anything about this? Or basically, you'll just keep that buffer for now, and we have to wait for the new plan to see how you could redeploy the excess capital.

Question: Delphine Lee - JPMorgan Chase & Co, Research Division - Analyst : And the T-LTRO declined in '22 for -- for not well LCL or at a CASA level, but how much would that be?

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : So couple of questions. Firstly, a question on CACIB loan portfolio. And you went into the COVID crisis with relatively high exposures to oil, aircraft, et cetera, and other perceived risky sectors. But then, in practice you had very low cost of risk there through the crisis. How do you view that in retrospect? Do you think that this proves that your risk management was correct and you just carry on as usual? Or do you think that it was a bit of a lucky escape and maybe you need to think about derisking or changing your exposures over the medium term? So that's the first question. Second question, just to come back to Stellantis. So for 2024, do you see these transactions as being net positive or net negative?

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : The Stellantis transaction. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 10, 2022 / 1:00PM, CAGR.PA - Full Year 2021 Credit Agricole SA Earnings Call

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : Once the FCA runoff starts because I have thought losing significant volume when you need to maintain the franchise to grow with independent partners would mean maintaining the cost base. I mean there'll be some quite steep adverse operating leverage there. So I get that your 2023 target isn't affected, would it be net positive or net negative for the consumer division in 2024?

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : Am I wrong to just think in big picture terms though, you're losing a very successful mature business and gaining a lot of kind of quasi start-ups. I mean just from a timing perspective, that would imply...

Question: Kirishanthan Vijayarajah - HSBC, Research Division - Analyst : Couple of questions from my side. So firstly on the capital. So now that you've unwound the switch, is there kind of a greater incentive to maybe leverage up the insurance company and optimize the RWA consumption there? Or do you feel like kind of more pretty well optimized already and maybe the insurance supervisor may not look too favorably on new change in the capital structure of the insurance company too much. And then the second question, going back to the whole Stellantis thing, Slide 20. And specifically, that 1 million target you've got for the fleet in the long-term leasing business by 2026. Is 700,000, I think I saw in the press, is that the right starting point pro forma today for the size of that fleet. And so is all of that to get to 1 million, is that all going to come from organic growth because of course some of your competitors in that field, they've also got some quite ambitious growth targets there. So just trying to understand how you're going to get to that 1 million fleet size, please.

Question: Omar Fall - Barclays Bank PLC, Research Division - Analyst : Just a couple of things. So just if I take the -- your answer to -- I think it was Delphine's question on the scope effects on revenues and then you remove Livret A and T-LTRO, and you're kind of above 23 billion of revenue for 2022, ceteris paribus, kind of anything else. What are the scope effects similarly on the OpEx side from the scope effects that are left just to help us with our modeling? Then the second question was just to discuss the performance in Italy, please. I'm sorry if I missed this, but how much was the NPL disposal impact? It seems to me even ex that it looks a bit of a slowdown on both NII and fees certainly versus last quarter. So any thoughts there? And perhaps an outlook for that business specifically? Fantastic.

Question: Omar Fall - Barclays Bank PLC, Research Division - Analyst : That's right, yes.