Half Year 2022 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 on my end. If I could start with capital, could you still confirm that the impact of TRIM, I think it was something like 20 basis points still to come in Q3? And also in terms of IFRS 17 impact, would it be fair to assume that it is going to be less or around 28 basis points benefit that you had this quarter from the insurance dividend upstream or how should we think about IFRS 17 essentially, is it just neutral or is it going to be different? My second question then is on costs. Just wondering if -- because this quarter, you seem to have like a big FX impact. Is your commitment to positive jaws in your plan of 0.5%, is that including the FX impact as well? So does the group intend to offset that FX impact or just trying to kind of understand that other than the cost trend and cost management.

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : So more questions on French Retail revenues and capital, I'm afraid. So I just wanted to understand on the TRIM impact. You'd guided 6 weeks ago at the Investor Day for a 30-basis point impact still to come, which would imply something -- someway higher than the EUR 5 billion to EUR 6 billion you've talked about today. So I'm just wondering how to bridge that gap? Is there stuff to come after 2023 that was included in that 30 basis points guidance or has something changed? And maybe if you could elaborate which portfolios make up that remaining TRIM impact because most competitors seem to impact, which has already been all digested. So just to help understand that would be helpful. And then second question, just coming back to this, I guess, guidance of flat second half versus first half LCL revenues. I mean, as I understand it, the first half benefited from an unquantified private equity gain in the first quarter in NII. We've had quite a big home savings loan hedge gain in the second quarter. I suspect that there might be a pretty large amount of dividend in there as well, if you could confirm that? But it seems like there are a lot of benefits already in the first half, a fair number of headwinds coming in the second half and the only sort of incremental positive is that the TLTRO drop-off might not be as severe as expected. So I'm just wondering if I'm missing something and why the outlook is so positive also compared to kind of the tone of your previous commentary, which was towards the fact you're not going to be a big rate rise beneficiary? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. AUGUST 04, 2022 / 12:00PM, CAGR.PA - Half Year 2022 Credit Agricole SA Earnings Call

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : (inaudible) versus the first quarter, please so 2Q '22 versus 1Q '22 just to go over a full year period...

Question: Jonathan Matthew Balfour Clark - Mediobanca - Banca di credito finanziario S.p.A., Research Division - Analyst : I think you said there was a private equity gain in the last quarter. Is that right?

Question: Kirishanthan Vijayarajah - HSBC, Research Division - Analyst : It's Kiri Vijayarajah here from HSBC. A couple of questions from my side. So firstly, turning to Ukraine, I see the deposit balance is growing quite rapidly there. So presumably, there's some sort of flight to quality going on the deposit side. But my question is more, what's the risk that you might need to inject more equity at some stage into that business? Because I guess there's political pressure to keep that business as a viable growing concern in Ukraine. And then second question, just turning to the wealth management division, not a large division for you. But at the moment, it seems to be driving bigger net inflows than either asset management or insurance. So just wonder what's driving that given generally kind of tougher conditions in the second quarter? And actually, not just the revenues, it looks like the -- sorry, not just inflow, but revenue is also pretty strong in wealth management. So how are you able to sort of buck the industry trend, what's driving the inflows and strong revenues there, please?