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statement “In the second quarter of 2024, we have delivered good
results across our business,” said Steven van Rijswijk, CEO of ING.
“We have continued to perform well financially and have maintained
commercial momentum throughout the first six months of the year.
Our results were mainly driven by strong fee income and resilient
net interest income, supported by increased customer lending and
customer deposit volumes. Our performance underlines our ability to
accelerate growth, increase impact and deliver value. “Our
customer base has grown significantly in the second quarter. The
number of mobile primary customers grew by 248,000 to 13.7 million,
representing 88% of our total primary customer base of 15.6
million. Key contributors to this growth were the Netherlands,
Germany and Spain. "Fee income drivers have remained strong,
reflecting structural improvements in Retail Banking. Our growing
customer base and favourable market conditions have helped us lift
fee income from investment products, daily banking, mortgage
brokerage and insurance. In Germany, we have achieved the milestone
of €100 billion in assets under management in investment products.
Fees in Wholesale Banking have shown a limited decline after an
exceptional first quarter for Global Capital Markets. “We
have delivered excellent commercial performance in Retail Banking,
with deposits growing by €9 billion, partly due to seasonal inflows
of holiday allowances. Interest income for lending was up
sequentially and year-on-year, supported by growth in core lending
of €9 billion, which includes an increase in mortgage volumes in
all of our markets. “Wholesale Banking has recorded another
strong quarter, with a 5% quarter-on-quarter increase in revenues.
Furthermore, core deposits have grown by €6 billion, mainly
attributable to successful initiatives in Payments & Cash
Management and Money Markets. During the quarter, we have continued
to invest in our Wholesale Banking franchise to enable top-line
growth, improve the digital experience and accelerate the execution
of our strategy. “Expenses increased as expected, reflecting
the impact of delayed inflationary pressure on staff costs, as well
as increased marketing expenses. Risk costs were up but remained
below the through-the-cycle-average, showing the quality of our
loan book. Our CET1 ratio was 14.0%, mostly driven by the impact of
the share buyback programme that was announced in May 2024 and is
well underway. Our 4-quarter rolling return on equity came out at
14.0%, which also reflects the favourable impact of the share
buyback programmes. “Reinforcing our strategic focus to put
sustainability at the heart of what we do, we have updated our
annual sustainable volume mobilised target to €150 billion by 2027,
up from our previous target of €125 billion by 2025. We have seen
good progress already, with our sustainable volume mobilised
increasing to €56.9 billion in the first half of the year, up 21%
year-on-year. “As we introduced the next phase of our
strategy during the quarter, we have continued to deliver value to
all our stakeholders. I would like to thank our employees across
the world for their contributions to these strong results and look
forward to keep growing the difference.” |
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ING ProfileING is a global financial institution with a strong
European base, offering banking services through its operating
company ING Bank. The purpose of ING Bank is: empowering people to
stay a step ahead in life and in business. ING Bank’s more than
60,000 employees offer retail and wholesale banking services to
customers in over 40 countries. ING Group shares are listed
on the exchanges of Amsterdam (INGA NA, INGA.AS), Brussels and on
the New York Stock Exchange (ADRs: ING US, ING.N). ING aims
to put sustainability at the heart of what we do. ING’s
sustainability efforts have been recognised externally by
environmental, social and governance (ESG) rating agencies and
other benchmarks. In 2023, Sustainalytics assessed our management
of ESG material risk as ‘strong’. In July 2023, ING's ESG rating by
MSCI was reconfirmed as 'AA'. ING’s shares are included in the
sustainability indices of Euronext, STOXX, FTSE Russell and
Morningstar. Important legal informationElements of this
press release contain or may contain information about ING Groep
N.V. and/ or ING Bank N.V. within the meaning of Article 7(1) to
(4) of EU Regulation No 596/2014 (‘Market Abuse Regulation’).
ING Group’s annual accounts are prepared in accordance with
International Financial Reporting Standards as adopted by the
European Union (‘IFRS- EU’). In preparing the financial information
in this document, except as described otherwise, the same
accounting principles are applied as in the 2023 ING Group
consolidated annual accounts. All figures in this document are
unaudited. Small differences are possible in the tables due to
rounding. Certain of the statements contained herein are not
historical facts, including, without limitation, certain statements
made of future expectations and other forward-looking statements
that are based on management’s current views and assumptions and
involve known and unknown risks and uncertainties that could cause
actual results, performance or events to differ materially from
those expressed or implied in such statements. Actual results,
performance or events may differ materially from those in such
statements due to a number of factors, including, without
limitation: (1) changes in general economic conditions and customer
behaviour, in particular economic conditions in ING’s core markets,
including changes affecting currency exchange rates and the
regional and global economic impact of the invasion of Russia into
Ukraine and related international response measures (2) changes
affecting interest rate levels (3) any default of a major market
participant and related market disruption (4) changes in
performance of financial markets, including in Europe and
developing markets (5) fiscal uncertainty in Europe and the United
States (6) discontinuation of or changes in ‘benchmark’ indices (7)
inflation and deflation in our principal markets (8) changes in
conditions in the credit and capital markets generally, including
changes in borrower and counterparty creditworthiness (9) failures
of banks falling under the scope of state compensation schemes (10)
noncompliance with or changes in laws and regulations, including
those concerning financial services, financial economic crimes and
tax laws, and the interpretation and application thereof (11)
geopolitical risks, political instabilities and policies and
actions of governmental and regulatory authorities, including in
connection with the invasion of Russia into Ukraine and the related
international response measures (12) legal and regulatory risks in
certain countries with less developed legal and regulatory
frameworks (13) prudential supervision and regulations, including
in relation to stress tests and regulatory restrictions on
dividends and distributions (also among members of the group) (14)
ING’s ability to meet minimum capital and other prudential
regulatory requirements (15) changes in regulation of US
commodities and derivatives businesses of ING and its customers
(16) application of bank recovery and resolution regimes, including
write down and conversion powers in relation to our securities (17)
outcome of current and future litigation, enforcement proceedings,
investigations or other regulatory actions, including claims by
customers or stakeholders who feel misled or treated unfairly, and
other conduct issues (18) changes in tax laws and regulations and
risks of non-compliance or investigation in connection with tax
laws, including FATCA (19) operational and IT risks, such as system
disruptions or failures, breaches of security, cyber-attacks, human
error, changes in operational practices or inadequate controls
including in respect of third parties with which we do business and
including any risks as a result of incomplete, inaccurate, or
otherwise flawed outputs from the algorithms and data sets utilized
in artificial intelligence (20) risks and challenges related to
cybercrime including the effects of cyberattacks and changes in
legislation and regulation related to cybersecurity and data
privacy, including such risks and challenges as a consequence of
the use of emerging technologies, such as advanced forms of
artificial intelligence and quantum computing (21) changes in
general competitive factors, including ability to increase or
maintain market share (22) inability to protect our intellectual
property and infringement claims by third parties (23) inability of
counterparties to meet financial obligations or ability to enforce
rights against such counterparties (24) changes in credit ratings
(25) business, operational, regulatory, reputation, transition and
other risks and challenges in connection with climate change and
ESG-related matters, including data gathering and reporting (26)
inability to attract and retain key personnel (27) future
liabilities under defined benefit retirement plans (28) failure to
manage business risks, including in connection with use of models,
use of derivatives, or maintaining appropriate policies and
guidelines (29) changes in capital and credit markets, including
interbank funding, as well as customer deposits, which provide the
liquidity and capital required to fund our operations, and (30) the
other risks and uncertainties detailed in the most recent annual
report of ING Groep N.V. (including the Risk Factors contained
therein) and ING’s more recent disclosures, including press
releases, which are available on www.ING.com. This document
may contain ESG-related material that has been prepared by ING on
the basis of publicly available information, internally developed
data and other third-party sources believed to be reliable. ING has
not sought to independently verify information obtained from public
and third-party sources and makes no representations or warranties
as to accuracy, completeness, reasonableness or reliability of such
information. Materiality, as used in the context of ESG, is
distinct from, and should not be confused with, such term as
defined in the Market Abuse Regulation or as defined for Securities
and Exchange Commission (‘SEC’) reporting purposes. Any issues
identified as material for purposes of ESG in this document are
therefore not necessarily material as defined in the Market Abuse
Regulation or for SEC reporting purposes. In addition, there is
currently no single, globally recognized set of accepted
definitions in assessing whether activities are “green” or
“sustainable.” Without limiting any of the statements contained
herein, we make no representation or warranty as to whether any of
our securities constitutes a green or sustainable security or
conforms to present or future investor expectations or objectives
for green or sustainable investing. For information on
characteristics of a security, use of proceeds, a description of
applicable project(s) and/or any other relevant information, please
reference the offering documents for such security. This
document may contain inactive textual addresses to internet
websites operated by us and third parties. Reference to such
websites is made for information purposes only, and information
found at such websites is not incorporated by reference into this
document. ING does not make any representation or warranty with
respect to the accuracy or completeness of, or take any
responsibility for, any information found at any websites operated
by third parties. ING specifically disclaims any liability with
respect to any information found at websites operated by third
parties. ING cannot guarantee that websites operated by third
parties remain available following the publication of this
document, or that any information found at such websites will not
change following the filing of this document. Many of those factors
are beyond ING’s control. Any forward-looking statements
made by or on behalf of ING speak only as of the date they are
made, and ING assumes no obligation to publicly update or revise
any forward-looking statements, whether as a result of new
information or for any other reason. This document does not
constitute an offer to sell, or a solicitation of an offer to
purchase, any securities in the United States or any other
jurisdiction. |