ING Groep NV

AEX:INGA

Earnings Call Transcript

[Rogier van der Zwaan, executive]

Hi, Steven. Few questions about the quarter. I brought a new friend. Two minutes more or less.

[Steven van Rijswijk, executive]

Should be enough.

[Rogier van der Zwaan, executive]

Okay. It's watching you.

[Rogier van der Zwaan, executive]

What's kind of a quarter was it for the bank?

[Steven van Rijswijk, executive]

Yes, the numbers are good. Interest income in both Retail and Wholesale Banking were strong. Fee income went up largely because of Retail Banking and Wholesale Banking, we had good trading results and with our focus on capital optimization, also good returns. And an increase of our primary customer base with 181,000 customers, largely across all retail markets. So not bad, I would say.

[Rogier van der Zwaan, executive]

So good numbers, but economies are slowing down. What do we feel.

[Steven van Rijswijk, executive]

Look, there are a lot of uncertainties. And for sure, the conflict in the Middle East doesn't help with that. Inflation is expected to come down in the next couple of months. But if oil prices surge, that could also have an impact on inflation. Economies in general are uncertain. But in that context, we're doing very well. Good results, low risk costs, strong capital. So I'm confident that we can withstand any shock, and we can also keep our promise to our customers serve them well.

[Rogier van der Zwaan, executive]

Some people say, we're making too much profit right now. What do you say?

[Steven van Rijswijk, executive]

I'll say that the numbers are big, but we're also a big company. Also, we do not steer and manage our bank on a quarter-by-quarter basis. We have to look at the long term. And look, for example, a year ago, then interest rates were negative. And last but not least, a strong and healthy and also profitable bank is also good for all of our stakeholders, including our 38 million customers.

[Rogier van der Zwaan, executive]

And we have a new climate report. What jumps out for you?

[Steven van Rijswijk, executive]

What really jumps out is that we work with sectors; with steel, with automotive, with shipping and we also measure progress. Now to give you a number, in 7 of the 10 sectors that we put in that report, we are on track for our 2030 targets and therefore, on our way to net zero about 2050. We're doing a lot but not yet enough to keep the planet healthy.

[Rogier van der Zwaan, executive]

And you also want to work with governments and regulators, what's your message to them.

[Steven van Rijswijk, executive]

As a society, we want to become more sustainable. We want to get to net zero. In the end, it also means that governments need to give clear direction and clear policies per sector. We cannot do it alone if we want to speed up.

[Rogier van der Zwaan, executive]

That's all we have time for right now. The penguin has lost its patients.

[Steven van Rijswijk, executive]

Thank you very much, penguin.

[Rogier van der Zwaan, executive]

Well, thank you very much for your answers and good luck.

[Steven van Rijswijk, executive]

Good.