Deutsche Bank Aktiengesellschaft (NYSE:DB) Q4 2022 Earnings Call Transcript

Timo Dum: Hi, good afternoon. So thank you for taking my questions. I have questions on PB and CB, please. So starting with a quick one on PB. Could you please attach a number of the branches that you plan to close this year? And also, is it fair to assume that the benefit was most likely or most of that would be reasonable only in next year? So this will be a question number two, and number one. And secondly, looking at your Corporate Bank business, would you — could you give some color on the extraordinary growth in the business banking subdivision? I mean, that will be outside the treasury and institutional services that also — both of them posted strong growth, but the subdivision was above 50%. So this would be interesting. And also if this is something that could be repeated as well. Thank you.

James von Moltke: So on the second question, it is the — it’s the sensitivity there and the fact that it’s uniquely on the on the Euro book. And they benefited from the two rate hikes. Because remember, the first the hike to positive took place very late in the third quarter, so you essentially had the impact of one full and one partial rate hike in that business. And it’s just more sensitive and had a very, very pronounced lag effect. On the branches, I don’t have a precise number for you. We talked about potentially disclosing that but backed off a little bit. I would say, not far off the pace of this year. I don’t think quite as many as this year, but still a considerable program or branch closures that we have the scheduled.

Look, the timing of it does take a while to flow through. And the paybacks for branch closures, aren’t as attractive as you might think. But that is taking place and rather like the earlier conversation, there is a grow over benefit in ’23 from the branches that were closed during ’22. So, so we’d expect to see a little bit of help on the expense line there as well.

Timo Dum: Thank you.

James von Moltke: Thank you, Timo.

Operator: That was our last question for today. And I hand back for closing comments.

Ioana Patriniche : Thank you for joining us for our fourth quarter and full year 2022 results call and for your questions. And thank you again for bearing with us during the delay given our technical difficulties. As ever, please reach out to Investor Relations with any follow up questions. And with that, we look forward to speaking to you at our first quarter results in April. Thank you.

Operator: Ladies and gentlemen. The conference is now concluded. And you may disconnect your telephone. Thank you very much for joining. And have a pleasant day. Goodbye.