Analysis of the asset and liability structure
Net assets fell slightly
The net assets of the MLP Group fell by 3.8 % to € 1,476 million. On the assets side, intangible assets decreased from € 162.4 million to € 156.1 million due to changes in the scope of consolidation (ZSH GmbH), adjustments to the variable purchase price components for Feri Finance AG and TPC GmbH, as well as amortisation and impairment. Property, plant and equipment also saw a decline from € 80.4 million to € 78.8 million as a result of the change in the scope of consolidation, as well as depreciation. The item “Investment property” was down 2.6 % to € 11.4 million due to depreciation.
Assets as at December 31, 2009
| All figures in € million | 2009 | 2008 | Change | As % of the net assets 2009 |
|---|---|---|---|---|
| Intangible assets | 156.1 | 162.4 | – 3.9 % | 10.6 % |
| Property, plant and equipment | 78.8 | 80.4 | – 2.0 % | 5.3 % |
| Investment property | 11.4 | 11.7 | – 2.6 % | 0.8 % |
| Shares accounted for using the equity method |
2.0 | 2.3 | – 13.0 % | 0.1 % |
| Deferred tax assets | 3.0 | 2.6 | 15.4 % | 0.2 % |
| Receivables from clients in the banking business |
313.5 | 275.4 | 13.8 % | 21.2 % |
| Receivables from banks in the banking business |
498.2 | 605.6 | – 17.7 % | 33.8 % |
| Financial investments | 192.4 | 179.9 | 6.9 % | 13.0 % |
| Tax refund claims | 33.1 | 26.9 | 23.0 % | 2.2 % |
| Other accounts receivable and other assets | 132.1 | 145.4 | – 9.1 % | 9.0 % |
| Cash and cash equivalents | 55.0 | 38.1 | 44.4 % | 3.7 % |
| Non-current assets held for sale and disposal groups |
- | 3.3 | > – 100.0 % | - |
| Net assets | 1,475.5 | 1,534.0 | – 3.8 % |
Liabilities and shareholders' equity as at December 31, 2009
| All figures in € million | 2009 | 2008 | Change | As % of the balance sheet total 2009 |
|---|---|---|---|---|
| Shareholders' equity | 418,5 | 425,9 | – 1,7 % | 28,4 % |
| Provisions | 52,4 | 52,9 | – 1,0 % | 3,6 % |
| Deferred tax liabilities | 10,7 | 9,6 | 11,5 % | 0,7 % |
| Liabilities due to clients in the banking business |
750,3 | 778,8 | – 3,7 % | 50,9 % |
| Liabilities due to banks in the banking business |
20,8 | 25,0 | – 16,8 % | 1,4 % |
| Tax liabilities | 9,0 | 0,0 | > 100,0 % | 0,6 % |
| Other liabilities | 211,8 | 239,2 | – 11,5 % | 14,4 % |
| Liabilities in connection with non-current assets held for sale and disposal groups |
2,0 | 2,6 | – 23,1 % | 0,1 % |
| Total | 1.475,5 | 1.534,0 | – 3,8 % |
Receivables from clients and from banks in the banking business together fell slightly by 7.9 % to € 811.7 million. These loans are essentially refinanced through the deposits of our clients (liabilities due to clients from the banking business).
Increase in financial assets and cash and cash equivalents
We further increased financial investments by € 12.4 million to € 192.4 million. This was essentially due to shifting of short-term funds into longer term forms of investment.
Tax refund claims also increased significantly, reaching a level of € 33.1 million (€ 26.9 million) on the reporting date. Due to weaker business development than in the previous year, other accounts receivable and other assets also dropped from € 145.4 million to € 132.1 million. This item essentially contains commission receivables from insurance companies resulting from the brokerage of insurance products.
Cash and cash equivalents saw a marked increase, reaching a level of € 55.0 million (€ 38.1 million) on the reporting date.
Capital structure improved
By reducing net assets, we were able to further improve the Group’s capital structure in the last financial year. The equity ratio increased from 27.8 % to 28.4 %. With shareholders’ equity standing at € 418.5 million (€ 425.9 million), the Group’s equity capitalisation remains very good. Based on net profit, the return on equity remains unchanged at 5.8 %.
We were able to reduce provisions on the reporting date December 31, 2009 from € 52.9 million to € 52.4 million.
Downward trend in liabilities
Liabilities due to clients and banks from the banking business together dropped by 4.1 % to € 771.1 million. The deposits of our clients, predominantly held in accounts, credit cards and instant access accounts, dropped by 3.7 % to € 750.3 million. We reduced liabilities due to banks by 16.8% to € 20.8 million.
Other liabilities also fell by € 27.4 million to € 211.8 million. This item is mainly attributable to current liabilities to our consultants and branch managers due to open commission claims and a purchase price liability resulting from the acquisition of Feri Finance AG in 2006 (see also “Financial position”).
Disclosures on the structure of the asset and debt values in the individual segments can be found in the notes to the segment report segment report.