(https://www.mbank.pl/en/investor-relations) features information divided into categories, in particular periodic reports, financial results and selected business data, presentations and video recordings of earnings conferences, data on shareholders and share price of mBank on WSE, consensus of forecast results of the Group, compendium of knowledge for new investors, current reports, information on AGMs, ratings and debt instruments. The website gives investors access to historic results of the Group and the bank (periodic reports, presentations and video recordings of earnings conferences) and to an archive of Annual General Meetings. In 2020 we added a new document, called „mBank Sustainability Standards” to our website, including basic information on our approach to ESG as well as a summary of the most important policies related to the environmental, social and governance issues. Analysts and mBank’s investors are kept abreast of the major developments in mBank Group in a monthly Newsletter and ad-hoc e-mails.
mBank shares have been listed on the Warsaw Stock Exchange (WSE) since 1992.
mBank shares are included in the following indexes:
As at December 31, 2020, mBank’s registered share capital amounted to PLN 169,468,160 and was divided into 42,367,040 shares, including 42,356,040 ordinary bearer shares and 11,000 ordinary registered shares with a nominal value of PLN 4 each. Each share carries one voting right at the Annual General Meeting.
In 2020, the number of mBank’s shares increased by 16,673.
Moreover, in June 2020, 1,000 registered shares of mBank were converted into ordinary bearer shares and assimilated with the bank’s shares traded on the stock exchange.
| Information concerning mBank shares | 2019 | 2020 |
| Total number of shares | 42,350,367 | 42,367,040 |
| Nominal value per share (PLN) | 4.00 | 4.00 |
| Registered share capital (PLN) | 169,401,468 | 169,468,160 |
| Share price at closing of the year’s last trading session (PLN) | 389.40 | 179.20 |
| P/E ratio | 16.3 | 73.1 |
| P/BV ratio | 1.0 | 0.5 |
| Maximum share price (PLN) | 469.40 | 400.00 |
| Minimum share price (PLN) | 303.20 | 115.50 |
| Market capitalisation at the year-end (PLN billion) | 16.5 | 7.6 |
| Average traded volume (PLN million) | 8.5 | 10.3 |
| Dividend per share (paid out in the year, PLN) | 0 | 0 |
Until October 14, 2020, mBank shares were a component of WIG20 and WIG20TR indices. As a result of the extraordinary adjustment of WIG20, WIG20TR and mWIG40 and mWIG40TR indices portfolios, mBank was replaced by Allegro in the blue-chip index WIG20 and in WIG20TR. mBank, for its part, replaced VRG S.A. in the mid-cap mWIG40 index and in mWIG40TR. The extraordinary adjustment of the indices results from the IPO of Allegro shares.
In addition, after the 30 November 2020 session, as part of the periodic revision of MSCI indices, mBank was dropped from MSCI Poland index and joined the MSCI small cap index.
mBank shareholders and share price on the WSE
mBank shareholders
For more information about mBank’s shareholders read the Statement of mBank on Application of Corporate Governance Principles in 2020, chapter “Significant blocks of shares”.
Performance of shares in 2020
mBank’s share price at close of trade in 2020 (December 30) stood at PLN 179.20, which represents a decline by 54.0% compared with the last trading day of 2019 (December 30). During this period, WIG index fell by -1.4%, WIG20 index declined by -7.7% and WIG-Banks index by -29.6%. The stronger decline of mBank’s share price than WIG-Banks index resulted from i.a. the growing number of lawsuits concerning CHF-indexed housing loans and court decisions unfavourable for the bank, as well as deletion of mBank shares from WIG20 and MSCI Poland indices in Q4 2020.
| mBank share price vs. indices | 2016 | 2017 | 2018 | 2019 | 2020 |
|---|---|---|---|---|---|
| mBank | +6.8% | +38.7% | -8.8% | -8.2% | -54.0% |
| WIG-Banks Index | +2.9% | +35.4% | -12.1% | -9.2% | -29.6% |
| WIG | +11.4% | +23.2% | -9.5% | +0.2% | -1.4% |
| EURO STOXX Banks Index | -8.1% | +10.9% | -33.3% | +11.1% | -23.7% |
Out of thirteen bank analysts and brokers who actively monitored mBank’s financial results and issued recommendations for mBank shares, at the end of 2020, four analysts recommended buying mBank shares, three analysts recommended selling shares, and the remaining six issued a „hold” recommendation.
The current consensus regarding mBank Group’s expected results is available on mBank’s website.
Investor Relations at mBank
Acting in cooperation with the Management Board and other organisational units of the bank, the Investor Relations Team provides analysts and investors with reliable and complete information about mBank Group, in compliance with the reporting obligations arising from the group’s operation on the regulated market. mBank applies the corporate governance principles described in detail in mBank’s statement on application of corporate governance principles in 2020. From October 2020, the Investor Relations Team was incorporated into the newly created Treasury and Investor Relations Area and reports directly to the Managing Director for Treasury and Investor Relations.
Transparent communication with stakeholders and equal access to information help build confidence of the market. mBank has been actively communicating with capital market participants, which includes activities addressing and adjusted to the needs of individual groups, in accordance with the best market standards and practices.
The COVID-19 pandemic has changed trends in investor relations, accelerating the digitization of contacts. Face-to-face meetings with investors and analysts have been replaced by video or teleconference meetings. We also participated in online conferences, which were very popular. The importance of information provided by e-mail and regularly updated material available on mBank’s website has increased.
In 2020 investors and stock market analysts participated in four earnings conferences announcing mBank’s financial results, conducted remotely for security reasons. All meetings with the Management Board accompanying the announcement of quarterly figures were posted on the bank’s website. Relations with analysts, shareholders and potential investors are also strengthened through meetings at conferences organised by Polish and foreign brokerage houses. In 2020, mBank participated in seven conferences, mostly organised virtually. Moreover, together with Dom Maklerski mBanku we organised a virtual roadshow which was an opportunity to discuss with foreign investors from Germany, UK, Austria, Hungary and Latvia. Throughout the year, apart from meetings at conferences and roadshows, the Management Board members and/or the Investor Relations team held individual meetings with investors and analysts. Some investors were interested in discussing the ESG-related topics. In cooperation with other units, in particular CSR experts, we answered multiple questionnaires and surveys concerning ESG, which attracts increased attention of the various stakeholders.
In 2020, the Management Board representatives met online with the analysts from rating agencies. Moreover, the bank has been in regular contact with rating agencies through teleconferences and e-mails exchanged with analysts.
Credit ratings of mBank and mBank Hipoteczny
| S&P Global Ratings | Ratings of mBank |
|---|---|
| Long-term issuer credit rating (foreign currency) | BBB (negative outlook) |
| Short-term issuer credit rating (foreign currency) | A-2 |
| Stand-alone Credit Profile (SACP) | bbb |
| Rating of unsecured debt issued under the Euro Medium Term Note Programme (EMTN) | BBB |
| Long-term resolution counterparty ratings (long-term RCR) | BBB+ |
| Short-term resolution counterparty rating (short-term RCR) | A-2 |
| Fitch Ratings | Ratings of mBank |
|---|---|
| Long–term IDR (foreign currencies) | BBB- (stable outlook) |
| Short-term IDR (foreign currencies) | F3 |
| Viability rating | bbb- |
| Support rating | 3 |
| Rating of unsecured debt issued under the Euro Medium Term Note Programme (EMTN) | BBB- |
| Moody’s Investors Service | Ratings of mBank* | Ratings of mBank Hipoteczny |
|---|---|---|
| Long-term Deposit Rating (foreign currency) | A3 (stable outlook) | – |
| Short-term Deposit Rating (foreign currency) | Prime-2 | – |
| Long-term Issuer Rating (foreign) | – | Baa2 (stable outlook) |
| Short-term Issuer Rating (foreign) | – | Prime-2 |
| Long-term Counterparty Risk Rating (foreign currency) | A2 | A3 |
| Short-term Counterparty Risk Rating foreign currency) | Prime-1 | Prime-2 |
| Baseline Credit Assessment (BCA) | baa3 | – |
| Adjusted Baseline Credit Assessment | baa2 | – |
| Rating of covered bonds issued by mBank Hipoteczny | – | Aa2 |
* rating based solely on publicly available information
| Capital Intelligence Ratings | Ratings of mBank* |
|---|---|
| Long-term rating (foreign currency) | BBB+ (stable outlook) |
| Short-term rating (foreign currency) | A2 |
| Bank Standalone Rating (BSR) | bbb+ |
| Core Financial Strength (CFS) | bbb |
* rating based solely on publicly available information
mBank’s rating by EuroRating
On November 20, 2020, EuroRating carried out periodic verification of mBank’s credit rating. The bank’s rating was maintained unchanged at “BBB” with a negative outlook.
Summary of ratings for Poland, mBank and Commerzbank
The table below compares long-term ratings (foreign currency) for mBank, Commerzbank and Poland assigned by Fitch, S&P i Moody’s, as at the end of December 2020.
| Rating agency | Poland | mBank S.A. | Commerzbank AG |
|---|---|---|---|
| Fitch Ratings | A- (stab.) | BBB- (stab.) | BBB (neg.)1 |
| S&P Global Ratings | A- (stab.) | BBB (neg.) | BBB+ (neg.) |
| Moody’s Investors Service | A2 (stab.) | A3 (stab.)2 | A1 (stab.)2 |
1 Fitch Ratings plans to withdraw Commerzbank AG’s ratings on or about 5 March 2021 for commercial reasons.
2 Long-term Deposit Rating
Rating outlook indicated in brackets: stab.-stable, neg.- negative.