Bank Of Queensland Limited · ASX:BOQ
Bank Of Queensland — Investor Presentation (December 2008)
13 slides from Bank Of Queensland's investor presentation, Dec 15, 2008
Slide 1: Bank of Queensland Share Purchase Plan Offer 2008/09
Bank of Queensland Share Purchase Plan (SPP) Offer 2008/09 15 December 2008 to 23 January 2009 SPP Lead Manager
Slide 2: Agenda
Agenda 1. Share Purchase Plan Offer 2008 2. Trading environment 3. Core focus – low risk retail lending 4. Strong financial results 5. A sought-after track record 6. High performance growth model 7. Accessible funding and liquidity 8. Growth opportunities 9. Summary Appendix. SPP Timetable Share Pur
Slide 3: Share Purchase Plan Offer 2008
1. Share Purchase Plan Offer 2008 Offer to purchase up to $10,000 worth of new shares Participating in this offer will allow you to increase your BOQ shareholding at a discount to the average market price without paying any brokerage or other charges The issue price per share will be the lesser of:
Slide 4: Trading environment
2. Trading environment f Challenging market conditions No direct exposure to sub-prime, CDOs, etc Focus remains on well secured housing and SME lending f Ability to be flexible so that we can quickly respond to changing market conditions f Strong growth in retail deposits f Leveraging off QLD and WA
Slide 5: Core focus – low risk retail banking
3. Core focus – low risk retail banking Retail lending of ~72% of loans under management Well positioned with 77% exposure to QLD and WA Total of only 69 exposures > $10m: ~5% of assets under management Low risk portfolio with bad debts expense significantly lower relative to peer group Bad & Doubtf
Slide 6: Strong financial results
4. Strong financial results FY07 FY08 Normalised cash profit after tax $106.1m $155.4m 46% Cash EPS (normalised fully diluted) 93.0¢ 102.9¢ 11% Ordinary dividend 69¢ 73¢ 6% Loan growth (pcp) 27% *23% Retail deposit growth (pcp) 33% *25% Net interest margin 1.81% 1.67% (14bps) Cost to income ratio (n
Slide 7: A sought-after track record
5. A sought-after track record Total loans under management Retail deposits $14.0bn CAGR 24.9% $26.3bn CAGR 30.0% $19.2bn $9.2bn $15.1n $6.9n $12.4bn $5.8bn $10.8bn $4.9bn 2004 2005 2006 2007 2008 2004 2005 2006 2007 2008 EPS Cost-to-Income Ratio 103c CAGR 13.5% 65.8% 93c 62.6% 64.5% 80c 68c 56.1% 6
Slide 8: High performance growth model
6. High performance growth model BOQ’s Owner Manager Branch (OMB) model gives the Bank a substantial edge on growth Average monthly settlements typically increase by ~65% post Corporate to OMB conversion BOQ has delivered above system growth in lending and deposits Annualised growth before and Above
Slide 9: Funding and liquidity
7. Funding and liquidity Strong capital and liquidity / funding base Key to BOQ’s philosophy has been first and foremost to grow ‘sticky’ retail deposits, then tap diverse range of wholesale funding sources Our flexibility enabled us to quickly and effectively adjust our focus to maximising retail d
Slide 10: Growth opportunities
8. Growth opportunities f BOQ now has a sizable high performance OMB platform to pursue the ‘opportunity gap’ to the Majors The ‘high growth’ platform has been built … ... to gain market share2 Branch Numbers1 25% 283 20% Aggregate market share: 80% 235 215 15% 173 196 Increasing ‘opportunity 142 18
Slide 11: Summary
9. Summary Strong performance given current economic climate Low risk retail banking Portfolio benefiting from major presence in strong states, particularly Qld and WA Continued access to funding Cautiously confident The Share Purchase Plan Offer is a great opportunity to acquire more shares in BOQ
Slide 12: Bank of Queensland
bank ditrerent® Bank of Queensland
Slide 13: Appendix. SPP Timetable
Appendix. SPP Timetable Offer opens 15 December 2008 Pricing period to determine VWAP 19 January 2009 to 23 January 2009 Closing date for offer 23 January 2009 Issue shares 2 February 2009 Despatch allotment confirmations 5 February 2009 Quotation of new shares on ASX 6 February 2009 Shareholders ar
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