Cimb Group Holdings Bhd · MYX:CIMB
Cimb Group Holdings Bhd — 9M14 Earnings Presentation
69 slides from Cimb Group Holdings Bhd's earnings presentation, Nov 18, 2014
Slide 1: Analyst Presentation 9M14 Results
Analyst Presentation 9M14 Results 18 November 2014
Slide 2: Agenda
Agenda 1. Key Highlights 2. CIMB Group 9M14 Financials 3. PBT by Segment 3.1 Regional Consumer Banking 3.2 Regional Wholesale Banking 3.3 Investments 4. Country Analysis 5. Other Highlights 6. Outlook 7. Final Remarks 2
Slide 3: 1. Key Highlights
CIMB Group : 9M14 Results 1. Key Highlights
Slide 4: 9M14 Highlights
9M14 Highlights ROE at 11.6% – Main shortfall from Indonesia and low NoII CIMB Niaga’s PBT fell 28.1% (IDR) or 36.4% (RM) Y-o-Y, mainly from high provisions Group net profit -7.4% Y-o-Y, excluding gains from CIMB Aviva sale and restructuring charges in 1Q13. Excluding CIMB Niaga, the rest of the Gro
Slide 5: Key Financial Highlights
Key Financial Highlights Operating Income Overhead Expenses Loan Impairment RM ‘mil Growth RM ‘mil Growth RM ‘mil Growth 1 2 9M13 10,360 9M13 (6,121) 9M13 (352) BAU BAU 9M14 10,474 +1.1% 9M14 (6,053) -1.1% 9M14 (603) +71.3% Net Profit Gross Loans Deposits RM ‘mil Growth RM ‘bil Growth RM ‘bil Growth
Slide 6: Key Ratios
Key Ratios ROE^ NIM^* CI Growth Growth Growth 2 1,2,3 1,2 9M13 14.4% 9M13 2.87% 9M13 59.1% 9M14 11.6% -280bps 9M14 2.86% -1bps 9M14 57.8% -130bps LD CASA ROA Growth Growth Growth 1,2,3 Sep-13 87.1% Sep-13 34.9% Sep-13 1.18% Sep-14 93.5% +640bps Sep-14 34.9% 0bps Sep-14 1.02% 16bps Notes: 1. Excludin
Slide 7: PBT By Division
PBT By Division 69% Contribution from Consumer and Corporate Banking 9M14 9M13* Investment Investment Banking Banking Investments 1% Investments 4% 10% 10% Treasury & Consumer Treasury & Consumer Markets Banking Markets Banking 20% 44% 19% 42% Corporate Corporate Banking Banking 25% 25% 9M14 PBT Y-o
Slide 8: PBT By Country
PBT By Country TH & SG Good Traction 9M14* 9M13*~ Singapore Others Singapore Others -2% -2% 6% Thailand 4% Thailand 4% 5% Indonesia Indonesia 22% 31% Malaysia Malaysia 63% 69% 9M14 PBT Y-o-Y Growth by Key Countries *~ ^ 0.1% -36.4% +3.6% +45.2% * Excluding HQ costs, mainly comprising of funding cost
Slide 9: Indonesia : Difficult Year
Indonesia : Difficult Year CIMB Niaga PBT Asset Quality IDR ‘bil -28.1% Y-o-Y 91.0% 66.1% 51.8% 4,359 5.4% 3,136 3.9% 2.8% 3.4% 3.0% 2.3% 9M13 9M14 Sep-13 Jun-14 Sep-14 Gross Impairment Ratio Gross NPL Ratio Allowance Coverage Ratio Indonesia impacted by High interest rate environment, mitigated
Slide 10: 2. CIMB Group 9M14 Financials
CIMB Group : 9M14 Results 2. CIMB Group 9M14 Financials
Slide 11: Quarterly Earnings Trend
Quarterly Earnings Trend Private Placement 16.8% 15.5% 14.1% 14.0% 14.1% 13.8% 13.0% 10.7% 9.8% 3,797 3,544 3,430 3,445 3,485 3,538 3,529 3,369 3,407 1,496 1,403 1,387 1,386 1,431 1,371 1,358 1,281 1,179 1,143 1,082 1,021 1,054 1,062 1,038 1,066 950 890 3Q12 4Q12 1Q13 ~ 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14
Slide 12: Earnings Summary
Earnings Summary 9M13 Y-o-Y (RM ’mil) 9M14 9M13 3Q14 2Q14 Q-o-Q BAU* BAU Net interest income 7,400 6,989 6,989 5.9% 2,498 2,499 (0.0%) Non interest income 3,074 3,886 3,371 (8.8%) 1,031 908 13.5% Operating income 10,474 10,875 10,360 1.1% 3,529 3,407 3.6% Overhead expenses (6,053) (6,321) (6,121) (1
Slide 13: Key Ratios
Key Ratios 9M13 Y-o-Y (%) 9M14 9M13 3Q14 2Q14 Q-o-Q BAU * BAU ROE ^ 11.6 16.0 14.4 9.8 10.7 NIM ^** 2.86 2.87 2.87 2.82 2.90 Non-interest income / total income 29.4 35.7 32.5 29.2 26.7 Cost to income 57.8 58.1 59.1 57.6 58.9 Allowance coverage 74.2 82.2 82.2 74.2 79.2 Allowance coverage after regula
Slide 14: Operating Expenses
Operating Expenses (RM ’mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Personnel 3,362 3,574 (5.9%) 1,104 1,122 (1.6%) Establishment 1,433 1,359 5.4% 495 469 5.5% Marketing 264 293 (9.9%) 90 88 2.3% Admin & General 994 1,095 (9.2%) 345 329 4.9% Total 6,053 6,321 (4.2%) 2,034 2,008 1.3% Total excluding One-off
Slide 15: Gross Loans Growth
Gross Loans Growth 52% of banking book from RFS Loans by Country as at 30 Sep 14 # Divisions / Products (RM ‘bil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Others Singapore 5% Retail Financial Services (51.6%) 127.2 112.8 12.8% 123.4 3.1% 8% Mortgages 60.1 54.3 10.7% 58.6 2.6% Thailand 8% Term Loans
Slide 16: Deposits Growth
Deposits Growth Deposits by Country as at 30 Sep 14 Divisions / Products (RM ‘bil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Others Singapore 6% Retail Financial Services (39.9%) 106.5 103.7 2.7% 105.7 0.8% 10% Current 17.5 17.9 (2.2%) 18.2 (3.8%) Thailand 6% Savings 30.2 29.2 3.4% 29.9 1.0% Fixed &
Slide 17: CASA Growth
CASA Growth CASA by Country as at 30 Sep 14 Country (RM ‘bil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Singapore Others 12% 1% Malaysia 55.6 55.0 1.1% 56.5 (1.6%) Thailand Indonesia ** 20.6 20.2 2.0% 20.5 0.5% 5% Thailand 4.3 4.7 (8.5%) 4.1 4.9% Indonesia Malaysia Singapore 11.4 10.8 5.6% 10.9 4.6%
Slide 18: AFS MTM (Q-o-Q) Position
AFS MTM (Q-o-Q) Position 142.6 (15.6) (42.7) (66.5) (4.6) Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 18
Slide 19: Capital Management – CIMB Group
Capital Management – CIMB Group 2014 Minimum ^ * Regulatory + 14.8% 14.6%* 15.0% 13.7% Requirements ^ * Total Capital 8.0% + 11.1% 11.0%* 11.2% 9.7% ^ * Tier 1 5.5% + 9.6% 9.5%* 9.7% 8.0% Core Equity Tier 1 4.0% Dec-13 Mar-14 Jun-14 Sep-14 Post FY14 1st interim dividend of 10.00 sen and its DRS take
Slide 20: 3. PBT by Segment
CIMB Group : 9M14 Results 3. PBT by Segment
Slide 21: PBT by Segment (Estimated)
PBT by Segment (Estimated) PBT (RM ’mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Consumer Banking (44.2%) 1,718 1,753 (2.0%) 528 597 (11.6%) Malaysia (36.0%) 1,399 1,305 7.2% 460 489 (5.9%) Indonesia (6.0%) 235 459 (48.8%) 36 80 (55.0%) Thailand (0.5%) 18 (8) n.a. 9 1 800.0% Singapore (1.5%) 58 (4) n.a. 21
Slide 22: 3.1 Regional Consumer Banking
CIMB Group : 9M14 Results 3.1 Regional Consumer Banking
Slide 23: Malaysia : Consumer Banking
Malaysia : Consumer Banking (RM ’mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Net interest income 2,693 2,511 7.2% 911 893 2.0% Non interest income 789 761 3.7% 265 277 (4.3%) Operating income 3,482 3,272 6.4% 1,176 1,170 0.5% Overhead expenses (1,999) (2,027) (1.4%) (663) (664) (0.2%) PPOP 1,483 1,245 19.1
Slide 24: Malaysia : Consumer Gross Loans and Deposits
Malaysia : Consumer Gross Loans and Deposits Consumer Gross Loans (RM ‘bil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Retail Financial Services (89.5%) 97.8 86.0 13.7% 95.1 2.8% Mortgages 45.4 40.9 11.0% 44.2 2.7% Term loans 25.3 21.1 19.9% 24.7 2.4% Auto 13.3 12.4 7.3% 13.1 1.5% Credit cards 4.6 4.
Slide 25: Malaysia : Consumer Key Highlights (1)
Malaysia : Consumer Key Highlights (1) Sep-14 Sep-13 Mortgages – Loan Base Mkt Mkt RM ‘bil Rank* Rank Share Share +11.0% Y-o-Y ASB 27.5% 2 23.9% 3 +2.7% Q-o-Q Retail CASA 11.9% 3 12.4% 3 45.4 44.2 Auto 8.1% 5 7.7% 5 40.9 Residential 12.5% 3 12.7% 3 Mortgages Non-Residential 10.5% 3 10.6% 3 Mortgages
Slide 26: Malaysia : Consumer Key Highlights (2)
Malaysia : Consumer Key Highlights (2) Credit Cards Debit Cards RM ‘bil 2.7 3.0 3.5 3.8 3.8 2.1 +15.0% Y-o-Y +69.2% Y-o-Y +12.3% Q-o-Q +4.5% Q-o-Q 556.2 4.6 495.3 4.4 328.7 4.0 Sep-13 Jun-14 Sep-14 Sep-13 Jun-14 Sep-14 Loan Base Quarterly Spending Quarterly Spending (RM 'mil) Cards Base ('mil) Wealt
Slide 27: Indonesia : Consumer Gross Loans and Deposits
Indonesia : Consumer Gross Loans and Deposits Consumer Gross Loans (IDR ’bil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Retail Financial Services (41.2%) 48,730 47,971 1.6% 47,953 1.6% Mortgage 22,227 22,536 (1.4%) 22,260 (0.1%) Auto 18,137 18,695 (3.0%) 17,966 1.0% Credit Cards 4,952 3,792 30.6% 4,
Slide 28: Indonesia : Consumer Key Highlights
Indonesia : Consumer Key Highlights Sep-14* Sep-13 Consumer CASA Mkt Mkt IDR ‘tril Rank Rank Share Share +9.4 Y-o-Y Deposits 4.2% 5 4.6% 5 +4.1% Q-o-Q 66.5 63.9 Mortgages 7.3% 5 8.2% 5 60.8 Credit Cards ~ 11.0% 4 10.8% 4 Sep-13 Jun-14 Sep-14 Mortgage – Loan Base Credit Card – Loan Base IDR ‘tril IDR
Slide 29: Thailand : Consumer Gross Loans and Deposits
Thailand : Consumer Gross Loans and Deposits Consumer Gross Loans (THB ‘bil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Retail Financial Services (62.6%) 80.9 63.9 26.6% 77.4 4.5% Mortgage 52.1 39.9 30.6% 49.5 5.3% Auto Loans 18.7 15.3 22.2% 18.3 2.2% Personal / Others 10.1 8.7 16.1% 9.6 5.2% Commerc
Slide 30: Thailand : Consumer Key Highlights
Thailand : Consumer Key Highlights Sep-14 Sep-13 Mortgage Loans Mkt Mkt THB ‘bil Rank Rank Share Share +30.6% Y-o-Y Deposits 1.7% 9 1.6% 9 +5.3% Q-o-Q 52.1 49.5 Mortgages 2.7%* 9* 2.5% 9 39.9 Auto 1.1%* 9* 0.7% 9 SME Loans 2.2% 7 2.0% 7 Sep-13 Jun-14 Sep-14 Consumer Deposits Consumer Loans THB ‘bil
Slide 31: Singapore : Consumer Gross Loans and Deposits
Singapore : Consumer Gross Loans and Deposits Consumer Gross Loans (SGD ‘mil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Retail Financial Services (43.7%) 2,578 1,985 29.9% 2,419 6.6% Mortgages 1,614 1,426 13.2% 1,585 1.8% Term loans 172 159 8.2% 177 (2.8%) Credit cards 438 344 27.3% 425 3.1% RC and
Slide 32: Singapore : Consumer Key Highlights
Singapore : Consumer Key Highlights Consumer PBT Consumer Deposits SGD ‘mil SGD ‘mil +30.7% Y-o-Y +ve% Y-o-Y +6.3% Q-o-Q 6,905 7,339 23 -20.0% Q-o-Q 5,614 2,362 2,757 1,464 10 8 4,150 4,543 4,582 (2) 9M13 9M14 2Q14 3Q14 Sep-13 Jun-14 Sep-14 Retail deposits Commercial deposits Retail Loan Base Commer
Slide 33: 3.2 Regional Wholesale Banking
CIMB Group : 9M14 Results 3.2 Regional Wholesale Banking
Slide 34: ASEAN Equity Markets, ECM and M&A Activities
ASEAN Equity Markets, ECM and M&A Activities Index Performance MSCI SEA Traded Value 130 -18.6% Y-o-Y 120 381 314 310 110 100 90 80 Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 9M12 9M13 9M14 MXSO Index FBMKLCI Index JCI Index FSSTI Index SET Index Industry ASEAN M&A Industry ASEAN ECM USD ‘mil +23.4% Y-o-Y U
Slide 35: Markets : Markets Still Subdued; Bonds Pick-up in MY & SG
Markets : Markets Still Subdued; Bonds Pick-up in MY & SG FOREX Movements Bond Yields 40 10 35 30 8 25 6 20 15 4 10 2 5 0 0 Jun-13 Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 USDMYR USDSGD USDIDR USDTHB USDJPY MY 10Y Gov Bond IND 10Y Gov Bond USDCNH EURUSD GBPUSD AUDUSD TH
Slide 36: Wholesale Banking
Wholesale Banking (RM ’mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Net interest income 2,213 2,170 2.0% 750 771 (2.7%) Non interest income 1,453 1,522 (4.5%) 477 365 30.7% Operating income 3,666 3,692 (0.7%) 1,227 1,136 8.0% Overhead expenses (1,790) (1,665) 7.5% (584) (581) 0.5% PPOP 1,876 2,027 (7.4%) 64
Slide 37: Wholesale Banking : Investment Banking
Wholesale Banking : Investment Banking (RM ‘mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Net interest income 53 50 6.0% 19 18 5.6% Non interest income 751 736 2.0% 251 234 7.3% Operating income 804 786 2.3% 270 252 7.1% Overhead expenses (772) (628) 22.9% (255) (241) 5.8% PPOP 32 158 (79.7%) 15 11 36.4% (Pr
Slide 38: Wholesale Banking : Corporate Banking
Wholesale Banking : Corporate Banking (RM ‘mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Net interest income 1,216 1,222 (0.5%) 411 404 1.7% Non interest income 450 452 (0.4%) 127 118 7.6% Operating income 1,666 1,674 (0.5%) 538 522 3.1% Overhead expenses (613) (614) (0.2%) (194) (211) (8.1%) PPOP 1,053 1,06
Slide 39: Corporate Banking : Gross Loans
Corporate Banking : Gross Loans Country 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Malaysia (RM ‘bil) 30.3 36.2 (16.3%) 30.2 0.3% Indonesia (IDR ‘bil) 48,514 42,538 14.0% 47,091 3.0% Thailand (THB ‘bil) 49.3 55.2 (10.8%) 51.0 (3.5%) Singapore (SGD ‘bil) 4.8 4.0 17.7% 4.7 1.2% Others* (RM ‘bil) 13.7 9
Slide 40: Corporate Banking : Deposits
Corporate Banking : Deposits Country 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Malaysia (RM ‘bil) 73.8 78.0 (5.4%) 80.6 (8.4%) Indonesia (IDR ‘bil) 32,955 34,259 (3.8%) 34,490 (4.5%) Thailand (THB ‘bil) 55.4 44.3 25.1% 50.3 10.1% Singapore (SGD ‘bil) 2.9 2.8 4.5% 2.5 16.2% Others* (RM ‘bil) 14.0 11.
Slide 41: Wholesale Banking : Treasury and Markets
Wholesale Banking : Treasury and Markets (RM ‘mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Net interest income 944 899 5.0% 320 349 (8.3%) Non interest income 252 334 (24.6%) 99 13 661.5% Operating income 1,196 1,233 (3.0%) 419 362 15.7% Overhead expenses (405) (424) (4.5%) (135) (129) 4.7% PPOP 791 809 (2.
Slide 42: IB Market Share and Ranking (1)
IB Market Share and Ranking (1) 9M14 9M13 9M14 9M13 Market Market Market Market Rank Rank Rank Rank Share Share Share Share Cash Equities 11.1% 1 11.7% 1 Cash Equities 4.6% 3 6.4% 2 IPO 8.4% 5 27.3% 1 IPO - - - - ECM 18.6% 1 27.5% 2 ECM - - 12.5% 3 EQL Products 33.3% 1 - - EQL Products - - - - M&A 1
Slide 43: IB Market Share and Ranking (2)
IB Market Share and Ranking (2) 9M14 9M13 9M14 9M13 Market Market ASEAN Market Market Rank Rank Rank Rank Share Share Share Share Cash Equities 0.3% 51 0.2% 61 Cash Equities 6.9% 2 7.0% 2 IPO 1.3% 21 2.8% 12 IPO 3.5% 8 4.7% 7 ECM 0.5% 31 1.0% 18 ECM 6.6% 5 5.9% 6 EQL Products - - 2.5% 10 EQL Product
Slide 44: Notable Deals
Notable Deals DCM M&A Khazanah Nasional Berhad TPG Capital USD500.0 mil Exchangeable Trust Certificates due USD117.0 mil acquisition of a controlling stake of up to 75% 2021 issued via Cahaya Capital Ltd TPG in Union Bank of Colombo PLC Khazanah (First 7-year put 4 exchangeable Sukuk to price at Cap
Slide 45: Group Asset Management
Group Asset Management PBT (RM ‘mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q CIMB-P Group 61.6 50.6 21.7% 20.2 19.8 2.0% Wholesale 12.4 17.6 (29.1%) 4.2 4.5 (8.0%) Total 74.0 68.2 8.6% 24.4 24.3 0.1% Asset Under Management Wholesale AUM as at 30 Sep 2014 RM ‘mil +12.3 Y-o-Y PE RM 285 mil CAV 57,032 5% RM 52
Slide 46: 3.3 Investments
CIMB Group : 9M14 Results 3.3 Investments
Slide 47: Investments
Investments 9M13 Y-o-Y (RM ‘mil) 9M14 9M13 3Q14 2Q14 Q-o-Q BAU* BAU Net interest income 598 407 407 46.9% 181 212 (14.6%) Non interest income 151 898 383 (60.6%) 72 29 148.3% Total income 749 1,305 790 (5.2%) 253 241 5.0% Overhead expenses (428) (887) (687) 37.7% (164) (139) (18.0%) PPOP 321 418 103
Slide 48: Strategic Investments
Strategic Investments RM ‘mil 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q PAT to CIMB Group 96.3 69.6 38.4% 30.7 32.4 (5.3%) 9M14 vs 9M13: Higher PAT mainly due to better interest income arising from higher loans growth and fixed income investments 19.99% RM ‘mil 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q PAT to CIMB Grou
Slide 49: 4. Country Analysis
CIMB Group : 9M14 Results 4. Country Analysis
Slide 50: Indonesia : A Tough Year
Indonesia : A Tough Year CIMB Niaga PBT Non Interest Income IDR ‘bil IDR ‘bil -28.1% Y-o-Y -21.5% Y-o-Y 4,359 2,548 3,136 -56.7% Q-o-Q 1,999 -25.8% Q-o-Q 1,155 656 487 500 9M13 9M14 2Q14 3Q14 9M13 9M14 2Q14 3Q14 Gross Loans Asset Quality IDR ‘tril % +7.3% Y-o-Y 91.0% +1.3% Q-o-Q 66.1% 166.8 51.8% 16
Slide 51: CIMB Niaga : Earnings Summary
CIMB Niaga : Earnings Summary (IDR ‘bil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q Net interest income 7,785 7,511 3.6% 2,673 2,588 3.3% Non interest income 1,999 2,548 (21.5%) 487 656 (25.8%) Operating income 9,784 10,059 (2.7%) 3,160 3,244 (2.6%) Overhead expenses (5,141) (4,855) 5.9% (1,719) (1,724) (0.3%)
Slide 52: CIMB Niaga : Key Ratios
CIMB Niaga : Key Ratios (Consolidated, %) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q ROE ^ 11.2 18.1 4.9 12.4 NIM ^ 5.27 5.31 5.32 5.26 Cost to Income 52.5 48.3 54.4 53.1 Loan Loss Coverage # 82.9 111.1 82.9 86.5 Allowance Coverage 51.8 91.0 51.8 66.1 Loan Loss Charge ^ 1.2 0.7 2.7 0.9 Gross Impaired Loans Rat
Slide 53: Thailand : Good Momentum, Monitor Asset Quality
Thailand : Good Momentum, Monitor Asset Quality CIMB Thai’s PBT Securities PBT THB ‘mil THB ‘mil -55.0% Y-o-Y +3.4% Y-o-Y 282 1,085 1,123 102 +82.0% Q-o-Q 242 +43.9% Q-o-Q 127 1,021 337 91 844 234 50 12 337 223 9M13 9M14 2Q14 3Q14 9M13 9M14 2Q14 3Q14 Core PBT Non Core PBT Gross Loans Gross NPL Ratio
Slide 54: CIMB Thai : Earnings Summary
CIMB Thai : Earnings Summary Before GAAP Adjustments 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q (THB ‘mil) Net interest income 5,782 4,718 22.6% 2,011 1,915 5.0% Non interest income 1,955 1,665 17.4% 596 520 14.0% Operating income 7,737 6,383 21.2% 2,604 2,435 6.9% Overhead expenses (5,205) (4,456) 16.8% (1,76
Slide 55: CIMB Thai : Key Ratios
CIMB Thai : Key Ratios (Consolidated, %) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q ROE ^ 5.4 6.1 4.8 3.3 NIM ^ 3.36 3.20 3.37 3.44 Cost to Income 67.3 69.8 67.8 72.4 Loan Loss Coverage ** 94.5 83.2 94.5 100.8 Loan Loss Charge ^ 1.0 0.7 1.1 1.0 Gross NPL ratio ** 3.3 2.5 3.3 3.1 Net NPL ratio ** 1.8 1.7 1.8 1.
Slide 56: Singapore : Banking Positive, Weak Securities
Singapore : Banking Positive, Weak Securities Bank PBT Securities PBT SGD ‘mil SGD ‘mil +65.6% Y-o-Y -ve% Y-o-Y 91.9 -0.6% Q-o-Q 8.4 55.5 +ve% Q-o-Q 31.2 31.0 (1.6) (0.4) 0.4 9M13 9M14 2Q14 3Q14 9M13 9M14 2Q14 3Q14 Corporate Loans Investment & Forex Income SGD ‘mil SGD ‘mil +7.8% Y-o-Y +17.7% Y-o-Y
Slide 57: 5. Other Highlights
CIMB Group : 9M14 Results 5. Other Highlights
Slide 58: Proposed CIMB-RHB-MBSB Merger
Proposed CIMB-RHB-MBSB Merger Transaction Overview Timeline Submitted a joint application to BNM to seek Nov-Dec 2014 – Due diligence Process approval for proposed 3-way merger on 8 Oct-14 Early 2015 – Approval from BNM and signing of SPA Proposal to create a merged CIMB-RHB entity and a Thereafter
Slide 59: Banca & Insurance
Banca & Insurance PBT (RM ‘mil) 9M14 9M13 Y-o-Y 3Q14 2Q14 Q-o-Q CIMB Sun Life (0.1) (8.2) 99.1% 1.7 - - Others* 5.3 9.8 (45.9%) 1.8 1.6 13.8% Total CIG & GID 5.2 1.6 236.6% 3.5 1.6 117.0% Banca Income (RM ‘mil) Y-o-Y Malaysia 17.2% Indonesia (40.1%) Thailand 21.2% Singapore 91.0% Total (21.1%) Banca
Slide 60: Malaysia : CIMB Islamic
Malaysia : CIMB Islamic Ranking of Total Islamic Assets as at 30 Jun 2014 9M14 9M13 Sukuk Total Assets Market Market Market Rank Company Rank Rank RM ‘mil Share Share Share 1 Maybank Islamic 132,307 29% Malaysia 29.3% 1 18.9% 3 2 CIMB Islamic 49,459 11% Global 15.2% 1 6.0% 6 3 Bank Islam 42,939 9% 4
Slide 61: 6. Outlook
CIMB Group : 9M14 Results 6. Outlook
Slide 62: 4Q14 Outlook by Business & Countries
4Q14 Outlook by Business & Countries 4Q14 Business Segment Outlook 4Q14 Country Outlook MS Consumer Other Consumer Investment Banking Regional Corporate Banking Treasury & Markets Investments 62
Slide 63: Targets for 2014
Targets for 2014 9M14 Y-o-Y FY14 ROE 11.6%1 13.5-14.0% TSR -6.4% > FBMKLCI > FBMKLCI Dividend 41% 3 40% Total Loans Growth * 9.8% (11.1%~) 14% Loan Loss Charge 0.32% 1 35-40bps Total Capital (CIMB Group) ^ 15.0% 2 > 13% CET 1 (CIMB Group) ^ 9.7% 2 > 8.5% Leverage (CIMB Group) ^ 16.3x 2 < 20x Notes:
Slide 64: 7. Final Remarks
CIMB Group : 9M14 Results 7. Final Remarks
Slide 65: Final Remarks
Final Remarks A challenging year so far with weaker 9M attributed to the lower CIMB Niaga contribution and slower capital market activity Net interest income set to grow well but non interest income will depend on capital markets. ASEAN capital markets deal pipeline remains soft Outlook for Malaysia
Slide 66: Thank You
THANK YOU 66
Slide 67: Appendices
Appendices ba CIMB
Slide 68: Consolidated Balance Sheet Changes
Consolidated Balance Sheet Changes (RM ‘mil) 30 Sep 14 30 Sep 13 Y-o-Y 30 Jun 14 Q-o-Q Cash & short term funds 30,454 32,270 (6%) 35,666 (15%) Securities purchased under resale agreements 3,601 11,700 (69%) 4,466 (19%) Deposits & placements with financial institutions 4,514 5,128 (12%) 3,425 32% Fin
Slide 69: Asset Quality Ratios – CIMB Group
Asset Quality Ratios – CIMB Group 84.3% 84.8% 82.3% 82.8% 82.3% 82.1% 82.2% 83.8% 81.1% 81.3% 80.0% 79.2% 84.0% 83.7% 82.6% 82.2% 82.6% 81.9% 81.7% 81.7% 80.7% 81.1% 74.2% 79.5% 77.4% 71.9% 5.5% 5.1% 4.8% 4.4% 4.2% 3.8% 3.8% 3.6% 4.4% 3.4% 3.3% 4.1% 3.2% 3.1% 3.1% 3.9% 3.6% 3.5% 3.2% 3.1% 3.0% 2.9%
CIMB Group Holdings Berhad — 9M14 Earnings Presentation on 6ix