Compagnie Financiere Tradition Sa · SIX:CFT
Compagnie Financiere Tradition Sa — FY2012 Earnings Presentation
18 slides from Compagnie Financiere Tradition Sa's earnings presentation, March 2013
Slide 1: Compagnie Financière Tradition SA FY 2012 result presentation
Compagnie Financière Tradition SA FY 2012 result presentation March 2013 - Zurich
Slide 2: Executive summary
Executive summary Market conditions Group performance • Continuation of a period of adjustment to a new • Successfully defended its market share especially in landscape for market participants in general and IDBs in Asia pacific particular • Banks’ business models evolving • Resilience in net profit
Slide 3: Performance overview
Performance overview 2012 performance Results at a glance • Revenue down 8.8% in constant curriencies including a Revenues in 1'017.5 decrease of 14.3% in the second half yoy current Revenue 1'069.2 currencies -4.8% • Net exceptional costs for an amount of CHF 14.7m Underlying • Primarily severance
Slide 4: Group revenue
Group revenue Half-yearly / yearly revenue trend Half-yearly revenue trend by business M CHF 1,556.1 (H2/H2 variation at constant rate) 1,417.1 1,352.7 H1 2011 H2 2011 -14.3% 1,210.4 1,069.2 IDB H1 2012 H2 2012 767.8 1,017.5 740.4 609.1 554.0 509.6 546.5 531.7 H2 Non - IDB 472.5 493.9 461.5 H1 15.7
Slide 5: Revenue by region
Revenue by region Europe: Americas: UK, France, Belgium, Denmark, Germany, USA, Argentina, Chile, Colombia, Mexico, Italy, Luxembourg, Russia, Spain Brazil (Minority) (Minority), Switzerland (H2/H2 variation at constant rate) Middle East / Africa: Revenue in mCHF At current rates UAE, Israel, South
Slide 6: Revenue by asset classes
Revenue by asset classes Revenue bridge IDB Revenue trend mCHF (H2/H2 variation at constant rate) -7.8% 300 -11.7% -3.2% -20.1% H1 2011 -11.6% H2 2011 250 H1 2012 -18.5% H2 2012 2011 Rates Securities Commodities Non IDB FX 2012 200 Revenue breakdown 150 Rates Securities Commodities Non IDB 100% -8.5
Slide 7: Regulatory reform in the final innings?
Regulatory reform in the final innings? Q113 Q213 Q313 Q413 2014 2015 US Trade Trade Focus on systemic risk reporting Central reporting Central EU clearing clearing and transparency BCBS/IO SCO Technical standards endorsed by the Shift from bilateral OTC Reporting & clearing regimes in place Europea
Slide 8: Accelerated pace of launch of electronic initiatives since May 2011
Accelerated pace of launch of electronic initiatives since May 2011 • Pioneer and long time global market leader in FX options Tradition-Icap • CLOB, RFQ, Auction, Hybrid Volbroker • Further deployment in light of MIFIR, EMIR, DFA • IRS Euro: Live 1,5 year, revenue developing with marked improvement
Slide 9: Ongoing investments in distinctive technology
Ongoing investments in distinctive technology Ensure that its services are provided as CLOB cost effectively as possible Hybrid Deliver electronic or hybrid capablity Auction across all relevant products Stable markets Focus on delivering liquidity to any Electronic Flexible RFQ/M/S High risk appeti
Slide 10: Operating performance
Operating performance M CHF 2012 2011 Var cst. Var cur. Net revenue 1,017.5 1,069.2 -8.8% -4.8% Net operating expenses -972.6 -1,018.1 -8.5% -4.5% Reported operating profit 44.9 51.1 -14.7% -12.1% Reported operating margin 4.4% 4.8% Amortisation and impairment of intangibles 3.2 8.5 Exceptional expe
Slide 11: Savings and investments update
Savings and investments update Track record Savings and investments breakdown 100 80 Savings M CHF 60 Investments 40 Other 20 Other FY '13 0 -20 -40 Support & mgt -60 FY 2010 FY 2011 FY 2012 Business H2 '12 protection Headcount evolution Low producers 2'500 2'400 2'300 H1 '12 Business 2'200 Business
Slide 12: Net profit – Group share
Net profit – Group share M CHF 2012 2011 Var cst. Var cur. Reported operating profit 44.9 51.1 -14.7% -12.1% Net financial result -2.2 -5.8 Share of profit of associates 0.3 -0.1 Profit before tax 43.0 45.2 -7.8% -4.7% Income tax -18.9 -18.6 -2.2% 1.5% Underlying effective tax rate 47% 47% Net profi
Slide 13: Non IDB business performance
Non IDB business performance • Revenue down 20.2% with a pick up in activity Gaitame’s revenue – Pro Forma1 toward the fourth quarter M CHF H2 H1 • Underlying profit in line with last year 73 65 46 • Client deposit continue to increase 17 66 61 47 44 17 11 14 13 2007 2008 2009 2010 2011 2012 Gaitame
Slide 14: Simplified balance sheet
Simplified balance sheet Assets Liabilities M CHF 31.12.12 31.12.11 M CHF 31.12.12 31.12.11 Property, Plant & Equipment 26.9 30.4 Capital 16.2 15.4 Intangible assets 72.3 77.3 Share premium 47.9 55.6 Investments in associates 39.8 40.3 Treasury shares -6.5 -6.1 Available-for-sale financial assets (A
Slide 15: Shareholders’ equity and capital structure
Shareholders’ equity and capital structure Shareholders’ equity trend Shareholders’ equity bridge 500 Total Group share mCHF 400 +24.2 +18.1 +0.9 -29.7 -22.9 300 200 373.5 364.1 100 0 31.12.11 Net profit Dividends Capital FX Other 31.12.12 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Slide 16: Net cash position
Net cash position Adjusted net cash 1) Net cash flows 60 31.12.12 31.12.11 M CHF mCHF 1 Cash and cash equivalents 272.2 333.0 40 Bank overdraft -5.2 -5.1 44 20 Adjustments related to changes in AH & MP +5.7 -2.7 Movements in activities exchange rates 6 - 300.0 Net cash flows - Adjusted gross cash fo
Slide 17: Outlook
Outlook • Focus on technology and leverage on key electronic initiatives to deploy group electronic strategy • Continue to reduce cost base while maintaining investments in technology • Maintain consistent focus on sound balance sheet and capital position • Shape tomorrow’s IDB industry • Take advan
Slide 18: Compagnie Financière Tradition SA
Compagnie Financière Tradition SA FY 2012 result presentation March 2013 - Zurich
Compagnie Financière Tradition — FY2012 Earnings Presentation on 6ix