Slide 1: Barclays PLC 2011 Results
Barclays PLC 2011 Results 10 February 2012
Slide 2: Bob Diamond, Chief Executive
Bob Diamond Chief Executive # BARCLAYS
Slide 3: Chris Lucas, Group Finance Director
Chris Lucas Group Finance Director
Slide 4: Adjusted profit before tax
Adjusted profit before tax 2011 2010 Change Year ended £m £m % Profit before tax 5,879 6,065 (3) Own credit gain (2,708) (391) Gains on debt buy-backs (1,130) -- Impairment on investment in BlackRock, Inc. 1,800 -- Provision for PPI redress 1,000 -- Goodwill impairment 597 243 Losses/(gains) on acqu
Slide 5: Group performance
Group performance 2011 2010 Change Year ended £m £m % Income 28,512 31,049 (8) Impairment charges (3,802) (5,672) (33) Net operating income 24,710 25,377 (3) Operating expenses (excl. UK bank levy) (18,855) (19,728) 4 UK bank levy (325) -- Adjusted profit before tax 5,590 5,707 (2) Profit before tax
Slide 6: Performance measures
Performance measures Year ended 2011 2010 Adjusted return on equity 6.6% 6.8% Adjusted return on tangible equity 7.9% 8.2% Adjusted cost: income ratio 67% 64% Net tangible asset value per share 391p 346p Earnings per share 25.1p 30.4p Dividend per share 6.0p 5.5p
Slide 7: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Year ended £m £m % UK 1,420 889 60 Europe (234) (168) 39 Africa 908 723 26 Barclaycard 1,208 791 53 Adjusted profit before tax 3,302 2,235 48 1 Figures are adjusted for PPI redress, goodwill impairment and gains on acquisitions and disposals
Slide 8: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Year ended £m £m % UK 1,420 889 60 Europe (234) (168) 39 Africa 908 723 26 Barclaycard 1,208 791 53 Adjusted profit before tax 3,302 2,235 48 1 Figures are adjusted for PPI redress, goodwill impairment and gains on acquisitions and disposals
Slide 9: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Year ended £m £m % UK 1,420 889 60 Europe (234) (168) 39 Africa 908 723 26 Barclaycard 1,208 791 53 Adjusted profit before tax 3,302 2,235 48 1 Figures are adjusted for PPI redress, goodwill impairment and gains on acquisitions and disposals
Slide 10: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Year ended £m £m % UK 1,420 889 60 Europe (234) (168) 39 Africa 908 723 26 Barclaycard 1,208 791 53 Adjusted profit before tax 3,302 2,235 48 1 Figures are adjusted for PPI redress, goodwill impairment and gains on acquisitions and disposals
Slide 11: Barclays Capital
Barclays Capital 2011 2010 Change Year ended £m £m % Total income 10,335 13,209 (22) Impairment charges (93) (543) (83) Net operating income 10,242 12,666 (19) Operating expenses (7,289) (8,295) (12) Profit before tax 2,965 4,389 (32)
Slide 12: Barclays Capital quarterly income
Barclays Capital quarterly income (£m) Q1 11 Q2 11 Q3 11 Q4 11 2,201 1,715 1,438 971 563 612 520 545 506 338 305 389 FICC Equities Investment banking
Slide 13: Barclays Capital performance measures
Barclays Capital performance measures Year ended 2011 2010 Cost: net operating income ratio 71% 65% Return on equity 10.4% 13.5% Return on risk weighted assets 1.2% 1.5%
Slide 14: Barclays Corporate
Barclays Corporate UK Europe Other 2011 2010 Change Year ended £m £m £m £m £m % Income 2,199 440 273 2,912 2,974 (2) Impairment (355) (716) (78) (1,149) (1,696) (32) Operating expenses (1,099) (248) (292) (1,639) (1,664) 2 Adjusted1 profit /(loss) before tax 747 (524) (97) 126 (388) nm Adjusted1 ret
Slide 15: Wealth
Wealth 2011 2010 Change Year ended £m £m % Total income 1,744 1,560 12 Impairment charges (41) (48) (15) Net operating income 1,703 1,512 13 Operating expenses (1,493) (1,349) 11 Profit before tax 207 163 27 Return on equity 10.9% 8.8%
Slide 16: Head office and other operations
Head office and other operations 2011 2010 Change Year ended £m £m % Total income (334) (178) 88 Own credit 2,708 391 nm Gains on debt buy-backs 1,130 - nm Operating expenses (448) (579) (23) Incl. UK bank levy (325) - nm Profit/(loss) before tax 2,709 (368) nm Adjusted loss before tax (781)¹ (759)
Slide 17: Operating expenses – actual to adjusted
Operating expenses – actual to adjusted Operating expenses (£m) 20,777 1,000 597 19,180 325 18,855 2011 statutory PPI provision Goodwill 2011 adjusted UK bank levy1 2011 adjusted impairment excl. bank levy 1 The UK bank levy is not considered an adjusting item
Slide 18: Operating expenses
Operating expenses Operating expenses (£m) Net YoY Net YoY acquisitions & restructuring FX impact Performance investment costs 2010 pension 78 (105) 265 (823) credit 304 Non 19,728 performance costs (592) £873m (4%) 18,855 2010¹ 20112 1 2010 operating expenses (£19,971m) less £243m goodwill impairme
Slide 19: Balance sheet
Balance sheet £1,501bn1 £536bn £525bn £328bn £328bn £265bn wholesale funding £341bn £296bn £152bn £130bn £135bn £144bn £87bn Total gross Derivative Repo financing, Customer Customer Liquidity <1 year Other >1 year Equity and assets/ financial and other2 L&A deposits pool wholesale assets3 wholesale
Slide 20: Balance sheet
Balance sheet Assets Liabilities £1,501bn1 £536bn £525bn £328bn £328bn £265bn wholesale funding £341bn £296bn £152bn £130bn £135bn £144bn £87bn Total gross Derivative Repo financing, Customer Customer Liquidity <1 year Other >1 year Equity and assets/ financial and other2 L&A deposits pool wholesale
Slide 21: Balance sheet
Balance sheet Assets Liabilities £1,501bn1 £536bn £525bn £328bn £328bn £265bn wholesale funding £341bn £296bn £152bn £130bn £135bn £144bn £87bn Total gross Derivative Repo financing, Customer Customer Liquidity <1 year Other >1 year Equity and assets/ financial and other2 L&A deposits pool wholesale
Slide 22: Balance sheet
Balance sheet Assets Liabilities £1,501bn1 £536bn £525bn £328bn £328bn £265bn wholesale funding £341bn £296bn £152bn £130bn £135bn £144bn £87bn Total gross Derivative Repo financing, Customer Customer Liquidity <1 year Other >1 year Equity and assets/ financial and other2 L&A deposits pool wholesale
Slide 23: Balance sheet
Balance sheet Assets Liabilities £1,501bn1 £536bn £525bn £328bn £328bn £341bn £296bn £152bn £130bn £135bn £144bn £87bn Total gross Derivative Repo financing, Customer Customer Liquidity <1 year Other >1 year Equity and assets/ financial and other2 L&A deposits pool wholesale assets3 wholesale other
Slide 24: Balance sheet
Balance sheet Assets Liabilities £1,501bn1 £536bn £525bn £328bn £328bn £265bn wholesale funding £341bn £296bn £152bn £130bn £135bn £144bn £87bn Total gross Derivative Repo financing, Customer Customer Liquidity <1 year Other >1 year Equity and assets/ financial and other2 L&A deposits pool wholesale
Slide 25: Funding and liquidity
Funding and liquidity Period ended 31 Dec 11 31 Dec 10 Group liquidity pool £152bn £154bn Liquidity Coverage Ratio (LCR) 82% 80% Net Stable Funding Ratio (NSFR) 97% 94%
Slide 26: Capital strength
Capital strength Period ended 31 Dec 11 31 Dec 10 Core Tier 1 capital £43.1bn £42.9bn Core Tier 1 ratio 11.0% 10.8% Adjusted gross leverage 20x 20x Risk weighted assets £391bn £398bn Net tangible asset value per share 391p 346p
Slide 27: Basel 3 Core Tier 1 ratio pro forma
Basel 3 Core Tier 1 ratio pro forma Core Tier 1 ratio under Basel 3 / CRD4 RWA effect Consensus from Basel 3 retained incl. mitigating Capacity for earnings Basel 2.5 actions £49bn RWA 1.5% 12.7% (1.7%) Basel 3 growth above Outstanding pre RWA a 10% CT 1 Basel 2.5 warrants growth ratio 11.0% 0.2% 11
Slide 28: Summary
Summary • Resilient profit before tax • Underlying income growth in RBB and Wealth businesses • Continued improvement in impairment • Significant cost reductions • Rock solid capital, liquidity and funding
Slide 29: Bob Diamond, Chief Executive
Bob Diamond Chief Executive # BARCLAYS
Slide 30: Execution priorities
Execution priorities • Capital, liquidity and funding • Returns • Income growth • Citizenship
Slide 31: Execution priorities
Execution priorities • Capital, liquidity and funding • Returns • Income growth • Citizenship
Slide 32: Execution priorities
Execution priorities • Capital, liquidity and funding • Returns • Income growth • Citizenship
Slide 33: Execution priorities
Execution priorities • Capital, liquidity and funding • Returns • Income growth • Citizenship
Slide 34: Execution priorities
Execution priorities • Capital, liquidity and funding • Returns • Income growth • Citizenship
Slide 35: Bob Diamond, Chief Executive
Bob Diamond Chief Executive # BARCLAYS
Slide 36: Barclays PLC 2011 Results
Barclays PLC 2011 Results 10 February 2012
Slide 37: Appendix
Appendix # BARCLAYS
Slide 38: Adjusted Return on Equity (RoE) by business
Adjusted Return on Equity (RoE) by business 2010 RoE by business 2011 RoE by business 9.9% UK RBB 14.9% (1.0%) Europe RBB (6.0%) 9.0% Africa RBB 10.0% 12.5% Barclaycard 17.4% 13.5% Barclays Capital 10.4% (4.1%) Barclays Corporate 1.3% 8.8% Barclays Wealth 10.9%
Slide 39: Capital management
Capital management Full Year 2011 movement in Core Tier 1 ratio Underlying RWAs & Increase in securitisation RWAs from deductions CRD3 0.9% (0.9%) Movement in BlackRock share price to Retained Other $148 Pension profit 0.2% (0.3%) contribution 0.7% (0.3%) Published Published basis basis 11.0% 10.8%
Slide 40: Wholesale debt maturity table as at 31 Dec 11
Wholesale debt maturity table as at 31 Dec 11 < 3 months 3-12 months Total < 1 year Total > 1 year Total £bn £bn £bn £bn £bn Deposits from banks 34.1 1.8 35.9 2.0 37.9 Certificates of deposit and commercial paper 35.0 11.5 46.5 2.9 49.4 Asset backed commercial paper 8.9 0.2 9.1 - 9.1 Senior unsecure
Slide 41: Exposure to Spain, Italy, Portugal, Ireland and Greece
Exposure to Spain, Italy, Portugal, Ireland and Greece Spain Italy Portugal Ireland Greece As at 31 December 2011 £m £m £m £m £m Sovereign 2,530 3,493 810 244 14 Financial institutions 987 669 51 4,311 2 Residential mortgages 14,654 15,934 3,651 94 5 Corporate 5,345 2,918 3,295 977 67 Other retail l
Slide 42: Notes
Notes Slide – Basel 3 Core Tier 1 ratio pro forma • 2013 pro forma Core Tier 1 ratios are presented for illustrative purposes only. • Consensus estimates for retained earnings are from 20 sell-side analysts, reflecting consensus dividend payout. Barclays neither endorses nor verifies the estimates u
Slide 43: Legal disclaimers
Legal disclaimers Important Notice The information, statements and opinions contained in this document do not constitute a public offer under any applicable legislation or an offer to sell or solicitation of any offer to buy any securities or financial instruments or any advice or recommendation wit