Cimb Group Holdings Bhd · MYX:CIMB
Cimb Group Holdings Bhd — FY2012 Earnings Presentation
91 slides from Cimb Group Holdings Bhd's earnings presentation, Feb 25, 2013
Slide 1: Analysts Presentation FY12 Results
Analysts Presentation FY12 Results 25 February 2013
Slide 2: Agenda
Agenda 1. Key Highlights 2. CIMB 2.0 3. CIMB Group FY12 Financials 4. Malaysia & Singapore Consumer Banking 5. CIMB Niaga 6. CIMB Thai 7. Wholesale Banking 8. Investments 9. Other Highlights 10. 2013 Priorities & Other Highlights 11. Final Remarks 2
Slide 3: Key Highlights
CIMB Group : FY12 Results Key Highlights
Slide 4: Another Year of Record Profits
Another Year of Record Profits Average ROE from 2008 – 2012 15.1% Net profit CAGR from 2008 – 2012 21.5% 16.2% 16.4% 16.0% 14.9% 11.8% 13.5 11.9 12.1 10.5 7.6 5.7 5.2 4.6 4.3 3.8 4.0 3.5 2.7 2.8 1.9 2008 2009 2010 2011 2012 * RM ’mil Operating income* PBT* Net profit* ROE 4
Slide 5: 2012 Highlights
2012 Highlights CIMB 2.0 to strengthen competitiveness CBTM 2.0; Uplift in earnings already IB 2.0 WIP; RBS and SICCO integration MS Consumer 2.0 WIP; Positive signs in 4Q New senior leaders Strong performance at CIMB Niaga deflated by Rupiah depreciation Good NoII growth Best year in capita
Slide 6: Key Financial Highlights (1)
Key Financial Highlights (1) Operating Income Net Profit ROE Cost to Income RM’ mil RM’ mil % % +11.3% +7.8% -40bps +170bps 13,495 56.4 54.7 4,345 16.4 16.0 12,122 4,031 2011 2012 2011 2012 2011 2012 2011 2012 -4.9% Q-o-Q -5.3% Q-o-Q -130bps Q-o-Q +170bps Q-o-Q 6
Slide 7: Key Financial Highlights (2)
Key Financial Highlights (2) Total Credit* Deposits++ NIM Gross Impaired Loans RM’ bil RM’ bil % Ratio % +11.8% +10.0% -5bps -130bps 241.6 244.0 5.1 3.12 3.8 3.07 216.1 221.9 Dec-11 Dec-12 Dec-11 Dec-12 2011 2012 Dec-11 Dec-12 +4.4% Q-o-Q +5.4% Q-o-Q -5bps Q-o-Q -40bps Q-o-Q Notes: * Credit includes
Slide 8: PBT By Division
PBT By Division FY12 FY11 RM ‘mil Investment RM ‘mil Investment Banking Banking Investments 5% 5% 9% Investments Consumer Consumer 19% Banking Banking 36% Corporate 41% Banking 21% Corporate Banking Treasury & 22% Treasury & Markets Markets 24% 18% FY12 PBT Y-o-Y Growth by Key Division Investment Co
Slide 9: PBT By Country
PBT By Country FY12 FY11 Others Others Singapore 2% Thailand Singapore 4% Thailand 3% 4% 2% 2% Indonesia Indonesia 32% 28% Malaysia Malaysia 59% 64% FY12 PBT Y-o-Y Growth by Key Countries +1.3%* +23.2% +99.8% +77.8% * Excluding the gain on CIMB Aviva deconsolidation in FY11, Malaysia’s PBT grew 9.2%
Slide 10: 12.7% NoII Growth (20% excluding CIMB Aviva)
12.7% NoII Growth (20% excluding CIMB Aviva) Breakdown of NoII IB NoII RM ‘mil RM ‘mil +12.7% Y-o-Y +15.4% Y-o-Y 4,704 1,070 4,175 927 2011 2012 2011 2012 Wealth Management Income Banca Income RM ‘mil RM ‘mil +38.5% Y-o-Y +39.3% Y-o-Y 636.1 260.7 459.3 187.2 2011 2012 2011 2012 10
Slide 11: New CBTM Gaining Traction
New CBTM Gaining Traction FY12 PBT Malaysia RM ‘mil +23.7% Y-o-Y Best Cash Management – 2,559 AsiaMoney 311 Best Structured Product 2,069 House for Malaysia - Asset 195 155 69 Triple A Investment 134 25 860 Awards 742 Deal of the Year 2012 – cash management solution in Petronas’ Integrated 1,0
Slide 12: Best Year in ASEAN Capital Markets
Best Year in ASEAN Capital Markets 2011 2012 Record Year in ECM and DCM ASEAN USD ‘mil 4,266 Market Market +95.8% Y-o-Y Rank Rank 144 Share Share 355 90 776 IPO 7.7% 4 16.3% 1 ECM 2,179 4 34 ECM 8.7% 4 11.8% 1 223 426 2,900 DCM (local 1,292 16.9% 1 12.3% 1 currency) 2011 2012 M&A 10.8% 2 15.4% 7 Syn
Slide 13: CIMB Niaga: High (IDR) Growth
CIMB Niaga : High (IDR) Growth Net Profit Gross Loans IDR ‘bil IDR ‘tril +17.9% CAGR +58.1% CAGR +15.7% Y-o-Y +33.4% Y-o-Y 145 4,233 126 105 3,174 2,548 83 75 1,568 678 2008 2009 2010 2011 2012 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Total Deposits Asset Quality IDR ‘tril Adoption of +18.7% CAGR FRS139 3
Slide 14: Achievements vs Targets for 2012
Achievements vs Targets for 2012 FY12 FY12 Target ROE 16.0% 16.4% TSR -9.8% < FBM KLCI > FBM KLCI Dividend 40% 40% - 60% Group loans growth * 10% 16% Group deposits growth ** 10% 16% Loan loss charge 0.16% 0.31% Core Capital Ratio (at CIMB Bank) (Basel II) ^ 12.8% >10% RWCR (at CIMB Bank) (Basel II)
Slide 15: Dividend: 40% with DRS
Dividend : 40% with DRS 54.9% 44.2% 40.6% 40.0% 35.8% 24.5% 23.3% Payout Ratio 36.75 26.08 Net Dividend 23.38 22.00 Declared (Sen) 19.83 18.50 10.95 2006 2007 2008 2009 2010 2011 2012 15
Slide 16: CIMB 2.0
CIMB Group : FY12 Results CIMB 2.0
Slide 17: MY Consumer Bank 2.0
MY Consumer Bank 2.0 Group Cards & Personal CSD Retail Financial Services Commercial Banking Financing Finance Credit Marketing Strategy Finance Credit Marketing Strategy Finance Credit Marketing Strategy Finance Credit Marketing Strategy Group Deputy CEO/Head of MYSG Consumer Bank Renzo Christopher
Slide 18: CBTM 2.0
CBTM 2.0 Advisory Corporate FX, Interest M&A Banking Regional Rate, Equity, ECM Malaysia Bonds Banking Commodity, IPO Indonesia Derivatives Equity Thailand Broking Balance sheet risk taking is largely centralised under CBTM Pricing, Structuring, Hedging Cross default, Collateral, Asset Quality Clien
Slide 19: Investment Banking 2.0: RBS Acquisition
Investment Banking 2.0 : RBS Acquisition #1 APAC Based IB #1 ASEAN Top 10 APAC IB Franchise IB Franchise Acquisition taking longer than expected Upfront RBS cost classified under “Investment” for 2012 Integrated management structure in February 2013 Full completion only in April 2013 19
Slide 20: CIMB 2.0 - New Senior Leaders
CIMB 2.0 - New Senior Leaders Renzo David Richard Thomas Shahnaz Jammal Matthew Kirkby Lo Nyen Khing Christopher Viegas Group Deputy CEO / Head of Chief Risk Officer, CIMB Co-Head of Corporate Client Vice-CEO and Head CBTM, Deputy CFO, CIMB Group MS Consumer Banking Group Solutions/Advisory CIMB Nia
Slide 21: CIMB Group FY12 Financials
CIMB Group : FY12 Results CIMB Group FY12 Financials
Slide 22: Earnings Summary
Earnings Summary (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 8,791 7,947 10.6% 2,279 2,250 1.3% Non interest income 4,704 4,175 12.7% 1,090 1,294 (15.8%) Operating income 13,495 12,122 11.3% 3,369 3,544 (4.9%) Overhead expenses (7,612) (6,630) 14.8% (1,966) (2,007) (2.0%) PPOP 5,88
Slide 23: Quarterly Earnings Trend
Quarterly Earnings Trend 17.8% 16.8% 16.8% 15.7% 16.1% 16.3% 15.6% 15.5% 14.8% 3,544 3,381 3,326 3,369 3,186 3,255 2,959 3,032 2,750 1,405 1,470 1,496 1,371 1,233 1,278 1,287 1,341 1,143 1,133 1,109 1,143 1,082 917 970 1,012 1,011 873 4Q10 ^ 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 Operating income*
Slide 24: PBT by Segment (Estimated)
PBT by Segment (Estimated) PBT (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Consumer Banking (40.9%) 2,323 1,874 23.9% 652 550 18.5% Malaysia (30.0%) 1,704 1,481 15.0% 498 388 28.1% Indonesia (11.0%) 627 430 45.9% 151 167 (9.6%) Singapore (-0.0%) (1) (28) 98.2% (6) 4 n.a. Thailand (-0.0%) (3) 0 n.a. 10
Slide 25: Key Ratios
Key Ratios (%) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q ROE * 16.0 16.4^ 15.5 16.8 NIM * 3.07 3.12 3.04 3.09 Non-interest income / total income 34.9 34.4 32.4 36.5 Cost to income 56.4 54.7 58.3 56.6 Allowance coverage 82.8 81.1 82.8 84.0 Allowance coverage after regulatory reserve # 97.6 86.1 97.6 93.6 Loan
Slide 26: Operating Expenses
Operating Expenses (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Personnel 4,317 3,518 22.7% 1,181 1,167 1.2% Establishment 1,532 1,444 6.1% 381 359 6.1% Marketing 356 357 (0.3%) 95 93 2.2% Admin & General 1,407 1,311 7.3% 309 388 (20.4%) Total 7,612 6,630 14.8% 1,966 2,007 (2.0%) Excluding RBS costs 7,
Slide 27: Gross Loans and Credit Growth
Gross Loans and Credit Growth Loans by Country as at Dec-12 # Divisions / Products (RM ‘bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Others Retail Banking (50.4%) 103.1 93.6 10.1% 100.0 2.9% Thailand 2% 7% Mortgages 50.9 47.1 8.0% 49.8 2.3% Auto 18.7 17.3 8.6% 18.3 2.3% Indonesia 24% Term Loans 22
Slide 28: Deposits Growth
Deposits Growth Deposits by Country as at Dec-12 Divisions / Products (RM ‘bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Others Retail Banking (44.6%) 108.8 100.5 8.2% 105.4 3.2% Thailand 3% 6% Current 24.2 22.3 8.4% 23.2 4.2% Indonesia Savings 26.7 23.7 12.7% 26.1 2.4% 20% Fixed & Structured Depos
Slide 29: CASA Growth
CASA Growth CASA by Country as at Dec-12 Country 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q CIMB Thai Others Malaysia & Singapore (RM ’bil) * 60.7 53.6 13.4% 56.1 8.4% 5% 0.1% CIMB Niaga Indonesia (IDR ’bil) ** 65,651 58,417 12.4% 62,497 5.0% 26% Thailand (THB ’bil) 38.3 25.0 55.0% 38.8 (1.4%) Others
Slide 30: LD and CASA Trend
LD and CASA Trend CIMB Group LD 91.4% 83.8% 86.2% 85.4% Ratio 79.6% 79.9% 83.2% 34.2% 35.1% 30.0% 31.7% 32.7% CASA 29.5% 28.6% Ratio 2006 2007 2008 2009 2010 2011 2012 30
Slide 31: AFS (MTM) Position
AFS (MTM) Position 801.0 690.3 678.6^ 594.3 ^ 545.1 Dec-09 Dec-10 Dec-11 Sep-12 Dec-12 Note: ^ Restated due to adoption of MFRS 1 First Time Adoption of Malaysian Financial Reporting Standards 31
Slide 32: Capital Management – CIMB Bank
Capital Management – CIMB Bank 16.9% 16.8% 15.9% 16.0%^ 15.1% 15.2% 14.7% 14.6% RWCR 14.6% 14.5% 13.8% 13.9% 13.9% Core Capital 13.1% 13.4% 12.1% 12.8%^ 11.9% Core Tier 1 11.4% 11.4% 11.5% 11.0% 10.8% 10.6%^ RWA (RM’mil) 110,349 105,449 104,381 102,240 110,329 114,375 114,990 118,445 Mar -11 Jun -11
Slide 33: Malaysia & Singapore Consumer Banking
CIMB Group : FY12 Results Malaysia & Singapore Consumer Banking
Slide 34: Consumer Banking – MY and SG
Consumer Banking – MY and SG (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 3,329 3,180 4.7% 862 835 3.2% Non interest income 1,056 941 12.2% 258 268 (3.7%) Operating income 4,385 4,121 6.4% 1,120 1,103 1.5% Overhead expenses (2,984) (2,679) 11.4% (772) (739) 4.5% PPOP 1,401 1,442 (2.
Slide 35: Malaysian Consumer Gross Loans Growth
Malaysian Consumer Gross Loans Growth Divisions / Products (RM ‘bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Retail Banking (88.4%) 78.4 70.8 10.6% 75.5 3.8% Mortgages 38.4 35.4 8.3% 37.6 2.2% Auto 11.4 10.6 8.0% 11.2 1.7% Term loans 20.8 16.8 23.9% 19.1 8.6% Credit cards 3.9 4.2 (7.3%) 3.8 2.2% C
Slide 36: Malaysian Consumer Deposits Growth
Malaysian Consumer Deposits Growth Divisions / Products (RM ‘bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Retail Banking (80.9%) 72.6 64.6 12.3% 69.1 5.2% Current 17.1 15.3 11.7% 16.0 7.3% Savings 14.2 12.9 10.0% 13.8 2.5% Fixed & structured deposits 41.3 36.4 13.4% 39.3 5.3% Commercial Banking (1
Slide 37: Malaysian Consumer Banking Indicators (1)
Malaysian Consumer Banking Indicators (1) Dec-11 Dec-12 Wealth Management Income Market Market RM ‘mil Rank Rank* +19.8% CAGR Share Share Individual +38.3% Y-o-Y 11.0% 4 11.2% 4 126.9 Deposits Residential 13.5% 2 13.0% 3 Mortgages 91.7 82.4 ASB Financing 15.8% 3 20.8% 3 Credit Cards 12.9% 4 11.7% 4
Slide 38: Malaysian Consumer Banking Indicators (2)
Malaysian Consumer Banking Indicators (2) Credit Cards Debit Cards +12.5% CAGR RM ‘mil 1,333 741 +2.4% Y-o-Y 129 11.6 12.5 12.8 8.0 9.0 +1,590.9% Y-o-Y 156.5 +9.6% CAGR -7.3% Y-o-Y 4.0 4.2 3.9 82.8 2.7 3.0 9.3 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-11 Jun-12 Dec-12 Credit Cards Loan Base (RM 'bil) T
Slide 39: Singapore Consumer Banking Indicators
Singapore Consumer Banking Indicators Consumer PBT 2.5 Consumer Deposits RM ‘mil 2 RM ‘mil +38.3% CAGR +ve CAGR 1.5 +29.4% Y-o-Y 1 9,557 +ve Y-o-Y 1,789 (14) (45) (28) (1) 0.5 7,388 5,299 860 2009 2010 2011 2012 0 3,617 1 471 475 7,768 6,528 4,828 3,142 Dec-09 Dec-10 Dec-11 Dec-12 Commercial deposit
Slide 40: CIMB Niaga
CIMB Group : FY12 Results CIMB Niaga
Slide 41: CIMB Niaga: Earnings Summary
CIMB Niaga : Earnings Summary (IDR ’bil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 9,709 7,927 22.5% 2,541 2,481 2.4% Non interest income 3,165 2,446 29.4% 741 738 0.4% Operating income 12,874 10,373 24.1% 3,282 3,219 2.0% Overhead expenses (5,944) (5,151) 15.4% (1,437) (1,519) (5.4%) PPOP
Slide 42: CIMB Niaga: Gross Loans Growth
CIMB Niaga : Gross Loans Growth Divisions / Products (IDR ’bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Retail Banking (30.3%) 44,102 38,663 14.1% 42,697 3.3% Mortgage 21,112 18,903 11.7% 20,495 3.0% Auto 17,478 15,584 12.2% 17,070 2.4% Credit Cards 3,638 2,750 32.3% 3,401 7.0% Others 1,874 1,426
Slide 43: CIMB Niaga: Deposits Growth
CIMB Niaga : Deposits Growth Divisions / Products (IDR ’bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Retail Banking (43.6%) 65,800 63,524 3.6% 66,693 (1.3%) Current 4,432 4,102 8.0% 4,497 (1.4%) Savings 28,918 25,821 12.0% 28,430 1.7% Fixed & structured deposits 32,450 33,601 (3.4%) 33,766 (3.9%)
Slide 44: CIMB Niaga: Key Ratios
CIMB Niaga : Key Ratios (Consolidated, %) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q ROE 20.9 19.1 20.6 21.6 NIM 5.87 5.63 5.78 5.86 Cost to Income 46.2 49.7 43.8 47.2 Loan Loss Coverage # 114.2 104.0 114.2 113.1 Allowance Coverage 96.4 75.4 96.4 94.5 Loan Loss Charge 0.8 0.8 0.8 0.6 Gross Impaired Loans Ratio
Slide 45: Indonesian Consumer Banking Indicators
Indonesian Consumer Banking Indicators CASA Mortgages – Loan Base IDR ‘tril IDR ‘tril +15.9% CAGR +15.9% CAGR +15.7% Y-o-Y +11.6% Y-o-Y 65.7 21.1 18.9 56.8 15.7 48.9 Dec-10 Dec-11 Dec-12 Dec-10 Dec-11 Dec-12 Mikro Laju CIMB Clicks Go Mobile 350 716 201 473 205 295 105 33 +181.2% CAGR +138.1% CAGR 2,
Slide 46: CIMB Niaga: Corporate Updates
CIMB Niaga : Corporate Updates Consumer Market Share IB Market Share Dec-11 Nov-12 2011 2012 Market Market Market Market Rank Rank Rank Rank Share Share Share Share Deposits 4.7% 5 4.8% 5 Stock Broking 6.0% 2 5.2% 3 Mortgages 10.3% 3 9.7% 5 IPO - - 5.3% 7 Credit Cards* 8.5% 5 10.3% 4 ECM 4.7% 9 2.4%
Slide 47: CIMB Thai
CIMB Group : FY12 Results CIMB Thai
Slide 48: CIMB Thai: Improving
CIMB Thai : Improving PBT (THB ’mil) Asset Quality 91.6% +213.8% CAGR 85.1% 81.6% +21.2% Y-o-Y 1,668 1,376 3.4% 710 2.8% 2.7% 54 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-10 Dec-11 Dec-12 Gross NPL* Loan Loss Coverage * (1,923) Total Customer Deposits (THB ’bil) Total Loans (THB ’bil) +33.0% Y-o-Y +16.
Slide 49: CIMB Thai: Earnings Summary
CIMB Thai : Earnings Summary Before GAAP Adjustments (THB ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 5,207 4,633 12.4% 1,438 1,306 10.1% Non interest income 3,121 2,739 14.0% 450 1,919 (76.5%) Operating income 8,328 7,372 13.0% 1,888 3,225 (41.5%) Overhead expenses (5,325) (4,901) 8.7
Slide 50: CIMB Thai: Gross Loans Growth
CIMB Thai : Gross Loans Growth Divisions / Products (THB ‘bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Retail Banking (34.9%) 48.4 38.9 24.6% 44.7 8.3% Mortgage 30.5 23.9 27.6% 28.0 8.8% Auto Loans 11.8 8.0 48.4% 10.9 8.3% Personal / Others 6.1 7.0 (12.7%) 5.7 6.1% Commercial Banking (26.2%) 36.4
Slide 51: CIMB Thai: Deposits Growth
CIMB Thai : Deposits Growth Divisions / Products (THB ‘bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Retail Banking (51.2%) 74.8 68.7 9.0% 74.9 (0.1%) Current 0.7 0.7 - 0.8 (3.7%) Savings 25.3 13.5 87.6% 24.0 5.5% Fixed & structured deposits 48.8 54.5 (10.5%) 50.1 (2.6%) Commercial Banking (6.6%) 9
Slide 52: CIMB Thai: Key Ratios
CIMB Thai : Key Ratios (Consolidated, %) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q ROE 9.9 11.1 3.2 24.7 NIM 3.21 3.46 3.26 3.12 Cost to Income 63.9 66.5 71.7 41.7 Loan Loss Coverage** 85.1 81.6 85.1 88.7 Loan Loss Charge 1.0 0.9 0.9 2.6 Gross NPL ratio** 2.8 3.4 2.8 3.5 Net NPL ratio** 2.0 2.3 2.0 2.1 Loan t
Slide 53: CIMB Thai: Corporate Updates
CIMB Thai : Corporate Updates Consumer Market Share IB Market Share Dec-11 Dec-12 2011 2012 Market Market Market Market Rank Rank Rank Rank Share Share Share Share Deposits 1.4% 9 1.4% 11 Stock Broking 1.2% 26 3.9% 12 Mortgages* 0.9% 11 1.8% 9 IPO 19.4% 3 17.8% 1 Auto 0.5% 17 0.8% 8 ECM 3.1% 8 6.8%
Slide 54: Wholesale Banking
CIMB Group : FY12 Results Wholesale Banking
Slide 55: Wholesale Banking
Wholesale Banking (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 2,840 2,583 9.9% 715 723 (1.3%) Non-interest income 2,449 1,827 34.1% 534 691 (22.5%) Operating income 5,289 4,410 20.0% 1,249 1,414 (11.6%) Overhead expenses (2,268) (2,014) 12.6% (546) (607) (10.1%) PPOP 3,021 2,396 26
Slide 56: Wholesale Banking – IB
Wholesale Banking – IB (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 44 34 29.4% 15 8 88.9% Non-interest income 1,070 927 15.4% 299 257 16.3% Operating income 1,114 961 16.1% 314 265 18.5% Overhead expenses (805) (694) 16.1% (183) (239) (23.4%) PPOP 309 267 16.1% 131 26 403.6% Provis
Slide 57: Wholesale Banking – Corporate Banking
Wholesale Banking – Corporate Banking (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 1,515 1,438 5.4% 361 384 (6.0%) Non-interest income 573 474 20.7% 150 188 (20.5%) Operating income 2,088 1,912 9.2% 511 572 (10.8%) Overhead expenses (729) (722) 0.9% (171) (194) (12.0%) PPOP 1,359 1,
Slide 58: Corporate Banking – Gross Loans
Corporate Banking – Gross Loans Divisions / Products 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Malaysia (RM ’bil) 40.6 38.3 5.6% 39.8 1.8% Indonesia (IDR ’bil) 43,523 39,778 9.4% 41,635 4.5% Singapore (SGD ’bil) 3.0 2.4 22.2% 3.0 - Thailand (THB ’bil) 51.6 47.2 9.4% 47.5 8.8% Total Corporate Loans (
Slide 59: Wholesale Banking – Treasury & Markets
Wholesale Banking – Treasury & Markets (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 1,280 1,113 15.0% 338 334 2.0% Non-interest income 807 424 89.9% 87 243 (65.1%) Operating income 2,087 1,537 35.8% 425 577 (26.4%) Overhead expenses (734) (598) 22.8% (192) (174) 10.3% PPOP 1,353 939
Slide 60: Wholesale Market Share and Ranking
Wholesale Market Share and Ranking 2011 2012 2011 2012 Market Market Market Market Rank Rank Rank Rank Share Share Share Share Stock Broking 10.4% 1 11.7% 1 Stock Broking 6.0% 2 5.2% 3 IPO 31.7% 1 21.8% 1 IPO - - 5.3% 7 ECM 35.5% 1 25.2% 1 ECM 4.7% 9 2.4% 12 M&A 41.4% 1 24.0% 3 M&A 1.1% 13 0.3% 16 S
Slide 61: Notable Deals
Notable Deals DCM M&A (continued) Axiata Group Berhad AIA Group Limited USD1.5 bil Multi-Currency Sukuk Issuance Programme issued via Euro1.336 bil acquisition of ING Management Holdings (Malaysia) Sdn Bhd Axiata SPV2 Berhad by American International Assurance Company Ltd, a wholly-owned (First rate
Slide 62: Group Asset Management
Group Asset Management PBT (after HOCA) (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q CIMB-P Group 50.3 55.1 (8.7%) 12.9 10.7 20.5% Wholesale 13.1 10.6 23.1% 3.0 4.1 (28.6%) Total 63.4 65.7 (3.6%) 15.9 14.8 6.8% Asset Under Management Wholesale AUM as at 31 Dec 2012 RM ‘mil CIMB +30.3% Y-o-Y Mapletree 4
Slide 63: Investments
CIMB Group : FY12 Results Investments
Slide 64: Investments
Investments (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q Net interest income 463 419 10.4% 129 114 13.7% Non-interest income * 521 788 (33.8%) 141 185 (23.6%) Operating income 984 1,207 (18.4%) 270 299 (9.4%) Overhead expenses ** (592) (341) 73.6% (196) (206) (4.8%) PPOP 392 866 (54.6%) 74 93 (19.5 %)
Slide 65: Strategic Investments
Strategic Investments RM ’mil FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q PAT to CIMB Group 89.6 88.4 1.4% 21.4 19.4 10.6% Flat growth due to margin squeeze and slightly higher provisions 19.99% RM ’mil FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q PAT to CIMB Group 9.0 6.6 36.4% 1.8 2.0 (10.0%) Cost to income of 79.3% in 20
Slide 66: Other Highlights
CIMB Group : FY12 Results Other Highlights
Slide 67: Top Awards 2012
Top Awards 2012 Consumer Banking Investment Banking CBTM ASEAN ASIA ASIA ASIA ASEAN ASIA-PAC Best Islamic Best for FX Best Islamic Best Islamic Bank Most Innovative Investment Bank Regional House of Products and Finance Bank Investment Bank Sukuk House of the year (ASEAN) Services in Asia (Southeast
Slide 68: Insurance
Insurance PBT (RM ’mil) FY12 FY11 Y-o-Y 4Q12 3Q12 Q-o-Q CIMB Aviva^ 39.6 23.4 69.2% 2.8 10.1 (72.3%) CIMB Sun Life (15.9) (13.4) (19.3%) (5.0) (3.2) (53.9%) Others* (2.3) (2.1) (9.4%) (0.5) (0.8) 35.4% Total CIG & GID 21.3 7.9 169.2% (2.7) 6.0 n.a. Continue reviewing BANCA partnerships in all countr
Slide 69: CIMB-Aviva Divestment
CIMB-Aviva Divestment Current Shareholding Structure Summary of Transaction 1 Khazanah (via Renggis), to acquire CIMB’s 51% stake in CAAB and CIMBG CATB held by CIG Berhad for RM 1,110 mil, made up of: 100% RM1,066.5 mil in cash; and Aviva CIG RM43.5 mil in ordinary shares of RVSB 49% 51% Pursua
Slide 70: CIMB Islamic
CIMB Islamic Ranking of Total Islamic Assets as at 30 Sep 2012 FY11 FY12 Sukuk Total Assets Market Market Market Rank Company Rank Rank RM ’mil Share Share Share 1 MIBB 81,263 22% Malaysia 30.6% 1 26.8% 1 2 CIMB Islamic 46,595 13% Global 21.2% 1 13.4% 2 3 Bank Islam 35,560 10% 4 PBB-I 30,299 8% 5 Am
Slide 71: CIMB Singapore
CIMB Singapore PBT 2011 2012 RM ‘mil Market Market +201.2% CAGR Rank Rank Share Share +100.0% Y-o-Y 164 Stock Broking 9.9% 2 10.3% 1 IPO 3.0% 5 19.0% 1 82 ECM 3.7% 7 10.2% 3 55 24 M&A 1.6% 17 17.8% 7 6 15 8 (8) Syndication ^ 1.5% 18 1.9% 10 2009 2010 2011 2012 Bonds 3.9% 6 2.2% 9 Bank Securities Cor
Slide 72: CIMB Cambodia
CIMB Cambodia Network USD ‘mil FY12 FY11 Y-o-Y 2011 2012 Y-o-Y Operating income 4.5 1.3 257.2% Branches 7 11 +4 Net profit (2.0) (3.3) 39.4% ATMs 10 17 +7 ROE (%) (6.4) (9.7) NIM (%) 3.8 2.3 Allowance coverage (%) n.a. n.a. n.a. 1 1 Gross impared loans ratio (%) - - - 1 7 Balance Sheet (USD ‘mil) 31
Slide 73: Acquisition of SICCO Securities
Acquisition of SICCO Securities Key Transaction Details Acquired 99.59% of SICCO for THB1.09 bil (RM107 mil) and delisted SICCO on 25 September 2012 Key transaction parameters for the 70.06% bought from Siam Commercial Bank: 1.17x P/B 28.4x P/E About 280 dealers and 20 branches THB’ mil Actual M
Slide 74: 2013 Priorities and Other Highlights
CIMB Group : FY12 Results 2013 Priorities and Other Highlights
Slide 75: 2013 CEO's Focus Areas
2013 CEO’s Focus Areas 1 Cost Management 2 Capital Management 3 Regional Consumer Banking 4 Investment Banking Integration 5 Regional Co-ordination 6 1Platform 7 Network Expansion 8 Network Management 75
Slide 76: Reducing CI: How do we get there?
Reducing CI Cost to Income 2012 How do we get there? Cost to Income 2015 Group Group Restructuring and portfolio optimisation 56% ( ~280bps) 50% Malaysia* Improve earnings ( ~50bps) Malaysia 56% Restructuring and Cost Mgmt ( ~140bps) 53% Singapore** Singapore Strong Income Growth while keeping cost
Slide 77: Capital Management Plan
Capital Management Plan >9.5% 1 Earning Growth & Accumulation* 7.8% ~162bps 2 Portfolio Optimisation ~59bps 2015 (CET1) 2012 (CET1) 77 Note: * Assuming DRS take up rate of 80%
Slide 78: RBS and IB Integration
RBS and IB Integration RBS Acquisition Updates 2013 Key Priorities Integration: Overall: HK, UK, US and Australia completed in 2012 To recapture 2011 old RBS flow volumes Integrated organisation structure in February 2013 To focus on transaction flows between ASEAN and Korea went live on 1
Slide 79: Geographic Expansion 2012/13
Geographic Expansion 2012/13 Seoul MIST US Bahrain Shanghai UK US Cambodia Hong Kong UK Rangoon Laos Taipei Mumbai Bangkok Vietnam Phnom Penh Manila Vietnam Australia Brunei Kuala Lumpur Sri Lanka Brunei Singapore Korea ^ Myanmar () Jakarta () Laos China () () Taiwan Hong
Slide 80: M&A and Expansion Record
M&A and Expansion Record Ahead of Schedule Behind Schedule (Singapore) NEW (selected cash equities, ECM and M&A corporate finance businesses in AP ex-Japan) 80
Slide 81: The Big Idea – Intermediating Asia to Asia
The Big Idea – Intermediating Asia to Asia Intra-Asia FDI * Intra-Asia Trade Flows ASEAN-Asia FDI * ASEAN-Asia Trade Flows USD ‘bil USD ‘bil USD ‘bil USD ‘bil 20.0 102.5 6.7 14.1 62.6 11.9 10.4 3.3 43.4 3.8 33.4 1.9 1.6 1.7 0.8 0.9 1994 1999 2004 2009 1996 2001 2006 2011 1994 1999 2004 2009 1996 200
Slide 82: Final Remarks
CIMB Group : FY12 Results Final Remarks
Slide 83: New Targets for 2013
New Targets for 2013 FY13 ROE 16% TSR > FBMKLCI Dividend 40% Total Credit Growth* 15% Loan loss charge < 0.4 Total Capital (CIMB Group) ^ > 11% CET 1 (CIMB Group) ^ > 8% Leverage (CIMB Group) ^ < 20x Notes: * Credit includes gross loans (excluding bad bank), AFS and HTM (excluding allowance for impa
Slide 84: Final Remarks
Final Remarks 2012 : Year of big changes “on-the-go” CIMB 2.0 has strengthened competitiveness and widened customer base CBTM set to build on 2012 momentum MS Consumer set to build on 4Q12 but credit charge will be higher CIMB Niaga and CIMB Singapore will continue to grow strongly. Important year f
Slide 85: Thank You
THANK YOU 85
Slide 86: Appendices
Appendices ba) CIMBGROUP nn
Slide 87: Contribution by Entity
Contribution by Entity FY12 FY11 4Q12 3Q12 Legal Entity RM ’mil % of PBT RM ’mil % of PBT RM ’mil % of PBT RM ’mil % of PBT CIMB Bank 3,003 53% 2,600 50% 708 52% 747 50% CIMB Niaga 1,906 34% 1,530 29% 488 36% 500 33% CIMB Islamic 535 9% 447 9% 162 12% 132 9% CIMB Labuan 60 1% 142 3% 18 1% 19 1% CIMB
Slide 88: Consolidated Balance Sheet Changes
Consolidated Balance Sheet Changes 31 Dec 11 (RM ‘mil) 31 Dec 12 Y-o-Y 30 Sep 12 Q-o-Q (Restated)* Cash & short term funds 30,763 34,204 (14%) 23,185 33% Securities purchased under resale agreements 5,594 4,230 32% 5,406 3% Deposits & placements with financial institutions 4,990 4,174 53% 6,833 (27%
Slide 89: CIMB Niaga: Balance Sheet Changes
CIMB Niaga : Balance Sheet Changes (IDR ’bil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Placements & Other MS 33,969 23,057 47.3% 32,328 5.1% Government Bonds 8,084 6,831 18.3% 9,462 (14.6%) Loans (Net) 141,645 122,285 15.8% 135,179 4.8% Other Assets 13,715 14,628 (6.2%) 13,653 0.5% Total Assets 197
Slide 90: CIMB Thai: Balance Sheet Changes
CIMB Thai : Balance Sheet Changes Before GAAP Adjustments (THB ’mil) 31 Dec 12 31 Dec 11 Y-o-Y 30 Sep 12 Q-o-Q Placements & Other MS 15,177 10,054 45.0% 10,653 42.5% Government Bonds (Net) 35,428 27,848 27.2% 35,532 (0.3%) Loans (Net) 135,804 116,212 17.6% 122,964 10.4% Other Assets 15,107 13,909 6.
Slide 91: Asset Quality Ratios – CIMB Group
Asset Quality Ratios – CIMB Group Series break due to adoption of FRS 139 90.8% 82.9% 84.0% 82.8% 82.0% 82.3% 80.7% 81.1% 82.3% 80.0% 80.8% 80.0% 79.1% 79.5% 84.3% 80.6% 81.3% 82.2% 82.6% 80.5% 81.1% 80.6% 80.4% 80.0% 81.1% 78.4% 79.3% 7.6% 7.5% 7.2% 6.6% 6.1% 5.7% 5.7% 5.9% 5.7% 5.5% 5.5% 5.0% 5.1%
CIMB Group Holdings Berhad — FY2012 Earnings Presentation on 6ix