Cimb Group Holdings Bhd · MYX:CIMB
Cimb Group Holdings Bhd — Q4 2011 Earnings Presentation
68 slides from Cimb Group Holdings Bhd's earnings presentation, Feb 27, 2012
Slide 1: ASEAN For You: Analysts Presentation 4Q11 Results
ASEAN FOR YOU Analysts Presentation 4Q11 RESULTS 1 27 February 2012
Slide 2: Financial Highlights of 2011
Financial Highlights of 2011 Operating income +2.1% RM12.1 bil Overheads +0.3% RM6.6 bil +0.3% -19.8% Loan impairment RM0.5 bil Net profits RM4.0 bil +15.1% ROE 2010 : 16.2% 16.4% 54.7% Cost to income 2010 : 55.6% 2
Slide 3: Other Highlights
Other Highlights Malaysia Consumer Bank PBT up 86% Y-o-Y Excellent retail deposits Y-o-Y growth of 24% in Malaysia Strong growth at CIMB Niaga, PBT up 30% Y-o-Y Decline of 33% in Corporate & Investment Banking PBT with absence of mega deals CIMB Thai 4Q “windfall” in recoveries helped miti
Slide 4: Achievements vs Targets for 2011
Achievements vs Targets for 2011 FY11 2011 Targets ROE 16.4% 17% r TSR 14.6% < FBM KLCI > FBM KLCI r Dividend 40% 40% - 60% Group loans growth 14% 18% r Group deposits growth 11% 20% r Loan loss charge 0.25% 0.4% Core Capital Ratio (at CIMB Bank) (Basel II) 14.5%^ >10% RWCR (at CIMB Bank) (Bas
Slide 5: CIMB Group FY11 Financials
CIMB GROUP : FY11 RESULTS CIMB GROUP FY11 FINANCIALS
Slide 6: Earnings Summary
Earnings Summary (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10^ Y-o-Y Net interest income 2,080 1,989 4.6% 7,947 7,714 3.0% Non interest income 1,301 1,043 24.7% 4,175 4,164 0.3% Operating income 3,381 3,032 11.5% 12,122 11,878 2.1% Loan impairment (289) (106) 172.6% (487) (607) (19.8%) Other provisions 8 18
Slide 7: Quarterly Earnings Trend
Quarterly Earnings Trend Series break due to adoption of FRS 139 17.1% 16.9% 17.8% 16.1% 16.4% 15.7% 16.1% 16.3% 14.8% 3,381 3,186 2,993 2,959 3,032 2,802 2,897 2,731 2,750 1,405 1,180 1,180 1,233 1,278 1,287 1,088 1,124 1,143 1,133 911 873 917 970 1,012 798 833 884 ^ ^ ^ 4Q09 1Q10 2Q10 3Q10 ^ 4Q10
Slide 8: Contribution by Entity
Contribution by Entity 4Q11 3Q11 FY11 FY10** Legal Entity RM ’mil % of PBT RM ’mil % of PBT RM ’mil % of PBT RM ’mil % of PBT CIMB Bank 628 45% 706 55% 2,620 50% 2,275 49% CIMB Niaga 390 28% 404 31% 1,530 29% 1,565 34% CIMB Islamic 88 6% 95 7% 447 9% 403 9% CIMB Labuan 22 2% 19 2% 142 3% 191 4% CIMB
Slide 9: Estimated PBT By Segment
Estimated PBT By Segment PBT 4Q11 3Q11 Q-o-Q FY11 FY10^ Y-o-Y (after HOCA) RM ’mil RM ’mil % RM ’mil RM ’mil % Consumer Banking - Good Bank 209 266 (21.4%) 1,094 603 81.4% - Bad Bank (including 55 82 (32.9%) 233 110 111.8% SEASAM) 264 348 (24.1%) 1,327 713 86.1% Corporate & Investment Banking 94 164
Slide 10: Estimated PBT By Segment
Estimated PBT By Segment 4Q11 3Q11 CIMB Thai Consumer CIMB Thai 3% Banking 1% Consumer 19% Banking CIMB Niaga CIMB Niaga 31% 27% 28% Corporate & Inv Banking 7% GAM & GAM & Insurance Insurance Corporate & 1% 2% Inv Banking 13% Treasury & Treasury & Investments Investments 42% 26% FY11 FY10 CIMB Thai
Slide 11: Contribution by Geography
Contribution by Geography 4Q11 3Q11 Others Singapore 5% Singapore Others 1% 4% 3% Thailand Thailand 3% 1% Indonesia Indonesia 32% 28% Malaysia 63% Malaysia 60% FY11 FY10 Singapore Others Others 2% 4% 9% Singapore Thailand 3% 2% Thailand 1% Indonesia 30% Indonesia 35% Malaysia Malaysia 62% 52% 11
Slide 12: AFS MTM Position
AFS MTM Position (RM ’mil) 535.8 522.2 474.8 479.9 462.2 426.3 Sept 10 Dec 10 Mar 11 June 11 Sep 11 Dec 11 12
Slide 13: Key Ratios
Key Ratios (%) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y ROE * 17.8 16.3 16.4 16.2 NIM * 3.10 3.12 3.12 3.34 Non-interest income / total income 38.5 34.4 34.4 35.1 Cost / income 50.9 56.1 54.7 55.7 Allowance coverage 81.1 80.0 81.1 81.1 Allowance coverage after regulatory 86.1 83.5 86.1 82.3 reserve # Loan lo
Slide 14: Gross Loans Growth
Gross Loans Growth 31 Dec 11 30 Sep 11 31 Dec 10 Divisions / Products Q-o-Q Y-o-Y (RM ’bil) (RM ’bil) (RM ’bil) Consumer Banking (44.4%) ** 85.1 82.3 3.5% 76.2 11.7% Mortgages 38.6 37.7 2.6% 33.8 14.5% HP 10.6 10.6 - 10.6 - OD and TL 17.1 16.5 3.7% 15.2 12.6% Credit cards 4.6 4.4 4.9% 4.3 9.0% CIMB
Slide 15: Loan Assets by Geographical Distribution
Loan Assets by Geographical Distribution Others RM2.3 bil 1.5% RM2.4 bil 1.4% RM3.9 bil 2.3% RM2.9 bil 2.0% RM6.7 bil 4.0% RM9.5 bil 4.5% Singapore RM8.9 bil 6.0% RM9.9 bil 5.9% RM13.1 bil 6.8% Thailand RM31.8 bil 21.3% RM37.4 bil 22.3% RM46.0 bil 25.0% Indonesia RM103.0 bil RM111.1 bil RM118.9 bil
Slide 16: Deposits Growth
Deposits Growth 31 Dec 11 30 Sep 11 31 Dec 10 Divisions / Products Q-o-Q Y-o-Y (RM ’bil) (RM ’bil) (RM ’bil) Retail (32.2%) * 71.2 66.5 7.1% 56.6 25.8% - Current 20.8 18.2 14.3% 15.2 36.8% - Savings 13.3 12.6 5.6% 11.5 15.7% - Fixed & structured deposits 37.1 35.7 3.9% 29.9 24.1% Commercial (7.5%) 1
Slide 17: CASA and Platform Growth
CASA and Platform Growth 31 Dec 11 31 Dec 10 Divisions / Products Y-o-Y (RM ’bil) (RM ’bil) Malaysia & Singapore * 53.8 46.0 17.0% CIMB Niaga ^ 20.3 17.5 16.0% CIMB Thai + 2.5 2.7 (7.4%) Total 76.6 66.2 15.7% CIMB Clicks Users (‘000) Retail Branches Dec-11 Dec-10 Y-o-Y +26.2% Malaysia 321 321 - 1,81
Slide 18: Capital Management – CIMB Bank
Capital Management – CIMB Bank 16.9% 16.8% 15.6% RWCR 15.0% 15.0% 14.7% 14.7% 14.6% 14.8% 15.0% 14.6% 14.5% Tier 1 14.2% 13.8% 13.8% 13.9% Core Tier 1 12.2% 12.4% 12.1% 11.9% 11.7% 11.4% 11.4% 11.4% RWA (RM’mil) 102,544 107,739 101,905 106,377 110,349 105,449 104,381 102,240 Series break due 9,368 1
Slide 19: Capital Management – All Banking Entities
Capital Management – All Banking Entities CIMB Group Dec-11 Sep-11 Gearing ratio 21.8% 21.4% Double leverage ratio 119.1% 119.2% Dec-11^ Sep-11^ Dec-10^ Tier 1 (B2) (B2) (B2) CIMB Bank 14.5% 14.6% 13.8% CIMB Investment Bank 16.3% 24.2% 16.5% CIMB Islamic 10.4% 10.8% 13.2% CIMB Niaga # 10.2% 10.5% 9.
Slide 20: Dividend Track Record Over 6 Years
Dividend Track Record Over 6 Years 54.9% Payout 44.2% 40.6% Ratio 35.8% 24.5% 23.3% 36.75 Net Dividend 26.08 Declared (Sen) 22.00 19.83 18.50 10.95 2006 2007 2008 2009 2010 2011 20
Slide 21: CIMBG: Operating Expenses
CIMBG : Operating Expenses (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10^ Y-o-Y Personnel 903 932 (3.1%) 3,518 3,322 5.9% Establishment 395 351 12.5% 1,444 1,497 (3.5%) Marketing 86 98 (12.2%) 357 372 (4.0%) Admin & General 338 320 5.6% 1,311 1,422 (7.8%) Total 1,722 1,701 1.2% 6,630 6,613 0.3% Note: ^ Restat
Slide 22: Consumer Bank
CIMB GROUP : FY11 RESULTS CONSUMER BANK
Slide 23: Malaysian Consumer Bank
Malaysian Consumer Bank (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Net interest / financing income 802 799 0.4% 3,171 2,941 7.8% Non interest income 222 221 - 895 837 6.9% Total income 1,024 1,020 0.3% 4,066 3,778 7.6% Overheads (direct + head (672) (687) (2.2%) (2,736) (2,812) (2.7%) office allocati
Slide 24: Malaysian Consumer Bank: Good Bank
Malaysian Consumer Bank : Good Bank (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Net interest / financing 790 783 0.9% 3,108 2,886 7.7% income Non interest income 215 213 0.9% 875 837 4.5% Total income 1,005 996 0.9% 3,983 3,723 7.0% Overheads (direct + head (623) (637) (2.2%) (2,546) (2,632) (3.3%) of
Slide 25: Malaysian Consumer Bank 5-Year Record (1)
Malaysian Consumer Bank 5-Year Record (1) Malaysia Dec-06 Sept-11 Retail Loans and Wealth Management Sales (RM ‘bil) Market Market CAGR 25.5% Rank Rank 19.3 Share Share 18.4 18.2 4.9 15.8 3.1 4.3 Deposits 8.5% 4 10.9% 4 13.4 2.5 1.1 Residential 0.6 0.9 2.1 10.4% 4 13.7% 2 2.8 Mortgages Non Residenti
Slide 26: Malaysian Consumer Bank 5-Year Record (2)
Malaysian Consumer Bank 5-Year Record (2) Credit Cards (RM ‘bil) CIMB Express (RM ‘bil) CAGR 21.3% CAGR 64.4% 4.2 171 1,142 4.0 1,074 2,734 3.0 874 2.7 94 2.2 1,323 833 1,079 771 1.6 216 599 4 276 460 315 317 281 269 358 161 59 40 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-06 Dec-07 Dec-08 Dec-09
Slide 27: Malaysian Consumer Bank 5-Year Record (3)
Malaysian Consumer Bank 5-Year Record (3) SME – Loan Base (RM ‘bil) HP – Loan Base (RM ‘bil) CAGR -2.1% 13.2 11.8 12.5 CAGR -2.8% 12.1 10.6 10.6 10.1 10.8 9.5 9.6 10.6 10.5 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Notes: Loan base excludes SEASAM ^ Investme
Slide 28: Notable Consumer Awards 2011
Notable Consumer Awards 2011 ASIA ASIA Best Bank (Msia) (2nd time) Best Islamic Bank in Asia Best Private Bank (Msia) Best Islamic Bank in Asia (2nd time) Best Domestic Bank (Msia) Best Islamic Finance House (Msia) Best Islamic Bank (Msia) Best Private Bank (Msia) Best Single-bank Electronic Trading
Slide 29: Treasury & Investment Banking
CIMB GROUP : FY11 RESULTS TREASURY & INVESTMENT BANKING
Slide 30: Treasury and Investment Financials
Treasury and Investment Financials (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Net interest / financing income 171 164 4.3% 673 866 (22.3%) Fee income 13 9 44.4% 31 20 55.0% Net trading income 127 206 (38.3%) 499 270 85.0% Total income 311 379 (17.9%) 1,203 1,156 4.1% Overheads (104) (102) 1.3% (396)
Slide 31: Corporate & Investment Banking Financials
Corporate & Investment Banking Financials (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Net interest / financing income 198 180 10.2% 761 781 (2.5%) Fee & commission income 83 97 (14.5%) 511 691 (26.1%) Net trading income 19 27 (29.6%) 118 132 (10.6%) Brokerage income 71 87 (18.4%) 322 331 (2.7%) Total
Slide 32: IB Market Share and Ranking (1)
IB Market Share and Ranking (1) Malaysia FY10 FY11 Indonesia FY10 FY11 Market Market Market Market Rank Rank Rank Rank Share Share Share Share Stock Broking 9.8% 1 10.4% 1 Stock Broking 6.0% 2 6.0% 2 IPO 30.1% 1 31.7% 1 IPO 8.6% 4 - - ECM 28.4% 1 35.5% 1 ECM 5.2% 8 4.7% 9 M&A 43.9% 1 36.7% 1 M&A 12.
Slide 33: IB Market Share and Ranking (2) and Key Deals in FY11
IB Market Share and Ranking (2) and Key Deals in FY11 FY10 FY11 Landmark Deals in FY11 ASEAN Market Market Malaysia Smelting Corporation Rank Rank Share Share SGD43.8 mil secondary listing on the Main Board of SGX-ST First ever secondary listing of a Bursa Securities-listed IPO 14.9% 1 7.8% 4 compan
Slide 34: Asset Management & Insurance
CIMB GROUP : FY11 RESULTS ASSET MANAGEMENT & INSURANCE
Slide 35: Group Asset Management & Insurance
Group Asset Management & Insurance PBT (after HOCA) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y (RM ’mil) CIMB-P Group 6.3 10.2 (38.2%) 55.1 54.4 1.3% Wholesale 6.9 1.5 371.6% 10.6 6.8 56.1% Insurance (2.5) 1.2 n.a. 8.0 3.4 135.3% Securities Services 5.4 5.1 5.6% 17.9 22.4 (20.2%) Total 16.1 18.0 (10.3%) 91.6 8
Slide 36: CIMB Niaga
CIMB GROUP : FY11 RESULTS CIMB NIAGA
Slide 37: CIMB Niaga: Earnings Summary
CIMB Niaga: Earnings Summary (IDR ’bil) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Net Interest Income 2,174 1,957 11.1% 7,927 7,326 8.2% Non Interest Income 553 712 (22.3%) 2,446 1,566 56.2% Operating Income 2,727 2,669 2.2% 10,373 8,892 16.7% Overhead Expenses (1,391) (1,290) 7.8% (5,151) (4,286) 20.2% Pre P
Slide 38: CIMB Niaga: Gross Loans Growth
CIMB Niaga : Gross Loans Growth 31 Dec 11 30 Sep 11 31 Dec 10 Products / Divisions Q-o-Q Y-o-Y (IDR ’bil) (IDR ’bil) (IDR ’bil) Retail Banking (29.9%) 37,534 36,466 2.9% 32,864 14.2% Credit Cards 2,750 2,563 7.3% 2,059 33.6% Auto Loans 15,125 14,846 1.9% 13,846 9.2% Mortgage 17,834 17,436 2.3% 15,46
Slide 39: CIMB Niaga: Deposits Growth
CIMB Niaga : Deposits Growth 31 Dec 11 30 Sep 11 31 Dec 10 Divisions / Products Q-o-Q Y-o-Y (IDR ’bil) (IDR ’bil) (IDR ’bil) Retail Banking (45.1%) 59,403 60,145 (1.2%) 54,139 9.7% - Current 3,869 4,066 (4.8%) 3,519 10.0% - Savings 26,574 26,053 2.0% 23,316 14.0% - Fixed & structured deposits 28,960
Slide 40: CIMB Niaga: Key Ratios
CIMB Niaga : Key Ratios (Consolidated, %) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y ROE 17.7 19.4 19.1 20.9 NIM 5.87 5.51 5.63 6.46 Cost to Income 51.0 48.3 49.7 48.2 Loan Loss Coverage # 104.0 109.7 104.0 122.0 Allowance Coverage * 74.8 82.6 74.8 82.5 Loan Loss Charge * 0.9 0.6 0.7 1.2 Gross Impaired Loans R
Slide 41: CIMB Niaga: Corporate Updates
CIMB Niaga : Corporate Updates Consumer Market Share Corporate Activities Indonesia Dec-10 Dec-11 Completed the call of USD200 mil Subdebt in Nov-11 Market Market Completed issuance of Senior Debt of Rp1.5 tril in Dec-11 Rank Rank Share Share Paid IDR200 bil interim dividends or IDR7.95 per sh
Slide 42: CIMB Thai
CIMB GROUP : FY11 RESULTS CIMB Thai
Slide 43: CIMB Thai: Earnings Summary
CIMB Thai : Earnings Summary (Before GAAP Adjustments) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y (Baht ’mil) Net Interest Income 1,122 1,250 (10.2%) 4,653 4,326 7.6% Non Interest Income 1,682 443 279.4% 2,912 2,033 43.2% Operating Income 2,805 1,693 65.6% 7,565 6,359 19.0% Overhead Expenses (1,530) (1,241) 23
Slide 44: CIMB Thai: Balance Sheet Changes
CIMB Thai : Balance Sheet Changes (Before GAAP Adjustments) 31 Dec 11 30 Sep 11 Q-o-Q 31 Dec 10 Y-o-Y (Baht ’mil) Placements & Other MS 9,900 14,769 (33.0%) 21,925 (54.8%) Government Bonds (Net) 27,848 22,725 22.5% 14,801 88.1% Loans (Net) 116,212 109,655 6.0% 91,403 27.1% Other Assets 14,063 11,523
Slide 45: CIMB Thai: Loans Growth
CIMB Thai : Loans Growth 31 Dec 11 30 Sep 11 31 Dec 10 Products / Divisions Q-o-Q Y-o-Y (THB ’bil) (THB ’bil) (THB ’bil) Retail Banking (31.9%) 38.1 37.1 2.7% 32.8 16.3% Auto Loans 8.7 8.0 9.1% 5.8 49.1% Mortgage 23.9 23.4 1.8% 20.9 14.1% Personal / Others 5.5 5.7 (3.0%) 6.0 (7.9%) Commercial Bankin
Slide 46: CIMB Thai: Deposits Growth
CIMB Thai : Deposits Growth 31 Dec 11 30 Sep 11 31 Dec 10 Divisions / Products Q-o-Q Y-o-Y (THB ’bil) (THB ’bil) (THB ’bil) Retail Banking (69.8%) 70.8 71.3 (0.7%) 64.7 9.4% - Current 0.8 1.0 (20.6%) 0.8 (4.4%) - Savings 13.9 13.9 - 16.0 (12.8%) - Fixed & structured deposits 56.1 56.4 (0.5%) 47.9 17
Slide 47: CIMB Thai: Key Ratios
CIMB Thai : Key Ratios (Consolidated, %) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y ROE 15.0 ^ 10.7 11.1 9.0 NIM 2.92 # 3.57 3.35 3.77 Cost to Income 54.6 74.3 68.5 75.8 Loan Loss Coverage** 81.6 72.4 81.6 91.6 Loan Loss Charge 2.7 0.5 1.0 0.9 Gross NPL ratio** 3.4 3.3 3.4 2.7 Net NPL ratio** 2.3 2.3 2.3 1.8 L
Slide 48: CIMB Thai: Corporate Updates
CIMB Thai : Corporate Updates Consumer Market Share Thailand Dec-10 Dec-11 Market Market Rank Rank Share Share Deposits 1.4% 11 1.4% 9 Mortgages 0.9% 12 0.9% 11 HP 0.4% 17 0.5% 17 SME Loans 1.2% 7 1.6% 7 Corporate Updates Strong brand evolution 2Q general elections uncertainties 4Q flood affec
Slide 49: Other Highlights
CIMB GROUP : FY11 RESULTS OTHER HIGHLIGHTS
Slide 50: CIMB Islamic
CIMB Islamic Ranking of Total Islamic Assets as at 30 Sep 2011 FY10 FY11 Market share and ranking Market Market Total Assets Market Rank Rank Share Share Rank Company Share RM ’mil Sukuk 1 MIBB 63,696 22% - Malaysia 30.3% 2 29.5% 1 2 CIMB Islamic 37,940 13% - Global 21.8% 1 21.4% 1 3 Bank Islam 29,9
Slide 51: CIMB Singapore
CIMB Singapore PBT (SGD ’000) Credit Cards 118,924 33,624 76,251 183 23,367 124 14,856 12,264 9,969 6,488 3,252 20 Dec-09 Dec-10 Dec-11 Dec-09 Dec-10 Dec-11 Bank Securities Loan Base (SGD 'mil) Cards Base Total Loans and SME Loans (SGD ’mil) Retail Deposits (SGD ’mil) +173.7% +107.7% 2,669 4,429 3,1
Slide 52: Bank of Yingkou
Bank of Yingkou 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Operating income (RMB mil) 583 557 4.7% 2,052 1,187 72.9% Net profit (RMB „mil) 199 280 (28.9%) 934 472 97.9% PAT to CIMB Group (RM „mil) 20.0 26.4 (23.5%) 88.4 44.9 96.9% ROE (%) 21.8 35.9 35.5 20.5 NIM (%) 4.7 4.6 4.4 4.0 Allowance coverage (%) 370.0
Slide 53: CIMB Cambodia
CIMB Cambodia 4Q11 3Q11 Q-o-Q FY11 Operating income (USD „mil) 0.7 0.4 75.0% 1.3 Net profit (USD „mil) (0.9) (1.0) 10.0% (3.4) ROE (%) (10.3) (11.1) (9.7) NIM (%) 3.2 3.0 2.3 Allowance coverage (%) n.a. n.a. n.a. n.a. Gross impared loans ratio (%) - - - - Balance Sheet (USD ‘mil) 31 Dec 11 30 Sep 11
Slide 54: Touch 'n Go – Earnings Summary
Touch „n Go – Earnings Summary (RM ’mil) 4Q11 3Q11 Q-o-Q FY11 FY10 Y-o-Y Revenue 30.6 30.5 0.3% 111.3 103.8 6.7% Cost 29.0 24.2 19.8% 91.8 78.7 14.3% PBT 1.6 6.3 (74.6%) 19.5 25.1 (28.7%) PAT 1.2 4.7 (74.5%) 14.2 17.4 (22.5%) PAT to CIMB Group 0.6 2.4 (75.0%) 7.4 9.1 (23.0%) Transaction Value and Ca
Slide 55: Expansions
Expansions Thailand Philippines Completed the acquisition of 70% equity stake in Currently looking at acquiring a stake in Bank of SICCO Securities Public Company Limited (“SSEC”) Commerce (“BOC”) from San Miguel Corporation on 15 Feb 2012 (“SMC”) In addition, we have also acquired an addition
Slide 56: Key 2011 Priorities Round-Up (1)
Key 2011 Priorities Round-Up (1) Priorities Updates CASA growth rate for MY, IND and SG outpaced industry Regional CASA Drive Successfully embraced CASA discipline across entire Group Business Intelligence Benchmark tracking Costs stayed relatively flat through various cost control initiativ
Slide 57: Key 2011 Priorities Round-Up (2)
Key 2011 Priorities Round-Up (2) Priorities Updates Singapore‟s core banking system went live in Dec 2011 Thailand‟s 1Platform core banking migration at final phase Leveraging Technology Commenced 1Platform projects in Malaysia and migrated Contact Center to 1View Reviewing framework and KPI
Slide 58: Outlook
CIMB GROUP : FY11 RESULTS OUTLOOK
Slide 59: Manageable External Headwinds
Manageable External Headwinds Malaysia Indonesia Consumption-boosting measures Resilient domestic demand remains the prime engine of growth Kick-start of key ETP projects (MRT, KLIFD) Potential resurgence of inflation pressures Privatisation of GLCs Sustainable natural resource boom and
Slide 60: Economic Forecast – Slower Growth but Stable Environment
Economic Forecast – Slower Growth but Stable Environment Malaysia Indonesia 2010 2011E 2012F 2013F 2010 2011E 2012F 2013F GDP 7.2 5.0 3.8 5.5 GDP 6.1 6.4 6.2 6.5 Loan growth 12.7 12-13 9-10 9-10 Loan growth 23.5 22.0 21.5 21.7 Impaired Loan Impaired Loan 3.4 2.7-2.8 2.6-2.8 2.6-2.8 2.8 2.8 2.8 2.7 r
Slide 61: We Have Initiated "CIMB 2.0"
We Have Initiated “CIMB 2.0” Defend leadership areas Optimise Existing Focus on hotspots - customers, cross-sell, CASA and cost Franchise Address weak areas e.g. SMEs, transaction banking, regional NIMs, private equity New & Old markets New Growth Areas 2.0 Products and Models Enhance or
Slide 62: Targets for 2012
Targets for 2012 2012 Targets ROE 16.4% TSR > FBM KLCI Dividend 40% - 60% Group loans growth 16% Group deposits growth 16% Loan loss charge 0.31% Core Capital Ratio (at CIMB Bank) >10% (Basel II) RWCR (at CIMB Bank) (Basel II) >12% 63
Slide 63: Closing Remarks
CIMB GROUP : FY11 RESULTS CLOSING REMARKS
Slide 64: Final Remarks
Final Remarks Successfully navigated difficult operating environment by recalibrating strategies, focusing on liabilities, costs and credit charge Despite falling short of ROE target and poor share price performance, we had record profits and (core) ROEs Weaker economic environment anticipated
Slide 65: Thank You
THANK YOU 66
Slide 66: Appendices
CIMB GROUP : FY11 RESULTS APPENDICES
Slide 67: Consolidated Balance Sheet Changes
Consolidated Balance Sheet Changes (RM ‘mil) 31 Dec 11 30 Sep 11 Q-o-Q 31 Dec 10 Y-o-Y Cash & short term funds 34,669 30,383 14% 27,185 28% Securities purchased under resale agreements 4,230 3,973 6% 3,805 11% Deposits & placements with financial institutions 4,174 8,056 (48%) 11,746 (64%) Financial
Slide 68: Asset Quality Ratios – CIMBG
Asset Quality Ratios – CIMBG Series break due to adoption of FRS 139 90.8% 88.1% 86.8% 85.6% 86.7% 82.9% 82.0% 82.3% 80.8% 80.4% 81.1% 79.1% 80.0% 80.0% 80.6% 80.5% 81.1% 80.6% 80.7% 78.4% 79.3% 80.0% 79.5% 7.6% 7.5% 7.2% 6.6% 6.1% 5.6% 5.6% 5.7% 5.7% 5.9% 5.7% 5.5% 5.5% 5.5% 4.9% 5.0% 5.1% 4.7% 4.5
CIMB Group Holdings Berhad — Q4 2011 Earnings Presentation on 6ix