Commonwealth Bank Of Australia · ASX:CBA
Commonwealth Bank Of Australia — FY2012 Earnings Presentation
14 slides from Commonwealth Bank Of Australia's earnings presentation, Aug 15, 2012
Slide 1: Media Presentation for the Full Year Ended 30 June 2012
For personal use only Media Presentation FOR THE FULL YEAR ENDED 30 JUNE 2012 Ian Narev Results Presentation For the Chief half year Officer Executive ended 31 December 2009 10 February Commonwealth Bank of Australia ACN 123 123 124 2010 15 AUGUST 2012 | COMMONWEALTH BANK OF AUSTRALIA | ACN 123 123
Slide 2: Notes and Disclaimer
Notes Disclaimer For personal use only The material that follows is a presentation of general background information about the Group’s activities current at the date of the presentation, 15 August 2012. It is information given in summary form and does not purport to be complete. It is not intended t
Slide 3: Continuing momentum
Continuing momentum For personal use only vs Jun 12 Jun 11 Statutory Profit ($m) 7,090 11% Cash NPAT ($m) 7,113 4% ROE – Cash (%) 18.6% (90) bpts Cash Earnings per Share ($) 4.49 2% Dividend per Share ($) 3.34 4% 3
Slide 4: Summary
Summary A predictable result For personal use only Revenue consistent with the environment – Subdued Retail – Relative strength in Commercial – Focus on volume/margin trade-off – Ongoing weakness in markets related businesses Strong cost discipline Credit quality a strength Maintenance of
Slide 5: Cash NPAT drivers
Cash NPAT drivers FY12 For personal use only Expenses 2% Lending assets 15% Positive “jaws” C:I ratio to 38.1% LIE 53% Expenses 1% Margin 4bpts CVA turnaround ($215m) NII mix +3% Business banking revenue1 5% FUA net flows $4bn Expenses 2% Expenses 1% Insurance
Slide 6: Higher funding costs impacting Group NIM
Higher funding costs impacting Group NIM Group NIM1 bpts Six month NIM For personal use only bpts 217 212 206 206 (12) 8 (8) Dec 10 Jun 11 Dec 11 Jun 12 (4) (1) (1) 212 206 1H12 Assets & Deposits Wholesale Liquid Other2 2H12 Mix Funding Assets 1 Comparative NIM information has been restated for the
Slide 7: Our strategy
Our strategy For personal use only Customer focus Capabilities People Technology Strength Productivity Capability- led More customer needs identified and met in core growth opportunities retail/business franchise “One CommBank” Growth Continued growth in business and institutional banking Discipline
Slide 8: Technology
Technology Core Banking Leveraging real time For personal use only Deposits completed Lending well advanced 12 million+ customers migrated Real-time banking 24/7 Focus on benefits realisation Product innovation Driving efficiency Process elimination Straight-through processing Immedi
Slide 9: Productivity – some examples
Productivity – some examples Retail branch sales Retail customer service For personal use only Sales and converted referrals per CSS per week1 Transactions per CSR per week2 +4% +13% Jun 11 Jun 12 Jun 11 Jun 12 Local Business Banking call centres Bankwest home loan processing Time spent on customer
Slide 10: Productivity led flat costs - continuing investment
Productivity led flat costs - continuing investment Total operating expenses Investment spend For personal use only $m 3% $m 3% 9,196 8,891 1,286 8,601 (0.2%) 1,179 1,036 FY10 FY11 FY12 4,602 4,594 639 4,483 638 $m 4,408 2nd half 562 4,333 4,268 647 1st half 474 541 1H10 2H10 1H11 2H11 1H12 2H12 FY1
Slide 11: A vibrant customer-focused culture and people
A vibrant customer-focused culture and people Retail customer satisfaction1 Business customer satisfaction2 For personal use only 7.4 80.0% 7.3 Average rating 75.0% 7.2 7.1 70.0% 7.0 6.9 65.0% CBA CBA Peer average 6.8 Peer average 60.0% 6.7 Jan 06 Jun 09 Jun 12 Dec 10 Mar 11 Jun 11 Sep 11 Dec 11 Mar
Slide 12: Strength
Strength Deposit funding Wholesale funding tenor (years)1 For personal use only % of Total Funding New issuance Portfolio 5.2 62% 3.9 4.0 61% 3.6 3.6 3.7 58% Jun 10 Jun 11 Jun 12 Jun 11 Dec 11 Jun 12 Total provisions2 to credit RWA Liquidity and capital Total provisions Total provisions to CRWA Liqu
Slide 13: Outlook
Outlook Operating environment For personal use only – Australian economic fundamentals remain strong – Continued global volatility – Low credit growth – Deposit cost pressures – Evolution to new regulatory regimes Our approach – Scenario based with conservative settings – Long term focus without
Slide 14: Media Presentation for the Full Year Ended 30 June 2012
For personal use only Media Presentation FOR THE FULL YEAR ENDED 30 JUNE 2012 Ian Narev Results Presentation For the Chief half year Officer Executive ended 31 December 2009 10 February Commonwealth Bank of Australia ACN 123 123 124 2010 15 AUGUST 2012 | COMMONWEALTH BANK OF AUSTRALIA | ACN 123 123
Commonwealth Bank of Australia — FY2012 Earnings Presentation on 6ix