Barclays Plc · LSE:BARC
Barclays — Investor Presentation (September 2010)
12 slides from Barclays's investor presentation, Sep 14, 2010
Slide 1: Barclaycard
Barclaycard Amer Sajed, CEO Barclaycard US September 14, 2010 1
Slide 2: Global Retail Banking (GRB) contribution to Barclays
Global Retail Banking (GRB) contribution to Barclays Barclays 2009 PBT GRB Composition 2009 PBT by business £5.3bn (1) Barclays Africa GRB £1.8bn Western Europe Retail Banking 6% (34%) UK Retail 15% Banking 39% £1.8bn 40% Barclaycard (1) Excluding the gain from disposal of BGI 2
Slide 3: Barclaycard has strong track record of sustainable growth
Barclaycard has strong track record of sustainable growth Average customer receivables PBT (£bn, % CAGR) (£m, % CAGR) +17% 28.1 727 +12% 522 17.5(1) 2006 2009 2006 2009 (1) Restated to reflect current Barclaycard business composition (excludes WE and Africa cards and Marine Finance; and includes Abs
Slide 4: Strength from a diversified business model
Strength from a diversified business model Income 2009 Additional Payment Products 22% UK Consumer Credit Cards 41% 37% International Consumer Credit Cards 4
Slide 5: Barclaycard growth strategy
Barclaycard growth strategy GRB Vision = LIVES MADE MUCH EASIER Product Leading diversification Leadership in positions in beyond payments existing consumer innovation markets credit cards Enabled by rigorous risk and cost management 5
Slide 6: Leading market positions
Leading market positions Income 2009 Additional Payment Products • Payment Acceptance 22% UK Consumer • Commercial Payments • Barclays Partner Finance Credit Cards • Secured Lending 41% • United Kingdom: #3 International Consumer Credit Cards 37% • United States: #9 • Germany: #1 • Absa Card: #2 • E
Slide 7: US example: From #18 to #9 in 5 years
US example: From #18 to #9 in 5 years Top US Credit Card issuers by card receivables (2009, $bn) #1 JPM 156 #2 BoA 135 #3 Citi 103 #4 CapOne 54 #5 Wells Fargo 32 #6 HSBC 23 #7 US Bank 21 #8 USAA 13 #9 Barclaycard 11 #10 Target 8 From #18 to #9 Source: Nilson report February 2010 Visa and Mastercard
Slide 8: US example: select partners
US example: select partners 8
Slide 9: Strong risk management…
Strong risk management… Charge-off trends 11.0% 11.0% Peer Group 10.0% Charge-off 10.0% 9.0% 9.0% Peer Group Charge-off 8.0% 8.0% Barclaycard Barclaycard 7.0% 7.0% Charge-off Charge-off 6.0% 6.0% 5.0% 5.0% 4.0% 4.0% 3.0% 3.0% End ‘07 End ‘08 End ‘09 End ‘07 End ‘08 End ‘09 Note: UK comparison is bas
Slide 10: Strong risk management…
Strong risk management… Barclaycard 30 and 90 day delinquency trends (%) 8.0% 8.0% 2010 2010 7.0% Delinquency 7.0% Delinquency Trend Trend 6.0% 6.0% 30-day 5.0% 5.0% 4.0% 30-day 4.0% 3.0% 3.0% 90-day 2.0% 2.0% 90-day 1.0% 1.0% End ‘07 End ‘08 End ’09 End ‘07 End ‘08 End ‘09 10
Slide 11: …cost control and investment for the future
…cost control and investment for the future Cost : Income Ratio Gross Investments(1) : Income Ratio (%) (%) 38.5 -0.7 37.8 + 1.2 2006 2009 2006 2009 11
Slide 12: Barclaycard priorities
Barclaycard priorities LIVES MADE MUCH EASIER • Strong compound annual profit growth • Continued growth in existing Product Leading diversification Leadership markets positions in in beyond existing payment markets consumer innovation • Continued product, credit cards customer and income diversifica