Deutsche Bank AG · XETR:DBK
Deutsche Bank — Non-Deal Roadshow (September 2004)
24 slides from Deutsche Bank's roadshow presentation, Sep 1, 2004
Slide 1: Deutsche Bank Roadshow
Deutsche Bank Roadshow Dr. Clemens Börsig, CFO Boston, 1 September 2004
Slide 2: Agenda
Agenda 1 Deutsche Bank’s current performance in summary 2 Key themes for investors Investor Relations 09/04 · 2
Slide 3: Deutsche Bank's current performance
Deutsche Bank’s current performance 2Q2004 1H2004 Net income EUR Net income EUR before tax reversal up 27% 0.7 bn before tax reversal up 330% 1.7 bn EPS (diluted) EUR EUR up 25% 1.16 EPS (diluted) up 396% 2.83 Total revenues EUR EUR down 9% Total revenues up 6% 5.4 bn 11.5 bn RoE (pre-tax return RoE
Slide 4: Agenda: Key themes for investors
Agenda 1 Deutsche Bank’s current performance in summary 2 Key themes for investors Capital management Market positions in key businesses Fixed income: Deutsche Bank’s position Credit quality Deutsche Bank’s financial targets Investor Relations 09/04 · 4
Slide 5: Returning capital to shareholders
Returning capital to shareholders Dividends per share Capital returned In EUR In EUR bn 1.50 5.5 1.30 1.30 1.30 1.6 Total dividend payouts(1) 1.12 1.15 0.92 3.9 Share buybacks(2) 1997 1998 1999 2000 2001 2002 2003 (1) For the financial years 2002 and 2003 – excluding shares in Treasury (2) Since the
Slide 6: Accelerated share buybacks in 2Q2004
Accelerated share buybacks in 2Q2004 Total Total repurchases* 5.9 m 11.2 m 12.0 m 29.1 m 58.2 m In % of shares issued ~ 1.0% ~ 1.9% ~ 2.1 % ~5% 10.0 % Capital consumption EUR 0.3 bn EUR 0.7 bn EUR 0.8 bn EUR 2.0 bn EUR 3.8 bn Systematic Share price, in EUR Number of shares, in ‘000 buybacks 75 3,000
Slide 7: Tier 1 ratio remains comfortably above target range
Tier 1 ratio remains comfortably above target range 10.0 10.0 10.1 9.6 9.5 9.4 9% Target range 239 8% 232 226 223 216 219 Tier 1 ratio, in % RWA, in EUR bn 31 Mar 30 Jun 30 Sep 31 Dec 31 Mar 30 Jun 2003 2004 2004 22.9 23.2 21.6 21.6 22.1 20.9 Tier 1 capital, in EUR bn Investor Relations 09/04 · 7
Slide 8: Asset sales also enhance return on equity
Asset sales also enhance return on equity 1H 2003 1H 2004 Average active equity, Underlying pre-tax In % of total in EUR bn return on equity, in % 28.9 100% 15 Group 25.6 100% 20 Corporate 46% Banking & 13.2 25 Securities 11.6 46% 30 CIB Global 1.5 5% Transaction 16 Group RoE Banking 1.3 5% 22 targe
Slide 9: Agenda: Key themes for investors
Agenda 1 Deutsche Bank’s current performance in summary 2 Key themes for investors Capital management Market positions in key businesses Fixed income: Deutsche Bank’s position Credit quality Deutsche Bank’s financial targets Investor Relations 09/04 · 9
Slide 10: CIB – Top tier investment bank
CIB – Top tier investment bank Net revenues 1H2004: CIB vs. major peers, in EUR bn Other revenues GTB Transaction banking Loan products 8.9 CB&S Investment banking Sales & trading 7.7 7.7 7.2 1.0 6.1 0.6 5.7 0.9 4.8 4.6 4.2 4.9 Citigroup Goldman JPM * Morgan Merrill Credit Lehman UBS Sachs Chase Sta
Slide 11: CIB – the path to market leadership
CIB – the path to market leadership International bond FX Equity derivatives Equity capital markets issuance 1995 2003 1995 2003 1995 2003 1995 2003 1 2 2 7 7 17 >20 22 Note: Ranking in global key products 1995 versus 2003 Source: FX: Euromoney Equity derivatives: International Financing Review (IFR
Slide 12: PCAM – a leading asset gatherer
PCAM – a leading asset gatherer PCAM invested assets, as of 30 Jun 2004, in EUR bn Fidelity Investments UBS Merrill Lynch State Street(1) Deutsche Bank 885 Credit Suisse Morgan Stanley Citigroup(2) JPM Chase Goldman Sachs 0 200 400 600 800 1.000 1.200 1.400 1.600 (1) Group (2) Excluding PBC equivale
Slide 13: Agenda: Key themes for investors
Agenda 1 Deutsche Bank’s current performance in summary 2 Key themes for investors Capital management Market positions in key businesses Fixed income: Deutsche Bank’s position Credit quality Deutsche Bank’s financial targets Investor Relations 09/04 · 13
Slide 14: Delivering consistent results across market cycles
Delivering consistent results across market cycles S&T debt and other products, Deutsche Bank(1) net revenues, in EUR bn Peer average(2) 1.8 1.9 1.8 1.8 1.5 1.6 1.5 1.5 1.4 1.5 1.2 1.3 1.3 1.2 1.2 1.1 1.1 1.0 1.0 0.9 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2002 2003 2004 (1) 2002 figures: structure as of 31 D
Slide 15: DB Global Markets – a differentiated business model
DB Global Markets – a differentiated business model Global Markets’ revenues Global Markets’ revenues by principal components By product EM & Comm. FX & MM Struc'd Credit Cash Credit Rates Derivs Prop Risk Cash Rates Market* DB Market Access By geography Asia-Pacific Intellectual Capital Americas Ma
Slide 16: Combining intellectual leadership with a commitment to market share in flow products
Combining intellectual leadership with a commitment to market share in flow products Derivatives volume growth 1H 2002 vs. 1H 2003 Bond House of the Year IFR Magazine, 2003 106% Credit 72% Foreign 65% exchange 22% Interest 45% rate 35% 37% Commodity 34% Deutsche Bank Market Source: Bank for Internat
Slide 17: Agenda: Key themes for investors
Agenda 1 Deutsche Bank’s current performance in summary 2 Key themes for investors Capital management Market positions in key businesses Fixed income: Deutsche Bank’s position Credit quality Deutsche Bank’s financial targets Investor Relations 09/04 · 17
Slide 18: Seventh consecutive quarter of declining risk provisions
Seventh consecutive quarter of declining risk provisions Total provision for credit losses, in EUR m 790* (75)% 511 423 384 350 333 (41)% 191 189 141 83 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2002 2003 2004 German 113 180 255 (26) 105 152 117 92 116 53 271 331 535 449 245 181 74 97 25 30 Non-German * Includi
Slide 19: Continuing reduction of problem loans
Continuing reduction of problem loans Problem loans, in EUR bn Coverage ratio* (30)% 10.8 8.4 (7)% 6.6 6.3 5.9 50% 48% 48% 46% 40% 31 Dec 30 Jun 31 Dec 31 Mar 30 Jun 2002 2003 2003 2004 2004 4.3 3.9 3.3 3.0 2.8 Allowances (on-balance sheet) * Total on-balance sheet allowances divided by problem loan
Slide 20: Continued loan book discipline, particularly with corporate clients
Continued loan book discipline, particularly with corporate clients Loans(1), in EUR bn (3)% 172 165 148 149 145 Non-German 52% 53% 57% 56% 55% German 31 Dec 30 Jun 31 Dec 31 Mar 30 Jun 2002 2003 2003 2004 2004 69 72 71 72 73 Retail / Commercial(2) 88 75 64 63 60 Corporate(3) 15 18 13 14 12 FIs / Pu
Slide 21: Agenda: Key themes for investors
Agenda 1 Deutsche Bank’s current performance in summary 2 Key themes for investors Capital management Market positions in key businesses Fixed income: Deutsche Bank’s position Credit quality Deutsche Bank’s financial targets Investor Relations 09/04 · 21
Slide 22: After transformation, RoE target realistic with revenue growth of EUR 2 bn
After transformation, RoE target realistic with revenue growth of EUR 2 bn In EUR bn 13% Underlying return on equity, pre-tax 25% ~2.0 ~6.5 0.4 9% 0.8 3.6 (0.3) Underlying Adjustment Planned cost Lower provision Revenue Pro forma pre-tax profit for currency reduction for credit losses (at growth und
Slide 23: Several core businesses show impressive revenue growth
Several core businesses show impressive revenue growth Growth underlying revenues 2Q2004 vs. 2Q2003 CB&S Debt Finance 47% AWM AM Germany 39% GTB Trust & Securities Services 39% CB&S GE Prime Services 32% AWM PWM Germany Onshore 26% CB&S GE Derivatives 25% CB&S Global Rates 18% CB&S Securitised Produ
Slide 24: Cautionary statement regarding forward-looking statements and non-U.S. GAAP financial measures
Cautionary statement regarding forward-looking statements and non-U.S. GAAP financial measures This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about our beliefs and expectations. Any statement in