Far Eastern International Bank · TWSE:2845

Far Eastern International Bank — Q1 2017 Earnings Presentation

16 slides from Far Eastern International Bank's earnings presentation, Jun 9, 2017

  1. Slide 1: 1Q2017 Investor Conference

    if i OR We ET op Far Easter Intl Bank § 102017 EARS Jun. 9, 2017

  2. Slide 2: FE group business

    FE group business  Span over 10 major industries  Own over 240 companies  Established in 1937  9 public listed companies in Taiwan and HK Petrochemical & energy Polyester & synthetic fiber Cement & building material Retail & department store Financial services – 7 companies in operation – 21 com

  3. Slide 3: Contents

    Contents  Financial highlights  Key strategies 3

  4. Slide 4: Assets

    Assets CAGR +5.6% 599 561 547 522 16% +25.8% 492 17% 15% 466 11% 438 10% 418 9% 10% 377 9% (NT$Bn) 361 360 10% 9% 10% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1Q 2017 4 Source: Consolidated financial reports

  5. Slide 5: Loans

    Loans Period-end 355 YoY YoY +6.5% +7.6% 361 355 339 (NT$Bn) 324 (NT$Bn) 329 400 400 350 350 55 +3.9% 56 +4.5% 300 57 300 58 (%) 57 (%) 250 250 200 200 150 150 45 +9.4% 44 +12.6% 43 43 42 100 100 50 50 0 2014 2015 0 2016 1Q 2016 1Q 2017 2014 20152014 20162015 2016 Corporate Consumer Corporate Consum

  6. Slide 6: Deposits

    Deposits Period-end YoY YoY +0.3% +13.2% 488 452 453 (NT$Bn) 424 (NT$Bn) 432 400 400 350 350 47 +8.5% 47 47 (%) 49 (%) 300 47 300 +1.3% 250 250 200 200 150 150 51 53 +17.7% 53 53 53 -0.6% 100 100 50 50 0 2014 2015 0 2016 1Q 2016 1Q 2017 2014 20152014 20162015 2016 Corporate Consumer Corporate Consum

  7. Slide 7: Asset quality

    Asset quality NPL Ratio NPL Coverage Ratio Loan Coverage Ratio 726% 1.41% 0.30% 1.39% 0.27% 0.27% 0.25% 0.25% 555% 556% 1.34% 1.34% 511% 503% 1.36% 0.26% 0.19% 453% 1.34% 0.23% 531% 501% 1.32% 1.30% 2015 1Q 2016 2016 1Q 2017 2015 1Q 2016 2016 1Q 2017 2015 1Q 2016 2016 1Q 2017 Industry FEIB Source: C

  8. Slide 8: BIS & Liquidity

    BIS & Liquidity CAR & Tier1* LDR & DDR 79.6% 13.8% 76.5% 76.2% 12.9% 13.1% 74.9% 12.6% 72.6% 10.0% 9.1% 9.3% 9.5% 28.5% 28.9% 28.8% 25.4% 26.1% 2014 2015 2016 1Q 2017 2014 2015 1Q 2016 2016 1Q 2017 CAR Tier 1 LDR DDR *CAR & Tier 1: unconsolidated # 8 Source: Consolidated financial reports

  9. Slide 9: Revenue

    Revenue Revenue NII (NT$Bn) YoY YoY (NT$Bn) YoY YoY -2.5% -4.1% -0.3% -8.9% 10.9 11.2 10.9 5.8 5.8 5.4 2.6 2.4 1.5 1.3 2014 2015 2016 1Q 2016 1Q 2017 2014 2015 2016 1Q 2016 1Q 2017 Net fee income Net trading & investment income YoY YoY (NT$Bn) YoY YoY (NT$Bn) +9.3% -0.5% -0.4% +56.8% 3.4 1.7 2.9 3.1

  10. Slide 10: Income before tax

    Income before tax (NT$Bn)  Y2016 YoY +0.29 -0.01 -17.4% -0.02 -0.55 +0.03 -0.10 -0.45 4.62 3.82 2015 NII Fee Trading Others OP. Expense Provision Recovery 2016  1Q 2017 +0.19 YoY -20.9% +0.01 -0.13 -0.004 -0.16 -0.002 -0.12 1.03 0.81 1Q 2016 NII Fee Trading Others OP. Expense Provision Recovery 1Q

  11. Slide 11: Profitability

    Profitability PPOP NIM & Spread (NT$Bn) YoY YoY (%) -8.3% -11.5% 4.7 1.75 1.76 1.71 4.4 4.3 1.64 0.9 0.8 1.25 1.26 1.29 1.14 2014 2015 2016 1Q 2017 2014 2015 2016 1Q 2016 1Q 2017 Spread of loan vs. deposit NIM ROA ROE (%) (%) 11.33 0.73 0.73 10.43 8.12 0.59 7.08* 0.52* 2014 2015 2016 1Q 2017 2014 20

  12. Slide 12: Dividend

    Dividend EPS & dividend payout Cash dividend yield * (NT$/share) 1.31 1.30 4.4% 1.30 4.1% 1.04 3.8% 2.2% 0.54 0.20 0.23 0.45 0.40 0.40 0.42 0.25 2013 2014 2015 2016 2013 2014 2015 2016 Cash dividend Stock dividend * Based on stock closing price on BDR date proposing dividend distribution 12 Source:

  13. Slide 13: Contents

    Contents  Financial highlights  Key strategies 13

  14. Slide 14: 2017 key strategies

    2017 key strategies  Assets  Products  Profit  Process  Relationship  Branding Consolidation Group synergy  Payment platform  Customer sharing 14

  15. Slide 15: Appendix

    AF ie ve i re wee at Co nte nts =/) Far Eastern Intl Bank [ Appendix |

  16. Slide 16: Summary financials and key ratios

    Summary financials and key ratios (NT$ m, except percentages and per share data) (Consolidated) As of or for 12 months ended December 31, As of or for 3 months ended March 31, 2015 (IFRS) 2016 (IFRS) YoY 1Q2016 (IFRS) 1Q2017 (IFRS) YoY Key balance sheet items Gross loans 338,597 360,995 7% 329,074 3

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