Barclays Plc · LSE:BARC
Barclays — Nomura Financial Services Conference 2011
21 slides from Barclays's conference presentation, Aug 31, 2011
Slide 1: Barclays PLC
Barclays PLC Nomura Financial Services Conference 31 August 2011
Slide 2: Chris Lucas
Chris Lucas Group Finance Director
Slide 3: Group performance
Group performance 2011 2010 Change Half year ended – June (£m) (£m) % Profit before tax 2,644 3,947 (33) Own credit gain (89) (851) nm Provision for PPI redress 1,000 - nm Gains on acquisitions and disposals 123 (133) nm Adjusted profit before tax 3,678 2,963 24
Slide 4: Financial summary
Financial summary 2011 2010 Change Half year ended – June (£m) (£m) % Income 15,330 16,581 (8) Impairment charges (1,828) (3,080) (41) Net operating income 13,502 13,501 - Operating expenses (9,829) (9,720) 1 Provision for PPI address (1,000) - nm Profit before tax 2,644 3,947 (33) Adjusted1 profit
Slide 5: Adjusted performance measures
Adjusted1 performance measures Half year ended – June 2011 2010 Return on equity 9.1% 6.9% Return on tangible equity 10.9% 8.4% Return on risk weighted assets 1.4% 1.1% Cost: net operating income ratio 73% 77% 1 Figures are adjusted for PPI provision, movements in own credit and gains/losses on acqu
Slide 6: Retail and Business Banking (RBB)
Retail and Business Banking (RBB) 2011 2010 Change Half year ended – June (£m) (£m) % Income 6,697 6,513 3 Impairment charges (1,307) (1,800) (27) Net operating income 5,390 4,713 14 Operating expenses (3,973) (3,650) 9 Provision for PPI redress (1,000) - nm Adjusted1 profit before tax 1,446 1,086 3
Slide 7: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Half year ended – June (£m) (£m) % UK 704 404 74 Europe (161) (19) nm Africa 379 384 (1) Barclaycard 524 317 65 Adjusted profit before tax 1,446 1,086 33 1 Figures are adjusted for PPI provision and gains/losses on acquisitions and disposals
Slide 8: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Half year ended – June (£m) (£m) % UK 704 404 74 Europe (161) (19) nm Africa 379 384 (1) Barclaycard 524 317 65 Adjusted profit before tax 1,446 1,086 33 1 Figures are adjusted for PPI provision and gains/losses on acquisitions and disposals
Slide 9: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Half year ended – June (£m) (£m) % UK 704 404 74 Europe (161) (19) nm Africa 379 384 (1) Barclaycard 524 317 65 Adjusted profit before tax 1,446 1,086 33 1 Figures are adjusted for PPI provision and gains/losses on acquisitions and disposals
Slide 10: RBB – Business Performance
RBB – Business Performance1 2011 2010 Change Half year ended – June (£m) (£m) % UK 704 404 74 Europe (161) (19) nm Africa 379 384 (1) Barclaycard 524 317 65 Adjusted profit before tax 1,446 1,086 33 1 Figures are adjusted for PPI provision and gains/losses on acquisitions and disposals
Slide 11: Corporate and Investment Banking
Corporate and Investment Banking1 2011 2010 Change Half year ended – June (£m) (£m) % Barclays Capital 2,310 2,549 (9) Barclays Corporate 17 (377) nm Adjusted profit before tax 2,327 2,172 7 1 Figures are adjusted for movements in own credit and gains/losses on acquisitions and disposals
Slide 12: Barclays Capital
Barclays Capital H1 11 H2 10 H1 10 Change Half year ended (£m) (£m) (£m) % Total income (excluding own credit) 6,263 6,148 7,061 (11) Own credit gain/(charge) 89 (460) 851 (90) Total income 6,352 5,688 7,912 (20) Impairment charges 111 (234) (309) nm Net operating income 6,463 5,454 7,603 (15) Opera
Slide 13: Barclays Capital adjusted performance measures
Barclays Capital adjusted1 performance measures Half year ended – June 2011 2010 Cost: net operating income ratio 64% 62% Compensation: income ratio 45% 42% Return on equity 15% 14% Return on risk weighted assets 1.8% 1.5% 1 Figures are adjusted for movements in own credit
Slide 14: Barclays Capital quarterly income
Barclays Capital quarterly income (£m) Q3 10 Q1 11 Q4 10 Q2 11 3,496 3,366 2,897 2,652 2,201 2,031 1,773 1,715 725 612 625 545 563 501 520 359 Total income FICC Investment Banking Equities (excluding own credit)
Slide 15: Barclays Corporate
Barclays Corporate UK Europe RoW 2011 2010 Change Half year ended – June (£m) (£m) (£m) (£m) (£m) % Income 1,135 200 136 1,471 1,401 5 Impairment (163) (428) (23) (614) (949) (35) Operating expenses (558) (131) (150) (839) (829) 1 Profit /(loss) before tax 413 (359) (101) (47) (377) (88) Adjusted1 p
Slide 16: Barclays Wealth
Barclays Wealth 2011 2010 Change Half year ended – June (£m) (£m) % Total income 848 757 12 Impairment charges (19) (27) (30) Net operating income 829 730 14 Operating expenses (740) (635) 17 Profit before tax 88 95 (7) Return on equity 10% 10% Return on risk weighted assets 1.3% 1.4%
Slide 17: Capital, Liquidity & Leverage
Capital, Liquidity & Leverage At 30 Jun 11 At 31 Dec 10 Adjusted gross leverage 20x 20x Core Tier 1 ratio 11.0% 10.8% Net asset value per share 423p 417p Group liquidity pool £145bn £154bn of which cash at central banks £85bn £96bn Liquidity Coverage Ratio 86% 80% Net Stable Funding Ratio 96% 94%
Slide 18: Capital management
Capital management Core Tier 1 ratio bridge Underlying RWAs & securitisation BlackRock Retained profit deductions excl. PPI 0.09% 0.03% 0.44% PPI provision 11.0% Net FX (0.18%) impact capital Share awards & RWAs & other 10.8% movements (0.05%) (0.07%) FY 10 HY 11
Slide 19: Capital, Liquidity & Leverage
Capital, Liquidity & Leverage At 30 Jun 11 At 31 Dec 10 Adjusted gross leverage 20x 20x Core Tier 1 ratio 11.0% 10.8% Net asset value per share 423p 417p Group liquidity pool £145bn £154bn of which cash at central banks £85bn £96bn Liquidity Coverage Ratio 86% 80% Net Stable Funding Ratio 96% 94%
Slide 20: Exposure to Spain, Italy, Portugal, Ireland and Greece
Exposure to Spain, Italy, Portugal, Ireland and Greece At 30 June 11 £bn Retail – Mortgages 35.9 – Other 8.1 Corporate 13.8 Sovereign 11.6 Financial institutions 6.7
Slide 21: Chris Lucas
Chris Lucas Group Finance Director