19 slides from Tisco Financial Group Public's earnings presentation, Jun 30, 2004
Slide 1: TISCO Group Operating Results
TISCO Group Operating Results For 3 months ended June 30, 2004
Slide 2: Shareholder Structure
Shareholder Structure CDIB & Partners Investment Mizuho Corporate Government of Holding Bank, Ltd. DB Group Singapore Corporation 7.49% 6.37% Investment 13.78% Corporation 4.69% Foreign shareholders Domestic 29.68% shareholders 33.38% Thai NVDR Co.,Ltd. 4.61% As of April 7, 2004 2
Slide 3: Asset Breakdown
Asset Breakdown Total Assets as of June 30, 2004 : 62,822 million Baht 60,263 62,822 60,000 1,291 1,414 50,000 49,212 47,059 40,802 1,317 2,237 40,000 Baht Million 2,354 44,499 49,716 30,000 30,603 36,236 25,584 20,000 th=2 0.9% Gr ow Loan 10,000 8,302 9,361 8,096 6,502 6,181 0 2000 2001 2002 2003 J
Slide 4: Loan Portfolio Breakdown
Loan Portfolio Breakdown Total Loans : Bt. 51.3 Billion Total Hire Purchase : Bt. 37.6 Billion As of June 30, 2004 As of June 30, 2004 Real estate& Public utilities& Leasing Motorcycle construction services 1% 4% Other corporate VLT Manufacturing& 5% 3% Head Office 5% TCA 1% Commerce 38% 7% 7% Other
Slide 5: Penetration Rate(%)
Industry Auto Sales New Car Sales Industry Monthly Car Sales 600,000 595,612 12% 80,000 10.1% 533,455 500,000 10% 70,000 64,839 409,403 7.5% 7.3% Number of cars (Units Penetration Rate(%) 60,000 54,418 Number of cars (Units) 400,000 8% 51,315 6.6% 49,044 49,272 6.6% 50,000 297,136 44,123 300,000 262
Slide 6: HP New Loans and Repayment
HP New Loans and Repayment 4,000 4,679 5000 4,664 4,540 4,265 3,500 4500 3,830 3,836 4,463 3,766 3,678 3,702 3,620 3,859 4000 3,000 3500 Baht Million 2,500 2,189 2,095 3000 2,063 1,951 1,973 Units 2,000 1,740 1,675 1,789 1,736 1,696 1,742 2500 1,459 2000 1,500 1,187 1,057 1,003 1,041 1,140 1,087 1,1
Slide 7: Loan Loss Provision
Loan Loss Provision Non-Performing Loan & Allowance for Doubtful Accounts 160% 14,000 135% 122% 140% 103% 120% 12,000 120% 10,000 8,221 84% 100% Baht Million (24.2%) 8,000 6,859 7,075 6,935 (17.7%) 80% 4,600 6,000 4,703 4,262 3,846 3,415 3,540 60% (9.7%) (7.5%) (6.9%) 4,000 40% 2,000 20% 0 0% 2000 2
Slide 8: Brokerage Business
Brokerage Business SET Index TISCO Market Share 19,237 20,000 18,908 1000 350 5% 3.9% 314 16,000 772.15 800 300 3.5% Daily Averagel Turnove 3.6% 3.4% 4% 250 2.9% (Baht Million) SET Index Brokerage Volume 12,000 600 Market share(%) 646.64 (Baht Billion) 200 8,357 160 2% 8,000 400 150 6,440 269.19 356
Slide 9: Asset Management Business
Asset Management Business Market Asset Under Management 70,000 12% 1,000,000 61,906 846,964 867,605 10% 10% Total Net Asset Value (Baht Million) 900,000 60,000 56,459 10% Total Net Asset Value 800,000 44,684 Market Share (%) 50,000 42,040 39,335 (Baht Million) 700,000 51% 8% 531,282 52% 24% 28% 600,
Slide 10: Active Assets & Liabilities Management
Active Assets & Liabilities Management Asset Mix Liabilities Mix 120% 120% 100% Other assets 100% Other Liabilities 80% Equity 80% Debentures 60% Fixed-income 60% 66% 61% Retail Loans Public Funding 40% 40% 81% 77% Corporate 20% Loans 20% 0% 0% Jun04 Dec03 Jun04 Dec03 Portfolio Jun-04 Dec-03 Portfol
Slide 11: Efficient Risk-Based Capital Management
Efficient Risk - Based Capital Management Operational Listed Equity Operational Risk Reserve Listed Equity Risk Reserve 24% 19% Non- listed Retail Lending 9% Retail Lending 10% Non-listed Equity 35% 37% Equity 7% 8% Fixed- income 2% Fixed-income Banking Book 1% 2% Wholesale Wholesale Property Lendin
Slide 12: Income Statement (1)
Income Statement (1) Q2Y-o-Y 6MY-o-Y Q204 Q203 6M04 6M03 Interest & Dividend 5.4% 10.1% 941 893 1,950 1,771 Income Expense on Borrowings (14.1%) (14.2%) (262) (305) (525) (612) Net Interest & Dividend 15.5% 23.0% 680 589 1,425 1,159 Income Provision (239.4%) (156.4%) 99 (71) 31 (55) Net I&D after Pr
Slide 13: Revenue Structure
Revenue Structure Q204 Interest and Dividend Q204 Net Non-Interest Income: Income : Bt. 779 Million Bt. 389 Million Proprietary Investment & Fee Income Trading Income Others from Finance -7% Business, SAM 35% Retail Finance & Others Brokerage Fee 50% 61% 39% Commercial Investment Finance Bank Fee 4%
Slide 14: Spread Management
Spread Management Interest Spread Trend 11% 8.3% 7.8% 7.4% 8% 6.6% 6.44% 5% 4.4% 4.2% 4.16% 4.1% 3.7% 3.9% 3.7% 3% 3.2% 2.9% 2.28% 0% 2000 2001 2002 2003 6M 04 Yield Cost Spread 14
Slide 15: Net Interest Margin
Net Interest Margin NIM compared with Interest Spread 7% 4.70% 4.4% 4.6% 5% 4.2% 4.4% 4.2% 3.9% 4.1% 4.16% 3% 3.7% 2% 0% 2000 2001 2002 2003 6M 04 Spread NIM 15
Slide 16: Interest Rate Risk
Interest Rate Risk Current Profile 1.50 • Small Duration Mismatch 1.27 • Risk to Interest Rate Increase 1.25 1.00 • 1% immediate shock will Average Duration 1.00 reduce net interest income by (Years) 0.75 merely 15.6 million Baht 0.50 0.25 Environment & Effect 0.00 • Rising interest rate trend is Q2
Slide 17: Income Statement (2)
Income Statement (2) Q2Y-o-Y 6MY-O-Y Q204 Q203 6M04 6M03 Personnel 47.9% 42.2% 321 217 620 436 Expense Non-Personal 1.6% 2.5% 311 306 616 601 Expense Tax 37.1% 111.9% (133) (97) (320) (151) Minority Interest 33.3% 29.4% (12) (9) (22) (17) Net Profit (11.4%) 23.4% 390 440 992 804 17
Slide 18: Number of Employees
Number of Employees 2500 2,043 2000 1,874 286 1,494 256 Employees 1500 1,148 481 148 410 978 61 241 60 82 1000 1208 1276 1105 500 918 1005 0 2000 2001 2002 2003 6M 04 Permanent Contract Temporary 18
Slide 19: Highlight Financial Ratios
Highlight Financial Ratios Q2 04 Q2 03 6M 04 6M 03 Net Profit Growth (11.4%) 35.6% 23.4% 28.3% (y-o-y) Net Revenue Growth 9.18% 23.7% 27.9% 19.5% (after provision) (y-o-y) Return on 14.3% 20.6% 18.4% 19.3% Average Equity BIS (TISCO Finance) 19.3% 17.9% 19.3% 17.9% NCR (TISCO Securities) 71.5% 78.3%